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Africa, Forex

African Markets – Factors to watch on May 22

NAIROBI, May 22 (Reuters) – The following company announcements, scheduled economic indicators, debt and currency market moves and political events may affect African markets on Friday. – – – – – GLOBAL MARKETS Hong Kong shares tumbled on Friday after Beijing moved to impose a new security law on the city after last year’s pro-democracy unrest, risking fresh protests and further straining fast-deteriorating U.S.-China ties. WORLD OIL PRICES Oil prices slumped on Friday after China’s decision to omit an economic growth target for 2020 renewed concerns that the fallout from the coronavirus pandemic will continue to depress fuel demand in the world’s second-largest oil user. EMERGING MARKETS For the top emerging markets news, double click on AFRICA STOCKS For the latest news on African stocks, click on SOUTH AFRICA MARKETS South Africa’s rand rallied on Thursday after the country’s central bank cut its main lending rate by 50 basis points, while stocks fell on concerns over the long-term impact of the new coronavirus and simmering U.S.-China tensions. AFRICA CURRENCIES Nigeria’s currency is expected to come under pressure on the black market next week, with Uganda’s seen firming and Kenya and Zambia’s holding stable. NIGERIA MARKETS Nigerian stocks rose 1.3% on Thursday to a 10-week high after a rise in oil prices helped lift shares in the banking and energy sectors. NIGERIA ECONOMY Nigeria’s economy could shrink as much as 8.9% in 2020 in a worst-case scenario without stimulus, Finance Minister Zainab Ahmed said on Thursday, a deeper recession than forecast after oil prices plunged due to the coronavirus pandemic. NIGERIA INFLATION Annual inflation in Nigeria rose for the eighth straight month in April, lifted by higher food prices, the statistics office said on Thursday, as measures to curb the spread of the novel coronavirus hindered economic activities and increased costs. KENYA MARKETS The Kenyan shilling held steady on Thursday with tight liquidity in the local money market helping counter dollar demand from merchandise importers, traders said. KENYA KCB GROUP Kenya’s biggest bank by assets, KCB Group , has restructured more than 110 billion shillings ($1 billion) of its loans to customers and up to a quarter of its book could be affected by mid-June, its chief executive told Reuters. ETHIOPIA TELECOMS The Ethiopian government will sell a 40 percent stake in Ethio Telecom, a monopoly operator, as part of the country’s plans for opening one of the world’s last major closed telecoms markets, State Minister of Finance Eyob Tekalign Tolina told Reuters. SEYCHELLES TOURISM Seychelles may admit Israelis as part of an initial reopening of its tourism industry, hit hard by the archipelago’s coronavirus precautions, officials said on Thursday. RWANDA ECONOMY Rwanda’s economic growth is expected to slow this year as the COVID-19 pandemic hits tourism, transport and hospitality, the finance minister said on Thursday. ZAMBIA ELECTRICITY Zambia’s state-owned electricity company Zesco Ltd has signed contracts worth $548 million with Power China to develop three solar power plants that will add 600 megawatts (MW) to the national grid, the company said in a statement. For the latest precious metals report click on For the latest base metals report click on For the latest crude oil report click on

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