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A Global Crisis Like
No Other Needs a
Global Response
Like No Other
ÉDITION 287
ÉDITION 151–– VENDREDI
VENDREDI24
23AVRIL 2020
JUIN 2017 L’HEBDOMADAIRE DIGITAL GRATUIT
L’ HEBDOMADAIRE ÉLECTRONIQUE
Stock exchange:
GRATUIT
The market
continued its slump
l Air Mauritius under voluntary administration
l South African Airways, Virgin Atlantic, United Airlines: Difficult times
l Global aviation: 25 million jobs directly and indirectly at stake
l To recover from COVID-19, airports need a bailout too
VENDREDI 24 AVRIL 2020 | BIZWEEK | ÉDITION 287 3
BIZ ALERT
WORLD TRADE ORGANIZATION
Azevêdo: “Let’s not add
a food security crisis”
I
n his remarks to the G20 Extraordi- caused by the spread of COVID-19. We commit to of AMIS’ assessment that at present global food thank farmers and workers, and small, medium and
nary Virtual G20 Agriculture Ministers’ cooperating closely and taking concrete actions to safe- supplies are adequate and food markets remain well large scale agri-food businesses for their continuous ef-
Meeting organized by the Kingdom of guard global food security and nutrition. We reaffirm balanced. As members, we commit and call on other forts to ensure our food supply.
Saudi Arabia, the Director-General of the importance of working to ensure the continued flow members to continue providing timely and reliable in- We will intensify our efforts, in line with WTO
the World Trade Organization pointed of food, products, and inputs essential for agricultural formation on global food market fundamentals to help rules and the 2030 Agenda for Sustainable Devel-
out that deep shocks to supply and demand and food production across borders in line with our markets, countries, and consumers make informed opment, to support them to sustain their activities
along with tightened border controls and Leaders’ Statement on COVID-19 of March 26, choices. Where appropriate, we will coordinate poli- and livelihoods during the crisis and to assist
travel restrictions have dealt a serious blow to 2020. cy responses, supported by the AMIS Global Food their recovery afterwards. Our efforts will support
international trade, not least the food and agri- We acknowledge the challenges of minimizing the Market Information Group and the AMIS Rapid rural communities, especially small-scale farmers and
culture sector. Despite the currently abundant risk of COVID-19 while keeping food supply chains Response Forum. family farms, to be more economically prosperous,
stocks of key staples, he warned that “we must functioning. We will continue to work to ensure the We call for continued support for AMIS, includ- resilient and sustainable, and to have improved food
avoid measures that could change the current outlook health, safety, welfare, and mobility of workers in ag- ing through voluntary financial contributions. We security and nutrition, giving special attention to the
and lead to supply shortages in the future”. riculture and throughout the food supply chain. We will work together to help ensure that sufficient, safe, needs of developing and low-income countries. We will
Roberto Azevêdo stressed the importance will guard against any unjustified restrictive measures affordable, and nutritious food continues to be availa- continue our cooperation with relevant international
of ensuring that food continues to flow from that could lead to excessive food price volatility in in- ble and accessible to all people, including the poorest, organizations and within their mandates work to: re-
countries with a food surplus to countries in ternational markets and threaten the food security and the most vulnerable, and displaced people in a timely, inforce international cooperation; identify additional
deficit, underlining that “three billion people de- nutrition of large proportions of the world population, safe, and organized manner, consistent with national actions to alleviate the impacts of COVID-19
pend on international trade for their food security”. especially the most vulnerable living in environments of requirements. on food security and nutrition; share best practices and
DG Azevêdo said that G20 leaders and trade low food security. Acknowledging the critical role of the private sec- lessons learned, such as addressing barriers to sup-
ministers have highlighted the importance of We agree that emergency measures in the context of tor in food systems, we call for enhanced cooperation ply chains; promote evidence and science-based
keeping international markets open for vital the COVID-19 pandemic must be targeted, propor- between the public and private sectors to help mobilize information and combat misinformation; pro-
medical products and food and stressed that tionate, transparent, and temporary, and that they do rapid and innovative responses to impacts of this pan- vide capacity building and technical assistance; and
any COVID-related trade measures should be not create unnecessary barriers to trade or disruption demic on the agriculture and food sectors. Under the promote research, responsible investments, innovations
“targeted, proportionate, temporary, and transparent”. to global food supply chains and are consistent with current challenging circumstances, we stress the impor- and reforms that will improve the sustainability and
He referred to the WTO’s monitoring of such World Trade Organization (WTO) rules. We rec- tance of avoiding food losses and waste caused by resilience of agriculture and food systems.
