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EBRD approves investment in new African members
It said that the European Bank for Reconstruction and Development's (EBRD) board has approved new member countries Nigeria, Ivory Coast and Benin for investment following their approval. The move gives the countries the opportunity to access millions of euros worth of potential investment from EBRD. This is a long-planned expansion by the lender into Sub-Saharan Africa. In a press release, EBRD president Odile Renaud Basso stated that the EBRD would leverage its financial resources to boost economies in the countries and to provide new opportunities for their citizens. This will complement the work of the existing development partners. The EBRD Board formally approved the recipient country status of the three West African countries at its annual meeting held on Thursday. The bank has said that investments will start shortly after the amendment to the EBRD founding treaty enters into force in July. Kenya, Ghana and Senegal will also be considered for membership. However, they must still meet certain pre-membership criteria before the process can be completed. It was founded in 1991 to rebuild Eastern Europe after the Cold War. Since then, it has expanded to the Middle East and North Africa as well as Mongolia. Since its founding, it has invested over 200 billion euros ($223.72billion) and supported policy reforms for the development of the private sector. The private sector is partnered with to facilitate investments in natural resource, agricultural, infrastructure, and financial institutions. Renaud Basso, the CEO of the bank, said that the bank would focus on supporting the transition to a green economy, strengthening economic governance, and promoting human resiliency, including equal opportunities. Reporting by Libby George, Editing by Joe Bavier. $1 = 0.8940 euro
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Guinea cancels 46 mining licenses to signal stricter supervision of major operators
A government source said on Thursday that Guinea had revoked licenses for 46 mining companies in the country. This is seen by some analysts as a warning to the larger operators of the second largest bauxite producing nation in the world. The move coincides with a growing nationalist sentiment in Niger, Mali, and Burkina Faso where the authorities have tightened their control over their vast mineral resources since coups of 2020. The licences affected cover operations in bauxite and gold mining, as well as diamond and graphite production. However, industry sources claim that none of these companies are significant producers in Guinea's mines, which are dominated by international giants. One mining analyst, familiar with the situation and who asked to remain anonymous due to the sensitive nature, said: "These are small, underperforming licenses." "The impact on the market is negligible." Guinea is the largest producer of bauxite, which is the ore that's used to make aluminium. It also has significant reserves of iron ore and gold. The government didn't immediately respond to requests seeking comment on specific reasons for the revocation of the mining licences, or whether other large-scale operations could face similar action in the future. Guinea exported approximately 146.4 million metric tonnes of bauxite in the past year, according to a notice posted on LinkedIn by Guinea's Mines and Geology Ministry. Analysts say that major bauxite-producing nations in West Africa are on course to mine over 200 million tons of bauxite this year, a 35% rise from the record production last year. These producers are not affected by the license revocations. The revocation of a licence is in line with regulations, but "it could be interpreted by mining companies as a warning that the government wants to ensure projects are developed according to agreed terms," said an advisor from a pan African consultancy firm, who asked not to be identified.
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Brazil oil workers to strike in protest of Petrobras' austerity measures
The Brazilian federation for oil workers (FUP) announced a two-day strike warning against Petrobras, the state-owned oil company, on Thursday. "In protest at the stagnation in the negotiations with the company," a statement said. The oil giant has pledged to implement austerity measures in response to lower oil prices. Petrobras reported earlier this week a first-quarter earnings. Net profit The firm said it would need to reduce its investment by 35.2 billion reais (6.25 billion dollars) if Brent crude oil prices fall. Cut costs Where possible, please try to avoid using the internet. FUP stated that "dissatisfaction grew after statements made by Petrobras Chief Executive Magda Chambriard, signaling plans to contain expenses, despite the positive financial performance of the company," Petrobras’ variable compensation plan, and its cost-cutting policies that FUP called "incoherent", are the main issues of negotiation between the union and company. Petrobras didn't immediately respond to an inquiry for comment.
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Data shows that there is no rush to export in advance.
