Country Insight - Rwanda

Rwanda: The Government expected that the economy would grow by 7% this year as mineral exports and the construction sector would pick up. It reported that the economy achieved a growth rate of 5.5% in 2009, thanks to the good performance in agriculture. However, the 5.5% growth rate is a slow down from 11.2% growth in 2008, and an average of 7– 8% over the last decade.

Market Intelligence - Equities

African stock markets closed the week with a mixed performance. The stock markets in Côte d'Ivoire, Egypt, Kenya, Morocco, Nigeria and South Africa recorded gains of up to 3.3%, while the markets in, Mauritius and Tunisia registered losses of up to 0.4% over the week.

Equity Focus

Nigeria: The All Share Index rose to a seven-month high, advancing by 3.3% over the week. Trading activities in the banking sector continued to be the main driver of the market, accounting for about 40% of the week’s trading volume.

Industry Insight - Agribusiness

Burundi: The tea export earnings jumped by 70% in February 2010 from the same month a year earlier, boosted by higher volumes, prices and the quality of the crop, according to the Burundi Tea Board. The country exported 980 tonnes worth USD 2.8 million last month, up from 818 tonnes worth USD 1.6 million a year earlier. The Tea Board projects tea output will reach 7,600 tonnes this year, up from the 7,000 tonnes produced in 2009, partly due to good rains and an increased use of fertilizers.

Market Intelligence - Currencies

During the week of 22 – 26 March, most African currencies depreciated by up to 2.8% against the US dollar, mirroring movements in the Euro which hit a 10-month low against the USD after Fitch Ratings downgraded Portugal's sovereign credit rating. Only 11 currencies appreciated vis-à-vis the US dollar, including Uganda’s Shilling (1.7%) and the Gambian Dalasi (0.8%). The currency value in Rwanda remained unchanged over the week.

Currency Focus

Uganda: The Shilling strengthened against the US dollar, rebounding off the lowest level since June 2009 as demand for the US dollar from local companies was subdued. The Ugandan Shilling had been on a steady downward trend since the middle of December 2009.

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Country Insight - Malawi

It is estimated that unreliable power supply is costing the country about USD 215 million (0r 4.4% of GDP) a year and deters new investment, according to the Millennium Challenge Account-Malawi (MCA-M), a U.S. bilateral development fund.