Equity takes top banking spot with Sh17bn profit

Equity Group Holdings, the parent company of Equity Bank, posted a Sh17bn profit in the year ended December 2014. The record profit enabled Equity to topple rival KCB from its long-held position as Kenya’s most profitable bank. Equity Group rode on increased lending and higher transaction income to post the largest profit ever in the history of Kenya’s banking [...]

High uptake of life covers boosts insurers’ earning

Insurance premiums collected in the country rose by 20 per cent last year, driven by increased uptake of life covers. Life insurance business grew faster at 27 per cent than the short-term general business, which grew by 17 per cent. Uptake of life cover indicates has increased with increase in household income and awareness for social safety [...]

NSE turnover soars 76 pc on foreign investors’ rising demand

Market turnover at the Nairobi Securities Exchange (NSE) soared 76 per cent Tuesday on heavy trading on big cap counters, mainly driven by foreign investors. The market turnover stood at Sh1.34 billion Tuesday, compared to Sh760 million on Monday. The number of shares traded also went up to 36.8 million from 17.3 million recorded Monday. Despite of the big cap gains, the NSE-20 share index dropped three points to 5,368 [...]

East African regulators agree on joint inspections

Regulators in the East African region will be carrying out joint inspections on stockbrokers, investment banks and other licensees as part of the process to harmonize the capital markets. The inspections will also build capacity for staff in various regulators as they share knowledge. The four regulators also agreed to set up a permanent secretariat in Dar es Salaam that will be hosted by Tanzania’s Capital Markets and Securities Authority [...]

Deloitte sees most new mega projects falling in transport sector

Deloitte’s regional head of infrastructure and capital projects Mark Smith said that governments in the region were focusing on transport and energy, which are seen as key catalysts for economic growth. Deloitte looked at infrastructure projects in energy, transport, mining, healthcare and real estate in Africa that value of more than Sh4.55 billion ($50 million) [...]

Kenya launches online system to track plant, seeds and grain imports

The Government has launched an online system to screen plants, seeds and grains being imported into the country. The new system - Plant Import and Quarantine Regulatory System (PIQRS) - would ensure the bulk of imported plant products are vetted at all the border entry points by experts. The new system will reduce turnaround time spent in processing plant import permits (PIP), provide accurate information on plant materials entering the country [...]

Over 65 per cent of manufacturing firms in Kenya don't survive

Kenya’s manufacturing firms have declined steadily since 1970s and new firms have only a 35 per cent chance rate of surviving in the market. The value added per worker in the sector has also drastically reduced in the last 30 years, while the relative size of the sector has been stagnant and developed lesser in Kenya as compared to other countries. The worrying statistics are contained in a new World Bank report titled “Anchoring High Growth, Can Manufacturing Contribute More” [...]

Retrenchment costs eat into National Bank’s pre-tax profit

National Bank of Kenya has reported a 28 per cent drop in pre-tax profit for the year ended 2014 owing to high costs of paying off retrenched staff. Figures released by the bank yesterday indicate that NBK spent more than Sh1.1 billion to compensate laid-off staff, a fact that affected the bank’s overall bottom line. The job cut is part of a raft of measures undertaken by the bank to revamp the bank and reclaim its position as one of the country’s top lenders [...]