Business Friday June 1, 2018
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othae mine has announced t h e re c ove ry of a 25-carat yellow gem diamond from its bulk sampling operations this week, following the modification of its processing plant for efficiency and security, especially for large stones. The Australian-listed Lucapa Diamond Mine, which owns 70 percent of Mothae while the government of Lesotho holds the remaining 30 percent, said in a statement the recovery was made in the first two days of the trial processing, adding a significant amount of other diamonds above 5 carats were also found, including a 6-carat stone. T h e sta te m e n t sa i d t h e special gem was recovered from the Neck Zone of the Mothae kimberlite, which is not part of the current +1 million carat
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Some of the stones recovered at Mothae Mine recently Joint Ore Resource Commission (JORC) resource, adding Mothae will commence processing three 50,000-ton bulk samples of kimberlite material from the Neck, North and South East Zones, with the aim of adding to the JORC resource and the mine life. Lucapa Diamonds, which also has mining operations in Angola, had earlier this month re c ove re d a 46 - ca ra t p i n k diamond from its Lulo mining, which has been recorded as the largest gem-quality coloured diamond recovered to date from Lulo mining operations, which has already produced 10 diamonds above 100 carats to date, including Angola’s two biggest recorded white Type IIa gems weighing 404 carats and 227 carats. Meanwhile, Gem Diamonds also announced the recovery of a 115-carat stone at its Letšeng mine last week, making it the
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Mothae, Letšeng report big stone recoveries
LAWRENCE KEKETSO
Eye
ninth large diamond above 100 carats recovered only in 2018. Letšeng mine, which is famous for the production of large, top colour, exceptional white diamonds, is the highest dollar per carat kimberlite diamond mine in the world. Since Gem Diamonds acquired the mine in 2006, Letšeng has produced over 60 +100 carat, predominantly high value, white diamonds, which include among others, the iconic 603-carat Lesotho Promise, the 550-carat Letšeng Star and the 493-carat Letšeng Legacy. In 2015, Letšeng produced the 357-carat Letšeng Dynasty and the 314-carat Letšeng Destiny. Letšeng mine has also produced high quality pink and blue diamonds, with a rare blue diamond achieving a sales price of US$603 047 per carat in 2013 and an exceptional pink diamond achieving $187 700 per carat in 2016.
Ease of doing business should be prioritised in Africa PRETORIA - South Africa and Tanzania have encouraged the business sector from both countries to commit to and utilise some of the agreements signed by their respective governments in order to find it easy to operate in the continent. The discussion took place during the Trade and Investment Mission to Dar es Salaam, Tanzania organised by South Africa’s Department of Trade and Industry (the dti). Ac c o rd i n g t o t h e H i g h Commissioner of South Africa to Tanzania, Mr Thami Mseleku, it is a well-known fact that South Africa is open for investment, and that President Cyril Ramaphosa has given missions a task to ensure that African investors are encouraged to invest in South Africa and the rest of the continent. “The new diplomatic relations that were formed between the government of South Africa and Tanzania, and cemented by then former presidents, was to say perhaps we need to deepen our trade and investment relations in different platforms that might lead to us to trading with ease and forming sustainable partnerships in different sectors. That is why we continue to have these engagements on an annual basis to emphasise the importance of these agreements,” said Mseleku. Mseleku added that these trade missions are not only a oneway process that will only benefit South African businesspeople. H e s a i d t h e re we re m a n y Tanzanian businesspeople who are really beginning to find space
where there is there is beauty for all type of skin protection LDA - sireletsa letlalo la hao khahlanong le maemo a leholimo
to invest in South Africa. “ We a re h e re n o t o n l y to encourage South African businesspeople to look for opportunities and partners, but also for the Tanzanians to say how do we actually enter the South African market and tap into the sectors that can be beneficial for both countries,” he said Speaking at the same seminar, the Service Manager of the Tanzania Chamber of Commerce, Industry and Agriculture, Ms Fatuma Hamis, said their aim as an organisation was to support business growth between neighbouring countries and Tanzania. “As we all know the private sector is the engine of growth in any economy, therefore it is very crucial to create reliable platforms for investors and trade partnerships with the assistance of government in order to eradicate any hindrance that might delay business engagements and trade relations,” said Hamis. Hamis added that the G o v e r n m e n t wa s k e e n t o promote and enhance private investment in a number of key sectors, including infrastructure development, industrialisation, agriculture and power generation. South African exports to Tanzania are predominantly in the area of manufacturing, namely machinery, mechanical a p p l i a n c e s , pa p e r, r u b b e r products, vehicles, iron and steel, services and technology. Imports from Tanzania are mainly gold, Continues on page 7
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Public Eye
Friday June 1, 2018
Business Eye News
Trump-Kim summit fears blight markets MAKING MONEY MAKE SENSE LEONARD NYAMBUYA
Global markets closed modestly higher amid geopolitical turmoil. The major indexes were f lat to slightly higher ahead of the weekend. US markets held on to weekly gains as solid earnings overshadow geopolitical fears following President Trump’s move to cancel a key summit with North Korea. T h e g e n e ra l l y b u o ya n t sentiment following earnings numbers was tempered, after President Donald Trump’s abrupt decision to scrap a landmark summit with North Korean leader Kim Jong Un. The meeting would have been the first face-to-face encounter between a sitting US President and a North Korean Premier. I n re s p o n s e , P yo n gya n g ’s vice foreign minister said the country still hoped for a “Trump Formula,” before adding that the Asian nation would remain open to solving long-standing issues with the world’s largest economy. This helped market sentiment to recover Friday morning with European stocks posting solid gains. The Dow Jones Industrial Average dropped 58.7 points to finish at 24753.09, led lower by energy stocks. The S&P 500 declined 0.24 percent to close at 2721.33, amid continued losses in energy and financial stocks. Both sectors had been under pressure this week as result of a decline in oil industry leaders like Exxon Mobil and Chevron, which closed 3.5 percent on Friday. Lower interest rates meanwhile dragged on bank stocks. The rate on the benchmark 10-year Treasury note fell almost 15 basis points during the week. It closed at 2.93 percent. The Federal Reserve’s May meeting minutes released last week showed the central bank may be willing to let inflation run a little hotter than its two percent goal. A pivot to safer asset classes in the wake of geopolitical concerns has also helped send trades lower. Political tensions in Italy took a new twist bringing along relief among investors, as the populists failed to form a government. This gave way to concerns that new elections could become a vote on the future of the euro. Italian President Sergio Mattarella on Sunday refused to accept the nomination of a eurosceptic economy minister, prompting the anti-establishment Five Star
