Top Stories in the Business Daily!

Smartphone plant roars to life as Safaricom asks for subsidy

The Safaricom-led consortium assembling smartphones in Kenya has asked President William Ruto’s administration for subsidies similar to the fertilizer program after its first set of gadgets ended up being costlier than what is currently available in the market. — Read More

Letter of credit scare in Kenya, Gulf fuel deal

Kenya is reevaluating the process of confirming letters of credit for its government-to-government fuel deal with Gulf countries after a recent delay in discharging a fuel shipment due to issues with paperwork between issuing and confirming banks, with the government working to streamline the process to prevent similar incidents, although some market players remain skeptical about the feasibility of such an arrangement. — Read More

Sh5.5 billion Old Mutual Tower up for sale

Old Mutual Group Holdings intends to sell its Nairobi-based Old Mutual Tower to address increasing debt service costs, seeking approval for the sale at its November 14 Annual General Meeting, with a focus on reducing its investment property portfolio and managing financial challenges. — Read More

Cheap loans dry up as Hustler Fund budget cut to Sh5bn

The Treasury has cut the Hustler Fund budget by almost half to Sh5 billion in the latest budgetary changes, signaling a reduction in the disbursement of cheap State-backed mobile loans aimed at low-income earners and small businesses, following a previous allocation of Sh10 billion for the fund in the 2023/24 budget, which comes after the fund was allocated Sh20 billion in the previous financial year and amid a default rate of 29 percent as of August. — Read More

Joe Biden pledges to make Nairobi investment magnet in Africa

The Biden administration aims to enhance Kenya's investment climate through ongoing trade negotiations, making Nairobi an attractive hub for multinational companies and job creation for Kenyan youth as part of the US-Kenya Strategic Trade and Investment Partnership (STIP), while also expressing support for the renewal of the African Growth and Opportunity Act (AGOA). — Read More

Nairobi braces for traffic hitch on King Charles visit

Nairobi residents should prepare for traffic disruptions during the State visit of British King Charles III and Queen Camilla to Kenya from October 31 to November 3, aiming to celebrate the strong relationship and partnership between the two countries, with a focus on mutual prosperity, climate change, youth opportunities, sustainable development, and regional stability, marking Charles III's first visit to a Commonwealth country since his ascension. — Read More

Rigathi Gachagua’s allocation beats President Ruto’s in Sh187bn mini-budget

Deputy President Rigathi Gachagua and his wife are some of the biggest beneficiaries of the Sh187 billion mini budget tabled in Parliament last week, with allocations to their offices for the first time overtaking those of the President and the First Lady. — Read More

Dubai-based firm eyes Kenya’s cheese market

Dubai-based Nutridor, a food and beverage company, is set to build a $15 million processing plant for value-added dairy products like cheese and butter in a bid to enter the Kenyan and Tanzanian markets and will leverage distributor partnerships to expand its presence in East Africa, focusing on niche products in the region's dairy market. — Read More

Queen Máxima’s push for financial inclusion in Kenya pays off

In a recent interview, Queen Máxima highlighted the need to enhance financial inclusion and sustainability through inclusive green finance, discussing her interactions with stakeholders in Kenya, the challenges of achieving 100% financial inclusion, and the importance of digital public infrastructure and affordability in expanding access to financial services, emphasizing the need for competition within the mobile money market to lower prices, and addressing the declining financial health in Kenya by developing tailored financial products, exploring overdraft mechanisms, integrating insurance solutions, and promoting a culture of savings. — Read More

Which stakeholders have you interacted with in this current visit to the country?

During my visit, I connected with smallholder farmers using digital insurance in Kisumu, visited Hello Tractor, an ag-tech company facilitating access to agricultural vehicles for smallholder farmers, and met Esther Mutoni at ZamZam Medical Services in Nairobi. Esther utilized digital financing to transform her family residence into a healthcare center, overcoming financing obstacles with the help of PharmAccess's Medical Credit Fund (MCF), allowing her to repay the loan as a percentage of patient payments, which improved healthcare quality. Additionally, I had sessions with several key figures, including President William Ruto, Environment Cabinet Secretary Soipan Tuya, Treasury Cabinet Secretary Njuguna Ndung'u, Central Bank of Kenya Governor Kamau Thugge, Ministry of Information, Communication & the Digital Economy Cabinet Secretary Eliud Owalo, and Equity Group Holdings CEO James Mwangi.

Lessons from Ecobank Whistleblowing

A decade ago, Ecobank Transnational Incorporated (ETI) faced a corporate governance crisis when allegations of financial impropriety involving its group chairman led to a dispute involving the Nigerian Central Bank, resulting in a complex internal conflict within the bank. — Read More