18 July 2024 Morning Biz News Biz News Roundup: Key Financial Developments

Building Approvals Surge in Windhoek

The City of Windhoek has approved 928 building plans in the first half of 2024, valued at N$921.9 million, as reported by The Brief. This represents a 1.4% increase in the number of plans and a substantial 30.0% increase in their value compared to the same period in 2023. However, IJG Securities highlighted a 16.3% decrease in the number of approvals and a marginal 0.1% decrease in value on a twelve-month cumulative basis compared to the previous year.

South African Rand Plummets Amid Global Economic Concerns

The South African rand experienced a sharp decline on Wednesday as investors moved away from riskier assets due to mounting global economic worries and geopolitical tensions, particularly following remarks by U.S. presidential candidate Donald Trump on Taiwan. By 5 PM, the rand was trading at 18.23 against the dollar, marking a drop of over 1% from its Tuesday close, according to Reuters.

Nigeria Seeks Additional Budget Funds

In Nigeria, President Bola Tinubu has requested the Senate to approve an additional US$4 billion to address budget shortfalls for the year. Reuters reports that in his letter to lawmakers, Tinubu also proposed a one-off windfall tax on banks’ foreign exchange gains to raise revenues. These funds are intended for capital infrastructure development, education, healthcare, and welfare initiatives.

Yen Strengthens Amid Speculation of Official Intervention

Japan’s yen reached a six-week high on Thursday, leading to speculation about potential official intervention. Concurrently, the dollar faced broad losses as markets anticipated U.S. rate cuts in the coming months. The euro hovered near a four-month peak at $1.094, and sterling remained steady at $1.3007, just below its one-year high. The yen continued its upward trajectory, gaining 0.5% to reach 155.37 per dollar during the early hours of the Asia session.

Financial Indicators

• Namibia Dollar: N$18.19 to the US$, N$19.90 to the Euro, N$23.67 to the Pound.
• Gold: $2,458.42 per fine ounce.
• Brent Crude: $83.73 per barrel.
• Bitcoin: $1,173,553.02 per coin.

Stay tuned for more updates on the latest financial and economic developments.