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issue 593 | 11 May 2025

Africa

Afreximbank sees opportunities in the cotton sector as it hosts partnership’s steering committee

African Export-Import Bank (Afreximbank) recently hosted a two-day meeting of the Steering Committee of the Partenariat pour le Coton (PPC), a global platform established to support transformation and value addition in the cotton-textile-garment (CTG) sector in developing countries. With an initial focus on the C4+ countries (Benin, Burkina Faso, Chad, Mali, and Côte d’Ivoire), PPC aims to drive sustainable transformation and value addition in the CTG sector by enhancing economic returns, creating employment opportunities, and promoting economic, social and environmental sustainability. Delivering the opening remarks at the meeting, held at Afreximbank Headquarters in Cairo from 28 to 29 April, Mrs Kanayo Awani, Executive Vice President for Intra-African Trade and Export Development at Afreximbank, noted that development of the cotton sector presents significant opportunities to enhance economic growth across Africa – contributing between 45% and 60% of GDP and foreign exchange earnings in some countries. However, she highlighted a recent study by the steering committee which revealed that the textile and garment manufacturing sector in some C4+ countries remains at a nascent stage.

Source: Afreximbank

Africa

First-to-file in Africa trade mark filing packages

Timing can play a crucial role in trade mark protection, particularly when deciding on a filing strategy in Africa. While some jurisdictions follow the first-to-use rule, others apply the first-to-file rule. The first-to-file rule applies in several African jurisdictions, where trade mark rights are attained through registration only, not use. This means that the party who applies to register a trade mark first will gain rights to that trade mark, even if another party used it first, making it essential to file and secure registration as early as possible in first-to-file jurisdictions. Failing to do so will not only leave a brand owner vulnerable to third parties registering or using its trade mark, it will also put its business at risk and prevent it from entering a country, or require it to stop using its trade mark there. We are seeing a sharp rise in the need to enforce trade marks across the African continent due to unauthorised use of trade marks by third parties such as distributors, importers and counterfeiters. In first-to-file countries, such enforcement and prevention of counterfeit goods are almost impossible unless a brand owner has adequate registered trade mark rights in place.

Source: ENS

Africa

Minister Sebahizi highlights three key areas of investment to boost digital trade

For Africa to lead in the digital revolution and not lag other continents, prioritising investments in infrastructure and connectivity, regulatory framework harmonisation, and digital skills and innovation will be key, said Rwanda’s Minister of Trade and Industry Prudence Sebahizi. He made the remarks at the opening of the African Continental Free Trade Area (AfCFTA) Digital Trade Forum on 8 May in Lusaka, Zambia. The three-day forum brought together different African heads of state, government officials, digital innovators, regulators, and policymakers to discuss how digital trade can accelerate the implementation of the AfCFTA and the foundational work that needs to be done. Studies indicate that Africa’s digital economy is projected to reach USD180-billion by the end of 2025 and contribute to 5.2% of the continent’s GDP. “This is more than just a forecast, it is a call to action,” said Sebahizi. “The prosperity of our nations depends on seamless connectivity, innovation-driven commerce and equitable access to [the] digital market. By embracing digital trade, we can remove barriers, streamline cross-border transactions, and unlock opportunities for enterprises.”

Source: The New Times

West Africa

ECOWAS launches regional workshop to advance West Africa Regional Digital Integration Project

The Economic Community of West African States (ECOWAS) Commission, in partnership with the World Bank-funded West Africa Regional Digital Integration Project, officially launched a two-day Technical Workshop on Policy Coordination and Knowledge Exchange on Connectivity Market Integration, on 7 May 2025 in Abuja, Nigeria. The workshop convened key actors from ECOWAS member states, telecommunications regulators, regional institutions, development partners, and private sector stakeholders to engage in forward-looking dialogue on improving broadband access and regulatory harmonisation across the region. In her opening remarks, Ms Folake Olagunju, Acting Director of Digital Economy and Post at the ECOWAS Commission, emphasised the importance of aligning national digital agendas with regional objectives as set out in the ECOWAS Digital Sector Development Strategy (2024–2029). She called for greater synergy among member states to bridge the digital divide and promote affordable, inclusive connectivity solutions. “This workshop must move us from coordination to commitment,” Olagunju affirmed.

