Business Archives

President Ruto Resuscitates SGR, Vows to Extend it to Uganda, Rwanda, and DRC

The president of Kenya, William Ruto, has stated his government is plotting to expand the SGR from Naivasha to Uganda, Rwanda and the Democratic Republic of Congo as part of a strategy to deepen integration of the East African region.

Equity CEO Dr. James Mwangi Voted to the World Bank Jobs Advisory Committee

Dr James Mwangi, Group Managing Director and CEO Equity Group Holdings has been named on the World Bank Group’s High-Level Advisory Council on Jobs. The council was launched formally in 2024 World Bank Group IMF Annual Meeting and is responsible for responding to global job creation deficit with special focus on youth and women employment in the developing world.

Expressing his gratitude, Dr. Mwangi said:

It has been a privilege to be invited to sit on the World Bank Global Jobs Council in a bid to help create employment for the youths of Africa. Young people are the future and agents of change for sustainable development for the continent.”

He brought awareness about this role and its correlation with Equity’s Africa Recovery and Resilience Plan through which the company seeks to generate 50 million jobs across Africa within 2030. Dr. Mwangi intends to use this program with recommendations on the same from the council to have the best results.

Roles and Purpose of a Council

The council is co-chaired by Singapore President Tharman Shanmugaratnam and former Chilean President Michelle Bachelet. The program is meant to respond to the escalating levels of unemployment in the Global South as the region is expected to welcome 1.2 billion working-age population by 2030. In this regard, using winning strategies that are easily expandable, the council aims at facing poverty and unemployment issues as well.

The World’s Resources to Enhance Our Region

Dr Mwangi is among newly elected 14 leaders on the council who shall bring their experience in policy making for changes in employment spheres globally. In their invitation, the council’s leadership emphasized the importance of his contributions:

“We would be immensely grateful to receive your insights and experience coming right from the Council membership.”

Dr Mwagi’s involvement further confirms that Africans able to capitalize on demographic dividend and Equities groups believe in empowering youths for sustainable development throughout Africa.

Spotify Wrapped 2024: Bien dominates Kenyan artists streams

Spotify Wrapped 2024 has placed Bien Aime-Baraza, the former lead singer of the band Sauti Solo as the most streamed artist in Kenya, thus a revolution in Kenyan music. Bien’s rise dislodged the year’s previous wunderkinds, the rap trio Wakadinali who now occupy second place with Sauti Sol in third place.

Bien’s Dominance

Bien is still enjoying his solo life performance as he has positioned himself to have four among the most streamed Kenyan songs. In lifestyle and Inauma, he was at his best and shows he’s a man for all seasons. They also received popularity in his features such as Extra Pressure with Bensoul.

Top Streamed Kenyan Tracks

Lil Maina, sosatheprodigyy, – NAKAM SAI

Bien – Lifestyle

Bensoul/Bien – Extra Pressure

From The Hood Music – Anguka Nayo

Bien – Inauma

Bien – Ma Cherie

YBW Smith – Lele

Dyana Cods – Set It

Matata – Oversized T-shirt

Fancy Fingers Featuring Kudade – Kudade (Fancy Fingers Refix)

Global Music Scene

Globally, Taylor Swift remained on top of list of the most streamed artists, while the second most streamed artist is The Weeknd followed by Bad Bunny.

Podcasts and Kenyan Content

Some of the most listened to shows included The 97s Podcast for Kenya, So This Is Love and The Mkurugenzi Podcast. Internationally and finally, The Diary of a CEO by Steven Bartlett was notable as well.

Kenyan Genres Shine Globally

There has been an increase in the release of Kenyan music, and Spotify Wrapped 2024 was such a great reminder. Afro Beat, Gengetone, and Afro Pop festivals made it to the charts.

Bien’s triumph is not only a feather in his cap but also a sign of change that Kenya’s music industry experiences in retaining its influence in attracting the audience locally, and internationally.

Nairobi county has not recorded any development spending as it struggles to clear outstanding bills.

A report from the CoB disclosed embarrassing trends of financial practices within Kenyan counties as it was established that Nairobi County made no provision to spend on development in the first quarter of the financial year ending October. This puts it in the basket of ten counties, such as Kajiado, Baringo, Lamu, and the rest that did not allocate for development projects during the period.

On this note, we examined the Development Expenditure of the selected countries with a view to identifying contrasts.

While Nairobi County made no improvement in development expenditure, other counties showed good investment on development. Narok led by Governor Patrick Ole Ntutu accounted for Ksh.477 million, Kirinyaga governor Anne Waiguru Ksh.378 million and Busia Paul Otuoma Ksh.328 million. These allocations reveal inequality with regard to the priority that different counties accord to governance.

