Category: Uncategorized

Pham Hong Hai-CEO-HSBC Vietnam

Central solutions: In the face of liquidity challenges, states are looking to local banks to help bridge funding gaps

Posted OBG AdminPosted in Uncategorized

The market for government debt is changing across Africa, and in ways that pose risks for local banks as well as for their investors and customers. States are looking to their banks to help bridge funding gaps so they can better ride out the cycle of lower commodity prices and tepid global growth. That means it is harder to raise international funds – such as by issuing dollar-denominated eurobonds – and this has caused a jump in the issuance of domestic currency bonds, of which

Mohammed El Etreby-Chairman-Banque Misr

Mindful balance: Fiscal and monetary discipline puts the country in good stead

Posted OBG AdminPosted in Uncategorized

Côte d’Ivoire’s economy is clearly enjoying strong progress, with the IMF forecasting that real GDP growth will reach 8% in both 2016 and 2017. This trend is partly based on the momentum of a continued rebound effect, after several years of civil unrest came to an end in 2011, with capital still pouring into neglected infrastructure networks. However, prudent fiscal management by the government has also been a factor in helping the country sidestep the kind of debt- and deficit-related problems that have recently been experienced by many other African economies. Monetary & Fiscal Côte d’Ivoire’s steady expansion is largely thanks to its macroeconomic stability,

Sheikh Ahmad Duaij Jaber Al Sabah-Chairman-Commercial Bank of Kuwait

New measures: Recent reforms are likely to improve liquidity

Posted OBG AdminPosted in Uncategorized

Several reforms over the past two years are helping to pave the way for greater liquidity on the Abidjan-based Bourse Régionale des Valeurs Mobilières (BRVM)The bourse has seen its market capitalisation more than double since 2012, but as with many emerging and frontier markets, trading is low and the exchange is dominated by “sit and hold” institutional investors. To address this and expand the base of retail participation in the country’s capital markets, the authorities and brokerages have been rolling out new trading instruments to encourage participation from individual investors in the UEMOA region and abroad. New Tools A host of new tools should improve

Solibra: Food & beverage

Posted OBG AdminPosted in Uncategorized

The Company Established in Côte d’Ivoire approximately 60 years ago, Société de Limonaderies et Brasseries d’Afrique (Solibra) produces and markets beers, soft drinks and mineral water. Solibra, which is part of Castel Group, has four production sites – two plants in Yopougon, one in Bouaflé and one in Treichville – with an installed capacity of 5.5m hl, including 2.4m hl for the beer segment. Solibra has 16 brands and almost 92 products. The competition in the sector has been led by local traders focused on imported beer such as Codis, Bavaria and Heineken. 2013 was the most challenging year for Solibra, as it faced significant

Nhon Luc Ly-CEO-AIA Myanmar; Son Nguyen-Country President-Chubb Life Insurance Myanmar; Daw Zarchi Tin-CEO

In the zone: New industrial areas are attracting fresh investment

Posted OBG AdminPosted in Uncategorized

With a stated goal of having industry account for close to 40% of the country’s economy by 2020, up from 25% currently, the authorities are focusing on the development of new industrial zones to cater to emergent manufacturing capacity. The effort involves revamping existing economic zones and developing new areas to be managed under public-private partnerships. The need to establish sufficient industrial space and improve existing areas has further become a necessity after the country’s civil conflict led to under-investment in some essential economic zones. “The industrial zones have had problems, but they are being solved,” JeanLouis Menudier, president and managing director at textiles and

Nhon Luc Ly-CEO-AIA Myanmar; Son Nguyen-Country President-Chubb Life Insurance Myanmar; Daw Zarchi Tin-CEO

Lights on: Schemes seeking to expand access to electricity are generating opportunities for the private sector

Posted OBG AdminPosted in Uncategorized

Electricity coverage and access rates have improved in Côte d’Ivoire in recent years as a result of renewed investment in distribution networks and a number of financial measures aimed at easing the cost of connection. The government has strongly supported these efforts through flagship initiatives such as the National Rural Electrification Programme (Programme National d’Electrification Rurale, PRONER) and the Electricity For All Programme (Programme Électricité Pour Tous, PEPT). While the push towards greater electrification is generating many business opportunities – as well as competition –

Chaim Zach-Managing Director and CEO-Agric International Technology and Trade; Kabiru Rabiu-Group Executive Director-BUA Group; and Aliyu Abbati Abdulhameed-Managing Director

Cashing in: As the world’s top exporter of cashews, the country stands to benefit from a host of economic opportunities

Posted OBG AdminPosted in Uncategorized

Among its many high-value cash crops, Côte d’Ivoire’s cashew sector stands out as particularly high-potential, with the country reaching record production in 2015, beating India to become the world’s top exporter. Bolstered by rising global demand and strong market prices, the sector is set for another strong year in 2017 as the government ramps up efforts to increase domestic processing and boost value-added production through incentives aimed at attracting new investment. Production Spike Cashew trees are not native to Côte d’Ivoire and were first imported

Pham Hong Hai-CEO-HSBC Vietnam

Further afield: Local limitations are encouraging sector players to look abroad

Posted OBG AdminPosted in Uncategorized

  The ability of Bahrain’s government to maintain its infrastructure development programme and a GDP per capita of nearly $50,000, according to KPMG, should combine to generate ample opportunities for the kingdom’s banks to grow their assets. However, potential sector expansion is limited by the fact that the domestic market, characterised by a small number of blue chip corporates and a modest population of just 1.32m, is a relatively small one, even by GCC standards. One way for banks to counter this problem is to expand through mergers and acquisitions, a method which has been encouraged across the region by regulators keen to see their

Mohammed El Etreby-Chairman-Banque Misr

Reasons for optimism: Despite ratings downgrades, multiple factors promise resilience

Posted OBG AdminPosted in Uncategorized

  The decline in oil prices since the second half of 2014 has focused attention on the liquidity position of the kingdom’s banking sector, and its consequent ability to achieve lending growth. The issue is a regional rather than a purely local one. The prominence of hydrocarbons revenues on the balance sheets of GCC governments means that they are particularly vulnerable to the movements of oil and gas spot prices and futures contracts. The high energy prices of the last decade have been a boon to government planners, allowing them to divert revenues to large infrastructure spending programmes and generous social support frameworks, but the

Chaim Zach-Managing Director and CEO-Agric International Technology and Trade; Kabiru Rabiu-Group Executive Director-BUA Group; and Aliyu Abbati Abdulhameed-Managing Director

Building supply: A new gas terminal is set to meet domestic energy demand

Posted OBG AdminPosted in Uncategorized

  With significant expansion projects in both aluminium and power generation slated for between 2017 and 2020, Bahrain is investing in a new liquefied natural gas (LNG) import terminal that will offer these gas-intensive enterprises greater security of feedstock supply. Although domestic production of natural and associated gas increased by some 3.2% in 2015, imports will enable more rapid expansion of industry and allow the kingdom to serve the water and electricity needs of its growing population. NEW COMPANY: Bahrain’s LNG imports will be managed through a public-private partnership. The Canadian company Teekay LNG Partners will have a 30% stake, the same as nogaholding, the