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Dangote Calls for Improved Funding to Fight Malaria

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  • Dangote Calls for Improved Funding to Fight Malaria

Africa’s richest man and the President of Dangote Group, Alhaji Aliko Dangote, has called for improved funding to fight the malaria scourge in the country, stating that the effects on the nation and her economy are devastating.

Speaking yesterday in Lagos when the Dangote Foundation, which he chairs, led other stakeholders in launching a private sector Engagement Strategy against Malaria (PSESM), he said: “In addition to direct costs to businesses and the economy, it indirectly damages the economy through the deterioration of human capital, and loss in savings, investments and tax revenues. This is clearly too high a cost to society and to the economy.”

His remarks came on the heels of the 2016 Philanthropy of the Year award won by the Dangote Foundation at the All Africa Business Leaders Awards (AABLA) held at the weekend in Johannesburg, South Africa.

The awards ceremony is the initiative of CNBC Africa and ABN to recognise and reward outstanding African companies for their performance in 2015.

According to a statement from the organisers of the awards, a total of Africa’s nine best business leaders were celebrated at the 2016 AABLA at the exclusive all Africa finale, held in Johannesburg and attended by prominent leaders of businesses drawn from across the continent, ambassadors and the Premier of Gauteng, David Makhura.

At the West African regional stage of the awards held in Lagos on October 20, Dangote Foundation emerged winner of the Philanthropy of the Year award, setting the stage for its emergence as overall winner of the African Philanthropy of the Year award.

Receiving the award, the Chief Executive of Dangote Foundation, Ms. Zouera Youssoufou, thanked the organisers for the honour accorded the Foundation and Dangote Group.

Represented by the Chief Executive of Sephaku Cement, South Africa, Pieter Fourie, she said the belief of the Chairman, Dangote Foundation recognising that “to whom much is given, much is required”, led him to set up his Foundation back in 1993.

She explained that the Foundation in the last two years had grown and was restructured to have a greater impact, adding that the $1.25 billion endowment by Alhaji Dangote has made it the largest private philanthropy in Africa.

Youssoufou stated that the Dangote Foundation is focused on improving the livelihoods of the most vulnerable Nigerians and Africans, focusing on health, education and the economic empowerment of women.

According to her, the Foundation was the single largest contributor to the fight against Ebola in Nigeria and with the African Union, is working tirelessly to provide relief for the humanitarian crisis unfolding in Northern Nigeria as a result of the insurgency.

Meanwhile, Dangote Foundation mo0nday in Lagos led other stakeholders in launching a private sector Engagement Strategy against Malaria (PSESM).

PSESM, code named “Malaria to Zero” has the task of eliminating malaria by 2020.

The launch of the blue print in Lagos, which was spearheaded by the Dangote Foundation, saw the Minister of Health, Prof Isaac Adewole, making a passionate plea to private sector operators to help the government in the efforts at stamping out malaria in Nigeria completely, because the government alone could not succeed without the assistance of corporate firms.

The collaboration with the organised private sector, he stated, had become imperative given that over 30 million insecticide-treated nets used in Nigeria yearly, as well as over 80 per cent of the anti-malaria drugs in the country are imported, hence the need to look inwards to ensure that the drugs are manufactured locally.

He said: “We have been engaged in a series of advocacy which has yielded results, but advocacy is not enough, many people would have been bitten before coming under the insecticide treated-nets.

“We also need research and we realised that we can’t do it alone. That is why we are engaging the private sector. We need its discipline and efficiency in the local production of the drugs because that can generate employment in the country.”

The minister explained that over the last decade, substantial progress had been made in the control of malaria in Nigeria through significant investments from government and development partners.

Also, the supply and distribution of anti-malaria products has increased nationwide, he said.
According to Prof Adewole, over 100 million long-lasting insecticide treated nets were distributed within the last seven years to protect over 28 million out of the 33 million households in Nigeria.

In his remarks, Dangote lamented the effects of the malaria scourge on the nation and her economy.

He said that Nigeria’s transition from malaria control to elimination would provide a compelling opportunity for Nigeria to reflect on its aspirations, take stock on the progress, and inspire bold, innovative approaches with complementary public private partnerships to disrupt poor malaria outcomes.

