Latest news with #R21bn
TimesLIVE
04-07-2025
- Business
- TimesLIVE
World's biggest climate fund ramps up investment plans
The world's biggest multilateral climate fund said it will make its largest investments and speed up deal making as it looks to help poorer nations respond to global warming. The Green Climate Fund's (GCF) plan to release about $1.2bn (R21bn) for 17 projects mostly in Asia and Africa follows approval by shareholders, including the US, at a meeting this week against a fractious political backdrop that has seen development aid slashed. Official development assistance could fall 17% this year after a 9% drop in 2024, the Organisation for Economic Co-operation and Development said in a June report, led by hefty cuts to US aid by President Donald Trump. 'At a time when collective climate action is more needed than ever, GCF is stepping up to deliver on its mandate,' said GCF co-chair Seyni Nafo. The GCF disbursement includes $227m (R4bn) for an initiative to expand green bond markets in 10 countries. Green bond markets are where companies raise capital for projects that limit climate change or otherwise benefit the environment. In South Asia, it will invest $200m (R3.5bn) in the India Green Finance Facility to scale renewables and energy efficiency, while in East Africa it will invest $150m (R2.6nn) in the food system to support nearly 18-million people. All the projects will bring the GCF investment portfolio to $18bn (R315bn) across 133 countries. So far, countries have pledged $29.9bn (R523bn) to the GCF and paid in $21bn (R367bn) The GCF board also approved plans to speed up its work with partner organisations which can include accredited entities such as other multilateral lenders and direct access entities in developing countries. From an average 30 months to accredit a direct access entity, the aim is to shorten the time to nine months or less by overhauling its procedures, including carrying out much of the due diligence at the project stage.
IOL News
30-06-2025
- Business
- IOL News
The impact of bitcoin 2025 on Africa's financial future
In regions where banks are not viable due to economic instability or infrastructural challenges, cryptocurrency presents a transformative solution. Image: File THE recent Bitcoin conference that was held in Las Vegas in the US from of May 27 to 29 made history as the White House openly embraced cryptocurrency, with Senator JD Vance declaring: 'Crypto finally has a champion in the White House.' This unprecedented political endorsement signals a watershed moment and a shift in mainstream financial policy, showcasing cryptocurrency's accelerating global adoption, with discussions ranging from institutional investment to regulatory frameworks. While global attention focused on US and European developments at Bitcoin 2025, Africa's crypto economy has been quietly booming. Nigeria, Kenya and South Africa now rank among the world's top adopters of peer-to-peer crypto trading. In fact, Chainalysis reports that South Africa alone saw more than $1.2 billion (about R21bn) in crypto transactions in Q1 2025, a 40% increase year-over-year. This growth comes despite regulatory uncertainty about Crypto, proving the technology's organic demand against all odds. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ As the Donald Trump administration pushes aggressive pro-crypto policies aimed at establishing US dominance in digital assets, Africa faces a crucial challenge, particularly in developing regulatory frameworks around crypto crime trends, Crypto can function side by side with traditional banks. With more than 13 years in financial services, specialising in derivatives, fintech, and regulatory compliance, I have also witnessed firsthand the limitations of traditional banking in Africa. Millions of people remain unbanked, relying on cash economies, while others face exorbitant fees, slow transactions, and limited access to credit. In regions where banks are not viable due to economic instability or infrastructural challenges, cryptocurrency presents a transformative solution. Africa's financial exclusion crisis is well-documented. According to the World Bank, nearly 60% of Africans lack access to formal banking. Yet, mobile money, pioneered by platforms such as M-Pesa, has shown that digital financial solutions can thrive where traditional banks fail. Crypto takes this a step further by offering: - Borderless Transactions: Remittances, a lifeline for many African families, often come with high fees. Crypto slashes costs and speeds up cross-border payments. - Financial Inclusion: With just a smartphone, users can access decentralised finance (DeFi) platforms, savings, and lending services, bypassing brick-and-mortar banks. - Hedge Against Inflation: In countries like Nigeria and Zimbabwe, where local currencies fluctuate wildly, stablecoins and Bitcoin provide a store of value. However, the big question is: Can crypto outgrow politics and gain legitimacy among established banks? The Regulatory tightrope, balancing innovation and control, has been one of the biggest criticisms of crypto, in particular