<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="485" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/SZDJDME5EFNDPN4BZJHAQQVVFM-820x485.jpg" alt="" class="wp-image-565145" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/SZDJDME5EFNDPN4BZJHAQQVVFM-820x485.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/SZDJDME5EFNDPN4BZJHAQQVVFM-300x178.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/SZDJDME5EFNDPN4BZJHAQQVVFM-152x90.jpg 152w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/SZDJDME5EFNDPN4BZJHAQQVVFM-768x455.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/SZDJDME5EFNDPN4BZJHAQQVVFM-1536x909.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/SZDJDME5EFNDPN4BZJHAQQVVFM-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: Somali women gather to march against the Ethiopia-Somaliland port deal at the Yarisow stadium in Mogadishu, Somalia January 3, 2024. REUTERS/Feisal Omar/File Photo</figcaption></figure>



ANKARA, Dec 11 (Reuters)&nbsp;&#8211;&nbsp;Somalia and Ethiopia&nbsp;said they would&nbsp;work together to resolve a dispute over Addis Ababa&#8217;s plan to build a port in the breakaway region of Somaliland, which had drawn in regional powers and threatened to further destabilise the Horn of Africa.



The two countries&#8217; leaders said they had agreed to find commercial arrangements to allow landlocked Ethiopia &#8220;reliable, secure and sustainable access to and from the sea&#8221; after talks on Wednesday mediated by Turkish President Tayyip Erdogan.



The meeting was their first since January when Ethiopia said it would lease a port in Somalia&#8217;s breakaway northern region of Somaliland in exchange for recognising the area&#8217;s independence.



Mogadishu rejected the deal and threatened to expel Ethiopian troops who were stationed in Somalia to fight Islamist insurgents.



Somalia opposes international recognition of Somaliland, which has governed itself and enjoyed comparative peace and stability since declaring independence in 1991.



In a joint statement released late on Wednesday, Somalia and Ethiopia said they had agreed to start technical negotiations by the end of February next year, and to conclude them within four months.



They did not go into detail.



&#8220;This joint declaration focuses on the future, not the past,&#8221; Erdogan said at a press conference in Ankara afterwards.



Somalia&#8217;s President Hassan Sheikh Mohamud said he was ready to work with Ethiopia, while Ethiopian Prime Minister Abiy Ahmed welcomed Turkish efforts to resolve the dispute.



The spat has drawn Somalia closer to Egypt, which has quarrelled with Ethiopia for years over Addis Ababa&#8217;s construction of a vast hydro dam on the Nile River, and to Eritrea, another of Ethiopia&#8217;s longtime foes.



Turkey has close ties with both Ethiopia and Somalia, training Somalia&#8217;s security forces and supplying development assistance in return for a foothold on a key global shipping route.



(Reporting by Hereward Holland, Ezgi Erkoyun, Huseyin Hayatsever, Abdi Sheikh, Dawit Endeshaw and Tuvan Gumrukcu; Writing by Hereward Holland; Editing by Keith Weir and Kate Mayberry)

FILE PHOTO: Somali women gather to march against the Ethiopia-Somaliland port deal, in Mogadishu

Somalia, Ethiopia agree to work together to resolve Somaliland port dispute

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/DSC4167-Enhanced-NR-820x547.jpg" alt="" class="wp-image-565126" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/DSC4167-Enhanced-NR-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/DSC4167-Enhanced-NR-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/DSC4167-Enhanced-NR-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/DSC4167-Enhanced-NR-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/DSC4167-Enhanced-NR-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/DSC4167-Enhanced-NR-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">The Future Minerals Forum brings together governments, international organizations, and stakeholders to collectively shape the future of minerals.</figcaption></figure>



The global demand for minerals is surging, fuelled by the transition to clean energy and the rise of advanced technologies.



The&nbsp;Future Minerals Forum (FMF), held in Riyadh, Saudi Arabia, has become the epicenter for shaping global mineral strategies. Its latest report,&nbsp;“Shaping the Future of Minerals”, sheds light on the challenges and opportunities facing the sector.



The report, developed with contributions from Wood Mackenzie, CRU, Clareo, GlobalAI and the Baker Institute, reveals an urgent reality: the world needs&nbsp;$5.4 trillion in mineral investment by 2035&nbsp;to sustain and expand mining and processing capacity. This figure is a call to rethink the global minerals framework.



Critical minerals – cobalt, lithium, graphite, and nickel – are essential for renewable energy technologies like electric vehicles and battery storage. But the report highlights a daunting challenge: the energy transition is outpacing the supply chain’s ability to deliver these materials sustainably. For instance, lithium processing alone is projected to grow fifteenfold by 2040, but infrastructure and resource depletion threaten supply stability.