Movement and far-right League party to give up trying to form an administration, at least for now. The euro traded at its lowest this year against the USD, while Italian stocks traded low as the sell-off in Italian bonds amid deepening fears of contagion risks in the single currency region. South Africa South African markets ended lower last week, tracking weaker gl o ba l e q u i ty m a rke ts a n d downbeat domestic corporate earnings reports. Niveus Investments and ArcelorMittal South Africa sank 49.4 percent and 19.7, percent respectively. Retailer, Lewis Group slipped 15.9 percent, after recording a drop in its full year revenue and earnings. Additionally, Barloworld plunged 11.9 percent, despite reporting a significant rise in its 2018 half-year earnings. Platinum miner Lonmin declined 15.4 percent, amid a decline in base metal prices. Retailer, Massmart Holdings dropped 14.3 percent, as it indicated that it anticipates 2018 first half Headline Earnings per Share to be significantly lower compared with the same period in the previous year. Consolidated Infrastructure G ro u p ea s e d 1 2 . 3 p e rc e n t , following a significantly decline in its 2018 first half revenue. However, Hudaco industrirs and Novus Holding added 8.8 percent and 7.6 percent, respectively. The JSE All Share Index declined 1.5 percent to close at 56,916.97. New listings on African bourses • Britam (NSE: BRIT) received Sh5.7 billion from private equity fund AfricInvest after completing the sale of 360.8 million shares, which were listed on the Nairobi Securities Exchange (NSE.) • Egypt’s state-owned Chemical Industries approved issuing 4 percent of its stake in Eastern Tobacco on the Egyptian Exchange (EGX). The Minister of Public Enterprises highlighted that the listing is part of the Government’s initial public offering (IPO) programme to expand the ownership base, provide financing for companies to expand their projects and the
restructure process, revitalise the EGX, attract new investments, and achieve the highest degree of governance and transparency in the management of these companies. • Ghanaians have been afforded a chance to own a stake in telecoms giant MTN. The company is offering 35 percent of its stake through an IPO on the Ghana Stock Exchange. The move is part of the requirement by the National Communication Authority for acquiring a 4G spectrum. • Me t t l e i nve s t m e n ts (JSE: MLE), which forms part of JSE’s listed Tradehold, listed in the Speciality Finance sector of the JSE’s AltX board. This is the fifth listing on the JSE this year and the first on the AltX Board. Currencies The South African Rand strengthened against its major peers last week. The South African Reserve Bank (SARB) maintained its benchmark repo rate at 6.5 percent, in line with market expectations and indicated that it expects the economy to grow 1.7 percent this year, compared to a growth of 1.3 percent in 2017. O n t h e m a c ro e c o n o m i c front, the annual consumer price inflation in South Africa rose less than expected to 4.5 percent in April, compared to a rate of 3.8 percent in March. The rise in price was attributed to a higher rate of VAT and a sharp rise in fuel prices. Further, the leading indicator registered a decline in March. Fo r t h e we e k , t h e US D weakened 2.1 percent against the South African Rand to close at 12.5018. The Euro was 3.1 percent lower at R14.5631 and the GBP pound was 3.3 percent weaker at R16.6319 for the week. Turkey Concerns over the Turkey’s financial market stability drove the lira to successive record lows and weighed on emerging market assets. The lira plunged about 20 percent against the US dollar since the start of the year, hurt by a broader move by investors to switch money out of emerging markets. The currency crisis escalated rapidly earlier this month after Turkish President Recep Tayyip Edogan indicated he wanted to take control of setting interest rates, which he described as the “mother and father of all evil”. As investors stampeded out of the lira in response, the Turkish central bank responded by hiking interest rates from 13.5 percent to
16.5 percent. T h e U S d o l l a r t ra d e d mostly lower against a basket of currencies last week, it fell from five months highs on Fed minutes, compounded by geopolitical tensions. Over the past month the dollar was bolstered by generally solid US economic data that has backed the Federal Reserve’s monetary policy tightening this year, as well as rising US bond yields, which bolstered the greenbacks’ yield appeal. The prospect of a resolution to the US-China trade tensions further added to the dollar’s shine. The dollar’s index against a basket of six major currencies last traded at 93.564, down from a five-month high of 94.058 set on Monday last week. The pullback in US 10-year Treasury yields from seven-year highs last week prompted profit taking on bullish dollar bets. Going forward the dollar’s near term outlook still looks positive, and one factor worth watching is whether business sentiment and economic outlook in emerging markets, and developed countries outside US would start improving. Optimism about synchronous global economic growth has been one of the factors that weighed on the dollar earlier this year. The EUR dropped against the USD last week, after the Eurozone’s Markit manufacturing PMI declined to an 18-month low level in May. F u r t h e r, t h e c o n s u m e r conf idence index registered an unexpected fall in May. Separately, Germany’s Markit manufacturing PMI recorded a more-than-anticipated decline in May, marking its lowest level since February 2017. Moreover, the quarterly GDP advanced in line with market forecast in the first quarter of 2018. The GBP fell against the US Dollar in the previous week, after the UK’s consumer price index dropped to a 13-month low level in April. Further, the CBI total trend orders eased in May, marking its lowest level since November 2016. The annual producer price index (PPI) advanced less than market forecasts in the same month. These factors dampened speculation that the Bank of England would raise interests rates soon. On the contrary, the nation’s annual retail price index
increased in line with market expectations in April. Retail sales rose more than market expectations on a monthly basis in April. Commodities Gold prices increased last week, amid weakness in the US Dollar, after US President Donald Trump cancelled the nuclear summit with North Korean leader Kim Jong Un. Going ahead, market participants will keep a tab on the Federal Reserve’s book survey along with the US GDP, consumer confidence index, ADP employment change and advance trade balance for further direction. Additionally, the change in nonfarm payrolls, initial jobless claims, unemployment rate, along with ISM manufacturing and employment index, will attract significant investor attraction. Crude oil prices declined last week, following reports that the organisation of the Petroleum Exporting Countries and Russia might increase production by as much as 1 million barrels a day to meet the shortfall in supply from Iran and Venezuela. Additionally, the US Energy Information Administration reported that crude oil inventories rose by 5.8 million barrels last week. Silver prices traded in positive territory last week, following weak demand, amid restricted supply. A stormy geopolitical climate in Italy will likely continue to shake up sentiment worldwide; investors will be on edge in the US as the future of talks between North Korea and the US keep investors on their toes. These headwinds could weigh in on investor sentiment. NB: Currently there are no listed securities on the Maseru Securities Market (MSM), however there are ongoing discussions which could result in listings. Katleho Securities, (Members of Maseru Securities Market). For more information on Capital Markets Contact +266 27002418, 53230700, 68730055 l n ya m b u ya @ ka t l e h o . c o . l s , securities@katleho.co.ls, www.katleho.co.ls Plot Number 12292-972 Mabelebele Street, Katlehong, Maseru, Lesotho
On the macroeconomic front, the annual consumer price inflation in South Africa rose less than expected to 4.5 percent in April, compared to a rate of 3.8 percent in March.
