Essential The Africa the Media Doesn't Tell You About

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Yehuda

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Spotify enters South African market

MARCH 13, 2018 / 3:41 AM / 2 DAYS AGO

JOHANNESBURG (Reuters) - Global music streaming provider Spotify is set to launch its services in South Africa on Tuesday, marking its entry into Africa, where there is a rapid uptake of smartphones and improving telecommunications infrastructure.

The Swedish company, launched in 2008 and available in more than 60 countries, is the biggest music streaming company in the world and counts services from Apple Inc, Amazon.com Inc and Alphabet Inc’s Google Play as its main rivals.

The South Africa launch comes as Spotify prepares for a direct listing of its shares on the New York Stock Exchange, which will allow investors and employees to sell shares without the company raising new capital or hiring Wall Street banks to underwrite the issue.

“We believe South Africa is a wonderful country to start in,” Spotify Managing Director in Middle East and Africa Claudius Boller told Reuters on the sidelines of the launch.

“We looked at the technology landscape, we looked at the maturity and actually South Africa is seen globally as a very important music market.”

Spotify also has aspirations to branch out into the rest of Africa, Boller said, without committing to timelines or geographies.

An increase in connectivity across South Africa, helped by higher investment in infrastructure, as well as a growing uptake in credit cards and bank accounts has drawn global video and music streaming providers.

Its music streaming market is dominated by players such as Apple Music, Google Play, France’s Deezer and Simfy Africa, with only a few local operators such as mobile phone operator’s MTN and Cell C with MTN Music+ and Black.

Internet and entertainment firm Naspers also recently launched music streaming platform Joox, from China’s Tencent, in which it holds a 33 percent stake.

In its filing to list its shares, Spotify said its operating loss widened to 378 million euros ($465.32 million) in 2017 from 349 million euros.

($1 = 0.8123 euros)

Reporting by Nqobile Dludla; editing by Jason Neely and Pritha Sarkar

Our Standards: The Thomson Reuters Trust Principles.

Spotify enters South African market
 

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As Commodities Roar, Africa Wants Bigger Slice of the Mining Pie

One by one, the biggest names in African mining are getting squeezed. The tactics might be blunt, but the message is clear: the countries where they operate want a bigger share of the proceeds.

The collapse in commodities through 2015 hobbled some of Africa’s biggest resource economies, stunting growth and leaving budgets short. Since then a recovery in prices has sent the continent’s biggest miners soaring, boosted profits and rewarded shareholders with bumper payouts. But a lack of returns to governments is drawing a backlash from Mali in the Sahara to Tanzania on the Indian Ocean.

Zambia is the latest flash point. Africa’s second-biggest copper producer slapped a $7.9 billion tax assessment on First Quantum Minerals Ltd. and said it’s planning an audit of other miners in the country. Companies operating in Zambia include units of Glencore Plc and Vedanta Resources Plc.

Next door in the Democratic Republic of Congo, Glencore, the world’s biggest commodity trader, is dealing with a dispute over a new mining code that dramatically boosts taxes, while major gold producer Mali has reportedly said it might follow Congo’s example. Tanzania has all but crippled its biggest gold miner Acacia Mining Plc, a unit of Barrick Gold Corp., with export bans and a whopping $190 billion tax bill.
As Commodities Roar, Africa Wants Bigger Slice of the Mining Pie
 

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Hours after an agreement over an alleged siting of a U.S. military base in Ghana was reported by the media, Ghanaians have expressed outrage at the deal which is yet to be approved by parliament.

A “secret” document sent to parliament for approval last week by Ghana’s Minister of Defence Dominic Nitiwul was published by local news portals on Tuesday. It revealed that Ghana’s cabinet has been negotiating with the U.S. in the past eight months to set up military facilities in the country.


The agreement cited by Face2Face Africa grants the U.S. forces and contractors “unimpeded access to and use of agreed facilities and areas” and Ghana will “furnish without rental or similar costs to the United States all agreed facilities and areas including those jointly used by the United States Forces and Ghana.”