Source: ECOWAS

West Africa

IMF Executive Board concludes 2025 discussions on common policies of member countries of the West African Economic and Monetary Union

The Executive Board of the International Monetary Fund (IMF) concluded the annual discussions on common policies of member countries of the West African Economic and Monetary Union (WAEMU). The authorities have consented to the publication of the Staff Report prepared for this consultation. Economic growth continues to be strong in the WAEMU, with heterogeneity across countries, while inflation has fallen. Economic growth rose above 6% in 2024, near the average of the past decade, although gaps in per capita income among member countries have continued to widen due to significant variations in economic growth. After rising above target for much of 2024, inflation has also fallen back within its target range since November 2024, due to easing regional food price inflation and an appropriately tight monetary policy. The banking system remains resilient, although it maintains large exposures to regional sovereigns.

Source: IMF

Cabo Verde

IMF Executive Board approves extensions of the ECF arrangement and the RSF arrangement with Cabo Verde

The Executive Board of the International Monetary Fund approved the Cabo Verdean authorities’ request for an extension of the country’s Extended Credit Facility (ECF) arrangement until 15 September 2025, and for an extension of the Resilience and Sustainability Facility (RSF) arrangement until 11 September 2025, to allow additional time for completing the sixth ECF and third RSF reviews. The three-year ECF arrangement was approved by the IMF’s Executive Board on 15 June 2022, with access of SDR45.03-million (190% of quota). The 18-month RSF arrangement was approved on 11 December 2023, with access of SDR23.7-million (100% of quota). The executive board’s decision was taken on a lapse-of-time basis.

Source: IMF

Kenya

Kenya’s private sector growth hits 27-month high in April, PMI shows

Kenya’s private sector growth accelerated to a 27-month high in April, driven by robust sales volumes and solid business activity, according to the Stanbic Bank Kenya Purchasing Managers’ Index (PMI) released recently. The PMI rose to 52.0 in April, up from 51.7 in March, marking its highest level since January 2023. A reading above 50.0 indicates growth in business activity, while below 50.0 signals contraction. Strengthening customer demand led to the fastest rise in new orders since February 2022, prompting businesses to expand output and increase purchasing activities. “The Kenya PMIs for April reveal a private sector expanding robustly, and at the fastest pace in over two years,” said Christopher Legilisho, Economist at Stanbic Bank. Job creation quickened as firms sought to ease workload pressures, with employment growth reaching its strongest level in nearly a year. However, hiring was primarily focused on temporary staff. Cost pressures picked up amid rising demand, but inflation remained modest compared to historical trends. Input costs rose to a three-month high, driven by supply shortfalls and increased taxation, yet the rate of inflation was below the long-term average. Despite the positive momentum, business expectations remained among the weakest in the survey’s history, with only 5% of firms anticipating output growth over the next 12 months.

Source: Reuters

Nigeria

Nigeria launches e-visa, digital systems to streamline immigration process

The Nigerian government has officially introduced two new digital systems aimed at improving the efficiency of its immigration processes. Launched by the Federal Ministry of Interior and the Nigeria Immigration Service (NIS), the e-Visa Application System and the Automated Landing and Exit Card were rolled out on 1 May 2025. A.S. Akinlabi, the Public Relations Officer for NIS, explained that these new initiatives align with the Renewed Hope Agenda of President Bola Ahmed Tinubu, which focuses on enhancing border control, simplifying travel procedures, and boosting national security. The newly implemented e-visa system replaces the traditional visa on arrival process and is now fully operational online. Under the revised visa policy, all visa applications are processed entirely online and are expected to be completed within 48 hours. Thirteen different visa categories are available under the Short Visit Visa, and approved visas are delivered electronically, complete with QR codes. In addition to the e-visa, NIS has launched an Automated Landing and Exit Card system. This system replaces the manual embarkation and disembarkation cards, and it requires all inbound passengers (except Nigerian citizens) to complete an online landing card before boarding. Outbound passengers are also required to complete an exit card before departure.

