Browsing: Global pandemic

Pannel discussion in the 2019 East African Property Investment Summit

The real estate sector in East Africa was under pressure pre-pandemic, but the virus has highlighted the resilience of many of its sub-sectors as well as its future opportunities.

This has come up during the conference at this year’s East Africa Property Investment (EAPI) Virtual Summit. The summit which is featuring 69 regional and international speakers, providing tangible insights on how the property sector has weathered the Covid-19 pandemic, and what the future holds for the sector.

Driven by the theme ‘Think Different’ and with more than 1,000 delegates attending from over 35 countries, the virtual conference is presenting evidence that the East African real estate sector remains attractive to international, local and regional developers and investors, said EAPI Virtual’s host, Kfir Rusin.

“The benefit of an online conference is we have been able to gather the leading regional and international real estate figures active in the region to provide …

President Kenyatta with County governors

There will be little tourism, scarce investment and falling trade if the global pandemic is not contained in Kenya, President Uhuru Kenyatta has warned.

The president was speaking during the 10th presidential address on the covid-19 status in the country. Nationally, 17,603 persons have so far tested positive for the virus.  The virus has now infected Kenyans in 44 counties out of 47.

The president has put in place measures to further curtail the spread of the virus in the country even as the numbers keep soaring day by day.

Among the measures is the move to extend the nationwide curfew by a further 30 days.

Also Read: Kenya’s manufacturing sector gears up for the reopening of the economy

“My greatest concern at the moment is the aggressive surge of infections among young Kenyans who are in turn infecting their elders. Contact tracing of the recent surge of infections …

Gerhard Zeelie NedBank 2020

An understandable response to the economic fallout of Covid-19 is for governments, industries and businesses trying to predict the path that the global economy will take in the coming months and years. However, given that this is a challenging exercise at best, it is probably a better investment of valuable time and effort to ponder the many lessons – some very hard to swallow – that the pandemic has taught us, and integrate them into our future business and investment plans and strategies, so that we are more prepared for what the future brings, irrespective of what that is.

For the African property sector this approach is especially vital. As a largely developing continent, Africa’s advantage over its so-called developed economy counterparts is that, in almost every aspect, it has the capacity to reset its economic development compass on the back of Covid-19. Property is a case in point. Where …

Ethiopian Airlines- The Exchange (aviation)

The East African Business Council (EABC) has urged the EAC Partner States to fast the track opening of air transport services to boost regional trade, tourism and hospitality sectors.

Recently, EAC partner states have expressed their intentions to resume domesstic and international flights, a move seen as key in the recovery of the aviation as well as tourism sector.

EABC has therefore lauded the partner states for the move saying this is an important move that will help the economies bounce back after the global pandemic shock.

Tanzania resumed international flights on 18th of May 2020, chartered flights in Rwanda restarted on 18th June 2020, Kenya has planned to open domestic air travel on 15th July 2020 and international flights in Kenya and Rwanda are expected to resume on 1st August 2020.

In May this year, EAC-CASSOA in cooperation with AMREF Flying Doctors (AFD) organized an emergency COVID-19 Intervention Training …

KAM Chair Mr Sachen Gudka speaks during the High Level Manufacturing Economic Forum

Local manufacturers have demonstrated their capacity to continue with production amidst the COVID-19 pandemic as the country gears up for the phased reopening of the economy.

According to the Ministry of Industrialization, Trade and Enterprise Development Cabinet Secretary, Ms Betty Maina local manufacturers have invested in innovations that have enabled them to continue with operations during the current crisis.

“The investments put in by Kenyan manufacturers is impressive. They have adhered to the set-out standards and regulations, which have enabled business continuity. This has enabled them to stand by the country as we face the crisis together. I urge Business Membership Organizations to establish workplace committees to ensure their members continue to comply with COVID-19 Business Protocols and Guidelines,” noted CS Betty.

The Cabinet secretary also added that all Manufacturing Sectors have played their part in cushioning the country from the impact of COVID-19 by providing support in their specific …

Food security

Coronavirus has brought enormous setbacks, suffering, and forecasts of a global depression ahead following the closure of so many economies for so long.  However, if there has been one area where it has exposed our global fragility, that area has been food. 

