Author: Maingi Gichuku

• The IMF deal caused the cedi to appreciate, relieving price constraints and potentially mitigating a downturn in commercial activity
• S&P Global’s Purchasing Managers’ Index, which gauges the health of the private sector, increased somewhat from 44.9 in November 2022 to 47 in December 2022
• The cedi gained 41% versus the dollar last month and saw a reduction in projected losses for 2022 to 39%, which lowered inflation and gave businesses some reprieve

A staff-level finance agreement with the IMF caused the cedi to appreciate, relieving price constraints that have afflicted the industry for more than a year and potentially mitigating a downturn in commercial activity in Ghana.

S&P Global’s Purchasing Managers’ Index, which gauges the health of the private sector, increased somewhat from 44.9 in November 2022 to 47 in December 2022.

However, it remained below the 50-point threshold that distinguishes expansion from contraction for the 11th consecutive month.

According …

• The procurement tribunal has annulled a Shs 8.7 billion (US$70.4 Million)fuel supply contract secured by French oil marketer Rubis Energy
• Rubis, the winner, was expected to supply and deliver 2,216,000 litres or more of low-sulfur diesel to the northern Kenyan stations each month
• Kenya Power electronic procurement system closed out Galana Oil Kenya Ltd Minutes before the tender document submission deadline closed out

Following a 17-minute system failure by Kenya Power that excluded one of the bidders from the lucrative offer, a procurement tribunal has annulled a Shs 8.7 billion (US$70.4 Million) fuel supply contract secured by French oil marketer Rubis Energy.

Under the terms of the agreement, Rubis Energy Kenya Plc would have provided 30 off-grid power units in northern Kenya with at least 53 million litres of diesel over two years.

Kenya Power has also been ordered to re-advertise the tender and start a new procurement process by …

• The 3.9 million Euro donation will go towards the World Bank’s MSME Business Development Project in Djibouti, which provides MSMEs business support
• It is believed that barely 5% of the Djibouti’s formal firms receive bank financing
• Financial institutions, public institutions, and MSMEs-supporting programmes are among the intermediate beneficiaries

The World Bank and the European Union Delegation in Djibouti signed an Administration Agreement on behalf of the European Union to help Djibouti’s Micro, Small, and Medium-Sized Enterprises grow (MSMEs).

The 3.9 million Euro donation will go toward the World Bank’s MSME Business Development Project in Djibouti, which provides MSMEs with services such as digitisation, improved accounting procedures, credit applications, business planning, and legal and marketing strategies.

It will also help create a virtual “one-stop-shop” where MSMEs can apply for permits and other services all in one spot. The European money will be channelled through the MENA Regional Umbrella Multi-donor Trust Fund …

• The International Monetary Fund (IMF) Executive Board has authorised a Sh55.1 billion (US$447.39 million) loan to Kenya
• Kenya has received a total of around $US1.655 billion (Sh203.84 billion) in payments under the EFF/ECF accords
• IMF stated that Kenya’s economy is solid and expects it to expand by 5.3% 

The International Monetary Fund (IMF) Executive Board has authorised a Sh55.1 billion (US$447.39 million) loan to Kenya for budgetary support.

This follows the fourth evaluation of the 38-month, $US2.34 billion (Sh288 billion) Extended Credit Facility (ECF) and Extended Fund Facility (EFF) agreements with Kenya.

Kenya has now received $US1.655 billion (Sh203.84 billion) in payments under the EFF/ECF accords.

The facility, approved in April 2021, was aimed at helping Kenya manage its debt risks, respond to the Covid-19 pandemic and other global shocks, improve governance, and implement more extensive economic reforms.

IMF confidence in Kenya’s economy

Despite a challenging global economy, the IMF …

• President Ruto ran for office partly on a Beijing-skeptic platform in response to claims of Chinese predatory lending to African nations
• The Kenyan President assured American businesses that his administration would create a favourable business climate to encourage foreign direct investment
• Moderna will soon start producing vaccines in Kenya, joining other major American corporations in the East African superpower, like General Electric, Meta, Google, and Microsoft
• He obtained pledges in waste-to-energy solutions, space technology, carbon trading systems and markets.

When Kenya president William Ruto and other African heads of state arrived in Washington, DC, last week for President Biden’s US-Africa Leaders’ Summit, It was Kenya’s chance to rebuild strategic ties with the west.

Along with meetings with companies like Google, Visa and the Rockefeller Foundation in the private sector, as well as general conversations on political relations, security, and economic development, the president of Kenya also made a speech about …

• Kentrade Unveils Applications Performance Measurement tool to track the effectiveness of the National Electronic Single Window System
• The International Finance Corporation (IFC) helped build the application
• Implementation of the National Electronic Single Window System has improved Kenya’s World Bank rating in the ease of doing business report, particularly in cross-border trade

The Kenya Trade Network Agency (KenTrade) has introduced an Applications Performance Measurement tool that will assist in tracking and assessing the effectiveness of the National Electronic Single Window System, popularly known as the Trade Facilitation Platform.

The Trade Facilitation Platform will minimise the time and expense required for goods to be cleared at Kenyan borders while still maintaining the necessary checks and the collection of levies, fees, and charges.

The International Finance Corporation (IFC) helped build the application performance monitoring tool, allowing KenTrade to decrease platform downtime and maintain service delivery continuity.
This will also improve end-user experiences, system …

• Visa committed to investing US$1 billion in Africa over the next five years
• Visa will facilitate more accessible access to digital payments as a stepping stone to extending formal financial services for consumers and businesses
• The funds will also go toward upskilling, talent development, and capacity building, as well as boosting the digitization of economies and enhancing the payment ecosystem via innovations and technology

Visa has committed to investing US$1 billion in Africa over the next five years to support robust, creative, and inclusive economies during the U.S.-Africa Business Forum.

Visa will also facilitate more accessible access to digital payments as a stepping stone to extending formal financial services for consumers and businesses.

Alfred F. Kelly, Jr., chairman and CEO of Visa, presented the pledge at the US-Africa Business Forum in conjunction with the US-Africa Leaders Summit in Washington, DC. The commitment will help Visa expand operations in …

• Luisa Ortega appointed as president of the company’s Africa operational unit, with responsibility for markets across the continent
• Ortega replaces Bruno Pietracci, who has been named president of Coca-Cola’s Latin America operating unit

The Coca-Cola Company has announced the hiring of Luisa Ortega as president of the company’s Africa operational unit, with responsibility for markets across the continent.

Ortega is presently the president of the company’s Latin American central zone, which covers Venezuela, Colombia, Peru, Ecuador, the Caribbean and Central America.

As president of the Americas operations division of Coca-Cola, Ortega succeeds Bruno Pietracci. The two changes will go into effect on February 1, 2023 with Ortega relocating to Johannesburg.

Ortega and Pietracci’s immediate boss will be Henrique Braun, who will take over as Coca-Cola’s  head of international development on January 1, 2023. Braun has been running Coca-Cola’s operations in America since 2020.

“I’m delighted Luisa will manage our activities …

• Microsoft announced plans to deliver internet access through satellite to 10 million people, half of whom will live in Africa
• Microsoft and Viasat will work together to develop and test technologies, such as fixed wireless and satellites 
• Microsoft and Viasat will offer connectivity and digital literacy to improve healthcare, education, and economic productivity. 

Microsoft has announced plans to deliver internet access through satellite to 10 million people, half of whom will live in Africa, as part of its initiative to bridge the digital divide with the developing world.

At a Summit with African leaders in Washington, DC, hosted by President Joe Biden, the tech giant said it would commence the satellite project immediately, prioritising internet connection for the first time to Egypt, Senegal and Angola.

Microsoft announced plans to extend its operations in Nigeria and the Democratic Republic of the Congo and provide internet connectivity in more remote parts …

• SeamlessHR, the leading enterprise-grade HR and payroll SaaS provider in Africa, announced the opening of its East African operations.
• Only 30 per cent of Kenyan enterprises have wholly automated their human resource (HR) management operations, resulting in lost revenue.
• KIPPRA data show that 7.4 million firms, including small and medium-sized enterprises (SMEs) in Kenya, are struggling to manage human resources

At a thought leadership conference hosted in Nairobi, Kenya, SeamlessHR, the leading enterprise-grade HR and payroll SaaS provider in Africa, announced the opening of its East African operations.

By implementing well-designed, top-notch technological solutions, SeamlessHR, an end-to-end HR and payroll technology firm, aims to help companies in emerging markets become more productive and successful.

At the event, which was held at the Villa Rosa Kempinski Hotel in Nairobi with the theme “Maximising Africa’s Human Capital at the Intersection of Technology and Enterprise,” influential business executives and IT specialists were present. …