Business daily apr 10th 2015 by HABA KWA HABA

Weekend Extra

Economy & Politics

Law student who found escape route in Shabaab

Kimemia links ouster to power struggle in State

Pages 15-18

Page 5

Page 26

WWW.BDAFRICA.COM

Cou≥t battle ≥eveals

hidden side of Njenga Ka≥ume’s vast empi≥e A 2012 audit report shows that the multi-billion-shilling estate was nearly insolvent by the time of his death BY BRIAN WASUNA

Njenga Karume. FILE

The multi-billion-shilling business empire that Kiambu businessman and politician Njenga Karume left behind was already saddled by a heavy load of debt and mismanagement at the

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of his death, an audit report shows. The report shows that the business empire — perhaps Kenya’s best known grass-tograce story — was already on the throes of decline, having been stricken by bad book keeping,

insider lending and irregular property transfers. Mr Karume, who was known to many as an astute businessman, rose from selling charcoal to owning and running enterprises worth billions of shillings by the time KARUME, Page 4»

PAIN OF LOSS

BRIEFING

Your free weekly 16-page pullout inside The business of taking a break

Page 6»

10th APRIL, 2015 - 16th APRIL, 2015

Fanisi Capital buys stake in Nairobi pizza-maker

F≥om dukawalla to hotelie≥ Local investo≥s who a≥e b≥inging b≥and name hotels to Kenya >>PAGES 8 & 9

From reception to corner ofﬁce >>3 | Keep sun,rain out of outdoor living >>5 | Adult bedwetting >> 10

Fanisi Capital has invested in Nairobibased pizza-maker European Foods Africa Ltd (EFAL) as private equity firms increasingly target the growing middle class’ appetite for processed foods. This is the second such investment by Fanisi in the last few months. Page 19»

The man police have linked to Safa≥icom, NIC Bank f≥aud The 26-year-old IT expert at the centre of ongoing investigations into air time theft at Safaricom is also facing separate criminal charges for his role in last December’s hacking of a bank’s system, it emerged yesterday. Alex Mutungi Mutuku yesterday acknowledged that he is the same person who was charged with hacking into NIC Bank in January, adding that Safaricom picked him among the other suspects because

NEWS INDEPTH

Kenya Red Cross personnel attend to one of the relatives to the Garissa University students who were killed by Al- Shabaab last week outside Chiromo Mortuary yesterday. In the background to the right is Foreign Affairs secretary Amina Mohammed and Red Cross chief Abbas Gullet. JEFF ANGOTE

The fuel cost levy in electricity bills has remained unchanged for the second month in a row, a signal that cheaper geothermal injected into the grid since July is unlikely to cut prices further.

Kenyan a≥tists being showcased with Af≥ica’s best >>PAGES 12-13

BY OKUTTAH MARK

NAIROBI

No relief for power users as fuel levy stays intact

Scramble for land by the rich and powerful leaves poor Africans homeless Pages 12-13 »

of the NIC case. “I was arrested in early January for allegedly hacking into NIC Bank. The case is ongoing. Now when Safaricom was hacked and it found that I, like other subscribers, had bought the stolen airtime without knowing, they were very quick to arraign me in court,” Mr Mutuku said in an interview. The University of Nairobi’s Bachelor of Information Systems graduate was early this week charged with manipulating Sa- HACKING, Page 4»

BUSINESS DAILY | Friday April 10, 2015

TOP NEWS

Cou≥t battle exposes the t≥oubles of Ka≥ume empi≥e »From Page 1

of his death three years rowed funds and asset sales during the ago. The report, filed in court as part of audit period. the evidence in the ongoing battle in“The trading performance across volving Mr Karume’s children and the the group can be broadly described managers of a trust in which he left the as being a mix of entities consistently wealth, also reveals for the first time the posting small profits and others posting extent of the business empire he left be- small losses. For the entire period from hind upon his death in February 2012. June 30, 2008 to May 2012, aggregate The Njenga Karume Trust, formed net profit was reportedly around Sh5 only nine months before his death, is million,” the report says. Trustees of the Njenga Karume Trust an empire of nine firms that are managed through three holding companies filed the audit report in court to coun— Jacaranda Holdings (hoster allegations by three of pitality interests), Karume the late Karume’s children Holdings (for the real estate — Lucy, Samuel and Albert The t≥ading Karume — that they have interests) and Cianda Holdpe≥fo≥mance ings for agribusiness. run down the companies Mr Karume’s hospitality ac≥oss the g≥oup since taking control in 2012. empire includes Jacaranda can be b≥oadly The children are seeking to Hotels in Nairobi and Momoust the trustees. basa, Lake Elementaita desc≥ibed as being Margaret Nduta KaLodge and the Village a mix of entities mithi, the late tycoon’s sister and one of the trustees, Inn. Karume Investments consistently has in response said that the operates Cianda House in posting small court case is part of a coup Nairobi and several apartments in Nairobi, Limuru p≥ofits and othe≥s the children are executing and Kiambu. Cianda Holdto overthrow the will of posting small ings runs the Cianda and their father and take full losses Kachoraba farms. control of his billions. The September 2012 The audit indicates PWC AUDIT REPORT audit by PriceWaterhousethat in the five-year period Coopers (PwC) shows that covered by the PwC invesKarume’s nine companies with assets tigation, Mr Karume’s companies only worth billions of shillings made a paltry managed to stay afloat by borrowing Sh5 million profit between 2008 and money and selling some of its assets, 2012 and that the business magnate’s most notably a parcel of land sold to enterprises mainly survived on bor- the Kenya University Staff Retirement

The Cianda House on Koinange Street, Nairobi, which is part of the late Njenga Karume’s property . FILE Benefits Scheme (KUSRBS) for Sh1.1 billion in 2012. The report also shows that some of the insider loans the Karume firms extended to one other were neither repaid nor accounted for, something the auditors warned was a point of concern. In some instances, Mr Karume himself loaned the companies money, with some shareholders also chipping in. The intercompany loans account held a total of Sh360 million, mostly advanced to the farming and real estate arms of his vast business empire. The amount was loaned to Cianda Estates Limited, which owns Cianda Farm, and to Karume Investments Limited, which owns owns several rental properties in Limuru and Kiambu. “We have not seen any loan documentation regarding this lending. Around two-thirds of this lending appears to be connected and we are advised has been provided directly by Mr Karume as an individual on an interest free basis,” the report says. Jacaranda Hotel, for example, had not collected 21 per cent of debts that sister companies owed it and had not received any money from employees it had loaned money. The audit report shows that by 2008, the nine Karume companies were indebted to the tune of Sh1.1 billion, a figure that rose to Sh1.2

billion and Sh1.3 billion in 2009 and 2010 respectively. Between 2010 and 2012, shareholders lent the businesses a total of Sh1.8 billion besides the amount Mr Karume had already pumped in. Mr Karume, after selling the Sh1.1 billion parcel of land to KUSRBS, used Sh423 million to offset part of the debt, leaving a Sh892 deficit. The trustees say renovations to Jacaranda Indian Ocean Beach Resort, which reopened last week, and the planned refurbishment of Pizza Garden in Westlands were initiated by Mr Karume to boost the revenue-earning potential of his real estate empire. Lucy, Samuel and Albert Karume last month secured temporary court orders stopping any interference with Pizza Garden after telling the court that the trustees were running down the property. Ms Kamithi holds that the trust dedicated Sh163 million of the Sh338 million in its hands between 2012 and 2013 to the late business magnate’s children and grandchildren. “The trust fund is not endowed with unlimited resources to meet all the needs of the beneficiaries, especially due to unprecedented harsh business conditions for the hotels, funds allocated to refurbishment projects and loss of income due to project disruption and sabotage by the children,” she says. She, however, disclosed that for the nine months before Mr Karume’s death, the billionaire did not provide any medical, schooling or living allowances, and that it is the trustees that facilitated the funds for the said allowances. The intercompany lending is, however, just the tip of the iceberg, as the PwC report has revealed that the book keeping at Mr Karume’s enterprises was highly questionable. This, the report adds, has made it difficult to establish the true financial standing of Mr Karume’s empire.

PwC says it encountered several challenges in obtaining data to compile the report, as some documents relevant for verifying the empire’s true financial standing were missing while others were highly conflicting. “In the financial year 2010, for example, crop expenses per the management accounts for Kachoraba Limited is Sh27 million whereas the audited accounts show a figure of Sh48 million against the same cost category,” the auditors added. The dodgy book keeping has in turn cast doubt on the group’s compliance with the taxman’s dues, as it is difficult to establish what amount of money is owed or has been remitted to the Kenya Revenue Authority. An external auditor previously engaged by Mr Karume to investigate his firms’ books, however, held that the Njenga Karume Trust is tax compliant. The external auditor is only identified as Mr Muigai. Mr Muigai, however, declined to give any documents to PwC for verification when they were carrying out their audit, arguing that the companies had not yet paid him for the work he had done on their books. PwC also noted the retention of three senior accounting officials who are not qualified in the profession. Two of them have also been previously been cited for altering records. James Kihara (Jacaranda Nairobi accountant), his assistant David Kisovi and Sammy Kioko (Jacaranda Nairobi head cashier) were noted to have no accounting education despite holding the positions. Mr Kihara was cited for altering documents in 2006, while Mr Kioko was cited several times in 2003, 2006, 2008 and 2009 for the same offence. bwasuna@ke.nationmedia.com

