Business

25, May 2018

Southern Cameroons economic collapse is worse than Biafra after the Nigerian civil war ⁰

Southern Cameroons economy is rightly an afterthought compared to the scope of suffering that has accompanied the senseless war launched by President Biya. Approximately 1300 are dead. Some 40,000 Ambazonians have fled the country to Nigeria and as many as 160,000 others have been displaced internally according to the United Nations.

Correspondingly, it’s worth noting the almost utter economic devastation. Cameroon Concord News Group estimates that more than 95% of the Southern Cameroons economy has been destroyed by the war. Understandably, our estimate is based on very limited data and conjecture due to the fact that the French Cameroun army soldiers have prevented all our efforts at getting access to most important data ever since the revolution began.

For the record, the two year destruction of more than three-quarters of the Southern Cameroons economy would rank among one of the steeper economic collapses ever recorded deep within the African continent, outpacing the catastrophic economic decline of Biafra after their defeat in the Nigerian civil war. As the killing of innocent Southern Cameroons civilians continue in places such as Santa and Pinyin village, it would take Africa’s newest state-the Federal Republic of Ambazonia about 40 years to reach its pre-war real GDP level.

By Seseskou Asu Isong, London

21, May 2018

Camtel and SatADSL team up to connect Cameroon ⁰

SatADSL, a provider of VSAT services via satellite, and Cameroonian operator Camtel, have announced a partnership to provide satellite connectivity nationwide. The formal agreement follows a pilot of SatADSL’s services at various public and private enterprises and communities in Cameroon, including schools, post offices, hospitals and banks.

SatADSL plans to integrate and deploy its VSAT services in the central African country, enabling Camtel to offer competitive broadband packages to even the most rural areas. SatADSL will fulfil all of Camtel’s satellite connectivity requirements on every frequency range, namely Ku-, Ka- and C-band. Camtel is the latest operator in Africa to deploy SatADSL’s services, which are offered through the Cloud-based Service Delivery Platform (C-SDP).

The complete OSS/BSS, carrier-grade, fully redundant platform allows operators easily to outsource satellite services, reducing the cost of providing ubiquitous connectivity by enabling fast, flexible and future-proof satellite connectivity via the cloud for the first time, eliminating the need for physical infrastructure.

Source: Telecompaper

19, May 2018

Nexttel Cameroun in crisis: Whatever Baba Danpullo wants, Baba Danpullo gets ⁰

3 years and 8 months of effective activity of the 3rd mobile operator in Cameroon that was launched on September 2014, Nexttel, a public limited company with Viettel SA owning 70% and Bestinver Cameroon owning 30% of the shares is in shambles. The social climate in Viettel Cameroon (Nexttel) is indeed not the best.

In recent days, employees of the company have been on strike over unpaid wages. An informant who filed in this report pointed out that the strike action is due to the refusal of the general manager Nguyen Duc Quang to disburse money meant for salaries.

The situation became very intractable with many inside sources suggesting that the chairman of the board, Baba Ahmadou Danpullo was participating in the day-to-day running of the business and had reportedly instructed his former banker Moïse Bayi to disrupt the smooth functioning of the company with the support of some workers.

Danpullo

Our source also hinted that tension is currently mounting between the Danpullo Nexttel gang and the Vietnamese General Manager. There are under-the-table talks that the President Biya acolyte who also moonlights as a member of the Central Committee of the ruling CPDM crime syndicate wants to acquire 51% of the company shares without going through the legal process.

We understand the aim is to chase out the Vietnamese and install his man, Moïse Bayi who is presently deputy manager in charge of Human Resources as Nexttel’s General Manager. Baba Ahmadou Danpullo has control over the Cameroonian judiciary and the political system so whatever Danpullo wants, Danpullo gets.

This issue can be traced right back to the beginning of this company looking at a series of problems between Viettel SA and Bestinver Cameroon. In 2013 during the technical installations phase, there was a strike which lasted about 6 months that involved profit shares.

In 2014 pan African news magazine Jeune Afrique published a report ” Cameroon’s two deputy chiefs, Moïse Bayi and Haman Oumar, accuse their boss, the Vietnamese Vu Khanh Duy (former general manager of Nexttel), of locking down management.