Patrick Barnes,&nbsp;Global Head of Metals and Mining Consulting at Wood Mackenzie, highlighted the sector&#8217;s challenges, “The effort to de-risk supply chains and, in parallel, accelerate the energy transition represents an opportunity for a lot of investment – not just in mines but in the midstream and downstream of these minerals. Emerging markets, particularly in Asia-Pacific, Latin America, and Sub-Saharan Africa, are poised to capture over 40% of global mineral capital investment, a dramatic shift in capital flows and geopolitical priorities.”



Despite challenges, there is significant economic potential for countries investing in mineral value addition. Nations like Indonesia have successfully transitioned from raw mineral exporters to leading players in processed commodities like nickel. This transformation is a blueprint for other resource-rich regions.



The report also challenges traditional extractive practices, urging a shift towards shared value creation. Historically, mining has been criticized for its &#8220;extract-and-ship&#8221; or “pit-to-port” mindset, which often sidelines local economic development. But as resource nationalism grows and societal expectations shift, mining companies face increasing pressure to balance profits with community benefits. “The focus on critical minerals has opened up the debate of role of mining in society more generally. It’s focus is now on how we make mines can contribute to development more broadly,” explained Mark Cutifani, Chairman at Vale Base Metals. “We need local communities to see us as partners, and we want them to benefit from the development of mines. it’s not a matter of engagement; it’s involvement.”



This sentiment is echoed across the sector, with shared value creation emerging as a cornerstone for sustainable development. Aldo Pennini, FMF Director for Strategy and Content adds, “The Future Minerals Forum creates a comparative advantage to discuss core issues that can deliver the dividends of minerals to host communities, economies, and the global world.”



Governments and companies must collaborate to create frameworks that ensure shared prosperity. Peter Bryant,&nbsp;Board Chair of Clareo, stressed: “Government plays a key role in creating shared value by providing the springboards to investment and not being overly prescriptive.”



The report outlines strategies for achieving this:



<ul class="wp-block-list">
<li>Targeted investment:&nbsp;Policymakers should prioritize projects that align with national competitiveness and market dynamics. For example, Indonesia’s ban on raw nickel exports led to a thriving domestic processing industry.</li>



<li>Public-Private Partnerships:&nbsp;Collaborative models like Anglo American’s regional development initiatives highlight the potential for multi-sectoral impact.</li>



<li>ESG-driven approaches:&nbsp;From water recycling to community engagement, sustainable practices are essential to addressing the growing scrutiny of the mining sector.</li>
</ul>



Ali Al-Mutairi, FMF’s Executive Director, emphasises the importance of action: “The minerals industry is at a turning point. Companies are taking on the responsibility of fostering shared value through deeper stakeholder collaboration.”



The Future Minerals Forum plays a crucial role in shifting perceptions about the mining industry. The energy transition will depend heavily on minerals, and unlocking the required funds demands collaboration and a shared vision.



This transformative era of minerals offers challenges and immense opportunities to reshape the global mineral landscape for the better. The question now is whether stakeholders will seize the moment to ensure that mineral wealth truly benefits all.

DSC4167-Enhanced-NR

Shared Value Creation: A Turning Point for the Mineral Industry

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/10/TW73TLV2SBLINDR3RCPU2BLTCE-820x547.jpg" alt="" class="wp-image-548180" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/10/TW73TLV2SBLINDR3RCPU2BLTCE-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/TW73TLV2SBLINDR3RCPU2BLTCE-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/TW73TLV2SBLINDR3RCPU2BLTCE-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/TW73TLV2SBLINDR3RCPU2BLTCE-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/TW73TLV2SBLINDR3RCPU2BLTCE-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/TW73TLV2SBLINDR3RCPU2BLTCE-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: A view of the newly-commissioned Dangote Petroleum refinery in Ibeju-Lekki, Lagos, Nigeria May 22, 2023. REUTERS/Temilade Adelaja/File Photo</figcaption></figure>



ABUJA, (Reuters) &#8211; Nigeria&#8217;s Dangote Refinery said on Wednesday it has made its first export of petrol to Cameroon, a milestone that could pave way for regional energy integration and help stabilise fuel prices across the region.



The 650,000 barrel refinery built by Nigerian billionaire Aliko Dangote in Lagos aims to compete with European refiners when operating at full capacity and is expected to change trading of refined products in the Atlantic basin.



The company&nbsp;did not provide&nbsp;details&nbsp;of how much was exported.



Cameroon&#8217;s energy firm Neptune Oil said in the statement that both companies were exploring new initiatives to establish a reliable supply chain that will help stabilize fuel prices and opportunities across the region.



Neptune Oil said the petrol supply transaction was executed without intermediaries.



