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Eritrea plans sea port as peace with Ethiopia excites investors

Published

6 years ago

August 23, 2018

Eritrea is considering building a port on its Red Sea coastline to export potash from deposits being developed in the Horn of Africa nation, a mines ministry official said.

Plans for the harbor signal the country’s reemergence as a potential investor destination after its surprise rapprochement with neighboring Ethiopia last month ended two decades of political tensions. The facility could be used to ship potash from Ethiopia and adds to a series of port developments in the strategically located region by nations including Djibouti, Somalia, Sudan and the self-declared Republic of Somaliland.

The port would be situated at the Bay of Anfile, 75 kilometers (47 miles) east of the 1.2 billion-metric-ton Colluli potash deposit, Alem Kibreab, director-general of mines in the Ministry of Energy and Mines, said in an interview in the capital, Asmara. A feasibility study is under way to decide on the specific site, with the start of construction envisaged about five years after a mine starts operating there, he said.

“To begin, the company has to make money,” Alem said.

The mine will be operated by Colluli Mining Share Co., jointly owned by Danakali Ltd. of Australia and the state-owned Eritrean National Mining Co. Colluli contains deposits of high-grade fertilizers suitable for use on fruit and coffee trees and vegetables, according to Danakali’s website. It’s situated in the Danakil Depression, a geological area that stretches into Ethiopia and is regarded as an “emerging potash province,” the company said.

Danakali expects construction of the $320 million mine to start later this year, Chairman Seamus Cornelius said by phone from London. The company is engaging bankers to secure funding for construction of the mine, he said.

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Moroccan annual inflation rises to 0.8% in November

Published

2 days 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

3 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.”