In 2015, there was a massive arrest and repatriation of Vietnamese workers in Cameroon which was followed by constant refusal to grant them working permits on lame and ridiculous reasons that Viettel had promised to create 5 000 direct and indirect jobs. And in 2018 – Vietnamese coming to replace other staffs are refused contracts and have been receiving threats. For how long will the Francophone Cameroun Billionaire continue to treat his partners this way?

By Ngwa Stephanus B

The reporter is not a staff writer with the Cameroon Concord News Group

15, May 2018

Mexican banks hacked, millions stolen ⁰

Hundreds of millions of pesos have been illegally withdrawn from several Mexican banks in possible cyber attacks in recent weeks, Mexican officials have announced.

Hackers sent hundreds of false orders to transfer funds from banks, including No. 2 Banorte, to fake accounts in other banks, and accomplices then emptied the accounts in cash withdrawals in scores of branch offices, two sources close to a Mexican government investigation of the matter said.

One source said the thieves transferred more than 300 million pesos ($15.4 million) while the El Financiero newspaper reported that around 400 million pesos had been stolen.

It was not clear how much of the money transferred was later withdrawn in cash.

Speaking to reporters late on Monday, Mexico’s Central Bank Governor Alejandro Diaz de Leon described the attacks as unprecedented, expressing hope that unspecified measures being taken would stop similar future incidents.

“There’s no evidence that would allow us to say with certainty that this is over,” he said, adding “We’re taking corrective and mitigating action.”

Diaz de Leon declined to name the banks targeted or specify the amounts stolen. He said the central bank was still probing what had happened.

He later said in a radio interview that all the evidence — so far still partial — pointed to cyberattacks.

The central bank’s head of operations, Lorenza Martinez, said on Friday that five financial institutions were targeted with “unauthorized transfers.”

One source said cyber attackers might have received assistance from inside bank branches, since such big cash withdrawals were uncommon.

“In terms of the security of the bank’s offices, I think that is part of the analysis that each bank is doing,” Martinez said.

He stressed that clients’ accounts had not been affected so far and that only the accounts of financial institutions in the Central Bank had been hit.

Source: Presstv

9, May 2018

IMF says African economies sliding into debt distress despite growth ⁰

Sub-Saharan African nations are at growing risk of debt distress because of heavy borrowing and gaping deficits, despite an overall uptick in economic growth, the International Monetary Fund said on Tuesday.

The sober assessment came as African countries continue to tap international debt markets and issue record levels of debt in foreign currencies, spurred on by insatiable investor demand for yields.

“What really we’re concerned about is the pace of increase, rather than the average,” IMFAfrica Director Abebe Aemro Selassie told Reuters at the launch of its economic outlook for the region in Accra.

“What we’re calling for right now is that those countries are going to need to go through fiscal consolidation,” he said, adding that oil producers and other resource-dependent economies were seeking the sharpest growth in their debt loads.

The Fund projected the rate of economic expansion would rise to 3.4 percent this year, up from 2.8 percent in 2017, boosted by global growth and higher commodity prices.

Slower growth in South Africa and Nigeria – the continent’s two largest economies – weighed on the region-wide average, but the IMF expects growth to pick up in around two-thirds of African nations. However, under current policies, that rate is expected to plateau below 4 percent over the medium term.

GROWTH SEEN SLOWING

Meanwhile, around 40 percent of low-income countries in the region are now in debt distress or at high risk of it, the IMF report said. And refinancing that debt could soon become more costly.

“The current growth spurt in advanced economies is expected to taper off, and the borrowing terms for the region’s frontier markets will likely become less favourable … which could coincide with higher refinancing needs for many countries across the region,” it said.

African governments issued a record $7.5 billion in sovereign bonds last year, 10 times more than in 2016. And they have issued or plan to issue over $11 billion in additional debt in the first half of 2018 alone, the report said.

Foreign currency debt increased by 40 percent from 2010-13 to 2017 and now accounts for about 60 percent of the region’s total public debt on average, IMF data showed. Average interest payments, meanwhile, increased from 4 percent of expenditures in 2013 to 12 percent in 2017.

