Star 2023-05-03

Growth in sub-Saharan Africa expected to slow for second consecutive year as ‘big funding freeze’ hits THE WORLD Economic Forum (WEF) has warned of weak economic growth and very high inflation for the sub- Saharan Africa region in 2023 as prospects of a global recession remain evenly balanced. In its Chief Economists Outlook report released yesterday, the WEF said at least 63% of more than 40 chief economists surveyed expected weak economic growth in the sub-Saharan Africa region, while 33% were expecting moderate growth. Growth in sub-Saharan Africa is expected to slow for the second consecutive year to 3.6% as a “big funding squeeze”, tied to the drying up of aid and access to private finance, hits the region. The WEF said that sub-Saharan Africa, Latin America and the Caribbean…

THE EXPECTED increase in the cost of borrowing in South Africa, with another interest rate hike looming, is going to exert further pressure on vehicle buyers in 2023. This comes as the impact of economic stagnation, rising inflation and high interest rates has started to cripple South African consumers’ buying power as new vehicle sales fell for the second consecutive month in April. The Automotive Business Council (Naamsa) said yesterday that the aggregate domestic new vehicle sales in April fell slightly, by 0.2% year-on-year, from 37 195 vehicles sold in April last year to 37 107, reflecting a decline of 88 vehicle units. Domestic new vehicle sales fell 0.6% year-on-year in March – from 50 465 to 50 157 – reflecting a decline of 308…

THE COUNTRY was sent into a frenzy this past weekend as droves of shoppers flocked to Checkers stores just to get their hands on the viral sensation PRIME drink. Last week the retail giant announc- ed that it will be stocking the internet sensation PRIME Hydration drinks at its stores. A bottle of the drink costs R39.99, with Checkers confirmed as the official South African retail partner. Following the launch of the drink, Checkers said: “The launch of PRIME Hydration at Checkers stores across South Africa was met with an overwhelmingly positive response from customers.” With demand being so high for the product around the globe, Checkers spotted the gap in the South African market for the product and said they started negotiations for selling PRIME Hydration in the country…

SOUTH Africa’s manufacturing sector remained in the contractionary territory at the beginning of the second quarter of 2023, in spite of slightly easing from an eight-month low in April. The seasonally adjusted Absa Purchasing Managers’ Index (PMI), released yesterday, rose to 49.8 points in April, from an eight-month low of 48.1 points in March. The latest reading pointed to the third consecutive month of contraction in the country’s manufacturing activity, though the softest in the sequence. Despite the improvement, the index failed to edge back above the neutral 50-point mark, which separates contraction from expansion, as business activity and new sales orders worsened relative to March. The business activity index had a poor start to the second quarter of 2023, edging lower in April to 47.6 index…

RENERGEN plans to commercialise Phase 2 of its helium production in 2026 and has secured several 10- to 15- year off-take agreements with global industrial gas companies for over half of the anticipated production. The balance of the helium was for international spot market sales, the group said yesterday in its first consolidated annual financial report following a transition in the year to February 28, 2023, from an exploration to a production company. Regarding liquefied natural gas (LNG) from Phase 2, Renergen expected to contract most of the production on five to eight-year agreements, servicing the industrial, logistics and gas to power sectors, with the agreements expected to be finalised closer to commissioning, when the group also antici- pated being able to obtain favourable pricing given the scarcity of energy…

MINISTER of Agriculture, Land Reform and Rural Development, Thoko Didiza reiterated yesterday that despite Mangosuthu Buthelezi’s announcement on Friday of Inkosi Thanduyise Mzimela’s withdrawal as the new chairperson of the Ingonyama Trust Board, the de- partment still regarded Mzimela as the chairperson of the trust. Didiza was speaking at the portfolio committee on agriculture, land reform, and rural development briefing held at the National Assembly. “Just to clarify the issue, we have noted the media statement that was made by Inkosi Buthelezi with regard to the consultation which he held with Isilo (King Misuzulu kaZwelithini). “However, there hasn’t been any formal communication to us as indicates anything different than the letter he had written to us. So from where we stand, the chairperson of the Ingonyama Trust board as the…