The man police have linked to Safa≥icom, NIC Bank f≥aud faricom’s computer system and stealing electronic airtime worth Sh20,000. Mr Mutuku appeared before a magistrate at Nairobi’s Milimani Law Courts where he was charged and his case set for hearing on May 19. In the NIC Bank case, Mr Mutuku alongside two others are accused of hacking into the bank’s customer database and obtaining information for which he demanded to be paid Sh6.2 million in bitcoins. Bitcoins are a form of virtual currency that is traded online and has at times been used by criminals to launder illicit funds. It is also alleged that the suspects, on diverse dates between August 2 and 5 at the NIC Bank head oﬃce in Nairobi, stole Sh2.88 million belonging to the bank. The double prosecution of Mr Mutuku highlights the rising wave of cybercrime that Kenyan companies are »From Page 1

facing as the country’s pool of IT savvy individuals increases. Mr Mutuku yesterday expressed anger at the fact that Safaricom had chosen to prosecute him based on the fact that he had another case in court. “I’m very furious about this Safaricom thing. Charging me with the air time theft based on my history is wrong,” said the suspect, who is out on Sh20,000 bond. Mr Mutuku added that he is self-employed and survives on earnings from mobile applications he develops, which are hosted on Google Play. “I was in Kathiani High, scored an A and at University of Nairobi I graduated in 2012 with an Information Systems degree and I know how to code in most languages. Java, C++, Web languages like Php,” he added. A background check on social media gives a glimpse of Mr Mutuku’s IT savvy. On March 7, 2013, Mr Mutuku posted on

Mr Alex Mutungi Mutuku (centre)and Mr Stanley Kimeu Mutua in a Nairobi court. FILE his Facebook account how he was able to download and read for free the Nation epaper using a programme he had developed as a ﬁrst year student at the University of Nairobi. On March 8 the same year, he posted again to tell the public how to gain access to the Nation epaper. In the Safaricom case, Mr Mutuku is charged with collaborating with others,

at an unknown place within Nairobi, to steal airtime valued at Sh20, 000 belonging to Safaricom. The charge sheet says the alleged crime was committed by interfering with the functioning of Safaricom’s computer system with intent to procure himself an advantage. Safaricom is reportedly pursuing about 10,000 Safaricom subscribers who bought the stolen airtime at half the market price. Architects of the crime are said to have broken into Safaricom’s computer systems and stolen airtime, which they sold in the market at half the retail price. The perpetrators of the crime are said to have created a huge market for the stolen airtime by informing friends and relatives where to buy from, causing alarm within Safaricom. Some of the stolen airtime was traced to friends and relatives of the master-

minds, having been sent to them for free. Safaricom has used serial numbers of the stolen airtime to trail their circulation in the marketplace, blocking thousands of consumers found to have handled it. In the NIC case, the court heard that on December 18, Mr Mutuku and Mr Stanley Kimeu Mutua threatened the bank with exposure if their demands were not met. The two denied charges of theft, attempted extortion and blackmail. They are also alleged to have threatened to publish conﬁdential customer information that they had accessed by hacking into the bank’s systems. The court granted them a cash bail of Sh700, 000, with alternatives of depositing Sh1 million bonds with similar sureties. mokuttah@ke.natiomedia.com

Friday April 10, 2015 | BUSINESS DAILY

ECONOMY & POLITICS NEWS NEWS I I REVIEWS REVIEWS I I ANALYSIS ANALYSIS

Kimemia links ouste≥ to powe≥ st≥uggles in Uhu≥u gove≥nment GRAFT LIST Secretary to the Cabinet says faced Ethics team for ﬁrst time BY GEORGE OMONDI

A fuel attendant at a petrol station. FILE

New fo≥mula denies fuel consume≥s p≥ice d≥op beneﬁts BY NEVILLE OTUKI

Kenya will set up a petroleum fund to cushion consumers from fuel price volatility, a change that will see motorists lose out on big cost cuts when global crude petroleum prices fall sharply. Energy principal secretary Joseph Njoroge yesterday said talks are ongoing with oil marketers and the Treasury to facilitate the set up of the fund from July 1. The stabilisation fund will see the energy regulator pass on benefits of lower prices to motorists by half and increase product prices by a similar margin should crude prices rise sharply. “If the price of petrol is Sh90 a litre today but drops to Sh80 after another round of procurement, we will lower by Sh5 instead of Sh10 with the other half going to the fund,” said Mr Njoroge on the sidelines of an energy workshop in Nairobi. The ministry reckons the fund — which is modelled as a hedging tool— would ensure local firms and motorists do not suffer steep price fluctuations tied to global market changes. Global crude prices have fallen sharply over the past year from a high of Sh10,672 ($115) per barrel in June to a low of about Sh4,268 ($46) per barrel in December, before rising to the current Sh5,104 ($55) a barrel. But yesterday motorist said that Kenya delayed in realising the benefits of the rock-bottom crude prices and

accused the Energy Regulatory Commission (ERC) of being quick to review product prices upwards when global cost begin to rise. Petrol prices dropped from Sh116.62 a litre in August to Sh84.71 in February and rose to Sh89.46 in March, sparking an uproar that saw consumers lobby—Cofek—threaten legal action against the ERC. Last month’s fuel price increase was the ﬁrst in six months by the ERC. The regulator yesterday said the fuel prices are set to maintain an upward trend in coming months.

Suspended Secretary to the Cabinet Francis Kimemia and Michael Kamau, the Transport and Infrastructure secretary, yesterday linked power struggles in government to their ouster over graft. Mr Kimemia particularly blamed unnamed people close to the ruling Jubilee coalition of waging a witch-hunt and propaganda war against him. “I have worked in the government for many years but this is the first time I’m being asked to appear before an anti-graft agency,” Mr Kimemia told journalists after a twohour grilling by Ethics and Anti-Corruption Commission (EACC) officers yesterday. “It is only after this government was formed that I started facing several allegations.” He added: “This is a country where jealousy creates room for all manner of propaganda. I am not bitter, but I do expect fairness in the investigations.” Mr Kimemia was temporarily forced out of office last month over allegations that he abused office to deprive former employees of Kenya Railways Corporation of houses under a Sh5 million tenant-purchase scheme. He is also alleged to have presided over a Sh1 billion tender irregularity while serving as the permanent secretary in the Interior

Mr Francis Kimemia.

Mr Michael Kamau.

(then called Internal Security) ministry. “The so-called irregular tender was awarded in 2014, long after I left the ministry and was serving as Secretary to the Cabinet. I don’t own any house that belongs to Kenya Railways. It’s only that I have not been keen to respond to every allegation levelled against me but they are all baseless.” Mr Kamau was, however, more cautious, choosing to dodge Press queries. “Tell people to continue working. Somebody has even hacked into my Twitter account but I want to say I have no ill feelings. As for the ongoing investigations are concerned, I won’t say anything.” Mr Kamau has been forced to step aside to pave the way for investigations into allegations that he illegally contracted Landmark Clearing & Forwarding to clear 80 per cent

Expand storage “We can’t move back to where we were. We need to be prepared for price increases,” said ERC director-general Joseph Ng’ang’a at the workshop. Besides the fuel fund, Mr Njoroge said Kenya will expand its storage facilities to allow importation of large cargo in times of lower prices. Manufacturers have recently asked the energy regulator to consider reviewing fuel and electricity prices twice a year as opposed to a monthly review to create stability in the market. The government started the monthly review of retail fuel prices in 2010 after prices drastically shot upwards, driving up the cost of living and eliciting an uproar form Kenyans. The Kenya Association of Manufacturers (KAM) in February ruled significant cut in product prices to reflect the cheap fuel and electricity, arguing firms needed six months of fixed energy prices.

The Business Daily will on 17th April 2015 publish an informative feature on ‘Corporate financing services in Kenya’. The feature seeks to inform corporate companies, family-owned businesses, and other institutions, on the benefits of seeking corporate financing services to grow their wealth. This feature will focus on: • Banks and financial institutions offering financing to companies and SME’s; • The various ways in which corporates and business entities can raise capital for expansion; • Role of Investment banks in the growth of corporate financing in Kenya; • How to access the capital markets, float IPOs; • How to go about restructuring, including; mergers and acquisitions.

To participate in this feature kindly contact Rosetta Wamuyu, on Tel 0721167688 or email rwamuyu@ke.nationmedia.com

of import cargo belonging to a Chinese company building the Sh327 billion standard gauge railway at Mombasa port. Both Mr Kimemia and Mr Kamau were inherited from the Kibaki’s administration when President Kenyatta formed his ﬁrst Cabinet in 2013. The two have largely been seen as among the President’s favourite in the Cabinet. Also grilled yesterday were suspended Energy secretary Davis Chirchir, the Kenya Airports Authority chief executive Lucy Mbugua and Mombasa-based landowner Evanson Waitiki.

So far, so good Mr Chirchir is under investigations for alleged attempt to inﬂuence the award of the $500 million (Sh45 billion) Kenya Pipeline Company (KPC) new oil pipeline to SINOPEC instead of Zakhem International. The EACC dossier says the tender was meant to corruptly yield $15 million (Sh1.35 billion) which was to be shared between Mr Chirchir and Nairobi Senator Mike Mbuvi. “Investigations are going on well. It’s all strange and unfounded but so far, so good.” Mr Chirchir said. omondi@ke.nationmedia.com

BUSINESS DAILY | Friday April 10, 2015

ECONOMY & POLITICS

State faults its ≥esponse in Ga≥issa BY OUMA WANZALA

The government has admitted that there were lapses in the security response to the Garissa University College terrorist attack that left 148 people dead. State House spokesperson Manoah Esipisu yesterday told editors in Nairobi that there were shortcomings in the State’s response to the Al-Shabaab massacre. “Did we do something wrong in Garissa? Yes, of course. In reacting, there are always time lapses,” said Mr Esipisu in response to mounting criticism of the government approach by the media and the public. He said the government wanted to save as many lives as possible at the university, which had 815 students.

Bloody siege He defended the arrival of Interior secretary Joseph Nkaissery and Inspector-General of Police Joseph Boinnet at Garissa before the rescue security forces did, saying the helicopter that ferried the two had a capacity of only three passengers. Therefore, Mr Esipisu noted, the chopper could not ferry the more than 25 Recce Company officers to the scene of the attack on time. The Recce squad, which eventually ended the bloody siege at Garissa University last week, landed in Garissa at 1.56pm although the alarm had been raised at 6am. On accusations that the State was killing the morale of officers who felled the terrorists by paying them a Sh500 allowance, Mr Esipisu said the work of the security officers was to save lives and the allowance was not a priority.

