>>> Kenya’s economy slows down in Q2

“Inflation was noted to have eased down to 6.99 percent during the period under review compared to 7.03 percent in 2014,” said the release by KNBS.

NAIROBI, Kenya, Oct 1 – Kenya’s economy slowed down to a growth of 5.5 percent during the second quarter of 2015 compared to a growth of 6.0 percent in the corresponding quarter in 2014, according to the Kenya National Bureau of Statistics (KNBS).

KNBS further explains that the quarter was characterized by a fairly stable macroeconomic environment supported by a slowdown in inflation and decline in interest rates.

On the other hand, the Kenyan shilling depreciated significantly against the US dollar but was firm against the Sterling Pound. It however appreciated significantly against all the other major trading currencies.

“Inflation was noted to have eased down to 6.99 percent during the period under review compared to 7.03 percent in 2014,” said the release by KNBS.

According to the Bureau, the slowdown in inflation was occasioned by low prices in fuel oils, electricity, transport, communications and housing.

Broken down, the communication sector on the other hand recorded a slower growth of 7.6 per cent over the same period compared to an 8.1 per cent growth in the same quarter of 2014.

As far as accommodation and food services is concerned, there was a slower contraction of 0.8 per cent compared to a contraction of 19.3 per cent in the same quarter of 2014.

According to KNBS, visitor arrivals from Jomo Kenyatta International Airport and Moi International Airport recorded mixed results with arrivals from JKIA increasing by 2.8 per cent and that from MIA recording a contraction of 39.1 per cent.

“Overall, the sector recorded a 1.9 per cent drop in hotel occupancies.”

The electricity and water supply sector recorded the highest growth at 10.2 per cent during the second quarter 2015.

According to the bureau, the growth is attributed to improved production of hydro electricity due to better rains and the commissioning of new geothermal plant in 2014.

Notable gainers include the construction sector which recorded the second fastest growth mainly due to the ongoing public infrastructure development.

Additionally, the sector grew due to the resilient private sector’s development in the real estate sector.

“As a key indicator for the sector, cement consumption increased by 4.8 per cent during the reviewed quarter to reach an estimated 459,022 metric tonnes,” read the release.

KNBS further says that the construction sector recorded a decelerated growth of 9.9 percent during the quarter under review compared to a growth of 16.6 per cent during the same quarter in 2014.

Accommodation and food service sector continued to contract though at a much slower rate.

The agriculture sector also recorded improvement with an expansion of 5.4 percent compared to a growth of 2.1 percent during a similar quarter of 2014.

“The improved performance in the agricultural sector is attributed to increased activities in the growing of maize, vegetables, and fruits as a result of favourable climatic conditions in contrast to last year. Higher output from these core crops far outweigh farm losses of beans and potatoes, which were adversely affected by heavy rains in some regions,” read the release.

Expansion was also experienced in the manufacturing sector recording a 4.5 per cent compared to a growth of 8.3 per cent during the second quarter of 2014. The growth was partly attributed to the reduced cost of inputs such as electricity during the second quarter 2015.

The financial intermediation sector recorded a 6.0 percent growth compared to 7.9 per cent in the same quarter of 2014. On one hand, domestic credit by commercial banks rose by 29.2 per cent in the second quarter of 2015 compared to a growth of 14.6 per cent over the same period in 2014.

“Credit to the private sector similarly expanded by 20.6 per cent from KSh 1,736.1 billion in the second quarter of 2014 to KSh 2,094.0 billion during the same period of 2015. Broad money supply grew by 17.6 per cent to KSh 3,196.9 billion in the second quarter of 2015 compared to a growth of 19.3 per cent recorded in a similar period in 2014,” said the release.

Not all sectors did as weel, for instance, the balance of payments position worsened to a deficit of KSh 47,889 million during the second quarter of 2015 from a surplus of KSh 166,833 million in the corresponding quarter of 2014.

According to KNBS, the current account deficit deteriorated by 61.8 per cent to KSh 151,209 million during the quarter under review.

“The worsening of the current account deficit in the second quarter of 2015 could be attributed to the increase in merchandise trade deficit that deteriorated to a deficit of KSh 246,369 million.”

Kenya’s economy slows down in Q2

Kenya’s economy slows down in Q2

“Inflation was noted to have eased down to 6.99 percent during the period under review compared to 7.03 percent in 2014,” said the release by KNBS.

NAIROBI, Kenya, Oct 1 – Kenya’s economy slowed down to a growth of 5.5 percent during the second quarter of 2015 compared to a growth of 6.0 percent in the corresponding quarter in 2014, according to the Kenya National Bureau of Statistics (KNBS).

KNBS further explains that the quarter was characterized by a fairly stable macroeconomic environment supported by a slowdown in inflation and decline in interest rates.

On the other hand, the Kenyan shilling depreciated significantly against the US dollar but was firm against the Sterling Pound. It however appreciated significantly against all the other major trading currencies.

“Inflation was noted to have eased down to 6.99 percent during the period under review compared to 7.03 percent in 2014,” said the release by KNBS.

According to the Bureau, the slowdown in inflation was occasioned by low prices in fuel oils, electricity, transport, communications and housing.

Broken down, the communication sector on the other hand recorded a slower growth of 7.6 per cent over the same period compared to an 8.1 per cent growth in the same quarter of 2014.

As far as accommodation and food services is concerned, there was a slower contraction of 0.8 per cent compared to a contraction of 19.3 per cent in the same quarter of 2014.

According to KNBS, visitor arrivals from Jomo Kenyatta International Airport and Moi International Airport recorded mixed results with arrivals from JKIA increasing by 2.8 per cent and that from MIA recording a contraction of 39.1 per cent.

“Overall, the sector recorded a 1.9 per cent drop in hotel occupancies.”

The electricity and water supply sector recorded the highest growth at 10.2 per cent during the second quarter 2015.

According to the bureau, the growth is attributed to improved production of hydro electricity due to better rains and the commissioning of new geothermal plant in 2014.

Notable gainers include the construction sector which recorded the second fastest growth mainly due to the ongoing public infrastructure development.

Additionally, the sector grew due to the resilient private sector’s development in the real estate sector.

“As a key indicator for the sector, cement consumption increased by 4.8 per cent during the reviewed quarter to reach an estimated 459,022 metric tonnes,” read the release.

KNBS further says that the construction sector recorded a decelerated growth of 9.9 percent during the quarter under review compared to a growth of 16.6 per cent during the same quarter in 2014.

Accommodation and food service sector continued to contract though at a much slower rate.

The agriculture sector also recorded improvement with an expansion of 5.4 percent compared to a growth of 2.1 percent during a similar quarter of 2014.

“The improved performance in the agricultural sector is attributed to increased activities in the growing of maize, vegetables, and fruits as a result of favourable climatic conditions in contrast to last year. Higher output from these core crops far outweigh farm losses of beans and potatoes, which were adversely affected by heavy rains in some regions,” read the release.

Expansion was also experienced in the manufacturing sector recording a 4.5 per cent compared to a growth of 8.3 per cent during the second quarter of 2014. The growth was partly attributed to the reduced cost of inputs such as electricity during the second quarter 2015.

The financial intermediation sector recorded a 6.0 percent growth compared to 7.9 per cent in the same quarter of 2014. On one hand, domestic credit by commercial banks rose by 29.2 per cent in the second quarter of 2015 compared to a growth of 14.6 per cent over the same period in 2014.

“Credit to the private sector similarly expanded by 20.6 per cent from KSh 1,736.1 billion in the second quarter of 2014 to KSh 2,094.0 billion during the same period of 2015. Broad money supply grew by 17.6 per cent to KSh 3,196.9 billion in the second quarter of 2015 compared to a growth of 19.3 per cent recorded in a similar period in 2014,” said the release.

Not all sectors did as weel, for instance, the balance of payments position worsened to a deficit of KSh 47,889 million during the second quarter of 2015 from a surplus of KSh 166,833 million in the corresponding quarter of 2014.

