Month: May 2019

Demand for affordable and reliable energy is on the rise in Tanzania owing to the fast paced economic growth of the country.

The African Development Bank (AfDB) estimates the demand for energy is growing by 10 per cent every year which the bank says ‘reflects the country’s high economic growth.’

To meet this demand, PanAfrican Energy Tanzania (PAET), the first fully Tanzanian owned company has entered into a long-term Gas Sales Agreement (“GSA”) with the Tanzania Petroleum Development Corporation (“TPDC”).

The agreement provides for the supply of up to 20 million standard cubic feet per day (MMscf/d) of natural gas to the TPDC operated National Natural Gas Infrastructure (“NNGI”) in Songo Songo Island, from where the gas will be processed and transported to Dar es Salaam, primarily for power generation.

This new GSA comes only months after last year’s short-term sales agreement that was also inked with TPDC and TANESCO …

The Kenya Bureau of Standards (KEBS) is spearheading a countrywide inter-agency initiative targeting stakeholders of Kenya’s informal craftsmen popularly known as Jua Kali to unlock barriers hindering their growth. KEBS, whose key mandate is to ensure standards are adhered to while ensuring fair and just trade, is working with the Kenya Revenue Authority, Anti-Counterfeit Authority, Export Promotion Council, KenInvest and Youth Enterprise Fund.

In the past stakeholders mainly from the Kenya National Federation of Jua Kali Association have cited tough regulations that introduce layers of red tape across government agencies as huge barriers to their survival.

“We are cognizant of the key role the MSME sector plays in Kenya’s economy. These forums are important to not
only understand their challenges but also explore ways of working across agencies to create an enabling environment anchored on simplified procedures and regulations,” said Dr. Henry Rotich, Director of the Metrology and Testing Division …

Digital payments in Kenya have been ruled by Safaricom through its revolutionary MPesa services. This is despite there being other local players like Airtel Money and Telkom’s  T-Kash competing for the local share of mobile money transfer.

Safaricom has gone global targeting international remittances and linking with global players like Western Union and Pay Pal to make trans-border  transfers.

However, during the just concluded East Africa EuroMoney Conference locally hosted by Central Bank of Kenya, the CBK governor Dr Patrick Njoroge noted that these innovations though first tested and embraced in Kenya, must not sleep on their laurels.

Dr Njoroge noted that Kenya was able to enjoy the innovation and domesticate the technology, which has drawn the admiration of global players and replicated world over.

However, it is the entry of global players like WhatsApp, WeChat, Alipay and Apple Cash which have made it easier to transfer money, purchase items …

Of the estimated up to 45,000 MW potential, 30,000 MW is estimated to be economically feasible which is equivalent to an electricity generation of 162 TWh.…

Barclays Bank (Kenya) has registered a flat growth in profit for the first quarter of 2019 as ongoing rebranding to Absa continues to impact its balance sheet.

The Nairobi Securities Exchange (NSE) listed lender has reported a Ksh1.89 billion (US$18.7million) net profit for the period under review, a marginal 0.5 per cent growth compared to Ksh1.88billion (US$18.6million) posted in a similar period last year.

READ:Barclays Bank Q1 profit up 8% despite squeeze on loan book

This is despite gains on interest earnings and reduced expenses during the quarter.

Quarterly results published through the NSE shows total interest income edged up 7.2 per cent to close at Ksh7.4 billion (US$73million), compared to Ksh6.9 billion (US$68million) posted in Q1 of 2018.

Interest income from loans and advances to customers was Ksh5.4 billion, a 3.8 per cent up from Ksh5.2 billion in a corresponding period last year.

That from government securities and …

KCB Group shareholders have approved the proposal to acquire 100 per cent of the issued ordinary shares of National Bank of Kenya Limited (NBK) via share swap.

This approval follows the offer made by KCB Group on April 18, 2019 to acquire the shares of struggling NBK by way of a share swap of 10 ordinary shares of NBK for every one ordinary share of KCB. The transaction is subject to regulatory and NBK shareholders approvals.

The acquisition is part of KCB’s ongoing strategy to explore opportunities for new growth while investing in and maximizing the returns from its existing businesses, the management has said.

“For us, the acquisition is an opportunity to strengthen the deposit base and lending capacity, increase cost efficiencies due to economies of scale and boost transactional revenue through leveraging of technology. NBK maintains a strong deposit franchise and a wide branch network,” said KCB

Group …

For Africa’s tech scene to truly thrive in the 21st century, it needs to quickly develop local digital skills and expertise.…

Equity Bank emerged as the overall best bank in Kenya for the eighth time at this year’s Think Business Banking Awards, with Equity Group Managing Director and CEO James Mwangi scooping the CEO of the Year Award for the third time consecutively.

READ:Why Equity Bank CEO James Mwangi was named Banker of the year, again

Equity Bank bagged 18 awards, garnering the top slots in 12 categories – Best Bank in Tier 1, Best Bank with the lowest charges for individuals, the most customer-centric bank, best bank in mobile banking, best in internet banking, best agency banking, best in product marketing and the best bank in SME banking.

Others are best bank in agriculture and livestock financing, best commercial bank in micro finance, best in CSR, and best lender in digital banking.

The awards validate Equity Bank’s strategy and pursuit of financial inclusion while giving customers freedom, choice and …

After more than three years of waiting, the Nairobi Securities Exchange (NSE) has received regulatory approvals to proceed with the launch of the derivatives market.

This follows the successful conclusion of the Derivatives Market Pilot Test and subsequent submissions to the Capital Markets Authority (CMA) and the Central Bank of Kenya (CBK).

READ:Investors to commence derivatives trading at Nairobi bourse

NSE now sees the launch of the Derivatives Market as a significant milestone in the growth and deepening of the country’s’ capital markets and the wider Kenyan economy.

“Derivatives Markets provide new opportunities to investors, enabling them to better diversify their portfolios and allow for the efficient deployment of capital. Furthermore, through the Derivatives Market, investors will be able to form expectations about underlying assets in order to manage the price risks,” NSE Chief executive Geoffrey Odundo has noted.

This initiative makes the NSE the second African Exchange to …

By 2035, Africa which has one of the youngest populations in the world will have the largest workforce in the world.…