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issue 364 | 09 Aug 2020

Coronavirus (COVID-19)

Gabon: On 31 July 2020, the Executive Board of the International Monetary Fund (IMF) approved a purchase of SDR108-million (about USD152.61-million) under the Rapid Financing Instrument (RFI). This is the second purchase under the RFI to Gabon since the onset of the pandemic. It aims at helping Gabon in meeting its urgent balance of payments needs. This follows the Executive Board’s decision of 9 April 2020 to double temporarily the annual access limit under the RFI to 100% of quota (see IMF Policy Paper No. 20/018). The purchase brings total IMF COVID-19 support under the RFI to Gabon to USD299.61-million.

Source: International Monetary Fund

Ghana: Local pharmaceutical manufacturers want the imposition of restrictions on the importation of basic drugs that are being produced in the country, so as to promote the local industry and make the vision of ‘Ghana beyond Aid’ a reality. The impact of COVID-19 on the economy and the realisation that the local pharmaceutical industry can fill the void created by border closures due to the outbreak of the pandemic, has suddenly resurrected the needed confidence in the local pharmaceutical industry.

Source: GhanaWeb

Kenya: As Nairobians settle in the ‘new normal’ of doing business and living brought about by the COVID-19 pandemic, hotels are increasingly taking their businesses online and adopting new ways to retain their customers while attracting new ones. Many hotels are now focus on digitising their operations and revamping delivery services

Source: Business Daily

Mozambique: President Filipe Nyusi announced that he decided to declare a new 30-day state of emergency in Mozambique. “I decided to declare a state of emergency across the country, starting on 8 August and ending on 6 September,” he said. At the same time, Nyusi announced a three-stage plan to gradually resume social and economic activities.

Source: Club of Mozambique

Rwanda: Entrepreneurs in the tourism value chain now have the chance to receive a grant of up to USD50,000 thanks to the new COVID-19 recovery programme. The Komeza COVID-19 recovery and resilience programme is a partnership between Entrepreneurial Solutions Partners (ESP), Equity Bank and MasterCard Foundation. It is set to benefit 120 businesses through financial support and technical assistance in the next one year. The USD2.5-million aims at helping small and medium enterprises (SMEs) to weather the COVID-19 crisis.

Source: The New Times

Tanzania: The government reviewed its advisory on international travel on Wednesday, 5 August 2020 in a deliberate move to accommodate additional measures aimed at curbing the spread of COVID-19 from other countries. "Travelers from other countries with symptoms and signs related to COVID-19 infection will undergo enhanced screening and may be tested for RT-PCR," said the new advisory. "Crew members shall not be subjected to present a negative test COVID-19 certificate as a condition of entry or departure," said the new advisory. However, it explained, the crew members will be screened for symptoms and signs in line with the country's protocol. Other measures related to adherence to Infection Prevention and Control (IPC) measures such as hand hygiene, wearing masks and keeping physical distancing as appropriate remain unchanged, as well as measures relating to truck / vehicle carrying goods and services.

Source: The Citizen

Uganda: A cross section of tourism stakeholders have asked government to set a timeline within which it hopes to re-open Uganda’s airspace. Speaking on the sidelines of a stakeholders meeting in Kampala, Ms Pearl Hoareau Kakooza, the Uganda Tourism Association (UTA) president, said the president and his cabinet should consider re-opening the airport as priority for the recovery of the economy. “We have met as members [UTA] and resolved that we need an interim date for re-opening of Entebbe of International Airport so that we can plan and work out a plan for our visitors from different countries,” she said, noting it was time for government to open up the country’s airspace to revive not only tourism, but other auxiliary businesses.

Source: Daily Monitor

Uganda: COVID-19 has had a significant impact on businesses in Uganda and the world over, with governments having to enforce lockdown measures to contain the spread of the virus. In Uganda, statutory instruments were published by the Ministry of Health directing certain places of business to remain closed and prohibiting movement of public transport and private cars for approximately 56 days, leading to interruptions in business operations, a reduction in consumer demand and low cash flows to meet expenses and debts owed to creditors. As a result, we are likely to see an influx in companies experiencing financial distress, breach of contract and default in payment obligations. These companies will need to take urgent action and may have to make the choice between using business rescue mechanisms, including formal insolvency proceeding, and out of court settlements or winding up/liquidating their businesses. Ugandan law provides for certain business rescue mechanisms and liquidation proceedings under both the Companies Act, 2012 and the Insolvency Act, 2011.