The Burden of Pending Bills

Prevailing unpaid invoices rates stand at Ksh.121 billion while Nairobi County has the highest figure in the country. Other counties also feel the bite of huge debts, with Garissa leading at Ksh.6 billion, Kiambu at Ksh.5.9 billion and Turkana at Ksh.4.8 billion. The Senate has said that before governors pay for other expenses, they should meet all their bills that are in the pipeline.

Call for Accountability

The CoB’s report has also revealed that most county governments require increased supervision and timely fashioning of sound financial management practices. Given that development expenditure is paramount to enhancing infrastructural and service delivery, lack of investment by counties poses a big slope towards stagnation of growth and loss of public confidence.

Governor Johnson Sakaja and other leaders on the receiving end are between the devil and the deep end on how to tackle monumental inefficiencies and guarantee that public resources deliver value to their people.

Tanzania’s Amsons Group buys Bamburi Cement in a $538 million cross-border deal

Tanzania’s Amsons Group has successfully completed the acquisition of the Kenyan Bamburi Cement, a main player of the East African cement market, after the withdraw of its rival Savannah Clinker company from the bidding process.

A Strategic Move for Amsons

The $1bn-plus worldwide family business, Amsons Group Limited, signed the contract through its Kenya-based subsidiary, Amsons Industries Kenya Limited. The group had proposed Ksh.23.9 billion in July to fully manage Bamburi Cement through buying 100% of the firm, largely owned by Holcim, based in Switzerland with 58.6% stake.

This has now been approved by the Kenyan Mining Ministry and the COMESA Competition Commission which makes the deal authentic.

‘This milestone proves the solidity and reliability of our proposition,’ stated the Amsons CEO Edha Nahdi in a statement, who added that the company is focused on bringing value for shareholders of Bamburi Cement.

Bamburi Cement: A Coveted Asset

Founded in the early seventies, Bamburi Cement Company is a stock quoted company that has been at the forefront of construction industry in Kenya. Its sale to Amsons complements Holcim’s global divestment plan and concentrates on fast-growing economies especially in North America. The approval of this deal comes days after Holcim said it planned to sell its 84% stake in its Nigerian subsidiary Lafarge Africa for $1bn.

List of Articles: Savannah Clinker’s Sudden Exit

Initially, Kenya based firm Savannah Clinker, owned by Benson Ndeta, had offered higher bid of Ksh. 25.4 billion for Bamburi. Savannah deposited Ksh. 5 billion and also proposed to give Ksh. 1.8 billion as further incentive for shareholders.

Nevertheless, Ndeta’s implication in a Ksh. 700 million fraud alleged deal made things worse. The businessman was also captured by the police and charged with conspiracy and forgery but he was not guilty to any of the charges. Although he was discharged unconditionally on a High Court order, the issue cast aspersions over the credibility of Savannah’s bid.

Implications for the Industry

The investment by Amsons Group is a unique cross-border investment in Kenya, which demonstrates confidence in the country’s industrialization process despite the current wavering economic performance.

For Bamburi Cement this may mean a new era of growth under its new owners Amsons which has a large conglomerate in Tanzania in manufacturing, petroleum and logistics.

With the opportunities of entering the new market segments, exiting the business-related challenges, as well as expanding a successful into East Africa and consolidating its position there, Amsons is expected to close the deal by December 5.

Box Office Bonanza: ’Moana 2’ claims Thanksgiving records with $28 Million on its first day.

Box Office Bonanza: ’Moana 2’ claims Thanksgiving records with $28 Million on its first day

Disney again and again gives their fans every movie they crave for and Moana 2 did wash over the platforms as it earned $28 million on Thanksgiving Day. This performance not only guarantees the animated film high records, but also revives the movie industry which has had a difficult few years.

A Historic Holiday Run

Eva celebrates Thanksgiving holiday, and it will easily gross more than $175 million within the Thanksgiving five days period to erase pre-existing records. These include Frozen II’s $125 million in 2019 and The Hunger Games: Catching Fire with $109 million in 2013. Observers in the industry are optimistic that it could gross over $200 million domestically by the weekend. It has grossed $85.5 million in domestic territories and has become the highest-grossing Thanksgiving release ahead of the $15 million opening-day record held by Frozen II.

A Boost for the Box Office

This is not to mean that the success of Moana 2 is happening just anywhere in isolation. Audiences are also coming to see Universal’s Wicked and Paramount’s Gladiator II, two other hits which opened just one week prior.

Wicked: The Broadway adaptation earned $16.9 million on its Thanksgiving, the five days estimate $105.6 million. It also cost a significant amount of money to produce costing $300 million making it the first part of a two part film.

