Föhrenbergkreis Finanzwirtschaft

Unkonventionelle Lösungen für eine zukunftsfähige Gesellschaft

Posts Tagged ‘Nigeria’

The Oil Rally: What Comes After $50

Posted by hkarner - 30. Mai 2016

Date: 29-05-2016
Source: The Wall Street Journal

Prices could still rise in the short term though long-term outlook is subdued

Drip, drip, drip. The leak in the world oil market is getting annoying, helping to push crude prices above $50 a barrel for the first time this year.

So where do we go from here? While demand is a slow-moving beast, supply sometimes isn’t. Despite near-record inventory, traders are right to price in the risk of the market getting tighter in a hurry.

That means prices could still rise in the short term, even though the long-term outlook remains more subdued. In other words, while $60 oil is a distinct possibility in coming months, the market is far from its heyday. Producers may not even be budgeting for $50. Den Rest des Beitrags lesen »

Posted in Artikel | Verschlagwortet mit: , , , | Leave a Comment »

The Coming Wave of Oil Refugees

Posted by hkarner - 29. Januar 2016

Photo of Michael Meyer

Michael Meyer

Michael Meyer, a former communications director for UN Secretary-General Ban Ki-moon, is Dean of the Graduate School of Media and Communications at Aga Khan University in Nairobi.

JAN 29, 2016, Project Syndicate

NAIROBI – The idea that oil wealth can be a curse is an old one – and it should need no explaining. Every few decades, energy prices rise to the heavens, kicking off a scramble for new sources of oil. Then supply eventually outpaces demand, and prices suddenly crash to Earth. The harder and more abrupt the fall, the greater the social and geopolitical impact.

The last great oil bust occurred in the 1980s – and it changed the world. As a young man working in the Texas oil patch in the spring of 1980, I watched prices for the US benchmark crude rise as high as $45 a barrel – $138 in today’s dollars. By 1988, oil was selling for less than $9 a barrel, having lost half its value in 1986 alone. Den Rest des Beitrags lesen »

Posted in Artikel | Verschlagwortet mit: , , , , | Leave a Comment »

Business in Nigeria: Africa’s testing ground

Posted by hkarner - 23. August 2014

Date: 22-08-2014
Source: The Economist

To make it big in Africa, a business must succeed in Nigeria, the continent’s largest market. No one said it would be easy

IN 2001 MTN, a fledgling telecoms company from South Africa, paid $285m for one of four mobile licences sold at auction by the government of Nigeria. Observers thought its board was bonkers. Nigeria had spent most of the previous four decades under military rule. The country was rich in oil reserves but otherwise desperately poor. Its infrastructure was crumbling. The state phone company had taken a century to amass a few hundred thousand customers from a population of 120m. The business climate was scarcely stable.

MTN took a punt anyway. The firm’s boss called up colleagues from his old days in pay-television and found they had 10m Nigerian customers. He reasoned that if they could afford pay-TV they could stump up for a mobile phone. Within five years MTN had 32m customers. The company now operates across Africa and the Middle East. But Nigeria was its making and remains its biggest single source of profits.

Tales of rich rewards have many firms scrambling to invest in Nigeria. Africa contains some of the world’s fastest-growing economies. Nigeria is the largest. In April its official GDP figures were revised up by 90% after hopelessly dated numbers were rebased. Roughly one in five of Sub-Saharan Africa’s 930m people lives there. Its population is growing at a rate of 2-3% a year (see charts). Its people are young, ambitious and increasingly well educated.

NigeriaNigeria’s promise has made it a test-bed for the Africa strategies of consumer-goods firms. This is not only because of its size. It is also because of the spread of Nigerian culture—its music and movies—around Africa, says Yaw Nsarkoh of Unilever. The Anglo-Dutch company has been trading in Nigeria for nearly a century and is expanding its operations. Nestlé, a Swiss rival, plans to triple sales over the next decade. Procter & Gamble, another global consumer giant, has just completed a factory near Lagos, its second in Nigeria. SABMiller, the world’s second-largest beermaker, built a state-of-the-art brewery in Onitsha, in the Niger Delta, in 2012 and is already adding capacity.

Just as Nigeria is used as shorthand for the business opportunity in Africa it is also a summary of the continent’s shortcomings. An outbreak of Ebola in Guinea has spread to Lagos. Attacks by Boko Haram, a fanatical Islamist group, are a chilling reminder that conflict is never far away in Africa. Transport and power infrastructure is poor. The rules of the game for business can change quickly and for the worse. Reaching a mass of consumers is no small task because most shopping is done in open markets or at roadside stalls. Yet a growing band of global firms believes the business opportunity in Nigeria will outweigh the risks.

A shortage of electricity is one of the worst problems. Power cuts are frequent. Nigeria is ranked 185th out of 189 countries for ease of getting electricity in the World Bank’s “Doing Business” survey. Its power stations generate just 4GW of electricity, a tenth of the capacity in South Africa, the continent’s second-largest economy, which itself faces shortages. Den Rest des Beitrags lesen »

Posted in Artikel | Verschlagwortet mit: , , | Leave a Comment »