Source: ENSafrica

Uganda: Members of Parliament want some sectors of the economy still under lockdown to re-open. They argue that the sectors are prepared to meet the standard operating procedures and adhere to the COVID-19 guidelines. Ever since the economy was locked in March 2020, some sectors have remained closed like schools, places of worship, sports and the sale of non-food items among others.

Source: The Independent

World

New tailings management standard sets the bar for mine tailings safety

The Global Industry Standard on Tailings Management was launched on 5 August 2020, as the first global standard on tailings management that can be applied to existing and future tailings facilities, wherever they are and whoever operates them. The Standard was developed through an independent process – the Global Tailings Review – which was co-convened in March 2019 by the United Nations Environment Programme (UNEP), Principles for Responsible Investment (PRI) and International Council on Mining and Metals (ICMM). Strengthening current practices in the mining industry by integrating social, environmental, local economic and technical considerations, the Standard covers the entire tailings facility lifecycle – from site selection, design and construction, through management and monitoring, to closure and post-closure. The co-conveners have each endorsed it and call for its broad and effective implementation across the industry. UNEP will support governments that wish to incorporate and build upon this Standard into their national or state legislation and policies. PRI, representing USD103.4-trillion in assets under management, will be developing investor expectations to support all mining companies in implementing the Standard. ICMM member companies will implement the Standard as a commitment of membership, which includes robust site-level validation and third-party assessments. 

Source: Mining Review Africa

Angola

African Development Bank presents findings of the Angola Green Mini-Grid Market Assessment

The African Development Bank hosted a webinar to present the findings and recommendations of the Angola Green Mini-Grid Market Assessment report, implemented through the Sustainable Energy Fund for Africa. The assessment was conducted with the technical assistance of Carbon Trust, in collaboration with the Government of Angola, and in consultation with key stakeholders such as development partners and private sector representatives. The report assesses key enabling factors required for large scale mini-grid development, as well as the overall potential of the mini-grid market in Angola, in alignment with the country’s energy sector development strategy. The report estimates that 9.9 million people, representing 32% of Angola’s total population, and 47% of the non-electrified population, could be best served by mini-grid solutions. It also highlighted the regulatory gaps that exist in the mini-grid market, including insufficient incentives for private sector participation. Overall, the assessment recommends that addressing the gaps could unlock an estimated demand for mini-grids of approximately USD252.5-million in Angola, based on the average annual electricity expenditure per capita, in rural areas.

Source: African Development Bank Group

Ghana

Legislative instrument needed to standardise pricing in local commodities markets

Nana Kwame Gyamfi, Project Coordinator of the Cocoa Organic Farmers Association (COFA), has called for a legislative instrument to regulate agricultural commodities standardisation. This follows a study conducted by COFA to establish the impact of the absence of a legislative instrument to guide agricultural commodities standardisation using the cocoa and maize supply chain as a microcosm of Ghana’s agricultural landscape. He indicated that the study was aimed at evaluating the existing standards in the cocoa and maize markets in terms of measuring units, grading and pricing compared with standards set by Ghana Standards Authority. He said, the study intended to support the identification of options for introducing and developing a legislative instrument with a functional enforcement mechanism, to facilitate new standards in the marketing of maize.

Source: GhanaWeb

Ghana

No salvaged car importation into Ghana from 1 November 2020

The law banning the importation of salvaged vehicles into Ghana comes into effect on 1 November 2020. Shipping agents, importers and freight forwarders were therefore advised to properly counsel their clients on importing such vehicles to Ghana and its consequences. Parliament, in March, passed the Customs (Amendment) Bill, 2020 an amendment of the existing Customs Act, 2015 (Act 891). The amendment banned the importation of accident and salvaged motor vehicles. Mr Aweya Julius Kantum, assistant commissioner of customs in charge of Policy and Programmes, Customs Division, Ghana Revenue Authority (GRA), who gave the advice, said agents were the main source of information for importers, therefore, they needed to appreciate relevant laws before they brought a car or anything into Ghana.

