By Samuel Ochieng, ACSI Interest rates in the country continue to remain high, mainly on account of the elevated inflation rates that have been experienced in the past year. As a result, lenders attach a higher rate of return to their investments to ensure they do not lose out on purchasing power due to the rising costs of goods and services. In the 13 months leading up to June 2023, the country’s inflation rate remained above the Central Bank of Kenya’s (CBK) target range of 2.5%–7.5%, even rising to a five-year high of 9.6% in October last year. The elevated…
Author: NBM CORRESPONDENT
By Michael Mutava Mulei To the keen observer, interest rates by the local banks have been creeping upwards stealthily. Sometimes, it has been difficult for some people to take note, not for lack of being keen, but because the shoe is not on their leg. The reaction is starkly different if the same question is put to an entrepreneur, a car buyer, or a new homeowner, especially if their financing model is credit-related. Interest-rate increments portend higher costs for asset financing and mean that borrowers have to make do with a closer financial haircut in loan repayments. These are challenging…
BY VICTOR ADAR Growing up a firstborn in a family of three, in Ngutu Village Muranga County, Patrick Njoroge never dreamed of one day working in the hospitality industry. Looking back now, he attributes his career trajectory today to the kind of upbringing he had. His parents were intentional in instilling the value of hard work. His parents also signed Patrick and his siblings up for a number of training programs in the church. The programs, he points out, have played an important role in the man he has become today. Being a firstborn also forced him to put the…
By Perminus Wainaina This year has been tough on businesses. Just when companies were about to recover from the effects of COVID, the economy slowed down. It is time to make tough decisions to continue thriving, and this is by managing staff costs. To avoid making mistakes, here are some of the things a company can do to manage staff costs. Review your staffing levels and pay Look at your current workforce and assess whether you have the correct number of employees to meet your business needs. If you have more than you need, consider reducing your workforce. In…
Listed flour miller and animal feed company, Unga Group Limited has welcomed the cabinet approval to operationalise the recently promulgated Strategic Food Reserve Regulations, 2023, terming it as a step in the right direction. The firm’s managing director, Joseph Choge said the regulations will provide a strategic avenue to enhance national food security ideals while strengthening the local food commodity market. The Operationalisation of the National Cereals and Produce Board (NCPB) – National Strategic Reserve – Regulations, 2023, with a base stock greater than 90,000 metric tons, or three months’ national food requirement of scheduled agricultural produce, Choge said, will help…
Maisha Membership will eliminate the need for third-party intermediaries, allowing customers to access the services directly when in need Pan African Bank Ecobank Kenya Limited has partnered with AMREF Flying Doctors to offer Maisha Membership, an air and ground ambulance scheme to the lender’s clientele. Under the partnership, Maisha membership will provide the bank’s customers with access to fast, affordable, and quality air and ground evacuation services in the event of a medical emergency in East Africa. Members of AMREF Flying Doctors’ Maisha plan including customers will have access to unlimited evacuation flights per year for medical emergencies, unlimited ground…
The broadcaster plans to invest approximately Sh148 million in the first season, with a 10% annual increment Tanzanian pay tv station Azam TV has inked a deal with the Football Kenya Federation (FKF) handing it exclusive pay TV rights for the 2023/24 FKF Premier League (FKF-PL) season. The station’s chief operations officer Yahya Mohammed, said the company will air four matches in every round on its “pay TV and digital” platforms. “Through this partnership, we are not just broadcasting matches, we are sharing stories of dedication and belief in Kenyan football,” Mohammed said. FKF President, Nick Mwendwa on his part, expressed gratitude…
BY SILAS APOLLO Over 2000 young people are set to benefit from technical and vocational training in construction through a Sh60 million investment by the Family Bank’s arm, the Family Group Foundation. The training, done jointly with the USAID Tumikia Mtoto Programme and the World Vision Kenya, seeks to empower young and vulnerable women by providing them with skills in areas such as electrical, paintwork and plumbing works. The goal is to help strengthen the health and human capacity of the trainees and address barriers caused by health related challenges such as HIV-Aids and provide them with a means of…
Policymakers must engage financial services industry players to design more accommodative policies that will enable the industry to effectively meet the needs of the people By Ade Ayeyemi An analysis of sub-Saharan Africa’s (SSA) challenging economic situation by Foresight Africa 2023 report confirms the following: There is no silver bullet for recovery; it is a long road ahead. But the good news is that we have walked this path before and know the way. In these tough economic times, promptness and clarity of decisions will shorten the road to recovery and build confidence, which is essential. Economic problems do not…
Listed company, Kakuzi, has posted a Sh 171. 1 million half-year pretax profit on the back of a difficult trading period due to the prevailing macadamia global glut. The firm, which recently adopted a new corporate brand identity, enjoyed a more than double profit lift against its avocado export business, which posted a Sh 654.8 million growth, up from Sh288.6 million posted last year. Speaking when he confirmed the half-year results, Kakuzi PLC managing director Mr Chris Flowers said the firm’s bottom line had been impacted by a Sh329 million sectoral loss from its macadamia business. To mitigate further losses in the macadamia business,…