Ministry of Small Business Development, Co-operatives and Marketing
Public Eye
Friday June 1, 2018 3
News ’MASENTLE MAKARA
S
OUTH AFRICA “There is an error in the minds of young people that, they study to position themselves for employment yet the purpose of every young person in a country is to create those particular jobs they are looking for,” says Apostle William Sekgobela. Sekgobela, a popular South African cleric-cum-entrepreneur was invited to Mohau and the Success Masters (MSM) Millionaires Cocktail Power Session held at Victory Hall last week. The event is hosted monthly and is mostly attended by business people, some of whom are multimillionaires to discuss business issues. Minister of Finance Dr Majoro while tabling the 2018 / 2019 fiscal year budget speech said Lesotho faces “ …Poverty, hunger and joblessness are high and even higher amongst the youth…” The 33-year-old Sekgobela is now living beyond the life of his dreams despite his vulnerable background. Public Eye had the opportunity to speak to him about how he made it to the top at his age so that some Basotho youths could learn something from him. PE: Tell us about yourself. WS: I was born and raised in Limpopo Province then I studied at Midrand Graduate Institute where I obtained a BBA (Bachelor of Business Administration) majoring in strategic management and international marketing. I further studied management development programmes with UNISA and in addition I am in the process of completing an MBA with Mail Park Business School. When you grow up in a family where there has never been a successful person and you become the first one that’s a different story. And when you even become the first one even in your village, it’s a blessing. I grew up in a very challenging environment where there were only four of us and we lived in p ove rty. My m o t h e r s i n gl e handedly raised us but that is not the definition of poverty by the way. My grandmother had about nine children and none of them had an opportunity to complete their educational platform. PE: How did you manage to survive through such a family situation? WS: Bear in mind that education will only give you access to a living but learning in life will give you a fortune. I picked it up in my family that even when people were not educated, they needed to have the means to go out there and learn in order to come out of their situation. As I mentioned, in my family, nobody was successful and none was empowered from a business perspective and no one had the financial means to take any of them to the university. When I was in my grade 10, I was one of the top performing learners. I knew clearly that for one to get a bursary one needed to perform best in maths, accounting and science and technology related courses, so
Eddie Poone businessman and popular socialite
Mohau Mosoeunyane event organiser
‘Study to create the jobs you want’ . . . cleric-cum-businessman urges youths I did exactly that. By the grace of God I was awarded a scholarship by Primedia and they paid for my fees until I completed high school and no-one else in my family has ever had that opportunity except for my elder brother. PE: What did you learn from your upbringing? WS: When I came to varsity, I encountered a lot of challenges because I met many wealthy students and it is in situations like these that your upbringing will determine how you deal with some situations. I recall when growing up my grandmother would say to me “You need to understand that where you are going is your destiny and the path you choose is yours and yours alone”. So it means you cannot compete with me in my own path. So if you arrived early it does not mean I will never make it too. BE: Have you ever encountered failure at school? WS: O f c o u rs e, ye s ! I h ave encountered failure and I believe failure is only for learners. So if you are serious about learning new things, failure will teach you quicker though you must not always learn from your failure. There is a saying which goes a wise man only learns from the mistakes of others while the foolish man learns from his own mistakes. But always remember that failure is only for learners. So when I got to school, I met international students from around the continent and other parts of the world, and from best school in SA and when you get there you also find the wealthiest students. So when you get there, the education system does not relate with what you learned from the past years in high school. This can put one under tremendous pressure and can see so you fail as a result but through such failure you get exposed to new things. There were some young students who drove flashy cars, and I could never relate to how they had such a lifestyle. All I did was ask questions surrounding how their fathers
got where they were. It’s their inheritance but the fact is you will have more respect for someone who has got the ability to generate their own wealth. There is something that sparks the desire for success in one’s life and it’s actually the struggle you are brought up in. It sparks a particular desire to become someone. When you grow up in a place where everything is available, the children might not be as passionate as someone who was raised lacking such things. So you always have to teach people to get to a level where they are passionate about where they are going and what they want to achieve. During those challenging times at varsity, I needed to learn quicker, and find information. I found out that the key was to be in a world that I can be able to change and impact in the right way. So I needed to find out what the resource that can make me achieve all that was. I found out that money is a resource. PE: Do you think education helped you to be where you are today? WS: It didn’t help me but it enlightened me. Many people complain that after completing their Masters degree, for example, they still get paid less because the design of the educational system was never to create an opportunity for them to be employed. The purpose of education is to teach you how you can implement what you have learned and apply it in your life. The problem with our educational system in most SADAC countries is we always think that education is the key to success but the definition of success is that you should not work hard to be a managing director or a CEO of your organisation but to become CEO of your own life. We have a challenge of thinking that the start of a thing is the most difficult one but we are not aware that once you are born the struggle of walking is only temporary. The day you start walking you will never crawl again because success