Source: GhanaWeb

Guinea

Conducive regulation could unlock green mini-grid market

The African Development Bank, through the Sustainable Energy Fund for Africa (SEFA), recently organised a webinar on the assessment report of the green mini-grid market in Guinea. The webinar, produced by the Carbon Trust as part of the implementation of the Green Mini-Grid Market Development Program (PDM MRV), was moderated by the African Development Bank, the Government of the Republic of Guinea through minister of energy Bountouraby Yattara and the Guinean Agency for Rural Electrification (AGER), and supported by technical assistance from the World Bank. Yattara indicated that the government will ensure that the new framework regulation on electricity in preparation lays the foundations for a coherent and attractive regulatory framework for the development of green mini-grids in Guinea. The PDM MRV aims to stimulate partnerships and actions by capitalising on opportunities and overcoming the obstacles identified in the rural electrification sector while mobilising expertise and resources from the public and private sectors and civil society. The report shows that a regulatory framework conducive to green mini-grids could facilitate access to electricity for around six million people in Guinea, currently without power who would be better served by mini-grids.

Source: ESI Africa

Kenya

Kenya invites advisors to develop guidelines for transmission lines

Kenya Electricity Transmission Company on behalf of the Kenyan government invites eligible consultants to indicate their interest in providing technical assistance for public-private partnerships in transmission lines. The services included under this project are development of guidelines for reviewing Privately Initiated Investment Proposals (PIIPs) for transmission lines in order to encourage private sector participation. This will include the development of an affordability and value for money assessment criteria; project risk analysis, standard project agreement template and PIIP policy. Eligibility criteria, establishment of the short-list and the selection procedure shall be in accordance with the African Development Bank’s “Rules and Procedures for the use of Consultants” dated October 2015, which is available on the Bank’s website. Expressions of Interest must be delivered to the provided address by 27 August 2020 at 10:00 East Africa Time.

Source: ESI Africa

Kenya

Update on the Data Commissioner’s appointment

The Public Service Commission (the Commission), in compliance with the provisions of the Data Protection Act, 2019 (DPA), recently published a list of shortlisted candidates for the position of Data Commissioner. The Commission had undertaken a shortlisting exercise and published names and interview schedules for the 10 shortlisted candidates, calling for public participation and requesting comments on any of the candidates ahead of the interview dates. The Commission commenced interviews with the shortlisted candidates on 7 July 2020. However, on the same morning, the Employment and Labour Relations Court, through an order issued by Judge Hellen Wasilwa and directed to the Commission and the Attorney General, ordered the government to suspend the ongoing recruitment of the Data Commissioner pending the hearing and determination of a petition filed by lawyer Mr Adrian Kamotho. Mr Kamotho filed a judicial review application seeking to quash the recruitment process on the basis that the process is defective and irredeemably tainted with illegality. Recent developments indicate that the Commission and Mr Kamotho reached an agreement that the Commission would start the recruitment process anew, in compliance with the DPA requirements.

Source: ENSafrica

Kenya

Sugar importers to apply afresh for permits under new stringent rules

Sugar importers will now be required to acquire new permits before they are allowed to ship in the commodity in compliance with the new regulations that have been formulated. The new regulations known as the Crops (Sugar) (Imports, Exports and By-products) Regulations 2020 have been gazetted after the government suspended trader permits in order to control the influx of cheap sugar into the country. Agriculture cabinet secretary Peter Munya said all importers will now have to register under the new set of guidelines in order to be allowed to trade on the product as the state moves to regulate incoming volumes. “All those who want to continue with imports have to register under the new regulations,” said Mr Munya. He said under the new regulations, traders will only be allowed to import what is required in order to avoid dumping of the sweetener in the country.

Source: ESI Africa

Malawi

Ministry calls for review of taxes levied on growers

The Ministry of Agriculture has called for a review of taxes and associated charges levied on tobacco growers. Deputy minister of Agriculture Agnes Nkusa Nkhoma said this after inspecting tobacco sales at Lilongwe Floors. She said a significant amount of money is taken away from growers’ earnings, rendering tobacco production less profitable. Nkusa Nkhoma said “Government would like to see growers happy, but we know that they are being heavily taxed. “Growers on contract are also given a raw deal because they are offered inputs at high prices when actually they can buy inputs from elsewhere at reasonable prices.” She said the ministry will engage Tobacco Commission, AHL Group, buyers, tobacco associations and all industry stakeholders to review the taxes and associated charges to ensure that growers are relieved.