Source: The Guardian

Rwanda

Rwanda’s five-year plan to accelerate fintech adoption

Rwanda recently launched a new national strategy with a target to create 7 500 new jobs and attract USD200-million (approximately RWF234-billion) in investments by 2029, as the country pushes to position itself as a regional financial technology (fintech) hub. Under the plan, the government targets to increase fintech adoption to 80%, almost double the current rates, grow the number of fintech companies by 30%, and support the development of innovative financial solutions aimed at increasing access to digital financial services across the country. Paula Musoni, the Minister of Information Communication Technology and Innovation maintained that the development is part of Rwanda’s broader efforts to promote financial inclusion and support economic development through technology. “This strategy represents not just a policy document, but our country’s commitment to positioning Rwanda as a leading fintech hub in Africa,” she said. From just three registered fintech companies in 2014, Musoni pointed out that Rwanda is now host to over 75 active fintech players, serving more than three million users across the country, a growth that has contributed to the country’s financial inclusion rate which stood at 96% by end of 2024.

Source: The New Times

Tanzania

Tanzania's central bank bans use of foreign currency for local transactions

Tanzania's central bank said in a statement that it has prohibited the use of foreign currency for local transactions and payments. The Bank of Tanzania (BoT) said under regulations issued by the government in 2025, pricing and payment for all goods and services within the country must be made in Tanzanian shillings. The statement, signed by BoT Governor Emmanuel Tutuba, said the regulations also specify transactions that are permitted to be conducted in foreign currency. It said foreigners, including tourists, are required to exchange foreign currency at commercial banks or exchange bureaus in Tanzania. They can still pay with bank cards or other digital methods.

Source: Xinhua

Tanzania / Malawi

Tanzania, Malawi end trade standoff after diplomatic talks

Tanzania and Malawi have ended their trade standoff after bilateral discussions that reaffirmed a shared commitment to strengthening trade, fostering economic cooperation, and resolving existing issues. A jointly-signed communique issued recently after a bilateral meeting between senior officials of the two countries said they agreed to lift trade restrictions, pledging to finalise legal frameworks required for the signing of the Simplified Trade Regime Agreement (STRA). Both delegations reaffirmed their commitment to finalising the relevant legal framework for the STRA and to implementing it upon completion of domestic legal processes by 30 May, said the communique signed by Tanzanian Minister of Foreign Affairs and East African Cooperation Mahmoud Thabit Kombo and Malawian Minister of Foreign Affairs Nancy Gladys Tembo. According to the communique, Malawi appreciated Tanzania’s decision to lift the import ban on plant and plant products from Malawi, which Tanzania imposed on 23 April. In reciprocity, the government of Malawi committed to issuing an administrative instrument to the relevant authorities to facilitate imports and exports between the two countries, with effect from the date of the communique, said the communique.

Source: Xinhua

Uganda

The proper placement of interest rate clauses in lending documents: Balancing clarity, compliance, and borrower protections

In lending transactions, the placement of the interest rate clause within loan and security documents is an important decision that affects legal clarity, enforceability, borrower protections, and market practice. While the loan or facility agreement is the natural home for loan terms like the interest rate, the Mortgage Act and the Mortgage Regulations suggest including this clause in mortgage deeds, with additional protections for mortgagors that are absent in loan agreements. Judicial perspectives, such as the erudite Justice Stephen Mubiru’s reasoning in Muwanga v Byamukama, emphasise the value of maintaining distinct roles for loan and security documents. This article proposes a balanced approach, prioritising the loan agreement for loan terms, using cross-referencing in the mortgage deed to comply with statutory and regulatory expectations, and acknowledging the borrower protections that influence drafting choices, ensuring clarity without disrupting market practices.