Apostle William Sekgobela is inevitable once you’re ready to endure the first few months of struggling with the pain of starting a business. PE: Growing up did you have role models who you looked up to? WS: I just want to be honest with you; my role models were only business people. I always find business quite intriguing. But mostly Nathan Kirsh and Issie Kirsh were the key role models that I had. As young people we should not allow ourselves to end up in a position where we don’t dream. Where you are starting matters, but your start is not the end. When some people start making money at the beginning of their business they think they have reached the apex whereas all they have is just a seed which needs to be planted. Your first money in business is a seed which should be invested maybe in property or something that will help you to multiply in business. PE: How old were you when you started your first business? WS: I started my business in 2009 and at that time I was 24, if I’m not mistaken. I was in a work environment so I would always find it interesting to see how people conduct their businesses. So my main aim was not to work for
somebody, but to acquire knowledge and see operationally how most businesses are conducted. I also sought to learn the different facets of each department of every single business because I understood very well that by the time I wanted to operate independently I should have learnt about the overall structure of every single organisation. So I worked in a variety of organisations within a few years and the biggest area where I worked in was primarily sales and business development. I worked for big organisations like Standard Bank, Empoweredex and Primedia (PTY); for all these organisations I worked for a period of nine months. Around 2009 I opted to go into business but from a business p e rs p e c t ive I i d e n t i f i e d t h e opportunity while I was working for Empoweredex. I always tell a lot of people that poverty is not the absence of money but the absence of creativity because a lot of times we think for one to generate money one requires money but that’s not necessarily true. Therefore I had to apply my mind in terms of what I was offering to a business as an employee and what I would offer if I wanted to be independent in my operations for
Continues on page 8
Ministry of Small Business Development, Co-operatives and Marketing
4
Public Eye
Friday June 1, 2018
Business Eye ‘MASENTLE MAKARA
S
OUTH AFRICA – Whenever the name “Malcom X” is mentioned in Lesotho, it brings to mind a magnanimous, but shadowy if rather suspicious character whose philanthropy has evoked mixed feelings both in Lesotho and South Africa. For some he is a rare miracle worker who just gives money to many in need without expecting anything in return but for others he is just a pompous, rich guy showing off. Business Eye on Monday this week interviewed the muchtalked-about character, Malcom X to find out who he really is and what inspires him to do the unusual - dole out free money to strangers. He discloses he is no Robin Hood who steals from the rich to give to the poor as rumour has it but he is a successful entrepreneur who uses his hardearned cash to change lives of strangers out of the goodness of his heart.
Who really is this ‘I am a businessman who gives out hard-earned cash’
BE: Strange you are talking about God yet some people associate you with Satanism. What’s your comment on this? MX: I am a believer, I believe in God and without God I am nothing. It is amazing how people would judge me because I am poorer. Big brands like CocaCola, Vodacom and others often give to needy through corporate social investment initiatives and nobody has ever criticised them for that. BE: You always post pictures where you pose crossing your finger, how do you define that sign? MX: I’m proud of my surname (x) hence X is personally very significant for me.
BE: Who exactly is Malcom X? MX: My name is Malcom X. I was born in Sebokeng, Vereeniging township in Gauteng Province. Many will recall Sebokenhg because that is one of the places that fought for SA’s freedom against apartheid. BE: So why did you choose to come in Lesotho and give students money? MX: I learned a lot about Lesotho and Sesotho and I can speak the language. I learned why there is a small country within a bigger one. Even in Sebokeng, I was told that some of us are Basotho even some surnames of people in Sebokeng can attest to this historical reality. Then I discovered that I am Mosotho because Lesotho stretches from Free State and we were just separated by colonisation. We are here and we are like this because of Lesotho, so I am proudly a Mosotho. BE: So why did you come this year? MX: Naomi Campbell, who is my friend, was recently in Lesotho on the invitation of the United Nations. So she invited me to Avani and we stayed there with eight other South Africans. My flight was booked for 11am so I decided to stay behind on that day when everybody was leaving and I then visited the National University of Lesotho where I decided to give out some money. BE: Students already get a bursary, why did you choose them among all groups of needy people in the country? MX: They are my favourite people. My focus is on four sections of society; students, the elderly, orphanages and HIV / Aids hospices. BE: So what aspired to do this
They said I am mad because sometimes I literally go broke. So they would have to give me petrol but I actually don’t care about friends because I am at peace with what I am doing.
BE: Most people think you are bragging and you are doing this to seek attention. Is that not so? MX: These are the kind of people who actually discourage me. They are just armchair critics; if you can ask what they are doing for the needy, they just buy fancy clothes for themselves and they will be criticising while drinking expensive whisky but never spare a cent to change people’s lives and their communities. Some say I am a robber who gets involved in heists on vehicles transporting cash hence I have a lot of money. But heists only became popular this year yet I started this in 2006. Apart from that, I am doing this publicly to inspire people to do likewise. I say if I give about R5000 to orphanages, the aged or HIV / AIDS hospices, suppose more people did the same it means we can register massive change in people’s lives. Yes, it is the government’s
‘If you can’t su ‘MASENTLE MAKARA
Malcom X, left and when did you start this? MX: I’m from a very poor background and I remember I would go to school and study on an empty stomach. But I have always told myself that one day I will be rich and I would share my money with the poor and vulnerable. BE: So are you rich? MX: I am not rich but that’s what people think. I realised that I am not getting rich. So in 2005 I realised you do not have to be rich to give to the needy. When I share my money with the needy it makes me happy and it makes me sleep in peace at night. It’s a pity my efforts only got into the public eye this year, but I have been doing this for years though there was no pervasive social media influence when I started. I commenced giving to the needy in 2006 but since social media use was not as prevalent as it is now very few people knew about me.
