LAST WEEK IN AFRICA: U.S. Eyes Congo Minerals, World Bank Backs Digital Growth & Rand Takes a Hit

U.S. Investment in Congo's Mineral Sector
The U.S. is in talks to invest billions of dollars in the Democratic Republic of Congo's mineral sector to counter China's dominance in critical materials like cobalt and lithium. This initiative includes a minerals-for-security proposal to help address the ongoing M23 rebel conflict in Eastern Congo. The deal could reshape global supply chains for essential minerals used in tech and electric vehicles.

World Bank's $100 Million Investment in Africa's Digital Infrastructure
The World Bank's International Finance Corporation (IFC) has announced a $100 million investment in Raxio Group to expand Africa's digital infrastructure. This funding will support the construction of data centers in Ethiopia, Angola, and Uganda, addressing Africa's small share of global data center capacity, which is currently below 1%. The investment aims to enhance internet connectivity and digital services across the continent.

South African Rand Declines Amid Global Tariffs and Domestic Politics
The South African rand continued its decline, dropping about 2% to 19.1225 against the U.S. dollar, marking its weakest point since mid-January. Over the week, the currency lost more than 3% against the dollar, influenced by global concerns following U.S. President Donald Trump's imposition of sweeping tariffs, including a 10% baseline tariff on all imports. Additionally, domestic political uncertainty, with the Democratic Alliance reconsidering its role in the coalition government, has further impacted investor sentiment.

Africa is undergoing meaningful change, and at QAI, we are committed to actively contributing to the continent's transformation.