Tag Archive for: Africa

Andrew Stegmann

Equatorial Guinea to Construct a Gas Mega-hub Project

Equatorial Guinea’s government has announced its plans to construct a natural gas mega-hub project.

This will consist of interlinked production, aggregation and processing facilities offshore and onshore, and will tie in to existing facilities. The project is led by the Ministry of Mines and Hydrocarbons (MMH) in collaboration with oil and gas companies.

The first phase of the project is to implement a new gas supply agreement signed between the MMH and Noble Energy, operator of the Aseng and Alen fields in Block I/O. Gas will be supplied to the Punta Europa gas complex, which includes the Malabo power station, AMPCO methanol plant and Equatorial Guinea LNG plant. The agreement, combined with new sub-sea pipelines linking the Aseng, Alen and Alba fields, will replace some of the gas production lost as the Alba field declines.

Building on the new Punta Europa-Alba-Alen link, the gas mega-hub will link into other existing and future gas projects and maximize the gas infrastructure of Equatorial Guinea and potentially that of neighbor states. This will reduce dependency on single upstream developments for industrial development, and will allow gas to be directed to where the value is greatest.

The project is envisioned to create 2-3,000 direct and indirect jobs for the citizens of Equatorial Guinea, with the state standing to receive more than $2 billion in revenues. A key component of this will be local content, ensuring that Equatorial Guinea’s local companies are part of the value chain.

On announcing the new venture, the Minister of Mines and Hydrocarbons H.E. Gabriel Mbaga Obiang Lima said: “Equatorial Guinea is developing the leading natural gas economy in sub-Saharan Africa and leading the region in proving new technologies and concepts. This gas mega-hub project is totally unique in Africa and it requires an unprecedented level of cooperation between government and energy companies.”

The gas mega-hub project will change the dynamic of future upstream gas projects in Equatorial Guinea, with a ready market promoting further exploration for gas, an increasing role for Punta Europa as the primary user and onshore base for new gas projects, and a view to developing discoveries as tie-ins to the mega-hub, rather than as standalone upstream developments.

 

For information as to how Relocation Africa can help you with your Mobility, Immigration, Research, Remuneration, and Expat Tax needs, email info@relocationafrica.com, or call us on +27 21 763 4240.

Sources: [1], [2]. Image sources: Jamar Penny [1], [2].

Andrew Stegmann

New Kenyan Retirement Benefit Regulations

This information is courtesy of Iseme, Kamau & Maema Advocates (IKM).

The Government of Kenya, through the Cabinet Secretary for the National Treasury and Planning, published Legal Notice Number 88 of 2019 dated 13th June, 2019 which amended the Retirement Benefits (Occupational Retirement Benefits Schemes) Regulations, 2000 (the “Regulations”). Regulation 19 (5) (a) (ii) was amended to read as follows: “the scheme rules shall provide that: where a member leaves employment after vesting of his benefits but before attaining the specified early retirement age, he may opt for payment of his own contribution where he is a member of a defined contribution scheme.

The effect of this amendment was that where the employment relationship came to an end and the employee had not reached the retirement age provided for in the Trust Deed and/or the Pension/Provident Fund Rules, he/she would no longer be entitled to the employer’s portion of contributions and the investment income gained from the contributions until he attained the retirement age.

The Regulations were, however, challenged on a number of grounds including absence of public participation. The Parliamentary Committee on Delegated Legislations, upon further consideration, proposed through the attached report that the amendments be annulled. The Report was tabled and adopted by Parliament on 2nd October, 2019, thereby annulling the proposed amendments.

Consequently, employees are now entitled to 100% of their contributions and 50% of the employer’s contributions upon termination of employment.

To view the government’s document on the amendment, click here.

 

 

For information as to how Relocation Africa can help you with your Mobility, Immigration, Research, Remuneration, and Expat Tax needs, email info@relocationafrica.com, or call us on +27 21 763 4240.

Sources: [1], [2]. Image sources: Snowmanradio [1], [2].

Andrew Stegmann

Ethiopia’s Prime Minister, Abiy Ahmed, Wins Nobel Peace Prize

The Nobel Peace Prize was, last week, awarded to Ethiopian Prime Minister Abiy Ahmed, one of Africa’s youngest leaders, for his efforts in human rights reforms in the country, and for signing a peace deal with Eritrea following protracted hostility between the east African nations. The award will be bestowed in December this year.

