Author: Nairobi Business Monthly Reporter

Companies and individuals are being impacted on a financial level because of the deadly coronavirus. The manufacturing industry is not spared from the obvious challenges brought on by the pandemic. So how are businesses reacting? At this time of crisis, the Kenya Association of Manufacturers (KAM) has appointed Mucai Kunyiha as the new chairperson with hopes that things will change, given adaptability and resilience in SMEs. He will be taking over from Sachen Gudka, whose term ended after holding the position from July 2018. Mr Kunyiha brings a vast wealth of experience to the manufacturers’ lobby in terms of business,…

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Sagaci Research, a leading independent pan-African market research and market intelligence firm, has released its KFC Index for the Q2 2020. This quarterly index utilises the price of KFC chicken buckets to estimate US dollar foreign-exchange (FX) rates of more than 20 African currencies. It is based on price data collected by Sagaci Research field agents, who visited KFC restaurants in 20 countries during June 2020. If a country’s currency is found to be overvalued, this implies that it is cheaper to buy KFC chicken in the US than domestically. Unsurprising, most African currencies (17 out of 21) were found…

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Local non-bank financial services provider Sanlam Kenya has confirmed plans to leverage on information technology-based solutions to sustain its business growth as part of its post-Covid-19 recovery strategy. The Nairobi Securities Exchange (NSE) listed firm has been on a sustained recovery path in the last two years but acknowledges that business slowdown arising from Covid-19 ripple effects may impact its 2020 performance. Speaking at the firm’s 74th and first-ever virtual Annual General Meeting (AGM), Sanlam Kenya Chairman Dr John Simba said the firm’s recovery trajectory would take a hit from the impact of the COVID-19 pandemic that has disrupted businesses…

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The Kenya Motor Industry Association (KMIA) has finally recorded a rise in motor vehicle sales since the first Covid-19 case was reported in the country in March. According to the association’s data, motor vehicle sales increased from 568 units in May, the lowest recorded in the year, to 762 units in June. This was the highest sale since March and February when the sales hit 864 units, and 1,049 units respectively. The pandemic saw the sector experience a 54% decrease in sales as at the end of May as compared to the same period in 2019. Breaking it down, Isuzu…

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Old Mutual was named “Top Empowered Business of the Year” at the 2020 TopEmpowerment Virtual Awards last early July. The award, presented by TOPCO Media, celebrates leadership and significant progress made by South African companies in driving transformation and empowerment through their business operations. “We are exceptionally proud of this achievement, which has come both in the midst of perhaps the most challenging period for Old Mutual and as the Group marks its 175th anniversary,” said CEO, Iain Williamson. Transformation and Empowerment are priority focus areas of the Group’s Responsible Business philosophy, and it has worked hard over…

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MIGA, a member of the World Bank Group, has issued a guarantee of EUR 359 million for up to ten years for a loan provided to the Eastern and Southern African Trade and Development Bank (TDB) by a consortium of lenders, including Standard Chartered Bank, Citibank N.A, MUFG Securities EMEA plc, and Sumitomo Mitsui Banking Corporation, with Standard Chartered Bank acting as global coordinator and facility agent. This first-of-its-kind guarantee provides protection to the lenders against the risk of non-honoring of financial obligations by a regional development Bank (‘NHFO-RDB’) and supports TDB’s access to commercial bank financing at longer tenors and lower interest rates…

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International Finance Corporation (IFC), which is a member of the World Bank Group has announced a Sh5.4billion loan to Equity Bank Kenya to assist small and medium enterprises that are facing Covid-19 challenges. The new loan will allow Equity Bank to maintain lending to the risky small traders and firms, who have been hard hit by the economic effects of the pandemic. It will ultimately support hundreds of Kenyan businesses in the manufacturing, health, trade, transport, and consumer goods sectors. The credit is in line with IFC’s global $8b fast-track Covid-19 facility, which is designed to help businesses maintain operations…

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A global report on corporate taxation has identified Kenya as one of the leading countries currently fostering tax reforms for economic growth. The report by the OECD dubbed Corporate Tax Statistics (second edition) singles out Kenya as one of the global jurisdictions with a generous accelerated depreciation corporate tax policy alongside Italy, Papua New Guinea and Cote D’Ivoire. The 2019 report provides fresh insights into the global tax and economic activities of nearly 4,000 multinational enterprises (MNE) groups headquartered in 26 jurisdictions and operating across more than 100 jurisdictions worldwide. Of the 74 jurisdictions covered in the 2019 analysis, 57 provide…

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As part of the ongoing emphasis on online learning and the heightened levels of security threats during the pandemic, SANS Institute, a global leader in cyber security training and certifications, announced the availability of CyberStart Game for students and young adults across the Middle East and Africa. CyberStart Game provides a gamified learning experience that can be used in the classroom or accessed at home. This 100% online learning platform is designed to teach complex security concepts promoting self- exploration and investigation over traditional learning methods. Students can play over 200 challenges and are in control of their learning as…

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As organizations across Emerging Africa recognize that application, information technology (IT), security and workforce transformation are key to long-term business success, Dell Technologies is betting enterprise and consumer solutions that accelerate the digital delivery of modern IT services that can differentiate a business, its products and operations. This includes new technologies and products across commercial PCs, storage and cloud such as PowerStore, which is a newly launched mid-range storage solution built from the ground up in order to address the challenges of the data era, and PowerScale, which is designed for organizations that want to manage their data, not their…

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