India's merchandise deficit in April was the largest in five months, according to data released by the government on Thursday. Imports of petroleum products increased, which limited the impact of a rise in exports to America. India's trade deficit in April was $26.42 billion, higher than the $20 million economists had predicted in a survey. It also increased from the $21.54 billion of the previous month. In April, exports totaled $38.49billion, while imports reached $64.91billion. This compares to $41.97billion of exports and 63.51billion of imports in march. India's oil imports increased to $20.72 Billion in April from $19 Billion in March. Gold imports dropped to $3.1 billion from $4.4 billion in March. The trade deficit is the highest it has been since November 2024. Madhavi Arora is an economist with Emkay Global. She said that the trade deficit was larger than expected. The surprise increase in electronic and oil imports surprised her. It is possible that the component imports for the final exports category may have increased, as orders are in process. This will reflect in data coming in future months. The tariff increases imposed by the U.S. on its trading partners have disrupted global trade and supply chain. India's purchasing manager's index indicated that export orders had increased. Official trade data, however, shows that April's outbound shipments were lower than March. This suggests that exporters did not make a concerted effort to increase their volumes in order to ship to the U.S. before the 90-day-pause in reciprocal tariffs on India and other countries. Trump announced on Thursday that a deal is near with New Delhi. Exports to the U.S. increased 27% in April to $8.42 Billion from $6.61 Billion a year ago. Electronic goods including mobile phones experienced the biggest year-on-year increase of 33% in March. Apple, the tech giant, had increased production of iPhones to avoid tariffs. In April, U.S. tariffs were increased by 145% on Chinese imports. The Chinese responded with a 125% duty on U.S. goods, which brought the trade between the two largest economies of the world to a complete standstill. Sunil Barthwal, India's Trade Secretary, said that trade talks between India & the U.S. are progressing well.
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Mali: Security forces kill and kidnap civilians
Malian forces killed and arrested around 20 Fulani civilians at a livestock auction in the central region of West Africa, according to a local activist. Women from the town of Diafarabe where the incident occurred staged a rare protest against their disappearance on Wednesday. The activist reported that "a survivor" who had managed to escape Diafarabe told him they had killed the victims, executed some, slitted their throats, and buried them all in a mass grave. The activist who cannot be named due to safety concerns is very close to Tabital Pulaaku - an international organization that represents the Fulani. The activist reported that the incident occurred on Monday, in a rural region on the banks the Niger River. The men were put on a canoe, and then taken to a cemetery island where they were murdered. The Mali armed forces have not responded to comments made on Thursday. The Russian mercenaries known as Africa Corps and Wagner, who were formerly in the military, are supporting the armed forces. They could not be contacted for comment. Human Rights Watch accused both groups for committing atrocities against civilians. Last month, the U.N. called for an inquiry after bodies in decomposition were discovered on the edge of a military base in the southwest Koulikoro area of Mali. The military government of the country, which took power in coups that occurred in 2020 and 2021 has expelled French forces and other Western troops and turned to Russia for support. The public is becoming increasingly frustrated with the ruling junta over the postponement and crackdown of political freedom. This month, hundreds of people rallied to demand multi-party elections. Chanting slogans such as "down with dictature, long live democracy", they chanted. The protests were in response to a recommendation by the national council that Assimi goita be given a five-year extension and all political parties be dissolved. (Reporting and writing by TiemokoDiallo, Ayen DengBior; editing by Jessica Donati & Ed Osmond).
