Rwanda’s government faces the prospect of aid being cut in the wake of allegations it supports militants across its border in the Democratic Republic of Congo. But finance minister John Rwangombwa is confident the country’s impressive economic progress in recent years will be sustained.
The central bank governor of the Economic and Monetary Community of Central Africa says that the advantages of the CFA franc’s peg to the euro greatly outweigh the disadvantages, but he believes deeper integration among its six members is needed for them to realise their potential in the long term.
In light of the growing demographic bulge in the Middle East and north Africa, regional governments must focus on generating new employment opportunities. At the top of their agenda should be growing the role of the private sector and prioritising the development of small and medium-sized enterprises, both of which can be achieved by much-needed regulatory reforms and a rethinking of the economic landscape.
Islamic finance is increasingly being viewed as a credible alternative to conventional finance, but Hussain Al-Qemzi, group chief executive of Dubai-based Noor Investment Group and chief executive of Noor Islamic Bank, recognises that Islamic institutions must work together if they are to compete with conventional banks.
The steady growth of sharia-compliant assets suggests banks believe in the future of the sector, but the dismantling of the largest cross-border Islamic window raises questions about whether global banking groups can make a success of the business.
South Africa’s capital markets have been resilient amid a surge of negative news emanating from the country following the killing of 34 miners in August. But many bankers say the situation could deteriorate quickly if economic growth does not pick up or if labour unrest is not calmed.