🔅 Nigeria's Presidential Yacht: A Luxury or a Necessity?
Plus, Kenya/Rwanda Ditch Visas for All Africans & S. Africa's Treasury is Struggling
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From "King of Crypto" to Courtroom Convict: The Rise and Fall of Sam Bankman-Fried | Remember when Sam Bankman-Fried was on top of the world as the "King of Crypto"? Well, that title has been stripped away as he was found guilty of fraud and money laundering after his firm, FTX, went bankrupt. It looks like his lavish lifestyle and political donations were funded by $8 billion in missing customer funds. Bankman-Fried's sentencing is set for March 2024, and he could be facing 110 years in jail. Bankman-Fried is still maintaining his innocence and plans to fight the charges.
*Data accurate as of the close of markets across the continent
Brief & Bright: Africa's Top Five
Nigeria's Presidential Yacht: A Luxury or a Necessity?
Nigeria's president, Bola Tinubu, promised to cut down on unnecessary spending when he took office in May. But it seems like he may have missed his own memo, because he recently proposed buying a $6 million yacht for himself. Needless to say, citizens were not impressed, and the lower chamber of parliament rejected the idea. Instead, they decided to put the money towards something more important: doubling the student loan budget. It's hard to justify splurging on a yacht when the country is facing a major economic crisis. The budget also includes money for fancy cars and a new presidential office. Oh, and let's not forget the $15 million for the presidential air fleet.
Kenya & Rwanda to Ditch Visas for All African Visitors
Attention all African travellers: Kenya & Rwanda are rolling out the welcome mat for you! In Kenya, President William Ruto announced that by the end of the year, no African will need a visa to visit Kenya. Until then, only a handful of other African countries had this policy (Seychelles, The Gambia and Benin, in case you were wondering). Kenya’s move is a big win for business, says Ruto, as it will make it easier for entrepreneurs and businesspeople to travel. A few days after his announcement, President Kagame announced that Rwanda was also doing away with visa requirements: “Any African, can get on a plane to Rwanda whenever they wish and they will not pay a thing to enter our country. We should not lose sight of our own continental market,” he said, “Africans are the future of global tourism as our middle class continues to grow at a fast pace in the decades to come.” Visa-free travel has been a goal of the AU since 2016, and although significant bi- and multi-lateral steps have been made, overall progress on travelling without a visa has been slow.
South Africa's Tax Troubles: Will Ramaphosa Make the Cut?
South Africa's economy is about as lively as a tortoise on a hot day, and that's bad news for President Cyril Ramaphosa and his governing party, the African National Congress. With a tough election coming up, the government is scrambling to make up for a lack of tax revenue, thanks to things like power outages and inefficient state-run companies. Enoch Godongwana, the finance minister, has warned that tough decisions will have to be made to "review and reconfigure" the size and structure of the government. In other words, someone's getting laid off. And with foreign investors not exactly lining up to lend money to South Africa, the government is turning to its own citizens for help in the form of tax hikes. But with polls showing support for the ANC dropping below 50% ahead of next year's general election, it's clear that the people aren't too thrilled about the current state of things. Looks like Ramaphosa's got his work cut out for him if he wants to turn things around and keep the ANC in power. The contest is viewed as the party’s toughest test in 30 years of South Africa’s democracy. The Treasury is warning that it will collect 3 billion dollars less in taxes than expected this year.
The Great Escape: Guinea's Ex-Leader Recaptured After Prison Break Attempt
It was like a scene from an action movie, but unfortunately for Moussa Dadis Camara, it wasn't a blockbuster. The former leader of Guinea was "kidnapped" from prison by a heavily armed commando in a daring jailbreak attempt. But he's back in jail now. This all went down in Conakry, the capital of Guinea, where there was a lot of gunfire and chaos. The city was basically on lockdown, with armoured vehicles and armed soldiers roaming the streets before he was recaptured. According to his lawyer, Camara had not willingly participated in his escape because he wanted to face court and be found innocent instead: he's on trial for a 2009 attack on civilians who were protesting his military rule and that resulted in 156 deaths and at least 109 rapes. Guinea is currently ruled by a military government after a coup in 2021, and the international community is pressuring them to hand over power to civilians.
Uganda's Exclusive Fuel Deal: Bye Bye, Kenya
Uganda is breaking up with neighbouring Kenya when it comes to fuel. The landlocked country is giving all the rights to supply petroleum products to a global energy trader, Vitol, and ending its reliance on Kenya. Apparently, buying fuel through Kenya has been causing disruptions and high prices for Ugandans. The new deal will have Vitol providing a working capital for the state-owned Uganda National Oil Company (UNOC), which will then sell the products to local gas stations. And to make sure there are no supply hiccups, Vitol and UNOC will keep some "buffer stocks" in Uganda and Tanzania. Parliament still needs to approve the legal changes, but the deal is already signed and sealed.
Food for Thought
"Crawling on your hands and knees has never prevented any person from walking upright."
— Kenyan Proverb