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Ethiopian Airlines mandates dollar-only ticket purchases for international travelers

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Ethiopian Airlines has announced that airline tickets for passengers outside the country will now only be available for purchase in US dollars. Previously, air transport tickets for international travelers could be bought using birr if they come to Addis Ababa, but this change is effective immediately fom Monday July 8, 2024.

The new policy will affect companies with the issue of limited dollar availability. Concerns have been raised about the potential impact of this decision, with sources indicating that it could significantly affect their operations.

Traditionally, Ethiopia has allowed foreign tourists to purchase air tickets in local currency during their visits. However, under the new system implemented by Ethiopian Airlines, these purchases must now be made in dollars.

Last week Capital reported that the inability of airlines to repatriate funds from ticket sales in Ethiopia is hindering the country’s economic growth and recovery citing industry leaders.

As of June 2024, Ethiopia had $115 million in airline funds blocked from repatriation, the third highest amount in Africa behind only Algeria ($261 million) and the CFA Franc Zone countries ($140 million). This represents over 13% of the total $880 million in blocked airline funds across the African continent.

“The blocked funds issue is a significant constraint on our ability to invest and operate effectively in the Ethiopian market,” said Kamil Alawadhi, IATA’s Regional Vice President for Africa and the Middle East. “It undermines confidence, limits route network development, and reduces the economic benefits that aviation can deliver for Ethiopia.”

IATA’s latest industry forecast projects that African airlines will return to profitability in 2024, earning a collective net profit of $100 million. However, this equates to just 90 cents per passenger – well below the global average of $6.14 per passenger. Alawadhi noted that the blocked funds crisis in countries like Ethiopia is a major factor holding back the aviation sector’s contribution to economic growth across the continent.

“Aviation is a catalyst for jobs, trade, tourism and economic development. But we can only fulfill that potential if governments ensure airlines can repatriate their revenues without unnecessary barriers,” said Alawadhi. “Resolving the blocked funds issue in Ethiopia and across Africa needs to be an urgent priority.”

Next Generation of Energy Leaders to Drive Transformation at the African Energy Week (AEW) 2024

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With Africa serving as a dynamic hub for oil and gas, renewable energy and cutting-edge technologies, the participation of youth in the sector is crucial to bringing in new perspectives, fostering innovation and effecting policies that drive inclusive growth. The African Energy Week (AEW): Invest in African Energy 2024 conference, scheduled for 4-8 November in Cape Town, will spotlight the role of youth in Africa’s energy landscape through a dedicated Youth Energy Roundtable.

Africa is home to the world’s youngest population, with over 60% under the age of 25. As a result, the Youth Energy Roundtable aims to cultivate the next generation of leaders and equip them with the skills, knowledge and professional networks to maximize their full potential, drive sustainable resource development and navigate the evolving energy landscape. AEW 2024: Invest in African Energy will host discussions around emerging clean technologies, inclusive energy policies and the imperative for investing in youth-based programs.

AEW: Invest in African Energy is the platform of choice for project operators, financiers, technology providers and government, and has emerged as the official place to sign deals in African energy. Visit www.AECWeek.com for more information about this exciting event.

With over 600 million Africans lacking access to reliable electricity, emphasis has been placed on advancing gas-to-power projects and introducing renewable energy and off-grid technologies to rural communities, with both sub-sectors offering significant opportunities for young entrepreneurs. Financial support is essential for enabling youth to actively participate in Africa’s energy sector and contribute to global energy solutions, along with education, training and entrepreneurship opportunities. Accordingly, the Youth Energy Roundtable will discuss strategies for increasing access to capital and fostering collaboration among financial institutions and the private sector to support youth-led initiatives.

In tandem with these efforts, the African Energy Chamber (AEC) – as the voice of Africa’s energy sector – is committed to supporting youth development through initiatives like the annual Energy Scholarship Award under its African Energy Education Fund. The program supports young Africans pursuing studies in oil, gas and energy fields, providing critical financial aid and educational resources. By investing in the next generation of leaders, the AEC is laying the groundwork for a skilled workforce capable of driving Africa’s energy future.

Furthermore, the African Youths in Energy Network – an organization created to empower young Africans to become energy entrepreneurs – serves as a valuable platform for young professionals to collaborate on sustainable energy projects, access job placement assistance and participate in educational workshops and professional development opportunities. Initiatives like energy service provider Eenovators’ Youth in Energy Empowerment Program in East Africa are also instrumental in equipping young graduates with essential skills through mentorship, training and practical internships.

Youth participation is further bolstered by local content policies across the continent. South Africa’s Renewable Energy Independent Power Producer Procurement Program mandates substantial local sourcing, stimulating employment opportunities within the clean energy sector. Similarly, Nigeria’s Oil and Gas Industry Content Development Act prioritizes local products, services and employment and is bolstered by the Nigerian Content Development and Monitoring Board, which forges strategic partnerships with industry stakeholders and educational institutions to improve infrastructure, formulate local content strategies and promote STEM education initiatives. These initiatives are designed not only to alleviate unemployment, but also create a skilled youth workforce.