(Reporting by MacDonald Dzirutwe; Writing by Chijioke Ohuocha. Editing by Jane Merriman and Diane Craft)

FILE PHOTO: A view of the newly-commissioned Dangote Petroleum refinery in Ibeju-Lekki, Lagos

Nigeria’s Dangote Refinery makes first petrol export to Cameroon

Top tech predictions for 2025

How MasterCard is fighting back against fraudsters

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="461" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/107308954-1695982808104-gettyimages-1664665862-US-CPI-AUGUST-820x461.jpeg" alt="" class="wp-image-564863" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/107308954-1695982808104-gettyimages-1664665862-US-CPI-AUGUST-820x461.jpeg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/107308954-1695982808104-gettyimages-1664665862-US-CPI-AUGUST-300x169.jpeg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/107308954-1695982808104-gettyimages-1664665862-US-CPI-AUGUST-160x90.jpeg 160w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/107308954-1695982808104-gettyimages-1664665862-US-CPI-AUGUST-768x432.jpeg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/107308954-1695982808104-gettyimages-1664665862-US-CPI-AUGUST-1536x864.jpeg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/107308954-1695982808104-gettyimages-1664665862-US-CPI-AUGUST.jpeg 1858w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Customers shop at a supermarket in Foster City, California, the United States, Sept. 13, 2023. Xinhua News Agency | Xinhua News Agency | Getty Images</figcaption></figure>



Consumer prices rose at a faster annual pace in November, a reminder that inflation remains an issue both for households and policymakers.



The consumer price index showed a 12-month inflation rate of 2.7% after increasing 0.3% on the month, the Bureau of Labor Statistics reported Wednesday. The annual rate was 0.1 percentage point higher than October.



Excluding food and energy costs, core CPI was at 3.3% on an annual basis and 0.3% monthly. The 12-month core reading was unchanged from a month ago.



All of the numbers were in line with the Dow Jones consensus estimates.



The readings come with Federal Reserve officials mulling over what to do at their policy meeting next week, Markets strongly expect the Fed to lower its benchmark short-term borrowing rate by a quarter percentage point when the meeting wraps up Dec. 18, but then skip January as they measure the impact successive cuts have had on the economy.



The report further solidified the outlook for a cut, with traders raising the odds to 99%, according to the CME Group’s FedWatch measure. Odds of a January cut also edged higher, hitting about 23%.



“In-line core inflation clears the way for a rate cut at next week’s [Federal Open Market Committee] meeting,” said Whitney Watson, global co-head and co-CIO for fixed income at Goldman Sachs Asset Management. “Following today’s data the Fed will depart for the holiday break still confident in the disinflation process and we think it remains on course for further gradual easing in the new year.”



While inflation is well off the 40-year high it saw in mid-2022, it remains above the Fed’s 2% annual target. Some policymakers in recent days have expressed frustration with inflation’s resilience and have indicated that the pace of rate cuts may need to slow if more progress isn’t made.



If the Fed follows through with a cut next week, it will have taken a full percentage point off the federal funds rate since September.



Much of the November increase in CPI came from shelter costs, which rose 0.3% and have been one of the most stubborn components of inflation. Fed officials and many economists expect housing-related inflation to ease as new rental leases are negotiated, but the item has continued to increase each month.



The BLS estimated that the shelter item, which has about a one-third weighting in the CPI calculation, accounted for about 40% of the total increase in November. The shelter index rose 4.7% on a 12-month basis in November.



Used vehicle prices rose 2% monthly while new vehicle prices increased 0.6%, reversing the recent trend that has seen those items come down.



Elsewhere, food costs rose 0.4% monthly and 2.4% year over year, while the energy index increased 0.2% but was down 3.2% annually.



The increase in the CPI meant that average hourly earnings for workers were basically flat for the month when adjusted for inflation, but increased 1.3% from a year ago, the BLS said in a separate release.

107308954-1695982808104-gettyimages-1664665862-US-CPI-AUGUST

Annual U.S. inflation rate accelerates to 2.7% in November, as expected

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="5000" height="3333" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/WHPPRFAEWVI2PAWUHJUMPQXPVA.avif" alt="" class="wp-image-564860"/><figcaption class="wp-element-caption">United Nations Secretary-General Antonio Guterres attends a joint statement with Portuguese Prime Minister Luis Montenegro (not pictured), in Sao Bento Palace, Lisbon, Portugal, November 27, 2024. REUTERS/Pedro Nunes/File Photo</figcaption></figure>



JOHANNESBURG, Dec 11 (Reuters)&nbsp;&#8211;&nbsp;United Nations Secretary-General Antonio Guterres said on Wednesday that existing debt relief mechanisms were far from adequate to address global vulnerabilities, calling on the Group of Twenty nations to do more to deliver financial justice.