According to KNBS, the current account deficit deteriorated by 61.8 per cent to KSh 151,209 million during the quarter under review.

“The worsening of the current account deficit in the second quarter of 2015 could be attributed to the increase in merchandise trade deficit that deteriorated to a deficit of KSh 246,369 million.”

Read more here >> Capital Business

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Understanding the World Trade Organisation

The 10th World Trade Organisation (WTO) Ministerial Conference scheduled for December 15 to 18 this year will be the first one held in the continent since the organization was established in 1995/FILE

NAIROBI, Kenya, Sept 30 – Kenya is privileged to be the first African country to host a World Trade Organisation (WTO) Ministerial Conference in December.

The 10th World Trade Organisation (WTO) Ministerial Conference scheduled for December 15 to 18 this year will be the first one held in the continent since the organization was established in 1995.

But even as the global conference takes place in a developing country, a majority of the people are yet to understand not only the significance of the event but also the meaning of the WTO.

READ: Why hosting WTO is such a big deal for Kenya

The WTO simply deals with rules of trade between nations at a global or new global level. However there is more to it than that. Here are a three basic ways of looking at WTO.

WTO is simply a negotiating forum

Essentially, the WTO is a place where member governments go to sort out the trade problems they face with each other. The first step is to talk. The WTO was born out of negotiations, and everything the WTO does is the result of negotiations.

WTO is a set of rules

At its heart are the WTO agreements, negotiated and signed by the bulk of the world’s trading nations. These documents provide the legal ground-rules for international commerce. They are essentially contracts, binding governments to keep their trade policies within agreed limits. Although negotiated and signed by governments, the goal is to help producers of goods and services, exporters, and importers conduct their business, while allowing governments to meet social and environmental objectives. It also means ensuring that individuals, companies and governments know what the trade rules are around the world, and giving them the confidence that there will be no sudden changes of policy.

And finally, WTO helps to settle disputes

This is a third important side to the WTO’s work. Trade relations often involve conflicting interests. Agreements, including those painstakingly negotiated in the WTO system, often need interpreting. The most harmonious way to settle these differences is through some neutral procedure based on an agreed legal foundation. That is the purpose behind the dispute settlement process written into the WTO agreements.

The World Trade Organization began life on 1 January 1995 and as of August 24, 2012, the organizations had 157 governments as members.

Read more here >> Capital Business

>>> Understanding the World Trading Organisation

The 10th World Trade Organisation (WTO) Ministerial Conference scheduled for December 15 to 18 this year will be the first one held in the continent since the organization was established in 1995/FILE

NAIROBI, Kenya, Sept 30 – Kenya is privileged to be the first African country to host a World Trade Organisation (WTO) Ministerial Conference in December.

The 10th World Trade Organisation (WTO) Ministerial Conference scheduled for December 15 to 18 this year will be the first one held in the continent since the organization was established in 1995.

But even as the global conference takes place in a developing country, a majority of the people are yet to understand not only the significance of the event but also the meaning of the WTO.

READ: Why hosting WTO is such a big deal for Kenya

The WTO simply deals with rules of trade between nations at a global or new global level. However there is more to it than that. Here are a three basic ways of looking at WTO.

WTO is simply a negotiating forum

Essentially, the WTO is a place where member governments go to sort out the trade problems they face with each other. The first step is to talk. The WTO was born out of negotiations, and everything the WTO does is the result of negotiations.

WTO is a set of rules

At its heart are the WTO agreements, negotiated and signed by the bulk of the world’s trading nations. These documents provide the legal ground-rules for international commerce. They are essentially contracts, binding governments to keep their trade policies within agreed limits. Although negotiated and signed by governments, the goal is to help producers of goods and services, exporters, and importers conduct their business, while allowing governments to meet social and environmental objectives. It also means ensuring that individuals, companies and governments know what the trade rules are around the world, and giving them the confidence that there will be no sudden changes of policy.

And finally, WTO helps to settle disputes

This is a third important side to the WTO’s work. Trade relations often involve conflicting interests. Agreements, including those painstakingly negotiated in the WTO system, often need interpreting. The most harmonious way to settle these differences is through some neutral procedure based on an agreed legal foundation. That is the purpose behind the dispute settlement process written into the WTO agreements.

The World Trade Organization began life on 1 January 1995 and as of August 24, 2012, the organizations had 157 governments as members.

Understanding the World Trading Organisation

Number of UAE tourists to Kenya almost doubles – KTB

Number of UAE tourists to Kenya almost doubles last year/FILE

NAIROBI, Kenya, Sept 30 – The number of tourists visiting Kenya from the UAE rose to 35,000 between January and August 2015 compared to 18,000 visitors from the same period last year.

This is according to Kenya Tourism Board (KTB)’s Marketing Manager Fatma Bashir who was speaking at the just concluded discussions between KTB and the Dubai Cooperation for Tourism and Commerce Marketing held Dubai.

According to Bashir, factors that contributed to the growth include flight connectivity between the two regions and the presence of a large expatriate community in Dubai that wants to experience the rich tourism product in Kenya.

“We have seen tremendous growth in the past couple of the years and we are keen to do more to continue growing the numbers,” said Bashir.

She added that KTB’s presence in the market had allowed continuous interaction with stakeholders as well as the recent launch of the ‘Choose Kenya’ campaign in the UAE among other strategies has contributed to this growth.

A debut session, the meeting involved information sharing and establishing possible areas of collaboration aimed at increasing traffic from Dubai to Kenya and vice versa.

Representing the Department of Tourism and Commerce, Dubai, the Regional Director for Africa, Stella Obinwa said that the session was a welcome move in establishing possible areas of collaboration. This is because Dubai on the other hand, is keen on growing its numbers from Africa.

Upon receiving an invitation to grace this year’s Magical Kenya Travel EXPO, which takes place in October, Obinwa said that Dubai is keen on a possible participation at the expo which she said is a debut engagement that serves as an entry point of discussions between the two countries.

“Dubai is deliberately focusing on Africa and we are keen to collaborate with willing partners,” she added.

Obinwa was also quick in pointing the role of tourism boards and national carriers, saying that these partnerships were key in growing the number of visitors.

According to KTB, the upcoming Magical Kenya Travel Expo will be key in positioning and showcasing what Kenya has to offer, as an up-market, high-value and safe destination offering diversity of tourism experiences.

Apart from Dubai, KTB has been interacting with countries such as Ghana and Nigeria. According to KTB’s PR and Corporate Communications Manager, Wausi Walya, Kenya is still top on many visitors bucket list and a favourite for repeat visitors.

“The image of Kenya has gained very positive ground and we are keen to leverage in this to get tourism back on track,” said PR Manager, Ms Walya.

The meeting was held at the end of ten day long training session that KTB conducted in partnership with Kenya Airways and Wakanow, one of West Africa’s largest online tour operators.

Read more here >> Capital Business

>>> Number of UAE tourists to Kenya almost doubles – KTB

Number of UAE tourists to Kenya almost doubles last year/FILE

NAIROBI, Kenya, Sept 30 – The number of tourists visiting Kenya from the UAE rose to 35,000 between January and August 2015 compared to 18,000 visitors from the same period last year.

This is according to Kenya Tourism Board (KTB)’s Marketing Manager Fatma Bashir who was speaking at the just concluded discussions between KTB and the Dubai Cooperation for Tourism and Commerce Marketing held Dubai.

According to Bashir, factors that contributed to the growth include flight connectivity between the two regions and the presence of a large expatriate community in Dubai that wants to experience the rich tourism product in Kenya.

“We have seen tremendous growth in the past couple of the years and we are keen to do more to continue growing the numbers,” said Bashir.

She added that KTB’s presence in the market had allowed continuous interaction with stakeholders as well as the recent launch of the ‘Choose Kenya’ campaign in the UAE among other strategies has contributed to this growth.

A debut session, the meeting involved information sharing and establishing possible areas of collaboration aimed at increasing traffic from Dubai to Kenya and vice versa.