Six countries – Chad, Eritrea, Mozambique, Congo Republic, South Sudan and Zimbabwe – were judged to be in debt distress at the end of last year. And the IMF’s ratings for Zambia and Ethiopia were changed from moderate to “high risk of debt distress.”

The IMF conceded that Africa’s enormous needs will continue to demand heavy investments to build infrastructure and social development. But to do so while avoiding the risk of a debt trap, the continent, which currently has the lowest revenue-to-GDP ratio in the world, will need to become more self-reliant.

“Borrowing to finance spending is part of the macroeconomic policy tool kits which all countries use,” Selassie said. “But over the medium to long-term they have to rely more on domestic revenues, tax revenues to address their development spending needs.”

REUTERS

5, May 2018

Air France-KLM boss resigns over labor dispute ⁰

Air France-KLM Chief Executive Officer (CEO) Jean-Marc Janaillac has offered to resign after employees rejected a pay raise.

The 65-year-old CEO announced his resignation on Friday making good on an earlier promise to step down if he failed to end the weeks-long strikes.

Staff and management at the flagship carrier have been locked in a wage dispute since February.

“I accept the consequences,” said Janaillac after 55.44 percent of Air France workers voted against a seven percent over a four-year pay raise.

Janaillac described the workers’ decision as a “huge waste” of resources after revealing last month that the industrial action cost Air France 25 million euros per day.

The decision came as workers began a fresh round of intermittent strikes Friday, prompting the cancellation of a quarter of flights on average.

“Air France was on the road to success. I regret that that dynamic was not understood (by workers),” he said.

Unions argued the raise was too little after years of restructuring during which pay was frozen, and demanded a 5.1-percent raise this year instead.

The move coincided with Air France-KLM’s release of first-quarter earnings, which showed a net loss of 269 million euros ($322 million), weighed down by three days of strikes which cost about 25 million euros per day according to the company.

The industrial action by Air France personnel comes amid persisting rolling strikes by rail workers at state-owned SNCF railways, as well as protests by students, public servants, energy workers, and garbage collectors.

Source: Presstv

24, April 2018

Enfin: French billionaire Vincent Bolloré arrested over corruption allegations in Africa ⁰

French industrialist Vincent Bolloré was taken into custody on Tuesday morning at the premises of the judicial police in Nanterre, France.

According to French media company, Le Monde, the billionaire businessman is being investigated for influence peddling and corruption in Africa, specifically the conditions under which he obtained two of the sixteen container terminals in the ports of Lomé and Conakry, in 2010.

State prosecutors believe that Bollores, who has interests in several African countries, could have taken advantage of his Havas communications agency to facilitate African heads of state into power in exchange for concessions to operate these terminals.

They seek to draw a connection between Havas’ management of the 2010 presidential campaigns of the Guinean President Alpha Condé and Faure Gnassingbé of Togo at ridiculously subsidised prices and the subsequent acquisition of port rights by Bolloré Africa Logistics.

Other executives of the group were also taken into custody on Tuesday, including Gilles Alix, CEO of the Bolloré group, and Jean-Philippe Dorent, head of the international division of the Havas communications agency.

According to Le Monde, numerous documents were seized during searches carried out in April 2016 at the headquarters of the Bolloré group in Puteaux (Hauts-de-Seine). These documents reportedly confirm the state’s suspicions about under-invoicing of the presidential campaigns led by Havas.

The group has since formally denied any irregularities in the way they conduct business in Africa.

Source: Africa News

22, April 2018

Yaounde bans three Chinese mining companies ⁰

The Cameroonian authorities have banned mining operations of three Chinese companies for non-compliant with contractual terms. Cameroon’s Ministry of Industry, Mines and Technological Development said on Saturday.

The companies, Hong Kong, Peace Mining and Lu, and Lang, the ministry said would no longer perform gold panning activities in the region of East-Cameroon.

The government ordered the companies to leave Cameroon. It appeared from the statement that Hong Kong company did not have documents authorizing it to carry out mining activities.

