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Egypt’s non-oil sector improved in June— Report 

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Months after an infusion of foreign cash from the UAE and an expanded arrangement with the IMF, Egypt’s non-oil private sector showed more signs of improvement in June, according to a poll released on Thursday.

Egypt’s S&P Global Purchasing Managers’ Index increased from 49.6 in May to 49.9 in June, an improvement attributed to reducing price pressures and improved demand forecasts. It demonstrates that the country was approaching recovery while staying below the 50.0 level that separates growth from contraction for 43 straight months.

“Egyptian non-oil companies saw an increase in sales volumes in June for the first time since August 2021,” S&P Global said.

The survey follows a reshuffled cabinet took office with the mandate to reduce inflation and increase investment.

The sub-index for new orders recorded 50.2 points, the highest level since August 2021. The most encouraging signals came from the industrial and services sectors, which the companies attributed to a rebound in market conditions. On the other hand, construction activity decreased.

June saw a mostly stable job market as some businesses announced increases in hiring to keep up with demand, while others did not replace laid-off or retired employees.

According to S&P analyst David Owen, companies seem to be “heading on the road to recovery”.

“If we see further rises in sales and purchases in the second half of this year, firms should have the motivation and need to expand their output,” Owen said.

“While June saw the fastest rise in input prices for three months, firms generally commented that this was due to a high degree of volatility in market prices rather than an accelerating inflation trend,” S&P Global said.

The study did note that the future output sub-index reached its lowest point in the series’ history, with the majority of businesses expressing uncertainty about their potential to grow in light of the current economic unrest.

“Some hoped for a pick-up in demand. Positive expectations were seen in three out of the four monitored sectors, with construction the outlier,” S&P Global said.

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Almost a million people displaced by floods in West Africa

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Almost 950,000 people have been displaced from their homes in Mali, Nigeria, and Niger as a result of the recent torrential rains and flooding.

The hundreds of thousands of children who are being displaced are at risk for sickness, starvation due to agricultural destruction, and disruptions to their schooling, as warned by the non-governmental organisation Save the Children on Friday, September 6.

In West Africa, this is typically the rainiest period of the year, but this year’s rains have been more than usual.

Of the 36 states in Nigeria, 29 have experienced widespread flooding. The two main rivers, the Niger and the Benue, are now at higher water levels due to the heavy downpour, which has caused dams to overflow.

Gao in the northeast and three Malian regions in the west have been affected. Floods that started in May in neighbouring Niger have devastated all eight districts, sweeping away homes and leaving a trail of devastation in their wake. According to Save the Children, the Maradi region in the southern part of the country was primarily affected.

In the three nations, there have been at least 460 fatalities.

With 15,656 infected children or almost 51% of the total number of affected children in Mali, the Segou region is the most affected.

In response to the floods in Adamawa state, Nigeria, Save the Children is providing foldable mattresses, blankets, and supplies for hygiene and sanitation to the most vulnerable homes, particularly those with elderly and children.

Africa is dealing with many climate-related issues. While rainfall has had disastrous impacts in nations like Sudan, Uganda, and the Central African Republic over the past two years, Eastern Africa struggles with drought. Climate change has been connected to the developments.

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Japan vows ‘sustainable development’ in Africa

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Japan says it is dedicated to more ‘sustainable development’ for Africa as it strives to be a relevant and distinct partner to other world powers seeking a share of the continent.

Last week, Japan hosted the 9th ministerial conference of the Tokyo International Conference on African Development (Ticad-9), which brought together foreign ministers from around Africa.

The Tokyo gathering, as is customary, was held in preparation for the Ninth Summit, which will be held in Yokohama in August 2025. Ticad was founded 31 years ago to assist establish a forum for talks about African development.

Since then, several world powers have announced their summits, including China, the United States, India, Russia, Turkey, Saudi Arabia, France, Italy, and the United Kingdom.

Last Monday, Japan reaffirmed its previous year’s appeal to not exploit Africa and to strive for Africa’s representation at the highest levels, including the UN Security Council, where it lacks a permanent seat. However, it suffers a trade deficit that benefits it, which African leaders have frequently discussed.

Some ministers acknowledged Japan’s contribution to Africa’s development but emphasised that global shifts require the two sides to modify their relationship.

According to Musalia Mudavadi, Kenya’s Prime Cabinet Secretary and Cabinet Secretary for Foreign Affairs, such collaboration should prioritise job creation for the country’s growing youth population, advance agricultural development, foster trade, and drive digital transformation – all of which are critical for promoting inclusive and long-term growth.

“I proposed the integration of funding and technology in agriculture to enhance the sector’s resilience to climate change and stressed the importance of addressing the issues faced by youth and women from a south –south cooperation perspective,” Mr Mudavadi, said after the meeting in Tokyo.

Kenya, one of Africa’s most indebted countries, has been advocating for a rethinking of the global financial architecture, including in lending institutions such as the World Bank and the International Monetary Fund, of which Japan is a key member, and frequently operates in a group of lenders known as the Paris Club. Mudavadi made the same call in Japan.

Mudavadi issued the same call in Japan. A Joint Communiqué issued after the meeting on Thursday last week said Tokyo seeks a strong partnership between the African Union and its members, which it said will be under three main pillars of Society, Peace and Stability, and Economy. Ministers from nations including Kenya were in attendance to explore how to “co-create innovative solutions with Africa.”

“We jointly explored innovative solutions for Africa that reflect, and respond to, current global challenges,” read the joint statement by Japan representative and 42 countries, including Kenya’s Prime Cabinet Secretary and Minister Foreign and Diaspora Affairs Musalia Mudavadi.

“In this context, we took four overarching approaches into consideration, namely connectivity; women, youth and Women, Peace and Security (WPS)public-private partnerships.”

Africa has been a key global region for Japanese trade and investment. Japan had considerable historical experience with Africa but had little interest in economic ties with the continent other than the development of raw materials.

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