Representing the Department of Tourism and Commerce, Dubai, the Regional Director for Africa, Stella Obinwa said that the session was a welcome move in establishing possible areas of collaboration. This is because Dubai on the other hand, is keen on growing its numbers from Africa.

Upon receiving an invitation to grace this year’s Magical Kenya Travel EXPO, which takes place in October, Obinwa said that Dubai is keen on a possible participation at the expo which she said is a debut engagement that serves as an entry point of discussions between the two countries.

“Dubai is deliberately focusing on Africa and we are keen to collaborate with willing partners,” she added.

Obinwa was also quick in pointing the role of tourism boards and national carriers, saying that these partnerships were key in growing the number of visitors.

According to KTB, the upcoming Magical Kenya Travel Expo will be key in positioning and showcasing what Kenya has to offer, as an up-market, high-value and safe destination offering diversity of tourism experiences.

Apart from Dubai, KTB has been interacting with countries such as Ghana and Nigeria. According to KTB’s PR and Corporate Communications Manager, Wausi Walya, Kenya is still top on many visitors bucket list and a favourite for repeat visitors.

“The image of Kenya has gained very positive ground and we are keen to leverage in this to get tourism back on track,” said PR Manager, Ms Walya.

The meeting was held at the end of ten day long training session that KTB conducted in partnership with Kenya Airways and Wakanow, one of West Africa’s largest online tour operators.

Number of UAE tourists to Kenya almost doubles – KTB

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Kenyans to consume more coffee – report

“This leaves plenty of room for growth which is reflected by the growing presence of local coffee shop chains such as Art Caffe and Java House,” According to Victoria Crandall, soft commodities specialist at Ecobank Capital.

NAIROBI, Kenya, Sept 29 – Coffee consumption in Kenya is projected to grow, following the entry of more players in the local coffee retail business.

A report by Ecobank Research shows that per capita coffee consumption in Kenya is still very low at 0.07/kg.

It notes that in spite of its low consumption, growth is expected due to the emerging urbanised middle class which will continue to stimulate demand for consumer goods, including coffee.

“This leaves plenty of room for growth which is reflected by the growing presence of local coffee shop chains such as Art Caffe and Java House,” According to Victoria Crandall, soft commodities specialist at Ecobank Capital.

The growth of domestic coffee consumption and of local coffee retailers could provide the impulse to revitalise Africa’s coffee sector and overcome its perennial problems.

These include weak and inefficient agricultural value chains, high production costs and the lack of a domestic market for the final product, all of which prevent African producers from extracting the full value from coffee and instead exporting the bulk raw to world markets.

Despite the situation, the region’s contribution to global coffee production is modest and it produces some of the world’s finest coffee beans.

For instance, Kenya’s fine Arabica beans grown at high elevation near Mount Kenya are prized by coffee connoisseurs.

However, with the exception of Ethiopia, Africans drink very little coffee. As a historical cash crop, coffee has been grown for export while many African producers, notably Kenya and Uganda, have predominant tea-drinking cultures. This has meant low coffee consumption in Africa, although this is changing.

To revive the industry, Crandall said that building robust value chains will be essential for ensuring that African producers capture the full value of coffee, rather than continue to export the bulk raw to global markets.

“The key to capturing the full value of African coffee will be in building robust value chains that ensure that the beans flow seamlessly from farmers to African traders and roasters, and onwards to African consumers,” said Crandall.

Indications on the ground support Crandall’s statement. For instance, prior to its shops being acquired by Artcaffe, Dormans was the standout local player, with a presence along the entire coffee value chain, from regional bean sourcing to roasting and retail.

Additionally, last week, saw Nairobi’s Café Deli restaurant embark on an expansion plan that will see the coffee house increase its branches to six by next year.

Growth and consequently competition, is not a reserve Kenya only. For instance, American coffee giant, Starbucks, is now expanding into Sub Saharan Africa with its first stop being in South Africa.

The American coffee chain announced in July that it plans to enter South Africa next year, providing a potential springboard into high growth markets in the sub-region.

Starbucks signed a deal with local franchise operator, Taste Holdings, to run Starbucks cafés in South Africa for the next 25 years.

This partnership will also allows Taste Holdings to license rights to other African markets where it is already present in the fast-food segment.

According to Ecobank, Starbucks will be a tough competitor for local brands, given its wide sourcing footprint and its financial firepower, and its strong global brand. It buys green coffee in Kenya, Ethiopia, Rwanda, Tanzania, Uganda, Zambia, Cameroon, Burundi and the DRC.

But as coffee production faces structural constraints in many East African markets owing to low productivity, susceptibility to disease and erratic internal marketing chains, domestic consumption could put further strain on the supply of beans, constraining exports.

According to Crandall, this trend is likely to favour multinationals such as Starbucks which, like the wholesale coffee buyers, Mondelez and Nestlé, have the resources to work with farmer cooperatives to boost production, and which can afford to buy more expensive beans.

“However, given that Starbucks will sell its coffee as a premium product, reflecting its emerging market strategy to position itself as an aspirational brand, it will not appeal to all price-conscious African coffee drinkers, which should leave plenty of room in the market for local coffee shop chains,” said Crandall.

Read more here >> Capital Business

>>> Kenyans to consume more coffee – report

“This leaves plenty of room for growth which is reflected by the growing presence of local coffee shop chains such as Art Caffe and Java House,” According to Victoria Crandall, soft commodities specialist at Ecobank Capital.

NAIROBI, Kenya, Sept 29 – Coffee consumption in Kenya is projected to grow, following the entry of more players in the local coffee retail business.

A report by Ecobank Research shows that per capita coffee consumption in Kenya is still very low at 0.07/kg.

It notes that in spite of its low consumption, growth is expected due to the emerging urbanised middle class which will continue to stimulate demand for consumer goods, including coffee.

“This leaves plenty of room for growth which is reflected by the growing presence of local coffee shop chains such as Art Caffe and Java House,” According to Victoria Crandall, soft commodities specialist at Ecobank Capital.

The growth of domestic coffee consumption and of local coffee retailers could provide the impulse to revitalise Africa’s coffee sector and overcome its perennial problems.

These include weak and inefficient agricultural value chains, high production costs and the lack of a domestic market for the final product, all of which prevent African producers from extracting the full value from coffee and instead exporting the bulk raw to world markets.

Despite the situation, the region’s contribution to global coffee production is modest and it produces some of the world’s finest coffee beans.

For instance, Kenya’s fine Arabica beans grown at high elevation near Mount Kenya are prized by coffee connoisseurs.

However, with the exception of Ethiopia, Africans drink very little coffee. As a historical cash crop, coffee has been grown for export while many African producers, notably Kenya and Uganda, have predominant tea-drinking cultures. This has meant low coffee consumption in Africa, although this is changing.

To revive the industry, Crandall said that building robust value chains will be essential for ensuring that African producers capture the full value of coffee, rather than continue to export the bulk raw to global markets.

“The key to capturing the full value of African coffee will be in building robust value chains that ensure that the beans flow seamlessly from farmers to African traders and roasters, and onwards to African consumers,” said Crandall.

Indications on the ground support Crandall’s statement. For instance, prior to its shops being acquired by Artcaffe, Dormans was the standout local player, with a presence along the entire coffee value chain, from regional bean sourcing to roasting and retail.

Additionally, last week, saw Nairobi’s Café Deli restaurant embark on an expansion plan that will see the coffee house increase its branches to six by next year.

Growth and consequently competition, is not a reserve Kenya only. For instance, American coffee giant, Starbucks, is now expanding into Sub Saharan Africa with its first stop being in South Africa.

The American coffee chain announced in July that it plans to enter South Africa next year, providing a potential springboard into high growth markets in the sub-region.

Starbucks signed a deal with local franchise operator, Taste Holdings, to run Starbucks cafés in South Africa for the next 25 years.

This partnership will also allows Taste Holdings to license rights to other African markets where it is already present in the fast-food segment.