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Phillips 66 reduces portfolio by selling German and Austrian retail sales amid Elliott pressure
Phillips 66 announced on Thursday that it would sell a 65% share in its German-Austrian fuel retail business, valued at $2.8 billion. The U.S. refiner is attempting to simplify its portfolio under pressure from activist investor Elliott Investment Management. Elliott, which owns a $2.5-billion stake in Phillips 66 has been pressing for major changes to the company. This includes the possible spin-off or sales of its midstream businesses. It is also seeking to refresh its board to align its strategic goals. Elliott did not respond immediately to a question about the divestment. Institutional Shareholder Services and Glass Lewis, two proxy advisory firms, recently recommended that shareholders support Elliott’s board nominees before Phillips 66’s annual general meeting (May 21), indicating a growing support for Elliott’s campaign. Phillips 66 is expecting to receive approximately $1.6 billion pre-tax from the sale. It plans to use the cash to reduce debt and increase shareholder returns. This could help it gain support from investors before the AGM. In morning trading, shares of the company fell by 0.8%. The deal will be with a consortium headed by Energy Equation Partners, Stonepeak and include 970 fueling station, of which 843 are branded JET. It is expected to close during the second half 2025. A newly formed joint-venture will allow the Houston-based firm to retain a non-operating 35% interest in its business. Phillips 66, as part of this deal, will continue to supply the company with fuel products produced at its MiRO refinery located in Karlsruhe, Germany. This contract is for a number of years. The refinery produces a variety of products, including transportation fuels and petrochemical feedstocks. It also produces home heating oil. Reporting by Tanay in Bengaluru, editing by Tasim.
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US manufacturing output drops in April due to weak auto production
The U.S. manufacturing sector is expected to struggle in the second quarter due to tariffs. The Federal Reserve announced on Thursday that factory output fell by 0.4% in April after a 0.4% increase, which was upwardly revised for March. The Federal Reserve said on Thursday that economists polled had predicted production would fall 0.2% following a 0.3% increase previously reported. In April, the production at factories grew by 1.2% compared to last year. The President Donald Trump's changing tariffs policy is a major headwind for manufacturing, which makes up 10.2% of the US economy and heavily relies on imported raw materials. The Trump administration reduced duties on Chinese imports to 30% last weekend from 145%. However, a tariff of 10% on almost all imports as well as a tax of 25% on motor vehicles and parts as well as steel and aluminum remained. Trump has defended tariffs, saying they are necessary to revive the U.S. industry base. However, economists claim it's impossible to bring back factories that have moved overseas, citing the high costs of production and labor. After a long slump caused by higher interest rates, manufacturing grew 4.8% in the first three months. The auto industry's output of vehicles and parts dropped by 1.9% in December after rising for the previous two months, likely because automakers were trying to keep up with tariffs. The motor vehicle industry has warned that tariffs will significantly reduce profits in 2018. Durable manufacturing production decreased by 0.2%. The nondurable manufacturing sector saw a 0.6% decline in production. After posting impressive gains in the two previous months, mining output fell by 0.3%. Utilities production recovered 3.3%. This followed two consecutive monthly declines. The overall industrial production remained unchanged in April after declining by 0.3% in the previous month. In April, it increased by 1.5% compared to the same period last year. Capacity Utilization for the Industrial Sector, a measure on how well firms use their resources, dropped to 77.7% in March from 77.8%. This is 1.9 points below the average for 1972-2024. The manufacturing sector's operating rate dropped by four-tenths a percentage point, to 76.8%. This is 1.4 points below the long-term average. Lucia Mutikani, reporting; Paul Simao, editing
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Two years after the Sudan war, drone attacks have cut off power in Khartoum State
Authorities said that drone attacks had cut off power in Khartoum, and other surrounding states, on Thursday. This was as the Rapid Support Forces, a paramilitary group, continued their long-distance attack campaign, more than two years after they began fighting with Sudan's Army. RSF, who has been largely pushed out from central Sudan over the past few months, has changed tactics, switching from ground attacks to drone strikes on power stations and dams in territory held by the army. Sudanese Electrical Company released a statement saying that drones had struck Khartoum on Wednesday evening. The Sudanese Electrical Company said that staff were working to extinguish large fires, assess the damage and repair it. The war between two opposing forces has destroyed the country. It has forced more than 13,000,000 people from their homes, and caused famine and diseases to spread. In the fighting, tens of thousands have been killed. RSF drone attacks on the army’s wartime capital Port Sudan, and other areas, have plunged the majority of the country into prolonged blackouts. The water supply has also been affected, adding to the difficulties and increasing the risk of spreading cholera and diseases. Army sources confirmed that the army continued to fight in southern Omdurman (part of Khartoum), where it was attacking pockets of RSF militants. The clashes have also forced thousands of people to flee the most active frontline during the war in Western Kordofan. The army has been trying to seize key oil-producing zones and advance into RSF territory. In the Darfur region the army is also trying to break the siege of the city al-Fashir - its last foothold. According to the United Nations, the conflict over the transition from military to civil rule has led to acute hunger in half of the population. The conflict has seen the momentum swing back and forth, but neither side appears to be close to winning. (Reporting and editing by Andrew Heavens; Khalid Abdelaziz, Nafisa eltahir)
Massive icefalls at Argentina's Perito Moreno Glacier cause awe and alarm
A deep cracking noise from the ice foretells the imminent dramatic fall. A block of ice 70 meters tall (230 feet) - about the height of a 20 story building - falls from the Perito-Moreno glacier face into the aquamarine waters below.