Certainly, the curfews, lockdowns and workplace closures delivered an uptick in power cuts, but there is no great clamour about our energy infrastructure now being under threat of failure. Likewise, with water, it remains far from accessible to all, but it has not been plundered by this year’s pandemic. Shelter could take a hit on joblessness and unpaid rents. But the elephant in the room is definitely food. 

That fact has not gone unremarked. At the level of international geopolitics, the World Food Programme (WFP) has warned us all that we are moving into a famine of what it has called ‘biblical’ proportions, by which, it is


Bearish sentiment protracts continues being the dominant theme in the Kenyan equities markets as uncertainty clouds economic and business recovery from the effects of the ongoing global Covid-19 pandemic. On a year-to-date (YTD) basis, the Nairobi Securities Exchange 20-Share Index (NSE-20) and Nairobi Securities Exchange All Share Index (NASI) have posted negative returns of 24.2% and 14.1%, respectively. Notable out-performers YTD are Barclays ETF Gold (+22.1%), a security whose value is pegged on the value of gold (a safe haven asset); Kenya Airways (+39.5%) on a recent price rally; and Carbacid Investments (+12.0%). On month-to-date basis (MTD), there have been outstanding outperformers (Flame Tree Group 56.4%, Britam +47.3% and Kenya Power +30.9%). The key index counters, in particular in the banking sector, have retreated sharply, with Equity Group and KCB Group down 34.9% and 35.2% YTD, respectively. 

Also Read: Africa’s four MEGA TRENDS that are overcoming the global pandemic


Tanzanian money (World Atlas)- The Exchange

As countries across the globe start to lift lock-downs and relax restrictions, there is the natural human impulse to do something to celebrate freedom, survival, hope and a future. Be careful!! As wealth managers many of our clients have asked us how best they can stay safe financially as the world threatens to return to a new normal….. 

Firstly, my own opinion is that medically things are going to get a whole lot worse before they get better. Government management of the pandemic has been very, very poor nearly everywhere and I expect a large second wave of infections in UK, US and across much of Europe. In Uganda we are only now seeing the first spike and there may be more restrictions ahead. We are certainly NOT home and dry in terms of the pandemic itself.

Also Read: Coronavirus update: E. Africa postpones Heads of State meeting  


Post Covid 19 era in the insurance industry

The post-Covid-19 era will not be good for the economy, especially the insurance sector. The economy has taken a beating and premiums are not being paid leading to lapsing of policies. Cars are not being imported therefore motor insurance premiums are being lost. Premiums from travel insurance are not being realized because airlines have been grounded…the situation can only get worse. 

Moreover, coupled with that are the moribund laws being enacted in the insurance sector deliberately crippling insurance intermediaries. The recent passing of the Tax Laws (Amendment) Act 2020 ostensibly to take care of the small man was anything but. Value Added Tax (VAT) was introduced to insurance intermediaries leading to them being the most taxed group in Kenya seeing that they are paying withholding tax and income tax at the same time.

No one bothers to find out the stakeholders’ views on these laws and the regulator needs to …

Oil and Gas- The Exchange

As African oil and gas countries struggle with Covid-19’s devastating impact on demand, two international groups seem to be celebrating it.

Earlier this month, the Organisation for Economic Co-operation and Development (OECD) and the International Energy Agency (IEA) described the low oil prices caused by the pandemic as a “golden opportunity” for governments to phase-out fossil fuel support and usher in an era of renewable energy sources.

“Subsidising fossil fuels is an inefficient use of public money and serves to worsen greenhouse emissions and air pollution,” OECD Secretary-General Angel Gurría said in a joint OECD-IEA statement. “While our foremost concern today must be to support economies and societies through the Covid-19 crisis, we should seize this opportunity to reform subsidies and use public funds in a way that best benefits people and the planet.”

I would argue that the OECD and IEA don’t necessarily know what’s best for the people …