As for the Peace Mining and Lu and Lang companies, their departure is linked to a series of conflicts recorded between their employees and local populations which have resulted in deaths, in addition to the non-respect of the environment, according to the statement.

These companies reportedly contributed significantly to the degradation of the environment through the diversion of rivers, and obstruction of rivers by mud, which has had a negative impact on agriculture and livestock.

According to some NGOs, the gold exploitation activities in Cameroon of Chinese companies had caused the death of 34 people in 2017.

Besides, just for the first three months of the current year, several people have died as a result of landslides and land erosion.

Source: APA

21, April 2018

Nestlé Cameroon inaugurates new Nido powdered milk facility ⁰

Nestlé has inaugurated a production unit for its range of Nido fortified powdered milk in Douala, Cameroon.

The new facility will create 12 additional jobs and has the potential to create 48 more in the coming years.

It will have an annual production capacity of more than 5,500 tons and will manufacture Nido Forti Choco as well as continue to package Nido powdered milk.

Nestlé said the production is intended for both the domestic market as well as for export to Gabon, Central African Republic, Chad, Congo and Equatorial Guinea.

Launched in 2016 in Cameroon, Nido Forti Choco is made from milk powder, cocoa and sugar. It is enriched with essential micronutrients such as iron, zinc and calcium.

Nestlé Cameroon country manager Thomas Caso said: “Nestlé has been improving the quality of life and contributing to a healthier future for the Cameroonian population for more than 50 years. As evidenced by this investment, we believe in the socio-economic development of the country and we want to continue to be a key partner in the growth of the local agro-industry.

“We will continue to explore with our partners and the relevant authorities ways to increase our local production and local sourcing of raw materials and packaging materials.”

Ernest Gwaboubou, Cameroon minister for mines, industry and technological development, said: “This event demonstrates a strong public-private partnership within the context of industrialisation of Cameroon, which will create employment and foster economic development.”

Nestlé has been present in Cameroon since 1965 and started local production in 1981. The company employs more than 450 people in the country.

Source: foodbev.com

21, April 2018

Sogea-Satom awarded two major road infrastructure projects in Cameroon ⁰

Upgrading the RN15 over 135 km between Lena and Tibati
Construction of Provincial Road 18 over 106 km between Olama and Bigambo
Total value: €214 million

VINCI subsidiary Sogea-Satom has been awarded two major road building projects in Cameroon for the Public Works Ministry.

The first contract, valued at €112 million, covers upgrading a 135 km section on the RN15 between Lena and Tibati in the centre of the country and 6.7 km of roads in the town of Tibati. The works consist, notably, of flood-proofing earthworks and construction of a 7m wide carriageway and shoulders, drainage structures and five bridges, together with safety, signage and environmental protection structures. The new corridor is 150 km shorter than the existing road arteries. It will boost trade and connections with Chad and Nigeria.

The second contract, valued at €102.4 million, concerns construction of a 106 km road section between Olama and Bigambo which will be part of the future Provincial Road 18 (total length 271 km south-west of Yaoundé). The works include construction of five 10 to 20 m-span bridges, 13 km of urban roads and upgrading of 20 km of rural tracks and concrete drainage channels. This artery is primarily intended to take heavy vehicle freight traffic from the new deep-water port of Kribi to Yaoundé. The project also has a social component representing 10% of the value of the contract. It provides for construction of classrooms, rural centres for young people and women, boreholes, wells and playing areas, together with construction of community and health centres along the road.

Delivery of the two projects is scheduled for May 2020 (Lena – Tibati road) and June 2022 ( Olama-Bigambo road).

These projects will mobilise substantial human resources on the local level. Sogea-Satom Cameroon organised its first job forum in Douala and Yaoundé in January 2018 to recruit more than 100 new employees. Some 90% of Sogea-Satom employees in Africa are local hires.

Thanks to its numerous activities, the Cameroon economy is the most diversified in Central Africa. VINCI has completed many projects in the country, notably a water treatment plant in Yaoundé (2014), a runway upgrade for the international airport in Douala (2017) and, more recently, the dual road-rail bridge over the Wouri river in Douala, the first major engineering structure built by VINCI on the African continent.

Source: globalnewswire.com