Good morning. Here’s what you need to know to start your day.
-
Zambia’s annual Copper production fell by 5% in 2022
-
YouTube CEO steps down
-
Soaring energy costs could push 141 million into extreme poverty, report says
Story of the Day
Zambia’s President Hakainde Hichilema has commissioned the 34 mega watt CEC Plc solar park in Riverside suburb in Kitwe Zambia. The installation, which has been integrated into the energy company’s network which supplies Mining Companies and Domestic consumers, is the first Solar Park to be added to the network further diversify into renewable energy. “Mr. President, I’m honoured and humbled, that you have allowed us to host you at CEC today. And I speak on behalf of the Board and employee populace when I say that having you this 33MW Solar PV power plant, into which much skill and financial resources have been invested, makes the reward that much more fulfilling”, read an extract of the speech delivered by CEC Plc Managing Director Owen Silavwe on 15th February 2023 to the President in Kitwe. Executive Owen indicated that his company has been on a path to contribute to the country’s generation capacity. Read more
In Local Business News Sponsored by
Zambia’s annual Copper production has dropped by 5% to about 760,000 tons. This trend goes against the New Dawn Administrations target to rump up Copper production to over 3 million tons in 10 years. The drop has been expected after continued delays in resolving production challenges and sourcing for short term funding at both Mopani Copper Mines – MCM and Konkola Copper Mines – KCM to hold down optimum production levels. The 763,287 metric tons of the total copper produced in Zambia in 2022 is a drop from 800,696 tons which was produced in the preceding year 2021. According to a consolidated copper production report obtained by the Zambian Business Times –ZBT and verified by the Chamber of mines, the 2022 copper production has decreased by a whooping 37,409 tonnes in the year 2022. At average international copper prices of $9,000, this is an export opportunity revenue gap or loss of about $340 million in 2022. Read more: Zambian Business Times
President Hakainde Hichilema says government has managed to source funds that will help boost Copper production at Mopani Copper Mines and ease operations. President Hichilema says Mopani is one of the mining firms that will contribute to Government’s determination to increase copper production to 3 million tonnes in ten years . He says Government has also made progress in resolving other pertinent issues surrounding Mopani and Konkola Copper Mines -KCM- which will be unveiled to the public by the end of next month. Read more: ZNBC
Science and Technology Minister Felix Mutati has urged the private sector to take centre stage in international trade and investment in order to contribute towards the country’s economic transformation. Mr. Mutati says government working in partners with private sector is determined to repair, revive and grow the economy . Mr. Mutati was speaking when he officiated at the signing of a Memorandum of Understanding between United States Agency for International Development -USAID-, Africa Trade and Investment programme and the Zambia Association of Manufactures in Lusaka. The Minister stated that the government has played its role of addressing the key constraints that affect the development of the private sector including the local manufacturers, through the creation of the Public Private Dialogue Forum -PPDF. And Minister of Small and Medium Enterprise Development, Elias Mubanga said that Zambia being a member of the African Growth Opportunity Act -AGOA- has witnessed an increase in private sector involvement in exports. Read more: ZNBC
First National Bank (FNB) Zambia has launched an initiative that will provide comprehensive SME support for the sector as the bank aligns itself as a key business growth partner. Speaking at the launch of business growth initiative, FNB Zambia Chief Executive Officer Bydon Longwe said, “We are thrilled to re-introduce ourselves as the growth partner of choice as we work to complement government efforts of fuelling economic diversification through SME support. At FNB, we bank over 13,000 SMEs and have over the years taken time to understand the challenges that this sector faces in order to provide intuitive solutions aimed at fuelling business growth.” Read more: Lusaka Times
Zambia’s President, Hakainde Hichilema, is expected to attend the 36th ordinary session of the Assembly of the African Union in Addis Ababa, Ethiopia, from February 18th to 19th. This meeting is the highest decision-making body for the continent and brings together all African Heads of State and Government and Heads of various institutions in one place. President Hichilema’s attendance at this summit is strategic for Zambia’s economic growth. The country’s Minister of Foreign Affairs and International Cooperation, Stanley Kakubo, stated that the President’s participation in meetings such as the African Union Summit presents an opportunity for Zambia to not only advance and protect her interests at the continental level but also to participate in decision-making processes in key areas such as regional integration, peace and security, good governance, food security, and nutrition. Read more: Lusaka Times
The Zambia Revenue Authority (ZRA) is working on the introduction of mandatory electronic customs bonds on July 1, 2023 to improve management customs clearance. Commissioner general Dingani Banda said under the e-bond system, the application for customs bonds by declarants and guarantors will be submitted, confirmed and approved electronically. Banda said on Wednesday in Lusaka that this would be followed by automated capture of bond utilisation. Read more: Zambia Monitor
In International Business News
Nigeria’s President Muhammadu Buhari on Thursday defended a currency swap that sparked protests and cash shortages, but ordered old, small denomination 200 naira notes to remain in circulation in a bid to ease scarcities. Nigeria has been struggling with a shortage in physical cash since the Central Bank of Nigeria (CBN) began to swap old bills of the local naira currency for new, re-designed ones, leading to a shortfall in banknotes. The scarcity of cash has triggered violent protests in major cities as angry and frustrated bank customers attacked and vandalised banks and blocked roads. The weeks-long cash crisis has intensified days before Nigerians go to the ballot box on February 25 to elect a successor to Buhari who steps down after two terms in office. Read more: Africa News
The African Continental Free Trade Agreement (AfCFTA), billed as the biggest free trade accord in the world in terms of population, gathers 54 out of 55 African countries, with Eritrea the only holdout. Two days of talks under the theme “Acceleration of AfCFTA implementation” open on Saturday. AfCFTA’s plan is to boost intra-African trade by 60 percent by 2034 by eliminating almost all tariffs, creating an economic bloc of 1.3 billion people with a combined gross domestic product of $3.4 trillion. Read more: Africa News
YouTube CEO Susan Wojcicki said Thursday she is “stepping back” from her leadership role at the company after nearly a decade of running the video-sharing platform. In a blog post, Wojcicki said she plans to “start a new chapter focused on my family, health, and personal projects I’m passionate about.” Wojcicki has been involved with YouTube’s parent company Google from its earliest days, when its two founders worked out of her garage in California to build a search engine. She later became Google’s 16th employee and has worked at the company for nearly 25 years. Read more: CNN
The energy crisis triggered by Russia’s war in Ukraine could push 141 million people worldwide into extreme poverty, according to a new report published Thursday in the journal Nature Energy. Researchers from the Netherlands, the United Kingdom, China and the United States modeled the impacts of increased energy prices in 116 countries and found household spending increased up to 4.8% on average, as coal and natural gas prices surged after Russia’s invasion of Ukraine, adding to post-pandemic increases. In low-income countries, the report said poorer households already facing severe food shortages were at greater risk of poverty due to higher energy costs. Households in higher income countries also felt the impact of rising energy prices but were more likely to be able to absorb them into household budgets, the report said. Read more: CNN
Finally, Capital Markets News
In 19 trades recorded yesterday, 11,947 shares were transacted resulting in a turnover of K43,918.20. A share price gain of K0.06 was recorded in Zanaco. Trading activity was also recorded in CEC Zambia and Zambeef as well as CEC Africa on the quoted tier. The LuSE All Share Index (LASI)closed at 7,261.31 points, 0.27% points up from it’s previous close at 7,241.41 points. The market closed on a capitalization of K72,538,851,056.34 including Shoprite Holdings and K37,756,165,616.34 excluding Shoprite Holdings.
Picture of the Day