No ≥elief fo≥ powe≥ use≥s as fuel levy ≥emains intact ELECTRICITY Cheaper geothermal injection to grid fails to cut prices BY NEVILLE OTUKI

BY GERALD ANDAE

The fuel cost levy in electricity bills has remained unchanged for the second month in a row, a signal that cheaper geothermal injected into the grid since July is unlikely to cut prices further. Data from the Energy Regulatory Commission (ERC) indicate the fuel adjustment levy, which is linked to the amount of power generated from expensive diesel, for post-paid bills to be settled next month will remain at Sh2.51 per kilowatt hour (kWh). This means that cheaper power is tied to the onset of long rains that is expected to boost the share of cheaper hydro-power to the national grid. Kenya Power technicians work on an electricity transmission line. The cost of Although the additional cheaper power will remain the same for second month in a row. FILE geothermal power has cut electricity costs by nearly a third since August, we get more of hydro-power. But this for 51 per cent of electricity bought depends on the rains,” said a source by households and businesses in Dehouseholds have seen little changes cember, from 14 per cent in the same at the ERC. compared to 13 months ago due to month in 2013. The long April rains are expected the higher tariffs awarded to Kenya The share of thermal power to fill the dams by June. The share Power last year. dropped to 10 per cent from 37 per of hydro power stood at 41 per cent “This month we will retain the cent. Although power bills are down in January, down from fuel cost charge at Sh2.51 since August, data from the Kenya 63 per cent in the same (per kilowatt hour) — that National Bureau of Statistics indicate period last year due will be the gazetted figure,” the heavy consumers of power have the ERC director-general The cost of powe≥ to increased share of Joseph Ng’ang’a said Thursnot benefited from the geothermal geothermal power and will essentially day during a stakeholder’s injection. dry weather that re≥emain the same duced water levels in The Kenya National Bureau of Staworkshop in Nairobi. tistics said homes that consumed 200 “The cost of power will the dams. JOSEPH NG’ANG’A , ERC kWh paid Sh3,400 last month, comessentially remain the The share of elecDIRECTOR-GENERAL same,” he added, saying that tricity generated from pared to Sh2,793 in the same month the regulator seeks to maingeothermal sources in last year. tain the levy at between Sh2 and Sh3 October for the first time surpassed Households that consumed 50 kWh to enable manufacturers monikWh and fully enjoyed the State subthat of hydro power. tor their cost of production— critical About 140 megawatts was added to sidy paid Sh494 last month compared for commodity prices stability. the national grid in late July, 70 megato Sh508 in March last year. The fuel surcharge has been dropwatts in September and 70 megawatts But the additional geothermal ping from a peak of Sh7.22 kWh in July in early December. helped curb the rise in the fuel charge, to Sh2.51 this month. which peaked at Sh7.22 in July. Data provided by KenGen show “Further drops are expected when notuki@ke.nationmedia.com that geothermal power accounted

Construction of the new MombasaNairobi railway has resumed after the Chinese contractor and the supervising consultant agreed on the design of the mega project that had led to suspension of works. Kenya Railways (KR) managing director Atanas Maina says the two parties have now agreed to work with the design that had been developed by China Road and Bridge Corporation (CRBC). A consortium of supervisors hired by KR to review the design and supervise the Sh447.5 billion project had diﬀered with CRBC over the design of culverts, prompting a freeze of construction. “The temporary suspension has since been lifted after the two parties agreed to adhere to the set requirements and submitted the requisite information and documents,” said Mr Maina. “The design that the Chinese are using is not what Kenyan engineers have used before and this was the main bone of contention in this project,” he said. For instance, said the KR chief, Kenyans use steel in making culverts while the Chinese prefer concrete. Mr Maina says both can be used. The new standard gauge line will supplement a slower narrow gauge network run by Rift Valley Railways that now only runs to Uganda whereas the new one will reach Rwanda and South Sudan, in part of eﬀorts to cut the hefty costs of trade within East Africa.

Police ta≥gets ﬁve helicopte≥s in ≥evised tende≥ BY ALLAN ODHIAMBO

The National Police Service has increased the number of new aircraft it plans to buy to revive its aerial operations hit by lack of equipment. In an amended tender seen by Business Daily, the office of Inspector-General Joseph Boinnet said it would buy four twin-turbine engine utility helicopters and another one for carrying troops. The police agency in March floated a tender for the supply of two twin-turbine engine utility helicopters. The purchase of the new aircraft will be locked to original equipment manufacturers, the IG’s office said,

Const≥uction of ≥ailway ≥esumes afte≥ design t≥uce

even as the government rushes to upgrade its fleet to battle emergencies such as the terrorist attack that left 148 people dead at Garissa University College. Besides new aircraft, the police service said it was also seeking qualified firms to overhaul three Mi-17 helicopters currently parked at the Kenya Police Air Wing (KPAW) hangar. The unit has four Mi-17 helicopters, registration numbers: 5Y-STA, 5Y-SFA, 5Y-EDM, and 5Y-UKW. Three are not serviceable, while the 5Y-UKW has been grounded since it was involved in an accident in Kapsabet where former assistant minister Orwa Ojode (now deceased) and then Commissioner of

M r Joseph Boinnet. FILE Police Maj-Gen Hussein Ali escaped unhurt.The 5YEDM had been the only remaining functional police helicopter until it ran aground recently because the main rotor system, bought

from suppliers in Ukraine in 2014, had only two flight hours left and has since expired. The National Police Air Wing (NPSA) bought the system, comprising five blades, for the Mi-17 helicopter, registration 5Y-EDM at the cost of Sh13 million. The system had already done 27 flight hours and NPSA officials were told as much but they still went ahead and bought it. The police service, however, has two fixed-wing aircraft which can only carry nine officers each, and also land only on locations with runways — making them unreliable in quick response operations especially in remote areas.

Standards harmonisation Countries in the region rely on poor roads and the rickety narrow gauge line built in the 19th century. Kenya has previously said the new railway will cut freight costs to 8 US cents a metric tonne (1.1 tonnes) per kilometre from 20 cents now. China Road’s appointment to construct the initial Kenyan leg of the new line was met with widespread criticism that there was no competitive tendering for the work. The ﬁrst leg to Nairobi estimated at 471km is set for completion in 2017. Mr Maina says the contractor will remain on site for another year to work on emerging defects within the corridor. The contractor is on course to meet the 2017 deadline, he said, adding that 10 per cent of the work has been done. “The suspension was not as a result of any structural safety concerns, quality or design defects but just a harmonisation of the standards.”

Friday April 10, 2015 | BUSINESS DAILY

BUSINESS DAILY | Friday April 10, 2015

CORPORATE NEWS COUNTY BUSINESS

Ex-Telkom staﬀ ﬁght fo≥ dues hits anothe≥ hu≥dle LAYOFFS Retrenched workers of defunct State

ﬁrm lose bid to enforce settlement agreement

are enjoined to execute such consents and file them in the respective suits. It Former Telkom Kenya employees is only then that the obligations as to seeking Sh1.4 billion retirement paypayments on the part of Telkom shall off from the defunct State corporation arise,” Justice Mabeya said. have lost a bid to enforce a settlement He said it is only after complying with the said provisions of agreement. the deed that the former High Court judge Alfred Mabeya declined to workers can demand enforce the agreement the The company is specific performance by 997 former employees had Telkom, failure to which still bent entered with Telkom, after they can file a case on the on postponing same. establishing that the workers had not met certain reTelkom had in its arits day of quirements. guments also said it had ≥eckoning The Deed of Settlenot authorised its lawyer HIGH COURT JUDGE ALFRED ment, dated August 8, to draft the agreement, a 2014, required the former claim the judge said was MABEYA workers through their lawnot honest on the part of yer to prepare and submit the former employer. He said a lawyer has an to Telkom’s lawyers duly implied authority to enter into a comexecuted consents withdrawing or promise on behalf of his client adding: marking all pending cases they have “This is a clear statement of the law that against Telkom. does not require any authority.” “It was then that Telkom’s lawyers BY ABIUD OCHIENG

Telposta Towers, the former headquarters of Telkom Kenya. FILE

He noted that it was not in dispute that the 997 former employees dedicated their youthful years to Telkom and that they offered their services as best as they could to the company which “ immensely benefited” until it terminated those services during its staff rationalisation programme. “It is regrettable that even after two courts—the High Court and the Court

Eve≥eady in ≥eal estate funding talks with th≥ee investo≥s BY MUGAMBI MUTEGI

Eveready East Africa is in talks with three institutional investors to fund a multi-billion-shilling real estate project in Nakuru as part of its growth and diversification strategy. The battery distributor says it has received bids from the potential investors to fund its flagship project through either equity, debt or a mix of both. Eveready, which last year shut down its battery factory in Nakuru, will this month complete the feasibility studies to determine whether to build a hotel, shopping complex or a housing project on the 18.5 acre piece of land where the plant sits. “The board is currently in discussions with three institutional investors and it will narrow down on the nature of their partnership as we finalise on which project to undertake,” Jackson Mutua (above), Eveready’s managing director told the Business Daily. “At the annual general meeting scheduled for midMay, the board shall be seeking shareholder approval on the final project, the partner-

Other ventures Eveready has also ventured into automotive-type lead acid batteries as well as industrial lighting bulbs, fluoroscent tubes ship specifics and also what to do with the idle factory equipment.” Product diversification and a maiden venture into real estate is part of Eveready’s bid to reverse its fortunes after recording a Sh177.5 million net loss in the year ended September, reversing the previous year’s net profit of Sh45 million. The Nakuru-based firm last October announced that low sales due to illegal imports of cheap batteries and high energy costs forced it to shut its production factory in favour of importing batteries from the Energizer Egypt plant. The battery firm conse-

quently laid off 100 employees at a cost of Sh110 million, further depressing its performance. The firm’s annual production by the time the factory shut down was between 40 and 50 million batteries, down from the 180 million batteries it used to manufacture 10 years ago. The company then announced that it would be delving into real estate in an effort to direct a business turnaround over and above expanding its product portfolio beyond batteries. Eveready’s 18.5 acres of land is worth approximately Sh370 million while the company has previously said another two acres of prime land in Milimani, Nairobi – which has an unoccupied maisonette— could be priced a bit higher according to Mr Mutua. “The real estate is part of our strategic plan to diversify our income. The board is currently focusing on our maiden project which will be on the factory land but thereafter we shall discuss the Milimani parcel,” said Mr Mutua.

