Market Intelligence
Institutional-grade analysis, market intelligence, and investment insight for Kenya's property market — sourced from KNBS, PwC, Deloitte, McKinsey, and Statista.
An institutional analysis of the Standard Chartered Bank Kenya auction of Nakumatt-linked properties over Sh1.9 billion in debt, examining the mechanics of statutory notices, charged land recovery, and the strategic opportunities emerging from Kenya's corporate distress cycle in commercial real estate.
Comprehensive analysis of Standard Chartered Bank Kenya's KES 1.41 billion Chiromo headquarters sale, examining the structural retreat from physical banking, Westlands land value dynamics, and direct investment pathways for institutional capital seeking exposure to Nairobi's Grade A commercial property.
A comprehensive analysis of pension-led commercial property investment, examining structural advantages, regulatory frameworks, and wealth preservation strategies for sophisticated retirement planners.
A data-driven comparative analysis examining gross yields, net returns, tax efficiency, and regulatory burdens to determine optimal asset allocation for sophisticated investors.
A definitive examination of yield calculations with worked examples from Murivest's portfolio, demonstrating how sophisticated investors analyse income returns and risk-adjusted performance.
Comprehensive analysis of UK forecourt real estate, examining environmental liability frameworks, fuel retailing economics, the EV transition, and the high barriers to entry creating niche investment opportunities.
Comprehensive week-by-week analysis of the UK commercial property acquisition timeline, examining pre-exchange due diligence, legal conveyancing, financing arrangements, and completion protocols with strategic guidance on accelerating transactions.
Comprehensive analysis of commercial property legal fee structures, examining hourly versus fixed-fee arrangements, value-based billing methodologies, disbursement allocations, and strategic procurement protocols for institutional and private investors.
An institutional-grade analysis of commercial lease structures, examining Full Repairing and Insuring (FRI) covenants, Internal Repairing and Insuring (IRI) mechanisms, and hybrid allocations from the perspective of family offices, sovereign wealth vehicles, and corporate real estate directors navigating £100M+ portfolios.
Infrastructure-led analysis of the UK's premier logistics corridors, examining motorway networks, port connectivity, and land constraints to identify optimal industrial deployment locations.
Comprehensive analysis of UK medical centre investment, examining NHS lease security, demographic demand drivers, and the defensive characteristics that enable healthcare real estate to outperform through economic cycles.
A comprehensive 20,000-word institutional analysis examining the structural transformation of global commercial real estate allocation amid Trump-era protectionism, the BRICS+ de-dollarization agenda, the Iran-Israel war's energy market disruption, and the fragmentation of the world economy into competing trade blocs, providing sovereign wealth funds and family offices with scenario-based strategies for preserving capital across the polycrisis of the 2020s.
Technical analysis of SDLT on UK commercial property, examining rate structures, calculation methodologies, TOGC reliefs, anti-avoidance provisions, and strategic structuring for legitimate tax efficiency.
An institutional framework for risk mitigation covering legal title verification, lease analysis, building condition assessment, and regulatory compliance verification.
Comprehensive analysis of Greater London's £4.2 billion Q2 transaction volume, sector yield stabilisation, and institutional capital flows as markets recover from monetary tightening.
Infrastructure-led analysis of the UK's premier logistics corridors, examining motorway networks, port connectivity, and land constraints to identify optimal industrial deployment locations.
Contrarian analysis of UK retail property revealing selective recovery dynamics, experiential retail demand, and repurposing economics that challenge sector obsolescence narratives.
Analysis of Permitted Development Rights enabling office-to-residential conversion, examining viability economics, planning mechanics, and the specific conditions creating development arbitrage.
Regulatory analysis of MEES tightening, TCFD disclosure mandates, physical climate risks, and the emergence of green premiums and brown discounts in UK commercial property.
Comprehensive analysis of UK warehouse investment, examining regional yield variations, technical specifications, tenant covenants, and the specific risk-return profile of logistics assets.
Comprehensive analysis of UK medical centre investment, examining NHS lease security, demographic demand drivers, and the defensive characteristics that enable healthcare real estate to outperform through economic cycles.
Comprehensive analysis of UK student property investment, examining PBSA versus traditional accommodation, demographic demand shifts, university tier stratification, and nomination agreement structures.
An in-depth analysis of Nairobi CBD's office market in 2026, covering vacancy rates, rental trends, key developments, and investment opportunities.
A vital guide for aspiring homeowners in Kenya, detailing actionable steps to enhance your credit score and secure favorable property loan terms in 2025.
Understand how a special warranty deed works, what risks it shifts to the buyer, and how to protect your investment in commercial real estate deals.
A capitalization (cap) rate is a measurement of the perceived risk of owning a property, expressing an anticipated annual return on an investment. Learn how to calculate cap rates and why this metric matters.
The market has spoken: While traditional luxury enclaves like Kilimani face oversupply, Ngong is emerging as Kenya's premier lifestyle destination with property values appreciating faster than ever.
Demystify the mortgage application process in Kenya for 2025, exploring different types of mortgages, eligibility criteria, and tips for first-time homebuyers.
Understand the essentials of home insurance in Kenya, including coverage types, benefits, and how to choose the right policy to safeguard your property in 2025.
An in-depth look at the progress and hurdles in Kenya's affordable housing sector for 2025, highlighting government initiatives and private sector contributions.
Analyzing the implications of the recently passed Housing Levy Bill for affordable housing development and its impact on Kenyans in 2025.
Exploring the significant impact of KMRC's increased mortgage limit on accessibility to homeownership for a broader segment of Kenyans in 2025.
Discover how SACCOs are becoming a powerful force in enabling homeownership in Kenya, providing flexible and accessible financing options for many in 2025.
A detailed look into the strategic partnership between Unity Homes and Absa Bank and its expected contribution to boosting affordable housing supply in Kenya for 2025.
Examining the multifaceted effects of Kenya's Housing Levy on both property owners and prospective buyers, analyzing its benefits and potential challenges in 2025.
A comprehensive guide to understanding service charges in Kenyan real estate, clarifying rights, responsibilities, and common disputes for 2025.
Stay ahead of the curve with insights into the latest real estate trends in Kenya for 2025, including technological advancements, sustainable development, and investor preferences.
An expert analysis of the current health and future projections of Kenya's real estate market in 2025, covering investment opportunities and challenges.
A retrospective and prospective analysis of how the SGR has transformed real estate development and property values along its corridor in Kenya over the past decade.
A curated list of top real estate events, expos, and conferences happening in Kenya in October 2025, essential for networking and investment opportunities.
Comparing Nairobi's cost of living and real estate prices against other major African cities in 2025, offering insights for residents and investors.
An examination of Nairobi's rapid vertical and horizontal expansion, its implications for urban planning, infrastructure, and housing affordability in 2025.
An exclusive interview with a leading real estate expert, Ms. [Expert Name], providing invaluable insights and predictions for the Kenyan property market in 2025.
Analyzing the new regulatory changes requiring land firms to pay significant license fees and their potential effects on land prices and market operations in Kenya for 2025.
A comprehensive review of the Mombasa Gate Bridge project and its projected transformative impact on infrastructure, accessibility, and real estate values in Kenya's coastal region.
An evaluation of the effectiveness of the JKIA-Westlands Expressway in alleviating Nairobi's notorious traffic congestion and its broader impact on urban mobility and real estate access in 2025.
Delve into the current state of affordable housing initiatives in Kenya, highlighting key milestones achieved, persistent challenges, and potential solutions to bridge the housing gap.
An exploration of the Housing Levy's impact on construction funding versus the actual rate of homeownership, scrutinizing the disparities and policy implications as stated by CS Wahome.
A nuanced look at the recent renovations and expenditures on Kenya's State House, discussing the public perception, historical context, and economic implications in the current climate.
Examining the reasons behind the suspension of a major housing project in Lang'ata due to environmental concerns, underscoring the growing importance of sustainability in real estate development.
A detailed breakdown of the Kenya Revenue Authority's (KRA) new digital system designed to simplify tax compliance for real estate landlords and agents, and its potential impact.
Investigating the ramifications of the KSh 12 billion fraud scandal involving KUSCCO, and how this affects the stability and future of SACCO-backed housing projects in Kenya.
A case study detailing a landmark legal victory for real estate investors against a defaulting off-plan developer, offering crucial lessons for mitigating risks in off-plan purchases.
Exploring how the flourishing Business Process Outsourcing (BPO) sector in Kenya is reshaping demand for commercial office spaces, urging developers to innovate in design and functionality.
An analysis of the evolving landscape of commercial real estate in Kenya, addressing new challenges such as remote work trends, oversupply, and shifting economic conditions.
A comprehensive review and virtual tour of the highly anticipated Northlands Heights Apartments, offering insights into their design, amenities, and investment potential.
Unpacking the growing trend of branded residences in Kenya, where luxury hospitality brands are partnering with developers to offer exclusive living experiences.
An examination of how rapid urbanization is profoundly impacting housing patterns and demand in Kenya, leading to innovative solutions and concentrated development in urban centers.
A practical guide outlining the various types of residential properties available in Kenya, helping prospective homeowners and investors understand their options and make informed decisions.
Practical strategies and tips for developers and individual builders in Kenya to reduce construction costs while maintaining high standards of quality and durability.
A comprehensive guide explaining the intricacies of interest rates in Kenya and their direct influence on mortgage payments, affordability, and the overall real estate market.
Investigating the factors contributing to the decline in homeownership rates within Kenya's urban centers, exploring economic shifts, affordability challenges, and changing lifestyle priorities.
An insightful look into fractional ownership as an emerging investment model in Kenya's real estate sector, assessing its potential benefits, challenges, and market viability.
A balanced discussion on the role of real estate agents in Kenya, weighing the pros and cons of engaging an agent versus navigating the property market independently.
A practical guide for Kenyan homeowners on selecting the ideal grass types for their lawns, considering climate, maintenance, and aesthetic appeal to achieve a stunning garden.
Celebrating the achievements and contributions of women in Kenya's real estate sector, highlighting their growing influence, leadership roles, and the challenges they overcome.
A spotlight on Elizabeth Costabir's inspiring journey and insights shared during her feature on NTV's 'Women in Business,' discussing her leadership and impact in the real estate industry.
A retrospective look at Elizabeth Costabir's ten-year career in real estate, chronicling her milestones, contributions, and vision for the future of the Kenyan property market.
A captivating journey through Nairobi's architectural heritage, admiring the enduring charm and historical significance of its colonial-era buildings and their place in modern urban planning.
Navigate the home buying process with confidence using these expert tips and strategies for first-time buyers.
Investing in serviced apartments is a fairly new concept, especially in the Kenyan real estate market.
Investing in real estate in Kenya has become a popular option for many investors looking to diversify their portfolios and build long-term wealth.
Overview of the real estate in Kenya. Real estate in Kenya is one of the most lucrative investment opportunities available today.
Real estate investment involves purchasing, owning, managing, renting, or selling real estate for profit.
Maximize your property's market appeal and value with these strategic home improvement tips.
A comprehensive analysis of Kenya's real estate market projections for 2025, examining growth opportunities, potential challenges, and strategic insights for investors and homebuyers.
Exploring the intricate relationship between political dynamics and property market trends in Kenya, and how policy changes and stability influence investment decisions.
An in-depth look at Kenya's affordable housing initiatives and how they are creating new opportunities for property developers and potential homeowners across the country.
A strategic guide to land investment opportunities in Kenya's rapidly developing satellite towns, highlighting key areas with high growth potential.
Understanding how GDP growth, inflation rates, and employment figures impact Kenya's property market and guide investment decisions.
Analyzing how commercial real estate in Nairobi has transformed since the pandemic, including changes in demand, tenant preferences, and emerging opportunities.
Exploring the growing trend of green building practices in Kenya's real estate sector and the benefits of sustainable development for investors and the environment.
A comprehensive guide for Kenyans in the diaspora looking to invest in property back home, covering legal requirements, financing options, and best practices.
Examining how the Nairobi Expressway has influenced property values, development patterns, and investment opportunities along its route.
Best practices for managing rental properties in Kenya
Analyzing the potential of short-term rental investments in Kenya's key tourism destinations and business centers.
Understanding how inflation affects property values, rental incomes, and investment returns in Kenya's real estate market.
A detailed guide to property taxes in Kenya, including rates, exemptions, and compliance requirements for property owners.
Exploring investment opportunities in purpose-built student accommodation near universities in Kenya.
An overview of recent land policy reforms in Kenya and their implications for property owners and investors.
How Kenya's rapid urbanization is fueling demand for housing and commercial real estate across the country.
Understanding how REITs work in Kenya and their potential as an alternative investment vehicle for property investors.
A comprehensive guide to purchasing commercial real estate in Kenya, from property search to closing the deal.
Exploring the latest valuation tools and software available for accurately assessing property values in Kenya.
A practical guide to estimating development costs for property projects in Kenya, including land, construction, and soft costs.
Exploring the impact of property technology (PropTech) on buying, selling, and managing real estate in Kenya.
Analyzing the apartment investment landscape in Westlands, one of Nairobi's premium property markets.
A guide to implementing effective security systems for residential and commercial properties in Kenya.
Essential terminology for navigating property auctions in Kenya, from reserve prices to hammer prices.
Proven negotiation techniques for getting the best deals in Kenya's property market.
Evaluating the investment potential of holiday homes in Mombasa, Diani, and other coastal destinations.
Expert analysis of mortgage rate trends and their implications for the Kenyan property market in 2026.
Comprehensive analysis of Nairobi's commercial office space market, including trends, vacancies, and investment opportunities.
Debunking common misconceptions about land valuation in Kenya and what buyers should really know.
An update on the Konza Technopolis development and its potential impact on surrounding property values.
Exploring the rapid growth of coastal real estate markets in Diani and Watamu.
Latest updates on property taxation in Kenya and essential compliance tips for property owners.
Navigating Kenya's digital land transaction system, Ardhisasa, for seamless property transfers.
Detailed cost breakdown for constructing a 3-bedroom house in different locations across Kenya.
Understanding the implications of the Sectional Properties Act for apartment buyers in Kenya.
Exploring the emerging trend of real estate crowdfunding platforms in Kenya.
Analyzing real estate investment opportunities in Kenya's major secondary cities.
How off-grid solutions are influencing property development and values in Kenya.
How drone technology is revolutionizing land surveying in Kenya.
How the Acorn model is transforming student housing investments in Kenya.
Exploring investment opportunities in retirement and senior living communities in Kenya.
Understanding the legal aspects of fractional property ownership in Kenya.
Analyzing the growing demand for industrial and warehouse spaces in Kenya.
Exploring the potential of blockchain technology for secure land titling in Kenya.
Comparing the financial returns of short-term vacation rentals versus traditional rentals.
How converting commercial offices to residential use is reshaping Nairobi's CBD.
Comprehensive guide to property insurance options and coverage in Kenya.
Investment strategy analysis for land banking in Kenya's growing satellite towns.
How green mortgage products are promoting sustainable real estate in Kenya.
How artificial intelligence is transforming property valuation methods in Kenya.
Analyzing the rapid growth and investment potential of Tigoni's real estate market.
Analyzing how recent VAT changes affect construction costs and property prices.
Exploring the use of bamboo in sustainable real estate development in Kenya.
Understanding the tax implications of property tokenization and digital assets.
How Nakuru's elevation to city status is affecting property markets.
Key updates from the revised Kenya National Building Code and compliance requirements.
Understanding Kenya's national property tax and its implications for property owners.
How the Syokimau commuter rail line is spurring real estate growth in the area.
The latest developments in 3D printed housing technology in Kenya.
Comprehensive investment guide for Kilifi's growing real estate market.
Essential legal checks before investing in property crowdfunding platforms.
Exploring hempcrete as an eco-friendly building material for Kenya.
Comparing investment potential of Upper Hill and Westlands office markets.
Analyzing the resurgence of REIT investments in Kenya's property market.
Analyzing the demand for rental properties from expatriates in Nairobi.
Exploring the rapid growth of Eldoret's residential real estate market.
Essential tips for protecting yourself from land fraud in Kenya.
Analyzing the mixed-use development model in Kikuyu satellite town.
How smart irrigation is adding value to residential properties in Kenya.
Guide to finding and working with top real estate agents in Kenya.
Exploring investment potential in Nanyuki's growing eco-tourism real estate.
Latest developments in the Nairobi Railway City smart city project.
Long-term projections for Kenya's real estate market through 2030.
How Kenya's digital nomad visa is affecting Diani's property market.
Pitfalls to avoid when valuing land in Kenya's property market.
Analyzing living standards and property values in Tatu City.
Growth of luxury prefabricated homes in Naivasha's property market.
Investment potential in small-scale commercial retail properties in Kenya.
Growing opportunities in Eldoret's student housing market.
Analyzing the rise of gated communities in Machakos county.
Professional photography tips for selling or renting Kenyan properties.
Top digital tools for efficient tenant management in Kenya.
Comprehensive year-end review of Kenya's real estate market performance.
Compare financing, management requirements, and risk factors across 2-4 unit properties to choose the right investment for your goals.
How 14 Trees printed 52 homes in record time at Mvule Gardens.
A practical guide outlining the various types of residential properties available in Kenya, helping prospective homeowners and investors understand their options and make informed decisions.
Lessons from the Waweru v Njoroge [2025] case on protecting your land.
From automated rent reminders to predictive maintenance for busy landlords.
A practical guide for Kenyan homeowners on selecting the ideal grass types for their lawns, considering climate, maintenance, and aesthetic appeal to achieve a stunning garden.
How to use accelerated depreciation to lower your taxable income in the first years of ownership.
Exploring how the flourishing Business Process Outsourcing (BPO) sector in Kenya is reshaping demand for commercial office spaces, urging developers to innovate in design and functionality.
Ditching the NSSF for a portfolio that pays you every month.
Analyzing market cycles and the impending price surge due to rising construction costs.
Analyzing the rental saturation vs. the infrastructure demand.
From the Letter of Offer to the handover of the Sectional Title.
Understanding the 15% Capital Gains Tax and how to report expenses.
Why this formula is more important than simple yield when you are using bank financing.
A retrospective look at Elizabeth Costabir
A spotlight on Elizabeth Costabir
Why 2026 apartments without
Why multinational tenants are demanding green-certified buildings in 2026.
Demystifying the jargon of commercial real estate to help you negotiate better deals.
An insightful look into fractional ownership as an emerging investment model in Kenya
An exploration of the Housing Levy
Understanding the metric that Kenyan banks use to gauge risk in commercial lending.
Suburban land prices are up 6.3% as families flee high-rise density.
A 10-point guide to utilizing Ardhisasa and video due diligence from abroad.
How the new State Department framework protects overseas investors.
A nuanced look at the recent renovations and expenditures on Kenya
Using the DCF method to value a property based on its future potential earnings.
A balanced discussion on the role of real estate agents in Kenya, weighing the pros and cons of engaging an agent versus navigating the property market independently.
Why the signing of new lease agreements is sparking a Mombasa land rush.
Comparing the management complexity and cash flow potential of small multi-family units.
How recycled aggregates and hempcrete are reducing building costs.
Why the elevation to City status is driving a 20% land hike.
Examining the reasons behind the suspension of a major housing project in Lang’ata due to environmental concerns, underscoring the growing importance of sustainability in real estate development.
The legal way to handle non-payment without the
How to project what your property will be worth 10 years from now when you decide to sell.
How the Nairobi Expressway reshaped land values from Mlolongo to Westlands.
Why zoning changes in Kiambu and Kajiado are creating instant millionaires.
The psychological and market impact of
Own 1/10th of an acre in a gated community via digital certificates.
How to save on operational costs through sustainable architecture.
Sustainability is no longer a luxury; it is a requirement for high rental occupancy.
How to use GRM to compare properties across different Nairobi neighborhoods.
Why Upper Hill and Lavington are outperforming Kilimani this year.
Exploring how AI and contactless technology are transforming Kenyan hotels into high-yield assets.
Why duplexes are becoming the preferred entry point for first-time Kenyan investors.
From feasibility studies to tourism licenses, learn the steps to owning hospitality property.
An essential guide for investors looking to enter the retail real estate market in Kenya, focusing on location, footfall, and tenant mix.
Practical strategies and tips for developers and individual builders in Kenya to reduce construction costs while maintaining high standards of quality and durability.
An examination of how rapid urbanization is profoundly impacting housing patterns and demand in Kenya, leading to innovative solutions and concentrated development in urban centers.
Using the 18-year property cycle to time your entry and exit.
Why 100+ firms have moved to SEZs for 95% renewable energy and tax breaks.
Why every tap on a smartphone is filling up Kenya’s logistics hubs.
A comprehensive guide explaining the intricacies of interest rates in Kenya and their direct influence on mortgage payments, affordability, and the overall real estate market.
How minor aesthetic upgrades lead to major rental premiums in 2026.
Going beyond simple yield to understand the total lifecycle profitability of a project.
The legal framework for international investors participating in public auctions and e-GP platforms.
A step-by-step guide to projecting your long-term real estate wealth.
An in-depth analysis of Kenya
KRA’s new digital tracking of rental income and what it means for your profit.
Delve into the current state of affordable housing initiatives in Kenya, highlighting key milestones achieved, persistent challenges, and potential solutions to bridge the housing gap.
A detailed breakdown of the Kenya Revenue Authority
Investigating the ramifications of the KSh 12 billion fraud scandal involving KUSCCO, and how this affects the stability and future of SACCO-backed housing projects in Kenya.
A guide to financing land purchases, from Sacco loans to commercial bank mortgages.
Understanding the difference between National and County payments.
Why you can no longer increase rent without a 90-day notice.
Building shops on the ground floor and 2-bedroom units above.
Why Nairobians are ditching the commute for integrated environments.
How to move your 18% loan to a 9% fixed rate in today’s market.
Comparing bank mortgages, Sacco developer loans, and private equity for apartment blocks.
Market data shows a shift from congested high-rises to spacious suburban gated communities.
How the £9M technical assistance and multimodal hub is redefining Nairobi’s core.
Why conservation-themed developments are seeing 20% capital gains.
Avoiding the
Comparing Single, Double, and Triple Net (NNN) leases for passive income seekers.
A deep dive into the Sh500bn mega-city and the ripple effects on Ruiru property.
A comprehensive review and virtual tour of the highly anticipated Northlands Heights Apartments, offering insights into their design, amenities, and investment potential.
How to tell if a developer will finish your apartment or
How building orientation and natural ventilation are saving millions.
Comparing Acorn I-REIT and Fahari I-REIT dividend yields in 2026.
Why Naivasha and Laikipia holiday homes are going modular.
From feasibility studies to the final
From emotional buying to ignoring zoning laws, learn what can tank your ROI.
Maximizing your returns by utilizing wear and tear allowances and solar incentives.
How to handle 50 units without a single phone call.
How automation is solving the rent collection and utility management headache in Nairobi.
From digital maps to PropTech valuation apps, the tools every modern investor needs.
Learn how to accurately calculate gross and net rental yields to determine the profitability of your Kenyan property investment.
Essential updates on the KES 360,000 interest deduction and new tax loss limits.
Step-by-step guide to verifying land ownership through Kenya’s digital land management system.
Analyzing land as a
Why institutional investors are pouring billions into
Exploring how fractional ownership allows small investors to participate in large-scale projects.
You no longer need KES 50M to own luxury; fractional ownership is the 2026 trend.
Calculating IRR and NPV for high-rise developments in Upper Hill.
Ditching spreadsheets for Yardi, DoorLoop, and Mashvisor-style local data.
Why you shouldn’t put all your money into residential apartments.
Expert analysis on Real Estate Investment Trusts (REITs): Understanding the Basics and Benefits in Kenya's real estate market.
Why having a mentor can save you millions in mistakes during your first development.
How to maintain liquidity while holding long-term physical assets.
A comprehensive guide to Stamp Duty, Capital Gains Tax, and Rental Income Tax under the latest KRA regulations.
Analyzing the Pangani and Boma Yangu schemes for middle-income earners.
How to invest in Kenya’s biggest shopping centers with KES 5,000.
Unpacking the growing trend of branded residences in Kenya, where luxury hospitality brands are partnering with developers to offer exclusive living experiences.
Comparing the 9% KMRC-backed bank loans with SACCO dividend offsets.
Analyzing the infrastructure-led growth of Nairobi’s satellite towns.
How the transition from long-term leases to individual unit titles is changing ownership.
Everything you need to know about the new ownership certificates.
Why business travelers are ditching hotels for serviced apartments in Westlands and Upper Hill.
Analyzing why many hosts are returning to long-term leases this year.
Understanding the simplest form of net leases where the tenant pays property taxes.
Comparing the management of a 4-unit apartment block vs. a 50-unit complex.
Why biometrics and AI-powered cameras are replacing traditional guards.
From voice-controlled solar grids to AI-monitored perimeter security.
How the Talanta Sports City Stadium is boosting real estate in its orbit.
Why proximity to startup hubs is the biggest predictor of rental growth.
A guide for commercial landlords and tenants on funding office fit-outs.
Renovating 1990s apartments for a 30% profit margin in 2026.
A captivating journey through Nairobi
How 2026 developments are using hydroponics to attract health-conscious tenants.
A deep dive into how warranty deeds protect buyers and the legal guarantees regarding clear titles.
How low-flow fixtures and gray-water recycling increase ROI in 2026.
Understanding the value-add of infrastructure like roads, water, and electricity on your plot.
Investigating the factors contributing to the decline in homeownership rates within Kenya
An analysis of the evolving landscape of commercial real estate in Kenya, addressing new challenges such as remote work trends, oversupply, and shifting economic conditions.
A case study detailing a landmark legal victory for real estate investors against a defaulting off-plan developer, offering crucial lessons for mitigating risks in off-plan purchases.
Celebrating the achievements and contributions of women in Kenya
Global demand for this type of financing reached an estimated $2.7 trillion in 2025, an 8% increase year on year. How the Facility Works The $300 million facility covers supply chain and trade finance assets originated by Standard Chartered across the region.
Standard Chartered has arranged a $2.33 billion syndicated financing package for Tanzania’s Standard Gauge Railway (SGR), one of the largest infrastructure transactions in East African history. The deal funds the construction of 679 kilometres of new track across three lots, moving Tanzania’s most transformative transport project significantly closer to completion.
Kenya’s annual consumer price inflation rose to 5.6 percent in April 2026, up from 4.4 percent in March — the first time the rate has crossed the Central Bank of Kenya’s 5 percent midpoint target since June 2024. The Kenya National Bureau of Statistics confirmed the figure on 29 April, citing food, transport, and fuel as the primary drivers of an acceleration that caught most forecasters off guard.
Kenya’s economy expanded 4.6% in 2025, barely changed from the revised 4.7% recorded in 2024, according to official data released on Wednesday by the Kenya National Bureau of Statistics (KNBS). Services remained the dominant force in the economy, accounting for 55.0% of GDP, while agriculture contributed 23.2% and industry 16.3%.
Demand grew by more than 8%, with peak demand reaching 2,439 MW — a reflection of sustained economic growth and rising expectations from households and industry. Nearly 79% of electricity supplied to the national grid now comes from renewable sources, placing Kenya among the global leaders in clean energy.
Uganda has named Citibank as lead arranger for the syndicated debt financing of its €2.7 billion Standard Gauge Railway, bringing the long-stalled Malaba–Kampala line within reach of construction. A Limited Notice to Proceed has been issued, and an initial US$83 million tranche released.
For the period running from 15 April to 14 May 2026, EPRA has set the maximum retail price of super petrol in Nairobi at KSh 206.97 per litre , up KSh 28.69 from KSh 178.28. Diesel climbs KSh 40.30 to KSh 206.84 per litre, an all-time high in Kenya’s pricing history, surpassing the previous record single-month increase of KSh 25.00 set in September 2022 by 61%.
Aliko Dangote wants $40 billion and five years to build an industrial operation that could reshape how Africa fuels its economies and feeds its people and he wants African capital markets to help pay for it. The Dangote Group has announced it needs at least $40 billion through 2030 to fund an expansion that would more than double the capacity of its Lagos refinery and quadruple urea fertilizer production.
Kenya’s private sector contracted in March for the first time in seven months, as squeezed household budgets, higher fuel costs and disruptions linked to the Middle East war pulled the Stanbic Bank Kenya Purchasing Managers’ Index down to 47.7 from 50.4 in February. The reading, compiled by S&P Global from survey responses collected between 12 and 27 March 2026, marked the fourth consecutive monthly decline and the first drop below the 50.0 threshold that separates growth from contraction since August 2025.
Kenya’s annual inflation rose to 4.4% in March 2026, up from 4.3% in February , as food costs continued to squeeze household budgets, the Kenya National Bureau of Statistics reported on Tuesday. The Consumer Price Index moved from 149.20 in February to 150.00 in March, translating to a monthly inflation rate of 0.5%, compared with 0.2% the previous month.
“For products worth Sh30,000, it costs me Sh14,000 to get them to Rwanda and Sh17,000 to Nigeria,” she said. Transporting a 20-foot container along this corridor costs between USD 3,500 and USD 7,000, depending on fuel prices and cargo availability.
Kenya’s forex sector continues to grow steadily, with recent industry estimates placing the number of active retail traders at over 100,000, collectively controlling significant trading capital across local and offshore platforms. Many brokers rely on widely trusted systems such as MetaTrader 4 and MetaTrader 5, because these platforms support automated trading, multiple charting options and customizable indicators, while still running smoothly across devices.
Presidents William Ruto and Yoweri Museveni on Saturday flagged off construction of the 107 kilometre Kisumu–Malaba Standard Gauge Railway section, completing a rail corridor from Mombasa to the Kenya–Uganda border. The section completes a nearly 1,000-kilometre rail link from the port of Mombasa to Malaba.
The findings reveal an economy within an economy: one billion dollars in annual market value in Kenya alone, 1.5 million gig workers, and a sector that now accounts for roughly 0.85% of the country’s GDP. What Kenya’s Labour Market Actually Looks Like Kenya’s labour force reached approximately 23 million people in 2023, a figure that has climbed steadily for a decade.
Kenya broke ground on Thursday on the next phase of its Standard Gauge Railway , a project that stopped near Naivasha in 2019 when Chinese government financing for large African infrastructure projects was cut. The Naivasha-Kisumu main line will span 264km, complemented by an 8.69km line branching to the proposed new Kisumu Port while the Kisumu- Malaba section will cover 107km, seamlessly linking Kenya to Uganda and the wider region.
Kenya’s National Assembly has approved the 2026/27 Budget Policy Statement (BPS), laying the foundation for the national budget and defining government spending priorities for the year ahead. The framework, valued at Sh4.7 trillion , provides the fiscal blueprint for national, county, and sectoral allocations.
Kenya Pipeline Company (KPC) officially joined the Nairobi Securities Exchange (NSE) on March 10, 2026, marking the country’s first major IPO in nearly two decades. on listing day, KPC shares traded at KES 9.10 , up 1.11% from the IPO price of KES 9.00.
President William Ruto has signed the National Infrastructure Fund (NIF) Act into law, opening the door to Ksh.5 trillion in i nfrastructure spending on roads, railways, ports, airports, irrigation, and energy over the next decade. Between Ksh.15 billion and Ksh.20 billion — up to $155 million — will come from proceeds of the Kenya Pipeline Company (KPC) IPO, which raised Ksh.106.3 billion through the sale of a 65% government stake.
The rules, published as Legal Notice 197 of 2025 on 11 December 2025, are already in force. What this means in practice Small fund managers could actually pay less than before, the new minimum of Ksh 100,000 sits below the previous flat rate.
Mozambique claimed the top spot in Standard Bank’s Africa Trade Barometer (ATB) for 2025, leaping from third place in August 2024 to first. The Bank of Mozambique engineered its exchange-rate stability through aggressive intervention, tripling the mandatory foreign-currency reserve requirement from 11.5% to 39.5% in June 2025 and forcing exporters to convert 50% of foreign revenues into meticais.
CMA CGM operates 91 offices across 54 African nations and deploys 33 maritime services calling at more than 80 ports, making it uniquely exposed to the current crisis. The carrier’s EAS3 service offers weekly direct sailings between China, South-East Asia, Kenya, and Tanzania using seven 2,800 TEU vessels.
Kenya’s private sector economy slowed sharply in February as the Stanbic Bank Kenya Purchasing Managers’ Index (PMI) fell to 50.4, down from 51.9 in January. The February reading hovered just above the neutral 50.0 threshold, signaling only a slight improvement in business conditions.
Scheduled imports are secured through April 2026 under the government‑to‑government framework, insulating the country from volatile spot markets. The company noted that contingency plans are in place, with scheduled fuel cargo deliveries for March 2026 on track.
The East African Community (EAC) Heads of State will meet in Arusha, Tanzania, on 7 March 2026 for the 25th Ordinary Summit. Africa’s Entrepreneurs Confront Rising Non‑Tariff Trade Barriers New Five‑Year Development Strategy The Summit will unveil the 7th EAC Development Strategy (2026/27–2030/31) , setting the bloc’s course for deeper integration and socio‑economic transformation.
The European Investment Bank (EIB) Group invested €3.1 billion in Africa in 2025, backing projects aligned with national priorities and the EU Global Gateway initiative. The funding—representing a third of EIB Global’s total €9 billion international financing—aims to accelerate sustainable development, strengthen stability, and create jobs through strategic partnerships.
Kenya’s annual inflation rate eased to 4.3% in February 2026, down from 4.4% in January . This marks a seven‑month low and keeps inflation within the Central Bank of Kenya’s preferred 5% target range.
Gulf Energy E&P BV has contracted a state‑of‑the‑art onshore oil rig from the Middle East, to deliver first oil from Kenya’s South Lokichar Basin by year‑end 2026. Strategic Rig Acquisition The company has secured the GW70 rig , valued at more than US$15 million , from Great Wall Drilling Company (GWDC) in the United Arab Emirates under a long‑term lease.
Kenya successfully raised KSh106.3 billion ($824.1 million) from the initial public offering (IPO) of the state‑run Kenya Pipeline Company (KPC), according to Bloomberg. Uganda Secures Strategic Stake The IPO received a boost when the Uganda National Oil Company (UNOC) acquired a 20.15% stake for $255.4 million.
This was during the launch of the Manufacturing Priority Agenda (MPA) 2026 by the Kenya Association of Manufacturers (KAM) . Manufacturing contributes 7.3% to Kenya’s GDP , despite its central role in job creation, government revenue, innovation, exports, and linkages across agriculture, services, and logistics.
TradeMark Africa’s (TMA) 2024–25 Annual Report underscores the point: “Tariffs are no longer the main obstacle to Africa’s trade but rather non‑tariff measures. By May 2025, 47 NTB complaints had been registered across the East African Community (EAC), up from 31 the previous year.
China will grant zero‑tariff treatment to imports from 53 African countries with diplomatic ties to Beijing, beginning May 1, 2026. ─────────────────────────────────── 1‑Minute Key Insights ─────────────────────────────────── 📌 China opens its market Starting May 1, 2026, imports from 53 African countries will enter China duty‑free.
Africa is home to the world’s fastest‑growing youth population, with 532 million young people aged 15–35—more than 22% of the global cohort. This is according to the inaugural Africa Youth Employment Outlook 2026 has been released, marking the first in a series of reports designed to deepen understanding of Africa’s evolving youth labour market.
Kenya’s economy is expected to strengthen in 2026, with growth projected at 5.3%, up from 4.9% in 2025, according to the Diamond Trust Bank (DTB) Economic Outlook 2026 . “The outlook for 2026 is broadly positive with improving momentum across sectors.
Short Extension, Long Shadows AGOA, first enacted in 2000, has been a cornerstone of Africa–US trade, covering sectors such as fuel, agriculture, apparel, and automotive manufacturing. Its expiry in September 2025 had placed hundreds of thousands of jobs at risk , particularly in textiles and agribusiness.
Kenya’s private sector activity expanded in January 2026, but at a slower pace, as weaker demand in construction and wholesale and retail sectors weighed on overall momentum. The Stanbic Bank Kenya Purchasing Managers’ Index (PMI) fell to 51.9 in January from 53.7 in December , marking a four‑month low.
On Sunday, a Sudan Airways flight, flight operated by an Airbus A320-214 aircraft from Port Sudan touched down in Khartoum, carrying dozens of passengers. 🇸🇩 The first Sudan Airways flight from Port Sudan has landed in Khartoum with 160 passengers.
The Port of Mombasa handled 45.45 million metric tons of cargo in 2025, a 10.9% increase from 40.99 million tons in 2024. William Ruto, container traffic rose to 2.11 million TEUs , up 5.5% from 2.00 million TEUs in 2024.
Kenya’s annual consumer price inflation slowed to 4.4% in January 2026, down slightly from 4.5% in December 2025, according to the Kenya National Bureau of Statistics (KNBS). Key Drivers of Inflation Food & Non-Alcoholic Beverages rose 7.3% , remaining the biggest contributor to headline inflation.
East Africans Trade More as EAC Intra-Regional Commerce Hits USD 18 Billion Port of Mombasa Performance Highlights The Port of Mombasa remains a critical hub for East and Central Africa. In 2025, Rwanda’s market grew by 22%—equivalent to 156,107 metric tons—reaching 839,366 metric tons compared to 683,259 metric tons in 2024.
The decision follows Fitch’s downgrade of Afreximbank to one notch above junk status in 2024, a move that intensified scrutiny of the lender’s risk profile and raised borrowing costs. The termination marks Afreximbank’s most significant strategic move since George Elombi became president in 2025.
The decision follows a technical assessment that identified KES 99.68 billion ($772.7 million) in savings and found the route most suitable in terms of engineering feasibility and cost. Route Details The southern alignment will cover 489.57 kilometres from Nairobi to Kisumu, continuing to Malaba.
Renewed Confidence for Kenya’s Textile Sector Kenya’s textile and apparel industries, anchored in Export Processing Zones (EPZs), employ more than 80,000 workers directly and support an additional 250,000 indirectly . in Africa , with exports worth Kshs 60.6 billion ($470 million) in 2024.
Kenya’s financial and telecom regulators have endorsed the Government’s decision to divest part of its stake in Safaricom, describing the transaction as competitive, market‑friendly, and aligned with national priorities. “Divestiture of non‑core commercial functions allows the Government to concentrate managerial capacity and public expenditure on priority service areas, including infrastructure, health and education,” said CMA Chief Executive Officer Wycliffe Shamiah.
In a statement on Monday, 12 January 2026, CMA Chief Executive Officer Wyckliffe Shamiah confirmed that the system went live on 9 January 2026 and is accessible through the authority’s online portal. Kenya Equities Start 2026 Strong: Banking Stocks Lead Gains.
Prices rose 1.8%, driven largely by the top 10 most liquid counters, which advanced 2.3%. The NSE 25 and NSE 20 indices also posted gains of 2.1% and 1.3% respectively.
Kenya’s economy grew by 4.9% in the third quarter of 2025, up from 4.2% in the same period of 2024, even as the country’s external trade deficit widened sharply. Agriculture, Construction and Mining Lead Growth The agriculture, forestry, and fishing sector expanded by 3.2%, reinforcing its role as a key driver of Kenya’s economy.
Kenya’s private sector closed 2025 on a strong footing, with the Stanbic Bank Kenya Purchasing Managers’ Index (PMI®) posting 53.7 in December, signalling robust expansion in business conditions. The reading, alongside November’s 55.0 , marked the highest PMI levels in four years, underscoring resilience in demand, employment, and purchasing activity despite rising cost pressures.
Kenya’s inflation rate stood at 4.5% in December 2025, unchanged from November and remaining close to its highest level since June 2024. Despite persistent food price pressures, inflation stayed below the 5% midpoint of the Central Bank of Kenya’s (CBK) target range for the 19th consecutive month, underscoring continued macroeconomic stability.
On December 22, 2025, Kenya’s Capital Markets Authority (CMA) licensed Safaricom Plc and Airtel Money Kenya Limited as Intermediary Service Platform Providers (ISPPs). Safaricom and Airtel Market Shares According to the Communications Authority’s Q1 2025/2026 Sector Statistics Report: Safaricom leads with 65.3% of mobile subscriptions and an overwhelming 89.7% share of mobile money.
Kenya has entered into a $311 million ( KES 40 billion) Public-Private Partnership (PPP) with Africa50 and Power Grid Corporation of India to expand its electricity transmission network. The deal, announced by the Ministry of Finance and Kenya Electricity Transmission Company (KETRACO), comes as the country recorded a historic peak demand of 2,439 MW in December 2025 , underscoring the urgent need for grid stability to support industrial growth.
Kenya’s Draft 2026 Budget Policy Statement (BPS) shows a widening fiscal deficit, now projected at Kshs 1,106.1 billion, equivalent to 5.3% of GDP, compared to 4.7% in FY 2025/26. Expenditure Trends Total expenditure is projected at Kshs 4,641.9 billion , with recurrent expenditure at Kshs 3,431.2 billion (+9.5%) and development expenditure at Kshs 759.1 billion (+17.0%) .
Transaction Value and Market Confidence Net proceeds: $2.3 billion (approx. Kshs 296.5 Bn) after tax and transaction costs Valuation: Implied enterprise value of $4.8 billion (approx.
The Cabinet has approved the establishment of a KSh 5 trillion National Infrastructure Fund, a step in Kenya’s long-term plan to accelerate economic growth. Mobilising Capital for Long‑Term Growth Every shilling invested through the Fund is expected to crowd in up to Sh10 from long‑term investors such as pension funds, sovereign partners, private equity, and development finance institutions.
Through this partnership we are given the opportunity to pursue this goal and grow further to digitally enable Africa.” Ethiopia’s Digital Growth Trajectory Safaricom entered Ethiopia in 2021 , supported by Standard Bank as advisor and financier. According to the World Bank report , “Empowering Ethiopians by Laying the Digital Foundations for Economic Growth ,” between 2020 and 2024, at least 4 million new users gained internet access , raising coverage from 15% to 19% of the population.
Experts at the Africa Investment Conference (AfIC) 2025 in Nairobi stressed that Africa’s growth must be financed internally, urging governments to deepen local capital markets and reduce reliance on external aid. Experts warned that external loans alone cannot meet the continent’s $100 billion (Sh12.9 trillion) annual infrastructure gap.
Kenya: Growth Anchored in Public Spending and Services Kenya’s economy is forecast to expand 5.1% in 2026, supported by momentum from Q4 2025. According to NCBA’s December 2025 outlook, the near-term growth model rests on public expenditure, agriculture, and service sector resilience.
Since the beginning of 2025, Kenya has faced significant economic challenges, leading to the closure of numerous companies, while others have ceased operations or entered receivership. Angaza Kenya Ltd Voluntary Liquidation Angaza Kenya Ltd has commenced a members’ voluntary liquidation process, according to a public notice dated December 10, 2025.
Surge in New Orders and Sales Growth The upswing was anchored by the fastest rise in new business since 2020, as firms reported improved customer purchasing power and strong responses to new product launches and marketing campaigns. Firms are responding directly to the stronger demand environment.” Inflationary Pressures Ease, Costs Remain Mild Inflationary pressures remained mild, with input costs rising at the slowest pace in 18 months.
Kenya’s inflation eased slightly in November 2025, with headline inflation recorded at 4.5% year-on-year (y/y) compared to 4.6% in October 2025. Month-on-month (m/m), inflation stood at 0.2%, reflecting relative price stability across key consumer categories.
Kenya’s Largest-Ever PPP Road Project Under the new concessions, 233 km of road will be financed, expanded, and operated through a long-term Public–Private Partnership (PPP) worth KSh170 billion. 175 km Nairobi–Nakuru–Mau Summit (A8) 58 km Nairobi–Maai Mahiu–Naivasha section “This is a living demonstration of what happens when government stops trying to do everything alone and starts partnering with the private sector,” Ruto said in Kiambu County.
@MITIKenya pic.twitter.com/qnOqIAdDaa — Hon Lee Kinyanjui (@GovLeeKinyanjui) November 26, 2025 The EACJ suspended the EPA on November 24 after a civil society petition argued Kenya breached EAC procedures by proceeding without full regional alignment. EPA Negotiation Timeline To understand the stakes, it’s important to trace the EPA’s long journey: 2014: Negotiations on the EAC–EU EPA concluded.
Kenya’s economy is now expected to expand by 4.9% in 2025, up from 4.5% in May, according to the World Bank’s latest Kenya Economic Update. Construction Sector Recovery According to the development lender’s latest comprehensive assessment, several of Kenya’s main industries, particularly construction, faced difficulties throughout 2024.
Kenya has announced plans to keep its budget deficit at 4.9% of GDP in the 2026/27 fiscal year, broadly in line with the current year’s forecast of 4.8%. Chris Kiptoo emphasised fiscal sustainability during the launch of the FY 2026/27 budget process To cover the gap, the Treasury plans to raise Ksh241.8 billion ($1.86 billion) from external financing and Ksh775.8 billion from domestic sources .
Africa receives just 1–2% of global venture capital, despite holding nearly 20% of the world’s population. Their reflections, backed by the European Investment Bank’s (EIB) 2024/2025 Global Impact Report , offer a clear message: Africa has the talent and ambition.
The RMB Where to Invest in Africa 2025/26 report ranks 31 countries across 20 indicators grouped under four pillars: macroeconomic performance, market accessibility, innovation and stability, and human development. North Africa: Reform Momentum Builds Morocco: IMF projects 3.5% growth in 2026, supported by investments in transport, desalination, and renewable energy.
According to the African Private Equity and Venture Capital Association (AVCA), venture debt has overtaken equity investment for the first time, becoming the continent’s dominant source of startup capital in the first nine months of 2025. Equity vs Debt Financing Metric Q1–Q3 2025 YoY Change Equity Deal Volume 362 +17% (Q3 only) Equity Deal Value $1.4B Flat vs.
Foreign direct investment (FDI) flows to Africa fell sharply by 42% year-on-year, reaching just $28 billion in the first half of 2025, according to the latest Global Investment Trends Monitor released on October 31 by UN Trade and Development. That $35 billion initiative was backed by Abu Dhabi Developmental Holding Company , the UAE’s sovereign wealth fund.
Intra-EAC trade grew by 27%, rising from USD 14.2 billion to USD 18 billion between June 2024 and June 2025. During the same period, total EAC trade with the rest of the world increased by 22% , reaching USD 140.8 billion , up from USD 115.4 billion .
Kenya’s private sector recorded its strongest expansion since December 2021, with the Stanbic Bank Kenya Purchasing Managers’ Index (PMI) climbing to 52.5 in October, up from 51.9 in September. This marks the second consecutive month of growth and the highest reading since February 2022.
Kenya’s annual inflation rate remained unchanged at 4.6% in October, matching September’s figure , according to the Kenya National Bureau of Statistics (KNBS). Month-on-month inflation also held steady at 0.2%, signalling price stability across key consumer categories.
The transaction allocates USD 30 million to CBL and USD 15 million to SBC Kenya, reinforcing Stanbic’s commitment to regional growth through innovative, cross-border financing. With major investments in infrastructure, distribution, and technology, Kenya is emerging as the strategic heart of PepsiCo’s operations in the $1.87 billion Eastern African market.
In a statement issued on October 21, the EAC declared: “Kenya-Uganda Expressway good to go. Movement between Kenya and Uganda via the Northern Corridor is set for transformation.” The expressway will span nearly 200 kilometres, connecting Kisumu and Busia in Kenya to Kakira and Malaba in Uganda.
The ETF raised TZS 6.8 billion, surpassing its initial target of TZS 5 billion by 36%, signalling strong investor appetite for innovative financial products.
According to the Absa Africa Financial Markets Index 2025 , while only 10 of 29 countries improved their scores, deeper analysis shows significant progress in foreign exchange reforms, climate finance, and product innovation. Progress Despite Global Headwinds The past 12 months have tested Africa’s financial systems.
Mauritius-based private equity firm Adenia Partners has received regulatory clearance from the Competition Authority of Kenya (CAK) to acquire 100% of Minet (Mauritius) Holdings Ltd through its investment vehicle, Bima Holdings Ltd. Minet Kenya, the local arm of the pan-African insurance group, holds approximately 6% of the general insurance brokerage market, less than 1% in long-term insurance, and 4.89% in pension administration, according to CAK.
With 1.4 billion people and vast natural resources, the continent holds immense potential. Yet it contributes less than 3% to global trade and GDP, despite accounting for 17% of the world’s population.
Kenya’s private-sector credit stock surged to an all-time high of KSh 3.96 trillion in September 2025, signalling a full recovery from the lending slowdown that gripped the economy through 2024. According to the Central Bank of Kenya (CBK), credit to the private sector grew by 5.0% year-on-year—up from 3.3% in August and a contraction of -2.9% in January.
Kenya has finalised a currency conversion deal with China for its Standard Gauge Railway (SGR) loans, a strategic move expected to save the country approximately $215 million (Ksh27.79 billion) annually in debt servicing. Kenya had borrowed $5 billion (Ksh646 billion) from the Export-Import Bank of China to finance the SGR line from Mombasa to Nairobi.
Bilateral trade between China and Africa surged to $222.05 billion in the first eight months of 2025, marking a 15.4% year-on-year increase, according to China’s General Administration of Customs. The growth was driven primarily by a sharp rise in Chinese exports to Africa, which jumped 24.7% to $140.79 billion.
“We are conducting a strategic review of our African businesses to assess how best to maximise shareholder value,” the company stated in its FY25 preliminary results. Strategic Moves and Divestments The review comes shortly after PZ Cussons sold its 50% stake in the PZ Wilmar edible oils joint venture , a divestment aimed at exiting non-core categories, reducing exposure to Nigeria, and strengthening its balance sheet.
Kenya’s headline inflation edged up to 4.6% in September 2025, slightly higher than August’s 4.5%, according to the Kenya National Bureau of Statistics (KNBS). “Annual consumer price inflation as measured by the Consumer Price Index (CPI) was 4.6 per cent in September 2025.
It’s the 15th DRC-focused mission out of 40 conducted by Equity Group in the past four years. Agriculture: Mechanisation Meets Market Demand Delegates toured Jambo Farming Company , a 4,500-hectare maize farm planning to expand into wheat.
Uganda plans to borrow $358 million in loans from regional and international lenders to fund key infrastructure projects—including a high-voltage electricity transmission line to South Sudan. The financing plan, presented to Parliament by junior finance minister Henry Musasizi on September 16, 2025, is part of the country’s broader push to monetise its surplus power and deepen regional connectivity.
The Government of Kenya has committed KSh 41 billion to expand the Port of Mombasa, aiming to increase cargo throughput, reduce dwell time, and enhance regional trade efficiency. The investment forms part of the country’s Vision 2030 infrastructure agenda and reinforces Kenya’s role as a strategic maritime gateway for East and Central Africa.
Sanlam Kenya Plc has scheduled a virtual Extraordinary General Meeting (EGM) for Thursday, 9 October 2025, seeking shareholder approval to rebrand as Sanlam Allianz Holdings (Kenya) Plc . The transaction included: Kenya, Uganda, Mauritius: 34% stake each Burundi: 19% Tanzania: 15% Allianz initially entered East Africa in 2020 through a KSh 10.8 billion acquisition of 51–66% stakes in Jubilee’s general insurance units, injecting KSh 7.75 billion in cash.
Ethiopia, with over 120 million people and low banking penetration, is emerging as a priority market for regional lenders. James Mwangi on facilitating the bank’s expansion into Ethiopia’s financial services market KCB Group Targets Early Market Entry KCB Group, led by CEO Paul Russo, is exploring acquisition opportunities and seeking exemptions from Ethiopia’s 49% foreign ownership cap.
Kenya’s foreign exchange reserves rose by USD 268 million this week to USD 11.17 billion, equivalent to 4.9 months of import cover, marking a notable improvement in the country’s external position. Diaspora Remittances and Export Resilience Bolster External Buffers The Central Bank of Kenya (CBK) reported USD 426.1 million in diaspora remittances for August, sustaining a 12-month cumulative growth of 9.4% to USD 5.08 billion.
In a market where short-term debt often stifles innovation, PE/VC is offering patient capital, strategic technical support and guidance, and capacity building to ensure resilience, especially during economic shocks like COVID-19. The result: more jobs, deeper market access, and inclusive growth aligned with Kenya’s Vision 2030 .
Kenya has been ranked 58th globally in the Global Startup Ecosystem Index 2025 , marking its debut in the top 60 and reinforcing its reputation as one of the most business-friendly nations worldwide. Sub-Saharan Leader in Ecosystem Growth The country rose five places from last year’s 63rd position, recording a 33.5% annual ecosystem growth—the highest among Africa’s top five startup nations.
Located on the Blue Nile, the dam stretches 1,800 meters wide and stands 175 meters high. It is capable of holding back up to 74 billion cubic meters of water, forming a reservoir that covers an area larger than the city of London.
Border agencies were directed to maintain a maximum queue of four kilometres at Malaba and 500 metres at Busia while ensuring 24/7 operations. Tanzania Introduces $90 Travel Tax for International Passengers Starting November 2025 Kenya Uganda trade barrier.
Kenya’s headline inflation rose to 4.5% year-on-year in August 2025, up from 4.1% in July, marking the highest level since June 2024. “The annual consumer price inflation as measured by the Consumer Price Index (CPI) was 4.5% in August 2025.
The ninth Tokyo International Conference on African Development (TICAD 9) concluded with commitments to accelerate Africa’s transformation under the African Union’s Agenda 2063 , positioning Japan as a key development partner amid waning Western aid. Strategic Financing and Infrastructure Commitments Japan pledged $5.5 billion in loans to African nations, countering recent aid cuts by the US and UK.
Kenya’s infrastructure sector made notable strides in H1 2025, with the government allocating KSh 217.3 billion for road development, a 12.3% increase from the previous fiscal year. This investment signals a strategic pivot toward long-term connectivity and economic stimulation, with Public-Private Partnerships (PPPs) playing a central role in unlocking capital and accelerating delivery, according to Knight Frank Kenya’s Market Update H1 2025.
External data revisions, coupled with strong performances in coffee exports and diaspora remittances, supported a narrowing of Kenya’s current account deficit to 1.3 per cent of GDP in 2024, from 2.6 per cent in 2023,” the agency stated. Foreign Exchange Reserves rose to a record-high USD 11.2 billion (KSh 1.5 trillion) in July 2025, up from USD 6.6 billion (KSh 852.9 billion) at the end of 2023.
Yellow Card, Africa’s leading stablecoin infrastructure provider, has released its 2025 Impact Report , revealing a sharp rise in stablecoin usage across sub-Saharan Africa. Kenya joins Nigeria, South Africa, Ghana, Zambia, Ethiopia, and Uganda as key growth markets, with stablecoins now accounting for 43% of total crypto transaction volume in the region.
Business conditions in Kenya’s private sector weakened at the fastest pace in a year, with the Stanbic Bank Kenya Purchasing Managers’ Index™ (PMI®) falling to 46.8 in July from 48.6 in June. Key Sector Insights Private sector activity declined for a third straight month, registering the sharpest contraction since July 2024.
The East African Community (EAC) on Monday, August 4, officially launched the EACBond, a transformative customs guarantee mechanism designed to simplify the movement of goods across Partner States. SCT Framework: The Backbone of EACBond The EACBond is anchored in the Single Customs Territory (SCT) framework, introduced in 2014 to harmonise customs procedures across the region.
The Cabinet has formally approved the partial privatisation of Kenya Pipeline Company (KPC), setting the stage for its Initial Public Offering (IPO) on the Nairobi Securities Exchange (NSE) by September 2025. The decision, reached during a Cabinet meeting on July 29 , reinstates KPC into the government’s privatisation programme and marks a shift in Kenya’s economic governance.
Kenya’s annual inflation rate rose to 4.1% in July 2025, up from 3.8% in June, marking a three-month high and matching the peak reached in April. Monthly inflation eased to 0.1% in July, down from 0.5% in June, offering a brief reprieve.
This comes in the wake of Kenya’s formal protest against Tanzania’s newly enacted Business Licensing Order , which bars non-citizens from operating in 15 key sectors—including mobile money services, tour guiding, and micro-enterprise ownership. Trade Growth Persists Amid Non-Tariff Barrier Concerns Despite mounting tensions, intra-EAC trade continues to grow, reaching $74.03 billion in 2024, led by Kenya and Uganda.
Kenya has protested Tanzania’s newly enacted trade and licensing restrictions targeting non-citizens, warning that the measures undermine the East African Community’s (EAC) integration agenda. Trade Cabinet Secretary Lee Kinyanjui described the move as “discriminatory” and a violation of the EAC Common Market Protocol.
To safeguard local entrepreneurship and strengthen oversight of critical economic sectors, the Tanzanian government has banned non-citizens from operating in 15 designated small- and medium-scale business categories, effective immediately. Offenders face penalties of up to TZS 10 million (~USD 3,900) , six-month imprisonment , and revocation of work permits and visas .
Starting August 8, 2025, the Nairobi Securities Exchange (NSE) will enable the buying and selling of shares in single units, following regulatory approval of amendments to its Equity Trading Rules. This marks a major shift in Kenya’s capital markets, eliminating the requirement for minimum trade sizes—previously a barrier for many individual investors—and allowing shares to be traded in multiples of one (1).
Shri Krishana Overseas Limited (SKL) made history on 24th July 2025 by listing on the Nairobi Securities Exchange (NSE) SME segment, marking the first listing in five years since Homeboyz Entertainment Plc in 2020. The company floated 50.5 million ordinary shares at Kshs 5.90 each (par value: Kshs 0.20), with 8.7 million shares available to the public.
Linzi Finco LLP has listed the Linzi 003 Infrastructure Asset-Backed Security (IABS) valued at KSh 44.79 billion on the Nairobi Securities Exchange (NSE), marking one of East Africa’s largest and most innovative securitisation deals to date. The listing, backed by future revenues from the Talanta Sports City Stadium—a flagship project for Kenya’s AFCON 2027 ambitions—was officiated during a bell-ringing ceremony attended by President William Ruto on Wednesday.
Kenya’s domestic debt market is gaining fresh momentum as the Central Bank of Kenya (CBK) reopens two infrastructure bonds (IFBs), aiming to raise KSh 90 billion to fund priority projects in the 2025/26 fiscal year. Running from July 21 to August 13, the auction reintroduces two long-term, tax-exempt bonds—IFB1/2018/015 and IFB1/2022/019—as investors seek higher-yield opportunities in a subdued T-bill environment.
This marks Kenya’s first equity-based exchange-traded fund (ETF) and only the second ETF listed on the NSE after Absa’s NewGold ETF debut in 2017. Dual Listing Bridges Global Exposure Originally listed on the Johannesburg Stock Exchange (JSE) in 2017, the Satrix MSCI World ETF is now dual-listed, available for trading in Kenyan shillings (KES).
Satrix, South Africa’s leading provider of index-tracking solutions, will list its MSCI World Feeder ETF on the Nairobi Securities Exchange (NSE) on Wednesday, July 16, 2025. This listing marks Kenya’s first equity-based exchange-traded fund (ETF) and only its second ETF overall, following Absa’s NewGold ETF launched in 2017.
Somalia will launch its first stock exchange, the National Securities Exchange of Somalia (NSES), in early 2026, trading equities and government-issued sukuk bonds to integrate into regional and global financial markets.
The Central Bank of Kenya (CBK) released its May 2025 CEO Survey, highlighting growing unease among Kenyan businesses due to recent U.S. trade tariffs and policy shifts,” with 61% of surveyed CEOs reporting operational disruptions.
The Energy and Petroleum Regulatory Authority (Epra) has revised fuel prices in Kenya upwards, effective from 15 June 2025 to 14 July 2025. The maximum price for Super Petrol increased by Ksh 2.69 per litre to Ksh 177.32, while Diesel and Kerosene prices decreased by Ksh 1.95 and Ksh 2.06 per litre, respectively, to Ksh 162.91 and Ksh 146.93 per litre.
Fiscal Consolidation and Revenue Strategy The 2025/26 fiscal deficit is forecast at 4.8% of GDP (Ksh 923.2 billion), down from an estimated 5.7% (Ksh 997.5 billion) in 2024/25. Total expenditure is projected at Ksh 4,291.9 billion, or 22.3% of GDP.
Chinese President Xi Jinping has declared that China will extend zero-tariff treatment to 100% of tariff lines for all 53 African countries with which it maintains diplomatic relations.
The World Bank forecasts sub-Saharan Africa’s economic growth to rise slightly to 3.7% in 2025, up from 3.5% in 2024. The Middle East and North Africa are expected to see growth accelerate to 2.7% in 2025 and further to 4.1% by 2027, largely due to expanding oil production offsetting lower prices and trade constraints.
Kenya’s private sector saw its seven-month streak of improving business conditions pause in May 2025, with rising prices driving reduced consumer spending and a slight output contraction. The Stanbic Kenya Purchasing Managers’ Index (PMI) fell from 52.0 in April to 49.6 in May, dipping below the 50.0 no-change threshold for the first time since September 2024.
Kenya’s inflation rate fell to 3.8% year-on-year in May 2025 from 4.1% in April, the Kenya National Bureau of Statistics (KNBS) reported on Friday. On a month-on-month basis, inflation rose by 0.5% in May, up from 0.3% in April.
Kenya’s economic growth slowed to 4.7% in 2024 from 5.7% in 2023 , driven by global headwinds, tight financial conditions, and fading post-pandemic momentum. This marked the weakest annual expansion since the 2020 pandemic-induced contraction of -0.3% and, excluding that year, the slowest since 2013’s 3.8% growth amid post-election uncertainty.
Kenya’s private sector recorded its strongest growth in 27 months in April, driven by robust sales and heightened business activity, according to the Stanbic Bank Kenya Purchasing Managers’ Index (PMI) released on Tuesday. PMI Signals Robust Expansion The PMI rose to 52.0 from 51.7 in March, marking its highest level since January 2023.
Kenya’s inflation rate rose to 4.1% year-on-year in April, up from 3.6% in March , according to the Kenya National Bureau of Statistics (KNBS). On a monthly basis, inflation was 0.3% in April.
On Tuesday, Kenya’s Cabinet approved the Finance Bill, 2025, and announced plans to reduce the proposed Sh4.3 trillion 2025/26 budget to enhance fiscal discipline and economic stability. Chaired by President William Ruto at State House, Nairobi, the Cabinet endorsed measures to lower the fiscal deficit to 4.5% of GDP in 2025/26 , down from 5.3% in 2023/24 and 5.1% in 2024/25, targeting 2.7% in the medium term.
Everstrong Capital, a US-based infrastructure investment firm operating in Kenya, has confirmed that construction of the 440-km Nairobi-Mombasa Expressway will begin in Q1 2026. The announcement was made by Senior Advisor Kyle McCarter on April 25, following a meeting with former Kenyan Prime Minister Raila Odinga, where they discussed the critical need for enhanced African infrastructure.
Recent Trade Disruptions (2024–2025) In March 2025, Malawi imposed a ban on imports of Tanzanian flour, rice, ginger, bananas, and maize to protect local producers. In April 2025, Tanzania retaliated by banning all agricultural imports from Malawi and South Africa, halting fertiliser exports to Malawi, and suspending transit rights for Malawian cargo through Tanzanian ports .
Introduced in 2005 by the Asian Development Bank (ADB) and the International Finance Corporation (IFC), the panda bond market has grown steadily, becoming a key tool for international financial integration.
Betting Frequency and Demographics The survey, which sampled 3,070 youth across six African countries, found that the majority of Kenyan bettors are young and urban, with 72% male and 28% female respondents. Age distribution was 40% (18-24), 46% (25-34), and 14% (over 35).
Kenyan President William Ruto signed a $1 billion agreement with China during a five-day state visit to Beijing, aimed at deepening the strategic partnership between the two nations. The agreement allocates $950 million to priority areas: $320 million for manufacturing , $430 million for agriculture, and $230 million for tourism.
It will lead NTB identification, reporting, and resolution via regional mechanisms like the EAC NTB Mobile Application, the Tripartite Online Reporting Platform , and quarterly national coordination meetings. EAC Deputy Secretary General Annette Ssemuwemba stated, “The launch of the National Monitoring Committee is more than a procedural step; it is a symbol of institutional readiness and a shared commitment to unlocking regional trade opportunities.
The International Monetary Fund projects sub-Saharan Africa’s GDP growth to slightly decline from “4% in 2024 to 3.8% in 2025,” according to the latest World Economic Outlook. Kenya’s economy benefited from a strengthening shilling (“appreciated by about 21% in 2024”), and its GDP is forecast to reach “$132 billion” in 2025.
Juma Mukhwana, Principal Secretary, State Department for Industry, noted, “Africa, with 17% of the world’s population, contributes only 3% of global manufactured goods, and intra-African trade is just 15%. This strategy addresses non-tariff barriers to boost continental trade.” As global trade evolves, the RTM Strategy 2025–2027 provides a forward-looking framework, establishing Kenya as a hub for high-value manufacturing and sustainable exports.
This figure is projected to exceed US$1 trillion by 2032, a milestone signifying more than just economic expansion. By 2030, Gen Z will become the first generation in modern history whose global spending power is no longer primarily concentrated in the Global West (comprising North America, Europe, and select advanced economies).
Kenya’s current account deficit for the 12 months ending February 2025 narrowed slightly to 3.1% of gross domestic product (GDP), an improvement from the 3.3% recorded during the same period in 2024. Revised balance of payments data for Kenya Indicator Change (%) Details Current Account Deficit -0.2 Narrowed to 3.1% of GDP (Feb 2025) from 3.3% (Feb 2024), driven by improved exports and remittances.
Kenya’s private sector activity expanded at its fastest rate in ten months in March, with the Stanbic Bank Kenya Purchasing Managers’ Index (PMI) rising to 51.7 from 50.6 in February. This was the highest reading since May 2024, indicating growth (readings above 50.0).
The United States has implemented a 10% import tariff on goods from Kenya, among 185 other countries, through a new executive order. US President, Donald Trump, has announced sweeping reciprocal tariffs including the 10.0% baseline tariff applying to economies such as Kenya.
Kenya’s inflation rate rose to 3.6% in March, marking a fifth consecutive monthly increase from 2.7% in October, according to the Kenya National Bureau of Statistics (KNBS). This increase from 3.5% in February was primarily driven by rising food and non-alcoholic beverage prices.
The Kenyan government is launching a targeted textile and apparel skills enhancement program to address youth unemployment, focusing on 15 designated Technical and Vocational Education and Training (TVET) institutions. According to the Kenya Federation of Employers, despite an overall national unemployment rate of 12.7 per cent, youth, representing 35 per cent of the population, face a disproportionately high unemployment rate of 67 per cent.
The decision is based on Cabinet Resolutions 129 of 2024 and 104 of 2021, and recommendations from a Sovereignty Council committee tasked with addressing Kenya’s hosting of the RSF. Economic Impact According to statistics from the Tea Board of Kenya (TBK), in the year to December 2024, Sudan was the 12th largest importer of Kenyan tea with 10.7 million kilograms in exports worth Ksh 2.3 billion.
Kenya’s GDP is projected to grow by 4.9 per cent in 2025, driven by a sectoral shift from agriculture to construction and financial services, according to Absa Bank. Absa Bank Senior Economist Phumelele Mbiyo predicts inflation will average 4.5 per cent, with core inflation remaining stable at around 2 per cent since July 2024.
The report engaged 28 public relations agencies from at least fifteen (15) countries, representing North, South, East, and West Africa, along with insights from industry thought leaders and the general public. Additionally, economic instability and high client expectations with limited budgets impact 12.35% of respondents each, while budget constraints remain a recurring issue for 11.11% of professionals in the industry.
Kenya’s annual consumer inflation increased for the fourth consecutive month, reaching 3.5% in February from 3.3% in January , according to the Kenya National Bureau of Statistics (KNBS). The primary driver was a rise in food prices, with the Food and Non-Alcoholic Beverages index increasing by 0.6% between January and February and showing a 6.4% annual increase.
Kenyan businesses are facing significant headwinds, including rising operational costs, unpredictable taxation, and limited access to affordable credit, which CEOs warn could impede economic recovery in 2025. A Central Bank of Kenya (CBK) survey conducted between January 13-24, 2025, of over 1,000 CEOs revealed that while there is optimism about future economic prospects, these persistent challenges are creating substantial uncertainty.
Moving an average of 3,820 tonnes of cargo weekly, the airline supports African trade by connecting manufacturers, traders, and exporters to global markets. “Africa has been a priority for Emirates SkyCargo since 1986,” said Khalid Al Hinai, VP Cargo Commercial – Africa, UAE, and Middle East.
Industry leaders convened at the Sarit Expo Centre in Nairobi for the Air Cargo and Transport Logistics Africa 2025 conference, focusing on multimodal transport solutions. African airline cargo demand up 8.5% in 2024 According to IATA’s 2024 analysis, African airlines saw an 8.5% year-on-year increase in air cargo demand, coupled with a 13.6% rise in cargo capacity.
Kenya projects a slightly reduced budget deficit for the 2025/26 fiscal year (July-June), according to the Ministry of Finance’s February Budget Policy Statement. The deficit is forecast at 4.3% of GDP, down from 4.9% in 2024/25.
The Kenyan government has approved additional spending of KSh199 billion in the second supplementary budget, a nearly threefold increase from the KSh67 billion that the Draft Budget Policy Statement for 2025 had proposed. This is significant, though lower than previously reported, and still exceeds the projected revenue shortfall following the withdrawal of the Finance Bill 2024.
The United Nations Conference on Trade and Development (UNCTAD) says urgent infrastructure investments and effective trade policies are needed to unlock the full potential of the African Continental Free Trade Area (AfCFTA), which could create a $3.4 trillion trading market. “Africa faces serious challenges—from volatile global markets and high debt costs to infrastructure gaps,” said Rebeca Grynspan, Secretary-General of UNCTAD, at the launch of the 2024 Economic Development in Africa Report .
US-based infrastructure investment firm Everstrong Capital has initiated efforts to secure Kshs 452.2 billion from Kenyan pension funds to finance the construction of the 440-kilometer Nairobi-Mombasa Expressway. With Kenyan pension funds holding substantial assets, amounting to Kshs 2.0 trillion as of June 2024, Everstrong’s initiative represents a significant shift towards domestic capital mobilization for large-scale infrastructure projects.
XTransfer, a leading China-based B2B cross-border trade payment platform, and Ecobank Group, a leading pan-African bank, have entered into a strategic partnership to enhance cross-border trade for African SMEs. The Ecobank Single Market Trade Hub connects registered businesses across Africa on a single platform, helping them benefit from opportunities in the unified market of 1.4 billion people created by the African Continental Free Trade Agreement (AfCFTA).
PMI, which tracks private sector activity, edged down to 50.5 in January from 50.6 in December, remaining above the 50-point mark that separates growth from contraction. “While the PMI remained above the 50-point mark, indicating continued growth, the pace of expansion softened slightly,” said Christopher.
Thirty African leaders signed a landmark declaration committing to concrete reforms to expand access to reliable, affordable, and sustainable electricity across the continent during the Mission 300 Africa Energy Summit in Dar es Salaam, Tanzania. Mission 300 aims to connect 300 million Africans to electricity by 2030, boosting economic growth, employment, and quality of life.
Kenya’s overall inflation rate edged upwards to 3.3% in January 2025, from 3.0% in December 2024, according to the Kenya National Bureau of Statistics (KNBS). Food inflation accelerated to 6.1% in January, compared to 4.8% in December, primarily due to significant price increases in vegetables such as tomatoes (up 17.9%) and onions (up 6.8%).
“The Single Customs Territory was established in 2014 to simplify and automate the movement of goods across the EAC,” said Nduva. Nduva highlighted the significant impact of other SCT initiatives, including the establishment of over 15 One-Stop Border Posts , which have reduced border crossing times by 70% and saved $63 million annually.
Kenya has operationalized seven new border posts to enhance international trade and security, Commissioner for Customs and Border Control at the Kenya Revenue Authority (KRA), Lilian Nyawanda, announced during International Customs Day (ICD) 2025 celebrations in Nairobi. “The new border posts will deploy advanced technology to enhance regional trade facilitation to significantly reduce cargo clearance times and increase trade volumes,” Nyawanda said during International Customs Day 2025 celebrations in Nairobi.
The National Treasury projects that Kenya’s economy will grow 5.3% in 2025, slightly lower than the Central Bank of Kenya’s December 2024 prediction of 5.5%. On December 5, 2024, the Central Bank of Kenya projected economic growth of 5.5% in 2025 and 5.1% in 2024, primarily driven by the resilience of key service sectors, agriculture, and improved exports.
The National Treasury has unveiled a KSh 4.4 trillion budget proposal for the 2025/26 financial year, a significant increase from the 2024/25 budget. “The total budget for FY 2025/26 is projected at KSh 4,485.7 billion.
The original SGR project, initiated under China’s Belt and Road Initiative, stalled in 2019, ending 468 kilometres at the Malaba border. The 475-kilometer Naivasha-Malaba extension, set to commence in 2025 at an estimated cost of 648 billion shillings, is crucial for connecting Uganda to the vital Mombasa port.
The Kenya National Bureau of Statistics (KNBS) released the 2024 Gross County Product (GCP) Report , providing a comprehensive analysis of economic activity across Kenya’s 47 counties. Nairobi City emerged as the undisputed economic powerhouse, contributing a substantial 27.5% to the national GDP.
Diesel prices rose by Ksh2.0 per liter, increasing input costs for agriculture and potentially driving up food prices. In its announcement, the regulator noted that the maximum allowed petroleum pump prices for Super Petrol, Diesel, and Kerosene increased by Ksh 0.29 per litre, Ksh 2.0 per litre, and Ksh 3.0 per litre respectively.
Kenya’s manufacturing sector experienced a slight slowdown in the third quarter of 2024, recording real GDP growth of 2.3 per cent, down from 2.8 per cent in the same period of 2023. Output rose from 77,686 metric tonnes in Q3 2023 to 231,052.6 metric tonnes in the review period, a substantial increase.
The Kenyan economy experienced a significant slowdown in the third quarter of 2024, with GDP growth decelerating to 4%, marking the slowest pace in four years. This figure fell short of the Central Bank of Kenya’s forecast of 5.2%, raising concerns among market observers.
Kenya’s private sector activity showed marginal improvement in December 2024, with the Purchasing Managers’ Index (PMI) edging down slightly to 50.6 from 50.9 in November. Readings above 50.0 signal an improvement in business conditions in the previous month, while readings below 50.0 show a deterioration.
The Kenyan Treasury experienced robust demand for its securities in FY2024. Treasury bills, particularly the short-term 91-day bills, were highly sought after by investors, reflecting a preference for minimizing interest rate risk.
Uganda, along with eight other countries, officially joined BRICS as a partner state on January 1, 2025. Four more countries have been invited and will be announced by the 2025 BRICS presidency (Brazil).
Kenya’s annual inflation rate increased marginally to 3.0% in December 2024, from 2.8% in November, remaining within the Central Bank of Kenya’s target range of 2.5% to 7.5%. According to the Kenya National Bureau of Statistics (KNBS), the Food and Non-Alcoholic Beverages index increased by 0.7% between November and December.
Ethiopia, home to over 120 million people and boasting one of sub-Saharan Africa’s largest economies, has gradually opened its tightly controlled economy since Prime Minister Abiy Ahmed assumed power in 2018. However, the law imposes a 40% cap on foreign strategic investors’ ownership in any local bank.
This is despite easing inflation trends throughout much of 2024. While 43% of surveyed banks and non-banking institutions attribute the rising food and beverage costs to seasonal festive demand, data from the Kenya National Bureau of Statistics (KNBS) provides a more granular picture.
A recent report by the Common Market for Eastern and Southern Africa (COMESA) Competition Commission reveals that oil firms in the region, including Kenya, overcharged consumers by KSh 67.7 billion between July 2021 and December 2022. The report, Vegetable Oil Value Chain in East and Southern Africa”, indicates that Kenyan manufacturers sold cooking oil at an average price of KSh 333 per litre, significantly exceeding the fair price of KSh 274 per litre.
The World Bank has downgraded its economic growth forecast for Kenya to 4.7% from an initial 5.0%, citing the impact of floods, anti-government protests, and faltering fiscal consolidation efforts. While the revised growth estimate for 2024 is lower than last year’s 5.6%, it is still projected to exceed the sub-Saharan Africa average of 3.0%.
The Stanbic Bank Purchasing Managers’ Index (PMI) for Kenya rose to 50.9 in November from 50.4 in October, indicating a marginal improvement in business conditions. A PMI reading above 50 signifies an expansion in business activity.
Kenya’s inflation rate climbed to 2.8% in November 2024, up from 2.7% in October. On a monthly basis, inflation accelerated to 0.3% in November, compared to 0.2% in the previous month.
“We have invested heavily in recent years in Africa, where we have operated for 170 years, and which remains core to our global network. Access Bank Gets Nod to Acquire NBK, Must Retain 80% of Staff Standard Chartered.
167 million into Kenya’s nighttime economy in 2023, according to its inaugural Economic Impact Report. Key Findings Driver Earnings: Uber enabled drivers to earn an estimated additional KSh 2.2 billion annually, a 37% increase compared to alternative options.
The headline Purchasing Managers’ Index (PMI) rose to 50.4 in October from 49.7 in September, indicating a marginal upturn in the health of the private sector. A PMI reading above 50.0 signals growth, while below that level indicates contraction.
A new report by pan-African market insights firm Stears reveals that Africa’s financial services sector has emerged as the most attractive for investors, according to Stears Private Capital in Africa Report: Q3 2024. In the third quarter of 2024, financial services accounted for 33% of all private capital deals, surpassing other sectors like consumer goods and energy.
However, Kenya outperformed Ghana, Zambia, Uganda, and Angola in the index, which surveys 10 key sub-Saharan African economies. High interest rates, with the Central Bank of Kenya’s base lending rate reaching a 12-year high of 13%, further exacerbated the situation.
The International Monetary Fund (IMF) Executive Board has approved the seventh and eighth reviews of Kenya’s economic program, unlocking a $606 million loan disbursement. Kenya and IMF staff reached an agreement on the seventh review of the $3.6 billion program in June.
Kenya’s inflation rate dipped to a 14-year low of 2.7% in October, down from 3.6% in September, driven by a decline in food, electricity, and fuel prices, the statistics office announced on Thursday. “During the same period, however, prices of 50 kWh of electricity and 200 kWh of electricity increased by 0.3% and 0.2% respectively,” KNBS stated in its monthly inflation report.
Capital A has solidified its position as a leading investment firm, particularly in the bonds market, where it holds a market share of 20.8% as of September 2024. With a transaction value of KES 55.2 billion, the company has attracted significant investment flows and contributed to the vibrancy of the market.
The Kenya Electricity Transmission Company Limited (KETRACO) has signed a Sh95.68 billion ($736 million) agreement with Adani Energy Solutions Limited to build and operate four electricity transmission lines and two substations in Kenya. The 30-year agreement aims to address the country’s persistent power outages and enhance its electricity infrastructure.
The integration of pay bills and till numbers with the Kenya Revenue Authority (KRA), which takes effect on December 25, 2024, is expected to simplify the tax reporting process for businesses and individuals. Ultimately, integrating technology will not only boost tax collection but also foster trust and transparency within the tax system,” KRA Director General Wattanga said during the 2024 KRA Annual Summit.
The Central Bank of Kenya (CBK) has revised its 2024 economic growth forecast downward to 5.1% from 5.4%, citing a slowdown in various sectors during the second quarter. The deterioration was mainly on the back of anti-finance bill protests which paralyzed economic activity in the month of July, with July PMI coming in at a low of 43.1.
Kenya’s balance of payments surplus narrowed to KShs 84.1 billion in Q2 2024 from KShs 152.9 billion in Q2 2023, a significant improvement in the country’s trade position. This positive trend was primarily driven by a narrower current account deficit, which decreased by 34.5% to KShs 104.1 billion, the Kenya National Bureau of Statistics (KNBS) has released the Q2 2024 Balance of Payments report.
Edible oil manufacturers in Kenya have attributed the recent increase in cooking oil prices to a new 10% import duty on crude palm oil imposed by the East African Community (EAC) in June 2024. President William Ruto’s administration implemented the 10% import duty on crude palm oil.
Kenya’s economic growth rate dipped to a two-year low in the second quarter of 2024. Data from the Kenya National Bureau of Statistics (KNBS) said the country’s GDP expanded by 4.6%, down from 5.6% in the same period of the previous year.
The Stanbic Bank Kenya Purchasing Managers’ Index (PMI) fell to 49.7, indicating contraction for the third time in four months. Readings above 50.0 signal an improvement in business conditions in the previous month, while readings below 50.0 show a deterioration.
Kenya’s headline inflation rate dropped below the 4.0% mark for the first time in five years. According to data released by the Kenya National Bureau of Statistics (KNBS), the inflation rate in September 2024 stood at 3.6% from 4.4% , the lowest level since July 2010.
The company has opted for early redemption of its KSh5.7 billion green bond, issued in 2019. The bond, held by Acorn Student Accommodation (ASA) Development Reit, has been paying an annual interest rate of 12.5%.
China has pledged to provide $50.6 billion in funding to support its 10-point initiative for Africa over the next three years. This includes $21 billion in loans, $8 billion in aid, and $7 billion in Chinese company investments.
The Stanbic Bank Kenya Purchasing Managers’ Index (PMI) rose to 50.6 in August from 43.1 in July, indicating a slight expansion in business conditions. The July PMI reading of 43.1 reflected the effects of the protests, which disrupted business activities.
Kenya’s inflation rose marginally to 4.4 per cent in August from 4.3 per cent in July according to the statistics office on Friday. The Kenya National Bureau of Statistics (KNBS) data showed that on a month-on-month basis, inflation was flat at 0.0% from -0.2% in July.
It is a direct consequence of President William Ruto’s decision to abandon the Finance Bill 2024, which aimed to generate Ksh346 billion through new taxes. This move followed widespread protests that resulted in the tragic loss of over 61 lives, highlighting the mounting public unrest and social pressure the government faces in its efforts to consolidate its fiscal position.
Mbadi will chair the Steering Committee on MTRS implementation to ensure progress towards achieving a tax-to-GDP ratio of 20%. The Central Bank of Kenya (CBK) estimates real GDP growth for the second quarter at 5.4%, while the headline Purchasing Managers’ Index (PMI) averaged 49.7 during the same period.
The Energy and Petroleum Regulatory Authority (EPRA) has maintained fuel prices for the period August 15 to September 14, 2024. Super petrol will continue to retail at Ksh188.84, diesel at Ksh171.60, and kerosene at Ksh161.75 per litre in Nairobi.
The African Export-Import Bank (Afreximbank) has announced plans to significantly increase its financing for intra-African trade from $20 billion in 2021 to $40 billion by 2026. As a result, the Pan-African multilateral financial institution has committed $1 billion to support African nations in adapting to new trading conditions under the African Continental Free Trade Area (AfCFTA).
The changes will take effect on August 30, 2024, and will also apply to the MSCI All-Country World Index. Co-operative Bank gained 10.1%, KenGen increased by 14.4%, and Diamond Trust Bank rose 0.1%.
The Central Bank of Kenya (CBK) reduced its benchmark lending rate by 0.25% to 12.75% on Tuesday. This marks the first rate cut since March 2020, signalling a shift in monetary policy.
The index plummeted to 43.1, signalling a significant contraction in business activity compared to the previous month’s 47.2. Readings above 50.0 signal an improvement in business conditions on the previous month, while readings below 50.0 show a deterioration.
Kenya’s inflation rate eased to 4.3% in July, down from 4.6% in June, according to data from the Kenya National Bureau of Statistics (KNBS). On a monthly basis , inflation was -0.2% from 0.4% in June.
Kenya’s Court of Appeal has upheld a High Court ruling declaring significant portions of the Finance Act 2023 unconstitutional. The original lawsuit was filed by a coalition of 56 plaintiffs, including businesses, civil society organizations, and individuals represented by prominent public interest lawyer Okiya Omtatah.
The East African Community (EAC), and the Southern African Development Community (Sadc) Tripartite Free Trade Area (TFTA) agreement will officially enter into force on July 25th, 2024. With 14 out of 29 member states ratifying the pact, the TFTA creates a single market encompassing East, Central, and Southern Africa.
Kenya’s private sector activity fell in June, the sharpest drop in seven months, contrasting with the 16-month high recorded in May. Data from the Stanbic Bank Kenya Purchasing Managers’ Index (PMI) fell to 47.2 in June from 51.8 in May.
Renewed protests in Kenya against the Finance Bill 2024 raise fears of violence, impact on safety, investment, and government debt. Kenyans resumed protests Tuesday against the Finance Bill 2024, despite President William Ruto’s assurance of a peaceful response from security forces.
Kenya’s annual inflation rate as measured by the Consumer Price Index (CPI) fell to 4.6% in June 2024, the lowest level since September 2020, according to the Kenya National Bureau of Statistics (KNBS). The June data marks a decline from 5.0% in May 2024.
Kenya’s private sector activity witnessed a modest improvement according to Stanbic Bank’s latest Purchasing Managers’ Index (PMI) for May 2024. The index rose to 51.8, up from 50.1 in April 2024, exceeding the neutral mark of 50.0.
Africa Mega Agriculture Center (AMAC) Limited has proposed acquiring a controlling 84.42% stake in Kenya Orchards Limited (KOL), a publicly traded agricultural company on the Nairobi Securities Exchange (NSE). The deal, if approved by KOL’s major shareholders, would involve a private transaction for 10,863,537 shares.
Fuel prices in Kenya have been revised downwards by the Energy and Petroleum Regulatory Authority (Epra) for the June/July 2024 cycle. “In the period under review, the maximum allowed petroleum pump price for Super Petrol, Diesel and Kerosene decreases by Ksh3.00, Ksh6.08 and Ksh5.71 per litre respectively.” This is the second consecutive month with falling prices.
Kenya’s Finance Minister Prof Njuguna Ndung’u presented the 2024/25 budget, aiming to tackle Kenya’s high debt while supporting the ongoing economic recovery. The budget targets a significant reduction in the fiscal deficit, bringing it down to 3.3% of GDP compared to the revised deficit of 5.7% for the previous year (2023/24).
The International Monetary Fund and Kenya reached a preliminary agreement to unlock about $1.1 billion. The staff-level agreement, which is subject to IMF board approval, will give Kenya access to about $976 million.
Kenya’s central bank, the Central Bank of Kenya (CBK), opted to maintain its benchmark lending rate at 13.0% on Wednesday. Inflation remains within the government’s target range (2.5-7.5%) at 5.1% in May , up slightly from 5.0% in April.
Kenya is committing US$100 million to increase its ownership stake in three key African financial institutions: the African Development Bank (AfDB), the African Export-Import Bank (Afreximbank), and the Trade and Development Bank (TDB). President @WilliamsRuto of Kenya announced $20 million support by Kenya to the African Development Fund.
Kenya’s year-on-year inflation rate edged up to 5.1% in May 2024, from 5.0% in April 2024. The rise in inflation was primarily driven by price increases in transportation (8.1%), food and non-alcoholic beverages (6.2%), and housing, water, utilities, and fuels (4.4%).
Kenya’s job market generated a net gain of at least 848,200 new jobs in 2023, according to the Kenya Economic Survey 2024. Informal Sector Leads Growth The informal sector contributed 85% of new jobs created equal to 720,900.
Kenya’s export earnings surged by 15.4% in 2023, reaching a record-breaking KSh1 trillion for the first time. Data from the 2024 Economic Survey shows that tea, Kenya’s leading export earner, brought in Sh188.7 billion.
Kenya’s economy rebounded in 2023, with a Gross domestic product (GDP) growth rate of 5.6%, exceeding the revised figure of 4.9%. The 2024 Economic Survey Report by the Kenyan National Bureau of Statistics (KNBS), attributes this growth primarily to a 19% expansion in the Agriculture, Forestry, and Fishing sector.
Kenyan private sector firms report a significant strengthening of their business confidence, reaching a 13-month high in April. The PMI reached 50.1, an improvement from 49.7 in March but still lower than February’s reading of 51.3.
Malaba-Kampala (Uganda) – Uganda to finalize contracts by May 31, 2024. Tanzania, Burundi Sign Deal to Build 282km, Railway Line standard gauge railway.
Kenya’s year-on-year inflation experienced a notable decline in April, dropping from 5.7% in March to 5.0%. This is the third month in a row that the Consumer Price Index (CPI) has dropped, from 6.9% in January to 6.3% in February and 5.7% in March.
Kenya’s Energy and Petroleum Regulatory Authority (EPRA) announced reduced fuel prices effective from Sunday, April 14, 2024, to May 14, 2024. Pump prices for Super Petrol, Diesel, and Kerosene have been reduced by Ksh5.31 per litre, Ksh10.00 per litre, and Ksh18.68 per litre, respectively.
The 2024 Edelman Trust Barometer report reveals that NGOs reign supreme regarding trust in innovation. 76% of Kenyans believe NGOs are best positioned to integrate innovation into society.
The company’s managing director, Nkoregamba Mwebesa, announced a 0% return for the 2023 fiscal year due to a combination of factors. Mwebesa cites the Kenyan equities market’s underperformance in 2023 and rising yields on government bonds, leading to losses.
The United Kingdom has temporarily suspended its 8% duty on cut flower imports, making it cheaper and easier for East African countries to export their blooms. The duty suspension will remain in place for two years from 11 April 2024 to 30 June 2026,” the British High Commission statement reads.
“Kenya’s manufacturing sector contributed 7.8% to the GDP in 2022, representing a value of Ksh. 3.18 trillion and generating 352,000 direct jobs, so bolstering its competitiveness is necessary,” KAM said in a statement.
The PMI reading fell to 49.7 from 51.3 in February, indicating a deterioration in business conditions. Kenya Holds Rates at 13% on Easing Inflation.
The Central Bank of Kenya (CBK) held its interest rate at 13%, citing the easing of Inflation and the appreciation of the Kenyan shilling against major global currencies. On Wednesday, the Monetary Policy Committee of the CBK noted that headline inflation eased to 5.7% as the costs of most food items, including maize flour, wheat flour, kale, spinach, and cabbages, declined.
What the Upgrade Means The reclassification, implemented in March 2024, simplifies the process for foreign investors to withdraw their money from Kenya. These improvements, implemented in September 2023, included a simplified withdrawal process.
Kenya’s headline inflation rate fell to 5.7% in March 2024, marking the first time it dipped below 6% in 24 months. This represents a significant decline of 0.6 percentage points from the previous month’s rate of 6.3%.
The deal allows M-PESA to tap into and leverage Onafriq’s extensive network, connecting 500 million mobile money wallets and 200 million bank accounts. This follows clearance by the National Bank of Ethiopia to start the remittance service in July 2023.
Kenya’s Energy and Petroleum Regulatory Authority (EPRA) has announced significant price reductions for fuel products in their March 2024 review. EPRA said that during the period March 15 to April 14, 2024, the maximum allowed petroleum pump price for Super, Petrol, and Kerosene decreased by Ksh 7.21 per litre, Ksh 5.09 per litre, and Ksh 4.49 per litre, respectively.
While 58% acknowledge inflation as a significant threat, most (56%) express confidence in their companies’ revenue growth over the next three years. This mirrors a global trend , with 54% of CEOs worldwide anticipating improvement or stability in the global economy within the same timeframe.
The PMI climbed to 51.3 from 49.8 in January, exceeding the 50-point growth threshold for the first time since August 2023. However, expectations for 2024 remain subdued; the index for future expectations hit its weakest level on record.” During the period under review, inflation rates dropped to 6.3% in February from 6.9% in January , as reported by the Kenya National Bureau of Statistics (KNBS).
Kenya’s inflation rate eased to 6.3% in February 2024, down from 6.9% in January, according to data released by the Kenya National Bureau of Statistics (KNBS). On a month-on-month basis, inflation was at 0.1%, compared with 0.4% in January.
In Nairobi, super petrol, diesel, and kerosene will sell at KSh 206.36, KSh 195.47 and KSh 193.23, respectively, for the next 30 days – 15th February to 14th March. The fuel prices include a 16% value-added tax (VAT).
Kenya has successfully issued a Ksh 234 billion ($1.5 billion) new Eurobond priced at 9.75% with a maturity date set for 2031. The bond garnered significant demand, with the order book exceeding Ksh 936 billion ($6 billion).
This route will be served weekly effective 9th February and is expected to grow to two (2) weekly frequencies in April. Read more HERE: https://t.co/AoOOi5JIEF pic.twitter.com/9PFEiULtzm — Kenya Airways (@KenyaAirways) February 8, 2024 In November, KQ augmented its cargo freight fleet with a B737-800F plane and plans to lease another similar aircraft.
Toyota has pledged an initial investment of 800 million Kenyan shillings (equivalent to $4.9 million) in Kenya Vehicle Manufacturers (KVM), a car manufacturer located in Thika, approximately 25 miles northeast of Nairobi. In 2023, Toyota Tsusho announced the commencement of Semi Knocked Down (SKD) production of Toyota Motor Corporation’s (Toyota) Fortuner SUV at Associated Vehicle Assemblers Limited’s (AVA) Mombasa plant.
According to the Old Mutual Financial Services Monitor (OMFSM), a pioneering study providing comprehensive insights into the Kenyan financial landscape, 9 out of 10 Kenyans currently earn either less than or the same as they did before COVID-19. #knowbetterdobetter pic.twitter.com/xO5evLlXq8 — Old Mutual Kenya (@OldMutual_Ke) February 7, 2024 Kenyans’ confidence in the economy is at an alarmingly low 16 per cent, reflecting the challenging macroeconomic environment.
pic.twitter.com/gNbEKkCc5p — Capital Markets Authority Kenya (@CMAKenya) February 2, 2024 “This type of trading is often used for securities that are not listed on a formal exchange or for large block trades that may not be easily executed on the open market,” says the CMA. The annual market turnover for Nigeria’s FMDQ comes to about Sh90 trillion annually, and you can see the potential given that we were slightly way ahead of Nigeria in terms of bond market reforms,” said CMA’s Director for Policy and Market Development, Luke Ombara.
The Monetary Policy Committee of the Central Bank of Kenya has adjusted the base lending rate from 12.5% to 13%. “The proposed action will ensure that inflationary expectations remain anchored while setting inflation on a firm downward path towards the 5 per cent mid-point of the target range, as well as addressing residual pressures on the exchange rate.
Kenya’s inflation jumped to 6.9% in January, reversing a two-month decline. “Food and Non-Alcoholic Beverages Index rose by 0.4 per cent between December 2023 and January 2024.
The report finds that the US and other major economies are likely to witness sharply slower growth and sliding inflation in 2024. Equity and bond markets may initially ride a wave of optimism in 2024, fueled by hopes of a soft landing and a central bank pivot towards supporting growth.
Kenya, Egypt, Nigeria, and South Africa collectively account for 68% of the continent’s total investment influx in 2023. Kenya has taken the lead in terms of funding, attracting $806 million, followed by Egypt with $675 million, Nigeria at $575 million, and South Africa with $565 million.
Uganda-based motorbike hailing service SafeBoda is revving its engines for a comeback in Kenya, three years after hitting the brakes due to the COVID-19 pandemic. 🫣 https://t.co/ruz1NpD77N — SafeBoda Kenya (@SafeBoda_Kenya) January 22, 2024 SafeBoda closed its operations in Kenya in November 2020, at the height of the COVID-19 pandemic.
The International Monetary Fund (IMF) has approved a Ksh150 billion (USD941.2 million) loan to Kenya on January 17th. President Ruto meets the Managing Director of the IMF, Kristalina Georgieva September 2023 However, the loan comes with stipulations.
As a result of this development, the Tanzania Civil Aviation Authority withdrew its decision on 15 January 2024.
Tanzania will suspend all passenger flights operated by Kenya Airways (KQ) between Nairobi and Dar es Salaam from January 22, 2024. The Tanzania Civil Aviation Authority (TCAA) said in a public notice that the decision was based on the principle of reciprocity, following the violation of a 2016 Memorandum of Understanding (MoU) on Air Services by the Kenyan authorities.
Kenyan motorists have a reason to smile as the Energy and Petroleum Regulatory Authority (EPRA) announced the largest drop in fuel prices for the period between January 15 and February 14, 2024. According to the latest pump price review, the retail prices of Super Petrol and Diesel have been reduced by Ksh5 per litre, while Kerosene has been reduced by Ksh4.82 per litre.
According to the report, the global unemployment rate improved from 5.3 per cent in 2022 to 5.1 per cent in 2023, but it is expected to increase to 5.2 per cent in 2024, as two million more workers will join the ranks of the jobless. The global jobs gap rate also declined from 14.6 per cent in 2020 to 12.8 per cent in 2023, but it remains well above the 2019 level of 10.7 per cent.
The PMI rose to 48.8 from 45.8 in November 2023. However, the index remained below the 50.0 mark that separates expansion from contraction, signalling that the private sector continued to face challenges for the fourth consecutive month.
Inflation in Kenya fell to 6.6 per cent in December 2023, down from 6.8 per cent in November, mainly due to lower prices of some food and fuel items. “This was mainly driven by increases in prices of commodities under transport (11.7%); housing, water, electricity, gas and other fuels (8.3%); and food and non-alcoholic beverages (7.7%) between December 2022 and December 2023,” the KNBS said on Kenya’s inflation.
Kenya’s economic growth accelerated to 5.9 per cent in the third quarter of 2023, up from 4.3 per cent in the same period in 2022, according to the Kenya National Bureau of Statistics (KNBS). This was the highest growth rate in six quarters, driven by a strong recovery in the agriculture sector, which expanded by 6.7 per cent after contracting by 1.3 per cent in Q3 2022.
The deal, which was signed by President William Ruto and EU Commission President Ursula von der Leyen on Monday, December 18, 2023, will give Kenya duty-free and quota-free access to the EU market. The EU market comprises 27 member states and accounts for 21 per cent of Kenya’s total exports.
The agreement, which was announced on December 12, 2023, will give Kenya duty-free and quota-free access to the EU market for all its exports, including coffee, flowers, and minerals. A regional EPA was negotiated in 2014 and signed by Kenya, Rwanda, and the EU in 2016, but could not be applied as it required signature and ratification by all the EAC countries.
The Energy and Petroleum Regulatory Authority (EPRA) announced that a litre of super petrol will cost Ksh212.36 ($1.39) in Nairobi, down from Ksh217 ($1.42) in the previous month. Diesel prices will also decrease from Ksh203.47 ($1.33) to Ksh201.47 ($1.31) per litre.
Economic Potential Somalia’s entry into the EAC adds over 3,000 kilometres of coastline—the longest in Africa—to the bloc, which could boost trade with the Middle East and beyond. President Mohamud, who appointed a special envoy to expedite the admission process after winning his second term in 2022, said that Somalia’s inclusion in the EAC would benefit the other member states as well.
The Kenyan government announced on Monday that it plans to sell 11 state-owned enterprises through a privatisation program. The latest announcement follows the government’s stance to sell 35 state-owned enterprises either directly or through the Nairobi Securities Exchange.
The East African Community (EAC) welcomed Somalia as its eighth member on Friday, expanding the regional free trade bloc to more than 300 million people. Somalia, with a population of 17 million, applied to join the EAC in 2012 and was admitted at a summit in Tanzania.
pic.twitter.com/ReJcAiGKxM — Equity Bank Kenya (@KeEquityBank) November 23, 2023 With borderless banking, Equity’s 18 million customers can transfer, deposit, and withdraw funds in real-time, as if they were in their home country. Customers can use the service through the Equity Mobile and Equity Online platforms, which are available 24/7.
The World Bank announced on Monday that it plans to provide $12 billion in support for Kenya in the next three years. The World Bank said in a statement that it is committed to helping the East African nation achieve its goal of becoming an upper-middle-income country by 2030.
The International Monetary Fund (IMF) has reached a staff-level agreement with Kenya to expand its financing to the country by $938 million (Sh142.6 billion) to support its economic reform programs. If approved, Kenya will have access to a total of $3.88 billion, which would bring its total funding under the existing Extended Fund Facility and Extended Credit Facility arrangements to $4.43 billion, the IMF said.
The country, which joined the bloc in 2016, said it has paid $7 million to the EAC, covering both the arrears and the current 2023–24 financial year. Finally, South Sudan pays EAC 7000,000 pic.twitter.com/BFj4i0CTT9 — Sheila Ponnie (@PonnieSheila) November 10, 2023 The announcement comes ahead of the 23rd Ordinary EAC Summit, where South Sudan President Salva Kiir will take over as the new chair of the regional body.
Kenya’s National Treasury finally puts out a public notice on the appointment of Citi & Standard Bank as joint lead managers for a potential return to the international markets in 2023/24. pic.twitter.com/218jy79baO — Julians Amboko (@AmbokoJH) November 12, 2023 Kenya faces a challenging debt situation, with a USD 300 million Eurobond maturing in June 2024 and limited access to concessional borrowing.
Biteko said the project will boost gas extraction in Tanzania’s Lindi and Mtwara regions, where about 57.54 trillion cubic feet of natural gas have been discovered. He said that the agreement follows a Memorandum of Understanding (MoU) signed by the two countries in August 2018 and that the two countries will conduct a feasibility study to assess the project’s design, gas demand, pipeline size, and other factors.
The Linzi Sukuk is a KSh 3 billion Islamic secured residential-based security issued by the Linzi FinCo Trust, a common law unincorporated trust. The bond has a maturity period of 15 years and offers an internal rate of return of 11.13%.
Kenya’s President William Ruto has assured the public and the markets that the country will be able to pay the first $300 million, or KES 500 billion, installment of the $2 billion Eurobond debt that matures next year. Kenya’s public debt comprises both external and domestic debt, where the ratio of external debt to domestic debt remains high at 54.3 per cent to 45.7 per cent as of September 2023.
Kenya says it will not default on its debt obligations, especially the $2 billion Eurobond that matures in June 2024. I think what has been worrying many people is the June 2024 Eurobond, for which my answer is Kenya will never default,” she said during the 2024 Macroeconomic Outlook Forum organized by NCBA .
The CMA now has 40 licensed fund managers and four authorised securities dealers.
“At 46.2 in October, the headline PMI was down from 47.8 in September and indicative of a solid deterioration in the health of the private sector. The rate of decline was the second-fastest since August 2022 and close to the marked downturn seen in July,” read the PMI.
Kenya’s inflation rate rose slightly to 6.9 per cent in October from 6.8 per cent in September , according to the Kenya National Bureau of Statistics (KNBS). The main drivers of inflation were food, housing, and transport costs, which increased by 1.3, 1.9, and 1.5 per cent, respectively, between September and October.
The Kenyan shilling hit a record low of 150 against the dollar on Monday. Last week, the Kenyan shilling depreciated against the US dollar by 0.4% to close at Kshs 149.8, from Kshs 149.1.
The total production in the three months to the end of September 2023 was 27,935 ounces, with New Luika output at 18,271 oz and Singida at 9,664 oz, or 15% above forecasts. In Kenya, Shanta Gold Ltd said they continued infill drilling totalling 8,387 meters, while approximately 10,000 meters is planned for Q4.
The Energy and Petroleum Regulatory Authority (EPRA) has announced an increase in fuel prices in Kenya for the period from October 15 to November 14, 2023. The prices for Super Petrol, Diesel, and Kerosene have risen by 2.7%, 2.2%, and 1.2%, respectively, reaching Kshs 217.4, Kshs 205.5, and Kshs 205.1 per litre.
Kenya’s economy expanded at its fastest pace in more than two years in the second quarter of 2023. Kenya’s Economy is estimated to have grown by 5.4% during the second quarter of 2023 compared to 5.2% in the same quarter of 2022, according to the Kenya National Bureau of Statistics (KNBS) Quarterly Gross Domestic Product Report.
This is according to the Stanbic Bank Kenya Purchasing Managers’ Index (PMI), which fell from 50.6 in August to 47.8 in September. A PMI above 50 signifies growth, while a score below 50 indicates contraction.
The Central Bank of Kenya (CBK) has joined the Pan African Payments and Settlement System (PAPSS), becoming the 10th African central bank to do so. By 2025, all African commercial banks are expected to join PAPSS .
As of last week, forex reserves had decreased by $112 million to $6.955 billion. The current reserve is equivalent to just 3.76 months of import cover, falling short of the statutory requirement of at least four months of cover.
The Nairobi Securities Exchange witnessed a surge in trading activity, with a 57% increase in volume and a 106% increase in turnover on Friday. The Nairobi Securities Exchange (NSE) ended the last trading day (Friday) with a total of 10,191,600 shares traded in 750 deals, corresponding to a market value of KES 174,654,599.00.
#avocado 🥑 pic.twitter.com/GSQRoRqzt3 — Kenya Airways (@KenyaAirways) September 18, 2023 This development follows last year’s export of the first cargo of Hass variety avocados from agro-food processor Kakuzi to Shanghai, China.
The Energy and Petroleum Regulatory Authority (EPRA) has increased the fuel prices for super petrol, diesel, and kerosene by 8.7%, 11.9%, and 19.6% respectively, at Ksh 211.6, Ksh 200.9, and Ksh 202.6. These new retail fuel prices will be effective from September 15, 2023, to October 14, 2023.
This was made possible by a bilateral agreement signed between the two countries in January 2022. The 52-tonne shipment of omena was delivered under an agreement that benefits both countries.
The Nairobi Securities Exchange (NSE) has introduced two new market indices: the NSE 10 Share Index (N10) and the NSE Bond Index (NSE-BI). The N10 Index, which came into effect immediately, will monitor the performance of the equities market and consist of 10 prominent companies, including Safaricom Plc, Equity Group Holdings Plc, and KCB Group Plc.
The PMI rose to 50.6 in August, up from 45.5 in July, the first time in seven months, albeit a marginal one. However, he also notes that business conditions continue to be affected by rising input prices, which have led to the fastest increase in selling charges since June 2022.
Nairobi, the capital of Kenya, has been ranked as the sixth-best African city with a desirability score of 55.1 per cent, according to a report by Brand Finance City Index 2023. The report puts Nairobi just behind Lagos (Nigeria) which has a score of 56.7 per cent.
The United States has revealed a strategic partnership with Kwale-based coconut processor Kentaste, that will create substantial economic opportunities for over 4,500 local farmers. The project is funded by a combined investment between USAID and Kentaste of more than $1.6 million, which will support efforts to expand Kentaste’s exports to the United States.
This approval follows a cautionary statement issued in March 2022, indicating that the REIT was undergoing a strategic review involving an operational restructuring of IFIR. The Redemption Offer Price of KSH 11 per unit represents a premium of 82.72% above the current market price of KSH 6.02 per unit,” he added.
The East African Community (EAC) recorded a 13.4 per cent growth in its total trade in 2022, reaching $74.1 billion (Sh10.55 trillion), according to data released by the regional body. The Secretary General of the EAC, Peter Mathuki, attributed the growth, partly to the admission of the Democratic Republic of Congo (DRC) as a member of the regional bloc in July 2022.
Kenya is poised to become a carbon trading leader in Africa and beyond, following a record-breaking sale of carbon credits at the Nairobi Auction on June 14th, 2023. The country sold over 2.2 million tonnes of carbon credits to prominent Saudi Arabian firms, including Saudi Airlines, Saudi Electric, Dubai Islamic Bank, and Saudi Aramco, the second-largest firm globally.
The Purchasing Managers Index (PMI) by Stanbic Bank, which measures the health of the private sector, fell to 45.5 in July from 47.8 in June, indicating a contraction for the sixth consecutive month. Key to note, a PMI reading of above 50.0 indicates an improvement in the business conditions, while readings below 50.0 indicate a deterioration.
According to “The Sustainable Development Goals Report 2023: Special Edition” , failure to redouble global efforts to achieve the SDGs may fuel greater political instability, upend economies, and lead to irreversible damage to the environment. The SDGs were unanimously adopted by world leaders in September 2015 as a blueprint for global development efforts leading up to 2030, with 17 goals aiming to end poverty, fight inequalities, and tackle climate change.
Kenya’s inflation rate has marginally dropped to 7.3% in July from 7.9% in June. In the period under review, the food and non-alcoholic beverages index fell by 0.5% in July from a month earlier.
Kenya’s ongoing anti-government demonstrations are causing the country to lose Ksh.2.86 billion per day, according to the Kenya Association of Manufacturers (KAM). The manufacturing sector contributes about 1 trillion shillings to the Kenyan economy, which equates to approximately 2.86 billion shillings in daily value addition.
The International Monetary Fund (IMF) is keeping a close watch on the court case concerning the suspended Finance Act 2023 in Kenya. “The government thinks the Finance Act is constitutional and will hold.” The board completed its fifth review under Kenya’s extended Fund Facility and Extended Credit Facility, allowing for an immediate disbursement of about USD 415.4 million.
According to the Kenya Private Sector Alliance (KEPSA), the nation loses an estimated Ksh 3 billion daily from the ongoing protests. pic.twitter.com/nh94MCCHUc — Ministry of Interior | Kenya (@InteriorKE) July 18, 2023 Their future prospects and opportunities for personal growth and socio-economic advancement may be affected as a result.
Production is dominated by privately owned sugar millers led by West Kenya Sugar Company, which has a 30.1% market share . Sukari factory at 21.4%, Butali Sugar mills at 17.7%, Transmara sugar at 5.2%, Nzoia sugar at 5%, south Nyanza Sugar at 4.4%, Muhoroni Sugar at 3.7%, Mumias Sugar at 1.9% and Chemelil Sugar at 1.1%.
Several Russian companies involved in diamond mining in Zimbabwe have recently been sold for 90 million US dollars. Diamond mining is a crucial sector of Zimbabwe’s economy, with the country being the world’s seventh-largest producer of diamonds in 2022.
International oil prices increased during the week ending July 6, according to the Central Bank of Kenya (CBK) weekly bulletin. Murban oil price increased to USD 77.66 per barrel on July 6 from USD 74.93 per barrel on June 29.
Kenya’s current account deficit narrowed by 39.0% to Kshs 84.9 billion in Q1’2023 from Kshs 139.3 billion recorded in Q1’2022. Kenya’s Current Account Deficit to Fall in 2023 to 4.8pct.
The Stanbic Bank Kenya Purchasing Managers’ Index (PMI) fell to 47.8 in June from 49.4 a month earlier , marking the fifth month in a row that the PMI has stayed below 50, signalling a contraction in activity. Inflation in Kenya eased to 7.9% year-on-year in June from 8.0% a month earlier, while the shilling has hit repeated record lows since late 2021.
The Kenyan Government has secured a USD 500 million Syndicated Medium-Term Loan Facility to finance development projects in the 2023/4 budget. The loan, with a tenure of 3 and 5 years, was facilitated by Citibank, Rand Merchant Bank (RMB), The Standard Bank of South Africa, and Standard Chartered Bank, who were appointed as Bookrunners and Initial Mandated Lead Arrangers.
Kenya’s Q1 economy dropped by 0.9 per cent compared to a similar period in 2022 amid a slowdown in economic activities. Data from the Kenya National Bureau of Statistics (KNBS) shows that economic growth in the first four months of April dropped to 5.3 per cent from 6.2 per cent during a similar period in 2022.
The African Securities Exchange Association aims to achieve a market capitalization of $1.3 trillion through collaboration with the African Development Bank. In a statement, ASEA and the African Development Bank Group signed an agreement for a $600,000 grant to expand the number of linked African exchanges from 7 to 15 under the second phase of the African Exchanges Linkage Project.
On June 23, Germany’s parliament passed immigration reforms to address labour shortages in the country. Reports show that 53% of German companies are experiencing worker shortages, particularly in industries such as electrical equipment manufacturing, mechanical engineering, technology, car making, nursing, childcare, and construction.
The revision in fuel prices is a result of the National Treasury doubling the Value Added Tax (VAT) on petroleum and petroleum-related products from 8 per cent to 16 per cent in the Finance Act 2023. Consequently, petrol increased by KSh13.49 per litre, diesel by KSh12.39 and kerosene by KSh11.96.
Kenya’s monthly inflation slowed by 0.1 per cent to 7.9 per cent in June from the previous month due to the high cost of food and non-food items. The latest Kenya National Bureau of Statistics (KNBS) Consumer Price Index (CPI) and inflation rate for June show that inflation dropped from 8 per cent in May.
During the 42nd Meeting of the Sectoral Council of Ministers on Trade, Industry, Finance and Investment (SCTIFI), South Sudan said South Sudanese are still charged visas in some EAC Partner States . Kenya, Rwanda and Tanzania Among 7 in AfCFTA Pilot Trading Initiative The meeting observed that it was high time the Community considered putting in place a borderless bloc to facilitate the smooth flow of capital services and goods.
pic.twitter.com/INyW0gVoTH — CS Moses Kuria (@HonMoses_Kuria) June 20, 2023 The Two Rivers International Finance and Innovation Centre is the first-ever privately-owned business services SEZ in Kenya. TRIFIC is located within Nairobi’s prestigious diplomatic blue zone, spanning over 64 acres.
Kenya’s National Treasury has cut the 2022–2023 fiscal year budget deficit to 4.4 per cent from an estimated 5.8 per cent in the current financial year. This means that the Kenya Revenue Authority (KRA) will need to collect Ksh 380 billion more in the new fiscal year.
The price of petrol has been reduced by KSh 0.66 per litre and diesel by KSh 1.12 per litre for the fuel pricing cycle from June 15 to July 14. However, households will pay more for kerosene after EPRA increased the pump price of the product by KSh 0.35 per litre.
Information Minister Yemane Meskel announced on Monday, after nearly 16 years. Meskel (@hawelti) June 12, 2023 President Isaias Afwerki suspended its IGAD membership in 2007 after disagreements.
The Markit Stanbic Bank Kenya Purchasing Managers’ Index (PMI) came in at 49.4, up from 47.2 in April 2023, signalling the slowest deterioration of the business environment , mainly attributable to the elevated inflationary pressures. Readings above 50.0 signal an improvement in business conditions in the previous month, while readings below 50.0 show a deterioration.
The Federal Republic of Somalia made its application to join the EAC in 2012. The Verification Report was reviewed by the EAC Heads of State at the 21st Extraordinary Summit held on May 31 in Burundi’s capital, Bujumbura.
The FAO Food Price Index, which tracks monthly changes in the international prices of commonly-traded food commodities, averaged 127.2 points in April 2023, up 0.6 per cent from March. At that level, the Index was 19.7 per cent below its level in April 2022, but still 5.2 per cent higher than in April 2021.
Inflation hit Kenyans hard in May, as the Consumer Price Index (CPI) index rose to 8 per cent compared to 7.9 per cent in April, data from the statistics office showed on Wednesday. On a monthly basis, May inflation was at 0.9% compared to 0.5% in April due to an increase in food and non-food alcoholic beverages (10.2 per cent), as well as housing, water, electricity, gas, and other fuels (97 per cent) and transport (10.1 per cent).
Kenya’s current account deficit is projected to narrow in 2023, helped by a better trade performance, the country’s central bank said on Wednesday. The regulator said the current account deficit was 5.1 per cent of gross domestic product in 2022 , and is projected to improve to 4.8 per cent of GDP in 2023.
The World Bank has approved a KSh138 billion ($1.0 billion) budget support loan for Kenya under the Fiscal Sustainability and Inclusive Green Growth Development Programme Operation (DPO). Kenya qualified for DPO financing in 2019 and received four such loans, the most recent in March 2023.
Kenya launched its second infrastructure bond on Tuesday, inviting bids for Ksh 60 billion for funding projects in the FY 2022/23. The sharp rise in interest rates witnessed throughout the global economy in 2022 led to the sovereign’s delayed access to international financial markets—in light of debt service obligations falling due (USD 2.00Bn 2024 Eurobond).
Kenya’s central bank held its benchmark lending rate steady at 9.50 per cent on Monday, against a backdrop of continued global uncertainties, a weak global growth outlook, easing inflationary pressures and geopolitical tensions. “The Committee noted that the impact of the further tightening of monetary policy in March 2023 to anchor inflationary expectations was still transmitting in the economy,” said Dr Patrick Njoroge in an emailed statement.
The Cabinet Secretary of Kenya’s National Treasury submitted the Finance Bill 2023 to the National Assembly for discussion and consideration for enactment into the Finance Act 2023. Exports and investment promotion levy was proposed at the rate of 10% (of the Customs value) which will be applicable on certain imported goods specified.
The International Monetary Fund (IMF) and Kenya have reached a staff-level agreement worth KSh 56.58 billion ($410 million). If approved, the arrangements provide access to a total amount of SDR1.818 billion (about US$2.43 billion at the current exchange rate).
British oil and gas exploration company Tullow will assume a 100 per cent equity position in the Project Oil Kenya development following the withdrawal of its two joint venture partners. In an emailed statement, TotalEnergies and Africa Oil Corp, which held a 25 per cent stake each in the project, will withdraw from blocks 10BA, 10BB and 13T for differing internal strategic reasons.
The average price of Super Petrol, Diesel, and Kerosene increased by Sh3.40 per litre, Sh6.40 per litre and Sh15.19 per litre respectively. The landing cost of super-petrol increased by 8.63% in March 2023, Diesel decreased by 2.51% and kerosene dropped to 1.13%.
Global rating agency Moody’s cut Kenya’s senior unsecured debt rating as well as long-term foreign-currency and local-currency issuer ratings to B3 from B2. Moody’s also said it expects Kenya’s interest-to-revenue ratio to peak at 28% in fiscal year 2023, and remain at 26% in the subsequent two years.
On the other hand, input cost pressures showed further signs of having peaked, dropping to their lowest recorded in 2023 so far, though remaining steep. Stanbic Bank Kenya’s Purchasing Managers’ Index (PMI) fell to 47.2 from 49.2 in March.
The Kenya economy slowed in 2022, according to the statistics agency on the backdrop of prolonged dry weather conditions, general elections and elevated inflationary pressures. The Kenya National Bureau of Statistics said expansion in economic activity slowed by 2.8 per cent to 4.8 per cent in 2022 from 7.6 per cent in a similar period in 2021.
By eliminating trade barriers and boosting intra-Africa trade, the AfCFTA aims to lift 30 million Africans out of poverty by increasing income across Africa, by 7% by 2035. Myburgh adds that as Africa’s largest bank by assets, Standard Bank is dedicated to promoting growth and creating opportunities across the 20 markets it serves.
According to the Capital Markets Authority, as at the end of FY’2022, there were 34 CISs in Kenya, up from 32 recorded at the end of Q3’2022, and a further 20.7% y/y increase from 29 recorded at the end of FY’2021. Out of the 34, 21 (equivalent to 61.8%) were active, while 13 (38.2%) were inactive.
Kenya’s core inflation declined to a 10-month low from 9.2 per cent in March due to decreased prices of fast-growing vegetable items. In addition, food inflation declined to 10.1 per cent from 13.4 per cent in March, reflecting lower vegetable prices.
Kenya plans to raise $2 billion from the international market in the next fiscal year (2023-2024) to repay a 10-year Eurobond maturing in June 2024. Kenya’s Public Debt came in at Kshs 9.1 trillion (equivalent to 63.0% of GDP) as of December 2022, an 11.2% increase from the Kshs 8.2 trillion (66.2% of GDP) recorded in December 2021.
Africa’s wealthiest cities are dominated by South Africa and Egypt, according to the World’s Wealthiest Cities 2023 report by consultancy New World Wealth and Henley Partners. According to the report, Johannesburg leads Africa with 14,600 dollar millionaires.
The Common Market for Eastern and Southern Africa (COMESA) will launch its Electronic Single Window in 2023 centralising all services supporting inter-country trade and boosting revenue collection. The regional Electronic Single Window is part of the implementation of the COMESA Digital Free Trade Area (DFTA) and the Trade Facilitation Programme (TFP) under the 11th European Development Fund (EDF).
The S&P Global Kenya Purchasing Managers’ Index (PMI) rose to 49.2 in March from 46.6 in February but remained below the 50 mark denoting growth in business activity. The 50-point index mark separates growth from contraction monthly.
Kenya’s consumer price index (CPI) remained unchanged at 9.2 per cent on higher food costs in March, according to the National Bureau of Statistics (NBS) on Friday. During the month under review, the price of a basket of goods and services consumed by households increased by 0.8 per cent from an index of 130.13 in February 2023 to 131.18 in March 2023.
Kenya has revised its growth rate for 2023, with the Central Bank worried about mounting headwinds and a slowdown in the agriculture sector. On Thursday, the Central Bank Governor, Dr Patrick Njoroge, expected the country’s economy to grow by 5.8% in 2023, down from earlier projections of 6.1%.
Four Memoranda of Understanding (MoUs) have been signed in the fields of Justice and Constitutionalism, Mutual Legal Assistance, Diplomatic and Political Consultations, and Migration Matters between Uganda and Rwanda as we close #UGRwandaJPC23 . @GovUganda @UGHighCommRWA pic.twitter.com/9ODek58lLQ — General Odongo Jeje (@GenJejeOdongo) March 24, 2023 This afternoon, Minister @Vbiruta officially closed the 11th JPC between 🇷🇼&🇺🇬.
The Energy and Petroleum Regulatory Authority (Epra) has increased base power prices for those consuming less than 30 units by 22.2% to KSh12.22 per unit from KSh10. In addition, customers consuming more than 100 units of electricity will now pay KSh20.97 per unit, up from KSh15.8 currently, a 32% increase.
Chief Executives in East Africa have reported a bullish economic outlook for the next 12 months, with 60% expecting an improvement in 2023, a survey said on Wednesday. The survey polled 4,410 CEOs in 105 countries between October and November 2022; 138 CEOs from East Africa participated.
#DateWithDestiny20thMarch — Raila Odinga (@RailaOdinga) March 20, 2023 Businesses count losses Most businesses within the Central Business District of Nairobi during the Monday protests remained closed.
Kenya and the United States next Strategic Trade and Investment Partnership round is scheduled for April 17 to 20, 2023, to further strengthen economic ties between the two sides. The talks will focus on proposals adopted from draft negotiations initiated in July 2022.
The petrol price was raised by Ksh 2 per litre on Tuesday; diesel and kerosene remained unchanged at Ksh 162.00 and Ksh 145.94, respectively, in Nairobi from March 15th to April 14th, 2023, pricing cycle. This means the cost of super petrol will rise to Ksh 179.20 per litre in Nairobi.
The Nairobi Securities Exchange’s (NSE) total equity market capitalisation dropped to a six-year low of KSh1.79 trillion on Tuesday. Nairobi Securities Exchange drops to a 6-year low.
The World Bank’s Development Policy Operations (DPO) facility is set to provide additional resources to Kenya, amounting to $1 billion (Ksh 129 billion) in the 2022–23 fiscal year. In 2021, Kenya received a KSh80.9 billion ($750 million) loan from the lender to support its budget and help the economy recover from the effects of the Covid-19 pandemic.
Reducing Public Debt and Debt Servicing Costs One way to reduce the government debt burden is to ensure fiscal consolidation to reduce the estimated fiscal deficits of 5.7% in the revised FY’2022/2023 budget and 4.3% in the FY’2023/2024 budget. Capital markets remain under-developed, contributing about 1.0% of total funding to businesses compared to 99.0% by banks.
The Kenya shilling weakened sharply against the US dollar, hitting a fresh low of 129. “The Kenya shilling remained stable against major international and regional currencies during the week ending March 9,” the Central Bank of Kenya said in its Weekly Bulletin.
MSC will similarly run its bi-monthly Red Sea service from the ports of Jeddah and King Abdullah to Port Sudan with an estimated transit time of one day at a total capacity of 1000 TEUs.
The S&P Global Kenya Purchasing Managers’ Index (PMI) fell to 46.6 in February from 52.0 a month earlier. Readings above 50.0 signal growth in business activity, while those below that point to a contraction.
The annual inflation rate for consumer prices increased to 9.2 per cent in February, up from 9 per cent in January , according to figures compiled by the Kenya National Bureau of Statistics (KNBS). The Consumer Price Index (CPI), which measures the percentage change in the price of a basket of goods and services consumed by households, increased by 0.6 per cent from an index of 129.29 in January 2023 to 130.13 in February 2023.
“Constrained external financing led to Kenya suspending plans to tap international capital markets in 2022, prompting the country to draw more extensively on its forex reserves to meet its external debt repayments,” S&P said in its ratings update. Further, in June 2024, a USD 2.00Bn Eurobond issued in 2014 is due to mature.
The logistics industry has seen a significant shift in the past two years, with the period between 2020 and 2022 offering some of the most interesting developments for the global supply chain. The Covid-19 pandemic was a game changer for everyone – from carriers to truckers, shippers and governments.
To sustain production, Kakuzi has expanded its avocado orchards by 60 hectares, up from 927 hectares, at the cost of KSh120 million, to meet the ever-growing demand for quality superfoods globally. Dalian Yidu has been in the Chinese fresh fruit and vegetable import business since 1988 and has developed formidable international sourcing, cold-chain, and related logistical management structures for its fruit and vegetable business.
Fuel prices in Kenya will remain unchanged for the third consecutive month at Kshs 177.3, Kshs 162.0 and Kshs 145.9 per liter of Super Petrol, Diesel and Kerosene, respectively. This is according to the Energy and Petroleum Regulatory Authority’s (EPRA) monthly statement on the maximum retail fuel prices in Kenya, effective from February 15 2023 to March 14 2023.
Construction of the Ksh 30 billion Nairobi Central Train Station is finally underway. The project involves constructing a 425-acre urban development between Haile Sellasie Avenue, and Uhuru Highway from Haile Selassie Avenue, Uhuru Highway, Bunyala Road, Commercial Street, and Landhies Road.
1/4 Kenya & US today concluded a week of productive meetings on the U.S.-Kenya Strategic Trade & Investment Partnership. Talks between Kenya and the US began in July 2020, during former Presidents Donald Trump and Uhuru Kenyatta’s tenures.
At the bourse, block trades shall constitute the sale of shares whose value exceeds KSh3 billion and constitute 5 per cent or more of an Issuer’s total issued shares, subject to a maximum of 24.99 per cent. They can also constitute the sale of shares whose value is less than KSh3 billion and which comprise more than 15 per cent of an Issuer’s total issued shares subject to a maximum of 24.99 per cent.
is a high priority for both countries to be finalized before 2025. The Kenyan Trade Principal Secretary Alfred K’Ombudo, who leads the delegation, is in Washington, D.C., for a one-week meeting that commenced on February 6 and will run until the 10th.
Securing goods during long-distance transit is one of the most important aspects of any supply or logistics business. Containers and trailers do not have the level of protection that buildings do.
Kenya’s current account deficit declined to 4.9 per cent of the gross domestic product (GDP) in 2022, compared to 5.2 per cent recorded in 2021 , the Central Bank of Kenya (CBK) said. Our sweet spot in the current account is a deficit of about five per cent and we expect that it will remain around there at 5.4 per cent in 2023,” said CBK governor Patrick Njoroge in a post-MPC meeting.
The S&P Global Kenya Purchasing Managers’ Index (PMI) rose to 52.0 in January from December’s 51.6 figure. A print above 50 is considered an expansion, while below 50 is a contraction.
The levels hit 9.6 per cent in October 2022, the highest level ever experienced since May 2017. “The overall year-on-year inflation rate as measured by the Consumer Price Index (CPI) was 9.0 per cent in January 2023.
Kenya Power has requested the Energy and Petroleum Regulatory Authority (EPRA) to approve their proposed tariffs to make domestic consumers pay KSh14 per kWh for up to 30 kilowatts of power. At the same time, those exceeding 30kWh per month expected KSh21.68/kWh, a figure set to drop to KSh20.61 in July 2024.
The Capital Markets Authority (CMA) has extended the in-principle approval granted to the Nairobi Coffee Exchange (NCE) to continue operating as a coffee exchange to April 30, 2023. Initially, it had been extended to December 31, 2022.
The National Treasury plans to cut the budget deficit to 4.3% of GDP in the 2023–24 financial year from an estimated 5.8% in the current period.
In December 2022, headline and core inflation slowed to 9.10% and 4.10% , respectively, from 9.50% and 4.20% a month before. This affirms our in-house baseline forecast that inflation should start to come off in the latter half of 2023 and average about 6.62% for the full year.
Cosmetics, liquor, fruit juices, and non-alcoholic beverages are set to become more expensive as the National Treasury has proposed to increase the current rates of excise duty stamps by 300 per cent. The Excise Duty (Excisable Goods Management System) (Amendment) Regulations, 2023 propose to raise the stamp fees for cosmetics from 60 cents per stamp to KSh2.50, fruit juices and non-alcoholic beverages will go up by 267 per cent to KSh2.20 from 60 cents.
Hopefully in the next 3-4 years will have a common currency,” said Mr Mathuki. The EAMU Protocol was adopted in accordance with the EAC Treaty and signed on November 30, 2013.
The prices of essential products, such as milk, sugar, maize flour, bar soap, and cooking oil, have increased since 2020 when COVID-19 hit the country. Coupled with other factors such as the Russia-Ukraine war and the drought across the country, the prices shot highest in 2022 and are expected to increase even further in 2023.
Intra-East African Community trade continued to rise after hitting $10.17 billion in September 2022, according to the Secretariat. Imports and exports in the seven East African Community Partner States grew from $7.1 billion in 2019 to $9.5 billion in 2021.
Fuel prices for January 2023 remained unchanged for the third consecutive month since November 2022, according to the Energy and Petroleum Regulatory Authority (EPRA). The latest monthly review released on Saturday, January 14, 2023, shows that Nairobians will continue paying 177 shillings for super Petrol, 162 shillings for Diesel, and 145.9 shillings for Kerosene per liter.
According to the lender, global GDP is expected to rise 1.7% this year, roughly half the rate predicted in June. It also cut growth estimates for 2024, citing persistent inflation and higher interest rates as key reasons.
The reopened FXD1/2020/005 (2.4 years) and FXD1/2022/015 (14.3 years) January bonds raised Ksh 31.5 billion against a target of Ksh 50.00 billion for budgetary support. The papers, whose sale period ended on January 10, 2023, carried coupons of 11.667% and 13.942%, respectively.
Kenya’s purchasing managers’ index (PMI) for private sector activity rose to a 3-month high of 51.6 in December from 50.9 in November 2022. A reading above 50 on the index shows expansion, and below it indicates contraction.
Year-on-year inflation in Kenya declined to 9.1% in December 2022 from 9.5% recorded the previous month, the statistics office said. The Kenya National Bureau of Statistics attributed the easing to lower food and fuel prices, but the inflation rate remained above the government’s target range of 2.5% – 7.5%.
Kenya’s insurance industry reported claims from July to September 2022 declined by 12 % to 1.8 million compared to 2 million reported in the year’s second quarter. The Insurance Regulatory Authority (IRA) Quarter 3 Claims Report disclosed that during the quarter, general insurance business claims reported were 1,705 020 compared to 1,965,735 reported in Q2, 2022 in the previous quarter.
The Executive Board of the International Monetary Fund (IMF) approved a Ksh.55.1 billion ($447.39 million) loan to Kenya. This is under the fourth review of the 38-month arrangements under the Extended Credit Facility (ECF) and the Extended Fund Facility (EFF) with the country.
Kenya has asked the World Bank for a $750 million loan under the Development Policy Operation framework , the finance minister said on Tuesday. Kenya sought $1.0 billion from the World Bank through DPO5, the bank extended $750.0 million.
Kenya’s GDP growth will slow to 5.5 per cent in FY23 from the 5.5 per cent expected in the current fiscal year (2022), the World Bank said Thursday. However, the World Bank said that growth is expected to rise to 5.3% in 2024, supported by increased private investments.
The global airline industry is projected to report a lower loss at USD 6.9 billion in 2022, mainly due to stronger passenger yields and cost control by carriers amid rising fuel prices, according to industry body IATA. In June, the International Air Transport Association (IATA) projected the industry loss at USD 9.7 billion.
The S&P Global Kenya Purchasing Managers’ Index (PMI) rose to 50.9 in November from 50.2 a month earlier. A print above 50 is considered an expansion, while below 50 is taken as a contraction.
The Central Bank of Kenya’s switch auctions offer of existing T-bills, and two-year bondholders were undersubscribed with the total received bids worth Kshs 52.9 billion against a target of 87.8 billion. The government accepted bids worth Kshs 49.1 billion, translating to an acceptance rate of 92.8%.
Kenya’s November inflation eased to 9.50%, down from a five-year high of 9.60% in October 2022 , on reduced prices of food and non-alcoholic beverages. Data from the Kenya National Bureau of Statistics (KNBS) shows that the annual food inflation stood at 15.40%, down 40 basis points from 15.80% in October.
pic.twitter.com/XhnWppSpLG — Invest with Hisa (@HisaApp) November 23, 2022 “Hisa has come to make it easier to invest in companies like Amazon through fractional ownership . The announcement was made during its public launch after a 10-month beta period.
Kenya’s current account deficit (CAD) is projected at 5.6 per cent of its gross domestic product (GDP) in 2022. The current account deficit is estimated at 5.3 per cent of GDP in the 12 months to September 2022.
The AELP Phase 1 is funded by a grant from the Korea-Africa Economic Cooperation (KOAFEC) Trust Fund, managed by the African Development Bank. In July 2021, ASEA signed a contract with DirectFN Ltd.
Annual fuel inflation increased by 12.60% in October, compared to 11.70% in September. The landed cost of imported super petrol decreased by 5.6%, diesel by 2.33% and kerosene by 9.08%.
The International Monetary Fund (IMF) confirmed that it had reached a staff-level agreement with Kenya that paves the way for $433 million ( (Kshs 52.7 billion) in financing. The discussions were on the fourth review of Kenya’s 38-month Extended Fund Facility (EFF) and Extended Credit Facility (ECF) financing.
The National Treasury’s 14-year infrastructure bond (IFB1/2022/14) received bids valued at KSh91.8 billion and was oversubscribed by 153 per cent due to high-interest rates offered by the Central Bank of Kenya. The average rate of the accepted bids was 13.94 per cent, against an average of 14.03 per cent demanded by investors.
The latest Purchasing Managers’ Index survey shows that October registered a reading of 50.2, down from a seven-month high of 51.7 recorded in September. The Purchasing Managers’ Index readings above 50.0 signal growth in business activity, while those below that point to a contraction.
Inflation has hit a new record, a 65-month high in Kenya, fuelled by increased food, fuel, and housing costs. Data by the Kenya National Bureau of Statistics (KNBS) shows the country’s overall inflation rate in October stood at 9.6 per cent, compared to 9.2 per cent in September.
The Central Bank of Kenya is offering a 14-year infrastructure bond (IFB1/2022/14), seeking to raise Kshs 60.0 billion to fund infrastructure projects in the current fiscal year. The sale period is between 26 October 2022 to 8th November 2022, and the payment date is 14th November 2022.
Investors are likely to shun auctions, with demand primarily remaining volatile for the remainder of 2022. “Certainly, less pronounced government inflows in lieu of payments has greatly distorted interbank cash conditions,” they note in their NCBA Weekly Fixed Income Report – 24th October 2022.
According to the Kenyan National Bureau of Statistics, GDP increased by 5.2% from a year earlier in the second quarter, down from a 6.8% gain in the previous three months. Inflation rose to 7.16% from an average of 5.98% in the second quarter of 2021 due to increased food and energy prices.
Kenya’s private sector activity in September expanded at the fastest pace in 6 months following peaceful general elections. Data released by S&P Global on Tuesday showed that Purchasing Managers’ Index (PMI) services rose to 51.7 from 44.2 recorded in August 2022 , marking six months high.
The inflation rate in Kenya accelerated for the seventh consecutive month to 9.2 per cent in September. The rate was 8.5 per cent in August, above the central bank’s target range of 2.5 per cent-7.5 per cent.
The National Treasury of Kenya has floated a new bond targeting KES 60 billion for budgetary support under its 2022/2023 domestic borrowing program. The Central Bank of Kenya (CBK)—the government’s fiscal agent—said the bonds consist of two reopened papers – 10-year and 15-year bonds first sold in 2017 and 2020 respectively, seeking KES 40 billion— and a new 25-five-year paper targeting KES 20 billion.
PWCL was founded in 2010 as a fixed income trading house before graduating as a fixed income investment advisory and debt capital markets player for corporates.
The Kenyan government is expecting the economy to grow at 5.8 per cent in 2022-23 and an average of 6.2 per cent over the medium term in line with its financial year projections. Kenya registered a growth of 6.7 per cent in 2021 after a 0.3 per cent contraction in 2020.
Kenya’s current account deficit (CAD) as a percentage of Gross Domestic Product (GDP) narrowed to 5.1 per cent in July from 5.2 per cent a year earlier, according to provisional data from the Central Bank of Kenya (CBK) on the balance of payments. The CBK estimates a wider current account deficit at the end of the 2022 calendar year at an equivalent 5.9 per cent of GDP on account of higher international oil prices.
The S&P Global Kenya Purchasing Managers’ Index (PMI) dropped 44.2 in August from 46.3 a month earlier. For the fifth consecutive month, the headline PMI registered below the 50.0 neutral mark in August, dropping to 44.2 from 46.3 in July.
Kenya’s headline consumer inflation quickened to 8.5% in August from 8.3% in July , driven by higher food prices. This is the third month the inflation rate is outside the government’s targeted band of 2.5% to 7.5%.
The Central Bank of Kenya (CBK) has reopened two long-term bonds, FXD1/2022/010 and FXD1/2022/015, seeking to raise KSh50 billion from fixed-income investors. The securities are on sale until September 13, when the period of the auction closes.
By 2019, the unemployment rate in sub-Saharan Africa stood at around 6%, according to the International Labour Organization . So, despite many people in the continent having jobs, 70% of sub-Saharan Africa’s workforce is vulnerable compared to the global average of 46%.
Kenya’s total tax revenue in July of the current fiscal surged 7.2 per cent to Ksh.130.6 billion compared to Ksh.121.8 billion in FY 2021/22. The statement of actual revenues and net exchequer issues as of July 29 by the National Treasury was published Friday.
The Energy and Petroleum Regulatory Authority (Epra) in its latest monthly review; petrol retail at Sh159.12, diesel at Sh140 and kerosene at Sh127.94 per litre in Nairobi. In Mombasa, a litre of super petrol, kerosene and diesel will retail at Ksh 156.56, Ksh 137.76 and Ksh 125.69, respectively.
Kenya’s Capital Markets Authority (CMA) has deferred approval of Ekaterra’s statement of intent to buy 100 per cent of Limuru Tea from other shareholders in Kenya. In July, ekaterra Kenya proposed to make a cash offer to acquire up to 100 per cent of the ordinary shares in the capital of Limuru Tea Plc that are not already legally or beneficially owned by the offer.
Kenya’s insurance sector’s net profit declined by 73.7% to Kshs 0.4 billion for the period ending March 31st, 2022, compared to Kshs 1.5 billion recorded in Q1’2021. According to the Insurance Regulatory Authority of Kenya (IRA) Quarterly Insurance Industry Report , the decline was mainly attributable to a 10.3% increase in claims incurred to Kshs 18.4 billion in Q1 ‘2022, from Kshs 16.7 billion in Q1 ‘2021.
The Kshs 40 billion offshore Kipevu Oil Terminal will see Kenya double its capacity to handle transit petroleum products to Uganda, Rwanda, and Burundi from the current 35,000 tonnes. The 770-metre long jetty, with a capacity to load and offload all categories of petroleum products from large sea tankers of up to 200,000 DWT, is the largest in Africa.
The Kenyan economy will remain stable in the current financial year despite the 2022 general elections, a report said on Thursday. In its Kenyan CEO Business Confidence Survey 2022 report, the Kenya Private Sector Alliance (KEPSA) revealed a 37 per cent increase in optimism in the 2022 elections compared to 2017.
Kenya’s private sector momentum hit a four-month low as the seasonally adjusted S&P Global Kenya Purchasing Managers’ Index (PMI) fell to 46.3 in July from 46.8 a month earlier. Readings above 50.0 signal an improvement in business conditions from the previous month, while readings below 50.0 show a deterioration.
The Covid-19 pandemic brought unprecedented economic effects, whose impact negatively affected businesses and caused massive job losses. As the livelihoods of its people are threatened, African economic leaders are developing strategies to “build back better”—a case in point is Equity Group’s USD 6 billion Africa Resilience Plan.
The inflation rate has hit a fresh 5-year high, placing further pressure on Kenyan households driven by rising food and fuel prices. “The overall year-on-year inflation rate as measured by the Consumer Price Index (CPI) was 8.3 per cent, in July 2022.
British International Investment Plc plans to invest $6 billion in Africa over the next five years. The spending, part of a $10 billion global program, includes a $76 million contribution toward a planned $500 million fund being raised by Old Mutual Ltd.’s African Infrastructure Investment Managers that was announced on Wednesday.
Operating under the AfCFTA Initiative on Guided Trade was announced during the 9th meeting of the AfCFTA Council of Ministers in Accra on Monday, July 25. The AfCFTA Guided Trade Initiative is one of the key announcements made today at the 9th Meeting of the AfCFTA Council of Ministers.
The International Monetary Fund on Tuesday said global trade growth in 2022 and 2023 would likely slow to 4.1 per cent in 2022 from 10.1 per cent in 2021. The IMF also expects the global economy to grow by 3.2 per cent in 2022—a 0.4 point reduction since April—while inflation is now believed to be higher than the previous forecasts.
Speaking during the initiation of a public conversation on the state of the economy, a look at the public debt, Mr Wanjigi said that he commissioned a “first-ever fraud investigation into the public debt covering a period of eight financial years from 2014/15 to 2021/22. “I established red flags indicating that the public publicized outstanding public debt of Ksh 8.4 trillion appeared inauthentic.
The agreements between Kenyan President Uhuru Kenyatta and his Somalia counterpart Hassan Sheikh Mohamud were announced when the two held bilateral talks at State House Nairobi on Friday, July 15th, 2022. 1/2 His Excellency President Uhuru Kenyatta receives his Federal Republic of Somalia counterpart Hassan Sheikh Mohamud at State House, Nairobi.
The International Monetary Fund (IMF) on Monday completed the third review under the 38-month arrangements under the Extended Credit Facility (ECF) and the Extended Fund Facility (EFF) deals. The Executive Board gave the green light to an immediate disbursement of SDR 179.13 million (about US$235.6 million), usable for budget support.
Food security impacts the region’s GDP growth with an estimated contraction of 2–2.5 per cent, Wamkele noted. The signing of the MoU took place at the margins of the 41st Ordinary Session of the Executive Council of the African Union in Lusaka, Zambia.
The United States and Kenya have launched a strategic trade and investment partnership to work together on shared priorities. The partnership will include labour, environment, digital trade, trade facilitation, and good regulatory practices, U.S.
Fuel prices will remain unchanged for July across Kenya’s major cities after a KSH 16.67 billion fuel subsidy. Petrol will now be sold at KSh159.12 per litre, kerosene at KSh127.9 per litre, and diesel at KSh140.
Shares of Safaricom hit a new high of Ksh 30:00 in Wednesday’s trade and outperformed the market on a strong business outlook. Safaricom closed trading at Ksh 30.00 per share on the Nairobi Securities Exchange (NSE), recording a 1.7 per cent gain over its previous closing price of Ksh 29.50.
After the negative impact of Covid-19 throughout 2021, the East African economy appears to be bouncing back. AfDB’s annual Africa economic outlook report for 2022 shows that Kenya’s GDP is seen to slow down to 5.7% in 2023 from 5.9% this year, the third lowest within the seven-member bloc.
Democratic Republic of Congo #DRC officially the 7th Full Member of the Community after depositing Instruments of Ratification on the accession of the Treaty for the establishment of the East African Community to the EAC SG @pmathuki on 11 July 2022 . @Presidence_RDC pic.twitter.com/hWONGVK87h — East African Community (@jumuiya) July 11, 2022 “Today is a very significant day for the Community and for the DRC.
Kenya’s current account deficit widened to 5.4 per cent of gross domestic product in the 12 months to May 2022, compared to 5.0 per cent in the same period, owing to a higher import bill. In addition, the country’s public debt has increased at a 10-year CAGR of 19.8 per cent to Kshs 8.5 trillion in April 2022, from Kshs 1.4 trillion in April 2011.
The Central Bank of Kenya (CBK) has kept rates below 14 per cent and flattened the yield curve for 15-year and beyond tenors. For instance, in H1 ‘2022, the National Treasury issued five new bonds, reopened seven, and issued seven bonds on tap-sale, seeking to raise Kshs 456.5 billion.
The African Development Bank (AfDB) has approved a 91.3 million U.S. In a statement , the loan will provide funding for the second phase of Kenya’s Competitiveness and Economic Recovery Support Program (CERSP), which was approved in June 2021.
stocks and ETFs using mobile money, is reportedly raising nearly $1 million to scale up and reach more users. “We are raising $1 million to help scale Hisa to more users and markets.
Limuru Tea Company Ltd, one of Kenya’s agricultural firms engaged in growing green leaf tea, has received a notice of intention from ekaterra Tea Kenya to acquire a 100 per cent stake in the company. Ekaterra Tea Kenya Plc owns a 52 per cent stake in the Nairobi-listed Limuru Tea Plc.
The waiver will apply to investors taking a position to exit on the second leg for a month starting Wednesday, July 6, 2022, according to Mr Geoffrey Odundo, the NSE’s chief executive. We are looking at about 9.54 multiples; ideally, if you look at most markets, they go above 13, 14, and 15 times.” He was speaking Wednesday during the NSE Quarterly Media Briefing.
The PMI slid to 46.8 in June from May’s 48.2. The 50.0 mark separates growth in activity from contractions.
NIFC aims to raise over $2 billion (Ksh 236 trillion) in targeted incremental cumulative investments by 2030. Companies operating a carbon market exchange or emission trading system under the NIFC will benefit from 15% corporate tax for the first 10 years of operation.
Kenya’s trade deficit widened to KSh333.4 billion in the first quarter of 2022 as imports hit a record high of 14.5 per cent to KSh 542.5 billion, mainly due to increased import of petroleum products. This deficit is compared to KSh281.4 billion in the first quarter of 2021.
Kenya’s Economy likely rebounded in the first quarter of 2022 from a deep contraction in the same period last year, helped by an improved services sector and despite the sixth wave of COVID-19 cases. The Kenya National Bureau of Statistics says the economy expanded by 6.8% from a revised 2.7%.
The statistics agency said that Kenya’s consumer inflation rose to 7.9 per cent year over year in June, the most significant yearly increase since August 2017. Based on the consumer price index (CPI), inflation rose to 7.9 per cent in June, against 7.1 per cent in the previous month and 8.04 per cent in August 2017.
Kenya Trade Network Agency (KenTrade) says it has invested Sh90 million in a Business Intelligence (BI) Tool aimed at easing trade in Kenya through extraction and analysis of real-time data to help trade facilitators and government agencies make data-driven decisions. The tool, which was co-founded by TradeMark East Africa (TMEA) went alive on Thursday, June 30.
The Central Bank of Kenya (CBK) has floated an 18-year Infrastructure bond worth KSh 20 billion to fund projects in the 2021/22 budget estimates. The bond sale runs between 28th June 2022 and 7th July 2022 or upon attainment of the required amount.
As part of the expansion, the company has launched a $1 million loan program to allow farmers to access seed and fertiliser for their crops. Under the program, 5000 Kenyan farmers can take out input loans to access timely inputs and gradually scale their businesses.
The rates of petrol, diesel, and kerosene have been increased by Ksh 9 litre effective from 15th June – 14th July 2022. In Nairobi, a litre of petrol will retail at KSh159.12; diesel at KSh140.0, and kerosene at KSh127.94.
Kenya’s exports to Somalia are estimated at Ksh 13 billion according to government data released in May. Imports from Somalia were worth Ksh 106 million in 2021, the figures show.
The Foreign Exchange Regulations, 2022 (FX Regulations 2022) replace the Foreign Exchange Regulations, 1998 (FX Regulations 1998) and the Foreign Exchange (Listed Securities) Regulations, 2003 (Listed Securities Regulations).
Kenya to Formally Launch Nairobi International Financial Centre June 14 Khusoko is now on Telegram.
National Treasury’s 18-year Infrastructure bond received bids valued at Ksh.76.4 billion and was oversubscribed at 101.8 percent, the Central Bank of Kenya reported on Wednesday. Treasury received Ksh.73.8 billion from the sale whose auction ended on Tuesday against a target of Ksh 75 billion.
Kenya’s Parliament on Tuesday agreed to raise the debt ceiling to KSh10 trillion from the current debt ceiling of KSh9 trillion. The Legislators approved the Public Finance Management (National Government) (Amendment) Regulations 2022 tabled by Leader of Majority Amos Kimunya.
The World Bank on Tuesday projected a 5.5 percent collective growth for the Kenyan economy in 2022. This is an upgrade from 4.9 percent previously attributed to a stronger-than-expected recovery from the coronavirus pandemic in 2021.
The PMI posted below the 50.0 mark for the second consecutive month in May, falling to 48.2 from 49.5 in April. The 50.0 mark separates growth in activity from contractions.
Kenya’s President Uhuru Kenyatta defended his administration’s borrowing appetite which has risen to KSh9 trillion as of December 2021, emphasizing that it has been a “catalyst for rapid development”. The debt comprises KSh4 trillion in domestic debt and KSh4.2 trillion in external debt.
Kenya’s inflation surged to a new record of 7.1 percent in May as the cost of fuel, food and beverages continue to rise sharply. Tuesday, the Kenya National Bureau of Statistics (KNBS) data showed that the overall year-on-year Inflation rate for May 2022 was 7.1 percent compared to 6.47 percent recorded in April 2022.
The Central Bank of Kenya Monday hiked a key policy interest rate by 0.50 basis points, the first in seven years to contain inflation. This is the first interest rates hike by the bank since 2015.
With the global FedEx network connecting 99% of the world’s GDP, the addition of Kenya to the FedEx flight provides greater connectivity from businesses across Eastern Africa to and from the key trade lanes across Europe, the Middle East, Asia, and the United States.
Electricity demand in Kenya has surpassed November 2021’s demand, with the peak in May being 2,051MW up from 2,036MW recorded in November 2021. KenGen, Kenya’s biggest electricity producer says this points to accelerated growth and recovery in demand which slowed down in the wake of the COVID-19 pandemic.
Ahead of the Central Bank of Kenya’s (CBK) monetary policy review on May 30, the Kenya Bankers Association (KBA) has proposed the central bank should raise its policy rate to boost market stability. Much as demand pressures remain somewhat mute, with core inflation at 2.8%, heightened expectations have the potential to turn into real pressure if prolonged,” NCBA Research .
The Central Bank of Kenya has floated an 18-year Infrastructure bond worth KSh 75 billion to fund infrastructure projects in the 2021/22 fiscal year budget estimates. The sale period is from 23rd May 2022 to 7th June 2022.
The US$100mn master guarantee facility will see BII act as a guarantor for supply chain finance facilities provided by Citi to SME suppliers and underserved segments. From the deal, Citi estimates to increase its annual Supply Chain Finance volumes in the continent by up to US$400mn as a result.
In fact, benchmark rates including the two and ten-year papers have so far this year risen by 151bps and 83bps respectively. After rising to 6.5% in April of 2022, inflation expectations have firmed to the upside.
Data from Stanbic Bank Purchasing Manager’s Index (PMI) showed that the month of April 2022 declined to 49.5 from 50.5 recorded in March 2022 pointing toward deterioration in the business environment. The average PMI for the first four months of 2022 came in at 50.1, higher than the 49.1 recorded in the same period in 2021 indicative of an improved business environment over the period.
The National Treasury missed its target of raising Ksh.60 billion from the domestic debt market in May only managing Ksh.31.7 billion. Investor bids on the new 10-year paper (FXD1/2022/10) and the re-opened 25-year bond (FXD1/2021/25) which traded between April 28 and May 10 was Ksh.43.1 billion.
Kenya’s gross domestic product (GDP) grew by 7.5 percent in 2021 , rebounding from the 0 .3 percent contraction in 2020 according to the Economic Survey for 2022. In contrast, the cost of living surged to 6.1 percent in the year from 4.7 percent in 2018, according to the survey by the Kenya National Bureaus of Statistics (KNBS).
Kenya’s minimum wage will be 12 percent higher in 2022, President Uhuru Kenyatta said, from the current Ksh 13,500. The minimum wage was last reviewed in 2018.
The Central Bank of Kenya, on behalf of the Ministry of Finance, is seeking Ksh.60 billion from the domestic debt market in May. The bonds feature FXD1/2022/10 and FXD1/2021/25, with tenors to maturity of 10.0 years and 24.1 years, respectively.
Kenya’s consumer price index increased to 6.47 percent in April from 5.56 percent in March of 2022 driven by high food prices. The Kenya National Bureau of Statistics data also showed that a surge in fuel costs pushed the transport index by 6.88 percent while housing, water, electricity, gas, and other fuels rose by 5.47 percent between April 2021 and April 2022.
The International Monetary Fund ( IMF) has reached a staff agreement to advance KSh 28 billion loan to Kenya as part of the $2.3 billion Special Drawing Right (SDR) approved in April 2021. The agreement is the third review of the economic policies program which took place between March 31 and April 22.
This is the second upwards review since September 2021. In the monthly review by the Energy Petroleum Regulatory Authority, the costs of petrol, diesel, and kerosene increased by KSh9.90.
Kenya’s fiscal deficit is likely to stay at the budget estimate of 6.2 percent of gross domestic product (GDP) in 2022-23, according to Finance Minister Ukur Yatani. The fiscal deficit estimated by the budget is Ksh 862.5 billion.
The Markit Stanbic Bank Kenya Purchasing Managers’ Index (PMI) dropped from 52.9 in February to 50.5 in March, signaling a slower and only marginal improvement in the health of the Kenyan private sector economy.
Kenya’s Finance Minister Ukur Yatani presented July 2022 to June 2023 spending proposals to parliament on Thursday. The government plans to spend an estimated KSh3.31 trillion budget.
The central bank said Wednesday it has not lowered its 2022 growth projections. Russia and Ukraine are not significant trading partners for us and as such, our GDP projection would not dramatically deviate from the war,” CBK Governor Patrick Njoroge said after the Monetary Policy Committee meeting on Tuesday, March 29, 2022.
The Democratic Republic of Congo was officially admitted to the East African Community on Tuesday, during the 19th Extraordinary Summit of the EAC Heads of State. “Today, the 29th, is a historic day in the history of the EAC as we admit the DRC into the EAC.
The Treasury is targeting KSh 70 billion from two bonds (FXD1/2022/003 and FXD1/2022/015) auctions in April 2022 from the domestic market. The three-year paper seeks to raise Ksh 40 billion and a new 15-year paper worth Ksh.30 billion.
The World Bank has approved $750 million lending to Kenya to t to sustain its strong economic growth performance. The funding is the second under the Development Policy Operation (DPO) initiated in 2020 that provides low-cost budget financing along with support to key policy and institutional reforms.
The Energy and Petroleum Regulatory Authority (EPRA) on Monday reviewed upwards by Ksh.5 per litre for the price of petrol and diesel. This is the first upwards review since September 2021.
Uganda ranks number one in East Africa, with 57 points in the Africa Financial Markets Index 2021. Kenya follows with a score of 47, Tanzania came third with 45, followed by Rwanda with 43 and Ethiopia with 25.
Stanbic Bank Kenya Purchasing Managers Index (PMI) for February revealed a strong rebound in business activity attributed to flat COVID-19 infections prompting an increase in customer numbers. In addition, with input demand rising, increase in tax burdens and global material prices, firms’ overall costs grew at the sharpest pace since September 2018.
Gold exchange-traded funds at the Nairobi bourse recorded an all-time high turnover of KShs 91.7 million on a volume of 44,000 units and closed at Ksh.2075 Wednesday. According to Nairobi Stock Exchange (NSE) market report, the overall turnover in the market activities as of March 2 was KSh 792 million from the previous sessions KShs 202 million with 11.57 per cent contributed by the Absa New Gold Exchange Traded Fund.
Kenya Trade Network Agency has unveiled several initiatives to improve the ease of doing business for Avocado and Fish in the current financial year 21/22. In 2021, Kenya topped Africa’s avocado exports and was among the world’s top 10 producers.
Kenya’s consumer price index (CPI-) based inflation rate fell to a 17-month low of 5.07 per cent in February against 5.39 per cent in January driven by softer fuel, electricity and food price pressures. Fuel prices for the period 15th February 2022 to 14th March 2022 remain unchanged at Kshs 129.7 per litre for Super Petrol, Kshs 110.6 per litre for Diesel and Kshs 103.5 per litre for Kerosene.
Kenyan exports are expected to grow at an average annual rate of more than 7 per cent hitting Ksh 1.2 trillion (USD 10.2 billion) by 2030. As per Standard Chartered titled Future of Trade 2030: Trends and markets to watch , the growth of exports is being driven by the expansion of the manufacturing sector and strengthening of its regional trade relation.
Kenya’s National Treasury plans to raise Ksh 50 billion in March with the sale of reopened five-year (FXD1/2021/05), 15-year (FXD1/2020/15) and 25-year bonds (FXD1/2021/25) for budgetary support. The FXD1/2021/05 with 4.7 years maturity has a fixed interest rate or coupon of 11.277 per cent while FXD1/2020/15 with 12.9 years to redemption has a fixed rate of 12.756 per cent.
Kenya leads the world in P2P cryptocurrency transactions, and ranks fifth overall in its adoption, a new report showed on Thursday. The pilot was completed over three months at the start of 2021 to test whether digital stable coins and mobile wallets could ease frictions and reduce costs in cross-border payments.
The 19-year infrastructure bond (IFB1/2022/019) was oversubscribed by 176.3 per cent with bids worth Ksh 132.3 billion received, an indication of a high appetite for the longer-term securities. According to the auction results issued by the Central Bank of Kenya Wednesday, it received bids worth Ksh 132,257.79 billion against its offer of KSh 75,000.00 billion.
Kenyan private sector activity rose sharply in January, the seventh consecutive month of growth since the COVID-19 outbreak, a survey showed on Thursday. The Markit Stanbic Bank Kenya Purchasing Managers’ Index (PMI) reading was at 53.2 in January, up from 51.4 in December to the highest reading for three months.
Kenya’s inflation declined to 5.39 per cent in January, mainly due to lower electricity and transport costs, according to government data released on Monday. The Consumer Price Index-based (CPI) inflation was at 5.39 per cent in January compared to 5.73 per cent in December 2021 the Kenya National Bureau of Statistics said.
Kenya’s current account deficit widened to 5.4 per cent of gross domestic product in 2021 above the year’s projection by the central bank. The central bank had projected 5.2 per cent of gross domestic product for the year.
Rwanda and Uganda have mutually agreed to reopen the Gatuna-Katuna border post on 31st January 2022. The border was closed in February 2019 after Rwanda issued an advisory to its citizens warning them against travelling to Uganda over security concerns.
The International Monetary Fund, on Tuesday, slashed its global growth forecast for the calendar year 2022 to 4.4 per cent from 4.9 per cent projected in the previous World economic Report in October. “The global economy enters 2022 in a weaker position than previously expected.
Kenya’s current account deficit (CAD) in November widened to 5.2 per cent of gross domestic product (GDP), against 4.7 per cent in the same period 2020, owing to a higher import bill. The CAD expanded by 27.4 per cent in Q3’2021 to Ksh 184.6 billion from Ksh 145.0 billion recorded in Q3’2020.
The United Kingdom’s Atkins Global will design Kenya’s $246 million modern, eight-platform Central Train Station. The 425-acre will have a public space anchoring commercial and residential developments.
The National Treasury raised Ksh 34.9 billion from its second tranche of bonds FXD2/2018/10 and FXD1/2021/20. Investor bids in the auction stood at Ksh38.4 billion against a target of just Ksh 30 billion.
The Chairperson of the EAC Council of Ministers who is also Kenya’s Cabinet Secretary for EAC and Regional Development, Adan Mohamed, said that the EAC and DRC negotiation teams were expected to conclude their negotiations within 10 days. DRC shares borders with five (5) EAC Partner States, namely Tanzania, Burundi, Rwanda, Uganda and South Sudan,” added the Secretary-General.
Tanzania and Burundi have signed an agreement to construct a $900m railway line Tanzania’s finance ministry said on Sunday. The 282km line will link Uvinza with Gitega to boost regional trade.
The Council of Ministers of the East African Community (EAC) Friday said Kenya and Uganda have reached an agreement to conduct testing for Covid-19 using the same antigen test to reduce the backlog of trucks. Just drove nearly 72km from Sango, Webuye, Kenya, to Malaba border.
Kenya, East Africa’s largest recipient of remittances, received USD 3,718 million (Ksh.421.6 billion) in 2021 with the United States being the biggest source, accounting for over 63.2 per cent of these funds, according to the Central Bank. “The cumulative inflows in 2021 were a record of USD 3,718 million from USD 3,094 million in 2020 , a 20.2 per cent increase,” the Central Bank said in its Weekly Bulletin.
Kenya’s Energy and Petroleum Regulatory Authority (EPRA) on Friday kept the prices of kerosene diesel and petrol unchanged across all towns between January 15, 2022, and February 14, 2022. Accordingly, diesel, petrol and kerosene prices in Nairobi will retail at KSh110.60, KSh129.72 and KSh103.54 respectively.
Africa’s new cross-border payment system, Pan-African Payments and Settlement System (PAPSS), was launched Thursday in Ghana by the Afreximbank in partnership with the African Continental Free Trade Area (AfCFTA) Secretariat. The platform will facilitate instant cross-border payments in local currencies between countries minimizing risk and contributing to financial integration across the regions.
The transhipment took place at Naivasha Inland Container Depot pic.twitter.com/YG84A0awiA — Kenya Railways (@KenyaRailways_) January 10, 2022 Mainga disclosed that the freight train has the capacity to handle 120,000 containers annually. This will account for 30 per cent of imports and exports through the port of Mombasa.
Kenya Airways Chief Executive and Managing Director Allan Kilavuka said they have the capacity to transport 6 tonnes daily and 42 tonnes per week. “The role KQ plays in this initiative is important as we are supporting trade efficiency by connecting the fresh produce industry from this region to the rest of the world,” Kilavuka said during the inaugural flight ferrying 16 tonnes of cargo destined for the United Kingdom.
Kenya’s Energy Ministry has cut electricity tariffs for consumers by 15 per cent stating that it will boost economic growth by reducing the cost of living and reduce the cost of doing business. In a statement on Friday, the Ministry said the first tranche of 15 per cent has been effected upon gazettement.
The Central Bank of Kenya (CBK) collected KSh 27,428.16 Million from the re-opened five-year (FXD1/2020/5) Treasury Bond Issue representing a 94.6 per cent subscription rate. The CBK on behalf of the National Treasury had targeted KSh 30,000.00 Million.
They walk with us hand in hand,” Kenyatta said after inspecting the KShs 40 billion offshore Kipevu Oil Terminal in Mombasa. The 770m jetty is, fully funded by the Kenya Ports Authority (KPA) with a capacity to load and offload very large vessels of up to 200,000 DWT carrying all categories of petroleum products including crude oil, white oils and LPG.
Companies in Kenya are less optimistic that the country’s economic growth will gain traction in 2022, according to the latest PMI data besides witnessing an expansion to a 14-month high in December. The Stanbic Bank Kenya Purchasing Managers Index-PMI says the pace of growth was the strongest seen since October 2020 on improving customer demand and better cash flow as economic conditions recovered further from pandemic measures.
Kenya’s annual inflation eased to 5.7 per cent in December from the previous month’s 5.8 per cent , helped by lower fuel costs attributed to the ongoing government subsidy, as per data released on Friday. Fuel prices for the period 15th December 2021 to 14th January 2022 remained unchanged at Ksh 129.7 per litre for Super Petrol, Ksh 110.6 per litre for Diesel, and Ksh 103.5 per litre for Kerosene which has had an impact on the inflation basket.
The country’s gross domestic product in the quarter grew 9.9 per cent on-year, data released by the Kenya National Bureau of Statistical Office on Friday showed, compared to compared with a contraction of 2.1 per cent the same period in 2020. “Economic recovery from the effects of COVID-19 pandemic continued in the 3rd quarter of 2021 as a result of easing of containment measures.
The Democratic Republic of Congo (DRC) is the newest member of the East African Community (EAC) increasing the community’s population by 46 per cent from 195 million to 285 million. DRC will be the largest in the EAC bloc after Tanzania which has 947,000 square kilometres.
The Central Bank of Kenya (CBK), invites bids for the January bond prospectus that is reopening 5-year, 10-year and 20-year bonds sold in 2020, 2018 and 2021 respectively with 3.4, 7.0 and 19.7 years maturity. The CBK on behalf of the National Treasury seeks to raise Ksh 30 billion for budgetary support.
The International Monetary Fund (IMF) finally approved a disbursement of $28.5 million ( KSh32 billion) to Kenya. The funds are aimed at supporting Kenya’s program to address debt vulnerabilities and response to the Covid-19 pandemic and at enhancing governance.
Kenya’s National Treasury raised KSh37.8 billion in its re-opened two bonds, FXD4/2019/10 and FXD1/2018/20 for budgetary support. The Central Bank of Kenya on behalf of the treasury had sought Ksh 40 billion , with investors offering KSh41.2 billion a 102.9 per cent subscription rate with the CBK accepting bids worth Ksh.37.8 billion.
Hisa Technologies on Monday unveiled Hisa mobile app that allows anyone in Kenya to invest in US stocks and ETFs directly from their phones using mobile money. The FinTech company, in partnership with Faida Investment Bank Limited, also announced that it has received a no-objection from Kenya’s Capital Markets Authority (CMA) to offer fractional investing in US Stocks and ETFs and Kenyans stocks.
The PMI reading was at 53.0 in November up from 51.4 in October to a ten-month high, signalling a solid upturn in the health of the private sector economy. Readings above 50.0 signal an improvement in business conditions on the previous month, while readings below 50.0 show a deterioration.
Kenya’s annual inflation eased to 5.8 per cent in November from the previous month’s 6.4 per cent , helped by lower increases in the cost of food and non-alcoholic beverages, government data showed on Tuesday. This is the lowest rate of the Consumer Price Index, seven months since April when inflation stood at 5.76 per cent.
Kenya’s current account deficit will close the year at 5.2 per cent of gross domestic product, its central bank governor said on Tuesday. Dr Patrick Njoroge said the current account deficit was forecast to fall to 5.2 per cent of gross domestic product in 2021, from the current 5.4 per cent in the 12 months to October 2021.
Kenya is expected to grow at 6.4 per cent in 2021 but economic growth could decelerate next year to 6.0 per cent, according to the Central Bank. The forecast is higher than the 6.1 per cent growth for this year and 5.6 per cent in 2022 projected in September.
Kenya’s Monetary Policy Committee retained its benchmark lending rate at 7.00 per cent, an accommodative stance necessary to revive growth and come out of the Covid-19 induced stress. This is the 11th time the MPC has retained the interest rates.
Even as the Kenyan economy recovers from the shocks of the coronavirus pandemic, 41 per cent of businesses in the Manufacturing and Distribution financial leaders have yet to record their digital Return on Investments (ROI). Additionally, 51 per cent of businesses considered management of cash flow to be the biggest priority in order to expand their revenue model while 40 per cent felt that investment in research and development (R&D) was their top priority.
Exinity Trader is the first of Exinity’s products to launch in Kenya and will be followed in early 2022 by its flagship mobile app Exinity World. Users of Exinity Trader have access to global markets including equities, forex, indices and commodities from a single account Exinity Capital East Africa Limited was the fourth non-dealing online foreign exchange broker to be licensed by the Capital Markets Authority in 2020.
The National Treasury plans to raise Ksh.40 billion from the sale of FXD4/2019/10 (8.00 years) and FXD1/2018/20 (16.40 years) bonds in December. The papers carry a coupon rate of 12.280 per cent and 13.200 per cent respectively.
The guidelines are in line with the Companies Act, 2015, which introduced the share buyback option for publicly-traded firms. Additionally, a buyback may be cancelled or otherwise suspended if material information is announced within 14 days prior to the buyback being conducted.
Investors who participate in day trades will receive a discount on the second leg of the transaction which will be levied at 0.114 per cent compared to normal trades which are levied at 0.12 per cent. Day trading requires various strategies coupled with trading discipline to hedge from psychological biases that may arise,” Genghis Capital said in its Cross-Asset Weekly Strategy dated 1st November 2021.
Kenya’s fiscal deficit has been revised to an estimated 8.20 per cent from 7.40 per cent of gross domestic product (GDP) in 2021-22, according to the draft Budget Policy Statement (BPS) 2022. Revenue collection is estimated to rise by 18 per cent in the fiscal year 2022/23 equivalent to KSh 2,405 billion from the projected KSh 2,036 billion in 2021/22.
The Central bank of Kenya’s September 2021 Financial stability report found out that insurance uptake in the country remains low compared to other key economies with the insurance penetration at 2.3% as at December 2020. This is below the global average of 7.4%, attributable to the fact that insurance is still seen as a luxury and mostly taken when it is necessary or a regulatory requirement.
Kenya’s current account deficit widened to 5.6 per cent of GDP in the 12 months to September 2021 compared to 5.0 per cent of GDP in the 12 months to September 2020. National Treasury said in the first of 2021, the current account deficit expanded by 28.2 per cent from Ksh 85.9 billion in the second quarter of 2020 to Ksh 110.1 billion in the corresponding quarter of 2021.
Kenya’s economy rebounded 10.1 per cent year-on-year in the second quarter of 2021, buoyed by good performance across all sectors, according to preliminary figures released by the National Bureau of Statistics. This is compared to a contraction of 0.2 per cent in a similar period in 2020.
We are currently in the process of setting up our operations preparing detailed plans for operational readiness amongst other requirements ahead of our commercial launch in 2022. Our break-even targets may be significantly impacted by the impact of the current conflict on the launch of operations which we target by mid-2022.
The tax collector reviewed the prices upwards using the average inflation rate for the 2020/2021 financial year which is averaged at 4.97 per cent which came into effect November 2. This means that the rate of excise duty for fruit juices has risen to Ksh 12.17 per litre from Ksh 11.59 while duty on bottled water has been hiked to Ksh 6.03 per litre from Ksh 5.74.
217 issued by Kenya Revenue Authority Commissioner General, Githii Mburu “…is likely to create confusion”. According to the Finance consulting firm, the tax collector’s notice seeks to adjust excise duty levied on various products was published on November 2, 2021, but is dated 15, October 2021 and does not clearly define its effective date.
The launch in Kenya marks the six-month milestone since the Dubai based e-commerce platform first began trading operations in Rwanda in 2021. In a statement, it said Kenyan businesses will benefit from its secure and reliable way to develop, expand and crucially, improve supply chain connectivity and resilience as the country recovers from the COVID-19 pandemic.
The International Monetary Fund (IMF) and Kenya on Friday reached an agreement over reforms that would pave the way for the disbursement of USD 264.0 million (Ksh 29.5 billion) if approved, it said in a statement. This is a staff-level agreement on the second review of the 38-month Extended Fund Facility (EFF) and Extended Credit Facility (ECF) – funded program.
The index rose to 51.4 in October from 50.4 in September according to the monthly Stanbic Bank Purchasing Managers Index (PMI). Readings above 50.0 signal an improvement in business conditions on the previous month, while readings below 50.0 show a deterioration.
CDC Group , the UK’s development finance institution and impact investor, on Tuesday, said it will invest over £3 billion to support emerging economies in Africa and Asia to combat the climate emergency. This will be supported by the £200 million Climate Innovation Facility announcement by the UK Government at COP26.
The governments of Kenya and the Democratic Republic of Congo in partnership with Equity Group to lead a 15-day trade mission to DRC in an effort to deepen trade relations between the two nations. The Kenya-DRC Trade Mission is targeting over 200 investors and business participants from Kenya, and a similar number from DRC will be held between 29th November and 13th December 2021.
Inflation in Kenya based on the Consumer Price Index (CPI) fell marginally to 6.45 per cent in October from 6.91 per cent in September due driven by higher food prices. The statistics body disclosed that during the month, prices of tomatoes, oranges and sugar increased by 3.53, 3.12 and 2.50 per cent, respectively.
The rollout of day trading will go live on 22nd November 2021 as part of a strategy by the bourse to enhance market liquidity. Investors participating in day trades will receive a discount on the second leg of the transaction, which will be levied at 0.114 per cent compared to normal trades, which are levied at 0.12 per cent.
Reduce the minimum investments to reasonable amounts: Currently, the minimum investment for sector-specific funds is Kshs 1.0 mn, while that for Development Real Estate Investment Trusts (REITs) is currently at Kshs 5.0 mn. The high minimum initial and top-up investments amounts are unreasonably high given that the national median income for employed individuals is estimated at around Kshs 50,000.
President Uhuru Kenyatta announced a Ksh 25 billion stimulus package for the revival of the pandemic-hit economy on Wednesday. Kenyatta said the stimulus package complements ongoing State interventions that are expected to sustain the momentum of recovery, within the year’s growth rate projected to be 6 per cent.
With Kenya recording, a steady decline in COVID-19 positive cases, President Uhuru Kenyatta lifted the nationwide dusk to dawn curfew that was in place since March 2020 on Wednesday. President Kenyatta said infection rates had fallen, with less than 5 per cent of tests each day.
Still, markets like Nigeria present developers with an opportunity, recording the highest deficit of 1,000,000 sqm,” Tilda Mwai, Senior Analyst- Africa, Knight Frank. e-Commerce While the penetration of e-commerce was already rising pre-Covid, online sales revenues increased by over 28% to USD 27 billion in 2020 compared to 2019 across Africa.
Kenya has outperformed the global average in female representation in boardrooms according to the latest 2021 Board Diversity and Inclusion Survey Report. According to data by the Kenya Institute of Management (KIM), gender diversity in Kenyan boardrooms now stands at 36 per cent, a significant increase from 21 per cent in 2017.
Established in 1993, CCA is the largest umbrella body of American companies operating in Africa with an overarching objective of promoting trade and investments between the US and the African continent. President Kenyatta noted that both Kenyan and US economies are largely driven by SMEs saying that the agreement would help accelerate Kenya’s economic recovery efforts from the ravages of the Covid-19 pandemic.
According to its Proposed Kenya – United States of America Free Trade Area Agreement Negotiation Principles, Objectives, And Scope, its specific objective is to ensure that there is no disruption of Kenya’s market access into the USA after AGOA expires on September 30, 2025. @DavidOsiany @lawrenc_karanja @Ps_AmbKaberia @IndustryKE @USEmbassyKenya @StateHouseKenya @KEBS_ke pic.twitter.com/uraLno3CfP — Trade Kenya (@Trade_Kenya) October 10, 2021 The two formally launched negotiations for a free trade agreement on 8 July 2020.
Kenya National Treasury’s plan to raise Ksh 60 billion from Treasury bonds (T-bonds) in October witnessed under-subscriptions attributed to the tight liquidity end of September. The Central Bank of Kenya received bids worth Ksh 55.5 billion representing a 92.5% performance rate.
Nairobi jumped eight places to 98 out of the total 196 cities ranked globally in the latest Global Financial Centres Index (GCFI). The index rates 116 financial centres across the world combining assessments from financial professionals with quantitative data which form instrumental factors.
Kenya’s private sector activity fell in September from August’s 51.1 to 50.4 as rising living costs weighed on consumer spending and new orders, a monthly survey said Tuesday. Data from the Kenya National Bureau of Statistics (KNBS), showed that the rate of inflation surged to 6.9 per cent in September , its highest count since February 2020.
Inflation accelerated to 6.9 per cent from 6.57 per cent in August , the Kenya National Bureau of Statistics said Thursday. Prices of commodities with food and non-alcoholic beverages and transport rising by 10.63 and 9.21 per cent, respectively.
The Kenyan economy is expected to expand by 6.1 per cent in 2021 and 5.6 per cent next year, the Central Bank has said. In 2020, the economy contracted by 0.3 per cent.
The Central Bank of Kenya held interest rates steady at 7.0% on Tuesday citing a healthy economy supported by robust performance of construction, manufacturing, education, real estate and transport and storage sectors. This is the 1oth time the bank’s Monetary Policy Committee (MPC) has maintained the rate.
This comes at a time when major central banks across the world are considering a gradual scale back of the unprecedented stimuli released in the wake of the COVID-19 pandemic. The persistence of supply chain constraints could see inflation approach the 7.50% upper band target by year-end.
Kenya’s National Treasury has reopened three bonds to raise Ksh 60 billion in October for budgetary support. The Treasury Bonds, FXD1/2013/15, FXD3/2019/15 and FXD1/2021/25, have effective tenors of 6.4 years, 12.9 years and 24.7 years, respectively.
The minimum tax – calculated at 1 per cent of gross turnover – went into effect in January.
Kenya’s High Court on Monday struck down the implementation of minimum tax at a rate of 1 per cent of firms’ turnover and said it was unconstitutional as the law would lead to double taxation and unfair targeting. Consequently, through the Finance Act, 2020, Parliament amended the Income Tax Act by introducing a new Section 12D providing for the introduction of Minimum Tax at the rate of 1 per cent of the gross turnover effective 1 January 2021.
Kenya and the United Kingdom signed the Economic Partnership Agreement (EPA) on the continuation of goods and services between the two countries in December 2021. Kenya, in turn, commits to a phased liberalization on trade in goods spread over 25 years but retains tariffs for some products deemed sensitive domestically.
The World Bank Group said on Thursday it has decided to discontinue publication of its “Doing Business” rankings of country business climates after a review of data irregularities in the 2018 and 2020 reports. According to the review findings, the initial Doing Business 2018 report, China had a score of 65.3 with a global ranking of 78, similar to the previous year’s.
According to IndustryARC, a Leading Provider of Market Research Reports, the East Africa lubricant’s market demand is projected to grow at a compound annual growth rate (CAGR) of 3.15 per cent during the forecast period of 2019-2025.
As the coronavirus pandemic wreaked havoc on economies and livelihoods, 31 million more people were pushed into “extreme poverty”, according to The Bill & Melinda Gates Foundation fifth annual Goalkeepers Report. Covid-19 Has Pushed 2 Million Kenyans into Poverty: World Bank In the 2020 Goalkeepers Report, the Institute for Health Metrics and Evaluation (IHME) predicted a drop of 14 percentage points in global vaccine coverage—effectively erasing 25 years of progress in 25 weeks.
The oil company intends to an additional Ksh 340 billion due to additional wells to be drilled and larger diameter crude oil export pipeline. The company said the Kenyan project’s development for Blocks 10BB and 13T licences has been revised and has been “commercially, technically and environmentally enhanced”.
Effective October 14, 2021, a litre super petrol will retail at KSh7.58, KSh7.94 for a litre of diesel, and KSh12.97 for kerosene. Consequently, Super Petrol, Diesel, and Kerosene will retail at KSh134.72, KSh115.60, and KSh110.82 per litre respectively in Nairobi.
The growth in Kenya’s real Gross Domestic Product (GDP) in 2020 contracted to -3 per cent as compared to the growth rate of 5.0 per cent in 2019 the statistics body said Thursday. “The economy was supported by accelerated growth in agricultural production, construction and health services,” the Kenya National Bureau of Statistics (KNBS) said in its 2021 Economic Survey Report.
Central Bank of Kenya’s (CBK) September twenty-one-year infrastructure bond issuance attracted a subscription worth Ksh 151 billion with Ksh 106 billion being accepted. The original issue plan was to raise Kshs 75 billion with proceeds being used to fund infrastructure projects in the 2021/2022 National Budget Estimates .
According to its sixth set of Phase 2 drilling results, it discovered more high-grade gold intersections from infill drilling including a new intersection of 3.9 metres at 63.80 g/t of gold. It said, around 3,205 metres were drilled across 11 holes in June and July 2021 at the Isulu and Bushiangala deposits.
On-demand delivery platform Glovo , says it will double its existing investment in Africa to $59.3 million over the next 12 months. Glovo entered the African market at the end of 2018 in Morocco.
M-Pesa , the world’s leading mobile money service surged to a fresh record Tuesday reaching 50 million monthly active customers. This strengthens its position as Africa’s largest fintech since its launch more than 14 years ago in Kenya.
Data from the Central Bank of Kenya (CBK) shows the deficit, measured as a percentage of the gross domestic product, stood at 5.4 per cent in the 12 months to July 2021 compared to 4.9 per cent of GDP in the corresponding year. According to the data, Kenya imported goods and services worth $5.5 billion ( KSh594 billion) in 12 months to July compared to $5.1 billion (KSh550.8 billion) same period last year.
Nigerian automotive tech company Autochek acquires Cheki Kenya and Cheki Uganda from Ringier One Africa Media, an online marketplaces company in Sub-Saharan Africa. In a statement, Autochek said the acquisition of Cheki is the next step to expand its footprint in East Africa and continue its mission to provide seamless access to auto financing across the continent.
The Markit Stanbic Bank Kenya Purchasing Managers’ Index (PMI) rose to 51.1 in August from 50.6 in July. Readings above 50.0 signal an improvement in business conditions on the previous month, while readings below 50.0 show a deterioration.
Kenya’s annual inflation picked up to an 18-month high in August, largely driven by higher food and energy costs the statistics body said Tuesday. The Kenya National Bureau of Statistics (KNBS) said the rate accelerated to 6.55 per cent in August inflation from 6.44 per cent in July.
The Central Bank of Kenya (CBK) has invited bids for a 21-year amortized infrastructure bond worth KSh 75 Billion in September 2021. Proceeds will be used to fund infrastructure projects in the 2021/2022 National Budget Estimates .
The Kenyan government on Wednesday extended all existing Covid restrictions for another 60 days. The government has imposed extensive curbs, in addition to measures like 10 p.m.
Kenya has moved to increase the 10 million shillings minimum threshold required for foreign investors to obtain a trading certificate qualifying them for incentives such as tax rebates and investment deductions. The law set a minimum of 100,000 US dollars (approximately 10 million Kenyan shillings) for the certificate, a figure the CS claims is too low given the size of the Kenyan economy.
The Kenyan economy is expected to expand 6.6 per cent in the financial year 2022/23 (FY22) from an estimated 0.6 percent in 2020. We remain hopeful that our economy will rebound to above 6.0 percent over the medium-term from a growth of 0.6 percent in 2020,” National Treasury and Planning Cabinet Secretary Ukur Yatani said .
A third of businesses surveyed provided a positive forecast for output over the coming 12 months. According to the Purchasing Managers Index (PMI) by Stanbic Bank Kenya, which tracks growth in the manufacturing and services sectors, eased marginally to 50.6 points in July from a higher 51 points in June.
Kenya’s current account deficit widened to 5.4 per cent of Gross domestic product (GDP) in the 12 months to June from 5.2 per cent, primarily on account of a higher trade deficit. “It is at 5.4 per cent in June and we expect that will remain at 5.2 per cent for the year.
Kenya’s inflation accelerated to 6.44 per cent in July of 2021 from 6.32 per cent in June , its highest level since February 2020 . The increase is due to the effects of the Finance Bill 2021, which contained a raft of tax measures with a substantial impact on households and the economy.
This means the central bank is likely to keep the benchmark interest rates unchanged at 7.00 per cent. The CBK’s monetary policy committee (MPC) kept the lending rate unchanged at 7.00 per cent on Wednesday for a ninth straight meeting.
The Central Bank of Kenya on Wednesday left the benchmark interest rate unchanged at 7 per cent for the ninth time. However, it said it stands ready to take additional measures in order to support the economy hit by the Coronavirus (Covid-19) pandemic.
With the current surge in COVID-19 cases and inflation well anchored, the Central Bank of Kenya is likely to maintain the status quo on policy rates. The Monetary Policy Committee (MPC) meets Wednesday, against the backdrop of COVID-19 shock and its spillover to the economy.
“One year down the line, improving cash flow remains a top priority among manufacturers (67%). This is followed by increasing domestic market share (65%) while cost reduction was the third top priority,” according to a report on the impact Covid-19 on the manufacturing sector conducted by Kenya Association of Manufacturers and KPMG between May 2020 and June 2021.
According to the international energy agency, around 580 million people in sub-Saharan Africa lacked access to electricity in 2019, three-quarters of the global total, while renewable energy is expected to contribute 22% of Africa’s total energy consumption by 2030. Huawei’s smart PV solution has been deployed in more than 60 countries and regions and has generated more than 300 billion kWH of green electricity, powering millions of residents and hundreds of industries globally.
“Further, in line with Article 10 of the EAC Common Market Protocol , the Workers of the two Partner States will be allowed to accept employment within the territory of each other,” the Foreign Office noted. The EAC was founded in 1967 to promote cooperation between East African nations and is composed of Burundi, Kenya, Rwanda, South Sudan, Tanzania, and Uganda.
Tullow Oil plc , a UK-based explorer in Africa and Asia, says it will provide a project update of the Kenyan market in the second half of 2021. Tullow said the Kenya project has been through a full redesign using data from the 2018-2020 Early Oil Pilot Scheme (EOPS).
Kenya’s public and guaranteed debt hit KSh7.7 trillion in June from KSh7.28 trillion as of December 2020., according to the Central Bank of Kenya in its weekly bulletin dated July 16. The country’s debt comprised of KSh 3,697.7 billion domestic debt (47.9 per cent) and KSh 4,015.3 billion external debt.
Remittance inflows hit a record high of $305.9 million in June, a 20.4 per cent increase supported by higher flows from the US. According to Central Bank data, the June numbers were higher compared to USD 288.5 million in June 2020 and USD 315.8 million in May 2021.
The Safaricom consortium intends to invest KSh800 billion over the next 10 years to roll out telecommunication services.
Fuel prices remain unchanged in all the major towns in Kenya over the next month to August 14, 2021, on Wednesday, according to the latest review from the Energy and Petroleum Regulatory Authority (EPRA). The Ksh.1.4 billion fund is used to compensate oil marketers as payments for haircuts taken to cushion Kenyans from higher fuel prices.
Data from the Central Bank of Kenya (CBK) shows the deficit, measured as a percentage of the gross domestic product, stood at 5.5 per cent in the 12 months to May 2021 compared to 5.2 per cent of GDP in the 12 months to May 2020. Diaspora remittances have surged by a 22.3 per cent y/y increase to USD 315.8 mn in May 2021, from USD 258.2 mn recorded over the same period in 2020.
The Kenyan shilling remained stable at 107.95 week ending July 8 as the demand for the dollar matched its supply in the local currency market. “It exchanged at KSh 107.95 per US dollar on July 8, compared to KSh 107.92 per US dollar on July 1,” the Central Bank said in its Weekly Bulletin.
Kenya’s exports to Tanzania declined from 342.9 million U.S. dollars in 2016 to 294.9 million dollars in 2020 while its exports to the rest of the world grew from 5.7 billion dollars in 2016 to 6.02 billion dollars in 2020.
Surging derivatives trade on the Nairobi Securities Exchange in the first half of 2021 hit a two-year high, ‘steady growth since its launch”. This translates to Ksh 148 million, a 668 per cent turnover gain over a similar period in 2020.
Why the Rate of Sports Betting Will Keep Rising in Kenya In 2019, the Board banned outdoor and online advertising of gambling , as well as the advertising of the same between 6 am and 10 pm. The Finance Bill, 2021 cut the 20 per cent tax on winnings from gambling to 7.5 per cent.
The Covid-19 pandemic could harm business activity in Kenya’s private sector. Readings above 50.0 signal an improvement in business conditions on the previous month, while readings below 50.0 show a deterioration.
Data by the Kenya National Bureau of Statistics (KNBS) showed an overall rate of inflation in June at 6.32 per cent, compared to the 5.87 per cent recorded in May. This was a 16 month high similar to February 2021.
Nairobi, Kenya’s capital improved 47 places to become the world’s 145th most expensive city in 2021, according to a Mercer Cost of Living report. This was the best position in seven years for Nairobi, which had last year ranked 95 out of the 209 cities surveyed.
Kenya will receive emergency aid totalling USD 410 million to support its program to address debt vulnerabilities, the International Monetary Fund (IMF) said on Wednesday. It will also help respond to the COVID-19 crisis and enhance governance.
Kenya received over USD315.8 million in remittances in May, a 22.3 per cent increase from the previous year, despite a pandemic that continues to devastate the country’s economy, according to the central bank. According to the CBK, the cumulative inflows in the 12 months to May 2021 totalled USD 3,365 million compared to USD 2,816 million in the same period in 2020, a 19.5 per cent increase.
“I’m looking for a job, this fish one, is barely sustainable, especially with these new Covid -19 directives. Wanjiru’s hope to get another job is just one of the effects of Covid-19 hitting the lower strata of society and daily wage workers who continue to face the greatest impact due to reduced household income.
The Central Bank of Kenya (CBK) raised Ksh 19.7 billion from the sale of its re-opened two 20-year bonds on Wednesday on behalf of the National Treasury. The bonds, FXD1/2012/20 with 17.9 years to maturity and FXD1/2019/20 with 11.4 years to maturity were meant to raise Ksh 30 billion.
PricewaterhouseCoopers LLP is investing $12 billion across its global business over the next five years to support audit quality. As a result, it aims to create over 100,000 new jobs.
The Ethiopian Government on Monday invited bids for a 40 per cent stake in State-owned carrier Ethio Telecom to private investors through a tender process. Through a statement issued by the ministry of finance, Ethiopia is now ready to release an Expression of Interest for the sale of 40 per cent of shares in the state-owned telecommunications company.
Petrol price in Kenya was hiked by KSh 0.77 per litre in the latest fuel prices review on Monday. The changes take effect from midnight of 15th June 2021 to 14th July 2021 inclusive of the 8 per cent VAT in line with the provisions of the Finance Act 2018, the Tax Laws Act 2020 and the revised rates for excise duty adjusted for inflation as per Legal Notice No.
Following the lifting of the partial restrictions that had been imposed in March 2021, Kenya’s private sector returned to growth in May and registered the fastest rate in seven months, said a monthly survey. Stanbic Bank Kenya Purchasing Managers’ Index (PMI) for the month of May 2021 increased to 52.5 from the 41.5 recorded in April 2021.
The World Bank has approved a $750 million loan to help Kenya recover from the effects of Covid-19 and budget support. “The operation prioritizes reforms in hard-hit sectors, such as healthcare, education, and energy, which have been made urgent by the impacts of the COVID-19 crisis,” said World Bank Kenya Country Director Keith Hansen.
Kenya’s fiscal deficit for 2021-22 is being projected at 7.5 per cent of the gross domestic product (GDP) for the fiscal year 21/22. This is from 8.7 per cent in the current fiscal year.
Kenya’s National Treasury on Thursday is expected to table an estimated Ksh.3.6 trillion budget for the year 2021-22. Within the overall budget estimates, the national government will be allocated Ksh 1.96Tn, Consolidated Fund Services at Ksh 1.33Tn and equitable revenue share to counties at Ksh 370.0Bn.
The inflation rate measured by the Kenya National Bureau of Statistics rose to 5.87 per cent in May, compared to the 5.76 per cent recorded in April. However, fuel prices have remained stable in the last two months as the prices for diesel and kerosene remained unchanged for the period mid-March to mid-June 2021, according to the monthly price releases by the Energy and Petroleum Regulatory Authority (EPRA).
Kenya on Sunday extended the nationwide 10 pm to 4 am curfew for another 60 days. This is effective from May 28 to stop the spread of coronavirus infections.
The country’s current account deficit hit a record 4.8 per cent in the last fiscal year and has been a key parameter for the Central Bank of Kenya while setting monetary policy. “The current account deficit is estimated at 5.2 per cent of GDP in the 12 months to April and is projected to remain at the same level in 2021,” the MPC said in a statement.
Central Bank of Kenya (CBK) on Wednesday decided to leave the benchmark interest rate unchanged at 7 per cent maintaining that “the current accommodative monetary policy stance remains appropriate”. However, the Monetary Policy Committee (MPC) will closely monitor the impact of the policy measures, as well as developments in the global and domestic economy, and stands ready to take additional measures as necessary to support the economy hit by the COVID-19 pandemic.
The Central Bank of Kenya (CBK) is expected to leave policy interest rate unchanged at 7.00% per cent when it meets Wednesday according to NCBA Market Research. “While the policy body may hold the CBR at 7.00 per cent, the market will look out for any update on credit markets especially on treatment of potential credit risks from the persistent uncertainty and fragile economic landscape.
The regional KShs 2.5 trillion is part of the Lamu Port-South Sudan-Ethiopia Transport Corridor project (LAPSSET) launched in 2012. When complete, the KShs 310 billion port will have 32 berths, 29 of which will be financed by the private sector, making it the largest deep-water port in Sub-Saharan Africa.
Upon completion of the Executive Board review, Kenya would have access to SDR 285 million (equivalent to about US$410 million),” said Mary Goodman , IMF team leader-Kenya. The IMF staff project the economy to expand by 6.3 per cent in 2021.
The company will deploy seven 2,800 TEU vessels to the service in Kenya and Tanzania offering connections to Hapag-Lloyd’s global network. “The new East Africa Service 3 (EAS3) will offer direct weekly sailings between China, South-East Asia, Kenya and Tanzania with very competitive transit times.
Kenya’s Energy and Petroleum Regulatory Authority (EPRA) has increased the price of super petrol by 3.56 shillings per liter while maintaining the price of Diesel and Kerosene. According to EPRA, the average landed cost of Super Petrol decreased by 0.57 per cent from 491.50 dollars per cubic meter in March 2021 to 488.69 dollars per cubic meter in April 2021.
Ethio Telecom posted revenue of 25.57 billion Ethiopian birr ($604 million) in the six months to the end of December 2020, has 50.7 million subscribers.
Kenya, according to the Monthly Economic Report for May 2021, policy support will be crucial in underpinning a sustained momentum despite limited space on the fiscal side and efficacy concerns on the monetary front. To this end, spending will remain above 25% of GDP in the next fiscal year, although this will sustain debt above 70% of GDP,” part of the report reads.
This was the first decline in activity and new business since June 2020 due to the partial lockdown in five counties, Nairobi, Kajiado, Kiambu, Nakuru and Machakos. The index fell sharply below the 50.0 neutral value in April, posting 41.5 to indicate a marked deterioration in business conditions.
She called for the removal of discriminative excise duties and fees that are contrary to Article 10 of the Customs Union Protocol. The two states agreed to set up a joint team of experts to address the disjointed enforcement of cross-border Covid-19 containment protocols, one of the most pronounced non-tariff trade barrier between the two nations.
“We need capital market collaboration in EAC to develop scale,” Kiprono Kittony said via his Twitter handle adding that Kenya and Tanzania bourses are worth a combined $63B USD, which is 6 per cent of the Johannesburg Stock Exchange. A total of 110 companies are listed on the four exchanges; 62 on the NSE, 9 on the RSE, 21 on the DSE and 18 on the USE.
Kenyan President Uhuru Kenyatta on Saturday lifted the Covid-19 restrictions following a 72% reduction in new cases within Nairobi. Initially, the Interior Ministry through a gazette notice had announced 60 days extension in the night curfew in the country’s five worst-affected counties.
The East African Community tourism and hospitality industry was devastatingly affected due to the Covid-19 pandemic in 2020 as a result of massive reductions in international tourist arrivals, receipts, jobs, visitors to parks and hotel occupancy rates. It also estimates that about 4.2 Million foreign tourists were not able to travel to their preferred EAC destinations.
Kenya National Treasury has re-opened its 15-year issue and a new 25-year bond seeking to raise Ksh 30 billion from the domestic market for budgetary support. “Bonds with similar tenor are currently trading at a yield of 12.8 per cent – 13.4 cent in the secondary market and as such, we recommend a bidding range of between 12.9 per cent-13.3 per cent,” CytonnInvestments notes on the FXD1/2021/25.
The Competition Tribunal has ordered Carrefour Supermarket to amend all current supply agreements within 60 days for Buyer Power. At the same time, Carrefour has been ordered to pay Ksh 545,106 to Orchards Limited for the termination of the contract to supply yoghurt.
Kenya and the Democratic Republic of Congo (DRC) reaffirmed their strategic partnership by signing four framework cooperation agreements covering several economic sectors, security and defence as well as maritime transport. Among the four pacts, signed on the second day of President Kenyatta’s three-day State visit to DRC, is the general cooperation agreement which provides a framework for joint promotion of economic, technical, scientific and socio-cultural programmes.
Nairobi, Kenya’s capital ranks top in Africa for innovation and ranks among the top 100 globally, according to Knight Frank’s Africa Horizons Report 2021/22 . In terms of data centres capacity, leading markets such as Johannesburg and Nairobi have a total live IT power of 54.9MW and 19.04MW respectively compared to data centre hubs such as Dublin and London whose live IT power stands at 795.8MW and 728.25MW respectively.
The High Court Monday issued conservatory orders restraining the Kenya Revenue Authority from implementing the minimum tax at a rate of 1 per cent of firms’ turnover. At the beginning of the current fiscal year, the government assented to the Finance Act, 2020 which amended the Income Tax Act by introducing a new Section 12D providing for the introduction of Minimum Tax at the rate of 1% of the gross turnover effective 1 January 2021.
Amid efforts to flatten the Covid-19 infection rate in Kenya’s capital, the Interior Ministry on Wednesday announced a 60 days extension in the night curfew in the country’s five worst-affected counties. Through a gazette notice, the current 8 pm to 4 am curfew in the counties of Kiambu, Kajiado, Machakos, Nairobi and Nakuru, which are classified as diseased zone due to a high prevalence of Covid-129, will remain.
Accordingly, a litre of petrol will continue trading at KSh122.81 in Nairobi, diesel KSh107.66 and a litre of Kerosene to retail at KSh97.85 until May 14. In the latest review, EPRA did not provide reasons despite the landed cost of petrol increasing 9.27 per cent to $4491.50 per cubic metre compared to $449.82 in February.
The $3.5 billion deal is a strategic win for Tanzania which will earn $12.7 (60 per cent) off each barrel of oil transported through it. pic.twitter.com/bDl7Yrivqk — Yoweri K Museveni (@KagutaMuseveni) April 11, 2021 The pipeline will cover 1,445-km ending at the port of Tanga in Tanzania, along with a storage terminal and loading jetty.
The central bank of Kenya on behalf of the National Treasury raised Ksh 81.9 billion on Wednesday from its 18-Year Treasury Bond (NO. The bond was oversubscribed with a performance rate of 147.63% with bids received totalling KSh88.6 billion against an advertised amount of KSh60 billion.
The Stanbic Bank Kenya PMI Index fell to 50.6 in March from 50.9 in February. Readings above 50.0 signal an improvement in business conditions on the previous month, while readings below 50.0 show a deterioration.
I welcome the invitation to work together on shaping mutually beneficial trade relations between Africa and the US post Agoa — Betty C Maina (@maina_betty) April 1, 2021 The Kenya-US FTA will replace the Africa Growth and Opportunities Act (Agoa) which is set to expire in 2025. However, the negotiations that commenced July 2020 came to a halt in November for the US elections.
The Kenyan currency is expected to remain under pressure in 2021 as largely driven by external factors says Cytonn Investments, an independent investments management firm. Cytonn’s latest Q1’2021 Markets Review , strengthening of the dollar, and rising uncertainties in the global market due to the Coronavirus pandemic will continue to impart depreciation pressures on the shilling.
Kenya will receive emergency aid totalling $2.3 (Ksh 255.9 billion) to help cover a shortfall in the nation’s budget and balance of payments due to the coronavirus pandemic, the International Monetary Fund (IMF) said in a press release on Friday. “Kenya was hit hard at the onset by the Covid-19 pandemic,” the IMF said .
President Uhuru is under mounting pressure to lift COVID-19 lockdowns in the four counties. The president was hopeful that within the thirty periods or the sooner the curve is flattened below 5 per cent, normalcy will return.
Kenya’s inflation quickened for the sixth straight month in March at 5.9 per cent from 5.78 per cent in February, data released by the Kenya National Bureau of Statistics (KNBS) showed on Wednesday. However, it remains within the government’s target range of 2.5%-7.5%.
Kenya is set to tap into the International Monetary Fund (IMF) financing programme to support its COVID-19 response and budget support. The Central Bank of Kenya expressed optimism that the Ksh 34.5 billion will be approved by the IMF Board next week with expectations it will be discussed on Friday, April 2.
Every year, Kenya alone loses USD 900 million to counterfeit products , according to the country’s Anti-Counterfeit Authority (ACA).
“However, we do not know the duration,” said Dr Patrick Njoroge, CBK Governor at a media briefing post MPC meeting held Monday maintaining the CBR at 7.0% through Q2. More space to cut rates On whether there was more space to cut interest rates from 7.00 per cent , Dr Njoroge said “There is definitely space to cut interest rates”, but it should not be solely anchored on interests rates as there are other measures that are needed.
This was a marginal improvement of one percentage point from November’s deficit of 4.7 per cent . “Provisional data on the balance of payments shows that the current account deficit narrowed to 4.6 per cent of GDP in the 12 months to February 2021 compared to 5.8 per cent of GDP in the 12 months to February 2020,” Central Bank of Kenya (CBK) said in its weekly bulletin.
NCBA Market Research projects that inflation could hit 6.20% in March from 5.80% a month before. Demand could soften further as new restrictions cool consumer spending,” they note in their Weekly Fixed Income Report dated 26 March 2020.
The Central Bank of Kenya announced it will sell a new 18-year Infrastructure Bond (IFB1/2021/18) worth Ksh 60 billion in April. The bond is currently on offer until 06/04/2021.
The Central Bank of Kenya held its benchmark lending rate at 7.0% on Monday, the bank’s monetary policy committee said. The Committee will meet again in May 2021, but remains ready to re-convene earlier if necessary,” the CBK noted.
Kenya’s new containment measures and other restrictions due to the third wave of Covid-19 infections, market analysts see bad loans rising. “Businesses and households might once again struggle to service their loans and as such, most loans might be categorized in stage 3,” says Cytonn Investments.
“This wave is expected to peak in the next 30 days with more than 2,500 to 3,000 cases reported daily. Based on experience, this peak will flatten only by Mid-May 2021, which is about 60 days from now,” said President Uhuru while invoking Public Order No.
Kenya National Assembly Thursday passed the supplementary budget to the tune of Ksh 80 billion for the current financial year 2020-21. The Budget and Appropriations Committee (BAC) recommended an overall increase of Ksh 80.7 billion (Ksh 19.1 billion in recurrent and Ksh 61.6 billion in development).
Foreign investors have turned bullish on Kenya as the Nairobi Securities Exchange (NSE) with NASI, NSE 20 and NSE 25 gaining by 3.0%, 0.5% and 2.6%, respectively, taking their YTD performance to gains of 9.8%, 3.3% and 8.8% for NASI, NSE 20 and NSE 25 respectively. The equities market performance was driven by gains recorded by large-cap stocks such as Co-operative Bank, Equity Group, Safaricom and KCB Group, which gained by 7.3%, 4.1%, 4.0% and 3.5%, respectively.
The International Monetary Fund (IMF) Executives on Thursday approved a $2.4 billion (Ksh263 billion) loan to Kenya. The International Monetary Fund (IMF) Executives on Thursday approved a $2.4 billion (Ksh263 billion) loan to Kenya under the Extended Fund Facility and Extended Credit Facility.
Logistics firm, Siginon Group says it has invested USD 2.4 Million in expanding its fleet driven by increasing customer demands for reliable cargo transportation by road. The Kenyan logistics company with operations in Kenya, Uganda, and Tanzania, through the investment, they have acquired an additional fleet of 40 trucks.
Kenya’s state-owned Geothermal Development Corporation (GDC) has secured a $5 million grant from the African Union (AU) for geothermal exploration of the Paka Geothermal Project in Baringo. “The Paka Geothermal Project is an integral component of GDC’s strategic plan, where the company envisions the development of 1,065MW from geothermal sources by 2030.
The economy of Kenya has suffered an estimated loss of Ksh 560 billion in revenue in 2020 due to the coronavirus pandemic. President Uhuru Kenyatta on Friday during a televised address that announced the extension of a nationwide overnight COVID-19 curfew for 60 days , revealed that the pandemic had greatly affected the economy.
Liquidity in the system is set to get tighter, with the deadline approaching for payment of the third instalment of 30% corporate tax. “The Ksh 35 billion net outflow primarily towards bond settlement follows the expiry of the COVID-19 tax relief window,” NCBA Research sys.
The reserves have fallen by Ksh 27.8 billion (about 254 million U.S. Currently, the forex stands at USD 7.4 bn (equivalent to 4.5-months of import cover), which is above the statutory requirement of maintaining at least 4.0-months of import cover, and the EAC region’s convergence criteria of 4.5-months of import cover.
Petrol price in Kenya continues to surge with the recovery in crude oil prices, super petrol, diesel and kerosene shot by Ksh7.63, Ksh5.75 and Ksh5.41 per litre, respectively in the latest review by the Energy and Petroleum Regulatory Authority (EPRA). EPRA attributed the rise to the recovery in crude oil prices, which increased the cost of imported refined fuel, from $55.27 a barrel to $61.61 and low $17.64 in April last year.
Kenya on Friday extended its 10 pm to 4 am nationwide curfew for another 30 days as a containment measure to curb the spread of COVID-19. In January, Uhuru extended the curfew by three months in a bid to contain the Covid-19 pandemic.
In 2020, this role was made easier by the massive rally in yields that was underpinned by aggressive monetary easing across governments coupled with the pandemic induced flight to safety.
Unga Group Plc has posted a decline in its half-year earnings to KSh 83, 476,000 for the six months ending 31st December 2020. These are lower compared to a net profit of KSh 151,322,000 posted over a similar period in 2019.
KenGen, Kenya’s biggest electricity producer, says its half-year profit before tax soared 9.5% to Kshs. 6.87 billion for the period ended 31 Dec 2020.
The firm posted KSh138 million net profit for the half-year ended December 2020 compared to KSh692 million posted in the same period the previous year. “Transmission and distribution costs decreased to Ksh 18,675 million from Ksh 22,977 million the previous period due to ongoing cost management initiatives,” the company said in its unaudited results.
Kenya’s media and corporate advertising spend dropped sharply by 21% to Ksh 31.8 billion in 2020 according to the latest report by Reelanalytics and Marketing Society of Kenya. 154.1 billion recorded in 2019 attributed to the significant reduction in brand marketing activities and paid for advertising.
The Nairobi Securities Exchange (NSE) has integrated its bond trading system with the Refinitiv Fixed Income Callouts application, a flexible trading platform that is secure, transparent and allows for real-time bond trading. The easy-to-use application improves price discovery, market monitoring, execution and market transparency.
Kenya’s fiscal deficit is likely to remain elevated at an estimated 9.00% of Gross domestic product (GDP) with an ambitious target to cut it to 7.5% in the 2021/22 financial year. On the other hand, National Treasury’s statement of actual revenues and net exchequer issues as at 31st January 2021, total tax and non-tax revenues fell by 13% and 33% respectively (year on year) in the first seven months of the year.
Tourist arrivals through all points of entry to Kenya dropped by 71.5 per cent to 439,447 visitors last year from 1.54 million in 2019. However, Kenya recorded a gradual growth in arrivals since the resumption of international flights on Aug.1, registering 14,049 arrivals in August, 26,018 in September, and 39,894 in October respectively.
A fortnight ago, Kenya Airways unveiled its first repurposed Dreamliner 787 to cater to expanding cargo demand . The Indian government extended the ban on international commercial flights till 28 February, the Directorate General of Civil Aviation (DGCA).
As a result, it resolved to delay ratification of the agreement – initially scheduled for February 10 – for another three weeks to allow for a deeper scrutiny.
Kenya and the International Monetary Fund have reached a staff-level agreement on the disbursement of $2.4 billion loan facility. The agreement in principle will see the disbursement of funds from the IMF Rapid Credit Facility (RCF) and the Extended Fund Facility (EFF) over the next 38 months to support the countries COVID-19 response.
Kenya’s National Treasury has published its Supplementary Budget Estimates totalling Kshs 3,036.5 bn from Kshs 2,915.7 bn for the current financial year 2020-21. The proposed budget increment is attributable to COVID-19 related expenditure and efforts by the government to spur economic activity.
On Sunday, the Energy and Petroleum Regulatory Authority (EPRA) said Super petrol will retail at KSh115.18 in Nairobi following an increase by KSh8.19. Diesel and Kerosene too went up by KSh5.51 and KSh5.32 to retail at KSh101.91 and KSh92.44 per litre respectively.
The Kenya Association of Manufacturers(KAM) said the manufacturing sector is the backbone of any economy, but it urgently needs to address headwinds to economic recovery, following the adverse effects of the COVID-19 pandemic. According to Mucai, increasing the manufacturing sector’s contribution to the Gross Domestic Product (GDP) to 15 per cent by 2022 means doubling our production and manufacturing.
Kenya’s National Treasury has reopened its February bond issue to a tap sale seeking to raise an additional KSh18 billion from the market. The bonds were reopened in the month: FXD1/2013/15 (7.1 years) and FXD1/2012/20 (11.8 Years).
Returns on Pension investments in Kenya declined by 60 per cent in 2020 due to COVID-19 pandemic, according to a report by fund managers, Zamara . Its report covering 421 schemes with a total of KSh951.8 billion assets under management shows that returns on investing dropped from 17 per cent to 7 per cent in the one year to December 31, 2020.
This is besides the current inflation remains well within the central bank’s target at 5.69% in January. According to NCBA Research Team, Faith Atiti and Stephanie Kimani, crude oil has made a comeback rising above $60 a barrel for the first time in more than a year.
Kenya’s tax collector reported a 102.6% stellar revenue performance on Monday surpassing its January target by Ksh 3.53 billion. 138 billion representing 6.7% growth over the same period last year.
The monthly Purchasing Managers’ Index (PMI) by Stanbic Bank, the sector grew 53.2 during the month under review, up from 51.4 in December. A reading above 50 on the index shows expansion and below it indicates contraction.
The results of Treasury Bonds value date 8 February 2021. pic.twitter.com/TBKZRkF5bp — Central Bank of Kenya (@CBKKenya) February 3, 2021 However, Genghis Capital said it was ‘less upbeat of a positive subscription in this week’s auction’.
The trade pact was concluded in December last year after the end of UK’s transition period from the European Union (EU) on December 31. The UK is among Kenya’s major trading partners worth £1.4 billion in 2019.
Inflation rate to remain within the government’s set range of 2.5% – 7.5% Kenya’s consumer price index increased by 5.6% in January from 5.62 per cent in December , official data shows. Food inflation presently stands at 7.36% with the cost of commodities in the category rising by 1.3% from last month according to the Kenya National Bureau of Statistics (KNBS).
Kenya’s current account deficit (CAD) narrowed to 4.8 per cent of the GDP in 2020 compared to 5.8 per cent of GDP in 2019, the Central Bank said Friday. Diaspora remittances in 2020 rose to a record high of $3.1 billion, representing year-on-year growth of 10.7%.
Kenya’s economy dipped by 1.1 % in the third quarter, its first recession in nearly two decades due to pandemic-related shocks, according to figures released Wednesday. The contraction in growth was preceded by the first contraction since September 2008 with GDP slumping by 5.5 per cent between April and June.
Kenya obtained a score of 31 out of 100 having scored 28 points in 2019. Kenya is ranked 124th among 180 countries in the Corruption Perceptions index 2020 released by the Transparency International.
The economy is expected to rebound strongly in 2021 The Central Bank of Kenya (CBK) kept interest rates unchanged at 7.00 per cent. The regulator said policy measures that have been implemented since March 2020 were having the intended effect on the economy.
Kenya’s fiscal deficit could go up 9.0 per cent of Gross Domestic Product (GDP) equivalent to Ksh 1,000.2 billion in the fiscal year 2020/21 from 7.8 per cent in the current fiscal year. “To finance the fiscal deficit in the FY 2020/21, domestic borrowing is projected at Ksh 572.7 billion and foreign financing at Ksh 427.5 billion.
The Kenyan Shilling traded within a range of 110.10 and 110.19 in the week ending Jan. 22, thus appreciating marginally by 0.1% to the dollar.
READ EABC Calls EAC to ‘harmonise’ Measures on Covid-19 Governor Ojaamong said “The idea of the Cross-Border Market was mooted in 2015 when we hosted the then British High Commissioner to Kenya, Christian Turner. Hence let us all support the initiative which will create jobs for our youths and expand market for our agricultural products.” The EAC region accounts for 25 per cent of Kenya’s export earnings making it an important market.
The Covid-19 pandemic had wiped out 1.7 million jobs in Kenya the first three months since the first case was announced in 2020 according to the Kenya National Bureau of Statistics (KNBS). A survey by the Kenya Private Sector Alliance (KEPSA) conducted between September and October found out that at least 3.1 million workers in the sector lost their jobs.
CDC Group , United kingdom’s impact investor and development finance institution (DFI) says it will invest over US$1 billion (KSh110 billion) in African businesses in 2021. In 2020, CDC committed over $1 billion into Africa focusing on economic recovery from COVID-19.
The Central Bank of Kenya has raised Ksh 81 billion in its 16-Year Infrastructure Bond issue against a Ksh 50 billion target. According to CBK, it received bids worth Ksh 125.3 billion (250.7%).
China, Kenya’s largest bilateral lender, has granted Ksh.27 billion ($245 million) debt relief to the country which was due from January through June. Kenya has received over US$300 million in debt relief from the Paris Club , an informal group of creditors that aids borrowers in distress, under the G20-led Debt Service Suspension Initiative (DSSI).
The Kenya-US trade deal has already completed two rounds with hopes a deal will be signed ahead of the expiry of the African Growth and Opportunity Act (AGOA) in 2025. According to its Proposed Kenya – United States of America Free Trade Area Agreement Negotiation Principles, Objectives, And Scope, its specific objective is to ensure that there is no disruption of Kenya’s market access into the USA after AGOA expires on September 30, 2025.
The COVID-19 pandemic left Kenya battered and anguished in 2020 but containment and mitigation measures put in place to curb the spread of the virus helped to mitigate its impact. On February 11, the World Health Organization named the new disease as Covid-19 .
The International Monetary Fund (IMF) has confirmed its talks with Kenya to renew a 165 billion shilling (about 1.5 billion U.S. Gerry Rice, IMF Director of Communications Department, said the lender’s mission in Kenya in late 2020, reached an agreement in many areas on implementation of the fiscal plan.
ICEA LION Asset Management, a leading investment firm operating in both Kenya and Uganda on Thursday said it sees big upside potential in 2021 for listed bank stocks, citing an economic recovery from the coronavirus pandemic. “For the first time in five years, we expect private sector credit to hit double digits in 2021.
In its Sub-Saharan Africa report, the firm projected a negative 2021 outlook for Nigeria, South Africa, Kenya and the entire region citing debt costs post Covid-19 pandemic. The World Bank in its latest report, Sub-Saharan Africa is forecast to experience economic growth of 2.7 per cent in 2021 as it rebounds from its first recession in 25 years.
Kenya’s creditors Belgium, Canada, Denmark, France, Germany, Italy, Japan, the Republic of Korea, Spain and the US under Paris Club creditors have accepted to provide to Kenya a time-bound suspension of debt service due from January 1 to June 30, 2021. “The Government of the Republic of Kenya is committed to devote the resources freed by this initiative to increase spending in order to mitigate the health, economic and social impact of the COVID19-crisis.
The Central Bank of Kenya (CBK) is inviting bids for its Ksh 50 billion Infrastructure Bond (IFB) with a tenor of 16 years (IFB1/2021/16) to fund infrastructure projects in the current fiscal year. This is the second bond with the 2020/21 fiscal year after the re-opening and tap sales of FXD1/2012/15 and FXD2/2019/15 in December 2020.
The East African Business Council (EABC) is urging for lowering and harmonization of COVID-19 related charges in the East African Community, in a bid to ease the cost of doing business and boost intra-EAC trade. EABC chief executive Peter Mathuki says whereas Tanzania and Burundi are charging a standard rate of $100 (KSh10,960) for both nationals and foreigners, other partner States’ charges vary.
READ Capital Markets Authority Reviews Collective Investment Schemes Framework Kenya Capital Markets to Issue Guidelines for Crowd-funding Kenya Ranks 7 in Africa Financial Markets Index 2020 Capital Markets.
Kenya’s current account deficit for the 12 months to November narrowed compared to a year earlier, helped by diaspora remittances and earnings from exports. Latest Central Bank of Kenya data shows that the current account deficit as a percentage of gross domestic product (GDP) stood at 4.7 per cent to 4.7 percent of GDP in the year to November 2020 compared to 5.4 percent of GDP in the year to November 2019.
The Central Bank of Kenya (CBK) raised KSh 13, 840.6 Million from the weekly Treasury Bills Auction held on Thursday, an undersubscription of 65.7%. On behalf of the National Treasury, it had targeted KSh 24 Billion from the domestic market.
The National Treasury raised Ksh 55.9 billion as new proceeds from its 2-year bond (FXD1/2021/2) against a Ksh 25 billion target. The bond attracted bids worth Ksh.61.2 billion equivalent to 244.6% subscription rate.
The index noted that Kenya’s private sector strengthened slightly at the end of 2020 with businesses reporting modest output and new order growth. The Markit Stanbic Bank Kenya Purchasing Managers’ Index (PMI) rose slightly to 51.4 last month from 51.3 in November.
The Kenya Shilling depreciated by 7.7% in 2020. The currency closed at Kshs 109.2 against the US Dollar, compared to Kshs 101.3 recorded at the end of 2019.
“The dual carriageway with Class A standard that connects the Mlolongo with James Gichuru Road along the median strip of the A8 National Road is declared to be Toll Roads, with immediate effect,” reads part of the notice. From Mlolongo to Crater Automobiles (15.71km), the alignment is at grade.
Kenya’s year-on-year inflation in December 2020 increased to 5.62% compared to 5.46 % recorded in November 2020 due to a rise in prices of good and services according to the Kenya National Bureau of Statistics. During the month, food inflation had witnessed significant price increases between November and December 2020, at 2.45%.
Kenyan shilling strengthened against the US dollar closing at KSh 108.79 per US Dollar on December 24, compared to KSh 111.59 on December 17. The Kenyan currency has remained relatively stable supported by the improving diaspora remittance of which the cumulative inflows in the 12 months to November totalled USD 3,045 million compared to USD 2,790 million in the 12 months to November 2019.
Britain and the European Union Thursday struck a free-trade deal 4 1/2 years since Britons voted 52% to 48% to leave the block. According to the deal, from January 1, the UK and EU will have a free trade agreement based on zero tariffs and zero quotas.
Kenya’s parliament approved on Tuesday approved Treasury’s decision to revert taxes to Pre- Covid levels in January 2021 to manage the growing revenue deficit. In this case, income tax was reduced by 5.00% to 25.00% while VAT was cut by 2.00% to 14.00%.
The government is seeking to raise an additional Ksh 22.00 billion in December December via a Tap Sale on recently auctioned papers, FXD1/2012/15 and FXD2/2019/15. The Tap sale is scheduled to end on 23rd December 2020.
The Nairobi Securities Exchange (NSE) launched Kenya’s first formal over-the-counter (OTC) market platform to facilitate the trading, clearing and settlement of securities of unquoted companies. According to the Nairobi bourse, the OTC will enable unlisted commercial banks, cooperative societies and private companies access the benefits of an efficient OTC market anchored on leading technology capabilities and resources.
Kenya’s foreign exchange reserves fell by $7.95 billion to $7.85 billion in the week to December 11, mainly on account of a depreciating currency, Central Bank data showed on Saturday. Against the dollar, the shilling fell to an average of KSh111.29, down from KSh110.17 in the previous week.
According to the latest review from the Energy and Petroleum Regulatory Authority (EPRA), Super Petrol, Diesel and Kerosene prices increase by Ksh0.97, KSh1.12 and KSh1.93 per litre respectively. As a result, Super Petrol, Diesel and Kerosene will retail at Ksh106.82, Ksh91.82 and Ksh83.56 respectively in Nairobi between December 15, 2020 and January 14, 2021.
Global credit rating agency Fitch Ratings says Kenya’s fiscal deficit is expected to widen to 8.3% of GDP in the fiscal year to June 2021 (FY21) from 7.4% in FY20. The agency attributes it to the timing of the Covid-19 pandemic shock relative to the fiscal year and election-related spending pressures.
According to a joint statement from the UK, the UK-Kenya trade was worth £1.4 billion in 2019. https://t.co/ONmyl67hnd — Sir James Duddridge KCMG MP (@JamesDuddridge) December 8, 2020 According to the deal, the rest of the East African Community (EAC) trade bloc members, will be free to join the trade deal.
Growth in the Kenya private sector softened in November on slower increases in orders, exports, buying levels, and output as the Covid-19 restrictions and resurgence of positive cases, the latest Stanbic Bank-Purchasing Managers’ Index survey indicates. The headline PMI fell sharply to 51.3 points in November from an all-time high of 59.1 points in October.
Kenya’s National Treasury says tax reliefs which took effect in April will end January 1. Treasury Cabinet Secretary Ukur Yatani in a statement issued Friday said the corporate tax rate currently at 25% will revert back to 30% and the Value Added Tax (VAT) will revert back to 16% from 14%.
The Capital Markets Authority of Kenya has onboarded a consultant to review the Capital Markets (Collective Investment Schemes) Regulations, 2001 to make them more robust and facilitative to market dynamics. With support from FSD Africa, the proposed legal framework review is designed to address stakeholders’ concerns in line with the aspirations of the 10-year Capital Market Master Plan (2014-2023).
Kenya’s headline inflation rate hit a 7-month high of 5.46% from 4.84 in October , the statistics body said on Monday. The Kenya National Bureau of Statistics attributed the increase to higher food costs with year-on-year food inflation standing at 6.09% in November 2020.
Kenya’s current account deficit (CAD) narrowed further in the 12 months to October 2020 on the back of agricultural exports and resilient remittances. According to the Central Bank of Kenya data, the current account deficit narrowed to 4.9 percent of GDP in the 12 months to October 2020 compared to 5.3 percent of GDP during a similar period in 2019.
The Central Bank of Kenya (CBK) projects a 1.3 percent economic growth for 2020 from the 3.1 percent estimate disclosed in September. “If you use quarter one and quarter two, then you will have 0.6 percent,” Njoroge noted.
The Monetary Policy Committee (MPC) of Kenya’s Central Bank kept interest rates unchanged on Thursday as expected amid concerns over a surge in Covid-19 infections. “The MPC concluded that the current accommodative monetary policy stance remains appropriate, and therefore decided to retain the Central Bank Rate (CBR) at 7.00 percent.” Dr.
Country’s economic growth to rebound next year The World Bank expects Kenya’s economy to contract between 1.0 percent and 1.5 percent in 2020 FY21 according to its new country Economic Update, Navigating the Pandemic . Under baseline assumptions, the economy is projected to rebound quickly in 2021, lifting real GDP by 6.9 percent year on year.
In the second quarter of this year, the economy contracted by 5.70% compared to an expansion of 5.30% in a comparable period a year before. Moreover, the recent resurgence of COVID-19 infections as well as the uncertainty around a re-introduction of containment measures, an extension of curfew hours, could weigh on activity and dampen the strength of the recovery.
According to Shakira, Africa accounts for a quarter of South African exports and only 12 percent of imports of which is represented by half as justification enough to be part of the African Continental Free Trade Area. Cargo flights have been operating as usual for KQ amid the Covid-19 pandemic and lockdown.
The Kenya Revenue Authority (KRA) tax collection for October was Ksh 108.7 billion, down 14.7 percent over the same period of the last fiscal year. This from Ksh 125.98 billion at the same time last year as the effects of the COVID-19 pandemic continues to affect revenue collection.
The International Monetary Fund (IMF) is set to consider funding Kenya’s next COVID-19 response, a strong multi-year effort to stabilize and begin reducing debt levels. The disclosures were revealed by the IMF Staff led by Mary Goodman who conducted a virtual mission to Kenya from October 27 to November 17, 2020.
Kenya remains reluctant in accepting debt service relief under the G-20 Debt Service Suspension Initiative to assist in mitigating the impact of COVID-19. The National Treasury Cabinet Secretary Ukur Yatani Friday said Kenya “seeks a cautious approach” when he downplayed media reports that it had sought to defer $690 million (KSh75 billion) in debt payments under the G-20 debt relief initiative.
Kenya’s National Treasury has raised Ksh.53.7 billion from the local market against a projected target of Ksh 40 billion in November’s primary bond sale. This represents a 140 percent performance rate for the re-opened bonds; FXD2/2013/15 (7.50 years to maturity) and FXD1/2018/20 (17.4 years to maturity).
“Sustaining the fight against various forms of illicit trade shall enhance the realisation of the Government’s Big 4 Agenda,’ she said.
2020 continues to be a challenging year for governments particularly those in developing markets. Zambia is a good example of one of these countries having just last week defaulted on its foreign debt after it missed a payment of more than US$ 40.00 million.
President Uhuru Kenyatta while delivering his 7th State of the Nation Address to Parliament is based on the “greater diplomatic goodwill and deeper international friendships” that the country is enjoying that is necessitating the discussions.
Safaricom on Monday posted a 6 percent decline in profit at Ksh 33 Billion for the September quarter with expectations of lower core earnings for FY21. The company had registered a KSh35 billion in the same period a year ago .
Coronavirus positive cases hit new daily highs in Kenya with President Uhuru Kenyatta on Wednesday announcing new measures to halt increasing COVID-19 infections and hospitalizations. According to the President, “It is most unfortunate that we have experienced a reversal 38 days later.” If COVID bed occupancy had gone down by 60%, giving us comfort to re-open in September , the occupancy has now gone up by 140% during the 38 days of easing COVID measures.
Kenya and TradeMark East Africa (TMEA) have inked a KSh1.31 billion grant agreement to support infrastructure projects in Mombasa, Busia, and Malaba. “Since 2010, we have invested overm$107 million (KSh11.6 billion) at the port of Mombasa and $16.5 million at four One-Stop Border Posts of Busia, Malaba, Taita/ Taveta and Moyale.
The recovery in Kenya’s private sector activity extended into its ‘greatest extent’ in October, an industry survey showed on Wednesday as lockdown restrictions, associated with the COVID-19 pandemic eased in the month. The headline PMI rose from 56.3 in September to 59.1 in October, signaling the sharpest improvement in business conditions since the survey began in January 2014.
The UK market accounts for 43% of total exports of vegetables from Kenya as well as at least 9% of cut flowers, and this agreement will support Kenyans working in these sectors by maintaining tariff-free market access to the UK. “Kenya’s exports to the UK as of August 2020 were valued at Sh34.9 billion while she imported goods worth Sh18.9 billion,” said Maina.
According to The Business Daily , Kenya is seeking another loan after it received Ksh 79.3 billion ($739) in May to respond to the economic shocks caused by the coronavirus pandemic. Also an anchor for fiscal policy https://t.co/D5QSOenoVw — Razia Khan 📚 (@raziakkhan) November 3, 2020 The National Treasury’s final 2020 Budget Review Outlook Paper (BROP) , increased its domestic borrowing target to Ksh 524 billion from the initial target of Ksh 493 billion.
The forex reserves fell from Ksh 888 billion shillings ( 8.22 billion U.S. dollars) to 8.12 billion dollars, the Central Bank of Kenya said in its weekly bulletin published Saturday.
Kenya’s inflation edged up slightly in October due to higher food prices and fuel costs, remaining within the Central Bank’s 5.0 percent medium target. The Kenya National Bureau of Statistics on Friday said the country’s overall year-on-year inflation increased to 4.84 percent in October from 4.2 percent last month.
Umoja Rubber Products limited was awarded the overall energy-efficient company at the 16th Annual Energy Management Awards , celebrating excellence in energy efficiency in the Kenya manufacturing sector. The event themed ‘Rewarding Excellence in Sustainable Energy’ awarded over 20 companies that have achieved significant reductions in their energy consumption through implementation of energy-efficient measures and technologies.
The Energy Management Awards was launched in 2004 by the GEF-KAM Energy Efficiency Project, a predecessor of the Centre of Energy Efficiency and Conservation (CEEC).
Centum Real Estate Limited, a subsidiary of the Nairobi Securities Exchange-listed Centum Investment Company plans to float KSh 4 billion corporate bond to finance its housing developments. The subsidiary has approved a project pipeline of 4,426 residential units, of which the first phase of 2,000 units is either under construction or pre-selling.
The Nairobi Securities Exchange (NSE) witnessed a marginal drop in its weekly turnover as indices closed mixed during the week ending Oct 23. The NASI and NSE 25 recorded gains of 1.1% and 0.1%, respectively, while NSE 20 recorded a loss of 0.7%, taking their Year To Date (YTD) performance to losses of 15.1%, 21.6%, and 32.2%, for NASI, NSE 25 and NSE 20, respectively.
Kenya’s foreign exchange reserves likely fell $8.2 billion from the peaks as the central bank intervened to reduce the slide of the currency. Kenya’s reserves fell from its peak of $8.8 billion in mid-September to $ 8.2 billion during the week ended 22 October, the latest data released by the Central Bank said.
Diaspora remittances inflows into Kenyaremains as strong as ever despite the global downturn caused by the Covid-19 pandemic says the Central Bank. Data from the Central Bank indicates that remittance inflows remained strong in September amounting to USD 260.7 million compared to USD 214.7 million in September 2019, an increase of 21.4 percent.
Uganda’s central bank kept the key policy rate unchanged at seven percent but warned that the “economic outlook is extremely uncertain”, largely due to the Covid-19 pandemic. “Indeed, economic growth in Financial Year (FY) 2020/21 is projected at 2.0-3.0 percent and is expected to increase to 5.0-6.0 percent in FY 2021/22 and to 6- 7 percent in the outer years,” said Prof.
The International Monetary Fund (IMF) revised upwards its 2020 real gross domestic product (GDP) projections for Kenya in its latest World Economic Outlook. It also expects the country’s GDP growth to expand by 4.7 percent in 2021.
Tax collections for the first quarter of the 2020/21 fiscal year fell almost 15% to Ksh.317.7 billion against the previous year’s Ksh.151 billion. This largely attributed to the COVID-19 pandemic which hit on various tax heads including excise duty and income taxes according to the National Treasury statement on actual revenues and net exchequer issues as of September 30, 2020.
The Kenyan economy plunged at an unprecedented rate in the second quarter of the year as Covid-19 pandemic hit the service sector. The gross domestic product, the economy’s total output of goods and services, fell at a rate of 5.7%, compared with growth of 4.9% in the three months through March and expansion of 5.3% in the same period a year earlier , the Kenya National Bureau of Statistics.
Kenya has been ranked at the 7th position in the latest edition of the Africa Financial Markets Index that benchmarks countries’ performance across a host of indicators within financial market development. However, Kenya’s score is a decline compared to its third position in 2019 and 2018.
“The backdating of the payments to July 2020 could potentially jerk up overall liquidity in October. “Stronger payments into the financial system may further support the performance reducing pressure on yields.” According to NCBA Analysts, for instance, the overnight rate has gradually declined to 2.05% from 2.78% at the start of last Week (5 Oct.).
Kenya’s debt has exceeded 7 trillion following large state borrowing as the coronavirus pandemic continued to wreak havoc to the economy. Data from the Central Bank of Kenya’s Weekly Bulletin shows that at the end of August, total accumulated debt hit KSh7.068 trillion.
Kenya Orchards Plc says its net profit for the financial year 2020 will be lower by more than 25 percent compared to 2019. The company in its profit warning announcement said the COVID-19 pandemic has adversely impacted its overall profitability, leading to the lower financial projection.
Trading at the Nairobi Securities Exchange (NSE) continued to exhibit weakness with NASI, NSE 25, and NSE 20 all recording losses of 0.1 percent, 0.5 percent, and 0.8 percent, respectively. This was mainly attributed to losses recorded by large-cap stocks such as ABSA, BAT and Equity Group, which declined by 4.1 percent, 3.0 percent and 2.9 percent, respectively.
Buoyed by accelerated increases in new orders and production, Kenya’s private sector in September grew the fastest rate since April 2018. The Markit Stanbic Bank Kenya Purchasing Managers’ Index (PMI) jumped to 56.3 in September, from 53.0 in August , its highest level since April 2018.
During the week ending Oct 2., the market recorded mixed performances, with NSE 20 recording marginal gains of 0.3 performance while NASI declined by 0.1 percent. The NSE 25 on the other hand, remained unchanged from the previous week.
According to EPRA, the action was prompted by the average inflation rate of 4.94 percent for the financial year 2019/2020. As a result, the pump price for petrol in Nairobi increases by KSh1.12 while diesel and kerosene increase by KSh.0.58 per litre respectively.
Group Appoints PriceWaterhouseCoopers New Auditors CIC Insurance Group shareholders have been denied dividends for fiscal 2019. The decision was made during the company’s Annual General Meeting (AGM) held on Tuesday 29 September.
Kenya’s retail inflation dropped marginally to 4.2 percent in September, government data showed on Wednesday compared to 4.36 percent the previous month. Kenya National Bureau of Statistics (KNBS) shows that the September Consumer Price Index (CPI), a measure that examines the weighted average of prices of a basket of consumer goods and services, stood at 108.57.
Speaking during the National COVID-19 Conference Monday, Kenyatta directed the National Treasury to consider retaining the VAT at 14 percent until the first of July 2021. Treasury has also been asked to retain the income tax rate, Pay-As-You-Earn, at 25 percent until the first of January 2021 and retain the corporate tax at 25 percent until January 2021.
Kenya’s President Uhuru Kenyatta extended the nationwide curfew by 60 days but revised the dusk-to-dawn timings from 11 pm-4 am effective Tuesday. The president also lifted the ban on the sale of alcohol by bars and restaurants but noted that the businesses must be closed by 10 pm.
Unga Group Plc, a Kenya-based holding company involved with the manufacture and marketing of a broad range of human nutrition, animal nutrition, on Friday said its profit declined 88% to Ksh 66.2 million from Ksh.544.8 million for the year ending June 30, 2020. According to the financial results, its revenues increased by 2% from KSh 17.9 Billion to KSh 18.3 Billion.
Nairobi Stocks Exchange (NSE) has issued an extension to the suspension from trading of Kenya Airways shares for an additional six months with effect from October 4, 2020. The extension will allow the conclusion of the airline’s operational and corporate restructuring and its nationalization following the publication of the National Management Aviation Bill, 2020, on June 18, 2020.
President Uhuru Kenyatta extended the 9 pm-4 am nationwide curfew and other containment measures until September 29. In a statement on Monday, Head of Public Service Joseph Kinyua said President Uhuru Kenyatta will issue new guidelines Tuesday after a scheduled National COVID-19 Conference to be held on Monday, September 28.
Kenya shilling remained steady, closing at KSh 108.4 against the US dollar on Friday. It exchanged at KSh 108.38 per US dollar on September 17 compared to KSh 108.40 per US dollar on September 10 said the Central Bank in its Weekly Bulletin terming the trend ‘relatively stable against major international and regional currencies’.
On Monday, EPRA announced KSh0.12 drop on a litre of diesel and KSh0.50 on a litre of kerosene. However, the prices of a litre of super petrol went up by KSh1.48.
Tanzania and Uganda on Sunday signed a $3.5 billion East Africa Crude Oil Pipeline (EACOP) project. “We have agreed that Tanzania will take 60 percent of the profits and Uganda will remain with 40 percent,” Tanzania President John Pombe Magufuli said from his hometown of Chato after a meeting with Ugandan President Yoweri Museveni.
Kenya’s National Treasury Cabinet Secretary Ukur Yatani says the country’s economic growth is likely to grow by less than 2.5 percent this fiscal year. “Kenya’s economic growth is expected to decline to below 2.5 percent in 2020,” Yattani said in a circular to all cabinet secretaries on the guidelines for the preparation of the 2021/22 – 2023/24 medium-term budget.
President Uhuru Kenyatta’s cabinet on Thursday approved the establishment of a credit guarantee scheme targeting the Micro, Small, and Medium Enterprises (MSMEs) with an initial seed capital of KSh10 billion. The capital will be disbursed in two tranches of KSh5 billion in the current financial year 2020/21 and Financial Year 2021/22.
The refinery is set to serve gold miners both in the country and internationally Mental Health and Psychosocial considerations during the COVID-19 pandemic Kenya plans to establish a gold refinery in the country in Kakamega County. A report by the Kenya National Bureau of Statistics indicates that gold production has averaged 381 kilograms per annum over the last five years.
As the effects of COVID-19 continue to be felt with an uncertain future, members of the Kenya Association of Manufacturers (KAM) are contemplating a shift strategy to remain competitive. The report emphasizes that going forward, the sector will need to focus on cost competitiveness and diversifying the supply chain in achieving 15 percent contribution to the Gross Domestic Product.
Kenya’s economy to grow at 1.5% in 2020 Renaissance Capital, a leading emerging and frontier markets investment bank, says the East African economy is expected to lead the Sub-Saharan Africa region in post-COVID-19 recovery. For instance, Kenya had a ‘good start to the year with its 1Q20 growth stronger than expected despite a drop in tourism numbers in March.
Listed utility company Kenya Power & Lighting Company Plc (KPLC) profit plunged 91% for the financial year ended June 30, 2019. According to its audited results, Kenya Power reported a net profit of KSh262 million compared to KSh3.3 billion the previous year.
CIC Insurance Group will hold its annual shareholders meeting virtually on September 29. In a notice the shareholders, the Group says registration for the AGM opens on 7 Sept.
The UK has set October 15 deadline for the EU. The UK left the EU on January 31, but there has been little progress on a new trade deal after a status-quo transition arrangement ends in December.
The Central Bank of Kenya’s treasury bills auction was undersubscribed attracting bids amounting to Ksh10.9 billion against the targeted Ksh 24 billion. This translates to a performance rate of 49.57 percent compared to last week’s 52.33 percent performance rate.
The Purchasing Managers Index (PMI) fell to 53 in August 2020 from 54.2 in July. Despite falling from 54.2 in July, the index suggested that the rate of growth remained solid overall according to the index.
Kenya ranks 115 in the Competitive Industrial Performance (CIP) Index Report, 2020 among 152 countries in terms of the ability to produce and export manufactured goods competitively. Egypt and South Africa rank at positions 64 and 52 respectively whereas Tanzania is 123 and Uganda is position 128.
The Central Bank has floated 15-year and 20-year Treasury Bonds worth KSh 50 Billion to finance its development projects. The bonds would be auctioned on Wednesday, 16th September 2020.
Kenya’s unemployment rate hit 10.4 percent in the second quarter from 4.90 percent recorded previously, according to the statistics agency. According to the quarter two Labour Force Report by the Kenya National Bureau of Statistics (KNBS), the number of those unemployed increased to 4,637,164 between April and June compared to 2,329,176 in the same period last year.
Kenya’s inflation remained unchanged at 4.36 percent in August similar to July on decreasing food prices, according to government data released on Monday. “The price of onions, tomatoes, and spinach registered decreases of 16.38 percent, 12.05 and 7.51 percent respectively in August in comparison to July 2020,” the statistics office said in a statement on Monday.
Kenya Airways on Friday said that its losses during the first half of the current fiscal has widened to Ksh 21.07 Billion, as against losses of Ksh 8.05 Billion it had incurred during the same period last year. Its total revenues fell to Ksh 30.21 billion while passenger numbers dropped to 1.1 million, and passenger revenues declined to Ksh 20.23 billion.
Kenya President Uhuru Kenyatta says the country’s economy has fared well in spite of some sectors having been hard hit due to Covid-19. For instance, even under COVID, the economy has grown by 4.6 percent compared to 5.5 percent last year,” said Kenyatta in his eleventh presidential address on COVID-19 pandemic.
After issuing a Force Majeure, Tullow and its partners have withdrawn it paving way for the resumption of oil exploration for blocks 10BB and 13 in the South Lokichar basin scheme in Kenya. In May, they declared Force Majeure on its main licences in Kenya citing the effect of restrictions caused by Covid-19 on Tullow’s work programme and tax changes.
According to the Central Bank, it exchanged at KSh 108.56 per US dollar on August 20, compared to KSh 108.39 per US dollar on August 13. On Wednesday, the currency traded at Ksh 108.57 its lowest level during the week due to high dollar demand from importers following the re-opening of economies around the world along with high liquidity in the interbank market.
Agricultural firm Kakuzi PLC posted a decline in profit before tax for the period to June 2020 to KSh 204.1 million compared to a profit of Ksh 355.1 million for the same period last year. “During the first half of the year, avocado profits are on a par with 2019, macadamia profits are greater, and our tea operations made an operating loss of KSh 11.3 million compared to a loss of KSh 1.1 million in 2019,” said Kakuzi Chairman Graham Mclean.
The Nairobi Securities Exchange (NSE) has reviewed its two benchmark share indices, NSE 20 and NSE 25, dropping Kenya Airways from both counters for Jubilee and Stanbic. In a statement, it said it has replaced Kenya Airways with Stanbic Holdings PLC on the NSE 20 share index and with Jubilee Holdings PLC in the NSE 25 share index to ensure they reflect an accurate representation of market dynamics.
The Kenyan government has lifted its ban on the importation of second-hand clothes and shoes with the publication of new safety protocols. Kenya National Bureau of Standards (KNBS) and the Ministry of Trade published the new guidelines which require all cargo subjected to physical examination and certification under the Pre-export Verification of Conformity to Standards (PVoC) requirements.
Kenya’s foreign exchange reserves dropped $9,249 billion in the week ended August 14, down by $41 billion from the previous week, according to theCentral Bank data. The CBK indicated that its usable foreign exchange reserves remained adequate at USD 9,249 million (5.6 months of import cover) as at August 13.
Petrol price on Friday was hiked by Ksh 3.47 per litre and diesel by Ksh 2.76 and paraffin by Ksh 18.20 attributed to an increase in the price of fuel imports in July by the Energy and Petroleum Regulatory Authority (EPRA). In Nairobi, a litre of Super Petrol, Diesel and Kerosene will now retail at Ksh 103.95, Ksh 94.63 and Ksh 83.65 respectively.
Jumia Technologies, an e-commerce company from Africa posted a gross profit of KSh2.98 billion in the first half ended June 30. The financial performance was driven by a 40 percent rise in the number of active consumers to reach 6.8 million and an 8 percent jump in demand during the period.
According to the regulator, as a result of the Covid-19 pandemic, they are learning important lessons during on how to sustain the capital markets and fully leverage opportunities despite the circumstances. Luke Ombara Director, Regulatory Policy and Strategy, CMA said in the 15th edition of the Capital Markets Authority (CMA) Soundness Report Q2, 2020 period.
Limuru Tea Company says it posted a pre-tax loss of Ksh 11 million for its unaudited results in the first half of 2020 compared to KSh 26 million last year. Total revenues increased by 72 percent to Ksh50 million in the period compared to Ksh 29 million realized in the same period of 2019.
The number of shares traded and equity turnover rose by 94.0 percent and 54.2 percent, respectively during the week,” the CBK said in its weekly bulletin. The NASI performance was driven by declines recorded by large-cap stocks, with the highest declines being recorded in ABSA, KCB, and NCBA, which lost by 4.4 percent, 4.2 percent, and 3.9 percent, respectively.
The regulations for SLB transactions were gazette in 2018. #CDSCSLB #EnhancingLiquidityintheKenyanCapitalMarkets Cc: @CMAKenya @NSE_PLC @FIB_Kenya @DyerandBlair pic.twitter.com/BG1S7JWJGX — Central Depository & Settlement Corporation Kenya (@cdsckenya) August 4, 2020 Securities lending and borrowing.
However, business sentiment weakened as the outlook for activity amid the coronavirus disease 2019 (COVID-19) pandemic remained unclear. According to the Markit Stanbic Bank Kenya PMI’s index, activity jumped to 54.2 in July, from 46.6 in the previous month.
The ZSE has resumed trading today (03 August 2020). — Zimbabwe Stock Exchange (@ZSE_ZW) August 3, 2020 ZSE CEO Justin Bgoni confirmed on Twitter that the market was open following an “excruciating period” since the suspension.
The headline inflation for July decreased to 4.36 percent in July compared with 4.59 percent in June, driven largely by lower food and housing prices during the month. According to the Kenya National Bureau of Statistics, on a monthly basis, inflation was 0.08 percent from 0.31 percent in June and is expected to remain within the target range in the near term.
East African Breweries Limited (EABL) posted a 39 percent drop in net profit to KSh7 billion for the year ended June 2020 with net sales for the second half of the year dropping by 29 percent. This is from KShs 11.5 billion in the previous year.
The MPC maintained its key policy rate unchanged at 7.00 percent for the third time, saying it was having the intended effect on the economy. In a statement, CBK Governor Dr Patrick Njoroge said the central bank’s Monetary Policy Committee (MPC) had voted to maintain its “accommodative stance remains appropriate, ” and will be augmented by the implementation of the measures in the FY2020/21 budget.
In June, the headline and core inflation eased sharply to 4.59 percent and 1.6 percent respectively in June reflecting reduced demand and food price pressures. In the previous MPC meeting held on June 25, the regulator maintained the Central Bank Rate (CBR) at 7.00 percent.
Kenya will sell an 11-year, amortised infrastructure bond to raise 70 billion shillings in August. The Central Bank said the money received will go to the funding of infrastructure projects in the FY2020/21 budget estimates.
Kenya reported on Monday its total number of coronavirus cases had hit 17,975 with President Uhuru Kenyatta raising concerns over “the aggressive surge of infections” among young Kenyans. The health ministry reported 440 new cases and 5 deaths on Monday, taking the total number of infections and fatalities to 17,975 and 285, respectively.
Kenya on Monday extended its 9pm to 4am nationwide curfew for another 30 days and banned the sale of alcohol in restaurants and eateries across the country as a containment measure to curb the spread of COVID-19. “Kufunga nchi haitasiadia (closing the country won’t help) the government cannot be on the door of every Kenyan, the responsibility is ours,” President Uhuru Kenyatta said during his Tenth Presidential address on COVID-19 situation in the country.
The Kenyan shilling weakened by 0.5 percent to 108.0 against the dollar from Kshs 107.5, recorded the p revious week. “The Kenya Shilling weakened against major international and regional currencies during the week ending July 23, on account of increased demand for dollars in the interbank market,” said the Central Bank of Kenya.
Kenya’s current account deficit narrowed to 5.0 percent in the 12 months to June from 5.2 percent in May, attributed to lower oil imports and improvement in exports of tea, horticulture and remittances. The Central Bank of Kenya expects the current account deficit to remain stable at 5.8 percent of gross domestic product (GDP) in the year.
Kenya’s diaspora remittances inflows rose in June 2020 to $288.5 million (KSh31.1 billion) from $258.2 million (KSh27.8 billion) in May as most countries in the world eased coronavirus restrictions. The Central Bank of Kenya data said this was 12 percent rise in remittances driven by increased payments from the United States, Saudi Arabia, and South Africa.
The Central Bank of Kenya says it received bids worth KSh 181.8 Billion for the re-opened 5, 10, and 15-year Treasury Bonds. Treasury’s three (reopened) bonds -(FXD1/2020/05, FXD2/2018/10, and FXD1/2019/15)- that were auctioned on Wednesday to raise Ksh 60.00 billion was oversubscribed by 302.95 percent, according to theCentral Bank of Kenya.
Banks opt for short term gains Kenya’s total Public Debt rose to KSh 6.6 Trillion at the end of May The demand for shorter assets amid abundant liquidity in the market continues to drive yields lower due to the uncertainty regarding Kenya’s economic outlook. “The Treasury bills auction of July 16 received bids totaling KSh 65.2 billion against an advertised amount of KSh 24.0 billion, representing a performance of 271.5 percent.
The Central Bank should maintain the government’s inflation target range of 5.0 percent with a 2.5 percent margin on either side for the ninth straight year says Kenya’s National Treasury. Treasury serves as an advisory to the Central Bank of Kenya on Price Stability Target and Economic Policy , requires the regulator to achieve the target in the 2020/21 fiscal year to preserve macro-economic stability and reduce undesirable fluctuations in economic performance.
The Kenyan shilling closed KSh 107.35 per US dollar on Friday versus Thursday’s close 107.40. The currency exchanged at KSh 107.35 per US dollar on July 16 compared to KSh 106.96 per US dollar on July 9 according to the Central Bank of Kenya.
British American Tobacco Kenya (BAT) posted an eight percent growth in profit in six months to Ksh.2.7 billion from Ksh.2.5billion a year earlier. The company’s costs of operations fell by 10.1 percent to Ksh.6.8 billion as finance costs declined to Ksh.81 million in the period from Ksh.126 million last year.
S&P Global Ratings has downgraded Kenya’s outlook from stable to negative over high debt that could be worsened by the Covid-19 pandemic. “The Covid-19 pandemic will slow Kenya’s GDP growth significantly in 2020 and weigh on its already weak public finances,” S&P Global said .
The price of Super Petrol, Diesel and Kerosene will increase by KSh11.38, KSh17.30 and KSh2.98 per litre respectively as from July 15 according to the latest review by Energy and Petroleum Regulatory Authority (EPRA). Super Petrol will now retail at Ksh100.48 in Nairobi, Diesel at Ksh91.87 and Kerosene at Ksh65.45.
The utility firm’s Board of Directors consists of a minimum of seven and a maximum of 10 directors. “The Covid-19 pandemic has adversely affected our business operations leading to slow growth in electricity sales and an increase in financing costs resulting in reduced earnings,” Company Secretary Imelda Bore said in a notice.
Cold Solutions Kenya Limited has invested KSh7.5 billion to construct state-of-the-art, temperature-controlled cold storage warehouses in the country. The 15,000 square meters grade ‘A’ cold storage complex will span across six acres at Tatu City and will be the country’s largest, most advanced and efficient in the region.
“We do not recommend investors to jump in on this announcement until there is more clarity on how the de-listing will be structured,” said the analysts from their Genghis Cross Asset Weekly Strategy July 13, 2020. Genghis observes that the company which operates in 14 countries in East, Central, and Southern Africa has been releasing financial results ‘critically late’ with the FY19 to December 2019 yet to be released highlighting challenges of operating as a publicly listed company.
This inline with ongoing strategic initiatives by the company as outlined in it s Ahidi 2018-2022 strategy plan. The Infrastructure Company listed on the Nairobi Securities Exchange has scheduled to hold an Extraordinary General Meeting 30 July 2020 to deliberate on the matter.
The Ministry says the Kenya-US FTA will replace the Africa Growth and Opportunities Act (Agoa) which is set to expire in 2025. According to its Proposed Kenya – United States of America Free Trade Area Agreement Negotiation Principles, Objectives, And Scope, its specific objective is to ensure that there is no disruption of Kenya’s market access into the USA after AGOA expires on September 30, 2025.
WPP Scangroup share price gained 26.29 per cent to KSh22.10 on Tuesday, a day after the marketing and communication group announced a special dividend of KSh8 per share in August. “WPP Scangroup made a surprise entry into the top movers’ list, soaring 26.3% on bullish local sentiments,” said Standard Investment Bank in its daily market brief.
Central Bank of Kenya seeks to raise KSh 60 Billion in Treasury Bonds to support the current fiscal year ‘ambitious’ budget. According to the CBK, investors interested to bid the re-opened Five -year, Ten -year and Fifteen -year Fixed-Coupon Treasury Bonds (FXD1/2020/05, FXD2/2018/10, and FXD1/2019/15) must submit them by 2.00 p.m on Tuesday, 21st July 2020 with auction date set for 22nd July 2020.
This was also to the realisation that the country’s economy is expected to contract in the second quarter , due to the adverse effects of the Covid-19 pandemic says the Central Bank. “We project -1.9 percent growth in our baseline scenario for the third quarter.
WPP Scangroup says it will pay shareholders a special dividend of KSh3.45 billion or Sh8 per share in August. “The board of WPP Scangroup Plc is pleased to announce the declaration and payment of a special interim dividend of KSh8 for every ordinary share held, subject to withholding tax, where applicable,” the company said in a market update.
Kenya’s President Uhuru Kenyatta on Monday announced a “phased reopening” of the country by lifting the cessation of movement in the Nairobi Metropolitan Area, Mombasa and Mandera counties from Tuesday, June 7, 2020. However, the current 9 pm to 4 am curfew will remain in place for another 30 days, effective immediately.
According to State House Spokesperson Kanze Dena, the negotiations will be conducted within the Kenya-UK Strategic Partnership Framework established by the two leaders in January 2020 and the East African Community (EAC) parameters in order to enhance regional integration. “In the telephone conversation, President Uhuru Kenyatta and Prime Minister Johnson also discussed several Kenya-UK bilateral interests among them the two nation’s response to the global Covid-19 health crisis,” she said in a statement.
Kenya’s economy is expected to contract in the second quarter, due to the adverse effects of the Covid-19 pandemic, the central bank said on Friday. In its weekly bulletin, the CBK said the economy remained resilient in the first quarter of 2020 , and grew by 4.9 percent compared to 5.5 percent in the first quarter of 2019.
According to the Markit Stanbic Bank Kenya Purchasing Managers’ Index (PMI) stood at 46.6 in June, rebounding from May’s 36.7 but staying below the 50 mark separating expansion from contraction. READ Kenya to Resume Domestic Flights in July “However, the damage done by COVID-19 could last for the better part of the next six months, notwithstanding what official growth statistics may indicate.” Kenya Private Sector Activity.
Debts that have been bedevilling Kenya’s sugar sub-sector worth KSh62.5 billion will be waived by the Government under a plan to support its recovery. According to the ministry, debts that date back to when the sector was under the former Kenya Sugar Board (KSB) before its disbanding in 2013 to form the Agriculture and Food Authority (AFA) after the enactment of the Crops Act 2013 had collapsed the sector.
During the period, Kenya concluded the first deal with 200,000 barrels at a price of KSh1.2 billion sold to China National Chemical Corporation (ChemChina). In May, Tullow issued a force majeure to the Ministry of Petroleum as a result of the Covid-19 pandemic.
Kenya Airways (KQ) expects to lose a staggering KSh40 billion in revenues in 2020 from the 13 billion shillings last year according to chief executive Allan Kilavuka. Speaking virtually to investors during the release of the airline’s 2019 financial results, Kilavuka said as of May, they had already lost Ksh 15 billion in revenue.
Sameer Africa PLC , ( SAMR.NR) says it will witness a sharp plunge in Groups revenues by Ksh 1.49 billion with the closure of its tyre manufacturing plant in East Africa in Financial Year 2019. Since 2006, Sameer has seen a systematic reduction in its market share on account of cheap and subsidised tyre imports.
The global economic growth will contract by 3 per cent in 2020 due to the impact that Covid-19 has exerted on countries, the International Monetary Fund (IMF) said on Tuesday. The latest projection is a revision of 6.4 percentage points from the previously projected forecast to -3 per cent.
The first case of Coronavirus infection within Kenya’s borders was reported on the 13th of March 2020. The Kenya Private Sector Alliance (KEPSA), 61.0% of businesses surveyed reported that the Coronavirus has had a direct negative impact on their businesses.
Scope Market, a non-dealing online foreign exchange broker, on Tuesday launched it’s Mt5 trading platform.
The quality of education and training provided by African countries has worsened since 2014, leaving many of the continent’s growing population of young people ill-prepared to enter the job market, according to the Ibrahim Index of African Governance (IIAG). The Mo Ibrahim Foundation draws on data from the Ibrahim Index of African Governance (IIAG) and shares new insights on progress towards the African Union’s (AU) Agenda 2063 and the United Nations’ (UN) Sustainable Development Goals (SDGs).
National Cement Company Limited, a member of the Devki Group of Companies has taken over all cement and non-cement assets and business of ARM Cement PLC for KSh 5.0 Billion. ARM Cement was placed under administration in August 2018 over Ksh19.3 billion debt.
The week ending October 9, 2019, they accounted for 56.3% of the week’s total activity, compared to 74.5% in the previous week. “Foreign investors were net sellers, reversing a three-week trend, logging net outflows of Ksh 38.1 million compared to a net inflow of Ksh 249.6 million in the previous week,” reported Genghis Capital, an Investment Bank in Kenya.
The bank said its total assets amount to USD15.4 billion and it registered a 20% compound annual growth in gross loans between 2015 and the first half of 2019, plus a 12% return on average equity in 2018. For the six months ended June 30, the bank made a USD137.6 million profit.
The logo comes with a commitment to improving customers’ everyday experiences with the company for the next 7 days. From 8 AM to 4 PM, all Safaricom customers will be able to stream the race live on their phones at no cost.
Uganda’s central bank on Monday cut its benchmark interest rate by one basis point to 9.00 percent, the first time since October 2018, in a bid to bolster the country’s sagging growth. “Against this backdrop, the BoU has decided to reduce the CBR by 100 basis points to 9 percent.” The bank acknowledged that the economy continues to grow but at a slowing rate.
OLA Energy which runs an ISO Certified Lubricant blending plant in Mombasa says that raw materials for the manufacture of lubricants – base oils and additives are charged an import duty of 10% while in other African markets the materials are duty-free.
Kenya’s first green bond has raised Ksh 4.3 billion from a target od Kshs 4.26 billion to finance sustainable and climate-resilient student accommodation. The bond was issued by Acorn Project (Two) Limited Liability Partnership following the launch of the Policy Guidance Note on Green Bonds in February 2019.
Besides cash flow problems, Kenya’s private sector is gradually regaining momentum, after posting 54.1 in September 2019 from 52.9 in the previous month, signaling optimism for the business. “Sales growth accelerated to 13-month high, leading firms to expand their output at a quicker, albeit modest pace.
Kenya’s economic growth grew by 5.6% for the second quarter of 2019 which was lower than 6.4% growth registered during the same quarter in 2018, the statistics office said on Monday. Financial and insurance sector registered the most improved growth of 2.1 percentage points followed by the construction sector whose growth improved by 1.8 percentage points.
Kenya’s overall inflation rate fell to 3.83 percent in September, down from 5.00 percent in August, due to lower foodstuff prices, the statistics bureau said on Monday. “For instance, in September 2019 prices of carrots, cabbages and tomatoes decreased by 9.80, 6.32 and 4.14 percent, respectively,” KNBS says.
READ : Nigerian Logistics Platform Kobo360 Launches in East Africa Sendy Unveils Freight Service to Meet Logistics Demand in East Africa Kenyan Shippers marketplace Tai+.
The Nairobi Securities Exchange (NSE) has suspended trading in the shares of debt-ridden sugar miller, Mumias Sugar Company on Wednesday. On Tuesday, KCB Group placed the sugar miller under administration and appointed Mr.
The Receiver manager was conferred to oversee KCB Group debentures after an agreement by other lenders through Inter Lender Agreement on September 2010. The Kenyan Government is the biggest shareholder owning 20%.
This is the 16th consecutive month that the MPC has held the lending rate at that percentage. “Private sector credit growth continues to stagnate below 6.00% resulting in a non-optimal contribution of private-sector output to growth.
Nairobi sixth wealthiest city in Africa – African wealth report for 2019 The Kenyan market has been touted to be the most resilient in the midst of all the gloom in other African markets. Kenya was ranked as the fifth richest country in Africa after South Africa, Egypt, Nigeria, and Morocco besides having dropped 10 percent on the bear run at the Nairobi Securities Exchange, its cumulative wealth has increased by 64 percent since 2008.
The Kenya Shilling gained against the dollar for the first time week ending September 20 to close Ksh 103.9. “It exchanged at KSh 103.91 per US Dollar on September 19, compared to KSh 103.78 on September 12,” according to the Central Bank of Kenya weekly bulletin.
Kenya, Rwanda and Ethiopia have been ranked among the top 10 countries where to invest in Africa the year 2020 by Rand Merchant Bank . RMB’s annual #WhereToInvestInAfrica announces our continent’s top 10, with North Africa dominating the top 3, an even split from the east and west, and only South Africa representing the southern tip.
The Airport Council International (ACI) World Air Traffic Report indicates JKIA (Handling over 250,000 metric tons of air cargo)’ category as it handled over 342,000 metric tons of air cargo in 2018 indicating a 25% increase from 2017. In the last few years, JKIA has seen the entry of several modern transit sheds, increasing it’s annual overall cargo to 1.2million tons.
National Treasury has cut Kenya’s GDP growth forecast for this year to 6.0 percent from previously projected 6.2 percent, according to it’s Draft 2019 Budget Review and Outlook Paper released Thursday. “This reflects the strong growth of 6.3 percent in 2018.
Treasury’s dual-tranche tenors floated Wednesday raised Ksh 32.6 billion, attracting bids worth Ksh 32bn out of the Ksh 50.0Bn offered for the reopened 2-year (FXD1/2018/15) and 15-year (FXD2/2019/15). The yields came in at 12.673% and 12.564% for the 2-year and 15-year bonds, respectively.
Hotpoint Appliances Ltd., electronics and home appliances distributors, has moved to its new KSh1.1billion offices’ block in Thika, outskirts of the Nairobi Central Business District. “Our new state of the art headquarters will host 350 of our more than 500 employees in addition to our warehouses, our new and improved service center and an interactive experience zone for the brands we represent,” added Mr.
Patrick Njoroge, Kenya’s Central Bank governor has maintained that caps on commercial lending rates would eventually be removed, terming them a ‘temporary deviation’ even as Members of Parliament on Wednesday opposed repealing sections of the Banking (Amendment) Bill 2019. Njoroge at the Renaissance Capital’s 5th Annual East Africa Investor Conference held in Nairobi.
The new team is embarking on an extensive reorganization of the acquired operations in order to bring them into line with Group standards,” it said in its first half of 2019 financial results. In its financial performance, Rubis said in Africa the volumes for the first half of the year incorporated KenolKobil over one quarter bringing volume growth in the region to 48%.
The Central Bank of Kenya expects that the current account deficit will remain steady at 5 percent of the Gross Domestic Product going forward. Patrick Njoroge the Central Bank Governor during the 5the Annual East Africa Investor Conference on Wednesday.
The sustained capping of commercial banks’ lending rates at 4 percentage points above the Central Bank of Kenya benchmark rate will remain a constraint to the conduct of monetary policy. This is according to Commercial Bank of Africa (CBA) September monthly report after the National Assembly during the second reading of the Banking (Amendment) Bill 2019 were opposed to repealing it.
According to the Africa Business Agenda report, a large proportion of African CEOs (93%) are ‘somewhat confident or ‘very confident’ about their organisation’s prospects for revenue growth over the next three years – higher than the global average of 85%. African CEOs identified operational efficiencies (80%), organic growth (76%) and the launch of new products and services (58%) as their primary drivers of revenue growth.
Kenya’s gig economy is projected to reach $345 million and employ a total of 93,875 by 2023, according to a report on the current state and the industry’s future outlook. According to the Kenya Bureau of Statistics, on average, 500,000 to 800,000 young Kenyans enter the job market annually .
The Kenyan secondary market is expected to remain subdued this week after it declined 39.2% last week to Ksh 8.2 billion attributed to the wait-and-see approach adopted by investors ahead of the primary bond auction this week and as clarity surrounding the rate cap emerges. During the week, the Finance and National Planning Committee of Parliament opposed the proposal by the National Treasury (under the Finance Bill 2019) to have the ceiling on lending rates lifted.
The Energy and Petroleum Regulatory Authority (EPRA) Saturday increased the price of a litre of super petrol by KSh 0.28 and that of diesel by KSh 2.44, citing a fall and a rise in the landed cost of the two commodities respectively. The price of kerosene has been dropped by KSh 3.31 per litre.
The government of Kenya may be able to contain its budget deficit to 3.5 per cent of gross domestic product (GDP) in 2022/23 (FY 2020/21) in the Third Medium Term Plan according to the National Treasury. “We expect the budget deficit to reduce to 3.5 per cent of GDP in 2022/23 from a high figure of 7.7 percent of the GDP in 2018/19,” said Amb.
The mobile-traded government bond, M-Akiba, missed its target after raising Ksh.263 million against an expected return of Ksh.500 million in its third re-opening. The Central Depository & Settlement Corporation (CDSC) and the Nairobi Securities Exchange (NSE) said in a statement Thursday the bond attracted additional 51,461 new accounts, bringing the total M-Akiba accounts to 565,725.
The Kenyan Cabinet on Thursday approved a KSh6.9 billion ($69 million) budget for the development of an Inland Container Depot at Naivasha. The funds will support the development of the Naivasha Special Economic Zone and the impending completion of Standard Gauge Railway (SGR) phase 2A.
According to the index, manufacturing and services fell to 52.9 from 54.1 in July. Amendments to the Banking (Amendment) Act 2015 were introduced by Kiambu Central MP Jude Njomo and signed into law in August 2016.
Nigerian logistics startup Kobo360 has launched its operations in Kenya in its expansion drive in East Africa. The company has been in beta operation in Kenya for five months and has on-boarded over 3,000 trucks and truck owners.
Kenya’s annual consumer price inflation fell off to 5.0% year-on-year in August from 6.27% July attributed to declining food prices. According to the Kenya National Bureau of Statistics on Friday, on a monthly basis, inflation was -0.90% from -0.36% in July, with the Food and Non-Alcoholic Drinks Index falling 1.89% compared with July.
The telco says for its current 2020 financial year will focus on providing additional support to business units that are emerging as key revenue drivers, such as financial services. The company intends to spend over KES 36 billion this financial year rolling out an additional 2,030 4G and 4G+ base stations to reach more than 80 percent of the population.
Egyptian bus-hailing service Swvl plans to inject $15 million (Ksh 1.5 billion) into its Kenyan operations to improving its current operations. When they launched in Kenya in February 2019, SWVL was operating on four routes and has over the last six months since increased the routes to fifty-five.
The Federation of East African Freight Forwarders Associations (FEAFFA) has received a USD 3.5 million grant from TradeMark East Africa to raise the capacity of logistics sector operators. The 4-year programme is aimed at upskilling customs agents, freight forwarders and warehouse operators across East Africa.
The successful pilot has clocked over 1,500 deliveries of 18 to 30 tonnes and more since its launch. Sendy currently covers delivery needs for over 5,000 businesses and hopes to double this with the addition of Sendy Freight to its platform.
The African Union has intensified calls for the emergence of new multilateral world order by the international community by responding to its Agenda 2063: The Africa We Want. “I attended the just concluded #G7Summit + it’s increasingly clear that there is an urgent need for an emergence of new multilateral world order.
Kenolkobil has been delisted from the Nairobi Securities Exchange following the acquisition of 100 percent of issued shares of the oil marketer by French energy firm Rubis Energie. “Notice is hereby given on the delisting of Kenolkobil from the NSE effective 23 , August 2019,” said the NSE in part.
The East African Business Council (EABC) has signed a $3 million financing agreement with Trademark East Africa (TMEA) to help address trade barriers in East Africa. “Inadequate trading regimes restrictions on the export of certain commodities, and lack of product diversification and the existence of NTBs continue to hamper intra-regional trade which is still low at 20 percent compared to other RECs,” EABC CEO Peter Mathuki said.
The two spoke at a media forum in Nairobi on the role of businesses in promoting UN 2030 goals ahead of Safaricom’s launch of its 8 th annual sustainability Report on Thursday. In the report, Safaricom injected KSh601 billion into the Kenyan economy in the year ended March 2019.
Kenya’s National Treasury has re-opened the sale of Ksh 500 million mobile-based infrastructure bond M-Akiba for infrastructure development. The sale began on Monday, August 19 and runs up to September 6.
Muniu Thoithi as Joint Receiver and Manager to recover Ksh 400 million lent to farm by CFC Stanbic Bank. On May 11, 2016, an application was filed in the High Court in which lawyers representing Karuturi’s directors questioned the qualifications of the two liquidators.
In 2017, the Capital Market Authority introduced legislation that would regulate the sector and also outline the registration requirements.
The Central Bank of Kenya’s Monetary Policy Committee will hold its next rate-setting meeting on September 23, 2019. It’s last meeting of July, the MPC held its benchmark lending rate at 9.00% for the sixth time in a row on the backdrop of inflation expectations being within the target range.
“ChemChina UK LTd was selected following a competitive tender process… an invitation to bid was issued to prospective buyers on 26th July 2019,” said a statement issued by the Kenyan Government, together with Tullow Oil and its joint venture partners. Early this month, President Uhuru Kenyatta said the country had concluded the first deal with 200,000 barrels at a price of KSh1.2 billion.
The green bond seeks to raise KSh5 billion to finance sustainable and climate-resilient student accommodation and is structured as a restricted public offer for sophisticated investors. Issuers will target sophisticated investors who will get a 50% guarantee from credit guarantees provider Guarantco on both their investments and the interest.
Super petrol and diesel prices in Kenya have dropped by KSh2.86 and KSh3.28 per litre respectively, while that of kerosene has increased by KSh1.98. “The changes in this month’s prices have been a consequence of the average cost of imported super petrol and diesel decreasing by 5.6 and 7.1 percent between June and July 2019,” read EPRA’s statement.
“We expect high growth will be driven primarily by public investment, which will likely result in sizable fiscal deficits and rising government debt levels.” The country’s’ economic growth forecast of 7.80% is projected to be the fastest in the East African region in 2019. Commercial Bank of Africa’s Monthly Economic Report – August 2019, state that, “Although positive in the long run, a weakening external trade environment could weigh on export revenues as weak demand undermines pricing.
East African Portland Cement has withdrawn notice that declared all its 800 staff redundant. ”We make reference an announcement on the notice on intended restructuring and staff rationalisation issued on August 7.
As a result, it is incurring an average daily loss of KSh8 million. In the spirit of fairness and in regard of the service rendered by the affected staff, this exercise will be done within the provisions of Section 40 of Employment Act.
Stanbic Bank Kenya PMI decreased to 54.1 in July of 2019 from 54.3 in the previous month . Companies also continued to register higher sales from abroad, with the rate of growth sharp but softer than in the previous month.” For businesses that were surveyed, “…94% of surveyed companies expect output to grow in the next 12 months.
Kenya introduced a tax on mobile phone-based transactions in 2013 via an excise tax rate of 10 per cent through the Finance Act of 2018. The excise tax on money transfer services through mobile phones and through banks was increased from 10 per cent to 12 per cent and 20 per cent, respectively.
The African Export-Import Bank (Afreximbank) has said the impact that trade, finance, and expansion of value chains will have on Africa’s development agenda over the next 20-30 years must be underscored. According to Kanayo, the African continent is ‘marching forward and has made great strides’ with the International Monetary Fund (IMF) projecting a 3.8% growth in 2019.
The admission of the three firms is an important milestone noting that the Authority had set itself a target to admit five firms to the Regulatory Sandbox by 2023”, said Mr. The CMA approval restricts the testing period to 12 months.
Annual inflation rose to 6.27% in July from 5.70% the previous month, according to Kenyan National Bureau of Statistics on Wednesday. “Nevertheless, although the price of milk, cabbages, and potatoes fell relative to June 2019, they remained well above the July 2018 prices,” said KNBS.
Kenya’s inflation is projected to rise by 6.0% in July mainly on lower base effects but to remain with the 2.5% – 7.5%, target range. Even then, inflation reading for July is likely to have little implication for the yield curve as liquidity remain dominant and preference for sovereign risk intact,” says Commercial Bank of Africa analysts in their Weekly Fixed Income Report – 29th July 2019.
The Central Bank of Kenya’s Monetary Policy Committee on Wednesday held its benchmark lending rate at 9.0% for the sixth time in a row on the backdrop of inflation expectations being within the target range. Treasury Tells Central Bank of Kenya to Maintain Inflation Range at 5% Until 2022 The bank indicated that the current account deficit is expected to narrow to 4.5 percent of GDP in 2019 from 5.0 percent in 2018.
Kenya’s overall inflation is expected to remain within the government’s target range of 5.0% according to the National Treasury’s advisory to the Central Bank of Kenya on Price Stability Target and Economic Policy. Treasury says this is line with the macroeconomic developments and targets underlying the FY 2019/20 budget and medium-term expenditure priorities for the period 2019/20 – FY 2021/22 being the the eighth consecutive year that it has maintained the average.
Henry Rotich, Kenya’s National Treasury Cabinet Secretary and Principal Secretary Kamau Thugge pleaded not guilty to corruption charges on Tuesday relating to the Ksh 63 billion Arror and Kimwarer dams scandal. Consequently, Geoffrey Wahungu, Chief Executive Officer of the National Environmental Management Authority (NEMA) was freed on varied bond terms ranging from KSh750,00 to KSh50 million.
pic.twitter.com/3M9eDqg4uq — Citizen TV Kenya (@citizentvkenya) July 22, 2019 Haji further said their investigations established that government officials flouted all procurement rules and abused their oath of office to ensure the scheme went through.
Diaspora remittances from Kenyans living and working abroad soared to an all-time high of KSh30.3 billion in June according to the Central Bank of Kenya weekly bulletin data. This was an increase of 21% from KSh24.7 billion of diaspora remittances recorded in May.
It’s service available to all Safaricom subscribers: via *283# on the phone to access the platform. According to Lopokoiyit, the platform remains focused on digitizing the entire agriculture value chain and has so far registered over 1 million farmers on the platform where the platform is projected to be worth US$1 Billion by 2020.
The Central Bank of Kenya (CBK) is forecast to cut interest rates when its Monetary Policy Committee meeting to make a decision on the direction of the Central Bank Rate (CBR) on July 24, 2019.
In the latest review by Energy and Petroleum Regulatory Authority (EPRA), prices of diesel and kerosene declined marginally by KSh.088 and KSh2.31 per litre. However, the petrol price increased by KSh0.29.
This was after Kenya’s Betting Control and Licensing Board ordered the withdrawal of betting codes for 27 gambling companies whose licenses had not been renewed. “The licenses of operators were not renewed for the period July 1, 2019, to June 30, 2020,” stated the Betting Control and Licensing Board.
19 betting companies, 13 casinos, and six lotteries face closure after Kenya’s Betting Control and Licensing Board has ordered telecommunications companies to shut down pay bill numbers and shortcodes for failing to renew their operating licenses. The 27 include SportPesa, Betin, and Betway.
The Next Derivatives Market, will offer investors index futures contracts on the NSE-25 share index and single stock futures.
African Union’s Trade Commissioner, Ambassador Albert Muchanga will lead a high-powered delegation to the 2nd edition of the Trade with Africa Business Summit in Chicago, US. Muchanga and his team will be here as architects of the newly launched African Continental Free Trade Area (AfCFTA) at the 12th Extraordinary Summit in Niamey, Niger.
Fruit juice maker Del Monte Kenya has invested KSh580 million in a new fresh fruit packing facility with a processing capacity of 60 tonnes annually. The facility is expected to create 200 new jobs and boost the economies of Murang’a and Kiambu counties as it plans to expand production of pineapples avocados, mangos, and passion fruit juices.
Kenya and Tanzania have decided to collaborate in trading in natural gas, a development that comes in the backdrop of long-standing trade disputes , which have slowed down the flow of goods ac and services across common borders. Collaboration on this area gathered pace when President Uhuru Kenyatta made a two-day private visit to Tanzania’s president John Magufuli in Chato, a township in the Geita region.
54 member states have agreed on the process to implement the accord. “The eyes of the world are turned to Africa,” Egyptian President and AU chairman Abdel-Fattah el-Sissi said at the opening ceremony of the 35th Ordinary Session of the Executive Council.
The two contracts are worth KSh48,000 and will expire in September 2019. The Safaricom PLC and EABL contracts delivery will be on 19th Sep 2019, strike price 28.90 Value of Ksh28,900 and strike price 199.74 value of Ksh19,974 respectively.
Increased demand for new orders in the domestic and foreign markets drove up Kenya’s private sector growth to a 10-month high of 54.3 in June compared to 51.3 in May. The monthly Purchasing Managers Index (PMI) by Stanbic Bank further attributed the growth to an easing of cash flow over the past few months, with the private sector lending rising to 3.2%.
The Nairobi Securities Exchange Derivatives Market (NEXT) went live on Thursday with the trading of selected indices and single stock futures. This involves the most traded companies at the NSE: Safaricom Plc, Equity Group Holdings, KenGen, KCB Group, East African Breweries Ltd, British American Tobacco Kenya Plc and Bamburi Cement Ltd.
Since 2017, it has broadened its product offerings in various category clusters including water, nectar juice, ready to drink coffee, tea bags and sports drinks.
Nigeria has said it will sign the Africa Free Trade Agreement during the 12th African Union summit, according to a statement posted on the Nigeria presidency’s Twitter feed on Tuesday. Cttee on the Impact & Readiness Assessment of the Agreement Establishing the AfCFTA submitted its Report to Pres @MBuhari Thur June 27, 2019.
The fidelity in our flight analytics, together with the team’s experience from analysing more than 175 million flights, will enable Kenya Airways to better manage operations with data-driven solutions,” he said. Kenya Airway’s 425 pilots add to the 57,702-airline crew relying on GE Aviation’s Network Crew Optimization.
Board Member, Michael Joseph @michaelj2 appointed interim Chief Executive Officer @SafaricomPLC with immediate effect. During his tenure, he steered the company from a subscriber base of less than 20,000 to over 16.71 million subscribers.
Kenya’s economy grew at a much lower than expected 5.6% in the January-March period compared to 6.5% the same period last year the Kenya National Bureau of Statistics reported Friday. READ Kenya Records 6.3% Growth Driven by Agriculture in 2019 Kenya Manufacturing Growth Disappoints in Q1, But There is Optimism Ahead Highlights Manufacturing declined to 3.2% from 3.8% Transport sector 6.7% from 8.5% Construction expanded 5.6% from 6.6%.
Kenya’s annual consumer price inflation jumped to 5.70% in June from 5.49% in May attributed to the rise of foodstuffs according to the Kenya Bureau of Statistics (KNBS) on Friday. The prices of spinach, kales and tomatoes recorded decreases of 2.42, 6.87, and 0.36%, respectively, in June 2019 compared to May.
Bulk carrier MV Lowlands Mimosa, with a gross Tonnage of 35596, docked at the port of Mombasa, Berth No. 9 at the Port on Saturday according to the Kenya Ports Authority.
The ministry says the parties have agreed that Amosing, Ngamia and Twiga fields should be developed as the Foundation Stage of the development. “The signing of the Heads of Terms is a major milestone in the commercialisation of Kenya’s first oil development.
Kenya’s National Treasury says the country will cut its 2019/20 budget deficit beginning July-June to 5.6% of GDP from 7.4 % in the fiscal year according to it’s Cabinet Secretary Henry Rotich in his budget proposals to the National Assembly and the Senate on Thursday. “In relation to GDP this deficit represents 5.6% a decline from 6.8% in this financial year and 7.4% in the last financial year,” According to Rotich, this will be financed by net external financing of Ksh 324 billion and net domestic financing of Ksh 283.5 billion.
New LPG regulations attack counterfeit market and create safety guarantees to draw consumers off firewood that is driving respiratory disease as Kenya’s biggest killer. The government has approved the Liquefied Petroleum Gas (LPG) regulations banning oil marketers from accepting gas cylinders from rival brands during refills.
Through a letter addressed to all financial institutions on Friday, the Tanzanian bank regulator said the Central Bank of Kenya had informed it of assurance of new series of banknotes starting May 31. “All the older Ksh.1000 series shall be withdrawn.
The Index shows operations by private firms improved to 51.3 last month from 49.3 in April. Readings above 50.0 signal an improvement in business conditions on the previous month, while readings below 50.0 show a deterioration.
KSh263 Billion is in circulation according to the Central Bank of Kenya after announcing on Saturday that it will be withdrawing the old version of its 1,000 banknotes. Rules in Exchange of Old Notes “People who want to exchange the old notes for a value of less than Ksh 1 million can do so at their bank branches.
According to PKF, there is insufficient information to establish if the public debt, which stands at a high of 51% of GDP, is well planned. Among the measures being proposed include a reduction of corporate tax rate to 20% for a three-year stimulus period; simplified importation rules and pre-shipment verification for small traders and modernisation of tax laws.
The old version of Kenya’s Ksh.1000 currency notes will be out of circulation by October 1 this year the Central Bank has announced aimed to fight counterfeit and illicit financial flows. “All the older Ksh.1000 series shall be withdrawn.
The cost of living in Kenya eased slightly in May to 5.49% compared to 6.58% in April on account of favourable weather conditions which resulted in lower food prices. “The food and non-alcoholic drinks index decreased by 0.3% in May mainly due to favourable weather conditions which led to lower prices for some commodities,” the Kenya National Bureau of Statistics Director General Zachary Mwangi said in a statement on Friday.
The World Bank has approved Ksh750 billion loan to Kenya that focused mainly on support for agriculture and housing, the bank said in a statement. READ: Kenya Raises KSh210 Billion in New Eurobond to Pay Debt.
This follows the successful completion of a six-month Derivatives Pilot Test Phase conducted between July and December 2018, and resolution of key issues that emanated from the test phase. In December 2014, the NSE was given a provisional licence allowing it to open a derivatives exchange.
The African Continental Free Trade Area (AfCFTA) will come into force on Thursday creating a single African market of over one-billion consumers with a total GDP of more than $3-trillion. “It puts Africa on track to create the largest free trade agreement by country & population since the 1995 creation of the World Trade Organisation (WTO),” said the United Nations Conference on Trade and Development (UNCTAD).
Naspers, a multinational internet and media group headquartered in South Africa plans to list in Amsterdam on July 17. Naspers said it will own at least 73% of the Amsterdam-listed entity retaining its primary listing on the JSE and a secondary listing on A2X.
Kenya’s National Treasury has reopened the M-Akiba bond , a mobile-based infrastructure bond, targeting to raise Ksh 250 million in June. It is scheduled to run from Monday, May 27, to Friday, June 7, 2019.
The Central Bank of Kenya saw the current account deficit narrowing to 4.8 % of the gross domestic product in 2019. “The current account deficit is expected to narrow to 4.8% of GDP in 2019 from 5.0% in 2018,” Governor Patrick Njoroge said after the Monetary Policy Committee held its benchmark rate at 9.0%.
Kenya’s foreign exchange reserves hit a life-time high of 10.06 billion US dollars, the central bank confirmed on Monday. The Central Bank said the foreign exchange market has remained stable supported by the narrowing of the current account deficit to 4.5% of GDP in the 12 months to April 2019 from 5.5% in April 2018.
The board announced in a press release Tuesday that it has accepted the resignation for personal reasons of KQ chief executive officer and group managing director Sebastian Piotr Mikosz, who has been at the helm for 3 years. It also clarified that Mikosz will continue to serve in his capacity as CEO and Group MD until 31st December 2019.
In its May 2019 survey on market conditions, the Central Bank of Kenya (CBK), showed that the private sector expects inflation to remain within the target range, with expectations of lower food prices following improved weather conditions, and the stability in the exchange rate. “Global growth is expected to slow down in 2019, largely due to the escalation of trade tensions between the U.S.
Central Bank of Kenya (CBK) held its benchmark lending rate at 9.0% on Monday, saying there was a need to remain vigilant on inflation. The inflation rate stood at 6.6 percent in April compared to 4.4 percent in March, mainly reflecting increases in food prices attributed to the depressed supply of vegetables and other fast-growing food crops following the delayed onset of the long rains.
On Thursday, he told reporters that he was there to stay until 2020. Collymore might have given a hint when the telco announced its 2019 Full Year Results in May when he spoke about 5G networks as the next generation of mobile internet connectivity.
The Head of Financial Management replaces Simon Peter ole Nkeri who has been sacked following a board meeting held on May 17, according to a memo sent to staff on Monday, the Business Daily reported. Kyalo joined the cement maker on 1st April 2007.
With the change, Coca-Cola will begin presenting the financial statements of CCBA within its results from continuing operations in the second quarter of 2019. Coca-Cola previously announced its intention to refranchise CCBA, which is the largest bottler of Coca-Cola beverages in Africa, serving 12 countries.
National Cement Company Limited, a member of the Devki Group Of Companies has entered into an agreement to acquire all cement and non-cement assets and business of ARM Cement PLC for KSh 5.0 Billion. In October 2018, Creditors of the indebted ARM Cement approved the sale of one of its subsidiaries to reduce its debt.
In 2017, the company posted a net loss after tax of KSh 180.4 million for its first half of 2017 from KSh 52.6 million compared to 2016. The same year, it sold the Mr Price (MRP) franchise to the Mr Price Group Limited with its net sales decreasing by 20 percent for the remaining business.
A statement from the NSE said the company has been replaced in the 20 and 25 share indices by Kenya Airways and Total Kenya respectively. The NSE 20 Share Index is a price weight index calculated as a mean of the top 20 best performing counters.
The Kenyan Government sold KSh210 billion ($2.1 billion) Eurobond, in tranches of 7- and 12-year tenors, for budgetary allocation and to repay KSh75 billion bond maturing in June. It'll issue a $2.1bn deal, split between a $900m 7-year tranche yielding 7% and a $1.2bn 12-yr at 8%.
Rodrick Muhoro KSh 208 Million and banned him from the industry for 10 years following the conclusion of investigations with respect to the allegation of irregular trading of Government Securities in 2016 and 2017. “The authority has imposed a financial penalty of Kshs 208 Million being twice the amount of benefit Mr.
Super petrol will retail for KSh 5.43 more starting Wednesday, while those of diesel and kerosene have increased by KSh2.24 and KSh2.40 respectively. Super petrol rose by 11.39% from $620.54 to $691.25, diesel by 2.75% from $624.25 to $641.51 and kerosene by 2% from $662.55 to $675.55.
Last week, the National Treasury began a roadshow for its dual-tranche Eurobond (12- and 31-year paper) to raise Ksh250 billion targeting investors in Europe and the United States.
The first license was issued to EGM Securities Limited in 2018 . According to the Capital Markets (Online Foreign Exchange Trading) Regulations, 2017, Non-dealing Online Forex brokers do not offer client advice or trade on behalf of their clients.
The existing legislation are the Energy Act 2019, Part IX and Petroleum Act 2019, Part IV. The current legislation in development include; Local Content Bill 2018, Local Content Oil and Gas Regulations, and the Kenya Local Content Policy.
READ: Kenya Begins Roadshow for 12-, 31-year Dual-tranche Eurobond In April, Fitch affirmed Kenya’s Long-Term Foreign- and Local-Currency IDRs at ‘B+’ with a Stable Outlook.
The five blocks are Avivi with an area coverage of 1026km2, Omuka (750km2) ), Kasuruban (1285km2), Turaco (637km2) and Ngaji (1230km2 ). “Following this announcement, the Ministry will issue a Request for Qualification (RFQ) inviting interested firms and/or consortia to submit applications within a period of 6 months.
Kenya has announced a roadshow for a dual-tranche Eurobond (12- and 31-year paper) to raise Ksh250 billion for both bonds. It's looking at issuing 12- and 31-year dollar tranches.
Debt-laden ARM Cement PLC (NSE:ARM) application to delay the release of its results for the financial year 2018 has been approved by the regulator. The cement maker missed the March 30 deadline.
Reginald Kadzutu, Amana Capital’s Chief Investment Officer, stated that the shilling is overvalued by 30%. He pointed out that the consumer price index, which was at KSh97 in 2009, has risen to KSh192.
21% believe it is growing and 19% believe the economy is declining among the leaders in the manufacturing sector who gave their views on the implementation of the Big Four Agenda. The 2019 Manufacturing Priority Agenda (MPA), themed ‘Closing the manufacturing gap through the Big 4 Agenda for shared prosperity’, the sector is expected to contribute 15% to the GDP by 2022 by closing the current gap of 6.6%.
FXPesa is the trading name of FXPesa Limited (company registration number PVT-AAAAFF7), and regulated by the Capital Markets Authority.
Kenya’s economy suffered a hit to operating conditions in April, as activity and employment declined for the first time in 17 months in the wake of poor weather conditions and intensifying cash flow issues. Markit’s monthly service sector PMI dropped to 49.3 in April below the neutral 50.0 threshold.
Diaspora remittances increased by 11.4% to USD 221 million in March from USD 199 million in February according to Central Bank Data. Data by the Central Bank of Kenya (CBK) shows that the 12-month cumulative inflows increased to KSh274.84 billion in March this year from KSh217.7 billion in March last year, reflecting a 26% growth.
Safaricom on Friday reported its earnings before interest, taxation, depreciation, and amortization (EBITDA) in the full year to March soared 13.1% to Ksh89.6 billion. This was driven by M-Pesa growing at 19.2% year on year, and, accounting for 75% of the revenue growth for the year.
Kenya’s inflation in April soared to 6.58% in April attributed to increasing food prices by the statistics body. “Sifted maize flour, kales, potatoes, loose maize grains and flour and tomatoes recorded increases of 29.82, 25.30, 19.2726.1415.90 and 15.31 respectively, in April compared to March 2019,’’ said the Kenya National Bureau of Statistics (KNBS) on Tuesday.
Kenya Airways (KQ) has reported a Ksh 7.6 billion pretax loss in its 2018 financial year performance from Ksh 6.4Bn in FY17 due to a surge in operating costs. “Fuel is our greatest challenge & this will be for a while, oil prices are up by 30%.
Financial Institution Equity Group Holdings and telecommunications provider Safaricom partnered to create a joint transformation agenda that aims to enable more Kenyans to access critical services using an innovative combination of technology and finance. “At Safaricom, we are continuously driven to explore new ways to provide our customers with the best possible experience on our network.
President Uhuru Kenyatta witnessed the signing of two project delivery agreements totaling to KSh 67.5 billion through concessional financing and Public-Private Partnership (PPP). Konza Data Centre and Smart City Facilities Project is part of the Konza Techno City, a Vision 2030 flagship project started in 2008 and is aimed at developing technology-intensive and high-tech industries in ICT, biotechnology and e-commerce.
Regional low-cost carrier, Jambojet says its growth will be anchored through partnerships and alliances as it marked its 5th year anniversary on Thursday. “In Africa, it is estimated that 2.5% of the passengers have travel documents, and 88% need to have them,” noted Rague.
In 2015, (ADSS) closed its operations in Kenya and placed its subsidiaries – Ardan Logistics Kenya Ltd, Ardan (Medical Services) Ltd, and Ardan (Civil Engineering) Ltd,- into liquidation. Atlas cross-listed at the Growth Enterprise Market Segment at the Nairobi Securities Exchange in December 2014 Atlas Development and Support Services.
Kenya job growth surged by 00.9 million to 17.8 million in 2018 compared to 16.9 million in 2017, with only 840,000 new jobs created, the 2019 Economic Survey report indicates. Out of the new jobs created, 83.6% came from the informal sector and 16.4% in the formal sector.
Kenya’s economy is estimated to have expanded by 6.3% in 2018 driven by agriculture, excluding fisheries and forestry, which expanded by 6.6%, up from 1.8% in 2017, according to the Kenya National Bureau of Statistics. Agricultural activities benefitted from sufficient rains that were well spread throughout the country,” said the Statistics body in its Economic Survey 2019.
“We wish to notify the public that the Energy Regulatory Commission (ERC) is transitioning into the Energy and Petroleum Regulatory Authority (EPRA), established under the Energy Act 2019,” said the commission in a public notice posted on their Facebook Page . The new law repealed the Energy Act 2006 and the Petroleum (Exploration & Production) Act (1986 revision).
Mars Wrigley Confectionery, a global leader in the manufacture of chewing gum, confections and chocolates, opened its Kshs 7 billion manufacturing plant in Athi River, Machakos County. The plant is constructed on a 20-acre piece of land in Mavoko, Machakos County has replaced the company’s old plant that was located in Nairobi’s Industrial Area.
Swiss Re, one of the worlds leading providers of insurance products and listed on the main segment of the SIX Swiss Exchange, now owns 15.79% of Britam Holdings PLC for 50 million shares through a private transaction. “These shares were acquired from Jimnah Mbaru (the ‘Transferor’) through a private transaction under Regulation 57(d) of Capital Markets (Licensing Requirements) (General Regulations, 2002,” said the Capital Markets in a Notice.
Mauritius Union Assurance (MUA Ltd), an insurer that owns subsidiaries in East Africa, is adding its investment in Kenya’s insurance sector by increasing 36% on from its previous investment. Five years on from a Ksh2.2 billion investment, the insurer is injecting Ksh3 billion into the sector ‘the company’s single biggest investment in the country’.
However, the 2018 new process requires an employer to put in the application on behalf of the employee, while the employee is in their home country, through their Kenyan office and submits it to immigration for processing.
The energy regulator announced on Sunday, Super Petrol, Diesel and Kerosene in Nairobi will increase by KSh5.25, KSh5.52 and KSh2.76 per litre respectively. The new prices will be in effect from April 15 to May 14, 2019.
The Central Bank of Kenya accepted KSh 60.35 billion out of KSh85.62 billion from its 10- and 20-year Treasury bonds- (FXD 2/2019/10) and (FXD 1/2019/20). A total of KES 353.13Bn in outstanding maturities to June 2019 coupled with increased government spending should bolster overall liquidity and therefore, the performance on auctions.
Bank assets growth was 10.2% in 2018, compared to 10.1% in 2017. The Unit Trust Fund Managers, in line with section 51A (2) of licensing regulations, released their 2018 results.
The 15th Energy Management Awards, celebrating excellence in energy efficiency in the Kenya manufacturing sector, were held Friday in Nairobi. The Energy Management Awards was launched in 2004 by the GEF-KAM Energy Efficiency Project, a predecessor of Centre of Energy Efficiency and Conservation (CEEC).
Kenya Breweries Ltd, emerged the overall winner 2019 Energy Management Awards winner as a company ensuring energy efficiency by the Kenyan Association of Manufacturers (KAM). #EMAKe pic.twitter.com/xLEhAkzaTJ — Kenya Breweries Ltd (@KenyaBreweries) April 13, 2019 East African Breweries Limited, through its Twitter feed , said “Through efficient energy use, we believe that we will continue to thrive as a business!.
Industries that have participated in the Kenya Association of Manufactures Energy Management Awards, have a combined energy savings worth KES 13.7 billion over the last 15 years. “The verified annual energy savings presented for EMA 2019 stands at over 55 million kilowatt-hours with the potential cost savings of Kshs.
Nairobi experienced a 15% year-on-year increase in new warehousing supply according to Broll Insights. Transport and Logistics users occupy the highest market share of approximately 26%, followed by manufacturing and engineering; and, wholesale, at 23% and 22% respectively.
2.5 billion when the implementation of the National Electronic Single Window System (Kenya TradeNet) begun in 2016. According to Kenya TradeNet CEO Amos Wang’ora 11,400 users are registered in the National Single window, 36 of them being government agencies.
The economic outlook in Kenya has been lowered by 5.7% in 2019, a slight decrease from the estimated 5.8% growth experienced in 2018 by the World Bank. “The medium-term growth outlook is stable but recent threats of drought could drag down growth,” the World Bank said on Tuesday while releasing its 19th Kenya Economic Update (KEU), Unbundling the Slack in Private Investment.
Economists at Genghis Capital Ltd, an Investment Bank, on Monday said Kenya’s budget deficit is estimated to decline at the end of the 2018/19 fiscal year, but expressed concerns over absorption of funds. In a 2Q19 Macro-Economic & Fixed Income Outlook, the Analysts said the fiscal deficit will decline to 6.0% of gross domestic product at the end of FY2018/19, down from 7.2% at the end of FY2017/18.
The Kenyan Shilling appreciated marginally against the US Dollar to Kshs 100.7, from Kshs 100.8 the week ending April 4., mainly on account of subdued greenback demand. The Shilling has appreciated by 1.1% year to date.
President Uhuru Kenyatta said Kenya’s economic growth in 2019 will rise to 6.3% from an estimated 6.1% last year. The population in extreme poverty (living on less than $1.90 a day) declined from 46% in 2006 to 36% in 2016.
Public relations agency Ogilvy Africa and its clients won 11 out of 37 awards at the 2019 African SABRE Awards. Ogilvy Africa CEO Mathieu Plassard said 2018 was remarkable for them and their clients.
The private sector in Kenya contracted in March, in 16 months according to Markit Stanbic Bank Kenya Purchasing Managers’ Index (PMI) with a score of 51.0. The reading pointed to the weakest expansion in private activity since November 2017 when conditions last deteriorated.
The Kenyan Shilling remained stable by 1.1% on Friday to close at Kshs 100.8, from Kshs 101.8 at the end of December 2018 against the US dollar on non-traditional flows from diaspora remittances in Q1’2019. However, it depreciated marginally by 0.05% against the dollar to close at Kshs 100.8, from Kshs 100.7 during the week ending March 28, due to end-month demand from the energy and manufacturing sector exceeding dollar inflows from remittances.
Food and beverage price rises helped push inflation higher in March to 4.35% year-on-year compared to February’s 4.14% the Kenya National Bureau of Statistics said on Friday. On a month-on-month basis, inflation was 1.60%.
Total Kenya Plc (NSE: TOTL) has posted a 16% decline in net profit for the year ended December 31, 2018, from KSh2.7 billion in 2017 to KSh2.3 billion attributed to the effect of volatile international prices of finished products. Further, this affected its Earnings Per Share to Ksh 3.67.
Kenya’s central bank’s Monetary Policy Committee (MPC) held its key interest rate steady at 9.00 on Wednesday. As regards to the High Court ruling on March 14, 2019 , relating to interest rate caps under Section 33B of the Banking Act, the MPC stressed that interest rate caps severely constrain the formulation, conduct, and effectiveness of monetary policy.
The thing that we have today was designed 11 years ago.” Bob Collymore, is set to retire as Safaricom CEO in August 2019. Michael Joseph who successfully headed Safaricom from 2000 to 2010, as the telco marked 18 years in 2018, he said to get his successor, “I pushed for Bob to be on that list.
The proposed transaction is currently expected to be implemented no earlier than the second half of 2019.
The report will be based on data from 34 countries. 🚨 Watch for Afrobarometer’s Pan-Africa Profiles report on migration coming 26 March.
The key Kenyan equity market indices closed higher despite NSE (Nairobi Securities Exchange) 20 share index NSE 20 likely attributable to a dip in BAT’s price (-5.2% w/w). During the week, NASI and NSE 25 gained by 1.2% and 1.0%, respectively, while NSE 20 declined by 0.3%, taking their YTD performance to gains of 13.9%, 1.9% and 12.0% for NASI, NSE 20 and NSE 25, respectively.
Official data from Central Bank of Kenya (CBK) shows that the reserves now stand at $ 8,321 billion, equivalent to 5.45 months of import cover in the week ending 21-March. It exchanged at KSh 101.01 per US Dollar on March 21, compared to KSh 100.24 on March 14.
The MPC meets on Wednesday, 27th March 2019, to review the prevailing macro-economic conditions and make a decision on the direction of the Central Bank Rate (CBR). Cytonn Investments are positive on the inflation side with projections that ‘Inflation is expected to remain muted and within the government’s target range of 2.5%-7.5%’.
Women in manufacturing can now leverage on a partnership between Kenya Association of Manufacturers and SBM Bank Kenya to access finance. In a meeting held on Friday, SBM Bank Kenya CEO, Moezz Mir noted that the partnership will play a critical role in facilitating access to finance to enable women-owned and lead businesses take up opportunities within the manufacturing sector.
Kenya’s central bank accepted Ksh 16.3 billion of the 25-year amortised bond (IFB1/2019/25) on offer at an auction on Wednesday attributed to its unattractive and duration risk associated with long-term papers. The Central Bank of Kenya (CBK) had offered Ksh 50 billion of the fixed-rate Treasury bonds with a 12.2% coupon with proceeds expected to partially fund infrastructure projects in transport, water, and energy sectors.
Carbacid Investments plc, an investment holding company that has invested in carbon dioxide gas production processing and marketing through its main operating subsidiary, Carbacid (CO2) Limited, has issued a profit warning for the full year. It has reported a 36% dip in Profit After Tax.
The proposed transaction involves the acquisition of 100% of the business and assets of Cemtech by Simba Cement. The authority says that the merged entity will have a market share of 8%.
Kenya Reinsurance Corporation (Kenya Re) has issued a profit warning for the full financial year ended December 2018 citing higher claims, forex losses, lower income and impairment of assets. In 2017, the insurer posted 8.8% rise in after-tax profit in the year ended December.
Kenya’s National Treasury raised KSh197 million from its mobile-based infrastructure bond, M-Akiba which had a 79% subscription rate. The overall target was set at KSh250 million.
Year-to-date, oil prices have risen by 13.8%. In Nairobi, Petrol will retail at KSh101, Diesel at KSh97 and Kerosene at KSh100.
Mumias Sugar Company is seeking a strategic investor to enable full business recovery after posting KSh15.1 billion loss in the year ending June 2018. In the period under review, the firm posted Ksh.15.1 billion net loss, double the previous year’s Ksh.6.7 billion loss.
The British government suffered another significant defeat as MPs voted by 321 to 278 votes to reject a ‘no-deal’ Brexit’. The House of Commons has approved the amended #NoDealBrexit motion by 321 votes to 278 – a majority of 43.
‘Choose Africa’ a $2.8 billion initiative by the French Government will be launched at the UN Environment Assembly in Nairobi. French President Emmanuel Macron on Wednesday said the funds will be used in financing and supporting startups and small- to medium-sized enterprises by 2022 in Africa.
The National Treasury has extended the sale of the Ksh 250 million mobile-based infrastructure M-Akiba bond by two days following increased demand by investors. The extension will not affect its value date for the bond which is 11 March 2019 “Those who purchased will not lose out on their interest,” Treasury reiterated.
Treasury bills subscription eased slightly in Thursday’s weekly auction with an overall performance of 90.9% compared to 78.2% the previous week. The acceptance rate declined to 89.4% from 90.0% recorded the previous week with the government accepting Ksh 19.5 billion of the Ksh 21.8 billion of the bids received.
78% of the shareholders unanimously resolved to raise Ksh 450 million in the form of convertible loans and 22% were against. @Deacons_EA pass a resolution to raise KES 450m in the form of convertible loan from any person willing to lend or grant such funds to the Company on terms and conditions as shall be agreed between the parties.
Cash-strapped East African Portland Cement Company (EAPCC) NSE:PORT, has issued a profit warning for its full year earnings compared to the year ended 30th June 2018. This is based on on the unaudited results for the period to 31st December 2018, factoring in forecasts to the end of the year and the preliminary evaluation made by the board with reference to figures and information currently available.
Kenya’s private sector activity fell in February to its lowest level in 15 months, hit by slowing consumer demand and growth in output, Markit Stanbic Bank Purchasing Managers’ Index (PMI) survey showed on Tuesday. Moreover, over 25 percent of firms saw a fall in sales amid softer customer demand,” the survey report said.
Foreign investors turned net buyers of stocks in February, after injecting $2.2Million into the Nairobi Securities Exchange. Foreign investors NASI NSE 25 NSE-20 share index.
The National Treasury through the central bank will sell a 25-year amortized infrastructure bond this month to raise up to Ksh 50 billion over a 2-week sale period beginning 1st March. This is the longest issue since June 2018.
Unga Group Plc, a Kenyan-based holding company with its investments in the business of flour milling and manufacturing of human nutrition products has issued a profit warning as profit for the six months ended 31 December 2018 fell 40% to Ksh306.3 million. “Based on the company’s unaudited financial results for the first six months ended 31 December 2018 and the company’s second-half forecast, profit for the full year is likely to be at least 25% lower that prior year.
The Kenya National Assembly on Thursday has passed the Insurance (Amendment) Bill 2018 introducing penalties for insurance fraud. House passes the Insurance (Amendment) Bill 2018 after it sails through third reading.
Kenya’s overall inflation rate decreased to 4.14%, the lowest in six months as the prices of food commodities and transport eased, the statistics bureau said on Thursday. Similarly, the prices of sifted maize flour, spinach and tomatoes declined by 30.68, 20.66 and 16.63%, respectively.
The Kenyan equities market closed negatively the week ending February 21 especially the NSE (Nairobi Securities Exchange) 20 share index driven by declines in large-cap stocks. The NASI, NSE 25 and the NSE 20 share indices declined by 2.5%, 3.3% and 1.7%, respectively, during the week.
The pension’s administrator currently manages pension assets worth over Ksh 60 billion and services over 120 clients within the region. Over the last 8 years, Enwealth has been providing innovative products and services through which more than 40,000 people in 12 countries in Africa have been impacted.
The Capital Markets Authority (CMA) has suspended KenolKobil’s shares on the Nairobi Securities Exchange for 12 trading days following a conclusion of a takeover offer on Monday. “The suspension from trading of the company’s shares will remain in force until March 11, 2019,” the Nairobi Securities Exchange (NSE) said in a note to investors.
The Capital Markets Authority (CMA), Nairobi Securities Exchange and program partners on Wednesday launched the Green Bonds issuance rules and guidelines aligned to its 2014-2023 master plan to deepen and broaden Kenya’s capital markets.
Diaspora remittances rose 17.22% in January this year compared to a similar period in 2018 according to the Central Bank of Kenya (CBK) data. “The inflows improved from KSh20.94 billion in January 2018 to KSh24.55 billion in January 2019, an increase of 17%.
Kenya’s public debt has increased by KSh233.5 billion between July and December 2018, to KSh5.273 trillion compared to KSh5.039 trillion six months earlier. “Kenya’s public and publicly guaranteed debt was KSh 5,272.50 billion (tentatively 56.6 percent of GDP) as at end December 2018.
Treasury Bills floated Wednesday by the Central Bank of Kenya were oversubscribed by 555.0%, driven by the 2-year bond, which attracted bids worth Ksh 50.2 bn out of the Ksh 66.6 bn bids received for the reopened 2-year (FXD1/2019/2) and 15-year (FXD1/2019/15). The yields came in at 10.3% and 12.8% for the 2-year and 15-year bonds, respectively.
Further, if one is looking for income, KCB Bank, Stanchart, Barclays Bank and Stanbic are their best bets, with KCB Bank on the lower side of the dividend yield at 7.4% and Stanchart on the higher side at 8.7%.
The average interbank rate dropped to 3.5% in the month of January from 8.0% in December attributed to improved liquidity and support by government payments and debt redemptions. “The money market remained liquid during the week ending January 31, mainly supported by government payments,” Data from the Central Bank of Kenya (CBK).
According to the 20th Ordinary Summit of Heads of State of the East African Community joint communique on Friday, the summit received President Yoweri Museveni, the former chair’s of the EU-EAC progress report on the EPA and decided on the engagement of the matter. Read: ‘ Africa – Europe Alliance’ Deal to Create 10Mn Jobs in Five Years The European Union (EU) and the East African Community (EAC) finalised their Economic Partnership Agreement (EPA) on October 16, 2014.
This took place during the 20th Ordinary Summit of the East African Community (EAC) Heads of State held in Arusha, Tanzania. President of #Rwanda @PaulKagame takes over Chairmanship of the #EAC Heads of State Summit #EACSUmmit — East African Community (@jumuiya) February 1, 2019 The summits’ theme was ‘Enhancing Economic, Social and Political Integration of the East African Community’ .
The Central Bank of Kenya (CBK) says it will revisit the issue of the interest rate cap , that capped lending rates at 4.0% above the Central Bank Rate (CBR). pic.twitter.com/yFVSkzYZ96 — Central Bank of Kenya (@CBKKenya) January 29, 2019 “The question is how can, they expand their businesses?.
Small and medium-sized enterprises (SMEs) will be the drivers of Kenya’s growth in 2019, providing access to finance is unlocked, according to the Central Bank of Kenya (CBK). “Micro, Small, and Medium-Scale Enterprises (MSMEs) remained resilient in 2018 and are expected to support growth in 2019, to the extent that their constraints, including access to finance, are alleviated,” said CBK Governor Dr Patrick Njoroge.
Kenya’s foreign exchange reserves have risen by USD 64 million to USD 8.05 billion helped by dollar inflows from diaspora remittances and tightening liquidity, according to Genghis Capital data in the week ending January 18. During the week, the Kenya Shilling remained relatively flat against the US Dollar, to close at Kshs 101.7 from Kshs 101.8 recorded previously.
Moody’s Investors Service has downgraded Kenya’s sovereign creditworthiness to a negative rating of B2 stable due to rising liquidity risk, increased external vulnerability and higher reliance on commercial external debt. Read: Kenya Sets FY2019/20 Budget Deficit to 5.0pc Starting July Kenya is expected to start servicing the first trench of KSh280 billion Eurobond taken in 2014 in June.
Kenya’s National Treasury has projected an overall budget deficit of 5.0% for the 2019/2020 fiscal year from a revised deficit of 6.3% of GDP in the 2018/19 fiscal year according to Draft 2019 Budget Policy Statement. “The deficit is projected to decline from 7.2% in FY 2017/18 to 6.3 in FY 2018/19 and further to 3.0% of the GDP in FY 2022/23,” said Treasury.
Fuel prices are beginning to relax after the Energy Regulatory Commission (ERC) revised down the cost per litre of petrol and diesel by Ksh 4.57 and KSh0.55 respectively due to lower crude costs in November. “The changes in this month’s prices have been as a consequence of the average landed cost of imported super petrol decreasing by 8.46 percent from $758.34 per in October 2018 to $ 694.18 per ton in November 2018,” ERC director-general Pavel Oimeke said in a statement on Friday.
Patrick Njoroge unveiled the new currency as stipulated under the 2010 Constitution. This has gone a long way to support our social and economic transformation agenda that is articulated in the Vision 2030 National Blueprint,” said the President.
Control Risks, the specialist global risk consultancy says that a US policy of China containment is set to emerge as a pillar of the new world order in 2019. The US-China dynamic tops Control Risks’ list of Top Five Risks for business in 2019.
In 2017, Pwani Oils launched Whitewash a laundry bar soap that contains both washing powder and fabric softener. Founded in 1981, Pwani Oil is one of the largest edible oils and fats, laundry and toilet soap manufacturers in the region.
He was speaking on Thursday at the 45th East African Revenue Authorities Commissioners General (EARACGs) and the Regional Joint Coordination Committee Meeting (RJCC) held in Nairobi.
Under the new strategic direction, Kenindia seeks to achieve a customer satisfaction index of 95% matched by customer retention of 95% in the short term. Kenindia opened its doors in December 1978 following the merger of Indian insurance companies operating in Kenya into a joint venture with unwavering moral and financial support from leading local business community.
The Central Bank of Kenya’s Monetary Policy Committee will hold its next rate-setting meeting on January 28, 2019. It’s last meeting of 2018 in November, the MPC held its benchmark lending rate at 9.00% with expectations that the headline inflation will remain within the 2.50% – 7.50% target band.
This follows the MPC’s decision to maintain the interest rate at 9.00% on September 25. This was amidst rising inflation expectations and the reintroduction of Value Added Tax (8.0%) on petroleum products.
The oil marketing company Wednesday said the deal would see it get an additional 33 petrol stations, increasing its retail outlets in the region to 433. “Delta Uganda is a leading oil marketing company in Uganda and has agreed to sell 23 retail outlets spread across Uganda.
Safaricom Plc (NSE: SCOM) has recorded a 20.2 percent growth in net profit to Ksh 31.5 billion for the six months ended September 30 (2018/2019) on the back of a strong performance in mobile money M-Pesa and data. “Earnings before interest and taxes (EBIT) recorded a strong 18% y/y while margins increase 3% y/y, supported by revenue growth and cost optimization ,” announced Sateesh Kamath.