Author: Kimani Chege

Globeleq, a power sector leader in Africa, has reached financial close of the 40 MW (52 MW p) Malindi Solar photovoltaic (PV) project in Malindi, Kenya and is commencing construction of the plant.

The US$69 million project is located in Langobaya, Malindi District, Kilifi County, about 120 kms north-east of Mombasa and is one of the first IPP owned utility scale solar power plants in Kenya to begin construction.  Electricity will be sold through a 20-year agreement with the national distribution company, Kenya Power.

Globeleq has been working with the project originator, Africa Energy Development Corporation (AEDC), who will retain 10% ownership of the project, and its partner, IDEA Power, to bring the project to construction by providing equity, project development and construction management experience.  CDC, the UK’s development finance institution, as the mandated lead arranger, has sourced US$52 million in debt financing including $20 million from DEG, the German …

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 …

When Kenya’s Capital Markets Authority announced it will launch its regulations for a sandbox, industry players knew the regulator was going into uncharted waters, at least on the continent. Though this kind of concept has been tested and approved in other global markets, Kenya was taking the mantle in leading the continent in helping fintechs experiment and innovate in a controlled environment.

Fintechs have played a great role in providing access to finance for Africa but they have been hindered by lack of certainty with some failing to make it to the next year. However, they remain key to financial inclusivity in the continent that has long been left behind n this realm.

A regulatory sandbox is a framework set up by a financial sector regulator to allow small scale, live testing of innovations by private firms in a controlled environment under the regulator’s supervision. The concept, which was developed …

Unilever Tea Kenya and CrossBoundary Energy have commissioned a 619 kWp solar plant at the company’s Kericho tea factory. This is the first on-site solar installation for a Unilever facility in Sub-Saharan Africa, and it brings the company closer to its goal of sourcing 100% of total energy from renewables by 2030.

With the addition of solar PV to its existing hydroelectric and biomass resources, over 90% of Unilever Tea Kenya’s energy needs will now be met with clean energy. At the same time, Unilever will save money on its electricity costs. Over 15 years the solar project will avert nearly 10,000 tonnes of carbon emissions.

CrossBoundary Energy sells power from the solar plant to Unilever via an innovative 15-year power purchase agreement. Only now that the system’s installation and testing is complete will Unilever begin paying for solar electricity, and CrossBoundary Energy will continue to manage and finance future …

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 …

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 …

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 …

Distributed Power Africa (DPA), a subsidiary of Econet Wireless Global, and EDF (Électicité De France) a world leading electricity company,  have signed partnership cooperation agreement to jointly develop Commercial and Industrial (C&I) and hybrid energy solutions to the African market.

The partnership will focus on the development of distributed-energy solutions based on solar panels associated with energy back-up systems such as batteries. The two companies plan to deploy their solutions by setting up power businesses in sub-Saharan Africa, which will initially include South Africa, Ivory Coast and Nigeria, with the intention to expand into other key markets.

The intention is also to accelerate the deployment and roll-out of Green energy across Africa, with EDF acting as a technology partner for DPA projects in Africa. Distributed Power Africa will leverage EDF’s capabilities and vast experience in renewable energy and utilize these solutions to develop and grow their pipeline in Africa.

In …