of Appeal,— have pronounced that Telkom ought to pay the 997 former employees certain monies, the company is still bent on postponing its day of reckoning,” the judge said. The judge observed that the company’s bid to extend the legal battles would subject the 997 former employees to further suﬀering and asked shareholders to also consider the ele-

ment of interest that will ultimately be payable on the amount to be awarded to the former employees. “No amount of postponement can save Telkom from its legal obligations. If the law and procedure would have allowed, the proceedings should have terminated at this juncture but this is not the case,” Justice Mabeya said. The workers were retrenched in 2006, but Telkom was found to have acted discriminatorily by the High Court. The decision was upheld by Court of Appeal judges who ruled and directed Telkom to compensate the employees with Sh3.2 billion. The laid off staff later entered into an out- of- court agreement with Telkom in August last year where they settled for Sh1.4 billion. The reduction of the claim to Sh1.4 billion was supposed to be a relief to Telkom because the Labour and Relations Court had in April 2014 stopped the firm from disposing of its key assets. The former employees had argued that they feared the firm would have no attachable assets if the sale was allowed.

Uchumi books space at Sh2bn Kisumu mall BY SIMON CIURI AND ANNIE NJANJA

Uchumi Supermarket will be the anchor tenant at the upcoming Lake Basin Mall in Kisumu, marking its latest expansion as retail chains show a greater preference for opening branches in shopping complexes. The Nairobi Securities Ex-

change-listed ﬁrm yesterday signed an agreement with Lake Basin Development Authority, which is developing the mall alongside other properties on the Kisumu-Kakamega highway. The mall, to be built at a cost of Sh2.5 billion and which is expected to be completed by August, will have 25,000 square

metres of space. “The focus is to increase our footprint given the growing investment opportunities in the area,” Uchumi’s CEO Jonathan Ciano told the Business Daily. This will be the second branch for Uchumi in Kisumu where the retailer is competing with others such as Naivas, Nakumatt and Tuskys.

KCB appoints new di≥ecto≥ as it eyes la≥ge≥ co≥po≥ate banking pie Kenya Commercial Bank (KCB) has hired a new director for corporate banking from rival Chase Bank to replace James Agin who moved to Barclays in the same capacity. The country’s biggest bank by asset base tapped Ken Ouko who until his new appointment was the director of business development at Chase, a mid-sized lender. “Mr Ouko has joined KCB with eﬀect from this month,” KCB said in a statement. He replaces Mr Agin who left the bank late last year, highlighting increased executive poaching seen in the competitive banking industry. Mr Ouko is a banker with over

20 years’ experience at senior levels in various banking institutions. His appointment comes at a time when medium-sized banks have raised billions of shillings in new capital, pushing for a larger share of the corporate lending segment dominated by big banks like KCB, Barclays and Standard Chartered. KCB’s corporate loan book stood at Sh116 billion as of December 2013, representing half of its total lending. Deposits by corporate customers stood at Sh136.6 billion in the same period. Mr Ouko is expected to grow the bank’s corporate banking business including in

the Islamic banking segment where it is venturing into. KCB is set to rebrand five branches into fully-fledged Islamic outlets by May but it will also be offering the products alongside conventional services in all other branches. These are Eastleigh, Kimathi Street, and Hurlingham in Nairobi and Mwembe Tayari and Town Centre in Mombasa. KCB Bank Tanzania has been offering Islamic banking services for years. The bank is the latest to deepen its presence in Islamic banking, joining rivals like Commercial Bank of Africa. -MUGAMBI MUTEGI

Friday April 10, 2015 | BUSINESS DAILY

IDEAS & DEBATE OPINIONS I REVIEWS I ANALYSIS

DEVELOPMENT He knew that economic progress lay in education and smart trade

Goh is the unsung he≥o in Singapo≥e’s g≥eat success sto≥y (Thanks Susan Linee for pointing out to me the proper oriental surname usage after my last article) Chinese and Korean names have the patronym (father’s name) at the beginning hence it’s Dr Goh rather than Dr Swee; but I digress). Chances are high that Dr Goh would BY MARVIN SISSEY have succeeded Prime Minister Lee Kuan Yew had he not been forced to “It is amazing what you can acretire from political office on Decemcomplish if you do not care who gets the ber 3, 1984 at the early age of 66 years credit.” u2015 Harry S. Truman after he had been diagnosed with bladder cancer a year earlier. In a tribute to n my article last week, I lay ground mark the occasion of his retirement, for my considered postulation of Prime Minister Lee Kuan Yew wrote: why Kenya’s and Singapore’s eco“A whole generation of Singaporeans nomic fortunes diverged on opposite take their present standard of living ends from their respective independfor granted because you had laid the ence years to date. I hypothesised that foundations of the economy of modthe difference in the two economies ern Singapore.” lay in the strategic contrast of the two Dr Goh’s Singapore story starts founding fathers, adding that only in 1948 when he won a scholarship one of them had discovered in time at the London School of Economics that the pathway to and Political Science (LSE) where economic progress lay he graduated with not in resource wealth A whole gene≥ation a BSc in Economics or agriculture, but in of Singapo≥eans take four years later. It education and smart thei≥ p≥esent standa≥d was here that Goh trade. I promised to of living fo≥ g≥anted met fellow students explore this trajectory seeking independfurther this week. because you had laid ence for British We first want to the foundations of the Malaya, includidentify who was beeconomy of mode≥n hind the country’s poliing Abdul Razak cy frameworks on both (later Malaysia’s Singapo≥e education and smart second Prime trade. Should HollyMinister), Mauwood ever decide to immortalise the rice Baker (subsequently Singapore’s story of Singapore’s economic rise on High Commissioner to Malaysia), the big screen, chances are that the Lee Kuan Yew (later Prime Minister for Singapore) and Toh Chin Chye (Dr founding father, Prime Minister Lee Kuan Yew will play a starring role as the Goh’s predecessor as the Singapore’s brains behind the country’s fortunes. Deputy Prime Minister.) In 1954, Goh It won’t be far off the radar since as I was able to return to LSE for doctoral studies with the help of a University of stated earlier, he is the one who proLondon scholarship. He completed his vided the overall strategic vision. PhD in Economics in 1956. Digging deeper however, one will quickly note that the real brains behind In 1958, back home, he joined the the rise of Singapore lay elsewhere. Dr People’s Action Party (PAP) and was Goh Keng Swee was a proper adherelected a key member of the party’s Central Executive Committee and later ent to the Truman wisdom shared vice- chairman. In the 1959 elections, at the beginning of this article—the he was successfully elected to the Legwillingness to accomplish amazing islative Assembly and was chosen by fetes while caring less who the credit went to. It is impossible to reckon that the new Prime Minister Lee Kuan Yew Singapore would have an equivalent as Minister of Finance. amazing story if we removed Dr Goh That marked the beginning of his from the picture journey to steward Singapore’s econ-

Other Voices Benjamin Netanyahu Israeli Premier

People pay their respects at the tribute area at Singapore General Hospital following the death of former prime minister Lee Kuan Yew in March 23 . AFP

omy. In his first year of office, he faced an enormous budget deficit of S$14 million. He set the ball rolling by introducing stringent fiscal discipline which included cutting civil service salaries enabling him to announce at the end of the year when delivering the budget that the Government had achieved a surplus of $1 million. With this quick win, he won the confidence of the Prime Minister who trusted his word above all else. In 1961, Dr Goh was the brains behind the setting up of the Economic Development Board. This is a statutory board which plans and executes strategies to sustain Singapore as a leading global hub for business and investment. It is responsible for designing and delivering solutions that create value for investors and companies in Singapore. . The EDB was successful in attracting foreign multinational corporations to invest in Singapore. In 1962, he started the development of the Jurong industrial estate on the western end of the island which was then a swamp, offering incentives to local and foreign business to locate there. Dr Goh admitted that the Jurong project was an ambitious act of faith with huge risks but he felt strongly that “the only way to avoid making mistakes was by not doing anything. That in itself would be the ultimate mistake.” Dr Goh was to be instrumental in the brief merger of Singapore and the mainland Malaysia between 1963 and 1965 and equally so in the de-merger and independence of Singapore when he realised that the relationship was not working. When Singapore got independence in 1965, it was vulnerable without an internal army. Lee Kuan Yew convinced his trusted Lieutenant Goh to relinquish his finance portfolio and become Minister for Interior and

Defence— a position he served in until August 16 1967. He assumed responsibilities for strengthening Singapore’s military and domestic security capabilities. His key policy during this period was the creation of the National Service, a mandatory conscription system for able-bodied young males. Dr Goh was to occupy the position of Finance Minister again between 1967 and 1970 during which time he declined to allow the central bank to issue currency, favouring instead a currency board system. He argued, correctly as it later turned out, that this would signal to citizens, academics and the ﬁnancial world that governments cannot “spend their way to prosperity”. Subsequently, in 1981, he expressed the view that the central bank need not hold large amounts of cash in reserve to defend the currency, proposing that the Government of Singapore Investment Corporation (GIC) be established to invest excess reserves. At the time, it was unprecedented for a non-commodity-based economy to have such a sovereign wealth fund Dr Goh was to be reappointed Minister for Defence in 1970. A year later, he put together the Electronic Warfare Study Group, a team of newly graduated engineers who had excelled in their university studies.The group worked on Project Magpie, a secret project that is credited with developing Singapore’s advanced defence technology capabilities we know of today. On March 1, 1973 Dr Goh was appointed Deputy Prime Minister of Singapore concurrently with his other Cabinet portfolio. In 1979, he was moved on from the Defence Ministry to the Ministry of Education where he served two terms . Next week, we shall dissect Goh’s education and economic policies in detail.

Moshe Ya’alon (Washington Post) The framework concluded last week on Iran’s nuclear programme was doomed to disagreement. Israel, under Benjamin Netanyahu, has made clear its grave concerns about the framework’s fundamental elements and omissions. The vast nuclear infrastructure to be left in Iran will give it an unacceptably short breakout time to building a bomb.As Israel’s minister of defense, as a former Israel DefenCe Forces chief of general staff and as a combat veteran forced to bury some of my closest friends, I know too well the costs of war. Jeb Bush Former Florida Governor

Eli Finkel (New York Times) After the news broke this week that Jeb Bush erroneously listed himself as Hispanic on a 2009 voter-registration application, a familiar cycle of accusations and recriminations set in. The Florida Democratic Party suggested that Bush might have committed a felony. Cynics contended that for Bush, a former governor and likely Republican presidential candidate this was a ploy to further his appeal with that demographic. Muhammadu Buhari Nigeria president-elect

Max Siollun(New York Times) Last time Muhammadu Buhari came to power, on Dec 31, 1983, he seized it. The coup came at a time when Nigeria’s economy was reeling from plunging world oil prices, corruption scandals and security challenges.. Buhari’s supporters think his tenure as a military leader was a missed opportunity and that the country may have been spared many years of corruption had his ruthless anticorruption campaign not been prematurely ended.

BUSINESS DAILY | Friday April 10, 2015

EDITORIAL & OPINION

Published by the Nation Media Group, Kimathi Street, Nairobi

Linus Gitahi: Chief Executive Ofﬁcer | Tom Mshindi: Acting Editorial Director Ochieng’ Rapuro: Managing Editor P.O.Box 49010 GPO Nairobi Telephone: 254 20 328 8104 Fax: 254 20 214849 Email : bdfeedback@nation.co.ke www.bdafrica.com

Let’s step up eﬀo≥ts to p≥omote family planning

he government and stakeholders in the health sector need to step up their efforts to promote family planning in rural Kenya to ensure high standards of living for citizens in the future. The latest demographic survey shows that fertility rates are significantly higher in rural areas compared to urban zones. This trend is not surprising and simply mirrors relatively lower education, income and uptake of contraceptives upcountry. Total fertility rates (TFR) in rural areas stands at 4.5, meaning that on average, a woman there will give birth to five children over her reproductive period. This compares with a woman in an urban area who gives birth to three children, assuming the fertility levels captured in the survey hold constant. The high birth rates in rural Kenya have been the major drivers of the country’s fastgrowing population, with about one million births per year. From a population of 40 million people in 2009 when the last census was conducted, the country’s population is now estimated at 44 million people. There is nothing wrong with absolute population increase. The worry is the consequence of such growth in the context of this country’s resources, be they financial or social services including housing, healthcare and education. Poverty is still rife at a prevalence rate of about 40 per cent, meaning

that 18 million Kenyans are spending less than $1.25 (Sh115) per day. The finding that rural folk, who are the poorest, are also giving birth to the highest number of children can only paint a grimmer poverty outlook. It means the country will have to create significantly more new jobs and the government’s spending on social services like education, health and security must rise by a large margin. That is a huge task for Kenya which, though recently reclassified as middle income, still has a long way to go to reduce the high levels of poverty. The principle of family planning, based on a household’s ability to provide basic necessities for its children, must be entrenched if the country is to avoid the negative impact of a runaway population growth. And here is where education and provision of contraceptives for free or at subsidised rates become critical. Indeed, the overall fertility rate in the country dropped to an all-time low of 3.9 last year. It last peaked at 4.9 in 2003 while previous surveys, which excluded data from North Eastern region and several northern districts in Eastern and Rift Valley regions, show that rate was as high as 8.1 in 1997-98. There is a clear optimal birth rate target but what is for sure is that the current level is still high for the state of our economy.

Kenya plea fo≥ help noble

enya’s decision to seek closer co-operation with US and European allies in the ﬁght against terrorism is a welcome one, with the country realizing at last that this is a ﬁght that can’t be won in isolation. The US and Europe have also been targets of terrorism in the past, most notably in September 2001 when more than 3000 were killed in the World trade Centre attack. The admission by Foreign minister Amina Mohammed that the country needs more help with intelligence and security measures from its Western allies should draw a line under incidents such as the unseemly spat between Kenya and Britain over sharing of intelligence information, which has led to more severe travel advisories being di-

rected towards Kenya. Kenyans who have borne the brunt of the terror attacks of the past two years would be the biggest beneﬁciaries if such cooperation was to make their country safer. The relationship between Kenya and Western states like the US that cooled with the election of President Uhuru Kenyatta has thawed considerably in the past few months, and is set to culminate with a visit to Kenya in July by US President Barack Obama. Increased co-operation on the security front is therefore the next natural step towards rebuilding fully the warm relations between Kenya and these Western powers, and the country may yet end up much safer from this.

To comment... The editor invites comments on our content and topical issues. Please include your full names, telephone number and address in your letter. Email: bdfeedback@nation.co.ke

“Do you know what happens if you ﬁnish your work quickly? You get rewarded with more work...”

C≥ack down on money launde≥ing ca≥tels

JAINDI KISERO CORRUPTION

n the wake of the Garissa University College massacre, the government this week moved to suspend the licences of 13 Somali cash transfer companies even as it announced that it was also planning to freeze accounts of a dozen individuals, NGOs and travel agencies suspected to be funding terrorists. Critics instantly dismissed the move as a typical knee jerk reaction which although targeting the guilty, may end up hurting the innocent. Did the government have to wait for the Garissa massacre to happen to make its move on the forex bureaus? The events have brought the whole issue of money laundering to the fore. We cannot blame the perceived upsurge of money laundering and other forms of suspicious transactions on the lack of laws. We have both a ‘proceeds of crime and anti- money laundering law and a law to combat terrorism financing. In addition, we have a fully- established financial reporting centre, complete with infrastructure to trace , size and confiscate proceeds of illegal payments and other forms of suspicious currency transactions. Yet even as the

government was cracking down on forex bureaus, I still found myself asking myself whether we know enough about the incidence money laundering activity in this country. Because of the secretive nature of money laundering, determining the incidence and gravity of the problem is not easy. What is clear, however, is that the structure of our ﬁnancial system lends itself to a high incidence of money laundering. Experience has shown that money laundering thrives in cities with many small banks and especially in territories with large immigrant and expatriate populations. We have too many small banks, a good number of which are one- branch operations located in obscure parts of the capital city. But the tell-tale signs are the mushrooming forex bureaus in Nairobi. Indeed, Nairobi’s central business district is littered with money changing ﬁrms competing for survival in a very small market. Is it just a coincidence that Nairobi’s Eastleigh has such a large number of forex bureaus? From being small entities handling small transactions, the typical forex bureau in Eastleigh has grown into a big operation capable of out-competing large commercial banks in servicing large foreign exchange deals. And, most forex bureaus do not apply high ‘know your customer” standards and other prudential regulations that oblige commercial banks to report suspected cases of money laundering. Today, you can walk into a forex bureau

with tens of thousands of dollars in cash and change it over the counter of a forex bureau in a matter of minutes. Clearly, the forex bureau is the financial sector’s link to the world of shadowy business. The policy implications are clear. If we are to reduce the incidence of money laundering, the starting point would be for the Financial Reporting Sector to introduce tougher rules to commit forex bureaus to regularly report shadowy transactions. It will also need to strengthen the training of its inspectorate staff in anti-laundering surveillance. Self-regulation should also be explored. In some countries foreign currency dealers have come up with codes of conduct which are observed by members of their association. Countries have also sought technical assistance from institutions such as the International Monetary Fund on best practice. Money laundering can pose serious economic challenges for a country because it involves cross border currency flows. A high incidence in money laundering activity will make it difficult for monetary authorities to track currency movements. Money laundering can cause unpredictability and volatility of both the exchange rate and interest rates. Money laundering redirects incomes from sound to low-quality investments. Let’s make money laundering a top agenda item of our economic policies. jkisero@ke.nationmedia.com

VIEWS FROM ABROAD Japan battles low birthrate

Opinions f≥om a≥ound the wo≥ld Enforce law and protect all Step up human trafﬁcking war

The updated outline of government measures to ﬁght Japan’s low birthrate sets the right policy direction by calling for public support aimed at encouraging young THE JAPAN TIMES people to marry among TOKYO the steps to address the nation’s demographic woes. But policy makers need to be aware that such efforts are not going to immediately halt the population’s downtrend. What’s needed will be steady long-term efforts to implement necessary steps. The outline calls for encouraging marriage and childbirth at a young age among the priority tasks to be tackled.

Whenever there is an accident the law and security agencies spring into action. They suddenly remember this law and that regulation and hurry to enforce THE CITIZEN DAR ES SALAAM it. The road rule that sets the 80km per hour speed limit for passenger vehicles has been with us for many years. When ﬂoods hit, high proﬁle leaders show up all over the place and make demands. This is unacceptable. It is high time everyone in a position of authority got a thorough understanding of the laws they are expected to enforce and enforce them.

Measures have been put in place to curb human trafficking in Rwanda, but the country remains a preferred target for traffickers. The threat is real and THE NEW TIMES KIGALI needs combined efforts to stamp it out. Human trafficking is modern day slavery which deprives people of their human rights and dignity. Concerned authorities should sensitise people about how human traffickers operate and the tricks they use to lure unsuspecting people, especially young girls and the unemployed youths.