Visitors to Argentina's most famous Glacier have been drawn by the sight for many years. They wait on platforms in front of the ice for the next crack that will split the cool Patagonian atmosphere.
The size of ice fragments that are breaking off, a process known as "calving", has recently begun to alarm local glaciologists and guides, who were already concerned about the prolonged retreat of Perito Moreno. This glacier had defied the trend by maintaining its mass despite warmer climates causing glacial melt worldwide.
Pablo Quinteros is an official guide for Los Glaciares National Park, located in Santa Cruz province's southern part.
"Icebergs of this size have only been visible in the past four to six year," he said during a trip in April.
For decades, the face of the glacier that flows from Andean mountains to the waters of Lake Argentina had been more or less stable, with some years seeing an advance and others a retreat. In the last five decades, however, there has been a more pronounced retreat.
It had been in the same position or a similar one for the last 80 years. "That's unusual," said Argentine iceologist Lucas Ruiz, with the state science organisation CONICET. His research focuses on the future of Patagonian ice in the face climate change.
The Perito Moreno Glacier's face has begun to show signs of retreat since 2020.
He said the glacier would rebound, as it had done in the past, but for now it is losing between one to two meters of water per year. If this trend continues, the loss could accelerate.
Ruiz, a co-author of the 2024 state-sponsored report and a member of Argentina's Congress at the time, presented it to Congress. The report showed that, while Perito's mass was stable over the past half-century, the loss in mass since 2015 is the most rapid and prolonged in 47 years. It averages 0.85 meters per annum.
According to a UNESCO study published in March, glaciers are disappearing more quickly than ever. The last three years saw the greatest loss of mass on record.
You can't grasp the enormity of it
Ruiz stated that instruments used by his research team to monitor the glacier showed an increase in air temperatures in the area of 0.06 degrees Celsius every decade, and precipitation declining, indicating less accumulation of snow or ice.
Ruiz explained that "the thing about Perito Moreno was that it took some time to feel the climate change effects." Currently, however, melting and calving of the glacier's bottom is outpacing the accumulation of ice on the glacier's top.
The changes we see today show that the balance of forces has been upset, and today's glacier is losing in both thickness and area."
The glacier is still a popular attraction among tourists who take boats to witness the calving of the icebergs and their movement around the lake.
"It's insane. "It's insane," said Brazilian Giovanna Macado, on the deck of a boat that has to be cautious of sudden icefalls.
It's amazing. You can't even imagine the size of it in pictures. It's amazing. "I think everyone should visit here at least once during their lifetime." (Reporting and writing by Adam Jourdan, with additional reporting by Nicolas Cortes, Juan Bustamante and Bernan Parera. Editing and proofreading by Katy Daigle & Rosalba o'Brien).
(source: Reuters)