Africa in Business: cocoa, currency and Congo
STORY: Here’s what’s been making the business headlines in sub-Saharan Africa this week.
1. Top cocoa producers Ivory Coast and Ghana do not have the beans available to fulfil deliveries of up to half a million metric tons, two industry sources have said.
The deliveries were pre-sold for around $2,500 per metric ton, about a quarter of current world prices.
That’s after poor harvests in the two West African countries – which produce nearly 60% of the world’s cocoa – led to a large global deficit.
2. World Bank President Ajay Banga said on Tuesday (April 30) that he expects donor countries to meet a request by African leaders to commit record contributions to a low-interest facility for developing nations.
On Monday (April 29), African heads of state called for richer nations to help raised a least $120 million for the International Development Association.
“I think the most important message, actually, is that this is not a handout. This is in the interest of the richer countries. If Africa develops well, Africa has a lot to offer the world.
3. Zimbabwe’s new gold-backed currency came into general circulation on Tuesday amid promises by monetary authorities to keep the money supply in check as they struggle to contain inflation.
Zimbabwe Gold follows the Zimdollar which was dumped earlier this month after it lost more than 70% of its value against the dollar.
4. Kenya Airways said it would suspend flights to Democratic Republic of Congo’s capital Kinshasa from Tuesday after military authorities there failed to release two of its employees from detention despite a court order.
Congo’s military intelligence detained the staff on April 19 because of missing customs data on some valuable cargo. The company said it did not accept the cargo because the shipper’s paperwork was incomplete.
5. And finally, and also in Congo, rebels in the country’s east say they have taken over Rubaya, a key mining town for the smartphone mineral coltan.
Most of Congo’s mineral resources are concentrated in the east where insecurity has worsened since the M23 group staged a major comeback in March 2022.
A Congo army spokesman said they could not confirm if the rebels had seized the town.
