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1. By Tawanda Musarurwa
HARARE – Two insurance
firms and a broker have been
de-registered, the former for
failing to meet the minimum
capital requirement, and the
latter for ‘unethical business
practice’.
The insurance firms – New
Reinsurance Company of
Harare (Pvt) Ltd and Global
Insurance Company (Pvt)
Ltd, and the broker – Navis-
tar Insurance Brokers (Pvt)
Ltd – were among five insur-
ance firms that were placed
under suspension between
2014 and last year.
The other two firms that
were suspended - Excellence
Insurance Company (Pvt)
Ltd and KMFS Insurance
Company (Pvt) Ltd remain
suspended. The deregistration was
announced by the commis-
News Update as @ 1530 hours, Monday 07 March 2016
Feedback: bh24admin@zimpapers.co.zwEmail: bh24feedback@zimpapers.co.zw
IPEC de-registers 2 insurance firms, broker

2. sioner of Insurance, Pension
and Provident Funds Mrs
Manet Mpofu in a notice that
was published in last week’s
Government Gazette.
“It is hereby notified, in
terms of section 22 (1) (a)
(v) as read with section 38
of the Insurance Act (Chap-
ter 24:07), that the names
of the two insurance compa-
nies and one broker specified
in the Schedule have been
cancelled off the register,”
she said.
“New Reinsurance Company
of Harare (Pvt) Ltd and
Global Insurance Com-
pany (Pvt) Ltd’s licences
have been cancelled after
they failed to address their
“unsound” financial posi-
tions.”
According to the Insurance
and Pension Commission
(IPEC), short-term insur-
ance companies are required
to have a minimum capital
requirement of $1,5 million.
On the other hand, Navis-
tar’s operating licence was
suspended in March 2014
when its three executives
were slapped with charges of
fraud and criminal abuse of
office for allegedly defraud-
ing Air Zimbabwe of $8 mil-
lion in 2009 through inflating
aviation insurance premiums.
Following its suspension,
Navister’s operations began
to struggle and was subse-
quently placed under the
judicial management of
Wesley Sibanda of Welsa
International Chartered
Accountants, which it failed
to exit before its eventual
de-registration.
IPEC’s six months to June
30, 2015, the number of
registered players, including
insurance agents increased
from 585 as at March 31,
2015 to 591 during the
period under review.
With the latest de-registra-
tions that figure has slightly
dipped to 588 registered
insurance firms currently in
operation.●
2 news

3. BH243

4. By Munesu Nyakudya
HARARE – RUSAPE - ProFeeds
has another sales branch in
Rusape, making it their 43rd
branch across the country.
ProFeeds head of sales market-
ing and distribution Mrs Nolene
Goudis said the idea behind
the opening of more branched
across Zimbabwe is to make
their products conveniently
available to their customers.
“We basically thought that we
have had such good support
from the Rusape community.
We have got agencies in Rus-
ape, we have also got whole-
salers. So we thought why
not give them more options
and more of a choice making
it more convenient by open-
ing ProFeeds center centrally
located as well”.
“I am sure that this move will
also contribute in expanding
our revenues. All our goals are
to expand revenue and also
to make it convenient for the
customers and the small scale
farmers,” Mrs Goudis said.
Operations manager Ms
Rumbidzai Munhupedzi said the
services that they have been
giving to their customers has
helped them grow in business.
“We have managed to build a
customer base and we have
had that trustworthy from our
customers”.
“We also offer free training
seminars, where we engage
small scale farmers. They
come in for morning trainings
which are free and basically get
trained on how to look after
their chicks and how to use our
products,” said Ms Munhupedzi.
Meanwhile ProFeeds has
launched new beef and the rab-
bit feeds to their existing range
of animal feeds.
According to Mrs Goudis plans
are underway for the company
to launch more stock feed prod-
ucts as well as opening other
branches around the country.
.●
4 news
ProFeeds opens Rusape branch