Guterres made the comments during a visit to South Africa, which became the first African country to lead the G20 when it took the helm of the international forum of developed and developing economies this month.



The G20&#8217;s &#8220;Common Framework&#8221;, a debt relief architecture launched during the COVID-19 pandemic to help heavily-indebted countries get back on track quickly, has been criticised following slow restructurings in countries including Zambia.



&#8220;I recognise all the efforts the G20 has made in relation to the so-called &#8216;Framework&#8217;, but let&#8217;s be clear. We are far from having an instrument able to address the debt problem that exists at global level,&#8221; Guterres told a G20 event in Johannesburg.



&#8220;We need meaningful solutions to address the debt crisis, so countries can invest in meeting the basic needs of their people and drive long-term development.&#8221;



Guterres also used his speech to G20 sherpas and finance officials to underscore that global governance institutions needed to be reformed to serve African countries better.



He said there should be an enhanced role for multilateral development banks and greater concessional funding, but that boosting gross domestic product should not be the only targeted metric.



&#8220;It&#8217;s very important to look especially also at vulnerability,&#8221; Guterres said.



South African Finance Minister Enoch Godongwana told the same event that addressing debt vulnerabilities would be a focus of his country&#8217;s G20 presidency.



South Africa will propose creating an expert panel to focus specifically on Africa&#8217;s financing needs, he said, adding that &#8220;debt sustainability cannot be solved through the Common Framework alone&#8221;.



(Additional reporting by Tannur Anders and Bhargav Acharya. Writing by Alexander Winning. Editing by Mark Potter)

WHPPRFAEWVI2PAWUHJUMPQXPVA

UN chief says debt relief tools far from adequate

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/John-1-820x547.jpg" alt="" class="wp-image-564841" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/John-1-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/John-1-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/John-1-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/John-1-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/John-1-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/John-1-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">John Humphrey is His Majesty’s Trade Commissioner to Africa at the UK’s Department for Business and Trade</figcaption></figure>



As the world navigates uncertain times &#8211; economic turbulence, climate change, conflict and global inequality &#8211; building economic bridges between communities that foster mutual trade, investment and understanding offers a beacon of hope. The recent UK-Francophone West and Central Africa Forum (WCAF) in London, which was heavily oversubscribed, felt like such a bridge, bringing people together and highlighting the vast potential for collaboration between the UK and Francophone Africa.



The WCAF, now in its third consecutive year, has established itself as a premier platform for fostering meaningful partnerships between governments, private sectors, and civil society. This year&#8217;s forum, organised by UK Export Finance in conjunction with DMA, was attended by high-profile government dignitaries from 9 African nations. They were welcomed by the UK Minister for Africa, Lord Collins, and the UK Minister Services, Small Businesses and Exports, Gareth Thomas and senior UK government officials from various relevant departments.



The UK government&#8217;s commitment to strengthening its economic ties with Africa is clear. As an example, we announced a finance deal worth over £60 million of support from British firms to help Cameroon improve vast swathes of land for farming. These sorts of deals are setting the tone for the UK’s vision of a stronger trading relationship with Africa which promotes sustainable, mutual growth which creates jobs and prosperity and improves people’s daily lives, especially for women and for young people.



So, what&#8217;s next? As we look to the future, it&#8217;s essential to build on the momentum generated by the WCAF. This means continuing to foster meaningful partnerships, driving growth and economic development, and promoting transparency and cooperation. The next edition is planned to be in Africa, which will make the event even more accessible and relevant.



Several key areas hold significant potential for further collaboration and investment opportunities between the UK and Africa: &#8211;



&nbsp;*Agriculture*: With Africa&#8217;s vast agricultural potential, partnerships can focus on improving yields, enhancing global food security, and promoting sustainable agricultural practices.



&#8211; *Energy*: As Africa increases energy access and transitions to cleaner energy sources, collaborations can centre on developing critical energy infrastructure, promoting energy efficiency, and enhancing energy access.



&nbsp;&#8211; *Healthcare*: Partnerships can focus on improving healthcare infrastructure, enhancing access to quality healthcare services, and promoting innovative healthcare solutions.



&#8211; *Sustainability*: Collaborations can prioritize sustainable development, focusing on environmental conservation, climate change mitigation, and promoting eco-friendly practices.



The WCAF has demonstrated the power of collaboration and investment in unlocking the vast potential of UK-Africa relations. As we move forward, it&#8217;s essential to build on this momentum, fostering meaningful partnerships that drive growth, economic development, and sustainable progress.



