Celtel sold
By Express Reporter
The Board of Celtel International has announced it has agreed to a
cash offer for the company from Mobile Telecommunications Company K.S.C. (“MTC”)
in Kuwait, with a total consideration for Celtel of US$ 3.4 billion.
MTC will acquire immediately 85 per cent of the issued capital of Celtel on
closing and the remaining 15 per cent within two years.
MTC, which is listed on the Kuwait Stock Exchange with a market capitalization
of some US$ 7 billion, has operations in Kuwait, Jordan, Lebanon, Iraq, and
Bahrain with 3.4 million managed customers in the region. MTC recently announced
increased profits for 2004, up 17.6 per cent on 2003 at US$ 408 million.
Celtel will remain as a separate entity within the MTC group and retain its
existing head office and management structures both in Amsterdam and in each of
the thirteen African countries of operation. Additionally, Celtel will also
continue to operate under its market-leading brand name.
Post acquisition, a new Celtel Board will include Dr. Mo Ibrahim, the founder of
Celtel, and Lord Simon Cairns.
Dr. Mo Ibrahim said: “In the past Celtel deployed European and American funds to
assist the development of telecommunications infrastructure in Africa. Today we
are engaging the Middle East in this process. This transaction represents a key
step in bringing these sources of wealth to support the development of Africa.”
“This offer will allow our shareholders and option holders to share in the
financial rewards. Beyond that I am also proud that the current Celtel
shareholders have set aside US$ 18 million of their own money to reward all
eligible Celtel employees in Africa who have worked so hard to build the
business to date.”
Natural
resources in Tabora Region under scrutiny
By Timothy Kitundu
Last year Tabora Region, which has a total of 27,059 beekeepers and
937,995 bee hives, harvested a total of 897.5 tonnes of honey and 392 tonnes of
bees wax, together worth about Tsh. 975 million, but the profits could have been
better, a report suggests.
A report of Activities Undertaken in Tabora Region for 2004, obtained by The
Express recently, indicates that honey alone earned the region some Tsh. 420.3
million, while bees wax earned the region a total of Tsh. 555.7 million.
According to the report, the yield could have been more had the beekeepers been
exclusively using modern beekeeping methods. “Plans are under way to sensitise
beekeepers to using modern methods, including the use of modern beehives and
extraction methods,” reads part of the report.
The report adds that the beekeepers will be sensitized to the use of protective
gear, such as overalls, veils and gloves, as well as the use of bee smokers in
place of an open fire during harvesting, and how to combine agriculture,
forestry and beekeeping (Api-Agroforestry) in farm areas.
In terms of wildlife, the report says that more than 5,670,966 hectares of game
reserve attracted more than 31 tourists and contributed some Tsh. 61.375 million
by the year 2003 alone.
Despite the lack of permanent rivers or big lakes, the region has a total of
3,983 fishermen who in 2004 fished 874,196 kg of fish worth Tsh. 196.1 million.
The forestry department, according to the report in 2003, earned the region a
total of Tsh. 128.7 million, being revenue collected from logging, out of which
Tsh. 35.127 million was collected by District Councils.
The report adds that most of the natural resources products, like honey, beeswax
and fish, are sold within and outside the region including exports to foreign
countries. However, the challenges facing the natural resources products include
low prices and poor technology used particularly in beekeeping.
Other challenges are: unreliable markets for the products, poor packaging
facilities, poor fishing equipment and problems in securing financial support
from financial institutions.
Brazil to
assist Dar’s transport
By Timothy Kitundu
The Dar es Salaam City Council (DCC) will today sign a contract with
a Brazil-based consultant firm, M/S Logit Engenharia Consultiva Ltd, in
association with Inter-Consult Ltd (Tanzania), for the design of the Dar es
Salaam Rapid Transit (DART) Project.
The consultant will prepare a long term conceptual design and detailed design of
initial corridor. The signing ceremony will take place at the Karimjee hall in
Dar es Salaam.
The Acting City Director, Raphael Ndunguru, said in a statement early this week
that the initiative is a bid to address mass transportation problems in Dar es
Salaam City.
“The DCC, in collaboration with other development partners, is in the process of
establishing a Bus Rapid Transit (BRT) System in the city, with a view to
providing city residents with fast, comfortable and cost-effective transport
means,” he said.
According to Ndunguru, presentations will be made including an overview of the
DART project, which will be presented by the DCC Head of department of Urban
Planning, Environments and Utilities.
