🔅 Macky Sall to Represent Africa at G20 Summit
Today’s Issue: UK to enter the longest recession on record, a 5G network in Botswana, and Nigeria’s Shell compensation request is rejected… ☕
Markets — Year to Date
🔺 Nigerian SE: 43,968.75 (+2.93%)
🔻 Johannesburg SE: 72,982.80 (-0.99%)
🔻 Ghana SE: 2,449.49 (-12.18%)
🔻 Nairobi SE: 128.09 (-23.05%)
🔻 US S&P 500: 3,992.93 (-16.75%)
🔻 Shanghai Composite: 3,087.29 (-15.01%)
*Data accurate as of close of markets across the continent
Global Markets: The U.K. economy shrank by 0.2% between July and September and is expected to enter a recession by the end of the year. The recession is expected to last two years--the most prolonged recession since records began in the 1920s. The World Cup and Christmas are hoped to boost the service and hospitality industries, but overall, the economy is performing the worst compared to other developed economies and is being squeezed by the worst cost-of-living crisis since the 1950s. Business investments remain below pre-pandemic levels.
South Africa: South Africa has received two climate loans--one for 300 million euros from France and one for 300 million euros from Germany. The loans are to support the country's transition away from coal and towards cleaner energy sources. They carry substantially lower interest rates than South Africa would have had to pay on the open market. South Africa is trying to improve its public finances after a decade of debt accumulation.
CLIMATE CHANGE
Africa to be represented by Macky Sall at COP27
What is Happening?
African Union Chairman and Senegal President Macky Sall is planning to attend the upcoming G20 summit in Bali. He will be representing both the African Union and Senegal, and is advocating for wealthier nations to contribute more cash to help Africa adapt to climate change.
Sall is also working on the Just Energy Transition Partnerships (JETP) deal to secure funding to switch from coal power to clean energy in Senegal.
At the COP27 climate conference in Sharm el-Sheikh, Egypt, representatives from the continent welcomed his inclusion at the G20.
Why Does it Matter?
The G20 summit is an annual meeting of the world's 20 largest economies. Indonesia will host this year's conference on Nov. 15-16.
Africa is the world's most populous continent, with a population of over 1.2 billion people. The continent is also home to some of the world's fastest-growing economies.
However, Africa is also the most vulnerable continent to climate change due to its high poverty levels and dependence on agriculture. Climate change is expected to cause food shortages, increased incidence of disease, and mass displacement of people.
Sall's attendance at the G20 summit in Bali and his work on the JETP deal could help secure the funding that African countries need.
ACROSS THE CONTINENT
Other Headlines
🇳🇬 An appeals court in Milan has rejected Nigeria's $1.092 billion compensation request against Shell and Eni in civil proceedings relating to a $1.3 billion oilfield deal. In July, prosecutors dropped related criminal proceedings. The leading case revolved around an agreement in which Eni and Shell acquired the OPL 245 offshore oilfield in 2011 to settle a long-standing dispute over ownership. Prosecutors alleged that just under $1.1 billion was siphoned to politicians and intermediaries. A lawyer representing Nigeria in the proceedings said on Friday that the country was still deciding whether to appeal the decision at Italy's top administrative court. Documents explaining the reasons behind Friday's court decision will be available in 90 days.
🇧🇼 French telecoms group Orange launched a new 5G network in Botswana on Friday. While prices for 5G-enabled mobile handsets are dropping, they remain out of the reach of most Africans. Instead, Orange is mainly focusing on 5G as a way of providing fast fixed internet access in Africa, where low population density makes fibre-optic infrastructure uneconomical. Orange's Middle East and Africa CEO Jerome Henrique said the company was targeting 5G rollouts in around half a dozen countries in 2023.
AROUND THE WORLD
Is China doing enough to combat the climate crisis?
What is Happening?
According to scientists tracking emissions, the world will output 1% more carbon dioxide this year than last. The rise is attributed to the end of lockdowns and increased travel as people's limits on travel during the pandemic have worn off.
This increase is concerning because it puts the world on track to hit the threshold of limiting warming to 1.5 degrees Celsius (2.7 degrees Fahrenheit) within the next ten years.
This would have significant consequences for the planet, and scientists are urging people to take action to reduce their carbon footprint.
There are some bright spots, however, as China's carbon pollution was down 0.9% this year compared to last. This is a significant decrease, and it's a positive sign of progress in the fight against climate change.
Why it Matters:
Carbon dioxide emissions come from burning fossil fuels, and the goal is to reduce these emissions to slow down the effects of climate change. There are many ways to do this, such as using renewable energy sources, investing in green technology, and changing our transportation and agricultural practices.
It's important to note that China is the world's largest emitter of carbon dioxide, so its decrease in emissions is significant. It also shows that progress is possible, and it's essential to continue working towards a cleaner future.
FOOD FOR THOUGHT
Proverb of the Day
“Don't call the forest that shelters you a jungle.”
— Ghanaian Proverb.