&nbsp;By working together, we can unlock the vast potential of the African continent and create a brighter economic future for all. The UK&#8217;s commitment to strengthening ties with Africa is clear, and the WCAF serves as a great example of this commitment. As we continue this journey, it&#8217;s essential to recognise the importance of transparency, understanding, cooperation, and mutual benefit.



By prioritizing these values, we can ensure that our partnerships are equitable, sustainable, and beneficial to all parties involved. The future of UK-Africa relations holds tremendous promise, and it&#8217;s up to us to seize this opportunity. Let&#8217;s work together to unlock the vast potential of the African continent and create a brighter economic future for all.

John 1

Forging new ties in UK-Africa relations

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="640" height="483" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/RUOSHILXAJKG3G5CGAZV5P4VJQ.avif" alt="" class="wp-image-564824"/><figcaption class="wp-element-caption">Soccer Football &#8211; FIFA World Cup Qatar 2022 &#8211; Final &#8211; Argentina v France &#8211; Lusail Stadium, Lusail, Qatar &#8211; December 18, 2022 General view of Argentina&#8217;s Lionel Messi lifting the trophy as he celebrates winning the World Cup REUTERS/Hannah Mckay/File Photo</figcaption></figure>



Dec 10 (Reuters)&nbsp;&#8211;&nbsp;FIFA is set to confirm the hosts of the 2030 and 2034 men&#8217;s World Cups on Wednesday, with a three-continent, six-nation bid led by Morocco, Spain and Portugal to be awarded the former and the latter going to Saudi Arabia.



In October last year, the global soccer governing body said there were no competing bids for the two tournaments, making Wednesday&#8217;s decision little more than a formality.



A day before the announcement it was still not clear exactly what format a vote on the decision would adopt, with acceptance by &#8220;acclamation&#8221; expected rather than a formal vote.



On Tuesday, the Norwegian Football Federation (NFF) said it would vote against the awarding of hosting rights by acclamation and criticised FIFA&#8217;s bidding process, saying it was &#8220;flawed and inconsistent&#8221;.



BIDS



Morocco, Spain and Portugal&#8217;s combined proposal will see the 2030 World Cup take place across three continents and six countries to mark the tournament&#8217;s centenary, with Uruguay, Argentina and Paraguay hosting celebratory games.



Uruguay hosted the first ever World Cup in 1930.



Argentina, Chile, Uruguay and Paraguay had in 2022 submitted a joint bid to host the 2030 World Cup, but FIFA announced last year that Argentina, Uruguay and Paraguay would instead each host one match during the tournament.



Saudi Arabia will become the second nation from the Middle East to host the quadrennial tournament in 2034, 12 years after neighbours Qatar staged the 2022 edition.



Australia and Indonesia were in talks over a joint bid for the 2034 tournament, but dropped out before Saudi was announced as the sole bidder.



HURDLES



Both bids have already been criticised.



The decision to host the 2030 World Cup across three continents has been panned by climate activists because of the increased emissions from the extra travel required.



FIFA has said it will take measures to &#8220;mitigate the environmental impact&#8221;.



The 2034 bid by Saudi Arabia has been criticised because of the country&#8217;s human rights record and desert climate, much in the same way as the Qatar World Cup.



The Saudi climate will likely force FIFA to hold the tournament in the Northern Hemisphere winter, just like it did in Qatar, where the event took place from late November to mid-December.



That timeframe will coincide with the Muslim holy month of Ramadan, with reports now suggesting the 2034 tournament could be held in January instead, risking a clash with the Winter Olympics in Salt Lake City.



FIFA said the Saudi bid did not stipulate a proposed window and that they would collaborate with stakeholders to &#8220;determine the optimal timing&#8221;.



HUMAN RIGHTS



A World Cup in Saudi Arabia will also spark debate about the Kingdom&#8217;s record on human rights and lead to accusations of &#8216;sportswashing&#8217;.



Amnesty International and the Sport &amp; Rights Alliance (SRA) last month urged FIFA to halt the process to pick Saudi as hosts unless it announces major reforms before the vote.



The Kingdom has invested heavily in sport over the last few years, although critics, including women&#8217;s rights groups and members of the LGBTQ community, allege it is using its Public Investment Fund to sportswash its human rights record.



The country denies accusations of human rights abuses and says it protects its national security through its laws.



Hammad Albalawi, head of Saudi Arabia&#8217;s bid, told Reuters this month that the country has made significant progress in human rights.