According to Ecobank, Starbucks will be a tough competitor for local brands, given its wide sourcing footprint and its financial firepower, and its strong global brand. It buys green coffee in Kenya, Ethiopia, Rwanda, Tanzania, Uganda, Zambia, Cameroon, Burundi and the DRC.

But as coffee production faces structural constraints in many East African markets owing to low productivity, susceptibility to disease and erratic internal marketing chains, domestic consumption could put further strain on the supply of beans, constraining exports.

According to Crandall, this trend is likely to favour multinationals such as Starbucks which, like the wholesale coffee buyers, Mondelez and Nestlé, have the resources to work with farmer cooperatives to boost production, and which can afford to buy more expensive beans.

“However, given that Starbucks will sell its coffee as a premium product, reflecting its emerging market strategy to position itself as an aspirational brand, it will not appeal to all price-conscious African coffee drinkers, which should leave plenty of room in the market for local coffee shop chains,” said Crandall.

Kenyans to consume more coffee – report

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Mumias sinks into deeper losses

The company operations especially the production process suffered heavily during the year recording very high waste levels due to irregularities.

NAIROBI, Kenya, Sept 29- Mumias Sugar Company has recorded a further loss in full year ending June 2015 at Sh4.6 billion from a loss of Sh2.7 billion made in 2014.

The management blames the deeper losses to challenges that affected the company during the year especially closure of the factory in the first half as well as shortage of cane production.

“The company experienced numerous challenges that impacted performance adversely. The factory was closed for two and a half months in the first half of the year due to acute cane shortage, the little available was immature and of poor quality,” Mumias Chairman Dan Ameyo explained.

The factory’s poor status arising from prolonged lack of critical spares owing to cash flow constraints experienced throughout the year also resulted to poor recoveries.

The company operations especially the production process suffered heavily during the year recording very high waste levels due to irregularities.

“Start and stop operations caused by frequent breakdowns, insufficient and poor quality can supplies as well as inadequate power supply. These grew progressively worse during the second half of the years,” Ameyo said.

The proceeds from sugar cane drooped by 42 percent to only 1.1 metric tons from 1.2 million in 2014 while sugar recovery levels fell to 6.2percent from 8..97 percent realised in the previous year.

Due to integrated nature of the plant set up, the other business segments were also adversely affected by the poor sugar segment performance with ethanol revenues falling to Sh772 million from Sh1 billion and electricity sales dropping by 74 percent to Sh59 million from Sh230 million achieved the previous year.

The results comes few months after the ailing company received Sh1billion from the government and all eyes are keen to see how the management will use the funds to bring it back to life.

READ: Govt strikes deal to save Mumias Sugar

Following the poor performance, the manages says it is keen on managing its operations costs which went down by 32 percent in the year under review.

“Although Mumias Sugar Company is undergoing serious challenges its outlook is propitious. The Board and management have carefully crafted a turnaround strategy which has also been scrutinized and adopted by the leaders and with full support and goodwill of other key stakeholders( government),” the chairman said.

Read more here >> Capital Business

>>> Mumias sinks into deeper losses

The company operations especially the production process suffered heavily during the year recording very high waste levels due to irregularities.

NAIROBI, Kenya, Sept 29- Mumias Sugar Company has recorded a further loss in full year ending June 2015 at Sh4.6 billion from a loss of Sh2.7 billion made in 2014.

The management blames the deeper losses to challenges that affected the company during the year especially closure of the factory in the first half as well as shortage of cane production.

“The company experienced numerous challenges that impacted performance adversely. The factory was closed for two and a half months in the first half of the year due to acute cane shortage, the little available was immature and of poor quality,” Mumias Chairman Dan Ameyo explained.

The factory’s poor status arising from prolonged lack of critical spares owing to cash flow constraints experienced throughout the year also resulted to poor recoveries.

The company operations especially the production process suffered heavily during the year recording very high waste levels due to irregularities.

“Start and stop operations caused by frequent breakdowns, insufficient and poor quality can supplies as well as inadequate power supply. These grew progressively worse during the second half of the years,” Ameyo said.

The proceeds from sugar cane drooped by 42 percent to only 1.1 metric tons from 1.2 million in 2014 while sugar recovery levels fell to 6.2percent from 8..97 percent realised in the previous year.

Due to integrated nature of the plant set up, the other business segments were also adversely affected by the poor sugar segment performance with ethanol revenues falling to Sh772 million from Sh1 billion and electricity sales dropping by 74 percent to Sh59 million from Sh230 million achieved the previous year.

The results comes few months after the ailing company received Sh1billion from the government and all eyes are keen to see how the management will use the funds to bring it back to life.

READ: Govt strikes deal to save Mumias Sugar

Following the poor performance, the manages says it is keen on managing its operations costs which went down by 32 percent in the year under review.

“Although Mumias Sugar Company is undergoing serious challenges its outlook is propitious. The Board and management have carefully crafted a turnaround strategy which has also been scrutinized and adopted by the leaders and with full support and goodwill of other key stakeholders( government),” the chairman said.

Mumias sinks into deeper losses

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>>> My dreams for the Central Bank – Governor Njoroge

Njoroge told journalists on Tuesday that he was not looking to create a legacy for himself, but is keen on leaving a better financial institution when he ‘walks out into the sunset’ in future.

NAIROBI, Kenya, Sept 29 – The Governor of the Central Bank of Kenya Patrick Njoroge has spent the first 97 days of his tenure in the deep end, literally, with a plummeting shilling forming an immediate headache, coupled with a need to contain inflation and the interest rate among others.

Njoroge told journalists on Tuesday that he was not looking to create a legacy for himself, but is keen on leaving a better financial institution when he ‘walks out into the sunset’ in future.

And this is how he hopes to steer the CBK, in his own words;

A stronger Central Bank

The Central Bank needs to be a World class institution. Here, we have the CBK Act; it needs to be World class, the people at the Central Bank need to be World class staff and also the processes. So those are key elements in terms of having a very strong institution.

A vibrant Financial Sector

One of the points I have been pushing commercial banks is that they need to be innovative. If there is one thing you will hear me saying again and again and again, is the whole business of innovation. I don’t want us (CBK) to be champions of innovation because we only help but we will work with the institutions. I would quickly say that innovation is not just having an app that you will have on your phone but innovate other new services that grow the whole sector in all ways.

A more efficient financial sector

We have previously talked about how banks manage their liquidity but there is also need of intermediating deposits into investments. I think I have made this point before, that the biggest concern as we see it at the Central Bank, is really their short term horizons in investments. They (financial institutions) need to expand their investment horizon to five or ten years. And that is how they are going to support infrastructure and investments in other projects that will have returns over an extended period of time and not just two or three years. That is really what we talk about when we talk of a more efficient financial sector.

More financial inclusion

Yes, we know Kenya is a leader in financial inclusion and yes it’s true the latest survey shows, we have something like 80 percent of the population within five kilometers of access to a financial point. But it is not just that. We are looking at having more services, layered on already available platforms. That’s really it. Having layers of more services. For example we have something coming up called M-Akiba which will be used to purchase government bond.

READ: Kenya to issue Sh5bn bond via M-PESA

M-Akiba will allow people wherever they are, to purchase bonds from their mobile devices. We are looking at it from an economic perspective, where the population can actually save. Look at the parents, teachers, policemen, I mean everyone will be included.

Above all, Njoroge believes in having more policies that will ensure there is discipline even as the financial sector continues to be vibrant and avoid cases of ‘Dubai Bank collapse.’

My dreams for the Central Bank – Governor Njoroge

My dreams for the Central Bank – Governor Njoroge

Njoroge told journalists on Tuesday that he was not looking to create a legacy for himself, but is keen on leaving a better financial institution when he ‘walks out into the sunset’ in future.

NAIROBI, Kenya, Sept 29 – The Governor of the Central Bank of Kenya Patrick Njoroge has spent the first 97 days of his tenure in the deep end, literally, with a plummeting shilling forming an immediate headache, coupled with a need to contain inflation and the interest rate among others.