BE: So where do you get all this money from if you say you are not rich? MX: I run some branding, consulting and marketing companies. The first is called Malcom X Consulting and the second is called 1651 Consulting. These are the companies through which I make money. I have two accounts with FNB and NedBank and I have good records with SARS who recently told The Sowetan newspaper that they have no problem with how I spend my money because I made it in the correct way. I love giving with all my heart. Many people do not realise that the more you give the more you receive and God has kept blessing me more than I expected. I enjoy sharing my money with people though I must say I have lost some of my friends because of this. However, the more I give the brighter things are getting on my side.
MASERU - April Mahase is a radio presenter at 357 FM who has come under the spotlight after he was chosen by the shadowy South African philanthropist “Malcom X” to dish out cash to Limkokwing University of Creative Technology (LUCT) students on his behalf. Elsewhere in this edition we publish an interview with the much-talked-about “Malcom X”. Many are asking: why did “Malcom X” choose April to be the one to doll out cash freebies to students? Business Eye sat down for a chat with April and found out she is an entrepreneur in her own right. “I am a nail tech (technician) and a make-up artist who I recently opened a beauty boutique to sell clothes,” she says. Her shop only opened in March this year at the Cathedral area opposite Universal Church in room 7. She says she decided to operate from a specific venue after realising that though still small her customer base is largely stable with most of her customers preferring to make orders.
Asked where she got the name April from, she says: “I am popularly known as April which is the name I gave myself in high school, and everybody uses it. But my first name is Mpeoane Judith Mahase.” On how she hooked up with the magnanimous Malcom X, she said this was largely incidental, not something she really set out to do. “I remember I prayed God to give me a signal that something good was going to happen in my life because I had no direction. I gave God a week to respond and then I decided to close my phone, I did not want to talk to anybody because I was going through serious problems and my business was performing badly. Miraculously Malcom X send me a text message,” she recalls. “I knew Malcom from the internet only and not in person. I liked his philanthropy so I followed him on Instagram.” One day I read a post on Malcom’s Instagram where he announced he wanted someone trustworthy who could distribute money to LUCT students on his behalf. “As soon as I saw his post I send him a dm and introduced myself, telling him that I am a well-known radio presenter and if anything happens to his money
Ministry of Small Business Development, Co-operatives and Marketing
Public Eye
Friday June 1, 2018
5
Business Eye
generous Malcom X?
Malcom X has generously donated cash to different orphanages in South Africa responsibility to take care of needy people but are authorities doing enough? I don’t think so. Just like myself governments won’t be able to reach everybody therefore if individuals could
help the government, we would do more. Remember we are where we are because we got help from the government and other people, so we have to give back to the community.
BE: After giving money to NUL students, how was the response from people? MX: Some of my critics complained that I haven’t
completed giving money to universities in South Africa where I come from so why should I come to Lesotho. They just do not know how deep my love for Lesotho is. And they say the M200 I give to
ucceed at least inspire others’ it would be easy for him to find me. “He responded telling me if I want to work with him I should listen to his instructions as he does this more often before saying he would call me the following day.” Malcom then asked for her bank details to transfer money into her account so that she could distribute the money on his behalf. “I was watching a TV series when I got a text message from a friend telling me he had actually posted my picture with a caption that I will be the one giving out the money to LUCT students on his behalf. I wanted to be as honest as I can because basically I knew Malcom was going to be grateful to me for having faithfully given out the money on his behalf,” she says. Malcom send M5000 in April’s account that she would then distribute to LUCT students in M100s in order to get to as many students as possible. April needed a photographer to capture the scenes so the benefactor would see that she had followed his instructions to the letter so she took along a friend to assist her with taking some videos. She says Malcom was grateful and even paid both of them. April would not be drawn
April Mahase to say how much they were paid. “It was crazy, I didn’t think it was going to be so crowded plus the amount of money I had was not much. And you know when people wait for money it can easily become chaotic, luckily nobody got hurt. They managed
to handle the situation properly,” she says acknowledging though that the task was not as easy as she had thought it would. “It was really rough and I didn’t manage to do it the way Malcom had instructed me. Even the videographer could not
take good videos as they were pushing her scrambling to get the money.” She packaged the donation in batches of M1000 but since LUCT has two campuses in Maseru so she had to allocate cash in a manner that would accommodate both. “I struggled a lot but I managed to give all the money away in two days. By Saturday there were no crowds and I managed to give students money and took videos which he (Malcom) then posted.” So what change has this brought to April as an entrepreneur? “A lot of change indeed. When people see me now they just say, ‘Bring our money’ which then makes it easier for me to start a conversation about my business. I am able to talk to people and they listen to me now because of the task Malcom assigned me,” she says with a smile. She believes her connection with Malcom X would also assist her by widening exposure of her business since the celebrated philanthropist normally advertises other people’s businesses on Instagram. “He likes people who push themselves though. He is a nice person, if something makes sense to him he will help you.”
each of the students I met was nothing therefore it won’t make a difference. I don’t mind such criticism because the people I give appreciate the little gifts that I share with them. Some of them were even telling me how the small amount made a huge difference to their day-to-day needs. “Ntate Malcom, thank you for that money I managed to buy a jersey and some say they managed to buy groceries for their families because although they get scholarship allowances they left poor families at home who desperately need help. Such feedback warms my heart. I am glad there are people who have copied what I am doing and I remember I got a call from a Mosotho who stays in Jozi who told me he is embarrassed because I am actually what he should be doing and therefore he plans to do the same soon. BE: Do always get welcomed by tertiary institutions? MX: A few weeks ago I went to Stellenbosch but since it was late the security would not let me in so I had to return. BE: Have been to tertiary school yourself? MX: I was expelled from the University of Johannesburg UJ which was then called RAU, when I was doing third year because I was fighting for the eradication of racial discrimination, academic exclusion and brutality of whites students towards blacks. I then went to WITS where the same thing happened and I was expelled. I am happy I played a part in the fight to ensure students study harmoniously at universities. BE: Apart from giving money to students for NUL students, what else have you done for Basotho? MX: I met a shepherd and I asked him how much is his monthly salary was. He told me that he earns M600 a month and I asked him if he wanted me to give him his salary to which he agreed so I gave him M600 right away. Then the following week after getting complaints from other tertiaries, I asked April to give LUCT students money on my behalf and she did. BE: What should we expect next from Malcom X? MX: I will be back in the country going to other tertiary colleges. Besides, I asked Lilaphalapha (Bofihla ‘Neko) to assist me to identify old people’s homes, orphanages and HIV / AIDs hospices so that I can do the same.