(Reporting by Aadi Nair in Bengaluru; Editing by Christian Radnedge)

RUOSHILXAJKG3G5CGAZV5P4VJQ

FIFA to confirm World Cup hosts, Saudi set to stage 2034 tournament

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="720" height="469" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/I7JNEWQ4GVLM3NU76F6XVVSAV4.avif" alt="" class="wp-image-564821"/><figcaption class="wp-element-caption">People walk on the street around Kwame Nkrumah circle in Accra, Ghana, December 2, 2016. Picture taken December 2, 2016. REUTERS/Luc Gnago/File Photo</figcaption></figure>



ACCRA, Dec 11 (Reuters)&nbsp;&#8211;&nbsp;Ghana&#8217;s economic growth quickened in the third quarter in a further sign of the west African country&#8217;s ongoing recovery from its worst economic crisis in a generation, statistics agency data showed on Wednesday.



Gross domestic product grew by 7.2% year-on-year in the third quarter of 2024, the most since the second quarter of 2019, the data showed.



The positive economic momentum comes as a new president and government prepare to take office on Jan. 7 after ex-president and main opposition leader John Dramani Mahama won Saturday&#8217;s election.



Growth in the second quarter of 2024 was revised to 7.0% from 6.9%, the agency said.



Ghana&#8217;s industrial sector, largely driven by mining and quarrying, grew by 10.4%, while the services sector expanded by 6.4% and the agricultural sector by 3.2%.



The cocoa sector in the world&#8217;s second biggest producer, however, contracted for the fifth consecutive quarter by 26%, the data showed.



Ghana defaulted on most of its external debt in 2022, leading to a painful restructuring.



Its cedi currency has been strengthening, but high inflation and government debt sustainability remain a concern for investors.



(Reporting by Maxwell Akalaare Adombila and Christian Akorlie; Writing by Anait Miridzhanian; Editing by Alex Richardson and Bernadette Baum)

I7JNEWQ4GVLM3NU76F6XVVSAV4

Ghana’s economy grew 7.2% in third quarter in recovery from crisis

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="720" height="471" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/SA-INFLATION.avif" alt="" class="wp-image-524647"/><figcaption class="wp-element-caption">Shoppers look for items as they shop at an outlet of retailer Checkers in Sandton City mall, in Sandton, South Africa, August 28, 2024. REUTERS/Lelethu Madikane </figcaption></figure>



JOHANNESBURG, Dec 11 (Reuters)&nbsp;&#8211;&nbsp;South Africa&#8217;s&nbsp;inflation rate&nbsp;rose less than expected in November,&nbsp;staying&nbsp;just below the central bank&#8217;s target range&nbsp;thanks to food inflation slowing&nbsp;to its lowest level in almost 14 years.



Headline consumer inflation was 2.9% year on year in November from 2.8% in October. In month-on-month terms, inflation was at 0.0% in November, compared with -0.1% in October, Statistics South Africa data showed.



Economists polled by Reuters had forecast headline inflation would accelerate to 3.1%&nbsp;in annual terms.&nbsp;The South African Reserve Bank&nbsp;targets inflation of between 3% and 6%, aiming for the midpoint of that band.



&#8220;We expect inflation will continue to edge higher over the coming months. But it is likely to remain contained and stay below the 4.5% target midpoint,&#8221; Jason Tuvey, deputy chief emerging markets economist at Capital Economics,&nbsp;said.



The central bank last month cut its main lending rate by 25 basis points (bps) for the second meeting in a row, after inflation dropped below the target range in October for the first time in years.



Tuvey said a&nbsp;50-bps cut was not out of the question at the central bank&#8217;s next policy meeting&nbsp;in January.



Food and non-alcoholic beverages&nbsp;inflation&nbsp;slowed to 2.3%&nbsp;year on year&nbsp;in November from 3.6% one month earlier, the lowest rate&nbsp;of price increases for that&nbsp;category since December 2010, the statistics agency said.



But&nbsp;a month-on-month increase in fuel prices pushed the November headline inflation figure higher in annual terms.



Annual core inflation, which excludes food and fuel prices, also came in below expectations at 3.7% in November compared with 3.9% one month earlier.



(Reporting by Tannur Anders; Editing by Alexander Winning and Kate Mayberry)

SA INFLATION

South Africa inflation rises less than expected, helped by food

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1161864874-820x547.jpg" alt="" class="wp-image-505638" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1161864874-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1161864874-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1161864874-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1161864874-768x513.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1161864874-1536x1025.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1161864874-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A South African one rand coin sits on South African rand banknotes in this arranged photograph in Pretoria, South Africa, on Wednesday, Aug. 14, 2019. The rand ended a tumultuous week on a positive note, gaining against the dollar for a second day and heading for its first weekly advance in four as technical indicators suggested recent declines are overdone. Photographer: Waldo Swiegers/Bloomberg via Getty Images</figcaption></figure>



JOHANNESBURG, Dec 11 (Reuters)&nbsp;&#8211;&nbsp;South Africa&#8217;s rand weakened early on Wednesday ahead of domestic and U.S. inflation readings which could give clues on the future interest rate path of both countries.