Responding to the announcement, Amnesty International’s secretary-general Kumi Naidoo said: “This award recognizes the critical work Prime Minister Abiy Ahmed’s government has done to initiate human rights reforms in Ethiopia after decades of widespread repression.

“Since assuming office in April 2018, it has reformed the security forces, replaced the severely restricting charities and society law, and agreed a peace deal with neighboring Eritrea to end two decades of hostile relations. He also helped broker an agreement between Sudan’s military leaders and the civilian opposition, bringing an end to months of protests.

“However, Prime Minister Abiy Ahmed’s work is far from done. This award should push and motivate him to tackle the outstanding human rights challenges that threaten to reverse the gains made so far. He must urgently ensure that his government addresses the ongoing ethnic tensions that threaten instability and further human rights abuses. He should also ensure that his government revises the Anti-Terrorism Proclamation which continues to be used as a tool of repression, and holds suspected perpetrators of past human rights violations to account.

“Now more than ever Prime Minister Abiy must fully espouse the principles and values of the Nobel Peace Prize to leave a lasting human rights legacy for his country, the wider region, and the world.”

Ethiopian Prime Minister Abiy Ahmed.

 

For information as to how Relocation Africa can help you with your Mobility, Immigration, Research, Remuneration, and Expat Tax needs, email marketing@relocationafrica.com, or call us on +27 21 763 4240.

Sources: [1], [2]. Image sources: [1], [2].

Andrew Stegmann

New African Wealth Report Reveals The Richest Cities on the Continent

New World Wealth and AfrAsia Bank have published the latest African Wealth Report, showing the levels of wealth of various African nations at the end of 2018.

According to the report, South Africa is still the richest country in Africa, with the high net worth (HNWI) population of 39,200 people holding the most wealth at $649 billion.

This is double that of the second wealthiest African nation, Egypt, where the HNWI population of 16,700 people holds $303 billion.

Egypt is followed by Nigeria ($225 billion), Morocco ($114 billion) and Kenya ($93 billion).

Total wealth held on the continent amounts to US$2.2 trillion. Around US$920 billion (42%) of this is held by HNWIs, New World Wealth said.

While South Africa ranks at the top of the list, on a per capita basis ($11,450), it is only the second wealthiest nation – following behind Mauritius, where wealth per capita sits at $31,000.

Africa’s richest cities

South African cities ranks as the top richest cities on the continent, with Johannesburg and Cape Town holding the most HNWI wealth among the major cities covered, taking the first and second spots, respectively.

Total wealth held in Johannesburg amounts to US$248 billion, while total wealth held by Cape Town amounting to US$133 billion.

Most of Johannesburg’s wealth is concentrated in Sandton, New World Wealth said, which is home to the JSE (the largest stock market in Africa) and to the head offices of most of Africa’s largest banks and corporates.

Cape Town, meanwhile, is home to Africa’s most exclusive and expensive suburbs such as Clifton, Bishopscourt, Camps Bay and Bantry Bay. It is also a hotspot for wealthy second home owners from around the world. Major sectors there include: real estate, financial services (fund management), retail and tourism.

Also in the top five from South Africa is Durban and Umhlanga (combined), which holds total HNWI wealth of US$54 billion.

This figure includes wealth held in Durban, Umhlanga, La Lucia and Ballito. Notably, Umhlanga and Ballito are two of the fastest growing areas in SA, in terms of wealth growth over the past 10 years, the group said.

Among other African countries, Cairo (Egypt), Lagos (Nigeria) and Nairobi (Kenya) stand out as wealthy cities, sitting on par with South Africa’s popular HNWI areas.

Total wealth held in Cairo amounts to US$129 billion – and the city is home to more billionaires than any other African city (four billionaires live there, compared to just two in Johannesburg).

In Lagos, total wealth held in the city amounts to US$96 billion. This is the largest city in Africa, in terms of population and GDP (but not in terms of wealth).

The richest cities in Africa.

The richest areas in South Africa.

 

For information as to how Relocation Africa can help you with your Mobility, Immigration, Research, Remuneration, and Expat Tax needs, email marketing@relocationafrica.com, or call us on +27 21 763 4240.

Sources: [1], [2]. Image sources: [1], [2].