ESG’s Role in Shaping Green Growth for African Trade and Investments

Editor's Note

Welcome to your August edition of the Africa Bulletin.

This issue zeroes in on ESG's pivotal role in shaping Africa's green growth prospects for trade and investments. As sustainability gains ground across the continent, the upcoming Africa Climate Summit (4-6 September) heightens the importance of ESG practices in operational strategies for African nations and organisations. Concurrently, governments are taking proactive measures, enacting legislation and regulations to address pressing environmental concerns.

Amidst this backdrop, preparations for the Africa Climate Summit are underway, revolving around the theme "Green Growth and Climate Finance for Africa." The summit aims to present a forward-looking agenda, harnessing Africa's abundant human and natural resources to foster climate-positive progress. Its focus spans solutions that drive climate action, stimulate economic expansion, and safeguard Africa's competitive standing in global markets amid emission challenges.

Our lens also spans vital African business narratives, delving into their regional, continental, and global implications. These stories interconnect with comprehensive reports centered on Africa's tax landscape, fintech evolution, investment dynamics, and economic advancement.

As always, we've curated news stories to navigate you through today's business environment, offering a global perspective on the legal issues relevant to your industry.

We are ALN. One region, One vision, One ALN.

Top Story

Amidst current trends on the African continent, there’s a notable surge in emphasis on sustainability. Many African nations recognise its significance and put Environmental, Social, and Governance (ESG) practices in their operations. Concurrently, governments are also taking decisive steps, enacting legislation and regulations to tackle pressing environmental challenges. For instance, South Africa’s Climate Change Bill is gaining traction...Read more .

1. Africa | Africa Backs USD 514 Billion in New City Projects to Solve Urbanisation Challenges?- Private developers and governments across Africa are backing over two billion square metres of land...Read more.
2. Africa | Africa’s Deepwater Leads Global Oil, Gas Exploration - Deepwater areas of Africa and the Eastern Mediterranean are set to lead the global oil and gas industry in a USD 22 billion yearly exploration spending...Read more
3. West Africa | 19 Countries to Benefit from ECOWAS USD 338.7 Million Off-grid Electricity Project - The Economic Community of West African States has signed a contract with TSC Global, an international African...Read more
4. East Africa | EAC seeks to Ease Electricity Sales with Creation of a Regional Board - by the end of 2024, East Africa will have established the East African Electricity Regulatory Board, which will enable the ease of power...Read more
5. Morocco | Morocco Plant to Receive USD 20 Billion from Chinese Cobalt Supplier Huayou - Chinese cobalt supplier Huayou unveiled plans to invest USD 20 billion in a factory dedicated to manufacturing batteries...Read more
6. Nigeria | NEXIM, AFREXIM Eye USD 6.6 Billion Market to Unlock Funding to MSMEs - The Nigerian Export-Import Bank and the African Export-Import Bank have rallied stakeholders to commence the services with...Read more
7. Uganda | State in Talks with Potential Partners for USD 4 Billion Oil Refinery - Uganda has initiated talks with undisclosed partners from Africa, the Middle East and China for developing a proposed...Read more
8. South Africa | South Africa’s USD 2.6 Billion Renewable Rail Plan on Track - AP Moller-Maersk A/S, Port of Rotterdam, Bouygues SA and Yapi Merkezi are among the companies that have been asked to...Read more

Reports

OECD | Tax Transparency in Africa 2023

Domestic resource mobilisation (DRM) is at the fore of the development agenda in Africa. With this in mind, the African Union Commission (AU Commission) supports initiatives that strive to reduce Africa’s dependency on external sources of revenue and sustain DRM on the continent. This includes the fight against all forms of illicit financial flows (IFFs) that deprive African nations of the much-needed resources for their development. The Africa Initiative is a concrete and impactful contribution tackling tax evasion and other forms of IFFs through tax transparency.

Click here to download and read the report.

Disrupt Africa | The African Tech Startups Funding Report

This report provides an analysis of seven key markets across the continent and details of funding trends in a further 20 countries. It also looks in-depth at 15 different tech sectors. A separate section is dedicated to tracking acquisitions on the continent, while the full list of funded African tech startups is provided as an appendix, sorted by country and sector. In addition, the report looks at the makeup of founder teams in terms of gender and nationality and examines the job creation ability of funded African tech ventures.? ??

Click here to download and read the report.

UNCTAD | Economic Development in Africa Report 2023

UNCTAD’s Economic Development in Africa Report 2023 examines the continent’s potential to participate in global supply chains for high-technology sectors like automobiles, mobile telephones, renewable energy and health care. Recent disruptions due to trade turbulence, economic uncertainty, a global pandemic and geopolitical events have compelled manufacturers worldwide to diversify their production locations and geographical footprint. This presents opportunities for African governments and businesses to position the continent as the new destination for global supply chains.?

Click here to download and read the report.?

UNCTAD | World Investment Report

This report shows that global foreign direct investment (FDI) fell?in 2022 and analyses how investment policy and capital market trends impact investment in the SDGs, particularly in clean energy. It highlights that developing countries need renewable energy investments of about USD 1.7 trillion yearly but will attract only USD 544 billion in clean energy FDI in 2022.??The report calls for urgent support to developing countries to enable them to attract significantly more investment for their transition to clean energy. It proposes a compact setting out priority actions, ranging from financing mechanisms to investment policies, to ensure sustainable energy for all.

Click here to download and read the report.?

Thank you for being a part of our community, and we hope you find this edition of the Africa Bulletin informative and inspiring.