At 0711 GMT, the rand traded at 17.85 against the U.S. dollar, about 0.2% softer than its previous close.



Markets will look to November consumer inflation data out of the world&#8217;s biggest economy on Wednesday to challenge or cement bets of an interest rate cut by the Federal Reserve next week. Markets expect a 25-basis-point cut on Dec. 18.



Likewise, South Africa-focussed investors will at 0800 GMT look to the November inflation print for hints on the policy path of its central bank when it meets in January.



Economists polled by Reuters expect South Africa&#8217;s inflation to accelerate to 3.1% year on year in November, up from 2.8% recorded in October.



At 1100 GMT, focus will be on South Africa&#8217;s October retail sales figures.



On the Johannesburg Stock Exchange, the blue-chip Top-40 index was down about 0.5% in early trade.



South Africa&#8217;s benchmark 2030 government bond was flat in early deals, with the yield at 8.97%.



(Reporting by Tannur Anders)

South African Rand Rebound Snaps Streak of Weekly Losses

South African rand weaker before local, US inflation data

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="461" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/108072174-1733432641152-gettyimages-2186442290-AFP_36ND9GA-820x461.jpeg" alt="" class="wp-image-564731" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/108072174-1733432641152-gettyimages-2186442290-AFP_36ND9GA-820x461.jpeg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/108072174-1733432641152-gettyimages-2186442290-AFP_36ND9GA-300x169.jpeg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/108072174-1733432641152-gettyimages-2186442290-AFP_36ND9GA-160x90.jpeg 160w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/108072174-1733432641152-gettyimages-2186442290-AFP_36ND9GA-768x432.jpeg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/108072174-1733432641152-gettyimages-2186442290-AFP_36ND9GA-1536x864.jpeg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/108072174-1733432641152-gettyimages-2186442290-AFP_36ND9GA.jpeg 1858w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A man shops at a Target store in Chicago on November 26, 2024. Kamil Krzaczynski | AFP | Getty Images</figcaption></figure>



A key economic report coming Wednesday is expected to show that progress has stalled in bringing down the inflation rate, though not so much that the Federal Reserve won’t lower interest rates next week.



The consumer price index, a broad measure of goods and services costs across the U.S. economy, is expected to show a 2.7% 12-month inflation rate for November, which would mark a 0.1 percentage point acceleration from the previous month, according to the Dow Jones consensus.



Excluding food and energy, so-called core inflation is forecast at 3.3%, or unchanged from October. Both measures are projected to show 0.3% monthly increases.



With the Fed targeting annual inflation at 2%, the report will provide more evidence that the high cost of living remains very much a fact of life for U.S. households.



“Looking at these measures, there’s nothing in there that says the inflation dragon has been slain,” said Dan North, senior economist at Allianz Trade Americas. “Inflation is still here, and it doesn’t show any convincing moves towards 2%.”



Along with the read Wednesday on consumer prices, the Bureau of Labor Statistics on Thursday will release its producer price index, a gauge of wholesale prices that is projected to show a 0.2% monthly gain.



<h2 class="wp-block-heading" id="h-halting-progress-but-more-cuts"><a></a>Halting progress, but more cuts</h2>



To be sure, inflation has moved down considerably from its CPI cycle peak around 9% in June 2022. However, the cumulative impact of price increases has been a burden to consumers, particularly those at the lower end of the wage scale. Core CPI has been drifting higher since July after showing a steady series of declines.



Still, traders in futures markets are placing huge odds that policymakers again will cut their benchmark short-term borrowing rate by a quarter of a percentage point when the Federal Open Market Committee concludes its meeting Dec. 18. Odds of a cut were near 88% on Tuesday morning, according to the CME Group’s FedWatch measure.



“When the market is locked in like where it is today, the Fed doesn’t want to make a big surprise,” North said. “So unless something has skyrocketed that we haven’t foreseen, I’m pretty sure the Fed is on a lock here.”



The CPI increase for November likely came from a few key areas, according to Goldman Sachs.



Car prices are expected to show a 2% monthly increase, while air fares are seen as 1% higher, the firm’s economists projected in a note. In addition, the nettlesome increase in auto insurance is likely to continue, rising 0.5% in November after posting a 14% increase over the past year, Goldman estimated.



<h2 class="wp-block-heading"><a></a>More trouble ahead</h2>



While the firm sees “further disinflation in the pipeline over the next year” from easing in the autos and housing rental categories, as well as softening in the labor markets, it also worries that President-elect Donald Trump’s planned tariffs could keep inflation elevated in 2025.