Friday April 10, 2015 | BUSINESS DAILY

EDITORIAL & OPINION

MPs should enact wa≥ehouse ≥eceipt system Bill VICTOR BWIRE AGRICULTURE

Given the rate at which Kenyan farmers, ﬁnancial institutions and players in agricultural sector are adopting the Warehouse Receipt System (WRS), it is only prudent that Parliament enacts the WRS 2014 Bill. Some farmers and traders in Kenya have been depositing their grains at certiﬁed warehouses and using the credit receipts to access inputs to improve their productivity. Parliament should deal with the regulatory environment that would allow the formalisation of our otherwise informal agricu-

lutural sector, especially with the looming famine, poor and ﬂuctuating prices for agriculutral products. The system has several advantages for farmers facing drought, climate change and unstable markets especially grains as it alleviates pressure to sell their produce soon after harvest when prices are characteristically low, and allows sales to continue over time from one harvest to another, thus stabilising prices. It also reduces post-harvest losses as the storage and care of the commodity is transferred to professionals with appropriate facilities and expertise to ensure the quality and quantity are assured.

Letters

If passed, the law would greatly improve some of the issues stakeholders have raised to enable the system take off effeciently and for the benefit of Kenyans. The draft Bill had dealt with issues including how the government could make the cess charged by county governments harmonised with national taxes, make fees charged by WRS credit facilities attractive to farmers and small traders, encourage more investment by establishing suitable storage facilities that can be used by farmers in the WRS. This would include allowing the National Cereals and Produce Board (NCPB) to avail their excess storage capacity to farmers and

other grain sector actors. The government, insurance companies and development partners should promote the uptake of insurance products by farmers, such as by creating awareness of such products and making them more aﬀorable and easily accessible. Stakeholders at a recent meeting raised a number of challenges facing the system including, lack of credit history which makes banks slightly uneasy engaging farmers, high insurance premiums on agricultural products. IFC has been ﬁnancing subsidisation of insurance covers for farmers, which has increased uptake of the covers by farmers.

The editor welcomes brief letters on topical issues. Opinions expressed here are not necessarily those of the editor or publisher. They may be edited for clarity, space or legal considerations. Send via e-mail to bdfeedback@ke.nationmedia.com

More must be done to combat terrorism threats

he Garissa University College terrorist attack has left our country and the world in shock and disbelief. Kenyans now need to keenly look at how prepared they are for disasters. It is high time citizens took charge of their personal security and this can only be achieved if crisis management awareness programmes are put in place. Educating the public on disaster preparedness looks impossible given the amount of resources that the government will need in order to reach all the 40 million plus Kenyans, but if we look at it from a diﬀerent angle then the task can be achieved. It should be made compulsory that after students ﬁnish their high school studies they should join the National Youth Service to equip themselves with knowledge on how to handle crisis and other important life skills before they join universities and other tertiary colleges. If the youth are equipped with this knowledge it would be easy to gradually reach every home in the country with the message of disaster preparedness and we would no longer have to wait for the government to come to our aid

the most crucial tool of success.

FRANKLIN MUKEMBU Nithi ****** orruption and terrorism in Kenya are related. To be recruited as a police oﬃcer, you must “buy” the job. The best sons and daughters from peasants families who may make the best policemen and women cannot get the job. To join the police today you must bribe. The highest “bidder” has abetter chance of being recruited. Immediately after the new recruit starts working they will want to recoup the money they paid hence perpetuating corrupting. The level of corruption within our security oﬃcials is too high. The terrorists have money and our police want money - they must get returns of what they purchased for. The court was right when it stopped the 10,000 police recruits who said to been corruptly recruited. Terrorism is rampant in Kenya because we are too a corrupt a nation. Terrorism and graft sail together.

C A woman lights a candle next to 147 crosses representing the number of victims who died during the Garissa University College attack during a night of vigil at Freedom Corner in Nairobi on Tuesday. EVANS HABIL during emergencies. We would be able to organise ourselves and tackle disasters.

JUDY MUTHEU via email ****** he terrorist attacks in various parts of the country are worrying. Though our security forces are doing a lot to tame this threat, there is still a lot to be done to restore normalcy in our country. On the top of the list is unity among our various security agencies. From the look of things com-

petition among the security units has brought about animosity which leads to security lapses. My appeal to our security agents is that there is no limit to what can be accomplished if it matters less who gets the credit. There should be no blame game when it comes to an emergency as they gang up against a common enemy. At the end of the day, we are serving our beloved country. The government should consider motivating our security personnel owing to the risk attached to the nature of their job. I believe unity is

JUSTIN NKARANGA Mombasa

Duplication of roles in counties leads to a lot of wastage

ven without citing devolved rampant corruption, there is too much duplication of roles in the counties leading to money wastage. For instance why do we need county executives in the counties? Even if constitution

says we have these positions, governors can use common sense and ﬁnd the best possible way to avoid wastage and accord more money to development. Since counties are divided into small administrative units such as

wards, ward reps can be made in charge of all development in their areas. This way money being paid to county ministers would go to development. This would also lender the county development boards that are temporary and earns allowances

instead of salaries more relevant. There is so much money going to the counties, unfortunately most of it goes to paying salaries fully defeating the spirit and aspirations of devolution. MICHAEL K.M, Nairobi

Why we need mo≥e women in tech indust≥y AGATHA GIKUNDA TECHNOLOGY

aving celebrated women’s day on 8th March 2015, I remember almost two decades ago, when I moved from Nairobi to Vancouver to get my Bachelor’s degree in Engineering. I was one of only a handful of women in the computer engineering program. At my first job as an engineer at Nokia, I remember a time when there were only three women on the second floor of where more than 100 people worked. Those numbers have changed for the better, and we have celebrated the promotion of high-profile women to chief-executive positions at tech companies, but overall, the number of women remains less than stellar in science, technology, engineering and mathematics (STEM) education and careers. As more universities locally focus on getting more students to study STEM disciplines to prepare them for future jobs, we need to pay special attention to getting girls into those fields so we can have a shot at correcting gender imbalance in technology careers. In some markets such as Asia, academic excellence is not only expected but perceived as cool. Many girls enjoy a strong start in STEM education in schools and universities, but are slowed down later in life by societal pressures to prioritise family over professional advancement. Back home, in classrooms across Kenya and indeed most African countries, that drop-off occurs much sooner and has a domino effect -- quite simply, fewer girls choose to study in disciplines where they are the minority. Strong female role models, who can help young women discover their inner-geek cool, are important at this age. Those of us who have walked this path should mentor girls to show them the careers possible in the world of science and technology. On my own journey to senior executive ranks within Nokia and later Intel, I have had to find internal champions who advocated for my growth in a way that accommodated my personal needs. A good starting point is to learn to ask for what you need personally in order to do a great job professionally. Not only does this bring down barriers for other women in the workplace but, more importantly, it helps build a knowledge base of successful ways to address these life scenarios. As we look to change the conversation, and numbers, of women in technology, it is important to remember that long before employers ever interview women, you and I see them -- in our living rooms, classrooms, science-fair competitions, scholarship applications, workplace interns. It’s the girl who is a gadget fan but has never dreamed that she could build one herself. It’s the college student who wants to declare a major in engineering but hesitates over being the only woman in a class. By showing them what’s possible, we can all work to change the equation, one girl at a time. The writer is East Africa head at Intel Corporation

BUSINESS DAILY | Friday April 10, 2015

NEWS INDEPTH

Oxfam ofﬁcials during a demonstration to stop land grabs in Afric a in Tokyo. Oxfam staged a media stunt, calling on the World Bank to help stop investors from grabbing huge tracts of land in Africa amid spiking food prices. AFP

Sc≥amble fo≥ land by the ≥ich and powe≥ful leaves poo≥ Af≥icans homeless RESOURCE

Villagers displaced to pave the way for sugarcane plantations or development of buildings

here is a new scramble for Africa, with or- Zimbabwean rights activist, told IPS. “Land grabs dinary people facing displacement by the in Africa have helped to perpetuate economic inaffluent and the powerful as huge tracts of equalities similar to the colonial era economic land on the continent are grabbed by a minority, imbalances,” he added. In 2010, ZimOnline, a Zimbabwean news servrights activists here say. “Our forefathers cried foul during colonialism ice, reported that about 2,200 well-connected black when their land was grabbed by colonialists more Zimbabwean elites controlled nearly 40 per cent of than a century ago, but today history repeats itself, the 14 million hectares of land seized from white with our own political leaders and wealthy coun- farmers, with each farm ranging in size from 250 trymen looting land,” Claris Madhuku, director to 4,000 hectares, with Zimbabwean President of the Platform for Youth Development (PYD), a Robert Mugabe and his family said to own 14 farms spanning at least 16,000 hectares. democracy lobby group in Zimbabwe, told IPS. Further up in East Africa, according to a 2011 Civil society activist Owen Dliwayo, who is presentation by Uganda’s Joshua programme officer for the Youth Dialogue Action Network, another lobby Zake titled ‘‘Land Grabbing; silent pain for smallholder farmers group here, said multinational companies were to blame in most African To say Af≥ican in Uganda,’’ key characters of land countries for land seizures. grabbing in that country are also a nations like few wealthy or powerful individuals “I can give you an example of the Zimbabwe against many vulnerable individuals Chisumbanje ethanol fuel project in Chipinge. The project resulted in thouor communities. add≥essed the sands of villagers being displaced to Mr Zake is a senior programme land p≥oblem is pave way for a sugar plantation so that officer environment and natural unt≥ue thousands of hectares of land space resources and coordinator of the could be created for the ethanol-proUganda Forestry Working Group at TERRY MUTSAVANGA, ACTIVIST ducing project, consequently displacEnvironmental Alert. ing poor villagers,” Mr Dliwayo said. According to Mr Zake, land grabThe 40,000 hectare sugar cane plantation bing in Africa, particularly in Uganda, is promoted which started in 2008 left more than 1,754 house- by the suspected presence of oil and other mineral holds displaced, according to PYD. resources beneath the land, such as in Uganda’s Fifteen years ago, Zimbabwe embarked on a Amuru and Bulisa districts. controversial land reform programme to address Mr Zake’s remarks fit well with Zimbabwe’s colonial land-ownership imbalances, but activists situation, where more than 800 families were dishave dismissed the move as disastrous for this placed by government from Chiadzwa in Manicaland Province after the discovery of diamonds Southern African nation. “To say African nations like Zimbabwe ad- there in 2005. dressed the land problem is untrue because But land grabs in Africa may also be rampant land which African governments like Zimbabwe in towns and cities, according to private land degrabbed from white farmers was parcelled out to velopers here. political elites at the expense of hordes of peas“There is high demand of land for the construcants here,” Terry Mutsvanga, an award-winning tion of homes in towns and cities across Africa

