Archive for the 'Jobs' Category

African Economic Outlook 2018 flagship report is released

“African economies have been resilient and gaining momentum. Real output growth is estimated to have increased 3.6% in 2017 and to accelerate to 4.1% in 2018 and 2019″ says Akinwumi A. Adesina, President of the African Development Bank Group. “Overall, the recovery of growth has been faster than envisaged, especially among non-resource–intensive economies.”

The latest edition of African Economic Outlook 2018 was released yesterday, and contains a lot of excellent analysis and short- to medium-term forecasts on the evolution of key macroeconomic indicators for all 54 regional member countries.

The staff economists of African Development Bank present their analyses of African economic development during the previous year and near term, and on the state of socioeconomic challenges and progress made in each country.

According to Adesina, global institutional investors and commercial banks manage more than $100 trillion in assets and for some of that they search for high returns, some of which could support African investments. Key challenges for Africa are managing the demographics, with a fast-growing young population, by creating more jobs and reducing poverty. Policy-makers can create structural transformation and economic diversification by deeper investment in agriculture and developing agricultural value chains to spur modern manufacturing and services.

Top priority is a shift to growth that absorbs labour; another to invest in human capital, particularly in entrepreneurial skills of youth, to facilitate transition to high-productivity modern businesses. Macroeconomic policy should be prudent and aim to ensure external competitiveness, blending exchange-rate flexibility, mobilizing domestic revenues including tax, and judiciously managing demand and rationalizing public spending.

Infrastructure need soars to $130-170bn a year

The year’s theme is infrastructure. The Bank says that new research shows that Africa’s infrastructure requirements are $130–$170 billion a year, much higher than the long-accepted figure of $93bn a year. According to Adesina: “African countries do not need to solve all their infrastructure problems before they can sustain inclusive growth. They should focus on how best to use their scarce infrastructure budgets to achieve the highest economic and social returns.

“Infrastructure projects are among the most profitable investments any society can make. When productive, they contribute to and sustain a country’s economic growth. They thus provide the financial resources to do everything else.

Changes to 2018 AEO

The report is great reference material for researchers, investors, civil-society organizations, development partners and many others. The African Development Bank has made some changes, to make this key document even more useful:
1. Earlier release date – mid-January each year – so that the Bank, as a leading African institution, will be among the first to provide headline numbers on Africa’s macroeconomic performance and outlook.
2. To boost advocacy and dialogue, the 2018 AEO is being shortened to 4 chapters and 54 country notes in about 175 pages, down from more than 300 pages in previous years.
3. Regional economic outlooks for Africa’s five subregions. These self-contained, independent reports focus on priority areas of concern for each subregion and provide analysis of the economic and social landscape. They also highlight issues of pressing current interest.

The chapters of the report cover 1: Macroeconomic performance and prospects; 2: Growth, jobs and poverty in Africa; 3: Africa’s infrastructure, great potential but little impact on inclusive growth; 4: Financing Africa’s infrastructure, new strategies, mechanisms and instruments. Boxes include China’s 3 lessons for Africa, the Africa50 Infrastructure Fund, PPP dos and donts. Tables include real and per capita GDP growth 2009-2019.

Download your copy in English, French or Portuguese here

Nairobi Securities Exchange CEO Peter Mwangi moves to Old Mutual Kenya

The well-respected CEO of the Nairobi Securities Exchange (www.nse.co.ke), Peter Mwangi, is to take up a new job as Group CEO at financial services company Old Mutual Kenya with effect from 1 October. Mr Mwangi has served at the NSE since 24 November 2008 and his contract was renewed in 2011 but according to regulations a CEO of an exchange can only serve 2 terms.

Mr Mwangi and his top team have made huge progress in boosting the activity and standing of the NSE. Kenya’s Standard reports that major strategic projects implemented while he was CEO include:

  • Trading treasury bonds on the automated trading system,
  • Reducing the trading and settlement cycle to four days
  • Demutualizing the exchange and selling its shares to the public.

Local press reports that in a statement sent to newsrooms Mr Mwangi says he expects the bourse to build on the foundations it set to be one of the most efficient and well capitalized exchanges on the continent.

Old Mutual continues in expansionary form in Africa, and an analyst reports: “Old Mutual has been accelerating its growth agenda within the African continent, expanding its footprint both organically and inorganically and Mr. Mwangi’ s appointment comes at an exciting time for the Group as whole as he will be in charge of spearheading Old Mutual agenda in this region. In 2013, the Group announced that it plans to invest $500M in East and West Africa, and we have already seen this as the Group has established operations in Nigeria and Ghana. In Kenya, the Group acquired Faulu Kenya which is in the process of been integrated in Old Mutual’s operating model.”

Tavaziva Madzinga, Old Mutual Africa Chief Operations Officer, was quoted on CapitalFM: “With the Group’s focus on growing in East Africa, and Kenya in particular, Mwangi will guide the delivery of Old Mutual’s commitment to provide affordable insurance and banking solutions to millions of Kenyans.”

Peter Muthoka, Chairman of the Board of Directors of Old Mutual was reported as saying: “The importance of our customer cannot be emphasised enough. We are dedicated to our vision of becoming our customers’ most trusted financial partner and we look forward to working closely with Mr Mwangi in serving Kenyans to empower them financially to achieve their goals.”

According to his profile on Businessweek: Before joining the NSE Mr Mwangi had been CEO and Managing Director of Centum Investment Company, (formerly, ICDC Investment Company until it changed its name in 2008) from December 2004 to October 15, 2008. He had joined been company secretary from 2000 to 2004 and has also been Investment Manager. His working career began as a Technical Officer in the Kenya Air Force, where he was involved in the maintenance of avionic communication systems and the development of the Air Force’s information and communication technology (ICT) strategy.

His degree is BSc in Electronic Engineering from University of Nairobi. He is also a Member of Certified Public Accountant of Kenya (ICPAK) and the Institute of Certified Public Secretaries of Kenya (ICPSK) and is a Chartered Financial Analyst.

He serves as a Director of UAP Insurance Sudan Ltd., Kisii Bottlers Limited, Mount Kenya Bottlers Limited, Rift Valley Bottlers Limited, Eveready Batteries Limited, KWAL Holdings Limited and Central Depository & Settlement Corporation Limited. He serves as a Director of Nairobi Stock Exchange Ltd., and Wildlife Works Inc. He is also a member of the Institute of Directors (IOD).

Peter Mwangi

Peter Mwangi

Stock exchange CEO wanted

The Dar es Salaam Stock Exchange is advertising for a new CEO, see here on the DSE website for the job advertisement. The deadline is this Friday, 15 February.
The contract of the previous CEO Gabriel Kitua, expired on 31 January. Gabriel is recommended from my own experience, as a firm and results-oriented manager with vision who had the drive and hard work to make it happen. He read reports carefully and made constructive inputs and he was also pragmatic and believed in progress. We wish him all the best going forward.
Pending the new appointment, the DSE is in the capable hands of Mary Mniwasa, a lawyer who has served the DSE for long as Corporate Affairs Manager and Legal Counsel, including many key strategic and management processes.
Dar es Salaam and the Tanzanian economy are both booming with much growth still to come. The people and place are very pleasant. Closer links across the East African community are hotting up the pace of progress, modernization and integration. The DSE and its key stakeholders, the Capital Markets and Securities Authority, the Bank of Tanzania, the Government, issuers, stockbrokers and investors, are pushing processes of modernization and change including a demutualization strategy and an ambitious 5-year plan.
We wish them all the luck with the recruitment process.