the perceived use by criminals to bypass financial laws. However, this is not an inherent flaw of blockchain technology; it's a challenge of regulation. As someone who has navigated complex financial regulations across Africa, from traditional banking to Crypto, I believe smart policies can mitigate risks without stifling innovation. South Africa's Financial Sector Conduct Authority (FSCA) has already taken steps by declaring crypto a financial product, bringing it under regulatory oversight. Other African nations should follow suit with clear, balanced frameworks that: - Prevent Illicit Activity: Mandating KYC (Know Your Customer) and AML (Anti-Money Laundering) compliance for exchanges. - Protect Consumers: Ensuring transparency in crypto projects to prevent scams. - Encourage Institutional Adoption: Partnering with banks to integrate crypto services, bridging the gap between decentralised and traditional finance. As the US positions itself as a crypto hub and the Trump administration signals support for digital assets, should Africa not also act swiftly, or risk becoming mere spectators in this financial revolution? Or worse, a dumping ground for unregulated, speculative schemes. The reality is that crypto is here to stay. The question is whether Africa will harness its potential or let fear dictate its financial future. Banks and crypto need not be adversaries. The future lies in collaboration, where decentralised finance complements traditional systems, extending services to the unbanked and underbanked. As a philanthropist deeply invested in women's economic empowerment, I have seen how financial exclusion perpetuates poverty. Crypto can change that. But for it to succeed, African governments, regulators, and financial institutions must act now, before the world moves forward without us. * Sebaga Matabane is a seasoned financial executive and derivatives expert. A passionate advocate for financial inclusion, she is also the founding patron of the Give to Live Foundation, which supports abused women and children across Africa. ** The views expressed here do not reflect those of the Sunday Independent, IOL, or Independent Media. Get the real story on the go: Follow the Sunday Independent on WhatsApp.
IOL News
08-05-2025
- Business
- IOL News
WeightWatchers files for bankruptcy: What it means for South Africa
Understanding WeightWatchers' bankruptcy and its implications for South Africa Image: WeightWatchers Long a household name in dietary aids, 62-year-old WeightWatchers has filed for what US law essentially calls reorganisation bankruptcy – similar to South Africa's business rescue process. However, the process the self-styled 'global leader in science-backed weight management' company is putting itself through is hardly likely to affect any South Africans, given that there is no longer any mention of workshop locations in the country. In addition, IOL's research found that a Facebook group post from February 2024 showed that that WeightWatchers ceased operations in here around that time. There is no information as to why it ended its presence in South Africa, where it launched in 1990. At one stage, the weight-loss programme had a partnership with Discovery Health through its Vitality wellness programme, which provided Discovery Vitality members with benefits, such as discounts on membership. However, this specific benefit with Discovery Vitality ended towards the end of 2017. CEO Tara Comonte said in a statement that 'the decisive actions we're taking today, with the overwhelming support of our lenders and noteholders, will give us the flexibility to accelerate innovation, reinvest in our members, and lead with authority in a rapidly evolving weight management landscape'. The company faces competition from several areas, including commercial weight-loss programmes, digital health and wellness platforms, as well as medicine such as those developed by Novo Nordisk and Eli Lilly & Company – which recently took the market by storm. WeightWatchers International – officially WW as of 2019 – 'remains fully operational during the reorganisation process and there will be no impact to members or the plans they rely on to support their weight management goals,' it said. The company also stated that its holistic model of care, including being recommended by doctors, its telehealth offering with access to obesity-trained clinicians and prescription weight-loss medications, and virtual and in-person workshops, remain available. South Africans can still access the Weight Watchers program through the international website according to WeightWatchers. Headquartered in New York, the company this week explained that the bankruptcy would enable it to 'bolster its financial position, increase investment flexibility in its strategic growth initiatives, and better serve its millions of members around the world'. WeightWatchers said in a statement this week that the bankruptcy filing will eliminate $1.15 billion (about R21bn) in debt from its balance sheet and position it for 'long-term growth and success'. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕
