Industry and Trade

Karcher
  • Early last year, another German shoe line announced an investment of $2.66 million to expand its presence in Kenya by 2025.
  • The distribution centre is at the Freight Forwarders Solutions warehouse in Tatu City.
  • In recent years, German firms have shown increasing interest and investment in East Africa.

German-based cleaning equipment manufacturer Karcher has announced an approximate $3.25 million investment in the Kenyan market. The firm is setting up a regional distribution centre in Nairobi as a business expansion strategy to evade the toughening global import supply chain due to high logistics costs resulting from pirate attacks in the Red Sea corridor.

The distribution centre is at the Freight Forwarders Solutions warehouse at Tatu City. The brand has established a presence in seven Carrefour outlets and partnered with various distributors to cater to customer segments.

It has a flagship store in Upper Hill and serves as a brand store and …

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  • In 2022, investments in Tanzania rose by $3.16 billion between July and November.
  • Currently, Tanzania has stable economic diplomatic relations with global economic giants, China and US.
  • Tanzania’s economy is expected to expand by 5.5 percent in 2024.

“Kazi Iendelee” Swahili term for “Let’s Proceed with Work” has become a national rallying call for progress in Tanzania under President Samia Suluhu Hassan, who is popularly referred by Mama Samia – a Swahili term of endearment and respect.

Even from foreign capitals, President Samia’s work is catching the eye of fellow leaders. When US Vice President Kamala Harris came visiting, she had this to say to Tanzania and East Africa’s first female president, “You have been a champion in terms of democratic reforms in this country and in that way, have expanded our partnership” Harris said during her state visit to Tanzania in March 30, 2023.

Three years in office and …

  • Kenya Airways losses for FY2023 have majorly stemmed from FX fluctuations.
  • Despite the heightened operating costs, Kenya Airways achieved an operating profit of $79.4 million.
  • International Air Transport Association (IATA) predicts full recovery of the aviation industry from the Covid-19 crisis in 2024.

Kenya Airways net losses for the trading period ending December 2023 have dropped to $171.6 million (KES22.7 billion) majorly attributed to the forex exchange losses suffered during the review period.

The latest result is a 41 percent reduction from the $289.6million (KES38.3 billion) reported in 2022 in what the airline attributes to continuing efforts aimed at navigating KQ’s back onto the path to profitability.

These losses stemming from fluctuations in currency exchange rates (FX Losses), impacted the airline’s financial position, posting the greatest drawback to its financials with $181.4 million loss.

Kenya Airways Chief Executive Allan Kilavuka said that in the review period the airline increased flight …

  • If oil disappeared tomorrow, thousands of petroleum-based products would vanish with it.
  • If oil disappeared tomorrow, it would be catastrophic for health services everywhere.
  • If oil disappeared tomorrow, millions of jobs would be lost. Tax revenues would be depleted, and industrial production would crimp.

If oil disappeared tomorrow, there would be no more jet fuel, gasoline, or diesel. Internal combustion engines, automobiles, trucks, lorries, and coaches would be stranded. Airplanes powered by jet fuel would be grounded. Freight and passenger rail powered by diesel would halt. People could not get to work; children could not get to school. The shipping industry, transporting both freight and passengers, would be devastated.

There would be no point in calling emergency services. Most ambulances, fire engines, police cars, rescue helicopters, and other emergency vehicles would be stationary. Most phones and computers would also vanish as their plastic components derive from oil, so it would

  • Nala Money has Payment Service Provider licenses in several countries, including its founder’s home, Tanzania.
  • In 2020, Africa’s e-payments industry, across domestic and cross-border payments, generated approximately $24 billion in revenues, of which about $15 billion was domestic electronic payments.
  • Africa’s domestic e-payments market is expected to see revenues grow by approximately 20 per cent per year, reaching around $40 billion by 2025

“Little did I know that if a European-based client of mine could have subscribed to Nala Money, I would have received $100 more to my fee.  Unlike Nala, the money order service I use has a low exchange rate and is somehow unconventional.”

