Africa Business Briefs

ANC to study greater state mining control
DURBAN – South Africa’s ruling ANC agreed to explore greater state control of the mining sector, but made no shift in economic policy at one of the party’s biggest meetings in years, President Jacob Zuma said on Friday. Zuma has been under pressure on nationalisation from union allies and from the youth wing of his African National Congress so the move to study taking over mines could be an attempt to mend fences within the governing coalition.
But no decision will be taken before 2012 at the earliest and the party separately resisted pressure from left-wing allies for measures to weaken the rand currency at its National General Council (NGC) meeting. Zuma said studying nationalisation had become an issue for the party as a whole after being proposed by the youth wing.
‘There is no policy change or shift coming from the NGC with regards to our economic policies. There should be no confusion,’ Zuma told the closing ceremony of the meeting in the eastern port city of Durban.

Absa to look at AA in rugbyJOHANNESBURG – Absa and the Freedom Front Plus (FF Plus) will soon hold talks in an effort to correct ‘the warped effect of affirmative action’ on rugby, the party said on Thursday. ‘[This will] make way for merit, sport development and the correction of the warped effect of affirmative action on especially whites, but also other minorities,’ said FF Plus parliamentary spokesperson on sport, Anton Alberts. Alberts on Thursday held follow-up talks with Absa’s deputy chief executive, Louis von Zeuner, about the ‘serious feeling amongst minorities’, especially whites, that they were increasingly being marginalised. ‘An undertaking was given that the issue will seriously be looked at in the forthcoming couple of weeks.’ Among the proposals the FF Plus would make to Absa were: appointing white graduates who couldn’t find work due to affirmative action; and establishing an ‘entrepreneurial platform’ to help white and brown entrepreneurs. ‘Absa has indicated that they find such a discussion acceptable in principle in order for constructive solutions to be found for South Africa’s challenges,’ Alberts said.
Algeria denies pressuring Orascom ALGIERS – Algeria’s telecommunications minister on Thursday denied applying pressure on the local unit of Egypt’s Orascom Telecom , saying the state’s acquisition of the business was in accordance with the law. Orascom Telecom’s owners agreed to sell the lucrative Djezzy unit to the Algerian state after it was hit by back-tax demands and the government blocked a deal to sell Djezzy to South Africa’s MTN . Naguib Sawiris, Orascom Telecom chairman, accused the Algerian authorities of cracking down on Djezzy because they saw it as too successful and profitable. Asked by reporters to comment on that allegation, Telecommunications Minister Moussa Benhamadi said: ‘There is no pressure. We want to preserve Djezzy because it generates wealth like other Algerian and foreign companies operating here. Orascom has expressed its willingness to sell. We need to implement the law. Algerian law has provided guarantees for Djezzy since the launch of its operations and made it possible for it to have 15 million customers.’Kwacha seen softer by end of 2010JOHANNESBURG – The Zambian kwacha is expected to soften further against the dollar by the end of this year, in response to a possible economic slowdown in key copper-buyer China, a Reuters poll has showed. At current levels of 4 820 the kwacha is down by 3,6 per cent from its 2009 close of 4 631 against the dollar. The currency has however gained about eight per cent in the past three months mainly due to a rise in copper prices since hitting this year’s low of 5 280 early in June. Policymakers have welcomed the currency’s recent gains, saying this would help the southern Africa country reach its target of 8,0 per cent inflation by year-end. A Reuters poll of ten analysts showed the median consensus was for the kwacha to end the year at 5 000 to the dollar.
Ghana keeps rate on holdACCRA – The Bank of Ghana’s Monetary Policy Committee held the prime policy rate at 13,5 per cent, the bank’s governor said on Friday of a move that could signal an end to a ten-month monetary easing cycle. The decision was in line with analyst expectations that looming inflationary pressures in the West African economy could lead the bank to pause after cutting some 500 points from the key rate since November 2009. ‘The market is likely to focus on this unchanged decision as most likely signalling the end of this interest rate easing cycle in Ghana,’ said Razia Khan at Standard Chartered. Ghana’s inflation has slowed for 14 months in a row to 9,44 per cent, a trend that paved the way for the string of rate cuts.
Botswana GDP shrinksJOHANNESBURG – Botswana’s gross domestic product (GDP) shrank 8,4 per cent in the April-June quarter from three months earlier, led by the key mining industry in the diamond-producing country, official data showed on Friday. On a year-on-year basis, GDP rose 6,5 per cent, the data showed.
Kenya leaves rate unchangedNAIROBI – Kenya’s Monetary Policy Committee on Thursday left the key central bank rate (CBR) unchanged at 6,0 per cent, in line with market expectations. ‘In view of the fundamentals the committee decided to hold the CBR at its current level of six per cent to consolidate the gains in this monetary policy stance,’ a statement by central bank Governor Njuguna Ndung’u said. ‘The committee’s analysis of data available and market feedback revealed that the perceptions of growth are positive while inflation and exchange rate remain stable.’
Zimbabwe to grow at 8,1%HARARE – Zimbabwe’s Finance Minister Tendai Biti said the economy will grow by 8,1 per cent this year, up from a revised projection of 5,4 per cent due to a revival in the agriculture sector, state media reported on Friday. ‘I am pleased to advise a major rebound in the second half of the year. Growth projections for December 2010 would be 8,1 per cent because of a serious rebound in agriculture,’ Biti was quoted as saying by the state-owned Herald newspaper. Biti initially projected that the economy would grow by 7, 7 per cent this year before reviewing downwards the figure to 5,4 per cent in July, saying the economy was fragile.