Njoroge told journalists on Tuesday that he was not looking to create a legacy for himself, but is keen on leaving a better financial institution when he ‘walks out into the sunset’ in future.

And this is how he hopes to steer the CBK, in his own words;

A stronger Central Bank

The Central Bank needs to be a World class institution. Here, we have the CBK Act; it needs to be World class, the people at the Central Bank need to be World class staff and also the processes. So those are key elements in terms of having a very strong institution.

A vibrant Financial Sector

One of the points I have been pushing commercial banks is that they need to be innovative. If there is one thing you will hear me saying again and again and again, is the whole business of innovation. I don’t want us (CBK) to be champions of innovation because we only help but we will work with the institutions. I would quickly say that innovation is not just having an app that you will have on your phone but innovate other new services that grow the whole sector in all ways.

A more efficient financial sector

We have previously talked about how banks manage their liquidity but there is also need of intermediating deposits into investments. I think I have made this point before, that the biggest concern as we see it at the Central Bank, is really their short term horizons in investments. They (financial institutions) need to expand their investment horizon to five or ten years. And that is how they are going to support infrastructure and investments in other projects that will have returns over an extended period of time and not just two or three years. That is really what we talk about when we talk of a more efficient financial sector.

More financial inclusion

Yes, we know Kenya is a leader in financial inclusion and yes it’s true the latest survey shows, we have something like 80 percent of the population within five kilometers of access to a financial point. But it is not just that. We are looking at having more services, layered on already available platforms. That’s really it. Having layers of more services. For example we have something coming up called M-Akiba which will be used to purchase government bond.

READ: Kenya to issue Sh5bn bond via M-PESA

M-Akiba will allow people wherever they are, to purchase bonds from their mobile devices. We are looking at it from an economic perspective, where the population can actually save. Look at the parents, teachers, policemen, I mean everyone will be included.

Above all, Njoroge believes in having more policies that will ensure there is discipline even as the financial sector continues to be vibrant and avoid cases of ‘Dubai Bank collapse.’

Read more here >> Capital Business

MultiChoice brings Sh15b to Kenyan economy

MultiChoice had a direct contribution worth Sh3.1 billion, which was measured by the sum of its profits, wages and taxes paid in Kenya.

NAIROBI, Kenya, Sept 29 – MultiChoice is estimated to have contributed Sh15.8 billion to the Kenyan economy in 2014, according to a report launched by Deloitte Tuesday.

The estimates were drawn from the impact of MultiChoice’s own activities in the country, the impact of procurement of goods and services in its supply chain and associated ripple effects through the economy.

Broken down, MultiChoice had a direct contribution worth Sh3.1 billion, which was measured by the sum of its profits, wages and taxes paid in Kenya.
“This direct impact is largely due to the tax revenue that MultiChoice’s activities generate for the Kenyan government,” Mark William an Economic Consultant at Deloitte said.

In the 2013/14 financial year, the company contributed a total of Sh2.2 billion in taxes, while it paid wages that amounted to Sh.747.5 million in the same period which according to Deloitte, was more than three times of what was paid in 2011.

Apart from direct impact, MultiChoice also made an impact through spending. According to Deloitte, the company spent an aggregate of Sh.6.9 billion in generating local content, technology and distribution, marketing and administration suppliers among others, marking an almost sevenfold increment on expenditure between 2011 and 2014.
MultiChoice also spent Sh2.5 billon which is 37 percent of its total expenditure on technology and distribution marking growth in the segment due to the digital switchover.

Deloitte also said that MultiChoice had a multiplier impact on the country’s GDP.

“MultiChoice’s Kenyan suppliers, whether local content producers or technology service providers, spend part of the income received from the company with Kenyan supplier in order to provide their services. As such the income initially spent by MultiChoice is further spent across the economy by employees, suppliers, the exchanger or KBC as a shareholder, producing ripple effects and further economic activity in Kenya,” William said.

Additionally, MultiChoice paid dividends to Kenya Broadcasting Corporation (KBC) worth Sh.189.5 million.

And that’s not all; Deloitte has documented MultiChoice’s impact in Kenya including its spillover contribution.

According to the report, the company has facilitated and encouraged the digital migration process in various ways, sentiments echoed by the Director General of Communication Authority of Kenya, Francis Wangusi.

“MultiChoice played a key role during the digital migration process. It did so by generating public awareness about the process and supported the switchover by being among the players that provided set-top boxes readily,” Wangusi said.

MultiChoice has hence imported an estimated 1.5 million set-top boxes and spent almost Sh52.6 million on generating awareness on the migration.

Wangusi also urged Kenyans to take advantage of the opportunities that ICT has to give.

“ICT is an important segment in Kenya’s GDP contributing 13.5 percent into the sector. I urge players in the industry to take advantage of this.”

As MultiChoice marked its twentieth anniversary, the company’s Chairman Waithaka Waihenya said that the company was determined on getting more local content on its platform.

Since 2011, MultiChoice has produced, commissioned and licensed more than 45 shows in Kenya and commissioned 116 local films.

“We want to do more. We shall therefore be taking our Maisha Magic channel and split it into three; Maisha Kenya which will have local content including some in vernacular languages, Maisha Bongo for Tanzanian viewers and Maisha Uganda for the Ugandan audience.”

Read more here >> Capital Business

>>> MultiChoice brings Sh15b to Kenyan economy

MultiChoice had a direct contribution worth Sh3.1 billion, which was measured by the sum of its profits, wages and taxes paid in Kenya.

NAIROBI, Kenya, Sept 29 – MultiChoice is estimated to have contributed Sh15.8 billion to the Kenyan economy in 2014, according to a report launched by Deloitte Tuesday.

The estimates were drawn from the impact of MultiChoice’s own activities in the country, the impact of procurement of goods and services in its supply chain and associated ripple effects through the economy.

Broken down, MultiChoice had a direct contribution worth Sh3.1 billion, which was measured by the sum of its profits, wages and taxes paid in Kenya.
“This direct impact is largely due to the tax revenue that MultiChoice’s activities generate for the Kenyan government,” Mark William an Economic Consultant at Deloitte said.

In the 2013/14 financial year, the company contributed a total of Sh2.2 billion in taxes, while it paid wages that amounted to Sh.747.5 million in the same period which according to Deloitte, was more than three times of what was paid in 2011.

Apart from direct impact, MultiChoice also made an impact through spending. According to Deloitte, the company spent an aggregate of Sh.6.9 billion in generating local content, technology and distribution, marketing and administration suppliers among others, marking an almost sevenfold increment on expenditure between 2011 and 2014.
MultiChoice also spent Sh2.5 billon which is 37 percent of its total expenditure on technology and distribution marking growth in the segment due to the digital switchover.

Deloitte also said that MultiChoice had a multiplier impact on the country’s GDP.

“MultiChoice’s Kenyan suppliers, whether local content producers or technology service providers, spend part of the income received from the company with Kenyan supplier in order to provide their services. As such the income initially spent by MultiChoice is further spent across the economy by employees, suppliers, the exchanger or KBC as a shareholder, producing ripple effects and further economic activity in Kenya,” William said.

Additionally, MultiChoice paid dividends to Kenya Broadcasting Corporation (KBC) worth Sh.189.5 million.

And that’s not all; Deloitte has documented MultiChoice’s impact in Kenya including its spillover contribution.

According to the report, the company has facilitated and encouraged the digital migration process in various ways, sentiments echoed by the Director General of Communication Authority of Kenya, Francis Wangusi.

“MultiChoice played a key role during the digital migration process. It did so by generating public awareness about the process and supported the switchover by being among the players that provided set-top boxes readily,” Wangusi said.

MultiChoice has hence imported an estimated 1.5 million set-top boxes and spent almost Sh52.6 million on generating awareness on the migration.

Wangusi also urged Kenyans to take advantage of the opportunities that ICT has to give.

“ICT is an important segment in Kenya’s GDP contributing 13.5 percent into the sector. I urge players in the industry to take advantage of this.”

