Markets have hung their hopes on the upcoming 2019 election and the avoidance of a blowout at troubled state-owned utility Eskom as potential reasons for optimism in South Africa, but without a monumental shift in mindset, or an end to the factionalism that has increasingly defined the executive and the ANC, both reform and growth will remain elusive.
How do telecom operators and governments shut down an entire country’s connectivity? In Africa, where is the risk highest in 2019? And, what is the commercial and economic impact of the shutdowns? EXX Africa's Robert Besseling provides the analysis.
The long-term investment potential in South Africa and the continent as a whole remains vast, but African fixed-income remains vulnerable to global factors, which forces investors to limit their exposure to asset classes that can withstand tumultuous periods, says Simon Howie, Co-Head of SA and Africa Fixed Income at Investec Asset Management, in an interview with Bonds & Loans.
Sub-Saharan Africa has progressed in strides over the past two decades, but rapid debt accumulation, political instability and impact of global market volatility has led to souring near-term sentiment on the region. Bonds & Loans discussed these and other topics with Darias Jonker, Director for Southern Africa at the Eurasia Group.
In an exclusive interview with Bonds & Loans, Joe Delvaux, Senior Fund Manager at Duet Asset Management, delves into frontier markets, assessing their performance in 2018, providing insight into investor sentiment on broader EM assets, and takes a glimpse into what 2019 might bring.
Gardner Rusike, Sovereign Analyst at S&P Global, offers a brief outlook assessment of Africa’s largest markets and examines the challenges and opportunities facing the continent in 2019.
As Gabon is the fifth largest oil producer in sub-Saharan Africa, the health of its economy is tied to its hydrocarbons industry. But since the 2014 oil crash, the legislation currently governing the sector has been wholly unsuitable. Now, the government is hoping to woo international oil companies (IOCs) by revising the code; but the President’s recent illness, along with a failed coup attempt this week, are halting legislative progress, and the industry’s prospects in the African country remain hazy.
Following the far-reaching state-capture allegations two years ago, many of South Africa’s state-owned companies continue to make the headlines for all the wrong reasons. Aubrey Matlabe, Group Treasurer for Airport Company South Africa (ACSA) tells Bonds & Loans about how the organisation has managed to duck this trend, and dives deeper into the company’s current funding plans, its bid for further investor diversification, and regulatory reform.
12 Dec 2018
Nedbank and ABSA Bank were instrumental in helping Enel’s Green Power Division secure ZAR14bn financing for 5 wind farm projects across the country, enhancing the deal with innovative features including a tailored shareholder structure and cross-collateralization between the sub-portfolios.
Moving forward with plans to swap its debt from local currency into dollars, Nigeria’s Federal Government successfully placed close to USD3bn in international bond markets through a widely subscribed issuance in November that saw roughly three times that amount in demand from investors. But analysts are concerned that a confluence of factors – declining oil prices, persistently poor revenue generation, slowness to reform and an increasingly volatile political environment – could arrest the optimism and capital markets momentum generated by the sale.
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