Africa Briefs
SA exits recession as govt eyes 2019 polls
South Africa broke free of recession on Tuesday when it reported GDP growth of 2.2% for the third quarter, the statistics authority said, marking a positive economic trajectory ahead of elections.
President Cyril Ramaphosa, who took power in February, has pledged to revive the listless economy ahead of polls due in May by attracting US$100 billion in foreign investment and by fighting corruption.
The growth, which contrasted sharply with the second quarter's 0.4% contraction, was driven by a surge in the manufacturing, agriculture and transport sectors.
Finance minister Tito Mboweni's mid-term budget statement delivered in October slashed South Africa's 2018 growth forecast from 1.5% to 0.7%.
The country's economic performance is seen as crucial to bolstering the ruling African National Congress' standing ahead of national polls due in May 2019. – Nampa/AFP
Kenya to roll over syndicated loan
Kenya is in talks with lenders to roll over a US$760 mln syndicated loan this fiscal year and lengthen its maturity in order to make debt repayments more manageable, a senior treasury official has said.
The loan, which was initially for two years, was arranged by TDB bank, said Kamau Thugge, the principal secretary at the ministry of finance.
The government aimed to increase the tenor of the loan to seven or 10 years, he said, adding that they had not yet struck an agreement with lenders whom he did not identify.
"We will be going back to the international market to lengthen the maturities of the debts that are falling due. It does not increase our debt," Thugge told reporters.
The government was however considering issuing a new Eurobond at a later date, part of efforts to raise 272 billion shillings in net external financing which is contained in this year's budget. – Nampa/Reuters
South Africa broke free of recession on Tuesday when it reported GDP growth of 2.2% for the third quarter, the statistics authority said, marking a positive economic trajectory ahead of elections.
President Cyril Ramaphosa, who took power in February, has pledged to revive the listless economy ahead of polls due in May by attracting US$100 billion in foreign investment and by fighting corruption.
The growth, which contrasted sharply with the second quarter's 0.4% contraction, was driven by a surge in the manufacturing, agriculture and transport sectors.
Finance minister Tito Mboweni's mid-term budget statement delivered in October slashed South Africa's 2018 growth forecast from 1.5% to 0.7%.
The country's economic performance is seen as crucial to bolstering the ruling African National Congress' standing ahead of national polls due in May 2019. – Nampa/AFP
Kenya to roll over syndicated loan
Kenya is in talks with lenders to roll over a US$760 mln syndicated loan this fiscal year and lengthen its maturity in order to make debt repayments more manageable, a senior treasury official has said.
The loan, which was initially for two years, was arranged by TDB bank, said Kamau Thugge, the principal secretary at the ministry of finance.
The government aimed to increase the tenor of the loan to seven or 10 years, he said, adding that they had not yet struck an agreement with lenders whom he did not identify.
"We will be going back to the international market to lengthen the maturities of the debts that are falling due. It does not increase our debt," Thugge told reporters.
The government was however considering issuing a new Eurobond at a later date, part of efforts to raise 272 billion shillings in net external financing which is contained in this year's budget. – Nampa/Reuters
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