Goldman projects core CPI inflation will soften, but just to 2.7% next year, while the Fed’s target inflation gauge, the personal consumption expenditures price index, will move to 2.4% on the core reading from its most recent 2.8% level.



With inflation projected to run well above 2% and macro economic growth still running near 3%, this wouldn’t normally be an environment in which the Fed would be cutting. The Fed uses higher interest rates to curb demand, which theoretically would force businesses to lower prices.



Markets expect the Fed to skip the January meeting then possibly cut again in March. From there, market pricing is for only one or at most two cuts through the rest of 2025.



“Two percent to me doesn’t mean just touching 2% and bouncing along. It means hitting 2% for a continuous, foreseeable future, and none of that is evident in any of those reports,” North said. “You don’t really want to cut in that environment.”

108072174-1733432641152-gettyimages-2186442290-AFP_36ND9GA

The CPI report Wednesday is expected to show that progress on inflation has hit a wall

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<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="542" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/MWJNRTIKPBIWTA3IJGUOFSGGVQ-820x542.jpg" alt="" class="wp-image-564438" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/MWJNRTIKPBIWTA3IJGUOFSGGVQ-820x542.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/MWJNRTIKPBIWTA3IJGUOFSGGVQ-300x198.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/MWJNRTIKPBIWTA3IJGUOFSGGVQ-136x90.jpg 136w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/MWJNRTIKPBIWTA3IJGUOFSGGVQ-768x508.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/MWJNRTIKPBIWTA3IJGUOFSGGVQ-1536x1016.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/MWJNRTIKPBIWTA3IJGUOFSGGVQ-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Locals walk past barricades that were used by protesters after the ruling Frelimo party was declared the winner of this month&#8217;s disputed election, in Maputo, Mozambique, October 25, 2024. REUTERS/Siphiwe Sibeko/File Photo</figcaption></figure>



JOHANNESBURG, Dec 10 (Reuters) &#8211; South32 has withdrawn its output forecast for its Mozal Aluminium smelter in Mozambique amid post-election civil unrest, the Australian company said on Tuesday.



October&#8217;s disputed election results sparked protests from opposition supporters and there has been escalating violence since.



South32, which has a 63.7% stake in the Mozal Aluminium smelter, said the unrest had led to road blockages that have hampered the delivery of raw materials to the plant.



It had previously estimated output of 360 kilotonnes from the smelter this fiscal year. The project contributed about 28% of South32&#8217;s total aluminium output in fiscal 2024.



South African mining companies that ship minerals including chrome through the port of Maputo in Mozambique have also been hit by the unrest, which has on some days led to the closure of the main border between the neighbouring countries.



South African companies have grown increasingly reliant on routing cargo via the Maputo port as state-owned logistics group Transnet struggles to provide adequate freight rail and port services.



A spokesperson for miner Tharisa, which ships chrome via Maputo, told Reuters that the company had been affected by the latest border closure.



&#8220;It&#8217;s a significant amount of trucks that we have on the road,&#8221; said Ilja Graulich, adding that Tharisa may consider declaring a force majeure to its customers if the latest border closure is prolonged.



(Reporting by Felix Njini in Johannesburg and Sherin Sunny in Bengaluru. Editing by Savio D&#8217;Souza and Mark Potter)

Mozambique’s ruling party retains power in contested election

Mozambique’s post-election protests hit South32 plant, chrome exports

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="728" height="487" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/rand2.jpg" alt="" class="wp-image-536645" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/rand2.jpg 728w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/rand2-300x201.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/rand2-135x90.jpg 135w" sizes="auto, (max-width: 728px) 100vw, 728px" /><figcaption class="wp-element-caption">South African bank notes featuring an image of former South African President Nelson Mandela are displayed at an office in Johannesburg, File. REUTERS/Siphiwe Sibeko</figcaption></figure>



JOHANNESBURG, Dec 10 (Reuters)&nbsp;&#8211;&nbsp;South Africa&#8217;s rand softened early on Tuesday, at the start of a day packed with local economic data releases.



At 0626 GMT, the rand traded at 17.81 against the U.S. dollar, about 0.2% weaker than Monday&#8217;s close.



South Africa-focussed investors will look to October&#8217;s mining production data at 0930 GMT and the manufacturing output figures for the same month at 1100 GMT.



Although the releases will not be market-moving individually, together they are important indicators of economic performance, analysts said.



Also on the investors&#8217; radars will be November&#8217;s Business Confidence Index, due at 0930 GMT, for signs of private sector sentiment towards Africa&#8217;s most industrialised economy.



South Africa&#8217;s benchmark 2030 government bond was little changed in early deals, with the yield at 8.895%.



(Reporting by Tannur Anders; Editing by Sumana Nandy)

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South Africa inflation rises less than expected, helped by food

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