measures and urged G20 governments to “lead ognise the importance of transparency and commend disruptions throughout food supply chains, which This work could build on the Food and Agricul-
by example on transparency”. the Trade and Investment Ministers’ commitment to could exacerbate food insecurity and nutrition risks ture Organization’s (FAO’s) evolving response to
The Director-General ended his remarks notify the WTO of any trade-related measures tak- and economic loss. We stress the need to strengthen the COVID-19, the International Fund for Agricultur-
by calling for enhanced cooperation to ensure en, including those related to agriculture and essential sustainability and resilience of food systems globally, al Development’s (IFAD’s) evolving efforts to support
that “international markets continue to be seen as a foodstuffs. including to future shocks from disease and pest out- a strong recovery from the effects of COVID-19, pol-
reliable source of food supply”. “The COVID-19 We reaffirm our agreement not to impose export breaks, and to the global challenges that drive these icy monitoring and analysis by the OECD, and oth-
health crisis is already a major economic and social restrictions or extraordinary taxes on food and ag- shocks. In line with the One Health approach, we er relevant initiatives, such as the preparation for the
crisis. Let’s not add a food security crisis.” ricultural products purchased for non-commercial call for strengthened mechanisms for monitoring, early 2021 UN Food Systems Summit. We will continue
Below is the full declaration made by the humanitarian purposes by the World Food Pro- warning, preparedness, prevention, detection, response, our close cooperation and as necessary update
G20 Ministers of Agriculture: gramme (WFP) and other humanitarian agencies. and control of zoonotic diseases, and developing sci- our response to the COVID-19 pandemic and our
We, the G20 Agriculture Ministers, are deeply sad- We emphasize the work of the G20 Agricultural ence-based international guidelines on stricter safety broader G20 agriculture and food agenda. We stand
dened by the devastating human losses and suffering Market Information System (AMIS) and take note and hygienic measures for zoonosis control. We deeply ready to reconvene as required.
VENDREDI 24 AVRIL 2020 | BIZWEEK | ÉDITION 287 4
LA TOUR
Stock exchange:
The market continued
its slump
The major event, this week, has been the announcement of voluntary administration of Air Mauritius. Its share price had gained 20 cents to Rs 5.80 prior to the an-
nouncement. The Stock Exchange of Mauritius has since suspended trading on the airline
T he stock exchange session this week,
according to reports of AXYS Stock-
broking, has been marked by con-
tinuous slump. Put aside the fact that Air
Mauritius has been put under voluntary ad-
ministration on Wednesday because of finan-
cial difficulties.
• Last Friday’s session saw four stocks re-
cede for every gain extending the down-
streak to five consecutive days. Omnicane
(-8%) and Semaris (-7%) regurgitated
part of the previous day’s strong gains,
while Beachcomber surged (+9%). Gold
(NewGold ETF) was actively traded in
Friday’s session at Rs645 (+6%).
• On Monday, domestic indices receded
by almost 1% extending their slides to
a 6th consecutive day having recorded
5 times more drops than gains. Trad-
ing was overwhelmingly [84%] skewed
towards financial and property [10%]
stocks. Monday’s five most active stocks
made up 92% of the Rs 56 M traded.
The relatively sharp drops recorded in
the financial (-2.0%), Property (-1.6%),
Hospitality (-2.7%), and Conglomerates
(-0.8%) were for the vast majority on slim
exchanges. MCB Group which slipped to
Rs225 (-1.3%) recorded the bulk of for-
eign exchanges [97%] with a net outflow
amounting to Rs 16 M.
tween 2-3% ahead of their long road to as the Mauritian market slumped for its Rs 13 M]. Lottotech was the 2nd most ac-
• Tuesday: In a session where exchanges post-Pandemic recovery, and Conglom- 8th straight session. Turnover amount tive stock with 1M shares exchanged at a
were scattered, as best exemplified by the erates – with a trio of exceptions – gave to an above average Rs 91 M largely flat Rs8.30 in session were the Drops-to-
atypical set of most active stocks; and up 1-4%. Except for Semaris (-9%) other geared towards MCB Group [75% of Gains Ratio stood at 1.5 times resulting in
drops outnumbered gains 2-to-1, it was large movers – C-Care (-11%), BMHL Total Market Turnover] which retreated 1% slump in indexes. Top Gainers Omni-
MCB Group’s 4% drop – steepest since (-10%) and Lavastone Properties (+10%) to Rs210 (-2.3%) on the back strong for- cane (+15%) and Indigo Hotels (+13%)
Apr 6th – to Rs 215 which singlehand- – all did so on slim volumes. eign participation [46% of Value Traded surged on slim exchanges.
edly dragged Mauritian indexes further on MCB Group which resulted in a slight
into negative territory. Hotels shed be- • Wednesday: Market turmoil continues net foreign divestment on the order of
FINANCIAL CRISIS
Air Mauritius under voluntary
administration
The Board of Directors of Air Mauritius Limited met on the 22nd of April to take cognizance of the latest financial status of the Company. In light of the recent
developments worldwide relating to the COVID-19 crisis, the company has been placed under voluntary administration. Its share price had gained 20cts to Rs
5.80 prior to the announcement. The Stock Exchange of Mauritius has since suspended trading on the airline
According to the communiqué issued by sustainable future. Wide consultations were plete erosion of the Company’s revenue base. place the Company under voluntary admin-
Air Mauritius, the immediate future remains held with all concerned stakeholders and Furthermore, there is uncertainty as to istration in order to safeguard the interest of
uncertain, mostly in relation to the COV- substantial progress was made in formulating when international air traffic will resume and the Company and that of all its stakeholders.
