Safaricom to restructure into a new company
24 October 2022
Good Morning.
Safaricom To Restructure Into a New Holding Company
Safaricom plans to convert into a holding company that will house the telecommunications business, the M-Pesa Mobile money business and Ethiopian unit as subsidiaries.
In an interview with The Standard, the Safaricom CEO Peter Ndegwa said they don’t plan to split the M-Pesa from Safaricom despite numerous calls and pressure.
“What we intend to do though as ourselves is to create a group structure so Safaricom Plc becomes a group, and then you have different businesses”
Other businesses that Safaricom intends to house in the holding company include Digi Farm, a new tower company that they are currently setting up and any other company they might acquire in future.TRANSPORT
ROAM Unveiled its First Mass Transit Electric Bus In Nairobi
Electric vehicle manufacturer ROAM unveiled its first mass transit electric bus targeting urban areas. The bus, which comes with a 77-passenger sitting capacity, covers up to 360 kilometres before recharging.
It targets public transport providers, schools, as well as private and Government institutions, providing them with an environmentally sustainable solution that is cheaper to maintain than fuel-run buses.
Deployment of buses will initially be done within the Nairobi Metropolitan Area, which will later be scaled up to include other parts.
Along with the bus deployment, several charging points will be installed from Opibus’ already existing range of products.
The Ksh 50 billion Hustler Fund
President William Ruto set a condition for the Ksh 50 billion a year Hustler Fund.
In his Mashujaa Day speech, Dr Ruto indicated that ‘hustlers’ will have to participate in a pensions programme in order to access the cheap credit.
“All borrowers on this platform will also participate in a short-term savings plan and long-term pensions programme. Every saving made by borrowers on this platform will be merged by the government of Kenya on a 2:1 ratio to a level to be determined by the programme,” President Ruto.
He gave the condition while announcing that he would launch the Hustler Fund credit and savings product on December 1.
ECONOMY
Kenya’s forex reserves projected to fall below the four-month import cover
The International Monetary Fund (IMF) has projected Kenya’s forex reserves to fall below the four-month import cover for the first time since August 2011.
The Central Bank of Kenya’s (CBK) statutory requirement is to maintain at least four months of import cover.In what signals tough times ahead, the IMF projects in its latest regional economic outlook for Sub-Saharan Africa that Kenya’s forex reserves—assets held on reserve by a central bank in foreign currencies—will be enough to cover only 3.9 months of the country’s import needs by the end of this year, down from 4.4 months last year.
TRADE
1. Kenya’s Miraa Exports to Somalia Hit Ksh 4 Billion in 3 Months
Kenya’s miraa exports to Somalia earned the country Ksh 4 billion in three months since the resumption of sales in July this year.
This is a major boost to the government in terms of foreign exchange earnings and a source of livelihood to growers who had been hit hard when Somalia slapped a ban in 2019.
Head of Miraa Pyrethrum and other Industrial Crops Felix Mutwiri stated that Kenya had so far exported 1.4 million kilogrammes of miraa after the two countries resolved the earlier tariff.
2. 51,000 tons of Wheat from Ukraine
Kenya received the first shipment of wheat from Ukraine since Russia launched a military invasion against the country in February. The vessel ‘Super Henry’ docked at the Port of Mombasa on Sunday carrying 51,400 tons of wheat. Ukraine Ambassador Andrii Pravednyk on Monday supervised the offloading of the grain.
According to Ukrainian statistics, in 2021, Ukraine exported to Kenya 355.5 thousand metric tons of the grain worth $89.7 million.
Last year, Kenya imported approximately 2.4 million tons of wheat, making Ukraine’s share of the commodity in the Kenyan market comprise around 15 per cent of the overall Kenyan wheat import balance.
WHAT YOU MUST HAVE MISSED
Kenyan Web3 Startup Nuzo Launched Blockchain-powered eCommerce for Africa
Nuzo.co, a Kenyan Shop-to-Earn eCommerce marketplace for small and medium-sized businesses recently hosted its launch event in Nairobi.
Nuzo users earn Nuzo Coins when they buy and sell online and these Coins increase in value as the marketplace grows. Nuzo Coins are powered by the mobile-first, carbon-negative Celo blockchain and can be redeemed for buy goods, airtime, and bill pay.
After launching in June, Nuzo already has 40,000 users and is growing rapidly.Somalia’s government signed an oil-production sharing agreement with US-based Coastline Exploration Ltd
Coastline Explorations LTD, based in Houston, Texas, paid $7 million to the government for seven agreements and will now proceed with an exploration program, Somalia’s government said in a statement on Friday.
Bloomberg reports that the deal was signed after a review of an accord signed in February that was deemed illegal by the Horn of Africa nation’s former government.
Millionaire cabinet nominees
The total net worth of the would-be 24-member cabinet stands at Ksh15.25billion. During their vetting, the cabinet nominees were compelled to declare their net worth and how they accrued their wealth.
A majority of the nominees revealed that they accrued their wealth from the shares they hold in various listed companies, the value of their property and income from farming.
here’s the list of the nominees and their net worth:
Musalia Mudavadi- Ksh 4 billion
Mithika Linturi - Ksh1.2 Billion
Simon Chelugui - Ksh993 Million
Prof. Njuguna Ndungu - Ksh950 Million
Moses Kuria - Ksh750 Million
Eliud Owalo - Ksh650 Million
Ezekiel Machogu- Ksh590 Million
Prof. Kithure Kindiki - Ksh 544 Million
Davis Chirchir - Ksh 482 Million
Ababu Namwamba - Kshn425 Million
Rebecca Miano - Ksh 397Million
Peninah Malonza - Ksh 300Million
Alice Wahome - Ksh 218 Million
Florence Bore - Ksh 200 Million
Soipan Tuya - Ksh 156 Million
Salim Mvurya - Ksh 120 Million
Aisha Jumwa - Ksh 100 Million
Susan Nakhumicha - Ksh 101Million
Zachariah Njeru - Ksh 80Million
Kipchumba Murkomen - Ksh550 Million
Alfred Mutua - Ksh420 Million
Aden Duale - Ksh851 Million
Mercy Wanjau - Ksh475 Million
Justin Muturi - Ksh700 Million