Africa Briefs

Kenyan PMI hits record low in October

Private sector activity in Kenya dropped to a record low in October as prolonged political instability exerted a heavy toll on the economy, survey data showed on Friday.

The Markit Stanbic Bank Kenya Purchasing Managers' Index (PMI) for manufacturing and services slumped to 34.4 from 40.9 in September, its lowest since the series began in January 2014.

Output has contracted for six straight months, according to the PMI, and last month's drop was the sharpest since the series began, as output, new orders and employment contracted.

The economy grew 5% in the first half of the year, falling short of its full year forecast of 5.5%. Political uncertainty was compounded by a severe drought in the first quarter. – Nampa/Reuters

Nigeria moves towards border controls on hard currency

A draft law to ease a US dollar shortage by restricting movement of hard currency in and out of Nigeria passed its second parliamentary reading last week.

It would ban individuals and companies from exporting more than US$50 000 in cash without written approval of the central bank, with contraventions punishable by up to two years in prison.

Anyone importing more than US$10 000 would have to disclose the source of and use for the funds.

The bill, which would have to be passed by the upper house to become law, also seeks to extend the time for issuance of capital importation certificates to 72 hours from 48 hours. – Nampa/Reuters

Sudan's GDP seen lower in 2017

Sudan expects economic growth to slow down to 3.5% this year compared to 4% in 2016, with GDP and inflation targets for 2018 still being discussed by government, finance minister Mohamed Othman Rukabi said.

Last month, Rukabi said Sudan's economy was headed for gradual recovery after the US lifted its 20-year-old economic sanctions, opening the way for critical economic reforms and badly needed investment. – Nampa/Reuters

Six central African countries seal deal on free movement

Six countries in central and western Africa have breathed life into long-running plans to allow visa-free movement of people among their nations.

At a summit in the Chadian capital of N'Djamena, the countries formally declared that the scheme had now been ratified by all members.

The agreement gathers six francophone states - Cameroon, Central African Republic, Chad, Equatorial Guinea, Gabon and the Republic of Congo - in a bloc called the Central African Economic and Monetary Community (CEMAC).

The association, set up in 2000, has a potential market of 30 million consumers, many of whom however, live in poverty.

Visa-free access for workers will remove one of the many bureaucratic headaches for transport companies and other providers of cross-border services in the region. – Nampa/AFP

Egypt to keep customs exchange rate at 16 pounds

Egypt will keep its customs exchange rate unchanged at 16 pounds per US dollar for November.

Egypt began setting a monthly fixed customs exchange rate in January, following the flotation of its pound currency last November. It has since set it each month.

The pound has gradually strengthened in recent weeks. – Nampa/Reuters