Treasury to cut 2015/16 local borrowing by a quarter, Rotich says

Kenya will cut its planned domestic borrowing for the 2015/16 (July-June) fiscal year by about a quarter to Sh168 billion ($1.65 billion), on the back of expenditure cuts of 1 per cent of GDP, Treasury Cabinet Secretary said Thursday. The plan is expected to reduce the budget deficit to just under 7 per cent of the gross domestic product, from the initial target of 8.7 per cent [...]

Tea traders to appoint officer for Mombasa e-auction plan

The East Africa Tea Traders Association (EATTA) is set to appoint an officer to lead in introducing an electronic trading platform for the weekly auction in Mombasa to increase transparency in dealings. The East Africa Tea Traders Association expects to begin automating the auction this year and complete the shift to the new platform by 2017 [...]

Pension schemes record poor returns in 2015 as stocks dip

Pension schemes grew by a paltry 0.5 per cent against an inflation level of eight per cent, leaving the net return at a negative level. The returns were influenced by the falling value of the shilling and the resulting spike in interest rates that had a negative impact on listed companies [...]

Survey shows 20pc of bank accounts are dormant

One in every five bank accounts has not been operated for over six months, indicating a high exit rate by customers in the banking sector even as financial inclusion in the country rose to 82.5 per cent [...]

I&M Bank in spat with Nigerian lender over failed Ugandan buyout

I&M Bank is entangled in a legal tussle with Nigeria’s Keystone Bank following a botched deal that would have seen the Kenyan lender acquire a majority stake in Kampala-based Orient Bank. I&M’s protest letter to the Nigerian regulator [...]

Fastjet reverses Kilimanjaro flights halt, cuts frequency to two

UK budget airline Fastjet has reduced the frequency of its Nairobi-Kilimanjaro flights to two per week down from one every day citing low passenger numbers [...]

Longhorn’s profit up 70pc on surge in sales

Longhorn Publishers has announced a 70 per cent jump in after-tax profit for the six months ended December, powered mainly by a 56 per cent jump in turnover of the company. The performance was driven by a surge in sales to Sh831.3 million in the period alongside product diversification strategy which saw Longhorn increase its income streams [...]

British firms in a storm ahead of PM Cameron’s Kenya visit

British companies operating in Kenya have hit a turbulent operating environment that has seen them lose market share, post lower earnings and in the crosshairs of anti-corruption agencies, clouding the first official visit by a UK premier in nearly three decades. Visit comes at a time when British corporate giants such as StanChart, BAT and Unilever are struggling to fend off stiff challenge from the more aggressive and flexible local players [...]

Kenya eyes crude exports in 2017 via trucks and railway

Kenya is considering moving its crude oil to Mombasa by road and railway as President Uhuru Kenyatta’s administration races to hit export markets before the General Election set for August next year. The Energy ministry has offered RVR the contract to move the oil over a distance of more than 800km, from Eldoret to the Kipevu-based Kenya Petroleum Refineries (KPR) from as early as February next year [...]