“United States Forces and Contractors shall not be liable to pay tax or similar charge within Ghana in connection with this agreement” and for imports and exports, they “shall be exempt from any inspection, license other restrictions, customs duties taxes or any other charges within Ghana,” states the 12-page agreement which among others grants the U.S. free use of Ghana’s radio spectrum.

The agreement was not received well by the Ghanaian public especially after years of denial by both Ghana and the U.S. government that there were no plans to set up a base in the country.

Former U.S. President George Bush had assured during a visit to Ghana in 2008 that they had no intention of building a military base in Africa but an office in an undisclosed African country to host the Africa focused U.S. military command, Africom, which is currently headquartered in Stuttgart, Germany.

An opposition Member of Parliament, Sam George, said on local radio Starr FM that the agreement was “shameful” and an “insult” to all Ghanaians.

“This is an insult to everybody and every properly minded Ghanaian should stand up against it. We’re going to incur the wrath of Al-Qaeda and even Invincible Forces, we can’t stand them. We are not an ally of the US, we are friends,” he was quoted by Starrfmonline.com.

“We’ve become the mistress of America. You can’t sell our sovereignty. We’ll use every positive defiance action. It is shameful. Our sovereignty must remain intact and won’t allow a President who is at his wits end to pander to the whims and caprices of the US,” he added.

The backlash flooded both traditional and social media prompting the minister’s quick reaction to deny the reports saying the document is not a secret and the U.S. is not building a military base in Ghana.

The Minister of Defence, Dominic Nitiwul, explained that the document is a “defence cooperation agreement” between the two countries for joint training which involves the use of two building at the Kotoka International Airport.

“This agreement is not the first time and is no different from joint exercises held over the years … I have no authority to grant tax waivers,” he was quoted by the Daily Graphic, adding that the partnership is strategic to strengthen Ghanaian forces against terrorism and terror attacks.

The United States Embassy confirmed the minister’s statement saying, “The United States Embassy wishes to underscore that the United States has not requested, nor does it plan to establish a military base or bases in Ghana.”

“The United States and Ghana are planning joint security exercises in 2018 which require access to Ghanaian bases by U.S participants and those from other nations when included. We refer all questions to the government of Ghana,” the U.S. embassy added.

Statement on Status of Forces Agreement. #USinGhanapic.twitter.com/alyu6s7JTg

— US Embassy Ghana (@USEmbassyGhana) March 20, 2018


Ghanaians reject U.S. ‘military base’ after ‘secret’ deal exposé - Face2Face Africa
 

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Congo could aleast try to be like how Saudi Arabia when they were dominating oil producing
We will be driving electric cars in the future over diesel, so they could be to cobalt what Saudi Arabia is for oil.

Are there any Congolese on here? what is their take on Katumbi and manufacturing and mining
 

Bawon Samedi

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Congo could aleast try to be like how Saudi Arabia when they were dominating oil producing
We will be driving electric cars in the future over diesel, so they could be to cobalt what Saudi Arabia is for oil.

Are there any Congolese on here? what is their take on Katumbi and manufacturing and mining
@Frangala
 

Apollo Creed

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Congo could aleast try to be like how Saudi Arabia when they were dominating oil producing
We will be driving electric cars in the future over diesel, so they could be to cobalt what Saudi Arabia is for oil.

Are there any Congolese on here? what is their take on Katumbi and manufacturing and mining

If Congo focused on creating industry to manufacture electronics and not just export raw materials I`d assume they could undercut anyone (since there is no middle man taking a cut)?
 

AB Ziggy

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If Congo focused on creating industry to manufacture electronics and not just export raw materials I`d assume they could undercut anyone (since there is no middle man taking a cut)?

That's gonna require outside forces to teach them business and manufacturing skills. That's where China comes in.
 

Apollo Creed

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That's gonna require outside forces to teach them business and manufacturing skills. That's where China comes in.

true but they'd be cutting china out the mix unless it's chinese companies who in turn use Congo for their manufacturing instead of doing it in China.
 

Bawon Samedi

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If Congo focused on creating industry to manufacture electronics and not just export raw materials I`d assume they could undercut anyone (since there is no middle man taking a cut)?
I always said that the DRC would be the second coming of the Mali Empire. Like the Mali Empire they would have a big ass monopoly.
 
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