Gladiator II: The follow up to the much acclaimed 2000 epic sci-fipic cashed $6.7m on Thanksgiving and should gross $45m during the Thanksgiving season. This is another massive risk for Paramount as this film was made for $250 million out of their $500 million budget.

Gladiator II is expected to earn $112.2m in the domestic market by Sunday; Wicked could gross as much as $250.6m in North America.

Star Suite – Von Streamingstar zum Kinoallstars

Moana 2 was once planned for Disney+ but then it switched to the feature Moana format. The first Moana released in 2016 grossed $687.2 million all over the world, but the film really found its success in streaming, becoming one of the most popular movies in Disney+. This streaming success convinced Disney that a sequel could emerge in theaters—and the success has paid off.

On Revitalising the Experience of Theatre

The victories of these play hits couldn’t have arrived at the theaters at a perfect moment. There is nothing worse than when the COVID-19 pandemic and industry-wide strikes in recent years have not allowed you to regain the occupancy.” Indications of a much-awaited recovery have been observed with the start of business during Thanksgiving.

Future Problems and Opportunities of the Successful Holiday Season
While people were getting their turkey fix with a string of blockbuster movies in Thanksgiving, the holiday season itself is not very rich in this regard. Big names like Paramount’s Sonic the Hedgehog 3 and Disney’s Mufasa: The Lion King will arrive in December, but there isn’t an Avatar-like follow-up or a big Marvel movie.

The Verdict: A New Chapter for Theaters

The astounding sales figured in Moana 2 are therefore indicative of what most industry insiders and analysts have long been waiting for – a new dawn for the film business as the audience comes back in droves to get their fix of quality movies. But as Thanksgiving starts it off, it is yet to be seen if the playing field can be sustained throughout the leaner winter season.

Trump Vows Wide-Scale Tariffs on Mexico, Canada & China

Trade tensions escalate as Beijing threatens, “We won’t see any winners in a trade war.”

A Bold Trade Agenda: The increase of 25% tariffs on goods from Mexico and Canada

The US President-elect Donald Trump, The Donald, has promised to introduce high tariffs into some of the major trading partners of the USA as part of his tough economic policy plans.

Trump in a thread on Truth Social said that he will sign an executive order to slap a 25% tariff on all Mexican and Canadian imports on the 20th of January since he became president.

China in the Crosshairs: 10% Tariff to Combat Fentanyl ‘Option’

He also proposed a 10% tariff on $200 billion worth of Chinese imports citing what he says is Beijing’s unwillingness to block the supply of fentanyl into the US. The move would be beyond any existing tariff that is already in place targeting China’s exports.

‘China believes that China-US economic and trade cooperation the cooperation between China and US is mutually advantageous,’ replied Liu Pengyu, spokesperson for China’s embassy in US pointing out that a trade war would be disadvantageous to all parties involved.

Canada and Mexico Push Back

Both Canada and Mexico laid most of their arguments on the positive impacts of trade relations with the US.

Canada’s Deputy Prime Minister Chrystia Freeland said that Canada is critical to US energy needs and will work with the incoming administration.

Mexico is poorly positioned to challenge Trump’s threats because a large amount of its exports go to the United States.

A Return to Protectionism: Implications of Trump’s First Term

His first regime was also characterized similarly by protectionism measures. He declared a trade war against China based on issues to do with the theft of intellectual property, imbalances of trade, and unfair competition. China fired back with equal tariffs which greatly affected American farmer.

His administration also reworked the NAFTA to the USMCA, solving his concerns about the giveaway to Mexican and Canadian industries.

Rich Measure of Economic Threats Foreseen

Many economists also warned that Trump’s tariff plans will lead to smaller economic growth as well as higher inflation. Usually it is importers who pay tariffs, while it is common practice that they transfer these additional costs to the consumers and possible raise prices.

“Mexico and Canada rely on the US market, hence their capacity to ignore threats from President-elect Trump is minimal,” said Wendy Cutler, who is a vice president of Asia Society Policy Institute.

Prospective Trade Averages In China

The new trade policies are expected to be led by Trump nominee for commerce secretary Howard Lutnick. We will revisit that in a moment but before that, Lutnick has suggested even more extreme measures such as a 60 percent tariff on Chinese imports and 10 percent tariff for all other imports.

William Reinsch, from the Center for Strategic and International Studies, said this was more of ‘bluster before bargaining’ and that, given the legal and political precedents, more tariffs on China are expected.

The Future of America’s Trade Policy

Canada, Mexico and the United States signed a new pact called United States-Mexico-Canada Agreement (USMCA) which is to replace NAFTA and can be renegotiate in 2026 which might give Trump another chance to alter the structure of the trade.

As the President-elect sharpens his protectionist agenda, the question remains: Does it possible for the US to ensure the balance between security and economic development as well as friendly relations with trade partners?

Watch out as these trade fights evolve, that transform the international relations system.

Konza Tells SMEs to Embrace the Digital Realm to Improve on Efficiency and Competitiveness

Embracing of new technology for implementing changes makes small business to penetrate the world market, reduce complexities and sustain itself within the Kenyan economy space.

Why small business entities should consider digital transformation

SME is the driver of the economy in Kenya; hence, there is an essential need for business adoption and integration of technology. While addressing an economic empowerment event organized by Abojani Investment, The Chief Executive Officer of Konza Technopolis Development Authority, John Paul Okwiri underscored the role of going digital on SMEs.

Specifically in the usage of digital tools, SMEs should do more. They should be using technology to run their businesses and reach customers,” Okwiri stated.

Increasing efficiency and market access

Digital tools offer SMEs countless opportunities to enhance efficiency and access new markets

Digital Financing Tools: Mobile wallet and other form of online banking enhances completing of transactions, controlling of cash inflow and outflow as well as the overall operation of any financial activities.

Analytics Tools: More than anything, the results should make SMEs realize the need to decode what their customers want from their products so that the firms can come up with creative and effective marketing tactics that will engage customers.

E-commerce Platforms and Social Media: Offer SMEs the ability to access customers around the world without need to invest heavily on physical structures.

Leading Kenya’s Tech Revolution

The Konza Technopolis, a centerpiece of Vision 2030, right now stands as an important project which seeks to place Kenya as a world tech hub.

Tax Benefits: Many tax incentives of Special Economic Zone (SEZ) are favouring investments into technology skill and digital networks.

Subsidized Internet: Under the National Broadband Strategy to extend to growth areas that currently lack the internet connectivity.

Digital Hubs: The Jitume Programme is extending innovation stations in every county; aiming to ensure that the youth and minority groups are trained on vital digital skills and employment.

Okwiri said these endeavors seek to create solutions that will generate 2 percent of Kenya GDP by 2030, a move towards a future anchored on innovation and technology.

The title of the work looks like this: Empowering the Future Workforce

OUK, Kenya’s first fully fledged, fully digital university is also located in the Konza Technopolis. OUK makes education more convenient to the teach and learn due to the available online means hence making education flexible to students all over the country.

Also, the government is to create 1,450 digital centres across the country, which adds to the drive for digitisation and tech-related employment.

The Rise of Tech as the Solution to SMEs Impossible Dilemma

The message from Konza is clear: The available research implies that SMEs need to adopt technology as a key means of sustaining their organizations and expanding. As seen above, effective use of digital tools in operations enable SMEs to establish more efficiencies, communicate and market their products to customers as well as sell them to the global market thus support the overall economic development of Kenya.

Known for its continued gradual advancement in becoming one of the premier African technology hotbeds, the SMEs have a mighty innings in steering this change. Will your business will be in this digital revolution? Allow me then to present to your attention Konza Technopolis as a way forward.

The state has recovered Sh36 billion in unclaimed Assets Deposits Fund and has taken it to the central bank.

The Unclaimed Financial Assets Authority (UFAA) has come under different criticisms with regard to unclaimed funds that have been recovered but the Authority has continued to rise to the occasion of enhancing the recovery of unclaimed assets.

More Than Sh36 Billion Was Collected: Several Issues Remain

In the last five years, the UFAA has retained Sh36 billions of unclaimed financial assets and transferred it to the Unclaimed Assets Trust Fund Account at the CBK.

However, during a Senate Finance and Budget Committee session, the outgoing acting chief executive officer Caroline Chirchir was put to task on the failure to balance accounts on Sh10 billion assets. From funds estimated to reach Sh11.5 billion by June 2023, only Sh1.5 billion has been eyed, a reality that has seen lawmakers demand explanation.

Explaining the Gaps

Chirchir said that Sh10 billion was unaccounted for mainly due to reunification at source where some people claimed their items directly before they were remitted to UFAA.

“Other unified assets are payments to owners, used accounts, and accounts seized by the court, according to Section 19 of the UFAA Act,” she said.

There is still Sh8.8 billion yet to be collected owing to issue like; noncooperation from institutions, cases in courts, and the fact that audit is normally done with retrospective effect. Chirchir told me that audits of unclaimed assets, no matter how conventional the location might be, normally take approximately 10-15 years.

There has been a lot of criticism regarding the Costs of Audit and procurement.