As MultiChoice marked its twentieth anniversary, the company’s Chairman Waithaka Waihenya said that the company was determined on getting more local content on its platform.

Since 2011, MultiChoice has produced, commissioned and licensed more than 45 shows in Kenya and commissioned 116 local films.

“We want to do more. We shall therefore be taking our Maisha Magic channel and split it into three; Maisha Kenya which will have local content including some in vernacular languages, Maisha Bongo for Tanzanian viewers and Maisha Uganda for the Ugandan audience.”

MultiChoice brings Sh15b to Kenyan economy

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KAM signs 2yr funding pact with TMEA

TMEA Kenya Country Director Dr. Chris Kiptoo said the partnership will also help in engagement with the relevant authorities in a bid to address the challenges identified in the first phase of this partnership/file

NAIROBI, Kenya, Sept 28 – The Kenya Association of Manufacturers (KAM) and TradeMark East Africa (TMEA) have signed a two-year agreement that will see an extension of a financial grant to KAM.

The grant is aimed at supporting KAMs advocacy work in the area of Non Tariff Barriers, Standards and Counterfeits.
This is the second phase of TMEAs partnership with KAM for creating a better business environment for the industry and to enhance the manufacturing sector competitiveness in the region.

“TMEA’s keenness to support KAM has carved out a productive space for advocacy and engagement with the necessary sections of the government,” KAM CEO Phyllis Wakiaga said.

TMEA Kenya Country Director Dr Chris Kiptoo said the partnership will also help in engagement with the relevant authorities in a bid to address the challenges identified in the first phase of this partnership.

“We are looking into implementing advocacy campaigns especially related to Non-Tariff Barriers, Trade in Counterfeits, Anomalies in the Common External Tariff (CET) and access to trade and Market Information,” Kiptoo said.

The first phase of the project focused on building and evidence base for advocacy in the key priority areas identified by KAM which include tax reforms in Kenya, cost of quality compliance, Domestic non-tariff barriers affecting industry in Kenya, Constitutional issues affecting business, overlapping regulatory roles and the severity of counterfeits.

Wakiaga emphasized on the need for intervention in the areas manufacturers face challenges so as to ensure a competitive business environment is realised.

“Our manufacturing sector has remained stagnant at 11 percent of GDP over the past ten years. As a result, the number of formal jobs in manufacturing has grown at just 7 percent per year over the past four years. Our exports have stagnated at 15 percent of GDP, while imports have grown to 40 percent of GDP creating a trade imbalance. These gaps can only be closed by revitalizing our industrial sector,” Wakiaga noted.

She cited the recently signed Tripartite Free Trade Area Agreement saying KAM is keen in ensuring that global competitiveness is achieved.

“For global integration to deliver we need to ensure that regional integration within the EAC is working and thus strengthening of the EAC will be key.”

Most of the recommendations made by KAM out of the first phase of this project were taken up by government. These included recommendations on the VAT act and Non Tariff Barriers that saw eight institutions come on board as signatories to the Mombasa Port Charter. We have also seen a lot of interagency collaboration in the fight against counterfeits.

KAM Manufacturing Priority Agenda 2014 identified trade hindrances, unfriendly tax regimes and proliferation of counterfeit goods as some of the areas that contribute to the increased cost of doing business and lead to the reduction of regional trade.

Read more here >> Capital Business

>>> KAM signs 2yr funding pact with TMEA

TMEA Kenya Country Director Dr. Chris Kiptoo said the partnership will also help in engagement with the relevant authorities in a bid to address the challenges identified in the first phase of this partnership/file

NAIROBI, Kenya, Sept 28 – The Kenya Association of Manufacturers (KAM) and TradeMark East Africa (TMEA) have signed a two-year agreement that will see an extension of a financial grant to KAM.

The grant is aimed at supporting KAMs advocacy work in the area of Non Tariff Barriers, Standards and Counterfeits.
This is the second phase of TMEAs partnership with KAM for creating a better business environment for the industry and to enhance the manufacturing sector competitiveness in the region.

“TMEA’s keenness to support KAM has carved out a productive space for advocacy and engagement with the necessary sections of the government,” KAM CEO Phyllis Wakiaga said.

TMEA Kenya Country Director Dr Chris Kiptoo said the partnership will also help in engagement with the relevant authorities in a bid to address the challenges identified in the first phase of this partnership.

“We are looking into implementing advocacy campaigns especially related to Non-Tariff Barriers, Trade in Counterfeits, Anomalies in the Common External Tariff (CET) and access to trade and Market Information,” Kiptoo said.

The first phase of the project focused on building and evidence base for advocacy in the key priority areas identified by KAM which include tax reforms in Kenya, cost of quality compliance, Domestic non-tariff barriers affecting industry in Kenya, Constitutional issues affecting business, overlapping regulatory roles and the severity of counterfeits.

Wakiaga emphasized on the need for intervention in the areas manufacturers face challenges so as to ensure a competitive business environment is realised.

“Our manufacturing sector has remained stagnant at 11 percent of GDP over the past ten years. As a result, the number of formal jobs in manufacturing has grown at just 7 percent per year over the past four years. Our exports have stagnated at 15 percent of GDP, while imports have grown to 40 percent of GDP creating a trade imbalance. These gaps can only be closed by revitalizing our industrial sector,” Wakiaga noted.

She cited the recently signed Tripartite Free Trade Area Agreement saying KAM is keen in ensuring that global competitiveness is achieved.

“For global integration to deliver we need to ensure that regional integration within the EAC is working and thus strengthening of the EAC will be key.”

Most of the recommendations made by KAM out of the first phase of this project were taken up by government. These included recommendations on the VAT act and Non Tariff Barriers that saw eight institutions come on board as signatories to the Mombasa Port Charter. We have also seen a lot of interagency collaboration in the fight against counterfeits.

KAM Manufacturing Priority Agenda 2014 identified trade hindrances, unfriendly tax regimes and proliferation of counterfeit goods as some of the areas that contribute to the increased cost of doing business and lead to the reduction of regional trade.

KAM signs 2yr funding pact with TMEA

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EU urged to extend environment funding

This followed a disclosure by Eric Habers, an EU representative, who revealed that the EU was terminating the funding of projects following the new structure of governance upon the formation of county governments/CFM

NAKURU, Kenya, Sept 28 – The European Union (EU) has been urged to extend its term in community development projects in the country following indications that its funding on environmental issues is coming to an end.

This followed a disclosure by Eric Habers, an EU representative, who revealed that the EU was terminating the funding of projects following the new structure of governance upon the formation of county governments.

Nakuru County Governor Kinuthia Mbugua has in turn asked the EU to redesign its approach and formulate other rules that will allow the continuity of this funding seeing that it has changed the lives of many people.

“These projects, which are funded by EU and implemented by the community development trust fund, have changed the livelihood of many people. It’s a big boost to the fight against poverty and we would want this program to continue,” Mbugua said during a Community Development Trust Fund (CDTF) commissioning event at Menengai Forest Station.

Additionally, Mbugua said that the county will consult to see where it can help in formulating new regulations that are required for the continuity of the funding.

According to Habers, the EU has invested in over one thousand projects in Kenya and spent over Sh5 billion with over Shs. 235 million spent in 29 projects in Nakuru County.

“The EU has over the years supported Kenya in various sectors such as environment, health, infrastructure, good governance, business, agriculture, community development and conservation of natural resources,” Habers said.

He added that the investment made into Nakuru County illustrated its importance for the social, economic, environmental conservation and poverty reduction in the country.

The CDTF, which is a joint initiative of the national government, European Union and the Danish International Development (DANIDA) in partnership with the county government, focuses on health issues, education, water and agriculture.

“Other areas that we focus on are social economic infrastructure, livelihood improvement, conservation of threatened eco system, soil and water conservation as well as renewable energy.” said the CDTF program coordinator Joseph Ruhiu.