5. BH245

6. BH246

7. BH24 Reporter
HARARE - Zimbabwe focused
investment company Cam-
bria is considering a proposal
by one of its shareholders
Consilium Corporate Recovery
Master Fund Ltd for a stay in
their litigation case until April
30, 2016.
“Cambria wishes to clarify
that it has received an offer
from Consilium to such a stay
and that it is considering the
proposed terms thereof,” the
company said in an update.
The litigation arose over the
terms of the secured loan
agreements held with Con-
silium. Consilium last year
formally demanded payment
of $4 819 106,18 pursuant
before the repayment date of
April 30, 2016, a move that
was disputed by Cambria.
Cambria subsequently won a
reprieve after Consilium was
ordered by the High Court of
Justice of the Isle of Man to
pay the former’s costs of and
incidentals to the Statutory
Demand claim on a standard
basis in December last year.
In issuing his Judgement, the
Deemster Doyle stated, "In
my judgment the Defendant
should have provided, on a
timely basis and in any event
before the time limit speci-
fied in the statutory demand
expired, an undertaking not
to present a winding up claim
on the basis of the disputed
debt. It failed to do so. The
undertaking provided by the
Defendant in the Gough Law*
letter dated 5 November 2015
came too late. If an under-
taking had been provided on
a more timely basis the claim
to prevent the filing of a
winding up claim would have
been unnecessary and the
costs of and incidental to the
claim would not have been
incurred.”
Meanwhile Mrs Josie Waten-
phul has been appointed
non-executive director with
effect from March 2. Cam-
bria said it will make an
announcement regarding the
appointment of a new chief
financial officer at the appro-
priate time.●
7 news
Cambria consider proposal by shareholder

8. BH248

9. BH249

10. BH24 Reporter
HARARE – Raw milk produc-
tion in Zimbabwe has jumped
17,6 percent to 5,5 million
litres in January 2016 from
4,6 million litres in the prior
comparable period in 2015.
According to the latest figures
released by the dairy services
department in the Ministry
of Agriculture, Mechanisation
and Irrigation Development,
the production of milk has
been on an incremental path
since May last year, despite
a dip in output during the
month of November.
During the period under
review, intake of raw milk by
processors was 17,3 percent
up from January 2015 at
4,8 million litres while milk
retailed by producers was 20
percent up at 642 632 litres.
The dairy industry is cur-
rently operating at 45 percent
capacity with an estimated
223 registered dairy opera-
tors and a dairy herd of about
26 000 animals.
Last year’s overall milk output
was slightly improved from
prior years.
The total amount of milk
produced in 2015 stood at
57,530 million compared to
55,479 million produced in
2014.
At its peak in 1999, Zim-
babwe produced over 150
million litres of milk annually
and was exporting into the
region and beyond.
Zimbabwean processors have
since embarked on a drive to
increase the heifer herd and
this has been reflected in the
increase in milk production
over the past year.●
10 news
January 2016 milk output jumps 17,6pc y-o-y

11. BH2411

12. BH2412

13. HARARE - The mainstream
industrial index opened the
week on a high note adding
0.40 to settle at 99.20.
The bourse has been in a
rather topsy-turvey mode
over the last couple weeks.
Heavyweight Delta Bever-
ages rose $0,0116 to close
at $0,5641, while giant
insurer Old Mutual shifted up
$0,0070 to settle at $1,8100
amid reports that the Anglo-
South African financial ser-
vices company was plotting
a $12,8 billion break-up that
could trigger a takeover bat-
tle for the company's various
operations.
First Mutual also traded
in the positive, gaining
$0,0020 to trade at $0,0220.
On the downside, Barclays
shed $0,0020 to close at
$0,0300 while Simbisa slid
$0,0011 to $0,1300.
Giant telecoms Econet and
short-term insurer Nicoz-
Diamond both lost $0,0001
to trade at $0,2300 and
$0,0160, respectively.
The mining index was flat
at 19.14 as Bindura, Fal-
gold, Hwange and RioZim all
maintained previous price
levels at $0,0095, $0,0050,
$0,0300 and $0,1040
respectively.
- BH24 Reporter ●
ZSE13
Equities market open week on a high

