IN­VEST­MENT

The Mercury - - BUSINESS REPORT - |

on re­view for a down­grade to re­flect the un­cer­tainty around the po­ten­tial im­pli­ca­tions of the CBN and Nige­rian at­tor­ney-gen­eral’s an­nounce­ments on MTN’s credit pro­file.

Asief Mo­hamed, chief in­vest­ment of­fi­cer at Aeon In­vest­ment Man­age­ment, said it was im­per­a­tive that MTN sorted out its prob­lems in Nige­ria speed­ily.

“In the un­likely event that MTN is obliged to repa­tri­ate the div­i­dends to Nige­ria, it may put a strain on the MTN Groups fi­nan­cial po­si­tion and its abil­ity to ser­vice its South African debt,” Mo­hamed said.

MTN shares de­clined 2.93 per­cent on the JSE yes­ter­day to close at R86.88.

‘BUSI­NESS CO-OP­ER­A­TION VI­TAL’

AFRICA needs to mo­bilise large-scale, sus­tained in­vest­ment, es­pe­cially in in­fra­struc­ture if it is to seize the op­por­tu­ni­ties of the fu­ture, but African gov­ern­ments can­not do this with­out busi­ness, Pres­i­dent Cyril Ramaphosa said. “The pri­vate sec­tor and pri­vate mar­kets are key play­ers in the African in­vest­ment land­scape, sup­ported by the lend­ing ca­pac­ity of fi­nan­cial in­sti­tu­tions. If we are to un­lock and sus­tain the flow of cap­i­tal to Africa, we need to drive the eco­nomic re­forms nec­es­sary to cre­ate an en­abling busi­ness en­vi­ron­ment,” Ramaphosa said. “To be glob­ally com­pet­i­tive, to be­come in­vest­ment des­ti­na­tions of choice, we need to re­solve the prob­lems that keep in­vestors away. We have to ad­dress gov­er­nance chal­lenges such as pol­icy un­cer­tainty, fi­nan­cial mis­man­age­ment and cor­rup­tion. As African lead­ers, we must demon­strate a firm com­mit­ment to act against cor­rup­tion both within pub­lic in­sti­tu­tions and the pri­vate sec­tor. We must deal with bur­den­some red tape, pro­vide pol­icy and reg­u­la­tory cer­tainty, and strengthen our fi­nan­cial in­sti­tu­tions.” Ramaphosa was de­liv­er­ing a key­note ad­dress at the Africa In­vest­ment Fo­rum in Joburg. The fo­rum is punt­ing it­self as an in­vest­ment mar­ket­place to raise cap­i­tal to ad­vance Africa’s eco­nomic trans­for­ma­tion agenda.

| BLOOMBERG

NIGE­RIAN au­thor­i­ties said yes­ter­day that MTN’s court chal­lenges would be heard next month.

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