This testament is not a promotion or a boost for the latter but an admission of facts and experiences Tanzanians who might receive remittance often or once could face.

Nala, started by Tanzanian youth Benjamin Fernandes in 2017, aimed to increase economic opportunities for …

  • The Uganda National Oil Company (UNOC) is directly importing petroleum products from Vitol Bahrain, aiming to reduce reliance on Kenyan firms and mitigate high fuel prices. 
  • UNOC’s direct importation and sale of fuel to OMCs in Tanzania and Uganda is a significant step towards fostering stronger regional ties, promoting economic growth, and ensuring energy security. 

Uganda National Oil Company (UNOC) has started the sale of petroleum products to oil marketing companies in both Uganda and Tanzania.

This is part of a broader strategy to test the waters before UNOC embarks on a direct importation agreement with the global oil titan, Vitol Bahrain. This maneuver signals a new era in East Africa’s energy dynamics, especially following a cooling of relations between Uganda and Kenya over fuel supply mechanisms.

Breaking New Ground: Uganda National Oil Company Direct Importation Deal

For years, Uganda’s fuel supply chain was heavily dependent on Kenyan OMCs. However, …

  • Tanzania and Rwanda are warming up to set up second official border post.
  • Currently, Rwanda is the third largest user of Dar es Salaam port.
  • More than 80% of Rwanda’s cargo goes through the port of Dar es Salaam.

The push to foster EAC integration appears to be moving in a positive direction with Tanzania and Rwanda taking steps to enhance one of East Africa Community (EAC) pivotal goal, regional trade.

A top Tanzanian envoy has announced plans to open a new border post with Rwanda, as part of ongoing measures between the two countries to scale up the movement of labour, goods and services providers.

Tanzania’s Minister of Foreign Affairs and East African Cooperation, January Makamba,  made the announcement at the end of his four-day state visit to Rwanda.

The Minister revealed that the proposed border crossing will be set up in Tanzania’s Kyerwa district in Kagera Region and …

  • Zambia-Tanzania Trade Route expansion enjoys the support of senior government, diplomatic, and development sector officials. 
  • The Nakonde/Tunduma border is one of the busiest entry/exit points for cargo in and out of Zambia.
  • The design reviews for Nakonde OSBP were finalised over the last year

The Government of Zambia and TradeMark Africa (TMA) have entered into a Partner Support Agreement (PSA) to upgrade the Nakonde One Stop Border Post, a key Zambia-Tanzania Trade Route.

Funded by the UK government, the $7.7 million (ZMK 197 million) project will improve the flow of goods and people along the Dar es Salaam Corridor, promising to streamline operations and reduce cargo clearance times by more than 100 per cent on both sides of the border.

Clearing cargo trucks crossing the border takes more than two days, leading to significant business delays and losses.

Zambia’s Finance Minister, Situmbeko Musokotwane, and TMA’s CEO, David Beer, launched the …

  • An estimated $5.7 trillion is required to close the infrastructure investment gap in South Africa by 2050.
  • Of the energy sector projects, 25 are under construction under Bid Window 5 of REIPPP.
  • Access to clean water and sanitation is a basic human right, yet many communities in South Africa lack reliable access to these essential services.

South Africa needs an estimated $5.7 trillion To bridge the shortfall in infrastructure investment by 2050. This deficit spans several sectors, including underdeveloped transportation systems, inadequate energy provisions, scarce access to potable water and sanitation services, and a shortage of affordable housing. These issues are particularly pronounced in rural locales and informal settlements.

This is according to statements made by Mameetse Masemola, Acting Head of Infrastructure South Africa (ISA), during the Sustainable Infrastructure Development Symposium South Africa (SIDSSA).

In a media briefing, Masemola gave an update on the initiatives led by ISA since its …

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