ID-19 crisis: the Action Plan to be recommended to the all indications tend to show that normal activ- Sattar Hajee Abdoula, FCA and Arvinds-
It was noted that, in January 2020, the Board. ities will not pick up until late 2020. ingh K. Gokhool, FCCA of Grant Thornton
Board had set up a Transformation Steering Unfortunately, travel restrictions and the In these circumstances, it is expected that have been appointed, under sections 215 and
Committee with a view to addressing the fi- closure of borders in all our markets and ces- the Company will not be able to meet its fi- 216 of the Insolvency Act, as administrators
nancial difficulties of the Company and to sation of all international and domestic flights nancial obligations in the foreseeable future. of the Company, with effect from Wednesday
reviewing its business model for ensuring a in an unprecedented crisis, has led to a com- The Board, therefore, took the decision to 22 April 2020.
Cont’d on page 5
VENDREDI 24 AVRIL 2020 | BIZWEEK | ÉDITION 287 5
LA TOUR
South African Airways,
Virgin Atlantic, United
Airlines: Difficult times
A s airlines around the world
struggle for survival, South
African Airways too has be-
come a casualty of the coronavirus.
The South African flag-carrier has
suspended all commercial passen-
To recover from
COVID-19, airports
ger flights due to COVID-19 and
plans to lay off its entire workforce,
offering severance deals to all 4,700
staff from the end of this month
after administrators concluded that
a successful turnaround is unlike-
need a bailout too
ly. The coronavirus may prove the In regard to government aid during the COVID-19 crisis, Ilia Liou-
final nail in the coffin for SAA, tov – Senior Manager of Economics and Policy at ACI World, says it
which was reducing routes and would be very short-sighted to support only one actor in aviation. Air-
considering job cuts even before ports have an equal role to play in the prospective recovery.
the outbreak forced airlines around The combination of trip cancellations and country-specific restric-
the world to ground airplanes. tions on international flights quickly amounted to a cost of roughly $1
South African Airways, which trillion (US$), according to the industry estimates.
began operations in 1934, last made The crisis produced a whole sequence of events that would have
a profit in 2011. It has since racked been unimaginable under normal circumstances. Even the ‘big guys’
up US$1.4 billion in losses over had no other way but to prematurely retire the ‘big birds’ in a desperate
ard Branson has warned that the hardest hit by the pandemic. The
the last six years and has relied on attempt to scrape together whatever liquidity they were left with before
beleaguered airline will need gov- airline had just £83m available in
bailouts and state-guaranteed debt the emergency brake.
ernment financial support in order net cash according to its latest re-
agreements to keep flying. The That is to say, a number of large airlines had to retire forever the
to survive the coronavirus crisis. port, and leases 75 per cent of its
team of administrators will now four-engine passenger widebodies, namely Airbus A340, Airbus A380
In a blog post to Virgin employ- 46 aircraft.
look to sell assets and raise cash and Boeing B747. Even the Great Recession of 2008 coupled with oil
ees, Branson said: “The reality of this Shares of United Airlines Hold-
to repay creditors. SAA is among prices in summer 2018 as high as US$165 per barrel could not achieve it
unprecedented crisis is that many airlines ings fell more than 6% on Wednes-
several state-owned companies to – the best testament to truly remarkable times for commercial aviation.
around the world need government sup- day after the airline turned to equity
have become technically insolvent As such, it is not surprising that McKinsey & Company in its COV-
port and many have already received it. markets to raise $1 billion in addi-
without financial assistance from ID-19 briefing materials pointed to the fact that among 30 major indus-
Virgin has applied for a state-aid pack- tional capital. The sale provides
the South African government, tries, the two most severely affected by the health outbreak are commer-
age of commercial loans and guarantees much-needed added liquidity, but
following years of mismanagement cial aerospace, and air and travel, with an estimated reduction of about
worth hundreds of millions of pounds.” United is selling the stock at prices
and corruption scandals. 50 per cent in 2020.
Virgin specialises in the long-haul significantly below levels where it
Virgin Atlantic owner Sir Rich- The airline industry, however, has a long history of volatility and fi-
sector, which is expected to be was buying the shares last year.
nancial difficulties.
Rigas Doganis defines airlines as an “inherently unstable industry”,
mentioning that four to five years of global losses are typically followed
Global aviation: 25 by five to six years of profits. When the market is buoyant, you are in-
centivised to play it bold, otherwise you will lose your market share and
the right momentum.
million jobs directly Airports – the elephant in the room
Bailing out airlines is inevitable. It is not only because of the ‘too big
and indirectly at stake to fail’ philosophy, but because of the objective role air connectivity
plays today in the global economy.