The committee also noted that it had quarrels with the kind of audit expenditures done by UFAA; it suggested that it was wrong for Sh500 million to be used to pay for audit services. Nominated Senator Gloria Orwoha pointed out for instance, Sh3.4 million spent on auditing unclaimed asset of only Sh5.8 million as ‘imprudent’.

Chirchir defended the agency’s action by stating that due to inadequate human resource capacity in the compliance section, the agency outsourced the auditors through the national open tender through Public Procurement and Assets Disposal Act. UFAA has conducted 134 audits in five phases at a cost of Sh416 million after its inception.

Senate ‘demands for More accountability’

Samuel Leshomo, the Chair of the Senate Finance and Budget Committee, Mandera Senator, Ali Roba, described some of the answers by UFAA as sad and demanded for further probe.

“The Senate Finance and Budget Committee is unhappy with the replies provided by the Unclaimed Financial Assets Authority to several issues raised. For the other issues to be dealt with, we will arrange another meeting,” said Roba.

A New Era for Financial Transparency?

Achieving a UFAA status for the recovery of Sh36 billion is encouraging but this has come coupled with increased public pressure on the organization to enhance transparency, efficiency and effectiveness on their operations. Since audits and recovery processes are still nascent in Kenya, public confidence depends on the agency’s capacity to address those issues and foster accountability.

As it stands, investors and customers are left with questions that may eat up all the goodwill that UFAA has built over time and some additional ones: Will UFAA rise to this occasion and put up the best examples of how to be as transparent financially as possible? It remains to be seen how this proceeds.

Ruto Cancels Shadowy Adani Deals: Combating Corruption and Impunity need to go further

By canceling Adani Group contracts, President Ruto sets up hope but a clear message is now needed to end impunity.

Adani Wins & Losses – The foul play of Corruption and Deceit

President William Ruto during his State of the Nation address lifted the two projects that Adani Group was contracted to work on; the JKIA expansion PPP and the KETRACO transmission line PPP deal. The decision was grounded in “clear and/oretailed information of corrupt practice” and operating “with transparency and accountability.”

Many Kenyans have attributed the move to the arrest of Gautam Adani in the U.S over fraud and bribery charges In the move, the LSK fully supported the president but urged him to provide detailed information on the financial costs and losses. Such social media predictions of billions being spent as bribery to the Adani Group also calls for transparency.

LSK postulates that these contracts violated the Public-Private Partnerships Act If this were so, then they never ought to have been, and therefore, cannot now warrant severance penalty payments. The president must therefore act proactively not to allow impunity in disengaging from the Adani Group.

Higher Education Funding Model: A Looming Crisis

President Ruto noted that most public universities and TVETs have been financially constrained because of the new funding model that focuses on revenue-sharing per student in Higher Education. Despite its intended goal of catering more student with special needs up to 95% government subsidy, the model has brought public universities to the edge of extinction.

Several institutions are under immense pressure to maintain structural and statutory requirements, staff union, and guardians have demanded the government abandon current funding formula and return to the previous one or in extension adopt the new one gradually. To arrest this deterioration the President needs to heed these cries for help in order to avoid the total failure of higher education.

Intensification of Combating Impunity and Extradited Actions

The Kenyans were eased by the President’s intolerance to illegal arrest and extrajudicial functions stating that such trigger life and liberty violations. Thus, mere appeals to citizens to report the incidents to the DCI and IPOA lack the required measures.

The New Scientific reported that 60 people were killed under the demonstration for Finance Bill and 97 femicide cases between August and November in 2024 according to KNCHR. However, in many cases there is ample evidence incriminating security officers yet none has been done. It now devolves on the President to make sure that these human rights abuses are addressed as soon as possible.

Gender Representation: A Call for Political Will

President Ruto noted that it is still a puzzle why there is so much litigation with regards to the two-third Gender rule that guarantee that no more than two-third of an organization’s leadership team should be of one gender. While he was right in pointing out that elective positions presently are not in his realm, appointments, indeed, are.

This means that the President could follow the rule in his appointments to the government, for a true equality and inclusiveness for women.

Leadership Strident to Reclaim Government Institutions CORRUPTION REMAINS a prevalent and debilitating problem in many of the world’s economies.

Today Kenyans are eagerly waiting for President Ruto to provide clear and assertive directions on how to combat extra wiped corruption, impunity and inequality among others. To erase the doubts that Kenyans have developed about their President, the President should come out clear and make undeniably drastic measures in the quest to establish accountable and fairly governed Kenya.

The moment of stimuli has come, and it is time for us to make a step further and guarantee equal rights for everyone.