14. BH2414

15. Movers CHANGE Today Price USc SHAKERS Change TODAY Price USc
First Mutual 10.00 2.20 Barclays -6.25 3.00
Delta 2.09 56.41 Simbisa -0.83 13.00
Old Mutual 0.38 181.00 NicozDiamond -0.62 1.60
Innscor 18.05 18.05 Econet -0.04 23.00
Index Previous Today Move Change
Industrial 98.80 99.20 +0.40 points +0.40%
Mining 19.14 19.14 +0.00 points +0.00%
15 zse tables
ZSE
Indices
Stock Exchange
Previous
02 03
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16. 16 DIARY OF EVENTS
The black arrow indicate level of load shedding across the country.
POWER GENERATION STATS
Gen Station
07 March 2016
Energy
(Megawatts)
Hwange 480 MW
Kariba 460 MW
Harare 30 MW
Munyati 17 MW
Bulawayo 0 MW
Imports 0 - 500 MW
Total 1422 MW
•Thursday 24 March 2016 - Annual General Meeting of Willdale Limited; Place: Boardroom, Willdale Administration Block,
19.5km peg Lomagundi Road, Mount Hampden; Time: 1100 hours...
THE BH24 DIARY

17. ABUJA -The rand was steady
on Monday morning as trad-
ers awaited the release of
current account figures.
At 8.38am the rand was at
1,.3705 against the dollar
from 15,3463 previously.
Against the euro, the
rand was at 16,8958 from
16,8264 previously. It was
at 2,.8436 against the pound
from 21,8161. The euro was
at $1.0991 from $1,0990
previously.
The Reserve Bank will
release current account data
on Tuesday. The shortfall
for last year is expected to
have narrowed to 4 percent
of gross domestic product
(GDP) from 5,4 percent in
2014.
The rand tends to firm when
the current account deficit
narrows because investors
see it as an indication that
less money will be needed to
finance the debt required to
cover the deficit.
The current account short-
fall in the fourth quarter
compared with the third is
expected to have remained
stable at about 4,1 per-
cent of GDP, according to a
median consensus forecast
from a survey of seven econ-
omists.
On Friday, currency markets
responded positively to US
employment data. The rand
strengthened by about 30c.
US nonfarm payrolls for
February overshot expec-
tations of 190 000 with a
reading of 242 000, from an
upwardly revised 172 000
in January. The unemploy-
ment rate remained steady
at 4,9 percent, while labour
force participation picked up
to 62,9 percent from 62,7
percent in January. However,
average earnings fell 0,1
percent month on month,
down from growth of 0,5
percent in January.
The focus this week will be
on the euro in the run-up to
the European Central Bank
(ECB) meeting.
Dow Jones Newswires said
the likelihood of the ECB
cutting interest rates deeper
into negative territory,
and possibly expanding its
bond-buying programme,
would be detrimental for the
euro.
"It further diminishes the
appeal of holding the nega-
tive-yielding currency," the
newswires said.
On the international front,
the dollar struggled on Mon-
day after failing to gain on
the stronger-than-expected
US payrolls data, while the
Australian dollar fell prey to
profit-taking after its best
weekly performance in more
than four years.
The greenback had initially
gained on Friday in a knee-
jerk reaction to an upbeat
nonfarm payrolls report
which showed solid job
growth of 242 000. But the
dollar went into reverse as
markets appeared to latch
onto the disappointing fall in
hourly earnings.
The dollar was down 0,2
percent at 113,605 yen
after rising briefly to 114,25
yen on Friday following the
employment report release.
The US currency had sunk to
a 16-month low below 111
yen in February as a global
downturn in stocks amid
Chinese growth woes and
sliding commodities drove
demand for the safe-haven
yen.
The dollar index was steady
at 97,339, nursing a 0,3
percent fall on Friday. It
popped above 98,000 in
immediate reaction to the
jobs data, but then slid as
deep as 97,019. The broad
dollar retreat helped drive
the euro back up to the
$1,1000 area, even though
the ECB is widely expected
to ease at its policy meeting
on Thursday.
The Aussie eased 0,4 percent
to $0,7413, trimming some
of last week’s eye-catching
4.4% rally. It had easily out-
performed on data showing
an unexpected acceleration
in the Australian economy,
which reduced the chances
of further cuts in interest
rates this year. - BDLive/
Reuters●
regioNAL News17
Rand treads water ahead of current account figures