Source: The Nation

Niger

World Bank approves USD100-million to improve decentralised services, management of extractive sector in Niger

The World Bank approved a USD100-million financing from the International Development Association (IDA) credit and grant to strengthen local governments’ capacity and extractive sector management in Niger. The Governance of Extractives for Local Development (GOLD) and COVID-19 Response project will strengthen and support the implementation of policies, laws and regulations on decentralisation and sustainable extractive sector management. The project includes support to the COVID-19 response coordination mechanism at local level. More specifically, it will: increase access to basic services that have been decentralised, in particular water, primary education and health services; improve budget execution at the municipal level; increase and strengthen management of extractive revenues transferred to local governments; increase mining sector attractiveness to private sector investment; strengthen oversight of mining activities and support the formalisation and capacity-building of artisanal miners on environmental and social good practices.

Source: Africa Business Communities

Nigeria

REA, AfDB seek firm to conduct market study for NEP

The Federal Government of Nigeria (FGN) has received financing from the African Development Bank (AfDB) for the cost of the Nigeria Electrification Project (NEP). The Rural Electrification Agency (REA), the implementation Agency of the FGN, intends to apply part of the proceeds of this loan to payment under the contract for consultancy services to undertake a market study in support of Component 2 (Productive Use Appliances and Equipment) of the Nigeria Electrification Project (NEP).

Source: Energy Mix Report

Nigeria

Lagos slashes land use charge, waives NGN5.7-billion fees

The Lagos State Government has said it will reduce its land use charges and other penal fees by reversing the rate of land use charge to pre-2018, while upholding the 2018 method of valuation. The commissioner for finance, Dr Rabiu Olowo, said this in a statement titled ‘Speech delivered by the honorable commissioner for finance at a press briefing on the 2020 new land use charge law.’ He also said it was waiving the penal fees for 2017, 2018, and 2019, which translate into NGN5.75-billion. Olowo recalled that in 2018, there was an increase in the land use charge rate as well as the method of valuation of properties, which increased the charge payable by property owners. “In addition to this, there is also a 48% reduction in the annual charge rates,” he said.

Source: Voice of Nigeria

Rwanda

New land use masterplan is in line with Vision 2050 – official

On 29 July, the Cabinet approved a new National Land Use and Development Master Plan, a document that will guide how land in the country is used for at least 30 years, up to 2050. The document, according to officials, comes to boost the optimal use of land to spur economic transformation in the country. According to Alexis Rutagengwa, head of land use planning at the Rwanda Land Management and Use Authority, underlying and emerging land use challenges to be addressed going forward include population growth, settlement issues, and limited agriculture land. In ensuring that achievements registered so far are sustained, he noted, the revised national land use development master plan for 2020-2050 introduces pertinent “new policy and strategic measures.”

Source: The New Times

Uganda

Committee finds gaps in Health Insurance Bill

The Parliamentary Committee on Health has revealed that the Health Insurance Bill that was presented to Parliament is not clear, especially on the contributions to the Fund. Mr Ronald Bagaga, the legal counsel to the Committee, said although the Bill states how the contribution from different sections of the population will be arrived at, it does not indicate which percentage will be contributed by each of those sections. “Clause 21 of the Bill states that contributions to the Fund will be by any person who attains the age of 18 years and is ordinarily a resident in Uganda. For a salaried employee deductions will be from a wage or salary by the employer and a contribution by the employer. For a self-employed person an annual contribution is determined based on total income, by the board in consultation with the ministers of Health and Finance,” Mr Bagaga said during a media engagement on the National Health Insurance Scheme (NHIS) in Kampala. Cabinet last year approved the National Health Insurance Scheme (NHIS) 2019 that will require all Ugandans above the age of 18 years to contribute to the scheme before accessing health services across the country. The scheme is a must-pay-for by all Ugandans and foreigners in the country.

Source: Daily Monitor