THE LOCAL

While the rest of the world battles a series of economic and political difficulties, Africa is looking forward to a year of growth and increased private equity investment For a general view on the likely global trends in the private equity market in 2018, we need look no further than the developments of the past few years. As growth rates around the world declined, Africa and other emerging markets took on ever-greater significance, and are now pivotal in global private equity activity. According to Quantum Global’s  Africa Investment Index , in 2015, the top five African investment destinations – including Botswana, Morocco, South Africa and Zambia – collectively attracted foreign direct investment of $13.6bn. This was a testament to international players’ growing interest in the continent. It is true that some of the world’s developed markets will return to growth in 2018, and private equity investors will turn their attention towards them once more. However, Africa’s long...

According to the World Bank, year-on-year economic growth is expected to rise to 2.4% this year, an improvement on the two-decade low of 1.3% in 2016. The growth came as the continent’s three biggest economies – Nigeria, South Africa and Angola, which account for over two-thirds of economic output – finally emerged from downturns.  In Nigeria and Angola, the economic climate improved as oil prices strengthened towards the end of the year due to increased demand and supply cuts. Oil prices were expected to average $52 to $53 per barrel in 2017, up 24% from the previous year. Meanwhile, in South Africa, metal commodity prices and agricultural output improved when compared to the previous year. The recovery in metal prices was due to a tightening of supply mainly in China; and the agricultural sector witnessed a revival due to the drought subsiding. “Africa is continuing to recover but the recovery is a little slower than [the 2.6%] we had projected in April,” says Puna...

As 2017 draws to a close, investment experts have been looking into their crystal balls to assess economic prospects for the coming year and the funds and investment trusts that could benefit. While there seems no end to the equity and bond markets’ enduring bull run and many managers remain positive on prospects for 2018, there is increasing concern among other commentators that investors could be in for a nasty shock as markets are in bubble territory. Andrew McHattie, who runs the Investment Trust Newsletter, sums it up:  ‘We still speak to plenty of managers who are positive on the prospects of extracting more value from coordinated global growth, but we are also aware of a growing hubbub of cautionary voices.’ Examples among the investment trust world include Neil Woodford, the manager of the Woodford Patient Capital Trust, who has warned that ‘there are so many lights flashing red that I am losing count’.  Alastair Mundy of Temple Bar Investment Trust agrees, argu...

BEIJING (Reuters) - Growth in China’s manufacturing sector unexpectedly picked up to a four-month high in December as factories cranked up production to meet a surge in new orders, a private business survey showed on Tuesday. The reading suggested surprising resilience in the world’s second-largest economy at the end of the year, though it was somewhat at odds with a much larger official survey on Sunday that pointed to a slight loss of momentum. The Caixin/Markit Manufacturing Purchasing Manager’s Index (PMI) rose to 51.5 last month, from 50.8 in November, and far outpacing economists’ expectations for a slight dip to 50.6. The 50-mark divides expansion from contraction on a monthly basis. Analysts have expected some softening in China’s manufacturing activity as a punishing crackdown on air pollution, a cooling property market and higher borrowing costs all start to weigh on the world’s second-largest economy. That view appeared to be borne out by the official data at the...

This is largely due to a lack of existing infrastructure and regulation allowing for new technologies to leapfrog traditional solutions and for policy frameworks to be implemented in conjunction with new products. This results in stable macroeconomic environments which now sees countries, such as Kenya, as a favourable market for tech investors. Block chain and other decentralized systems are likely to be the next technology to capitalize on this ‘test and learn’ approach as they are well suited to manage data, financial assets and B2B transactions without the need for intermediaries. As a core principle, Block chain improves the quality, reliability and accessibility of data and for this reason, they have the potential to alleviate various issues which can arise when conducting business. Whilst recognising that there will be regional and national level nuances to Blockchain’s implementation, this report highlights how the technology is expected to affect business across...

                            Reuter- Oil prices posted their strongest  opening to a year since 2014 on tuesday,with crude rising to mid 2015 highs amid large anti-gorverment rallies in Iran and ongoing supply cuts led by OPEC and Russia. U.S. West Texas Intermediate (WTI) crude futures CLc1 were at $60.63 a barrel at 0747 GMT, up 21 cents, or 0.4 percent, after hitting $60.74 earlier in the day, the highest since June 2015. Brent crude futures LCOc1, the international benchmark, were at $67.18 a barrel, up 31 cents, or 0.5 percent, after hitting a May 2015 high of $67.29 a barrel earlier in the day. It was the first time since January 2014 that the two crude oil benchmarks opened the year above $60 per barrel. “Growing unrest in Iran set the table for a bullish start to 2018,” the U.S.-based Schork Report said in a note to clients on Tuesday. Anti-government protesters demonstrated in Iran on...

·          Asian indexes closed mostly firmer as markets shrugged off the softer lead from Wall Street ·          The Hang Seng Index touched a 10-year high during the session ·          The dollar index traded near three-month lows ·          Oil prices added to gains after U.S. crude settled above $60 for the first time since mid-2015 in the prior session ·          China Caixin manufacturing PMI topped expectations Asian indexes closed mostly higher in the first trading session of the New Year as markets shrugged off the softer lead from Wall Street. Greater China markets shone, with Hong Kong's benchmark index climbing to its highest levels in more than 10 years in the session while the dollar struggled near its lowest levels in three months. In Sydney, the S&P/A...