The Shift From Eurodollar to SOFR: Everything You Need To Know

The Shift From Eurodollar to SOFR: Everything You Need To Know

LAGOS (Capital Markets in Africa) – The pace of transition in futures and options markets has sped up with total Secured Overnight Financing Rate (SOFR) exposure beyond 2023 rising quickly. The pace of the transition to the new U.S. interest rate benchmark, the Secured Overnight Financing Rate (SOFR), has picked up dramatically in recent months, with the additional impetus coming from July’s successful launch of the SOFR First initiative by U.S. regulator the Commodity Futures…

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South African Ruling Party Faces Key Test in Municipal Vote

South African Ruling Party Faces Key Test in Municipal Vote

JOHANNESBURG (Capital Markets in Africa) – South Africa’s ruling party faces an uphill battle to regain control of key towns in Monday’s municipal elections, with widespread outrage over poor services and crumbling infrastructure. The election of councilors in the 278 municipalities is the first since President Cyril Ramaphosa won control of the African National Congress in 2017 and set about trying to rebuild support for the party, which plummeted during his predecessor Jacob Zuma’s scandal-marred rule.Opposition party coalitions…

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Total’s Uganda Project to Help Create New Africa Oil Hub by 2025

Total’s Uganda Project to Help Create New Africa Oil Hub by 2025

KAMPALA (Capital Markets in Africa) – Ugandan President Yoweri Museveni is counting on TotalEnergies SE and Cnooc Ltd. to produce oil from its fields in four years, laying the foundation for a new regional fuel hub. The East African nation expects to reach daily output of 230,000 barrels. While that’s much less than what Africa’s biggest producer, Nigeria, pumps, it will make Uganda bigger than some OPEC members on the continent. Output starting by 2025 was…

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Chinese Market Is What Africa Needs Next, Says Uganda Leader

Chinese Market Is What Africa Needs Next, Says Uganda Leader

LAGOS (Capital Markets in Africa) – China needs to give U.S. or European-style market access to Africa as the next step in fostering a strong economic relationship, Ugandan President Yoweri Museveni said. As African nations push for the extension beyond 2025 of the African Growth and Opportunity Act that allows duty-free access to the U.S. market, Museveni wants China to offer something similar. That or a deal mirroring Europe’s Everything But Arms arrangement for least…

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Nigeria Backs Saudi Arabia With Call for OPEC+ to Stay Cautious

Nigeria Backs Saudi Arabia With Call for OPEC+ to Stay Cautious

LAGOS (Capital Markets in Africa) – Nigeria joined fellow OPEC+ member Saudi Arabia in saying the group must resist pressure to raise oil production faster until the coronavirus pandemic abates. The 23-nation cartel shouldn’t yet change its strategy of increasing daily crude output by 400,000 barrels a month, according to Minister of State for Petroleum Resources Timipre Sylva. The Organization of Petroleum Exporting Countries and allies including Russia next meet on Nov. 4. With oil soaring…

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Meet the Mexican Dealmaker in Shanghai Behind Trump’s SPAC Deal

Meet the Mexican Dealmaker in Shanghai Behind Trump’s SPAC Deal

LAGOS (Capital Markets in Africa) – A Mexican dealmaker in China was one of the key architects behind former President Donald Trump’s deal with a special purpose acquisition company. Shanghai-based ARC Group Ltd. was an adviser to Trump’s merger partner Digital World Acquisition Corp. and was tasked with building the SPAC’s deal pipeline, according to its listing prospectus. The boutique is led by Mexican founder Abraham Cinta, who’s lived in the Chinese financial center for over…

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Zimbabwe Rules Out Adopting U.S. Dollar as Sole Currency: Mail

Zimbabwe Rules Out Adopting U.S. Dollar as Sole Currency: Mail

HARARE (Capital Martkets in Africa) – Zimbabwe’s government has ruled out adopting the U.S dollar as the country’s sole official currency, terming it “suicidal,” the state-run Sunday Mail reported, citing Finance Minister Mthuli Ncube. Ncube said such a move could result in foreign currency deficits and deflation for the African nation. “We cannot adopt the United States dollar alone as the official currency,” Ncube told lawmakers during a pre-budget consultation meeting, according to the Harare-based newspaper. “You…

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