In simple terms, there is no choice but to get airlines back on track
and re-establish the familiar flights grid we are accustomed to see. No
The International Transport • Provide immediate financial and when the world is ready to start
Workers’ Federation (ITF) and the regulatory support for airlines, travelling again, the global econo- doubt we need airlines to be back.
International Air Transport Asso- in order to maintain the sustain- my will need aviation at its best to But it will very short-sighted to pursue this selective, if not discrimi-
ciation (IATA) called for support ability of terms and conditions help restore connectivity, tourism natory, approach of supporting just one actor in aviation. Even though
from governments to the aviation for air transport workers and global supply chains. That will airlines are indeed the largest single component of the ecosystem, at
industry, to protect jobs and en- • Assist the industry to restart require a harmonized approach least from a turnover perspective, they are by no means sufficient to
sure that air services can be main- quickly by adapting regulations with industry, workers and govern- ensure that the industry is able to recover after the COVID-19 shock.
tained. and lifting travel restrictions in ments working together,” said Al-
The economic situation facing a predictable and efficient man- exandre de Juniac, IATA’s Director High degree of interdependency
the aviation industry is severe. Air ner General and CEO.
passenger demand is down 80%. IATA and ITF also noted the “IATA and ITF have a shared goal Aviation is characterised by a high degree of interdependency of all
Airlines are facing a liquidity crisis aviation industry’s contribution to to ensure a sustainable future for the avi- players upon each other. Airports have an equal role to play in the pro-
which threatens the viability of 25 helping alleviate the COVID-19 ation industry. In order to achieve this, spective recovery.
million jobs directly and indirectly crisis by keeping supply chains we need urgent action now. It is crucial As such, pumping billions of dollars into airlines will not provide a
dependent upon aviation, includ- open, and repatriating citizens. that governments understand the impor- balanced recovery. Imagine if airports are not able to cover the typical
ing jobs in the tourism and hospi- Aviation professionals are also tance of the aviation industry in rebuild- operating expenses – cost of insourced staff and contracted services,
tality sectors. volunteering on the front line to ing the global economy and support the utilities, supplies, insurance and so on. Airports are not shopping malls
In a joint statement on 20 April, assist medical services in the fight industry. Bold decisions are required to with a couple of runways attached, they are sophisticated facilities and
ITF and IATA called for govern- against COVID-19. invest in the future of airlines and protect businesses in their own right and significant commercial players.
ments to: “Airlines are facing the most the jobs and livelihoods of the transport Their business processes are equally dependent on liquidity and cost
• Ensure that the protection of critical period in the history of workers who will lead the economic re- management, so eliminating airport charges is a utopian idea that will
health workers caring for those commercial aviation. Some gov- covery when COVID-19 has been con- not get aviation anywhere.
with COVID-19 is prioritized ernments have stepped in to help, tained. Workers and the industry have Both airlines and airports are equally dependent on the end-users of
• Coordinate carefully between and we thank them. But much, joined forces, we invite more governments air transport – passengers and freight forwarders. As such, both players
each other and with industry to much more is needed. Direct fi- to join us in a coordinated approach to should have a strong motivation to help all parts of the sector to weath-
ensure harmonized and effec- nancial support is essential to keep the industry and its essential supply er the crisis and path the best way to recovery. The prospective recovery
tive action to protect the safety maintain jobs and ensure airlines chains moving,” said Stephen Cot- should be a collective team effort, rather than a single play.
of passengers and crew can remain viable businesses. And ton, ITF’s General Secretary.
VENDREDI 24 AVRIL 2020 | BIZWEEK | ÉDITION 287 6
POST SCRIPTUM
A Global Crisis Like
No Other Needs a Global
Response Like No Other
I have been saying for a while that this is a rapid-disbursing capacity to meet expect- a collapse of revenues, as are those relying on
‘crisis like no other.’ It is: ed demand of about $100 billion. 103 remittances for income support.
• More complex, with interlinked shocks to countries have approached us for emer- For emerging economies, the IMF can en-
our health and our economies that have gency financing, and our Executive Board gage through our regular lending instruments,
KRISTALINA GEORGIEVA brought our way of life to an-almost com- will have considered about half of these including those of a precautionary nature.
