Next Africa: A base on disputed land

Israel wants a military base in a disputed territory

Read in browser

Welcome to Next Africa, a daily newsletter on where the continent stands now — and where it's headed. Sign up here to have it delivered to your email. In today's edition, we look at why Israel is courting Somaliland. The rift at the top of Senegal's government widens Dangote's gamble on a mega-refinery is paying off And finally, we scoured Cape Town's top dining spots Perfectly Placed  Far from the bombs falling on Iran, there's an idyllic corner of East Africa where Israel is quietly moving its defenses against one of the Islamic Republic's key proxies — the Houthis in Yemen. In Somaliland, Israeli officials are preparing a strategic partnership with the breakaway government that may involve building a base – possibly covert – on its pristine coast just 260 kilometers (160 miles) across the Gulf of Aden. In recent months, intelligence officers have visited the territory, which unilaterally declared independence from Somalia in 1991, to identify a possible site on the coast. The Houthis have become a major focal point for Israel as it looks to extinguish threats following the war in Gaza, and as it battles Iran. An Israeli general warned that its intelligence showed the group has hundreds of rockets that can reach Tel Aviv as well as networks spread across the region, including in Syria and Egypt. It's early days, but the city of Berbera on Somaliland's coast offers a prime location from where to attack the Houthis because it includes Africa's longest runway — 5 kilometers — as well as a deep-water port facility run by the United Arab Emirates. It's a risky move for both. Israel's decision to recognize Somaliland's sovereignty places it alone in the world and puts it in direct competition with Turkey, a key supporter of the Somali government in Mogadishu that rejects the region's claim to independence. Meanwhile, Somalia has offered the US its ports and airports for military purposes. It also puts a possible target on Somaliland, a region with few defenses and even fewer allies. — Simon Marks A beach overlooking the Bab el-Mandeb Strait in Berbera. Photographer: Simon Marks/Bloomberg What Everyone's Reading  Oil climbed again as traders weighed growing disruptions to Gulf supplies and a potential emergency release of oil reserves from rich nations. The International Energy Agency is proposing an unprecedented release of as much as 400 million barrels of crude. Our Big Take examines how the US has been forced to dig deep into inventories of expensive missiles to intercept Iran's missiles and drones. A widening rift between Senegal's top leaders risks splitting the ruling party and stoking renewed uncertainty as the nation contends with ballooning debt and negotiates a new International Monetary Fund program. The power struggle is unfolding as Senegal grapples with billions of dollars in previously undisclosed debt. Click here to read this story in French. President Bassirou Diomaye Faye, left, and Prime Minister Ousmane Sonko in Dakar in March 2024. Photographer: Annika Hammerschlag/Bloomberg Ghana's securities regulator has named 11 companies to pilot virtual asset trading as the country takes steps to adopt cryptocurrency as part of its financial system. The companies will be given a year to test their products and services in a controlled environment. British Airways and Lufthansa are adding flights to Asia and Africa amid increased long-haul demand as customers seek alternatives to Middle East carriers hamstrung by airspace closures. British Airways will operate more flights from London to Singapore and Bangkok, while Lufthansa will add flights from Germany to Singapore, Cape Town and Riyadh. Harmony Gold announced its maiden copper output as the firm expands into the metal that's key to the energy transition. The biggest producer of South African bullion is increasing its exposure to copper via a pair of projects in Australia to capitalize on rising prices and soaring consumption for the metal that's critical for electrification. Zimbabwe Seeks Partners for $200 Million Satellite Project Zimbabwe is seeking investors to partner with it in a satellite project that will bolster telecommunications connectivity, Finance Minister Mthuli Ncube said. Kenya Mulls $1.7 Billion Rail Extension to Ex-Tullow Oil Fields Kenya is weighing plans to extend a colonial-era rail line to its north-western oil fields to ferry crude to an Indian Ocean port by 2030, offering an alternative to a previously proposed pipeline for exports. South Africa Told That US Patience is Waning, N24 Says The new US ambassador to South Africa said President Donald Trump is running out of patience with Pretoria over its failure to address Washington's demands for policy changes, Netwerk24 reported. Africa Newsmaker of the Week Aliko Dangote. Photographer: Benson Ibeabuchi/Bloomberg Aliko Dangote scored a major win after Nigeria halted issuing import licenses for gasoline, confirming the long and costly construction of his mega-refinery near Lagos was a gamble that's paying off. The plant that is able to produce 650,000 barrels a day has also helped the West African country meet demand for fuel at a time when other nations on the continent are facing supply risks from the war in the Gulf. Last Word If cities had beauty pageants, Cape Town would be a finalist. There are beaches galore, backed by spectacular mountain ranges and a high concentration of parks throughout the city. There are also scores of scenic vineyards, many producing top-quality wines you won't taste if you're not in South Africa. The dining scene is amping up too. It's been drawing global celebrities, but casual neighborhood cafes have been raising their game as well, even as the amount of diverse choices has expanded. Here are five restaurants you should try. WATCH: Bloomberg's Andre-Pierre Du Plessis has more on the thriving dining scene in Cape Town. Photographer: Getty Images More From Bloomberg Enjoying Next Africa? You might also like: Businessweek Daily for fresh perspectives on business, economics, politics and tech Markets Daily for what's moving in stocks, bonds, FX and commodities Balance of Power for the latest political news and analysis from around the globe We're improving your newsletter experience and we'd love your feedback. If something looks off, help us fine-tune your experience by reporting it here. Follow us You received this message because you are subscribed to Bloomberg's Next Africa newsletter. If a friend forwarded you this message, sign up here to get it in your inbox. Unsubscribe Bloomberg.com Contact Us Bloomberg L.P. 731 Lexington Avenue New York, NY 10022 |