Ministry of Small Business Development, Co-operatives and Marketing
6
Public Eye
Friday June 1, 2018
News Business Eye
CBL reduces rate by 25 points STAFF REPORTERS
T
he Central Bank of Lesotho has announced a reduction in the C B L ra te by 2 5 points from 6.75 to 6.50 percent following the 71 st Monetary Policy Committee meeting held on Wednesday this week. The MPC said the reduction in the CBL rate comes despite domestic economic challenges ahead, while also increasing the Net International Reserves (NIR) target. “The Committee has noted that despite the positive global outlook, the domestic economy
continued to face challenges that may hamper economic growth prospects in the medium term,” declared Dr Rets’elisitsoe Matlanyane, Chairperson of MPC, during a media briefing on Wednesday. She said the MPC will continue to closely monitor developments that have a direct bearing on the NIR level. Speaking on the domestic o u t l o o k , M a t l a nya n e s a i d Lesotho’s economic performance is expected to remain sluggish in the first quarter of 2018, further indicating that while the labour market indicates a downward trend, especially with the declining numbers of
Basotho employed in South A f r i c a ’s m i n i n g i n d u s t r y, there was however a reported increase domestically with the government of Lesotho and the LNDC companies recording an increase in the first quarter of 2018. She also said the annual c o n s u m e r ra te wa s o n t h e downward path: “The annual consumer inf lation continued to decelerate during the first quarter of 2018. In April 2018, the annual inflation rate declined to 3.8 percent from 4.8 percent in March,” Matlanyane said, explaining the decline was mainly driven by the food and nonalcoholic beverages component,
compensation and returns on portfolio investments abroad,” Dr Matlanyane said, adding that trade deficit also narrowed due to strong diamond sales realised by the mining industry during the review period. The CBL also reported the overall deficit for the 2017-18 fiscal is estimated at 4.1 percent of GDP against the projected 4.8 percent that was approved by parliament. The MPC Chairperson further said the noncumulative deficit in government b u d ge ta ry o p e ra t i o n s ro s e sharply to 14.2 percent of GDP in March 2018, which is the last quarter of the preceding 2017/18 fiscal year, as compared with the deficit of 6.8 percent in the quarter ending December 2017.
while the housing and energy inflation also slowed notably. On the indices, the MPC reported a slight improvement in the national import cover saying the official reserves coverage improved marginally from 3.9 months in December to 4.1 months. The MPC further reported that the external sector position showed an improvement, saying current account balance switched to a surplus of 5.3 percent of GDP during the review period from a deficit of 6.2 percent of GDP registered in December 2017. “The surplus was driven by quarterly SACU transfers, rand
Ministry of Small Business Development, Cooperatives and Marketing Department of Marketing Ministry Cooperatives and Marketing Ministry of of Small Small Business Business Development, Development, Department of of Marketing Marketing Department
WHOLESALER Weekly Report as at 2018/05/24
WHOLESALER Weekly Weekly Report Report as as at at 2018/05/24 2018/05/24 WHOLESALER
Categories Description
Commodities Description
Units
FRUITS
Apples Golden Delicious
BX18.5
Apples Green
BX18.5
Apples Red
BX18.5
Bananas
BX18.5
Grapes Red
BX4
Mangoes
BX5
Oranges
BG10
Pears
BX15.3
Pineapples
BX6
Beans Green
1Kg
Beetroot
BG7.5
Butternut
BG10
Cabbage
BG23
Carrots
BG7.5
Chillies Green
BG10
Chillies Red
BG10
Cucumber
BX10
Garlic
BX5
VEGETABLES
Onions Pepper Green
Berea
PK10 5/30/2018 11:32:16 AM BX6
Potatoes
PK10
Radish
BN1.5
Rape
BN1.5
Spinach
BN1.5
Sweet Potato
BG34
Tomatoes
BX6
Butha-Buthe
Leribe
Mafeteng
Maseru
75 75 75 75 80 80 125 125 0 0 0 0 40 40 90 90 0 0 80,83 0 0 70 70 0 0 60 60 0 0 0
120 120 90 90 95 95 170 170 140 140 0 0 0 0 87,5 87,5 0 0 112,86 60 60 70 70 44 44 55 55 79 79 50
70 70 80 80 90 90 0 0 0 0 0 0 61 61 0 0 90 90 73,08 0 0 65 65 60 60 55 55 85 85 50
85,5 85,5 115 115 107,75 107,75 0 0 0 0 0 0 50 50 0 0 97,5 97,5 80,68 0 0 90 90 50 50 60 60 91 91 0
0 0 0 0 0 0 0 55 55 50 50 60 60 0 0 0 0 8,99 8,99 0 0 0 0 50,66
50 0 0 95 95 550 550 65 65 65 65 52 52 0 0 0 0 0 0 60 60 80 80 101,92
50 50 50 110 110 650 650 65 65 80 80 40 40 10 10 10 10 10 10 95 95 76 76 71,94
0 100 100 0 0 0 0 55 55 80 80 64 64 0 0 10 10 0 0 0 0 90 90 70,77
Qacha's Nek
Quthing
National Average
0 0 115 115 0 0 0 0 0 0 0 0 45 45 0 0 0 0 80 0 0 0 0 0 0 85,95 85,95 98 98 0
95,5 95,5 86,9 86,9 98,6 98,6 0 0 0 0 83,8 83,8 0 0 0 0 0 0 89,35 0 0 78 78 57,5 57,5 58,4 58,4 64,6 64,6 0
81,82 81,82 96,74 96,74 95,22 95,22 147,5 147,5 88,33 88,33 83,8 83,8 55,28 55,28 88,33 88,33 93,75 93,75 80,51 60 60 74,86 74,86 52,88 52,88 58,8 58,8 80,67 80,67 50