Dangote noted that the private sector could play an important role in mobilising domestic resources, capabilities, innovation and advocacy platforms to catalyse progress in achieving Nigeria’s malaria pre-elimination agenda.

To lead by example for private sector active participation in achieving the task of eradicating malaria from Nigeria, Dangote, who is the National Malaria Ambassador, said he was committed to using his conglomerate, the Dangote Group of companies, as an example of what companies in Nigeria should be doing.

He disclosed that henceforth there would be “malaria education for my staff at all of our business locations, distribution of prevention tools and supplies to our workers in the factories and in the fields”.

Dangote said he co-founded the Private Sector Health Alliance of Nigeria (PHN), which is focused on mobilising the private sector across one coordinated platform to leverage private sector capabilities, advocacy, innovation and resources, and to complement government efforts in advancing health outcomes.

Other prominent people he had brought on board, according to him, include Microsoft founder, Mr. Bill Gates, and other prominent business leaders in Nigeria comprising Mr. Jim Ovia (co-chair), Mr. Aigboje Aig-Imoukhuede (Co-founder, Access Bank Plc), Mr. Herbert Wigwe (CEO, Access Bank Plc), Dr. Muhammad Ali Pate (co-chair), Mrs. Sola David Borha and other companies that had joined him in support of PHN.

Dangote called on more private sector leaders and companies to join the “Malaria to Zero” campaign and pool resources that would have an impact on a scale that is greater than the underlying corporate initiatives against malaria.

Dangote promised that he would continue to use his voice to bring attention to the fight against malaria, disclosing that he had recently accepted an invitation from Bill Gates and Ray Chambers to join them on the End Malaria Council.

Is the CEO/Founder of Investors King Limited. A proven foreign exchange research analyst and a published author on Yahoo Finance, Businessinsider, Nasdaq, Entrepreneur.com, Investorplace, and many more. He has over two decades of experience in global financial markets.

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Crude Oil

Oil Prices Steady as Israel-Hamas Ceasefire Talks Offer Hope, Red Sea Attacks Persist

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Amidst geopolitical tensions and ongoing conflicts, oil prices remained relatively stable as hopes for a ceasefire between Israel and Hamas emerged, while attacks in the Red Sea continued to escalate.

Brent crude oil, against which Nigerian oil is priced, saw a modest rise of 27 cents to $88.67 a barrel while U.S. West Texas Intermediate crude oil gained 30 cents to $82.93 a barrel.

The optimism stems from negotiations between Israel and Hamas with talks in Cairo aiming to broker a potential ceasefire.

Despite these diplomatic efforts, attacks in the Red Sea by Yemen’s Houthis persist, raising concerns about potential disruptions to oil supply routes.

Vandana Hari, founder of Vanda Insights, emphasized the importance of a concrete agreement to drive market sentiment, stating that the oil market awaits a finalized deal between the conflicting parties.

Meanwhile, investor focus remains on the upcoming U.S. Federal Reserve’s policy review, particularly in light of persistent inflationary pressures.

Market expectations for any rate adjustments have been pushed out due to stubborn inflation, potentially bolstering the U.S. dollar and impacting oil demand.

Concerns over demand also weigh on sentiment, with ANZ analysts noting a decline in premiums for diesel and heating oil compared to crude oil, signaling subdued demand prospects.

As geopolitical uncertainties persist and market dynamics evolve, observers closely monitor developments in both the Middle East and global economic policies for their potential impact on oil prices and market stability.

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Crude Oil

Oil Prices Sink 1% as Israel-Hamas Talks in Cairo Ease Middle East Tensions

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Oil prices declined on Monday, shedding 1% of their value as Israel-Hamas peace negotiations in Cairo alleviated fears of a broader conflict in the Middle East.

The easing tensions coupled with U.S. inflation data contributed to the subdued market sentiment and erased gains made earlier.

Brent crude oil, against which Nigerian oil is priced, dropped by as much as 1.09% to 8.52 a barrel while West Texas Intermediate (WTI) oil fell by 0.99% to $83.02 a barrel.

The initiation of talks to broker a ceasefire between Israel and Hamas played a pivotal role in moderating geopolitical concerns, according to analysts.

A delegation from Hamas was set to engage in peace discussions in Cairo on Monday, as confirmed by a Hamas official to Reuters.

