Kenya’s decline into fiscal trouble has been a long time coming. And it has never been more evident as it is now, with the rise of layoffs. In fact, as the year comes to an end, they have only intensified. G4S and Tile & Carpet Centre are the latest companies to announce significant job cuts, painting the current grim picture of Kenya’s economic landscape. G4S Kenya Limited, a major player in the security services industry, has announced a significant redundancy exercise set to impact approximately 400 employees while Tile & Carpet Centre (T&C), a key player in the construction and…
Author: Antony Mutunga
Antony Mutunga
Antony Mutunga holds a Bachelors degree in Commerce, Finance from Jomo Kenyatta University of Agriculture and Technology. He previously worked for Altic Investment & Consultancy before he joined NBM team in 2015. His interest in writing ranges from business, economics and technology. He is also our lead researcher in matters business.
In a move that has received as much criticism as it has praise, the European Parliament confirmed a one-year delay in implementing the European Union’s Deforestation-Free Products Regulation (EUDR). For coffee producers and exporters in Kenya, the decision comes as a double-edged sword, especially as a result, of the amendments introduced to ensure compliance. The EUDR, originally set to take effect on December 30, 2024, aims to ensure that commodities including coffee, cattle, cocoa, oil palm, rubber, soya and wood imported into the EU are not cultivated on land that has been deforested after December 31, 2020. The delay is…
NCBA Bank Plc has entered a strategic partnership with Xpress Money, a global leader in cross-border payment solutions, to offer efficient remittance services to the growing market. The two parties signed a Memorandum of Understanding that will see NCBA customers gain access to Xpress Money’s vast network spanning over 160 countries and encompassing more than 185,000 partner locations worldwide. The customers will benefit from a number of remittance options, including Cash-to-Cash transfers, Account Credits, and Mobile Wallet services. Infact, the MoU comes at a time that NCBA had been focusing on digitization. According to Tirus Mwithiga, NCBA Group Retail Director,…
Equity Group Holdings Plc and DEG – Deutsche Investitions- und Entwicklungsgesellschaft mbH have entered into a partnership that aims to provide comprehensive relationship management and financial services to European SMEs and their local partners in the region. The partnership has launched a German Desk for the East African market. It will offer a wide range of services, including account opening, trade facilitation and finance, transaction banking, credit lines, introductions and investment through financing. Not only will the desk leverage the expertise of DEG and Equity Bank but that of the German Chamber of Commerce and Industry (DIHK). According to Petra…
The Nairobi Securities Exchange (NSE) has announced the addition of three Kenyan companies in the Morgan Stanley Capital International (MSCI) Frontier Markets Small Cap Index, a move that is expected to boost the visibility of Kenyan stocks to international investors and potentially drive substantial capital inflows to the NSE. Kenya Power and Lighting Company PLC, Carbacid Investments PLC, and Bamburi Cement PLC will be the three to join the MSCI small cap index. The index already includes Kenya’s BAT Kenya PLC, Diamond Trust Bank Kenya, KenGen, and Kenya Re. With the number of Kenyan firms listed on index now at…
The series of tax measures that the government has been proposing are set to increase as a response to the mounting economic pressures it has been facing including the recent default on the loan borrowed from China to build the Standard Gauge Railway (SGR). Already making progress with the Tax Laws (Amendment) Bill, 2024 and Tax Procedures (Amendment) (No.2) Bill, 2024, that are meant to boost the government’s coffers, the administration is now in need of more revenue following it’s growing expenses. For instance, the recent default of the Sh167.5 billion loan by the Kenya Railways Corporation. The loan which…
Softlink Global, a global leader in innovative transportation management solutions (TMS), has entered into a partnership with Escrow Africa, a prominent Kenyan-based fintech and business solutions company, promising to boost efficiency and competitiveness for businesses across Kenya and Africa as a whole. The move will see Escrow Africa serve as the official representative for Softlink Global in Kenya. It will spearhead the marketing, sales, and support of the entire Softlink product line, including the highly acclaimed Logi-Sys TMS application, a cloud-based integrated platform tailored specifically for the logistics and freight forwarding sector. According to Kunal Maheswari, CGO of Softlink Global,…
Safaricom group has announced a decrease in its profit after tax despite increasing its total revenue in the six-month period ending 30th September 2024. The group recorded a fall in its profit after tax which stood at Sh10.01 billion as compared to Sh27.19 billion in the same period last year. This decline is largely attributed to the depreciation of the Ethiopian currency, the Birr. According to Dilip Pal, Safaricom PLC CFO, as of 30 September 2024, the Birr’s value against the US Dollar was 118.99, a depreciation of 106% from the 57.69 value in June 2024. This was due to…
The government, through the State Department for Public Service, has announced plans to establish a new fund, aimed at enhancing healthcare coverage for civil servants and other public officers. This initiative, comes as part of ongoing efforts to improve the welfare of government employees and streamline the provision of medical benefits. The proposed new fund dubbed ‘the Public Officers Medical Scheme Fund’ is designed to work in conjunction with the Social Health Insurance Fund (SHIF) provided under the Social Health Insurance Act. It will be financed through the recovery of medical benefits from public officers’ contractual remunerations, ensuring a sustainable…
The United Kingdom has announced a significant financial initiative aimed at supporting Micro, Small, and Medium Enterprises (SMEs) in Kenya. A move that is part of the country’s long-term commitment to providing investment solutions that foster growth and job creation in East African nation. The British High Commission in Nairobi unveiled a fund, sponsored by FSD Africa, of Sh670.80 million ($5.2 million) that aims to bolster small businesses. The impact of this initiative, dubbed as the ‘Listed SME Debt Fund’,is expected to be far-reaching. It is projected to support at least 10,000 MSMEs, benefit 50,000 households, create or protect over…