In Beldenadji, Mali, a canal has been extended to irrigate land, part of an American aid initiative. Investors from both inside and outside of Africa have made deals to lease or buy land in a number of African nations. AFP

owing to the sharp rural-to-urban migration,” Etuna Nujoma, a private land developer based in Windhoek, the Namibian capital, told IPS. “The wealthy and the powerful as well as the corrupt politicians are taking advantage of the land demand and therefore often parcelling out urban land amongst themselves for resale at exorbitant prices at the expense of the poor.” Last year, irked by corrupt local authorities appearing to be dishing out land among themselves for resale, a group of informal settlement dwellers outside Namibia’s coastal holiday town of Swakopmund occupied municipal land with the intention of settling there. With land grabs at their peak in Zimbabwe, members of the ruling Zanu-PF party are measuring out land pieces which they then give to people who pay in the range of $10 to $20 (Sh924 to Sh1,849) for 30 to 50 square metres, depending on the areas in which they want to obtain housing stands, according to Andrew Nyanyadzi of Zanu-PF. “We don’t need permission from local authorities for us to have access to the land which our liberation war leaders fought for. It’s our land and we are therefore selling at aﬀordable prices to ruling party loyalists,” Mr Nyanyadzi said. Consequently, lobby groups in Zimbabwe say havoc rules supreme in the country’s towns and cities. “In Harare, land belonging to the city has been taken over by known militant groups of people with links to Zanu-PF, whom police here are even afraid to apprehend,” Precious Shumba, the director of Harare Residents Trust, said. “This is exactly what happened to Harare’s urban land in Hatcliﬀ high density area, where housing cooperatives belonging to the ruling

Friday April 10, 2015 | BUSINESS DAILY

NEWS INDEPTH A G R I C U LT U R E

REUTERS

US fa≥me≥s gamble with no fe≥tilise≥ as ea≥nings slide

Zanu-PF leaders have grabbed council land using their political power,” Mr Shumba said. However, like other countries across Africa, Zimbabwe’s local authority by-laws prohibit individuals or organisations from selling land that does not legally belong to them. Meanwhile, in Mozambique, the poor are losing out to foreign investors on land rights there despite the state being the sole owner of land. Under the country’s constitution, there is no private land ownership— land and its associated resources are the property of the state —although the country’s Land Law grants private persons the right to use and benefit from the land whether or not they have a formal title. However, loopholes have emerged in the law. A survey last year by Mozambique’s National Farmers’ Union showed that there was a colonial-era style land grab there, with politicallyconnected companies in the former Portuguese colony seizing hundreds of thousands of hectares of farmland from peasants. According to Grain, a non-profit organisation supporting small farmers and social movements in their struggles for community-controlled and biodiversity-based food systems, peasants in northern Mozambique have difficulties keeping their lands as foreign companies set up large-scale agribusinesses there. The NGO says Mozambicans are being told that these projects will bring them benefits, but this is not how Caesar Guebuza and other Mozambican peasants see it. “Agricultural investments by foreign companies have not benefited us, but rather we have lost land to these companies investing here and we are being treated as aliens in our own land,”

Mr Guebuza said. Economists blame the Mozambican government for favouring foreign investors, who now possess large swathes of State land. “The Mozambican government is known for siding with foreign investors who now occupy huge tracts of land for their own use as local peasants lose out on land, which is their birth right,” Kingston Nyakurukwa, a Zimbabwean independent economist, said. With foreign investors acquiring huge tracts of land ahead of locals in Africa, ActionAid Tanzania earlier this year said that through the European Union, US and several European countries, the European Union’s New Alliance for Food Security and Nutrition plans to invest 7.57 billion euros in agricultural development and food security across Africa. However, said Mr Nyakurukwa, these will be business ventures that will strip Africans of their hard-earned money as they buy agricultural produce. Similarly, in Nigeria, Mozambique and Tanzania, smallholder farmers are being moved off their land, paving the way for sugarcane, rice and other export crop-growing projects backed by New Alliance money, according to ActionAid Tanzania’s findings. For Africans in Tanzania, big money might be gradually rendering them landless. “Money from investors seem to be elbowing us out of our native lands here in Tanzania as no one has been offered the choice of whether to be resettled or not as we are being forcibly offered money or land for resettlement,” Moses Malunguja, a disgruntled peasant farmer said. -INTER PRESS SERVICE

Bracing for their leanest season in eight years, US farmers are skimping on everything from machinery to fertilisers, betting that they can go down-market and yet maintain crop production and quality. The belt-tightening has already squeezed sales of suppliers, and farming experts warn the gamble can backfire: less robust crop protection and less resilient seeds combined with some rough weather could hurt crops this year and beyond. Jon Sparks, who farms 1,400 acres in eastern Indiana, is scrambling to cut costs wherever he can: buying cheaper seeds, using less fertiliser, and hoping his farm equipment will not break down this year. Mr Sparks is not alone as farmers nationwide are scrutinising every expense. After four years of bumper crops and earnings, grain prices are plummeting and the US Department of Agriculture forecasts this growing season to be the least profitable since 2007. Across the nation’s Midwestern corn belt, new farm equipment sales are down, seed salesmen from Monsanto and DuPont Pioneer talk of a slump in business and fertiliser suppliers Mosaic and Potash Corp are reporting lower sales volumes for some products. How such cutbacks, which have intensified since last autumn’s record harvest, will affect grain production is not yet clear, but the risks are considerable. Right now, weather forecasts are largely favourable for US grains this summer. Yet as any forecasts, they come with a degree of uncertainty. If the weather turns foul, say agronomists, corn and soybean yields could drop 20 per cent or more if growers skip disease or insect treatments to save money. The US is the world’s top soybeans and corn producer and a major exporter, so any dent in output would ripple through global markets. It could also hurt US cattle and hog producers, who use corn and soybeans as feed. “Whether it is new equipment, fertilizer or other inputs such as fungicide, growers are reevaluating every one of those decisions this year, probably at a higher level than they have in the past,” Tom Eickhoff, corn agronomic systems lead for Monsanto, one of the biggest seed makers, told Reuters.

It is too early to gauge how deep the farm spending cuts are, but the squeeze to suppliers’ profits and sales gives some sense of the scale of the belt-tightening. Deere & Co, the world’s largest farm equipment maker, reported a 43 percent drop in profit in its first quarter to Jan. 31 and has already laid off 1,500 plant workers in Iowa, Illinois and Kansas, and furloughed another 500. New equipment is “a convenience more than a necessity right now,” said Mr Sparks. Other cuts involve some risk-taking. Sparks is planting corn seed without genetic resistance to rootworms in some of his fields this year because they lie outside the “hot zone” for the pest the USDA estimates causes $800 million of losses each year. Monsanto last week reported a 10 percent drop in seed sales in its second quarter to Feb. 28, with corn seed sales, its biggest revenue generator, down 15 per cent.

Balancing act A USDA report confirmed that US farmers are planning to devote the least acres to corn in five years this season, switching to cheaper soybeans that require less fertiliser. Meanwhile, more farmers than usual are passing on Monsanto’s newly launched, and most expensive, corn hybrids in favour of slightly older and cheaper ones, the company said. The biotech giant is cutting its seed production plans. Company officials told Reuters their contracted farmers will plant less seed corn this summer for use in the 2016 season, but declined to discuss the matter in detail. DuPont Pioneer, which reports quarterly results later this month, said the shift away from corn planting is hurting demand for some of its bug-battling hybrids, but offered no further details on seed sales. Choices made today will affect farmers until next season as they are trying to strike a balance between costs and crop quality and protection. Planting a less resilient seed or too much of a single variety can amplify crop losses if there is a spell of poor weather, or an insect or disease outbreak. Skimping on fertiliser saves money, but also can reduce crop yields.

US President Barack Obama inspects corn with farmer Roger McIntosh in Missouri Valley, Iowa. US farmers are skimping on everything from machinery to fertilisers .AFP

BUSINESS DAILY | Friday April 10, 2015

REGIONAL NEWS TERRORISM Fears are now emerging that a campaign against militants may spiral into repression

CAPE TOWN

Tunisia t≥eads line between secu≥ity, f≥eedom afte≥ ≥aid lawmakers yield to public opinion. Soon after Islamist militants gunned In poor Tunis quarters, some relidown 21 foreign tourists in Tunisia’s giously conservative young men say Bardo museum last month, newsthey are shaving off their beards, eschewing traditional gowns and limitpaper columnists, radio hosts and ing mosque visits to avoid harassment politicians swiftly called for a merfrom police who they fear will sweep ciless crackdown to save their young up anyone who even looks militant. democracy. In the cafes and mosques “The atmosphere has of working-class Tunis, changed. I shaved off my beard because I don’t fears are now emerging want to be watched by that a campaign against The≥e a≥e a lot the police,” said Moez, a militants may a spiral into of const≥aints repression like the old days religiously conservaof Tunisia’s police state beon ≥ights in this tive salesman. “Even I am against terrorism or fore the freedoms won in a atmosphe≥e of any extremism that dam2011 revolt. ange≥ afte≥ the ages Islam’s image.” Tunisia has since been Four years after its reheld up as a model of demattack ocratic transition, the only YAMINA ZOGLAMI, LAWMAKER volt, Tunisia is unlikely to slide back to the days country where an uprising of Ben Ali’s oppressive during what came to be known as the “Arab Spring” did not end state. It has free elections, a new conin large scale violence or civil war. stitution and a political environment But last month’s attack is testing Tuthat sees compromise deal-making nisia’s tricky balance between security between secular and Islamist politiand the new liberties since the revolt, cians. which ousted long-running autocrat But the Bardo attack complicates already tricky questions over religious Zine El-Abidine Ben Ali. freedom in one of the Arab world’s Lawyers, opposition leaders and rights campaigners say they have seen most secular nations, where liberal more arbitrary arrests and police harlifestyles often sit uneasily alongside a assment, and worry a proposed antistrain of conservative Salafist Islam. terror law will roll back freedoms as “There are a lot of constraints on