Meanwhile in Namibia, the Namibia Youth Energy Forum – sponsored and endorsed by Namibia’s national oil company NAMCOR – aims to empower young Namibians to drive the sustainable energy transition by offering support to build a lively network of young leaders who drive positive change in the energy industry via education, advocacy and cooperation. Mozambique’s Industrial and Commercial Institute of Pemba has trained over 100 young graduates in construction mechanics and hospitality and tourism. Supported by the Mozambique LNG project, the program aims to train 390 young people in essential economic fields, including oil and gas processing, industrial electricity, general mechanics and hospitality and tourism.

In Senegal, the Support Project for Skills Development and Youth Entrepreneurship in Growth Sectors aims to improve African lives by supporting professional organizations in targeted sectors. The five-year project, funded by the African Development Fund, will assist 250 companies in the hydrocarbon sector, train 2,000 young people and generate 36,000 jobs. Meanwhile, the Youth-led Climate Change Adaptation and Mitigation for Sustainable Urban Development project in Cameroon aims to reduce wood fuel demand by teaching urban youth to recycle metal waste into energy-efficient stoves, reducing waste and promoting sustainable urban development. Similarly, the Youthinkgreen program in Egypt promotes sustainability and entrepreneurship among youth through educational programs, encouraging hundreds to innovate and create clean solutions in renewable energy, energy management and water sustainability.

“Our youth are not just the future of Africa’s energy sector – they are its present. Their innovation, enthusiasm and fresh perspectives can and will drive the transformation we urgently need when it comes to energy access. We must empower and invest in our youth today to ensure a prosperous and sustainable energy future for Africa,” states NJ Ayuk, Executive Chairman of the AEC.

During AEW 2024, the Youth Energy Roundtable will underscore the event’s commitment to harnessing the potential of Africa’s youth. It will serve as a key platform to empower young leaders and shape a sustainable energy future for generations to come.

Distributed by APO Group on behalf of African Energy Chamber.

Angola’s Minister Azevedo to Deliver Keynote at African Energy Week (AEW) 2024 Ahead of 2025 Licensing Round

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Angola’s Minister of Mineral Resources, Oil and Gas Diamantino Azevedo will deliver a keynote address at the African Energy Week (AEW): Invest in African Energy 2024 conference – taking place in Cape Town from November 4-8. During the event, Minister Azevedo is expected to outline strategic investment opportunities in Angola as the country prepares to launch its 2025 licensing round – offering ten blocks in the Kwanza and Benguela basins.

To support production growth, Angola has introduced a fresh slate of blocks spanning marginal fields, onshore and offshore opportunities. In a first for the country, five marginal fields are on offer in Block 4, Block 14, Block 15 and Block 18 – all of which are operational. Additionally, 24 other block opportunities are available, including nine offshore blocks as part of the 2025 limited tender and four onshore blocks in the Kwanza basin. Up to 11 blocks are available as part of the country’s permanent offer program, including deepwater assets in the offshore Lower Congo basin, shallow water acreage in the Kwanza basin and one deepwater block in the Namibe and Benguela offshore basins.

AEW: Invest in African Energy is the platform of choice for project operators, financiers, technology providers and government, and has emerged as the official place to sign deals in African energy. Visit www.AECWeek.com for more information about this exciting event.

In its recent licensing round which concluded in January 2024, Angola offered 12 blocks in the Lower Congo and Kwanza Basin, receiving 53 bids. This initiative is expected to attract significant foreign investment and spur technological advancements in the sector. This month, Angola awarded new concessions for Block CON 8 – located in the Lower Congo Basin – to oil and gas companies Etu Energias, Effimax Energy and Grupo Simples Oil. These efforts signal a move to revitalize the nations onshore potential.

Angola’s recently launched block opportunities follow a string of milestones achieved in the country in recent months. In May 2024, energy major TotalEnergies and its partners on Block 20/11 announced a final investment decision (FID) for the Cameia and Golfinho fields. The announcement signals the start of development of the $6 billion Kaminho deepwater project – the first large-scale deepwater development in the Kwanza Basin. This project is set to significantly boost Angola’s oil production and enhance its standing as a leading oil producer in Africa. The French major also made FID in 2022 for the development of the Begonia oil field and is set to commission the Block 17/06 project in late 2024. Set to produce 30,000 barrels per day (bpd) once operational, the project will utilize advanced subsea technology and contribute significantly to Angola’s oil output.

The government has also given the greenlight for international oil companies to ramp up exploration efforts in Angola, leading to significant discoveries. Energy major ExxonMobil, international energy companies Azule Energy and Equinor and national oil company Sonangol recently discovered oil in the Likembe-01 exploration well in Block 15, marking the first well to be drilled as part of the Angolan government’s Incremental Production Program. The Incremental Production initiative is set to offer new incentives to increase production at active blocks in the country as well as license extensions and favorable fiscal terms to investors.