Read more here >> Capital Business

>>> EU urged to extend environment funding

This followed a disclosure by Eric Habers, an EU representative, who revealed that the EU was terminating the funding of projects following the new structure of governance upon the formation of county governments/CFM

NAKURU, Kenya, Sept 28 – The European Union (EU) has been urged to extend its term in community development projects in the country following indications that its funding on environmental issues is coming to an end.

This followed a disclosure by Eric Habers, an EU representative, who revealed that the EU was terminating the funding of projects following the new structure of governance upon the formation of county governments.

Nakuru County Governor Kinuthia Mbugua has in turn asked the EU to redesign its approach and formulate other rules that will allow the continuity of this funding seeing that it has changed the lives of many people.

“These projects, which are funded by EU and implemented by the community development trust fund, have changed the livelihood of many people. It’s a big boost to the fight against poverty and we would want this program to continue,” Mbugua said during a Community Development Trust Fund (CDTF) commissioning event at Menengai Forest Station.

Additionally, Mbugua said that the county will consult to see where it can help in formulating new regulations that are required for the continuity of the funding.

According to Habers, the EU has invested in over one thousand projects in Kenya and spent over Sh5 billion with over Shs. 235 million spent in 29 projects in Nakuru County.

“The EU has over the years supported Kenya in various sectors such as environment, health, infrastructure, good governance, business, agriculture, community development and conservation of natural resources,” Habers said.

He added that the investment made into Nakuru County illustrated its importance for the social, economic, environmental conservation and poverty reduction in the country.

The CDTF, which is a joint initiative of the national government, European Union and the Danish International Development (DANIDA) in partnership with the county government, focuses on health issues, education, water and agriculture.

“Other areas that we focus on are social economic infrastructure, livelihood improvement, conservation of threatened eco system, soil and water conservation as well as renewable energy.” said the CDTF program coordinator Joseph Ruhiu.

EU urged to extend environment funding

NGOs urge states to implement new Global Goals

They specifically urged states and governments to implement the new Global Goals which seek to end poverty, inequality and tackle climate change/file

NAIROBI, Kenya, Sep 28 – Non Governmental Organisations (NGOs) are now urging world leaders to commit themselves in implementing the 17 Sustainable Development Goals (SDGs) launched in New York on Saturday.

They specifically urged states and governments to implement the new Global Goals which seek to end poverty, inequality and tackle climate change.

“The world is getting better. In 1990, almost 13 million children died, almost all of them from preventable causes. This number has dropped by more than half. And the rate of improvement is actually increasing. In Sub Saharan Africa, for example, child mortality is going down five times faster now than it was 20 years ago,”Melinda Gates, Co-Chair of the Bill and Melinda Gates Foundation said ahead of the summit that adopted the SDGs in New York.

“One reason for this progress is that the MDGs helped align the world behind a few key priorities. The SDGs are our best chance to build on this momentum and help the poorest keep building better futures,” she added.

In Kenya, Save the Children Campaign Manager Bill Kembo urged ordinary people to also come forward in supporting their governments address poverty.

According to Kembo only through commitment to implement that the 17 SDGs that will benefit people.

“We all came together to #LightTheWay and call on leaders to turn the Goals from words on paper into real change.
To do this, world leaders must make bold commitments at the UNGA to implement the Goals” added Kembo.

Meanwhile, the Global Compact Network Kenya has commended UN General Assembly for adopting the 17 SDGs that now replaces MDGs.

“The global goals will provide a powerful aspiration for improving our world laying out where we collectively need to go and how to get there.” said Network Representative and KAM Chief Executive, Phyllis Wakiaga.

In her view the 17 goals have encapsulated an important framework that will address poverty, inequality, injustice and the protection of the planet over the next 15 years.

“The Global Compact Kenya is dedicated to translating the SDGs for businesses locally and helping companies understand how they can leverage these goals to drive good practices and growth opportunities,” she added.

She further emphasised on the need for an inclusive approach which engages private sector players closely to ensure a comprehensive approach that will support implementation of the 17 goals.

Read more here >> Capital Business

UNICEF, Philips launch maternal and child care innovations project

The project anchored on development of innovative health technology and solutions is intended to roll out programmes that will improve health care for pregnant mothers and their babies during pregnancy, birth as well as after birth/FILE

NAIROBI, Kenya, Sep 28 – Kenya is set to benefit from a joint project of UNICEF and the Philips Foundation which targets at reducing maternal and child mortality rates.

The project anchored on development of innovative health technology and solutions is intended to roll out programmes that will improve health care for pregnant mothers and their babies during pregnancy, birth as well as after birth.

“Under the leadership of the Government of Kenya and the Project’s Steering Committee at the Ministry of Health, UNICEF and The Philips Foundation will facilitate the development of innovative health technology and solutions in the field of maternal, newborn and child health,” Philips Group Communications – Africa stated in a press release.

The project which will run from September 2015 to 2018 further aims at providing affordable and tailor-made maternal and child care especially in needy areas of the country.

“Together with partner organisations and local innovation hubs, with guidance from the Government of Kenya, we aim to develop and scale up innovative, low-cost and locally designed healthcare devices. These will contribute to improved and more equitable access to life-saving quality care for women and children across Kenya.”

The joint project comprehensively approaches Millennium Development Goals (MDGs) number 4 and 5 to care for women and children/newborns during pregnancy, birth and after delivery.

The two goals were among the five goals from the MDGs incorporated in the 17 Sustainable Development Goals adopted in New York on Saturday.

Despite aggressive interventions made, child and maternal mortality rates in Kenya remain high, making it a major world concern.

“For 1 million babies worldwide every year, their day of birth is also their day of death. But with strengthened health systems and innovative solutions for both mothers and children, the chance for survival is greatly increased,” Sharad Sapra, UNICEF Director of the UNICEF Global Innovation Centre asserted.

Through the project, UNICEF and partners are focusing on employment of a new approach of adopting new technology and ideas to provide healthcare to mothers and their babies through a journey of safety from the time of pregnancy, to birth and also provide follow up care to the babies to the age where their immunity has stabilised.

“The Maternal and Newborn Health Innovations Projects financed by The Philips Foundation and uses the local expertise of Philips Research Africa in Nairobi to mentor social entrepreneurs and facilitate the transfer of healthcare technology know-how in Kenya.”

By the year 2015 when the MDGs hit the deadline, the target was to reduce maternal and child mortality to 33 deaths in every 1,000 lives.

Kenya reduced the number of under -five child deaths per 1,000 from 90 in 2003 to 53 in 2014.

However, it fell way too below the MDG target of 33 deaths in every 1,000 live births.

Neonatal (provision of nursing care for newborn infants up to 28 days after birth) mortality was also high at 22 deaths in every 1,000 live births.

According to Philips Group Communication – Africa, the high death rate is largely blamed on lack of medical equipment and technology.

“One significant cause of these deaths is the lack of medical equipment and technology to support even the most basic interventions for pregnant women and their newborns, especially in remote areas where healthcare worker slack essential medical resources.”

Read more here >> Capital Business

Konza Technopolis signs MOU with US lobby to support SMEs

The MoU between The National Business League (NBL) and the Authority lays a framework for small local businesses to benchmark and learn best practices/FILE

NAIROBI, Kenya, Sept 28- Konza Technopolis Authority has signed a partnership with an American business lobby that will position Kenyan SMEs to better compete in regional and international markets.

The MoU between The National Business League (NBL) and the Authority lays a framework for small local businesses to benchmark and learn best practices.

“Through the establishment of Small and Medium Enterprises Development Programme, we shall assist Small and Medium Enterprises (SMEs) across Kenya and the US in accessing and obtaining business development opportunities through export promotion, joint ventures, strategy alliance and direct investment,” said Dr Malcolm Beech, Vice President, NLB.

The National Business league is national federation of individuals, firms and associations engaged in business enterprises, with members drawn from over 37 states whose aim is to support its member’s access business opportunities in different parts of the world.

“We have received more than 200 expressions of interest from investors both local and international, who are expected to form the bulk of the pioneer investors and partners in Konza city. We have registered good interest by the private sector particularly the telecom operators and leading banks who want to locate their data centers and other ICT investments in Konza,” CEO KoTDA Eng John Tanui said.