Source: ENS

Uganda / Tanzania

Uganda, Tanzania top EAC in economic growth rates

Uganda and Tanzania outperform their East African peers in economic performance in 2024, recording increased growth rates buoyed by improved activity in infrastructure, industrial and oil sectors. Data from Kenya’s Economic Survey (2025) released recently shows that the rest of the East African Community (EAC) member states posted declines in economic growth during the year, signalling economies weighed down by various domestic and external shocks such as debt repayment. The report says that, overall, five EAC partners, Kenya, Uganda, Tanzania, Burundi and Rwanda, registered marginal growth in GDP – 5.4%, from 5.3% in 2023. The marginal growth in the bloc’s overall economic performance was mainly driven by robust performance in agriculture, services, and manufacturing sectors, and increased foreign direct investment. The EAC also benefited from favourable global commodity prices and a rebound in tourism, contributing to the overall economic expansion, according to the report.

Source: The EastAfrican

Zambia

Statement by IMF Deputy Managing Director Nigel Clarke at the conclusion of his visit to Zambia

Mr Nigel Clarke, Deputy Managing Director of the International Monetary Fund (IMF), issued the following statement, in part, at the conclusion of his visit to Zambia from 4–6 May: “Progress on Zambia’s economic reform programme supported by the IMF’s Extended Credit Facility has been strong, despite repeated external shocks. Since the programme was approved in August 2022 and augmented in 2024, it has provided critical support – both financial and policy-based – and helped to anchor Zambia’s landmark debt restructuring under the G20 Common Framework and navigate last year’s severe drought. Zambia’s remarkable progress has centered on restoring macroeconomic stability, including fiscal and debt sustainability, and implementing reforms. Notable reforms include the removal of fuel subsidies, strengthened debt management, and the roll-out of a reformed agricultural input subsidy – the e-voucher system – which increased competition in input delivery, reduced costs, and supported job creation.”

Source: IMF

Zambia

Zambia signs agreement with Indian bank on debt restructuring

Zambia has recently signed a bilateral agreement with the Export-Import Bank of India (Exim Bank) for the restructuring of its debt. The agreement covers about USD320-million of central government debt and an additional USD15-million owed by ZESCO Limited, the state-owned power utility. Minister of Finance and National Planning Situmbeko Musokotwane said the signing marks a milestone in Zambia’s ongoing debt restructuring efforts under the G20 Common Framework, which aims to restore debt sustainability and create fiscal space for national development. He said that the debt has been restructured on favourable terms, as outlined in the memorandum of understanding under the G20 Common Framework. “This agreement not only reaffirms our strong bilateral ties but also demonstrates our shared commitment to ensuring a sustainable financial future for Zambia,” Musokotwane said during the signing ceremony.

Source: Xinhua

Zambia

Zambian authorities approve USD370-million energy projects

Zambia's energy regulator has approved 62 application permits and eight construction permits for USD370-million worth of investments in the energy sector, a spokesperson said recently. Namukolo Kasumpa, public relations manager at the Energy Regulation Board (ERB), said the approved licences are for the manufacture, supply, installation, and maintenance of renewable energy generating equipment, transportation of petroleum products, distribution, import, and export of petroleum products, and distribution and supply of electricity. According to Kasumpa, the development reflects the regulator’s ongoing commitment to promoting a transparent and supportive regulatory environment that encourages sustainable investments as well as demonstrates investor confidence in the country’s energy sector. “The steady growth in investments highlights the country's favourable regulatory framework and the ERB's efforts to streamline approval processes for investors to participate in the value chains,” she said in a statement.

Source: Xinhua