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Angola’s economy coordinator sacked amid protest against fuel subsidy reduction

Published

2 years ago

June 8, 2023

Ifeoluwa Dada

The Angola’s economy coordinator, Manuel Nunes Junior has been sacked by President Joao Lourenco.

The minister’s dismissal follows deadly protests over a reduction in fuel subsidy.

The country announced reduction in fuel subsidy last week which took the price of petrol from 160 kwanzas to almost double at 300 kwanzas ($0.4781) per litre, although it is still below the market rate.

The sacked Nunes Junior held many prominent government positions for over two decades in Africa’s second-largest oil producer, including economy minister and deputy finance minister.

Removal of fuel subsidy is a knotty issue in many African countries. Last week, another top oil producer in the continent, Nigeria also announced the removal of subsidies on petrol which led to threats of industrial action by the organised labour.

But while Nigerians seem to be adjusting to the new reality of higher cost of living, the aftermath of the policy has been severe in Angola. Police said on Monday five people had died and eight others had been injured in protests that flared after the subsidy cut.

A Director of the African Department for international lender, IMF, Abebe Aembro Salassie, while responding to a questions from journalists at a forum last month in Kenya, stated that fuel subsidy was a “regressive use of government spending.”

The IMF chief argued that subsidy regimes in the continent favoured the richer segment of society over the poorer segment.

Related Topics:Angola Featured Fuel subsidy

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Moroccan annual inflation rises to 0.8% in November

Published

1 day ago

December 21, 2024

Ifeoluwa Dada

Morocco’s statistics office has confirmed that the country’s annual inflation rate, as determined by the consumer price index, increased from 0.7% in October to 0.8% in November.

Monthly, consumer prices decreased by 0.2% from October.

The primary driver of inflation, food costs, grew by 0.8% compared to the previous year, while non-food inflation climbed by 0.7%. Core inflation, which does not include more erratic items like food, increased 2.6% annually and 0.2% monthly.

According to the central bank, inflation is expected to average 1% this year, down from 6.1% last year.

Despite the Al-Haouz earthquake, a spike in inflation, and worldwide economic challenges, Morocco’s GDP grew by 3.4% in 2023.

A recovery in tourism, robust industrial exports, and rising private consumption—all bolstered by prudent macroeconomic policies—were the main drivers of growth.

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Nigeria’s $42bn foreign reserves enough for 9 months’ imports— Central Bank

Published

2 days ago

December 20, 2024

Ifeoluwa Dada

According to Olayemi Cardoso, Governor of the Central Bank of Nigeria (CBN), the nation’s $42.01 billion in foreign reserves can cover imports of goods and services for almost nine months.

Cardoso promised Nigerians improved economic fortunes in 2025 while addressing the Senate Committee on Banking, Insurance, and Other Financial Institutions yesterday in Abuja at the presentation of the performance index report.

Cardoso stated: “External Reserves rose from $ 38.35 billion it was on September 30, 2024, to $ 42.01 billion as of December 12, 2024”.

He clarified that third-party receipts in Q3 2024 and revenues from taxes connected to crude oil were the main drivers of the rise in foreign reserves during the specified time.

“We saw remarkable improvements in our trade balance and maintained a current account surplus,” he added.

“Our external reserves level can finance over 9.09 months of import of goods and services or 13.91 months only, higher than the international benchmark of 3.0 months and a robust buffer against shocks”.

On cash shortage, the CBN boss reiterated the N150 million fine against any branch of banks caught illegally distributing new Naira notes to currency hawkers and unscrupulous elements and said the Nigerian economy will improve in 2025 through policies and measures.

He predicted a stronger economic future: “Despite our economy’s challenges, there are clear reasons for optimism.

“The gradual stabilization of the forex market, ongoing banking sector recapitalization, and positive growth trends in key sectors, especially the services sector, indicate a path toward recovery and stability.”