The partnerships come a midst significant milestones in infrastructure development that has seen the construction of four kilometres of road network within the Konza city completed.

A total of seven boreholes have so far been drilled and water piping has been done. Fibre connectivity from the National Optic Fibre Broadband has also commenced on site.

Over 60 U.S companies currently operate in East Africa, including IBM, GE, Dow Chemical, Coca Cola, and Cisco.
United States of America is the largest trade partner with Kenya, the trade volumes exceeding $1.5 billion per year.

Read more here >> Capital Business

Cytonn real estate breaks ground on Amara Ridge

Amara Ridge features two signature architectural styles – a classical and a contemporary design to cater for diverse tastes/CFM

NAIROBI, Kenya, Sep 28 – Cytonn Real Estate, a leading real estate developer in the region, with Sh50 billion in real estate projects, Monday held the groundbreaking for Amara Ridge, an exclusive gated community in Karen.

The Ambassador of the Republic of Finland, Tarja Fernandez was the chief guest at the groundbreaking.

Amara Ridge is a luxurious development offering comprehensive lifestyle amenities with a state of the art clubhouse and security features.

Amara Ridge features two signature architectural styles – a classical and a contemporary design to cater for diverse tastes.

The development is situated opposite Bomas of Kenya and boasts close proximity to high-end retail stores, shopping malls, several fine dining options, the largest collection of international schools in Nairobi and easy access to outdoor entertainment such as Nairobi National Park, the Giraffe Manor and Sheldrick’s Elephant Orphanage.

Recent trends show that security provisions, available amenities and proximity to conveniences are key factors influencing property acquisition; hence the increasing preference for gated communities.

“Our deal pipeline serves the various segments of the market ranging from the high end, such as the Amara Ridge, to the middle to lower-middle income, which constitutes 85% of our projects,” said Cytonn’s Chief Investment Officer and Head of Real Estate, Elizabeth Nkukuu, at the groundbreaking ceremony.

“In addition to putting up signature developments such as Amara Ridge and creating lifestyles for families, real estate is also our platform for creating jobs, growing the economy and raising the standards of living in the country. When complete, our Sh50 billion realestate pipeline will have housed thousands of families and created thousands of jobs,” said Elizabeth.

Speaking during the launch Her Excellency Fernandez, said: “Finland and Kenya have enjoyed a good relationship for many years. I am happy that a Finnish investor has found its way to Kenya to work on projects like this.”

Amara Ridge development is financed by Cytonn Investments and Finland-based NASDAQ OMX listed Taaleritehdas, who manage approx. USD 5 billion in assets under management.

The other projects in the Cytonn Real Estate deal pipeline that will breaking ground within the next six months include Situ Village, also in Karen, and The Alma apartments in Ruaka.

Read more here >> Capital Business

>>> NGOs urge states to implement new Global Goals

They specifically urged states and governments to implement the new Global Goals which seek to end poverty, inequality and tackle climate change/file

NAIROBI, Kenya, Sep 28 – Non Governmental Organisations (NGOs) are now urging world leaders to commit themselves in implementing the 17 Sustainable Development Goals (SDGs) launched in New York on Saturday.

They specifically urged states and governments to implement the new Global Goals which seek to end poverty, inequality and tackle climate change.

“The world is getting better. In 1990, almost 13 million children died, almost all of them from preventable causes. This number has dropped by more than half. And the rate of improvement is actually increasing. In Sub Saharan Africa, for example, child mortality is going down five times faster now than it was 20 years ago,”Melinda Gates, Co-Chair of the Bill and Melinda Gates Foundation said ahead of the summit that adopted the SDGs in New York.

“One reason for this progress is that the MDGs helped align the world behind a few key priorities. The SDGs are our best chance to build on this momentum and help the poorest keep building better futures,” she added.

In Kenya, Save the Children Campaign Manager Bill Kembo urged ordinary people to also come forward in supporting their governments address poverty.

According to Kembo only through commitment to implement that the 17 SDGs that will benefit people.

“We all came together to #LightTheWay and call on leaders to turn the Goals from words on paper into real change.
To do this, world leaders must make bold commitments at the UNGA to implement the Goals” added Kembo.

Meanwhile, the Global Compact Network Kenya has commended UN General Assembly for adopting the 17 SDGs that now replaces MDGs.

“The global goals will provide a powerful aspiration for improving our world laying out where we collectively need to go and how to get there.” said Network Representative and KAM Chief Executive, Phyllis Wakiaga.

In her view the 17 goals have encapsulated an important framework that will address poverty, inequality, injustice and the protection of the planet over the next 15 years.

“The Global Compact Kenya is dedicated to translating the SDGs for businesses locally and helping companies understand how they can leverage these goals to drive good practices and growth opportunities,” she added.

She further emphasised on the need for an inclusive approach which engages private sector players closely to ensure a comprehensive approach that will support implementation of the 17 goals.

NGOs urge states to implement new Global Goals

>>> UNICEF, Philips launch maternal and child care innovations project

The project anchored on development of innovative health technology and solutions is intended to roll out programmes that will improve health care for pregnant mothers and their babies during pregnancy, birth as well as after birth/FILE

NAIROBI, Kenya, Sep 28 – Kenya is set to benefit from a joint project of UNICEF and the Philips Foundation which targets at reducing maternal and child mortality rates.

The project anchored on development of innovative health technology and solutions is intended to roll out programmes that will improve health care for pregnant mothers and their babies during pregnancy, birth as well as after birth.

“Under the leadership of the Government of Kenya and the Project’s Steering Committee at the Ministry of Health, UNICEF and The Philips Foundation will facilitate the development of innovative health technology and solutions in the field of maternal, newborn and child health,” Philips Group Communications – Africa stated in a press release.

The project which will run from September 2015 to 2018 further aims at providing affordable and tailor-made maternal and child care especially in needy areas of the country.

“Together with partner organisations and local innovation hubs, with guidance from the Government of Kenya, we aim to develop and scale up innovative, low-cost and locally designed healthcare devices. These will contribute to improved and more equitable access to life-saving quality care for women and children across Kenya.”

The joint project comprehensively approaches Millennium Development Goals (MDGs) number 4 and 5 to care for women and children/newborns during pregnancy, birth and after delivery.

The two goals were among the five goals from the MDGs incorporated in the 17 Sustainable Development Goals adopted in New York on Saturday.

Despite aggressive interventions made, child and maternal mortality rates in Kenya remain high, making it a major world concern.

“For 1 million babies worldwide every year, their day of birth is also their day of death. But with strengthened health systems and innovative solutions for both mothers and children, the chance for survival is greatly increased,” Sharad Sapra, UNICEF Director of the UNICEF Global Innovation Centre asserted.

Through the project, UNICEF and partners are focusing on employment of a new approach of adopting new technology and ideas to provide healthcare to mothers and their babies through a journey of safety from the time of pregnancy, to birth and also provide follow up care to the babies to the age where their immunity has stabilised.

“The Maternal and Newborn Health Innovations Projects financed by The Philips Foundation and uses the local expertise of Philips Research Africa in Nairobi to mentor social entrepreneurs and facilitate the transfer of healthcare technology know-how in Kenya.”

By the year 2015 when the MDGs hit the deadline, the target was to reduce maternal and child mortality to 33 deaths in every 1,000 lives.

Kenya reduced the number of under -five child deaths per 1,000 from 90 in 2003 to 53 in 2014.

However, it fell way too below the MDG target of 33 deaths in every 1,000 live births.

Neonatal (provision of nursing care for newborn infants up to 28 days after birth) mortality was also high at 22 deaths in every 1,000 live births.

According to Philips Group Communication – Africa, the high death rate is largely blamed on lack of medical equipment and technology.

“One significant cause of these deaths is the lack of medical equipment and technology to support even the most basic interventions for pregnant women and their newborns, especially in remote areas where healthcare worker slack essential medical resources.”

UNICEF, Philips launch maternal and child care innovations project