Managing Director, plete stop; requests by the end of the month. This may require considerable resources if fur-
International Monetary Fund • More uncertain, as we are learning only • Reforming our Catastrophe Containment ther market pressures arise. To prevent them
(IMF) gradually how to treat the novel virus, and Relief Trust, to help 29 of our poorest from spreading, we stand ready to deploy our
make containment most effective, and re- and most vulnerable members—of which full lending capacity and to mobilize all layers
start our economies; and 23 are in Africa—through rapid debt ser- of the global financial safety net, including
• Truly global. Pandemics don’t respect bor- vice relief, and we are working with donors whether the use of SDRs could be more helpful.
ders, neither do the economic shocks they to increase our debt relief resources by For our poorest members, we need much
cause. $1.4 billion. Thanks to the generosity more concessional financing. With the peak of
The outlook is dire. We expect global eco- of the UK, Japan, Germany, the Nether- the outbreak still ahead, many economies will
nomic activity to decline on a scale we have not lands, Singapore, and China, we are able require significant fiscal outlays to tackle the
seen since the Great Depression. to provide immediate relief to our poorest health crisis and minimize bankruptcies and
This year 170 countries will see income per members. job losses, while facing mounting external fi-
capita go down – only months ago we were • Aiming to triple our concessional fund- nancing needs.
projecting 160 economies to register positive ing via our Poverty Reduction and But more lending may not always be the best
per capita income growth. Growth Trust for the most vulnerable solution for every country. The crisis is add-
countries. We are seeking $17 billion in ing to high debt burdens and many could find
Actions taken new loan resources and, in this respect, themselves on an unsustainable path.
I am heartened by pledges from Japan, We therefore need to contemplate new ap-
Exceptional times call for exceptional ac- France, UK, Canada, and Australia prom- proaches, working closely with other interna-
tion. In many ways, there has been a ‘re- ising commitments totaling $11.7 billion, tional institutions, as well as the private sector,
sponse like no other’ from the IMF’s mem- taking us to about 70 percent of the re- to help countries steer through this crisis and
bership. sources needed towards this goal. emerge more resilient.
Governments all over the world have taken • Supporting a suspension of official And the IMF, like our member countries,
unprecedented action to fight the pandemic— bilateral debt repayments for the may need to venture even further outside our
to save lives, to protect their societies and econ- poorest countries through end comfort zone to consider whether exceptional
omies. Fiscal measures so far have amounted 2020—a ground-breaking accord among measures might be needed in this exceptional
to about $8 trillion and central banks have un- G20 countries. This is worth about $12 crisis.
dertaken massive (in some cases, unlimited) billion to nations most in need. And call-
liquidity injections. ing for private sector creditors to partici- Preparing for recovery
For our part, the IMF has $1 trillion lend- pate on comparable terms—which could
ing capacity – 4 times more than at the outset add a further $8 billion of relief. To help lay the foundations for a strong re-
of the Global Financial Crisis—at the service • Establishing a new short-term liquidity covery, our policy advice will need to adapt to
of its 189 member countries. Recognizing line that can help countries strengthen eco- evolving realities. We need to have a better un-
the characteristics of this crisis—global and nomic stability and confidence. derstanding of the specific challenges, risks and
fast-moving such that early action is far more This is the package of actions that the Inter- tradeoffs facing every country as they gradually
valuable and impactful—we have sought to national Monetary and Financial Committee restart their economies.
maximize our capacity to provide financial endorsed last week at our virtual Spring Meet- Key questions include how long to maintain
resources quickly, especially for low-income ings. the extraordinary stimulus and unconvention-
members. It represents a powerful policy response. al policy measures, and how to unwind them;
In this regard, we have strengthened our ar- Above all, it enables the IMF to get immediate, dealing with high unemployment and ‘lower-
senal and taken exceptional measures in just ‘here and now’ support to countries and peo- for-longer’ interest rates; preserving financial
these two months. ple in desperate need. Today. stability; and, where needed, facilitating sec-
toral adjustment and private sector debt work-
These actions include: Preventing a protracted outs.
• Doubling the IMF’s emergency, recession We also must not forget about long-stand-
ing challenges that require a collective re-
But there is much more to be done and now sponse, such as reigniting trade as an engine
is the time to look ahead. To quote a great Ca- for growth; sharing the benefits of fintech and
nadian, Wayne Gretzky: “Skate to where the digital transformation which have demon-
puck is going, not where it has been.” strated their usefulness during this crisis; and
We need to think hard about where this cri- combating climate change—where stimulus to
sis is headed and how we can be ready to help reinforce the recovery could also be guided to
our member countries, being mindful of both advance a green and climate resilient economy.
risks and opportunities. Just as we respond- Finally, in the new post-COVID-19 world,
ed strongly in the initial phase of the crisis to we simply cannot take social cohesion for
avoid lasting scars for the global economy, we granted. So we must support countries’ efforts
will be relentless in our efforts to avoid a pain- in calibrating their social policies to reduce
ful, protracted recession. inequality, protect vulnerable people, and pro-
I am particularly concerned about emerging mote access to opportunities for all.
markets and developing countries. This is a moment that tests our humanity. It
They have experienced the sharpest portfolio must be met with solidarity.
flow reversal on record, of about $100 billion. There is much uncertainty about the shape
Those dependent on commodities have been of our future. But we can also embrace this
further shocked by plummeting export prices. crisis as an opportunity—to craft a different
Tourism-dependent countries are experiencing and better future together.