18. Oil extended gains above
$36 a barrel as US drillers
cut the number of active rigs
to the least in more than six
years amid a global glut.
Futures rose as much as
2,2 percent in New York and
crude in London climbed
for a sixth day, the longest
rally since November. Rigs
targeting oil fell by 8 to 392,
declining for an 11th week
to the lowest level since
December 2009, according
to Baker Hughes Inc. Hedge
funds unwound bearish
bets at the fastest pace in
10 months, US Commodity
Futures Trading Commission
data showed, as the pros-
pect of prices sinking to $20
faded.
Oil on Friday completed a
third week of gains, the
longest such run since May,
as US crude production slid
to the lowest since Novem-
ber 2014. Still, rising stock-
piles are keeping supplies at
the most in more than eight
decades. A meeting among
major producers to discuss
freezing output may be held
in Russia, Doha or Vienna
in the March 20 to April 1
period, Russian Energy Min-
ister Alexander Novak said
on state television.
“We’re starting to see US
production levels decline and
if that continues, it could
easily drive momentum in oil
a bit further,” Ric Spooner, a
chief analyst at CMC Markets
in Sydney, said by phone.
“Still, the higher prices go,
the more vulnerable they are
to some sort of correction,
given we’re moving into a
period of seasonal weak-
ness.”
Short Positions
West Texas Intermediate
for April delivery added as
much as 80 cents to $36,72
a barrel on the New York
Mercantile Exchange and was
at $36.45 at 3:30 p.m. Hong
Kong time. The contract
climbed $1,35 to $35,92 on
Friday, the highest close
since Jan. 5, capping a 9,6
percent advance for the
week. Total volume traded
was about 30 percent above
the 100-day average.
Brent for May settlement
increased as much as 78
cents, or 2 percent, to
$39,50 a barrel on the
London-based ICE Futures
Europe exchange. The con-
tract rose for a fifth day on
Friday, the longest winning
streak since the period to
Nov. 25. The global bench-
mark crude was at a pre-
mium of 95 cents to WTI for
May.
Speculators reduced their
short positions in WTI crude
by 15 percent, or 25 639
contracts of futures and
options combined, to 150
718 in the week ended March
1, the biggest decline since
April 21, according to CFTC
data. The exodus of bear-
ish bets resulted in a 24
886-contract jump in the
net-long position.
US output slips as stock-
piles rise:
• Production dropped
for a sixth week to 9,08 mil-
lion barrels a day, accord-
ing to Energy Information
Administration data. Stock-
piles are at 518 million bar-
rels, the most since 1930.
• Azerbaijan will
join producers in freezing
production, ANS TV reports,
citing Rovnaq Abdullayev,
president of state-run Socar.
• Saudi Arabia, Rus-
sia, Qatar and Venezuela
agreed last month they
would freeze output, if other
producers followed suit, in
an effort to tackle a global
oversupply in the oil mar-
ket.-Bloomberg●
internatioNAL News18
Oil extends advance above $36 as US explorers idle more rigs

19. By Karen Daniel
Electricity alters lives,
shapes economies, changes
cultures and drives devel-
opment. If the bright future
envisaged for the African
continent is to become a
reality, a stable power land-
scape is needed, together
with an adequate and well-
thought out mix of genera-
tion technologies.
Africa is poised for unprece-
dented transformation in the
next 40 years. Many African
countries, despite falling
oil and commodity prices,
are likely to remain among
the world’s fastest-growing
economies.
Abundant natural resources,
new markets, and some
of the most promising
gas finds in the world are
increasingly being matched
with improving stability,
growing middle and con-
sumer classes, and increas-
ing urbanisation.
Given these socioeconomic
factors, along with private
sector and government
interest in expanding into or
increasing trade with grow-
ing economies, the region
is poised to leap forward —
provided the infrastructure
and power it needs are put
in place.
But powering up is not
that simple. Large-scale,
base-load power projects
can take years to design,
develop and bring online.
Regional power solutions
require co-operation across
governments and investors.
The push for sustainability
influences planning deci-
sions, while capital flows
are constrained by a range
of factors.
So what should Africa’s
future power mix look like,
and more appropriately, how
will Africa fund it?
Given the resources avail-
able on the continent, gas
and coal will be the pri-
mary generation technolo-
gies. They will provide the
base-load capacity needed
to support industry’s power
needs — and build the
excess power reserves that
add resilience to the grid.
But nuclear technology
remains a major component
of the future energy plan for
Africa.
With more than 7 percent
of the world’s gas — about
30-trillion cubic metres
of potential and proven
reserves — Africa’s abun-
dant natural gas reserves
represent one of the criti-
cal keys for unlocking the
continent’s development
potential, especially as a
relatively cheap and quick
solution for generating
power that can serve both
domestic and industrial use.
Collectively, more than
half of the gas that will be
available in Africa can be
found in Mozambique and
Tanzania, which are on track
to become the continent’s
leading gas suppliers, along
with Angola and Nigeria.
SA’s new gas-to-power
programme may also lead
to investment of about
R64bn in the next four to
five years, and is intimately
linked to Mozambique’s
reserves. Storage and other
gas-transport infrastruc-
ture are critical needs to
be tackled to ensure the
success of the gas-to-power
programme.
Similarly, coal is an impor-
tant part of the power mix.
Modern coal plants can be
constructed with advanced
technology to ensure they
are more efficient, use less
water, and reduce emis-
sions. With Black & Veatch,
Eskom’s Kusile project has
incorporated advanced envi-
ronmental technology that
will ensure a sustainable,
cleaner source of elec-
tric energy is available for
SA and Africa far into the
future.
Renewables — wind, solar,
biomass and hydro pro-
jects — too will contribute
vital megawatts for Africa.
Already, some of the most
19 analysis19 analysis
Africa needs a stable power mix

