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Commodity slump pushes Africa back into IMF’s embrace – Reuters


JOHANNESBURG, April 15 (Reuters) – Falling commodity prices have pushed several African countries back into the embrace of the International Monetary Fund, which has an opportunity to push for reforms and inject transparency into opaque economies.

 Top of the list is Angola, Africa’s second biggest crude producer and third largest economy, which has not borrowed from the IMF since 2009 and just a few years ago had the Fund all but turning a blind eye to missing billions.

It is hardly alone, with depressed prices for commodities ranging from oil to copper sapping the budgets of African governments and sending them to the IMF, the “lender of last resort” which typically imposes tough conditions for assistance.

Gas-rich Mozambique and gold and oil producer Ghana, hard hit by the sour commodity cycle, both inked financial arrangements with the IMF in 2015, their first in six years, according to the Fund’s website.

Ghana’s was a three-year, $918 million assistance deal signed as its fiscal and current account deficits ballooned.

Africa’s second-largest copper producer, Zambia, started talks in March on an aid programme. Lusaka last signed a financial arrangement with the IMF in 2008.

And the region’s most industrialised economy, South Africa, which is also a major producer of platinum, gold and coal, may be forced to turn to the IMF if its credit rating gets downgraded to junk.

China this week offered Nigeria a loan of $6 billion to fund infrastructure projects but Africa’s top oil producer is still expected to also seek assistance from the IMF for the first time in almost two decades.

Continue to Reuters

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Angola overtakes Nigeria in crude oil production – The Cable

Angola is now the number one oil producing nation in Africa, taking over the position from Nigeria.

In its latest monthly report, the Organisation of Petroleum Exporting Countries (OPEC) said Nigeria’s oil production fell by 67,000 barrels per day (bpd) in March.

The report said Nigeria produced 1.677 million bpd in March, down from 1.744 million barrels in February, while Angola oil output rose from 1.767 million bpd to 1.782 million.

This is the second time in four months that Angola would overtake Nigeria’s crude oil production.
In November, OPEC’s statistics showed that Nigeria’s production fell by 250,000, making it produce 1.607 million bpd, down from 1.812 million bpd in October.

Nigeria's main oil union has threatened to shut down output from Africa's biggest producer if the government did not reverse its decision to remove popular fuel subsidies.

While Angola produced 1.722 million bpd, compared to 1.607 million bpd the previous month.
Pipeline vandalism has been the major challenge in Nigeria’s oil production.

In February, saboteurs hit the pipeline feeding Forcados crude oil, one of Nigeria’s biggest export terminals.

Forcados, which has the capacity to export about 400,000 bpd, was scheduled to export some 249,000 barrels of oil per day in February and March.

The pipeline was shut as a result of the attack. Quoting sources, Reuters said repair work on the facility operated by Shell will not end until June.

On Wednesday, President Muhammadu Buhari warned vandals blowing up oil and gas installations to desist immediately or face the same drastic action being taken against Boko Haram.

Source: The Cable 

As the crash in crude continues to hit hard on the country’s economy, Angola is now the number one oil producing nation in Africa, taking over the position of Nigeria. crude-oil-pipe-702×336-436x336In its latest monthly report, the Organisation of Petroleum Exporting Countries, OPEC, said Nigeria’s oil production fell by 67,000 barrels per day (bpd) in March. The report said Nigeria produced 1.677 million bpd in March, down from 1.744 million barrels in February, while Angola oil output rose from 1.767 million bpd to 1.782 million. This is the second time in four months that Angola would overtake Nigeria in crude oil production. In November, OPEC’s statistics showed that Nigeria’s production fell by 250,000, making it produced 1.607 million bpd, down from 1.812 million bpd in October. While Angola produced 1.722 million bpd, compared to 1.607 million bpd the previous month. Pipeline vandalism has been the major challenge in Nigeria’s oil production. Meanwhile, the prices of crude at the international market dropped to $41.87 per barrel, with Brent crude gaining strength at $44.32 per barrel.

Read more at: http://www.vanguardngr.com/2016/04/oil-crash-angola-overtakes-nigeria-crude-oil-production/

As the crash in crude continues to hit hard on the country’s economy, Angola is now the number one oil producing nation in Africa, taking over the position of Nigeria. crude-oil-pipe-702×336-436x336In its latest monthly report, the Organisation of Petroleum Exporting Countries, OPEC, said Nigeria’s oil production fell by 67,000 barrels per day (bpd) in March. The report said Nigeria produced 1.677 million bpd in March, down from 1.744 million barrels in February, while Angola oil output rose from 1.767 million bpd to 1.782 million. This is the second time in four months that Angola would overtake Nigeria in crude oil production. In November, OPEC’s statistics showed that Nigeria’s production fell by 250,000, making it produced 1.607 million bpd, down from 1.812 million bpd in October. While Angola produced 1.722 million bpd, compared to 1.607 million bpd the previous month. Pipeline vandalism has been the major challenge in Nigeria’s oil production. Meanwhile, the prices of crude at the international market dropped to $41.87 per barrel, with Brent crude gaining strength at $44.32 per barrel.

Read more at: http://www.vanguardngr.com/2016/04/oil-crash-angola-overtakes-nigeria-crude-oil-production/