VENDREDI 24 AVRIL 2020 | BIZWEEK | ÉDITION 287 7
POST SCRIPTUM
OPINION PIECE
- Dr. Martin Fregene is the
Bank’s Director of Agriculture
and Agro-industry
Mitigating COVID-19’s impact
- Atsuko Toda is Director of
Agricultural Finance and Rural
Development at African Devel-
opment Bank
on Africa’s food systems
The global spread of COVID-19 and the rising number of coronavirus cases in Africa are fuelling anxiety about negative economic
growth, failing healthcare and collapsing food systems
W
e are facing great uncer- ID-19. quality and traceability policies in the
tainty on the African con- But Africa is coming up with its own solu- post-coronavirus period.
tinent. The global spread tions for these challenges, with the African • Promoting digitalization and e-commerce
of COVID-19 and the ris- Development Bank being prominently in- in markets hit by COVID-19.
ing number of coronavi- volved. To address the threat of food security,
rus cases in Africa are fuelling anxiety about several short-term measures are being taken: Guided by lessons learned from previous
negative economic growth, failing healthcare health crises, including the Ebola epidem-
and collapsing food systems. We are already • Creation of a “green channel” for the ic, the Bank has responded to the pandemic
grappling with a locust outbreak in the Horn free flow of food and agricultural inputs. by putting together a package of support for
of Africa, drought and flood extremes due to • Creation of strong demand for agricultural the public and private sector. The COVID-19
climate change and increasing food importa- inputs of fertilizer, seeds and agro-chemi- Response Facility will mobilize up to $10 bil-
tion costs of more than $47 billion in 2019. cals through smart input famer subsidies. lion to provide financial assistance to African
The convergence of all these sets the stage for • Measures to prevent food price hikes by countries fight the pandemic. The Bank has
an imminent food crisis - unless measures are releasing food from government grain also raised a $3 billon COVID-19 bond, pro-
taken to mitigate the impact of the pandemic. reserves and implementing anti-hoarding ceeds of which will go to address fiscal chal-
Consider also that the U.S. dollar has surged policy. lenges, as well as emergency procurement
against emerging market currencies, reducing • Rapid scale up of food production tech- of drugs, vaccinations, ventilators and other
the purchasing power of countries reliant on nologies, including high-yielding, ear- health-related expenditures, as well as feeding
commodity imports and sparking higher con- ly-maturing, drought-tolerant, disease- programs, agro-input subsidies and other so-
sumer prices. Inflationary pressure on food and pest-resistant staple crops, livestock cio-economic interventions.
staples can breed social tension and even un- and fish through programs like the Bank’s To rebound from the pandemic, Africa must
rest. Technologies for African Agricultural maintain adequate food reserves, avoid pro-
Anti-pandemic measures like nationwide Transformation initiative. (taat-africa. tectionist policies and promote value chains
lockdowns and border closures compound org) that link domestic and international markets.
food shortages – especially of nutritious but • Feeding programs for the worst affected As the Bank takes a key role in supporting Af-
perishable foods like fruit and vegetables. and most vulnerable zones. rican countries to design and implement co-
Restrictions on movement and quarantine ordinated policy responses, it will work with
measures impede farmers’ access to markets. Medium to longer-term food security inter- regional partners including the African Union
In Nigeria, rice prices are 30% higher than in ventions include: and the United Nations Economic Commis-
January, thanks to panic buying, transport re- • Provision of recovery strategy support sion for Africa, as well as international ones
strictions and rising global prices. to key supply chain players like logistics such as the World Trade Organization, the
Also, foreign direct investment and aid into companies and anchor farmers. Global Alliance for Improved Nutrition, the
Africa is expected to fall, or be delayed as in- • Strengthening food supply chain resilience Food and Agriculture Organization, the World
ternational investors and development part- via efficient production, processing and Bank, and other international partners.
ners redirect capital to their local economies value addition.
and into stimulus packages to combat COV- • Enforcing food safety, improved food 17 April 2020
Cont’d on page 8
VENDREDI 24 AVRIL 2020 | BIZWEEK | ÉDITION 287 8
POST SCRIPTUM
L’Opep a encore un rôle important à
jouer sur le marché mondial du pétrole
S
cannez les nouvelles occidentales sur l’Opep
de ces dernières années, et une observation
commune a tendance à apparaître : l’Opep
a eu une énorme influence sur le marché mondial
du pétrole à l’époque. Maintenant, à l’ère du pé-
trole de schiste, plus tellement.
Je dirais que l’Opep peut affirmer en toute sécu-
rité que les informations faisant état de sa mort
– ou d’une diminution de sa pertinence – sont
SEBASTIAN WAGNER, grandement exagérées. En fait, L’Opep a été au
président du Forum des centre de l’une des plus grandes histoires de 2020
affaires Allemagne-Afrique en dehors du COVID-19 : un accord historique qui
a résolu la guerre des prix du pétrole entre l’Ara-
bie saoudite et la Russie.
