Sale of five State sugar companies delayed over farmers’ petition
The government plans to sell Nzoia, South Nyanza, Chemilil, Miwani and Muhoroni companies to strategic investors who will control 51 per cent of the sugar millers. Two members of Parliament, however, delayed passing of the motion, citing that the move would occasion losses to both farmers and the government and that the land should be reverted back to the government or surrounding communities which donated the land for setting up of the sugar mills. The privatization of five State-owned sugar millers comes at a time when they are facing a major threat from cheap imports […]
Foreign investors troop back to Nairobi Securities Exchange
Foreign investors returned to the Kenyan market in the month of February as concerns over the capital gains tax waned and fears mount over Nigeria’s stability. According to data compiled by Standard Investment Bank (SIB), foreigners invested an additional Sh192 million in the Nairobi Securities Exchange last month compared to a withdrawal of Sh261 million in January when the gains tax was introduced. Government has been talking with stockbrokers on how to implement the capital gains tax, giving hope of an amicable solution to the standoff witnessed at the beginning of the year […]
Jamii Bora and Koto Housing in Sh1bn homes building deal
Jamii Bora Bank (JBB) and Koto Housing Kenya have signed a Sh1 billion financing agreement for houses that can be constructed within three weeks. Under the agreement, potential home owners will get funding from JBB and then choose a house design from Koto Housing, a Mavoko-based company that manufactures building materials and also puts up houses for customers. The quick construction is made possible through the use of Expanded Polystyrene (EPS) panels […]
Bidco cuts cooking oil prices on low energy costs
Edible oils maker Bidco has cut the price of its products citing falling energy costs, putting pressure on rivals to follow suit. The price cuts follow a recent decision by cement manufacturers to reduce prices of the commodities citing falling energy costs. However, the Kenya Association of Manufacturers (KAM) last month said firms need at least six months of fixed energy prices to cut retail costs. The business lobby asked the energy regulator to consider reviewing energy prices only twice a year to create stability in the market and enable firms to budget in advance […]
Africa Oil pegs Kenya investment to rising prices
According to the chief executive of Africa Oil, oil prices would probably need to rise to about $75 to $85 a barrel from around $60 currently for Tullow Oil and Africa Oil to go ahead with their Kenyan project. The oil plunge, in which prices fell from $115 last June to below $50 in January, has forced energy firms to slash spending. Kenya could start producing at the end of 2018 or early 2019, but the pace of progress may depend on how quickly it decides on a route for an oil export pipeline […]
Kenya trails peers as mining destination
Kenya is rated as one of the worst mining destination in Africa and only slightly better than Hungary and Malaysia in terms of global rankings, according to the 2014 Fraser Institute Annual Survey of Mining Companies. Kenya’s performance was dismal in terms of its policy perception index and best practice mining potential. This comes at a time when the Senate is about to debate amendments to the Mining Bill, with numerous cases that involve cancellation of mining licences of various firms by authorities still pending […]