Month: May 2019

In Kiambu, on the outskirts of Nairobi, it is not uncommon to find new residential estates coming up replacing coffee estates. Coffee was the mainstay of economies in the central Kenya region for decades, before more lucrative real estate prospects knocked door to provide homes for a burgeoning Nairobi population.

But this is more than quick returns for land owners. Coffee returns have been dwindling for the last three decades. Initially, the poor prices were blames on government policies to subdue a region that was clearly opposed to the government of the day. Then the global slump on coffee prices hit the region and farmers failed to see the need of keeping the bushes where returns were minimal. But also, there was local mismanagement of coffee farmers’ cooperatives and recently climate change and coffee theft that has brought the once important crop to its knees.

But this did not just …

Kenya’s capital-Nairobi could soon have an oversupply of hotel rooms, latest trends have indicated, in the wake of heavy investments in the hospitality industry.

Whilst the inclination reflects investor confidence in the country as the city continues to attract high level conferences and investments by multinationals and locals, concerns are now that an oversupply will drawback returns in the industry as hotels scramble to fill rooms.

Average occupancy in the city’s high end hotels (three to five star) remains at 52 per cent, with the number of hotel rooms tripling in the last five years to more than 19,000.

A recent report by consultancy firm PricewaterhouseCoopers (PwC), estimates that the number of available rooms will increase to above 21,000 in the next two years.

READ:Kenya, Ethiopia whet the appetite of Hyatt Hotels for East Africa

This comes as investments in high end hotels continues to be driven by international …

While Kenya’s foreign affairs minister, Monica Juma, said she wasn’t aware of the incident, President Farmaajo on Friday avoided Nairobi for a connection flight to South Africa for Cyril Ramaphosa’s swearing-in ceremony.…

Axis and Innpact have launched the first impact investing platform in Mauritius, the Mauritius Impact Finance Gateway to Africa (MIFGA). This innovative structure enables fund promoters to set-up and manage impact finance vehicles in an efficient and cost-effective manner while benefiting from the support of leading service providers in the industry.

AXIS is a leading service provider in Mauritius offering a full spectrum of corporate, fiduciary, tax & accounting and fund administration services to a diversified client base, including Development Finance Institutions, Angel Investors, Institutional Investors, Family Offices, GPs and Investment Managers.

MIFGA has been designed as a turnkey solution addressing the key challenges typically faced by new impact funds: complexity of blended finance structures, time to market and availability of resources, especially during the ramp-up phase.

Read also: Impact investor DOB Equity expansion in East Africa recognized by EAVCA

The platform leverages on the 10-year experience of Innpact in …

Nairobi headquartered Diamond Trust Bank has announced the appointment of Mr. Linus Gitahi as its Chairperson. The appointment which was announced to the DTB shareholders at the Nairobi Securities Exchange (NSE) listed firm’s Annual General Meeting of 23 May 2019, is geared at accelerating growth and corporate governance reforms.

The appointment, will also provide corporate governance leadership for DTB which is banking on technological transformation programmes to transform its subsidiaries into premier digital banking and payments solution providers for an increasingly discerning and technology-driven customer base.

With the appointment, Mr. Gitahi who has been serving as a Director on the DTB Board has taken over the mantle from outgoing Chairperson Mr. Abdul Samji who has served for the last nine years.

The appointment of Mr. Gitahi will provide further impetus to the realization of the DTB Vision 2020 strategy which seeks to position DTB Group banks as the leading players …

Kenya has unveiled a mortgage refining facility-Kenya Mortgage Refinance Company (KMRC), a short in the arm in President Uhuru Kenyatta’s affordable housing scheme under the Big Four Agenda.

KMRC is a non- deposit taking financial institution under the supervision of the Central Bank of Kenya (CBK).

The company was incorporated on April 19, 2018 with the single purpose of providing long-term funds to primary mortgage lenders (banks, micro finance banks and saccos) in order to increase the availability and affordability of mortgage loans to Kenyans.

READ:Mortgages more unaffordable as Kenya house prices increase in 2018

KMRC shareholders and funding

The company was established as a private public investment with majority ownership by the private sector at 80 per cent and government 20 per cent. Its current shareholders comprise: the national treasury and planning; eight (8) commercial banks; eleven (11) deposit taking Savings and Credit Co-operatives (Saccos) and one (1) …

The “Digital Lagos: Broadband for All” campaign initiative is to enable the digital transformation of the state which hosts Nigeria’s most populous city, Lagos.…

The Ethiopian Investment Commission (EIC) announced that the country earned $103 million from export generated by industrial parks. The gain is a 40 percent increment compared to last year’s performance recorded at the same period.

According to Abebe Abebayehu, Ethiopia Investment Commissioner, 70 percent of the planned earning from industrial parks during  the stated period had been accomplished. He further noted that footwear and other leather products, as well as textile and apparel have been exported to Europe, USA, Asia and other export destinations. Statistics from Food and Agricultural Organisation (FAO) ranks Ethiopia the 5^th in the world and number one in Africa with the most cattle inventory.

Mr. Abebe, stating that industrial parks across the country have created employment for over 70,000 workers, said Ethiopia has been able to attract $2.5 billion foreign direct investment in the mentioned nine months.

However, the commissioner said, conflicts in different parts …

Kenya’s shifting trends in 2018 on alcohol consumption are influenced by a move to cider preference.…

Copia Global, a fast-growing e-commerce business in Kenya founded by Silicon Valley entrepreneurs, became Tatu Industrial Park’s 50^th company when it opened its distribution hub in April.

By welcoming its 50^th business, Tatu Industrial Park, the manufacturing and logistics zone in Tatu City, has surged past an economic milestone to bring thousands of jobs and billions of shillings of investment to Kenya and Kiambu County.

Other companies in Tatu Industrial Park include Unilever, Chandaria Industries, Dormans, Coopers K-Brands, Africa Logistics Properties, Kim-Fay, Davis & Shirtliff, Tianlong, Parma Medical, Stecol Corporation, Kenstar, Maxam, Monwalk, Freight Forwarders Kenya, Gallagher, Friendship Containers, Bakpharm and Shenzhen Star, among others.

“We are thrilled to mark the 50-company milestone,” said Dean Shillaw, Head of Commercial Sales for Tatu City. “There is no better place in Kenya or East Africa to build your business and, unique to any industrial park in Kenya, Tatu City offers …