De 2016 à fin mars, ces deux centres pétroliers
mondiaux faisaient partie d’une alliance lâche de
membres de l’Opep et de producteurs non mem-
bres, connue sous le nom d’Opep +. Son objectif 1er avril ont été abandonnés. Les prix du pétrole Les coupes, qui diminueront progressivement,
était de stabiliser le marché mondial du pétrole brut sont tombés en chute libre et les producteurs devraient se poursuivre jusqu’en avril 2022. Alors
grâce à des réductions de production volontaires. américains de pétrole de schiste ont commencé à que la faible demande reste préoccupante, en sta-
L’alliance a été un succès jusqu’au début de l’an- lutter pour survivre. Cela n’a pas aidé lorsque le bilisant le marché pétrolier, l’Opep+ continuera de
née, lorsque le COVID-19 a effectivement fermé COVID-19 a commencé à imposer des blocages fournir un soulagement économique et de sauver
l’économie chinoise et réduit considérablement dans le monde entier, entraînant une chute de la des emplois partout dans le monde. Peu de temps
ses importations de pétrole brut. Pour rétablir demande de pétrole brut et même une baisse des après la finalisation de l’accord sur la réduction
l’équilibre du marché, l’Arabie saoudite, mem- prix du pétrole. des produits, le ministre saoudien de l’énergie, le
bre de l’Opep, a demandé à la Russie, membre de Le monde regardait de près lorsque les di- prince Abdulaziz bin Salman, a partagé son ent-
l’Opep+, d’augmenter ses réductions de produc- rigeants saoudiens et russes ont assisté à une housiasme avec Bloomberg News. « Nous avons
tion. Lorsque la Russie a refusé, l’Arabie saoudite réunion d’urgence de l’Opep/Opep+ le 9 avril. démontré que l’Opep+ est opérationnelle, et
a cessé de se conformer à ses propres réductions Après trois jours de négociations, les membres de bien vivante. »
de production et a plutôt commencé à inonder le l’Opep et de l’Opep+ ont convenu de réductions En effet. L’Opep et l’Opep+ sont bien vivantes
marché de pétrole. La Russie a emboîté le pas et massives de la production commençant à près de et toujours aussi pertinentes.
les plans de renouvellement de l’accord Opep+ le 10 millions de barils par jour le 1er mai prochain. 20 avril 2020
makes searching simple
Official online directory of Mauritius Telecom
Business People
VENDREDI 24 AVRIL 2020 | BIZWEEK | ÉDITION 287 9
DEBRIEF
CONFINEMENT
Cim Finance étend le délai
Participez au concours de paiement pour ses clients
Cim Finance a décidé, une nouvelle fois, d’étendre la période de
grâce pour les paiements, suite au prolongement du confinement
de dessin de Victoria
jusqu’au 4 mai. Ainsi, les clients ont jusqu’au 15 mai 2020 pour effec-
tuer leurs paiements de mars, alors que ceux pour le mois d’avril sont
reportés jusqu’à fin mai 2020. L’institution financière a, par ailleurs,
Station Ltd
mis en place un dispositif de paiement en ligne pour ceux qui souhai-
tent s’acquitter de leurs mensualités. Ceux qui souhaitent régler leurs
mensualités en ligne peuvent le faire via Internet Banking (les détails
des comptes bancaires étant disponible sur www.cimfinance.mu) ou
Et si vous profitiez du confinement pour libérer votre fibre artistique ? Afin de mettre en l’application Juice de la Mauritius Commercial Bank.
valeur la créativité et le talent des Mauriciens, Victoria Station Ltd a lancé un concours de
dessin, le jeudi 16 avril, les invitant à partager leur vision du projet Victoria Urban Terminal, Dans les coulisses des équipements
et ce, jusqu’à la fin du confinement. Les meilleurs dessins seront sélectionnés pour ensuite médicaux acheminés entre La Réun-
embellir un mur ou pour la réalisation d’une fresque à la fin des travaux en 2021 ion et Maurice
Le jeudi 16 avril, une grande quantité d’équipements médicaux
urgents ont été acheminés à Maurice depuis l’île de La Réunion à
bord de l’avion garde côtier mauricien, le Dornier. Ces équipements
proviennent d’Amsterdam via la compagnie Air Austral. Cette
opération marque le bon état de forme et surtout, l’élan de solidarité
manifesté entre les îles sœurs. Il est sûr que dans le contexte de crise
sanitaire actuelle, l’entraide et la coopération régionale sont plus que
jamais indispensables.
