New article posted below titled, “Failings of the Fourth Estate!”
1) An appropriations bill to keep the government open must go on the floor this Monday if it is to be passed and signed by the president to avoid government shut down this Friday.
2) The policy of South Africa appropriating the private property of white people, without any compensation, is driving South Africa’s economy downwards. This policy has been tried with other African nations with the devastating results of their educated white people fleeing, leaving no one knowledgeable in running the businesses. South Africa is also experiencing the beginnings of ‘brain drain’. With fears of South Africa becoming a failed state, and the threat of a socialist economy, investment is declining with the economy now static while its bond rating is now junk.
3) Representative Ocasio-Cortez’s proposal ‘Green New Deal’ is getting cool reception even from members of the Democratic party over the feasibility of its proposals. Plan makes no mention of how it would achieve its goals, but does raise fears of massive debt while also doing huge damage to manufacturing sector of the economy. One congressman ask why anyone would want to make America into another Venezuela. The Green New Deal looks like it will be a major topic in the 2020 election.
4) 8 FEB 19 Stock market closings:
Dow 25,106.33 down 63.20 Nasdaq 7,298.20 up 9.85 S&P 500 2,707.88 up 1.83
Two of Africa’s biggest economies have officially exited recession. In the second quarter of 2017, Nigeria’s economy improved by 0.55%, a large part attributed to Nigeria’s growing agri sector (agriculture); as well as Nigeria’s oil production stabilizing again.
South Africa economy grew by 2.5% also attributed by their economy’s agri sector also. Nigeria for the past 25 years had not been in a recession, so when the country contracted this past year; it took many people by surprise, while in South Africa many economic factors played into its recession, especially from the finance sector and government interference tailgaiting corruption scandals. -SB
*The National Bureau of Statistics of Nigeria & South Africa provided current statistical data*
Nigeria reclaimed its numero uno status as the biggest economy in Africa again, last week. The IMF indicated that Nigeria’s GDP contracted to $415 billion, while #2 runner up South Africa had $280 billion and rounding off #3 was Egypt, (which data has not come out yet when writing this piece).
The International Monetary Fund (IMF) also indicated Nigeria should be out of their recession by early 2017. Nigeria has seen recession before; during 1982-1984 when current Nigerian President Muhammadu Buhari was military head of state then, and in 1991 when Ibrahim Babangida was also head of state at the time. -SB
South Africa has been hit the hardest from the fall out of Great Britain leaving the European Union. According to Moody’s, the international rating agency, South Africa capital short term, sees investors capital outflowing. Their exposure of global capital markets and investors pouring out cash from the country makes S. Africa very vulnerable. South Africa relies on capital going into the country to fund municipal projects and other government projects.
S. Africa currency underperformed after the Brexit vote in Sub Saharan Africa. South Africa depends on investors money to fund governmental projects and other national resources. -SB
Nigerian bonds are up over 7% this year alone. In October Naira bonds beat the US stock market over 24% according to data provided by Standard & Poors report, first reported by Channels Tv online.
Nigerian bonds have beaten other African bonds in yield, surpassing South Africa and Kenyan bonds collectively. Kenyan and South African bonds have returned negatively in the red by 13%, while Naira bonds have gained a respective positive 7%.-SB
*( reporting & data provided by Channels Tv & S&P index)*
The emerging BRICS Nations (China, Russia, Brazil, South Africa and India) have set out to start their own BRICS Emerging Nations Development Bank. The BRICS countries represent approx forty percent (%) of the global population at hand.
The BRICS bank will have $100 billion dollars devoted to each countries development and expansion. The central location for the bank will be in Shanghai, China. The bank is speculated to be launched at the end of the year, 2015.-SB
Part 2 of the interview with former Ambassador to Nigeria, Ambassador John Campbell. Discussing more in depth on the political, economic, financial situations in Nigeria and South Africa. As well as sending a keen and positive message to Millennials all over the world about education and success.
Former Ambassador to Nigeria during President George W. Bush Administration (2004-2007). Gives us his take on the Nigerian Elections, Nigerian Candidates President Goodluck Jonathan (PDP) & Opposition candidate General Muhammadu Buhari (APC). South African governance Nigerian & South African Millennials. Job creation in Nigeria & South Africa also words of wisdom on how global and international Millennials can succeed in their careers and in life. -SB- EFR.Tv
*(pic above)Konga, an e-commerce site, is a Nigerian tech pioneer. (Reuters/Akintunde Akinleye)
There’s too much money in Nairobi.
That’s one way to explain why some venture capitalists are setting their sights elsewhere.
Largely off the back of Mpesa, the hugely successful mobile money-transfer system, the Kenyan capital has gained a reputation for technological innovation—and with it an influx of no-strings (or few-strings) development funding that has crowded out some of the private investment searching for tech startups to finance.
Now investors are looking to the other side of the African continent for results. Nigeria, with nearly 200 million people, a growing economy, and no shortage of local problems, stands out as an option. It’s slowly building up a tech sector of its own. The funding circuit is still small: probably no more than 10 companies investing money, says Kresten Buch, founder of the Nairobi tech accelerator 88mph (which has since expanded to South Africa).
Buch recently started working with Chika Nwobi of seed investment firm Level 5 Labs in Lagos, to become the latest investor to enter Nigeria. The pair have teamed up to start 440ng, a tech accelerator that puts between $20,000 and $100,000 into startups and provides a workspace and mentorship. It graduated its first cohort of nine startups this week. (Underscoring the newness of the local tech scene, only two of the nine have founders with prior startup experience.)
The biggest difference between Nigeria and other major African economies is its sheer size. With roughly four times as many people as Kenya or South Africa, Nigeria is big enough to reward products and services that are domestic in nature. “When I was investing in Kenya and in South Africa, it was very hard to find businesses in those markets where the opportunity is big enough for them to stay in that market. Nigeria has parallels to the US market, where you can say, ‘Let’s just take the US, even if we stay there, we will become a very big company,’” says Buch.
The first set of companies that are growing up in Nigeria, says Nwobi, are based on proven models from the West: things like travel, e-commerce, jobs, and deals. “But now I think, what I’m seeing with 440ng, is more people trying to solve more local problems.”
One example of that is Obiwezy, a venue for selling used smartphones. Nigeria is primarily a pre-paid market, where customers pay the full cost of a handset up front. That puts most high-end devices out of reach for all but the very rich. But the aspiration to own a high-end Apple or Samsung handset remains, as it does elsewhere in the world. Obiwezy’s founders figure that a secondhand market—with warranties—is one way to sate that demand. They have tied up with MTN, a large telco, to offer the service.
Nigeria still has a big hole where investors willing to put in between $100,000 and $1 million should be, says Buch. For now, those investors are ensconced in Nairobi. But Buch suggests that will change as Nigeria’s companies grow larger, signaling opportunity to deeper-pocketed investors looking for returns. “We want to create successful companies. I don’t want to think, ‘Is this helping some poor farmer in a rural area?’ I want to create a big, successful company that will create the next wave of entrepreneurs,” Buch says. “Making a profit is a signal that we’re creating value.”