In addition, Enrique Penalosa, former Mayor of Bogotá will speak on the Global
BRT experience, the Way Forward will be described by the DART Project Manager,
and statements from the Institute for Transportation and Development Policy (
ITDP) and from the World Bank will be made by their respective representatives.
Trade
preferences crucial for global commerce
By Angela Mazula
Trade preference schemes are a key element in industrialised
countries’ efforts to enhance the integration of particularly Least Developed
Countries (LDC) into the world economy.
The trade tariffs being reduced for exporting to North America and European
markets are expected to encourage the influx of products from LDCs, raising the
export earning of these countries and stimulating investment and economic
growth.
According to a current report by African Foreign Investors, the EU initiates
duty free imports for products from LDCs with the exception of arms.
The tariffs will gradually be reduced to zero in 2006 for fresh bananas and for
rice and sugar in 2009.
The report shows that the African Growth Opportunity Act (AGOA) offers African
countries national duty free imports to the American market for thousands of
products.
According to the report, among the nearly 758 foreign companies surveyed in 10
countries, there were 27 companies that considered taking advantage of AGOA as a
crucial factor in their investment decisions.
The African countries are facing stiff competition from India, Bangladesh, Egypt
and China in exporting textiles and apparel to the United States.
Down with Food
prices!
By Angela Mazula
Retail and wholesale prices of some food stuffs, particularly
cereals, in various market centres in Dar es Salaam City, have slightly gone
down but others have remained stable during the past week.
According to a survey conducted by The Express at Mwenge, Tandale, Magomeni,
Temeke, Kawe Tabata and Kinondoni, the prices of foodstuff have fluctuated in
the last month.
At Magomeni and Tandale, the prices of beans, rice, maize flour, sugar, cooking
oils and vegetables such as tomatoes, onions and Irish potatoes had gone down.
Z’bar
witnesses budget deficit
By Timothy Kitundu
During November 2004, Zanzibar’s budget based on cheques cleared
recorded a deficit of Tsh. 2.8 billion; the main reason for the deficit was the
underperformance in revenue collections. The deficit was recorded after
considering grants of Tsh. 2.0 billion.
The Bank of Tanzania in its December 2004 monthly economic review reveals that
Tsh. 5.0 billion was collected as revenue in November 2004, being short of the
target by about Tsh. 200 million. Lower collection of import taxes, according to
the review, was the major source of dismal revenue performance.
On a cumulative basis, total revenue collected from July to November 2004
amounted to about Tsh. 25 billion against the target of Tsh. 23.4 billion.
Due to low revenue collections, the government expenditure during November 2004
was also lower than the target.
Total expenditure was restricted to Tsh. 6.3 billion being below the monthly
ceiling of Tsh. 6.7 billion by Tsh. 400 million, the outturn was attributed to
adherence to cash budget management.
The review shows that recurrent expenditure amounted to Tsh. 5.8 billion,
against the ceiling of Tsh. 6.4 billion, while development expenditure was Tsh.
500 million, exceeding the target of Tsh. 400 million.
Expenditures on wages and salaries, according to the review, remain dominant,
reaching Tsh. 3.9 billion and accounted for almost 62 per cent of total
expenditure, other expenditures amounted to Tsh. 1.9 billion.
On a cumulative basis, during July-November 2004, the government spent about
Tsh. 30 billion compared to the projected Tsh. 30.8 billion. During the period
under review, the budget deficit was exclusively financed from borrowing through
sale of government securities.
Research to
help Mara River Valley from BAW
By Beldina Nyakeke, Tarime
A German International Assistance Agency, (BftW), has granted Tsh. 6
million to Magobiri Agricultural Centre for research activities, concerning the
villages surrounding Mara River Valley.
Magobiri Agricultural Centre Manager, Godluck Kimaro said this recently at the
Centre’s Board meeting.
The money, Kimaro said, has been granted for research projects to be conducted
by the Centre, including agricultural and livestock projects.
Earlier, Magobiri Agricultural Centre was conducting various projects in
villages in Tarime District, which had been implemented successfully, he said.
This includes the banana agricultural project, which has resulted in farmers now
earning Tsh. 60,000 weekly from sales.
Another successful project is that of ‘borrow a cow, pay a cow’, which has
enabled many villagers to construct permanent houses and pay for education.
The Centre has now decided to start the same projects in villages surrounding
the Mara River Valley.
Mogabiri Agricultural Centre is one of the development projects which are
conducted by the Mara Anglican Church Diocese. The Centre also provide
consultancy services in agriculture, good animal husbandry and the running of
smaller commercial projects, in 30 villages situated in the upper zone of Tarime
District.