Vivo Energy Mauritius distribue des
colis alimentaires aux pompistes du
réseau Shell
Vivo Energy Mauritius,
société détentrice de la
franchise Shell à Maurice, a
procédé à une distribution
de produits alimentaires à
l’intention des pompistes af-
fectés sur les stations-service
Shell à travers l’ile. Cette
U
initiative de la compagnie
ne seule œuvre à réaliser et pourquoi ne pas les mettre en avant au former la gare routière en un ter- pétrolière vise à assurer le
avec les techniques tradi- sein du projet Victoria Urban Terminal minal moderne d’utilité publique, bien-être des collaborateurs
tionnelles ou innovantes en ! Nous permettons ainsi à la population qui s’inscrit dans le cadre de la qui sont en première ligne
s’inspirant du projet Victoria Urban de s’approprier le projet qui leur sera des- régénération urbaine de la capitale. pour offrir un service con-
Terminal. Charles Derblay, Acting tiné à l’achèvement des travaux. » sou- Les participants sont ensuite invités tinu en cette période de confinement lié à la propagation du Cov-
CEO de Victoria Station Ltd, se tient-il. à envoyer une photo de leur dessin id-19. Ces packs de denrées alimentaires, contenant près d’une ving-
réjouit de cette initiative : « Cette Le concours est ouvert à tous et à l’adresse e-mail suivante : vslport- taine de produits essentiels, ont été distribués auprès des pompistes
période de confinement est dure pour bon les participants devront s’inspirer louis@gmail.com. Les meilleures et Quality Marshalls qui sont postés sur les stations-service Shell
nombre d’entre nous. Nous avons ainsi du thème suivant : « Victoria Urban œuvres seront publiées sur la page opérationnelles pendant ce couvre-feu sanitaire.
voulu lancer un jeu bon enfant sur les ré- Terminal, projet au service de la popula- Facebook du projet https://www.
seaux sociaux. Le pays regorge de talents tion ! ». Ce projet consiste à trans- facebook.com/VUTMauritius/.
KFC Maurice dessert désormais les
quatre coins du pays
Elan de solidarité du groupe L’enseigne KFC, qui livre ses produits phares en collaboration avec
OrderManzer et Fudz dans 45 régions du pays, dessert désormais de
Sun Resorts aux plus démunis nouvelles zones de livraison, notamment dans l’Est du pays, portant
le nombre à 122. « La majeure partie du pays est dorénavant desservie,
notamment à travers nos points de ventes de Rose-Hill, Cascavelle, Good-
Depuis le début de la propaga- lands, Phoenix, Quatre-Bornes, Rose-Belle, Port-Louis et Flacq », sou-
tion du virus, Sun Resorts s’or- tient Annabelle Fanchette Thomas, Marketing Manager chez KFC.
ganise pour apporter sa contribu- Une équipe restreinte travaille dans chacun des restaurants de KFC
tion dans cette “guerre sanitaire” en Maurice afin de mieux respecter la règle de distanciation sociale, et
agissant pour ceux qui sont dans la température de chaque employé est prise à plusieurs reprises. Le
le besoin et dans les situations port des gants et des masques est obligatoire, et les employés sont
les plus précaires. A Flic en Flac, appelés à les changer deux fois par jour et à se désinfecter les mains
l’hôtel La Pirogue, a distribué à toutes les demi-heures à l’eau et au savon ainsi qu’avec du gel hydro
25 familles de la région, plusieurs alcoolique. Et enfin, l’approvisionnement des matières premières est
« packs » avec la collaboration de réalisé en petite quantité pour un meilleur contrôle et les produits
Ben Romaldawoo, Président des sont désinfectés.
Forces Vivres de Flic en Flac. Les
familles ont accueilli ces dons
avec joie et soulagement. Sur la SPARC organise des séances de
sport en live sur Facebook
Chaque mardi et jeudi, SPARC donne rendez-vous à leurs nom-
breux fans et internautes avec leur coach Mashaa’el Peerbux pour
des séances matinales bien musclées à 10 heures (en live via sa page
Facebook @sparcmu). Cette initiative, qui a débuté ce jeudi 16
avril, durera jusqu’à la fin du confinement. Pour SPARC, l’idée est
côte est, les employés de Long sir. Avant d’avoir été utilisé par la d’inviter et surtout d’encourager les Mauriciens à avoir une activité
Beach ont offert également à Ministère de la Santé comme cen- physique, même en ces conditions exceptionnelles. Il s’agit là d’une
plusieurs familles de la région de tre de quarantaine, l’hôtel Ambre opportunité, pour beaucoup, de s’initier à certains exercices qu’ils
Belle Mare, des packs de denrées a également tenu à apporter sa pourront continuer à pratiquer après le lever du lockdown. En plus
de base. Les enfants n’ont pas contribution en subvenant aux de ces séances en direct, le public est également invité à découvrir des
été oubliés en cette période de besoins de plusieurs familles en programmes d’entraînement à travers de courtes vidéos réalisées par
Pâques ! Ils ont eu droit à des fri- difficulté, de la région de Quatre les différents coachs et relayées sur la chaîne YouTube de SPARC.
andises pour leur plus grand plai- Cocos & Palmar.
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