0 0 0 0 0 0 0 0 0 0 0 0 0 0 58 70 58 5/30/2018 11:32:16 AM 70 0 0 0 0 50 95 50 95 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 60 0 60 0 55,72 87,24
0 0 0 0 0 0 0 56,6 56,6 0 0 50 50 0 0 10 10 10 10 0 0 57 57 58,66
50 75 75 102,5 102,5 600 600 60,87 60,87 68,75 68,75 59,59 59,59 10 10 10 10 9,66 9,66 77,5 77,5 72,6 72,6 69,74
70 70 92,5 92,5 100 100 0 0 78 78 0 0 61,5 61,5 0 0 0 0 73,75 0 0 70 70 0 0 35 35 65 65 0
Ministry of Small Business Development, Co-operatives and Marketing
Public Eye
Friday June 1, 2018 7
Business Eye News Africa must prioritise ease of doing business
Ecobank named Africa’s best retail bank
L
OME, Togo - Ecobank (www.Ecobank.com) has won two major awards at the African Banker’s prestigious ceremony held at the Paradise Hotel in Busan, South Korea. The bank was named Best Retail Bank in Africa af ter impressing judges with the strides it has made to leverage digital financial services and an enhanced service model, to be the retail bank of choice. The ever improving feature set of the truly revolutionary Ecobank Mobile App, which has now been downloaded by more than five million people, took the prize for Innovation in Banking, thanks to the way it has redefined borderless and inclusive banking, along with several other transformative innovations designed to deliver financial services to all. Commenting on the double award win, Omar Ben Yedder, Publisher of African Banker said: “Ecobank has had a game changing year in so many ways and their approach to embracing technology and putting it at the centre of their growth strategy has obviously paid dividends.” Ade Ayeyemi, Group CEO of Ecobank said: “It gives all of us at Ecobank great pride to be recognised as not only the Best Retail Bank in Africa, but also the
Ecobank Group CEO Ade Ayeyemi Most Innovative. “This is further proof that we are on the right track in our quest to be the bank of choice for middle Africa. We will continue to ensure that we are at the forefront of harnessing state-ofthe-art technology to provide our customers with accessible and affordable banking services.”
Ecobank is committed to providing the range of financial products and services that meet the day-to-day banking, transactional and investment needs of all Africans. Ecobank enjoyed a 40% increase in customer numbers during 2017 and the bank aims to serve 100 million customers by the end of
2020. The Ecobank Mobile App aims to deliver real convenience to customers and with its removal of barriers to entry, at affordable price points, is an integral part of Ecobank’s strategy. It is the first unified banking application across 33 countries and enables customers to do their banking activities where and when they want, 24/7 and 365 days a year, conveniently on their mobile phones. It allows transactions in 18 different currencies and in four languages (English, French, Portuguese and Spanish). The app includes the multifeatured digital payment solution, Ecobank Pay, which enables customers of any bank to pay for goods or services. It unifies all of Ecobank’s digital payment offerings for internet payments, paying bills and airtime top-ups by mobile. Patrick Akinwuntan, Group Executive, Consumer Banking said: “Ecobank represents more possibilities for every African. Our Ecobank Mobile App, Xpress Account, Ecobank Pay, Xpress Points and Rapidtransfer are fast becoming top-of- mind consumer banking brands that represent c o nve n i e n c e , a f fo rd a b i l i ty and instant fulfillment to our customers across Africa and in the diaspora.” - APO
Continued from page 1 coffee, cashew nuts and cotton. South African business delegation is in Tanzania on a mission to deepen bilateral trade and investment relations between the two countries. This is in line with the objective of government to strengthen investment-led trade approach towards the African continent. Companies that are participating in the mission have been funded through the government’s scheme, Export Ma rke t i n g a n d I nve st m e n t Assistance (EMIA). The aim of the scheme is to develop export markets for South African products and services and to recruit new foreign direct investment into the country. This week the South African delegation was set to be hosted by the Tanzanian Investment Centre which will present a package of bankable investment projects. Thereafter, the delegation was expected to visit the Export Pro c e ss i n g Zo n e to a ss e ss additional business opportunities in the manufacturing, agrop ro c e ss i n g a n d e l e c t ro n i c s sectors. - APO
Ministry of Small Business Development, Co-operatives and Marketing
8
Public Eye
Friday June 1, 2018
News Business Eye
‘Study to create the jobs you want’ were very wealthy. Nathan Kirsh was able to take me to varsity and he didn’t to it to me alone but for plenty of other people and I wanted to do exactly that by making a difference in people’s lives.