Also, statements from the White House indicated that Israel had agreed to address U.S. concerns regarding the potential humanitarian impacts of the proposed invasion.

Market observers also underscored the significance of the upcoming U.S. Federal Reserve’s policy review on May 1.

Anticipation of a more hawkish stance from the Federal Open Market Committee added to investor nervousness, particularly in light of Friday’s data revealing a 2.7% rise in U.S. inflation over the previous 12 months, surpassing the Fed’s 2% target.

This heightened inflationary pressure reduced the likelihood of imminent interest rate cuts, which are typically seen as stimulative for economic growth and oil demand.

Independent market analysts highlighted the role of the strengthening U.S. dollar in exacerbating the downward pressure on oil prices, as higher interest rates tend to attract capital flows and bolster the dollar’s value, making oil more expensive for holders of other currencies.

Moreover, concerns about weakening demand surfaced with China’s industrial profit growth slowing down in March, as reported by official data. This trend signaled potential challenges for oil consumption in the world’s second-largest economy.

However, amidst the current market dynamics, optimism persists regarding potential upside in oil prices. Analysts noted that improvements in U.S. inventory data and China’s Purchasing Managers’ Index (PMI) could reverse the downward trend.

Also, previous gains in oil prices, fueled by concerns about supply disruptions in the Middle East, indicate the market’s sensitivity to geopolitical developments in the region.

Despite these fluctuations, the market appeared to brush aside potential disruptions to supply resulting from Ukrainian drone strikes on Russian oil refineries over the weekend. The attack temporarily halted operations at the Slavyansk refinery in Russia’s Krasnodar region, according to a plant executive.

As oil markets navigate through geopolitical tensions and economic indicators, the outcome of ongoing negotiations and future data releases will likely shape the trajectory of oil prices in the coming days.

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Cocoa Fever Sweeps Market: Prices Set to Break $15,000 per Ton Barrier

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The cocoa market is experiencing an unprecedented surge with prices poised to shatter the $15,000 per ton barrier.

The cocoa industry, already reeling from supply shortages and production declines in key regions, is now facing a frenzy of speculative trading and bullish forecasts.

At the recent World Cocoa Conference in Brussels, nine traders and analysts surveyed by Bloomberg expressed unanimous confidence in the continuation of the cocoa rally.

According to their predictions, New York futures could trade above $15,000 a ton before the year’s end, marking yet another milestone in the relentless ascent of cocoa prices.

The surge in cocoa prices has been fueled by a perfect storm of factors, including production declines in Ivory Coast and Ghana, the world’s largest cocoa producers.

Shortages of cocoa beans have left buyers scrambling for supplies and willing to pay exorbitant premiums, exacerbating the market tightness.

To cope with the supply crunch, Ivory Coast and Ghana have resorted to rolling over contracts totaling around 400,000 tons of cocoa, further exacerbating the scarcity.

Traders are increasingly turning to cocoa stocks held in exchanges in London and New York, despite concerns about their quality, as the shortage of high-quality beans intensifies.

Northon Coimbrao, director of sourcing at chocolatier Natra, noted that quality considerations have taken a backseat for most processors amid the supply crunch, leading them to accept cocoa from exchanges despite its perceived inferiority.

This shift in dynamics is expected to further deplete stocks and provide additional support to cocoa prices.

The cocoa rally has already seen prices surge by about 160% this year, nearing the $12,000 per ton mark in New York.

This meteoric rise has put significant pressure on traders and chocolate makers, who are grappling with rising margin calls and higher bean prices in the physical market.

Despite the challenges posed by soaring cocoa prices, stakeholders across the value chain have demonstrated a willingness to absorb the cost increases.

Jutta Urpilainen, European Commissioner for International Partnerships, noted that the market has been able to pass on price increases from chocolate makers to consumers, highlighting the resilience of the cocoa industry.

However, concerns linger about the eventual impact of the price surge on consumers, with some chocolate makers still covered for supplies.

According to Steve Wateridge, head of research at Tropical Research Services, the full effects of the price increase may take six months to a year to materialize, posing a potential future challenge for consumers.

As the cocoa market continues to navigate uncharted territory all eyes remain on the unfolding developments, with traders, analysts, and industry stakeholders bracing for further volatility and potential record-breaking price levels in the days ahead.

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