Meanwhile, the government is expanding its oil and gas infrastructure to accommodate growing production and support regional demand. New initiatives include the increase of refining infrastructure and oil processing capacity, with the construction of the 200,000 bpd Lobito Refinery and the 60,000 bpd Cabinda Refinery underway. The first phase of the Cabinda Refinery will generate 30,000 bpd and is expected to be commissioned in November 2024.  

“Angola’s oil and gas sector stands at a pivotal juncture, demonstrating resilience and potential for growth. Despite being a mature market, efforts to revitalize exploration through competitive tenders, strategic marginal opportunities and regular engagement with IOCs are set to drive production growth. The country’s approach to attracting investment is one that should be replicated continent wide,” states NJ Ayuk Executive Chairman of the African Energy Chamber.

Minister Azevedo’s participation at AEW: Invest in African Energy is set to showcase Angola’s enabling environment, favorable investment policies and strong returns in the oil and gas sector. During the event, Minister Azevedo will affirm the Ministry’s vision for the sector, focused on expanding oil and gas production, enhancing local content and establishing diversified downstream industries.

AEW: Invest in African Energy will also feature an Invest in Angola Energies roundtable. During the roundtable, industry experts, government authorities and relevant stakeholders will gather to discuss strategies for maximizing exploration, investing in new technologies and exploring new frontiers in Angola’s promising oil and gas industry.

Distributed by APO Group on behalf of African Energy Chamber.

New United Nations High Commissioner for Refugees (UNHCR) household survey unveils alarming suffering for refugees and hosts in South Sudan

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A pilot socioeconomic survey carried out by UNHCR, the UN Refugee Agency, warns that the ongoing conflict in Sudan is exacerbating the already severe humanitarian crisis in South Sudan for refugees and the communities hosting them.

The findings of UNHCR´s first-ever Forced Displacement Survey (FDS) conducted between April and December 2023 on some 3,100 households in South Sudan show that refugee and hosting communities face similar challenges that aggravate protection risks and limit self-reliance opportunities. Results show that those forced to flee to South Sudan often arrive in rural areas with limited basic services, high unemployment rates, lack of education opportunities, poor infrastructure and overcrowded shelters.

While realities vary among the host communities and refugees who participated in the survey living in the north and the south of the country, the results paint a worrying picture for all. Food insecurity remains the most prominent challenge, with about 74 per cent of both refugee and host community households surveyed experiencing hunger in the previous month. Over two-fifths of both groups saw their incomes from all sources fall relative to the previous year.

The current crisis in Sudan has driven large numbers of refugees and returnees into South Sudan, increasing the refugee population in areas already impacted by sporadic inter-communal violence and overstretched services. South Sudan´s economy has been further disrupted by the war in the neighbouring country, particularly resulting from the closure of the country´s main oil pipeline.

“Millions of South Sudanese live below the poverty line and the war in Sudan is taking a heavy toll on the country’s economy,” said Marie-Helene Verney, UNHCR Representative in South Sudan. “In this context, integrating refugees is particularly challenging, and it is crucial that we now link humanitarian assistance to stabilization and development programmes to the extent possible.”

In the coming weeks, unprecedented high-water levels in Lake Victoria and forecasts of above-average rainfall across the region threaten to exacerbate an already dire situation. Severe and persistent flooding over previous years has seriously damaged crops, agricultural land and farming infrastructure, impacting food production and livelihoods.

“South Sudan is home to an overwhelmingly young population. The world needs to invest in them, and give them the tools and opportunities to build a better future,“ Verney added. “Despite the challenges, the Government of South Sudan has opened its doors to provide safety to those fleeing war. But overstretched resources can easily translate into tensions. Substantive long-term investments are crucial to improving the wellbeing of refugees and the communities hosting them.”

South Sudan hosts over 460,000 refugees, mainly from Sudan, the Democratic Republic of the Congo and Ethiopia. Most refugees live in the North and have been in the country for over a decade. Since the war started in Sudan over a year ago, South Sudan is receiving an average of 1,600 people a day, including refugees from Sudan and South Sudanese returning to a country many of them had never lived in.

The new UNHCR FDS gathers comprehensive socioeconomic data on refugees and host communities that is comparable across populations and time. Including statistics on demography, legal status and basic needs such as water, shelter and health, the survey is the first of its kind delivering insights to improve programming and policies, bridging the gap between humanitarian and development spaces. The results will be used to better target assistance to where it is most needed within the country.

For more information, please contact:

In Nairobi (regional), Faith Kasina, kasina@unhcr.org, +254 113 427 094
In Juba, Gift Friday Noah, noah@unhcr.org, +211 922 654 219
In Geneva, Olga Sarrado, sarrado@unhcr.org, +41 797 402 307

Distributed by APO Group on behalf of United Nations High Commissioner for Refugees (UNHCR).