Continues from page 3 instance. I started independently looking for opportunities by negotiating with my employer (Empowerdex) to operate in their offices. In addition, I had no certificate to sign off most of the auditing certificates after the verification. Then I picked up that there were preferred brands in the market and I established a partnership with them. I left the organisation in 2009 and registered an edge verifications company because we were focusing mostly on auditing and performing verifications for both public and private organisations. Private entities can be referred to as entities which have a turnover of 0 to R10 million, and 15 million to 50 million and above. I had to use my mind to come up with a strategy since I had human capital but couldn’t afford to rent a place and advertise my business. PE: Do you think hard work pays? WS: You know if you work for some organisations that they set targets of how much you need you to reach on a monthly basis and they will tell you if you don’t meet the set targets they will fire you. I consistently met most of my targets. However, when I looked within their skills development and training and development division, and their business development division I realised that I was the only one who had the capacity to sell and also to do the audits for that type of organisation, while most of their business development guys had only the selling capacity. I worked very hard. PE: Did Empowerdex agree to partner with you? WS: Yes! Empowerdex agreed to work with me and it thereafter performed very well as compered to their competitors. Everybody knows Empowerdex and they just
felt that when dealing with me they were dealing with Empowerdex. That created a valuable relationship for me until I started developing a brand of my own within the same sphere. PE: What was the name of your first company? WS: My first company was called Edge Verifications. Within the first two weeks I managed to make over M200 000.00. The plan was if I make may be M5000 000.00 for them per week, then I can make myself a million per week. It then gave birth to plenty of businesses that are doing very well in market. PE: How many business do you have at the moment? WS: Edge Verifications gave birth to Lehumo Group of companies i n c l u d i n g L e h u m o m i n i n g, L e h u m o P l a n t H i re , G re e n PastureInvestments, KEW ICT Outsourcing, Braw Transformation, Seamless Glass and Aluminium Se rv i c e s , LWS Pro c u re m e n t Services, Precisions International, Publicis Africa Group, Interactive
Intelligence and others. A l l t h e s e b u s i n e s s e s a re profitable and continue to grow. I manage operations of over 14 of my businesses daily. It started a very young age with a lot of ambition. I won’t lie to you we have made and we are making money and I still believe that we can do more financially impact more lives. PE: How do you grow or multiply in business? WS: Like I said before, money is a seed. So for instance if you make your first R5 million, invest it either in property or something. But learn how to operate in different countries and do business at an international level. For you to do that you must be a global thinker. PE: So how do you view money? WS: For me money is now a resource, it’s a means to an end because I do believe that most of the things that I would have lacked I achieved them earlier than I expected because of using money as a resource. I was speaking earlier with Mr
Eddy Poone telling him five plus four is nine and six plus three is still nine which means there are many ways to get to your destiny. I have got a passion to change people’s lives like taking people to varsity, contributing to institutions like build plenty of day care centres for some communities, but I have done that in silence. So in some environments where children were never introduced to learning at an early age they began liking school and found it more appealing. If your money is not making an impact, you are not necessarily leaving a legacy in this world because legacy is defined by having a business where my child would continue with that business and still thrive. It is an element of legacy but it does not give it a complete definition and we measure it by the way you impact the world. PE: Why are you so dedicated in giving? WS: I lived with Jewish people and they helped me a lot. When I finished matric, my mother was working for the Kirsh family who
About millennials and the workplace
KHAUHELO MAJARA
(Mind Liberation Psychology Consultancy) The typical millennial is currently between the ages of 18 to 34. They range from starting their university journey and developing their own start-ups to entering the job market and even occupying high ranking positions.
However, a vast number of them are also unemployed due to factors like lack of work experience, an already saturated job market or a mismatch in previous jobs. This is happening everywhere despite millennials being described as the up-and-coming, in-demand generation that has the potential to take corporations to new heights. One may thus argue this is due to lack of understanding of how the work ethic and mind-set of a millennial operates. . Millennials are often said to be over-confident and even obsessed with climbing the corporate ladder in record time. This often sends them job hopping or venturing into self-employment as they seek high ranking jobs that come with tough issues and higher pay rates. It is for this reason that
millennials are regarded as more ambitious than other generations. This, of course, comes with pros and cons. On one hand, this drive serves as fuel for bringing to the table gamechanging ideas that organisations seek in their employees. Having grown in the digital age, for example, as opposed to being trained on it like previous generations has seen some of the greatest technological innovations being born by them. However, on the other hand, due to lack of work experience millennials are more likely to make costly mistakes. Graduate programmes and internships are therefore essential in refining the brilliant minds of the future. In the Harvard Business Review,
Nill Taylor makes the insightful observation on how millennials value the chance to join companies that make a difference and bring out the best in them. This is due to them wanting a good work/life balance as much of their work they can do online while engaging in other activities out of the workplace. Studies argue millennials are more than ever motivated by personal values and aspirations. Some of these personal values include relationships, recreational activities and job security hence opting for self-employment which caters for both personal values while still guaranteeing a healthy income. Companies have since attracted the younger generation by offering benefits such as flexible work hours and multiple assignments that
PE: Any advice for unemployed Basotho youth. WS: There is an error in the minds of young people that they study to position themselves for employment and the purpose of every young person in a country is to get a job that they are looking for. Instead, they need to create those particular jobs. The discussions that they should be having with the state is that the state should create educational platforms that would take young people to learn how to run their own businesses. The ideas to create jobs and lead big organisations are with the youths and if the government has got a proper financial institutions that can fund the ideas of the youth, it means in the country you’ll never suffer from unemployment. So youth should take what they consider small and grow it. I am no saying you should think like Marckzuccer… who created Facebook, but you can take an already existing idea in your favour. There are people who have benefited a lot from Facebook. So they should not wait for the government to create jobs because even guys in government are just employees who cannot create jobs as they wish. T h e yo u t h s h o u l d t h i n k creatively and money will follow them. It doesn’t matter where you are. Someone from the US can invest in your business still in Lesotho. The major challenge is that we have got the calibre of youth who do not think business but think about, is who is going on retirement or die or resign in order for them to get a job. Our youth should be business oriented. require the millennial employee to travel abroad for exposure. Furthermore, the involvement of the millennial employee in corporate social responsibility initiatives that they can closely relate to also plays a huge role in creating a sense of purpose. Combining work with activities that speak to one’s values further adds to the work and life balance many millennials seek. Although often misunderstood, the millennial generation portrays huge potential in changing the game in the world of work. Adaptation to the way in which their work ethic and mind-set works could prove to be the saving grace of companies that seek to take the world by storm. Last week we erronously attributed the article to one Mpho Lehobo under Khauhelo Majara’s picture. The article was written by Majara and we would like to apologise for the error. - Editor
Ministry of Small Business Development, Co-operatives and Marketing