Goodwill
ambassador to Tanzania
By Angela Mazula
Tanzania will be visited by Sir Ronald Grierson, a UNIDO goodwill
ambassador, who will provide new perspectives on how to promote the industrial
sector and enhance the quality and quantity of the products that are
manufactured in the country.
In an interview with The Express on Tuesday, UNIDO Representative for Tanzania
and Malawi, Felix Ugbor said that UNIDO is going to invite Sir Ronald to come
and bring his ideas to Tanzania.
Sir Ronald is a banker and industrialist, and has wide knowledge of running
industries and especially what can be done with the recycling industry, as well
as coming up with a new vision for the industrial sector.
“UNIDO’s role is to promote productivity enhancement in the overall development
process, and satisfy the associated need for a strong private sector,” he said.
He added that everything does not have to come from abroad, but urged Tanzania
to establish local industries that can manufacture and provide Tanzanians with
jobs.
Sir Ronald will be in the country from April 6 to April 8. He will visit various
places and meet some of the Professors at the University of Dar as Salaam.
SELF asked to
extend its services to rural areas
By Sebastian Gabunga, Mwanza
The loan project by the Small Enterprises Loans Fund (SELF) has been
asked to move its service closer to villages to enable more people to make
savings and access financial services.
The suggestion was made by Mwanza Regional Commissioner (RC), Daniel ole Njoolay
in Mwanza City last week when opening a two day workshop called to sensitise
members of the Regional Consultative Committee on the matter.
Njoolay said SELF has a responsibility of providing the public with financial
services, so that they can pull themselves up from abject poverty.
Experience has shown that from early times, the people in rural areas had a
culture of saving through natural means, to protect themselves from future
disasters.
Nevertheless, he said, besides having such a culture, many people, especially
those in rural areas, have lacked the savings services and other financial
services.
The RC thanked SELF for providing loans worth Tsh. 174 million to three
organisations involved in small loans provision in Mwanza Region, namely WADOKI
SACCOS, MUWAKAPA SACCOS and FINCA.
Profitable
result from SACCOS loans to Teachers
By Emmanuel Lazaro, Dodoma
The Saving and Credit Cooperative Society (SACCOS), for Dodoma Rural
District Council teachers, has made a profit of Tsh. 118.1 million in the last
seven years.
The profit stems from loan interests supplied to members from 1997 to November
2004, the Cooperative’s Manager, Kivatwa Msuya, told reporters on Tuesday.
During this period, Msuya said, SACCOS had managed to provide loans of more than
Tsh. 745.5 million, to 1,100 members who are teachers employed by Dodoma Rural
District Council.
At the same time Small Enterprise Loans Facility (SELF), which is under the
Vice-President’s Office, has issued loans to SACCOS teachers worth Tsh. 80
million.
The loans from SELF were given in January of this year, and 190 members have
benefited.
This is the second time SELF has given loans to teachers; the first loan of Tsh.
40 million was offered in 2003.
Service
industry vital for economy
By Angela Mazula
The service industry, especially the hotel sector in the country,
has significantly contributed to the growth of the economy through the creation
of a friendly atmosphere to tourists.
Managing Director of Walkgard Westland Hotel and Tours, Adventina Mutungwa said
last week that the number of tourists has increased by almost 100 per cent from
2002 to 2004.
She added that tourism is amongst the sectors which can speed up the development
of the country’s economy, bring a faster evolution in society and improve
economic growth generally.
She explained that the sector should be vigorously promoted since it is an
engine of the country’s economic development.
French money
aids Musoma water project
By Beldina Nyakeke, Musoma
French International Development Agency (AFD) expects to spend Tsh.
48 billion on a Musoma Town Council water project.
This was revealed last week by Musoma Urban Water Supply and Sanitation
Authority (MUWASA) Director, Genes Kaduri, at a one day seminar for locality
chairmen and ward executive officers of Musoma Town Council, as part of Maji
week celebrations.
Kaduri said AFD had set aside Tsh. 29 billion for clean and safe water services.
The money will improve water supply and the water network so that the residents
of Musoma Town may obtain water uninterruptedly.
The Director explained that Tsh. 19 billion will be used for the treatment of
water sanitation equipment.
Adding, in 1997 MUWASA had 3,807 customers. But in February this year, the
Authority had a total of 5,568 customers, and efforts are being made to ensure
all the areas of the town get piped water.
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