Monthly Developments in the Macroeconomic Environment - March 2024 Presented by:

Overseas debt restructuring delays Crash in cocoa output 03 The market reacted to the news of a change in Ghana’s cocoa output in the 2023/2024 season is Ghana’s Finance Minister with expectations of delays set to fall 40% below the 820,000 metric tons to Ghana’s overseas debt restructuring as seen in the targeted with adverse implications for Ghana’s fall of the country’s Eurobonds price even as. [...] This steep depreciation of the Naira on the back comes on the heels of the FX reforms and petrol of FX reforms that have seen the Naira hit subsidy removal that pushed fuel price up by record lows against the dollar, reaching over 200%, straining households and N1,524 per USD, reflecting a 230% loss in Despite the CBN’s reform momentum, businesses. [...] The CBN is pursuing various reforms, clearance has caused importers to begin including lifting restrictions, raising rates on diverting to neighbouring ports in Ghana (Port 12-month T-bills, and keeping a portion of of Tema), Togo (Port of Lome), and Benin the NNPC’s earnings to stabilize the market (Port of Cotonou), impacting the availability of and ease pressures on the naira. [...] Despite these local headwinds, the effect of the disruptions in the Suez Canal may further pump domestic prices and necessitate tighter monetary responses as the knock-on effect of the attacks trickle into the economies of Kenya and Tanzania where the Suez Canal accounts for 15% and 10% of international trade volume, respectively. [...] Egypt’s sovereign dollar bonds surged ahead of the announcement The sale of Alexandria is expected to pave the way Red Sea attacks hits revenue Israel’s invasion of Rafah Traffic in the Suez Canal reduced by 30% while Dollar The proposed invasion of Rafah by Israel and for Turkiye’s strategic penetration to become a the likely mass exodus of refugees is posed to leading economic player into Africa.