20. 20 analysis20 analysis
cost-competitive photovol-
taic projects worldwide are
located in the region.
The International Renew-
able Energy Agency notes
in its Africa 2030 report
that renewable energy has
the potential to quadruple
to 22 percent, compared
to today’s level of about 5
percent.
With the potential for rapid
development and scalabil-
ity, abundant solar energy
potential (as much as 10
terawatts) and large wind
resources in the east-
ern, northern and south-
ern regions of Africa may
provide up to one-quarter
of electricity by 2040. SA’s
Renewable Energy Inde-
pendent Power Producers
Programme already rep-
resents one of renewable
energy’s successes.
A continued push towards
electrification, funding con-
straints, advances in tech-
nology, and an increased
focus on sustainability are
also driving a continued
shift towards the inclusion
of distributed generation
(generally categorised as
generation less than 20MW).
These smaller-scale projects
offer fewer capital require-
ments and a quick path to
getting much-needed power
on line.
Increasingly, African
power blocs are also talk-
ing greater regional power
pooling and integration.
The Southern African Power
Pool (SAPP) has an installed
capacity of 58,3 gigawatts
(GW); and SA alone pro-
vides 44GW — or 75 percent
— of total megawatts.
SAPP’s electricity demand
is forecast to increase from
53,7GW to 77,7GW by 2018,
and represents a transna-
tional opportunity for pool-
ing power resources. Further
potential exists as Mozam-
bique and SA work together
to facilitate the export of
gas from the Rovuma Basin
to meet demand across
geographies.
Securing investment financ-
ing is Africa’s greatest
challenge — and a steady
flow of capital is crucial to
continued energy expan-
sion. New build and operat-
ing plant spend estimates
suggest $75bn a year — 10
percent of Africa’s gross
domestic product — is
needed to close Africa’s crit-
ical energy gap.
The Economist Corporate
Network reports that of the
$93bn of capital invested
in Africa from 2009-14, the
World Bank contributed 22
percent ($20bn) and the
Development Bank of SA
and the African Develop-
ment Bank each contributed
18 percent— or $16,5bn
and $16,2bn — respectively.
That’s nearly 60 percent of
total foreign direct invest-
ment capital invested
in Africa in the six-year
period. It’s an indication of
the financial limits to, and
sources of, investment.
Given the condition of most
sovereign treasuries, infra-
structure funding will need
to involve public and private
funds. Yet, the needs and
business cultures of each
country within Africa are
different and present their
own set of challenges and
opportunities.
Securing private sector
investment requires co-ordi-
nated project-development
and execution efforts, sup-
ported by a vast network of
seasoned, well-capitalised
participants. Africa’s future
is the capabilities of its
people, not its resources.
Achieving a balanced power
mix is critical to reshaping
economies fundamentally.
Widespread economic resil-
ience and prosperity can
emerge only with reliable
power as its backbone. A
balanced energy portfolio
that includes a mix of small
and large projects, and
diverse technologies, will
be critical to achieving this
goal. – BDLive ●