South Africa university removes statue of Rhodes South Africa’s University of Cape Town decided on Wednesday to remove a contentious statue of British imperialist Cecil John Rhodes which has triggered protests from students over the past month. The statue of a seated Rhodes overlooking the main rugby fields of the university, one of Africa’s top academic institutions, has been covered up for the past few weeks as students, both whites and blacks, regularly marched past with placards calling for its removal. They insist the statue, unveiled in 1934, is a symbol of the institutional racism , Tunisian policemen in plainclothes stop a vehicle as security forces secure the area after gunmen attacked Tunis’ famed Bardo Museum on March 18, 2015. AFP rights in this atmosphere of anger after the attacks,” said Yamina Zoglami, a lawmaker from the moderate Islamist party Ennahda. “Yes, Tunisia has been hit hard, but we can’t let that hurt our rights and freedoms.” Since its transition to democracy, Tunisia has been praised by the West as a symbol of democratic hope for a region where other “Arab Spring” nations are caught up in division, intolerance and outright war. But the small North African state has also struggled to define the role of Islam in politics, especially with the rise of ultra-conservative Islamist and Salafist groups who emerged with the new freedoms. Security is key for Tunisia’s vital tourism industry. Prime Minister Hadid Essib told parliament this week authorities would increase their campaign to take back mosques controlled by extremists who the government blames for helping recruit young men into militant groups. “We respect freedoms, this is not

about falling into a police state,” President Beji Caid Essebsi told Le Monde newspaper. “But when someone comes to kill you, and kill those around you, you have a state of legitimate defense.” Human rights groups are worried. “All these declarations are quite disturbing,” Amna Guellali director of the Human Rights Watch Tunisia. “There will be some fallout in widening the net of arrests, we don’t know whether this goes beyond that yet.” One immediate concern is the newly proposed anti-terrorism law that will be debated in the national Human Rights Watch has urged the government to revise the draft. The rights group said the bill allows police to hold detainees for up to 15 days before they go before a judge. It also has a broad deﬁnition of “terrorist” activity, opening the way for abuses. -REUTERS

IMF says Rwanda economy to expand by 6.5pc this yea≥ Rwanda’s economy is expected to grow by 6.5 per cent this year from 7.0 per cent in 2014, while inflation will remain contained, the International Monetary Fund said on Thursday. Rwanda’s government has said last year’s economic growth was buoyed by robust expansion in farming, services and industrial sectors, rising from 4.6 per cent in the previous year. The east African nation’s 2013 growth suffered from cuts in budgetary support by donors, after United Nations monitors accused it of backing rebels in the neighbouring Democratic Republic of Congo. Rwanda rejected the claims. The IMF however said Rwanda’s revenue collection and exports remained below the government’s target. “The two aspects that were not so positive were the revenue mobilisation effort by the government, which was

Mr Paul Kagame, Rwanda President. AFP

below what the government wanted it to be, and export performance,” the IMF Mission chief Paulo Drummond told Reuters in Kigali after a visit to review the country’s economy. “Looking at 2015 we think the outlook is quite stable. The economy will beneﬁt from lower oil prices. It’s an oil

BRIEFING

importing country. We expect growth in 2015 to be 6.5 percent.” Drummond said inflation would remain low this year. “We expect inflation by the end of the year to remain low... we are thinking about around 3.5 percent,” he said.Rwanda has said inflation is not expected to exceed 3.5 per cent by the end of 2015. Urban inflation, the main rate the bank watches for monetary policy purposes, stood at 0.7 per cent in February from 1.4 per cent in the previous month. Rwanda is among the economies in the region that investors have hailed for solid fundamentals, including low debt and inflation. It sold $400 million in a heavily subscribed debut Eurobond in 2013. The growth rate averaged 8.2 percent from 2006 to 2012 in the landlocked state that has become a favourite with international investors two decades after the 1994

genocide. Meanwhile, Rwandan rebels in eastern Democratic Republic of Congo killed around 10 soldiers in an ambush this week, the insurgents’ deadliest attack since the start of a military campaign against them in February. Amilitary source, who asked not to be identiﬁed, said that two colonels were among those killed and several other soldiers were injured in the attack by the Democratic Forces for the Liberation of Rwanda (FDLR). The ambush took place on Monday in the Masisi region of north Kivu province, he said. The FDLR, a Hutu force of some 1,400 ﬁghters, includes soldiers and militiamen involved in neighbouring Rwanda’s genocide in 1994. It has embedded itself in the communities of eastern Congo, a region plagued by dozens of armed groups. -REUTERS

OSLO Norfund to raise investments in Africa’s power sector Norway’s state-owned development fund, Norfund, plans to double or even triple its investments in sub-Saharan Africa’s power sector by 2020, its managing director said . Norfund is developing hydropower in subSaharan Africa in partnership with Norway’s power group Statkraft, and has teamed up with Britain’s development fund CDC to invest in Globeleq Africa, a power company with an ambition to add 5,000 megawatt of new capacity. “We expect to double or even to triple the capital invested in Africa by 2020, depending on the projects,” said Kjell Roland.

LUSAKA Zambia Cabinet to present changes to mining royalties Zambia’s cabinet will table changes to mining royalties on Monday after the finance and mines ministers proposed the amendments, the president’s spokesman said on Thursday. Zambian President Edgar Lungu last month directed the finance and mining ministers to change royalties on mining firms by April 8, saying the copper-producer could consider temporarily reverting to the tax regime in 2014. “The technical committee has finished looking at the proposals from the ministers of finance and mines. Cabinet will table the proposed changes on Monday,” presidential spokesman Amos Chanda told Reuters. The decision has rattled foreign mining firms in Africa’s second-largest copper producer.

PRETORIA Mugabe defends State’s mine ownership plan Zimbabwe’s President Robert Mugabe has defended his government’s drive to take majority control of foreign-owned companies, saying investors must pay for exploiting Africa’s mineral wealth. In his first state visit to neighbouring South Africa in two decades, Mugabe was also defiant on Zimbabwe’s seizure of white owned commercial farms for redistribution to blacks. Land is also an emotive issue in South Africa, where most of it remains in white hands since apartheid ended two decades ago. The veteran leader, in power since independence from Britain in 1980, has approved a law obliging foreign-owned firmsto sell at least 51 percent of ownership to black Zimbabweans

Friday April 10, 2015 | BUSINESS DAILY

Business Of B≥ands

EXPANSION

p.17 p.18 SPONSORSHIP Primary schools

Scratch cards maker Sintel targets new regional markets

p.18

games event gets Sh5m Nestlé boost

FRIDAY, APRIL 10, 2015

ANNIVERSARY

Procter & Gamble marks decade of delivering water to Kenyans

Kenyan banks emb≥ace sustainability p≥inciples fo≥ g≥eate≥ p≥oﬁt ma≥gins

THE BIG STORY

FINANCE>> Studies show that incorporate

sustainability are more proﬁtable and KBA reckons new principles will ensure economic viability BY BOB KOIGI

he banking sector in Kenya has embraced new principles of sustainability to guide its operations beyond financial and to include social and environmental impact, in a first marketled industry wide initiative of its kind in Africa. Adopted by the bankers’ umbrella body, the Kenya Bankers Association (KBA), the principles dubbed Sustainable Finance Initiative (SFI), are in line with international best practices, and now form the industry minimum standard. The principles are also relevant to financial institutions in general and responsive to individual risk policies. The guiding principles lay out the balancing of financial returns with economic viability, calling on the financial institutions to consider both financial returns and the economic viability of their financing activities. Their growth will now be characterised by inclusivity and innovation

with financial sector players seeking to grow and enhance service delivery for the markets they currently serve, as well as reach out into diversified markets with economic potential, thereby fostering financial deepening among others. “Economic viability is vital, but the time has come for the financial services sector in Kenya and the region to adopt and implement a more inclusive decision making model that also factors in variables such as environmental impact and social capital in the overall finance equation,” said KBA Chief Executive Officer, Mr Habil Olaka. “In my view, the Sustainable Finance Initiative is not only one of the most noble, but also necessary, innovations we have undertaken as the banking industry, because economic development, social wellbeing and environmental protection

are matters that concern any global citizen, and every commercial entity,” said Mr Joshua Oigara the CEO of the Kenya Commercial Bank (KCB) said during an event where KBA members adopted the principles. The bank he leads, he said has already invested in such principles through sustainable reporting, which has borne rapid fruits. As ﬁrst bank to embrace sustainable reporting in 2008, KCB has since been guided by the three Ps of People, Planet and Proﬁt in its ventures which spans capacity building, responsible lending, energy reduction, ethics and integrity, environmental impact and employee development, among other pillars. A 2013 report indicated that the bank has trained 1,500 of its employees on environmental and social risk assessment and the KCB green agenda, sponsored 10 paediatric kidney transplants, invested Sh600m in com-

Kenya Banker Association chief executive ofﬁcer (CEO) Habil Olaka (left) and Kenya Commercial Bank CEO Joshua Oigara. SALATON NJAU

munity buildings since 2007, and donated 750 solar lamps to school children to assist them in studying at night. Mr Oigara said the industry’s adoption of the Sustainable Finance Principles demonstrates that apart from deepening financial inclusion and contributing towards sustainable economic growth, the financial sector, and banks in particular, are also concerned about the other challenges that Africa currently faces in the areas of climate change and environmental degradation, social exclusion and resource scarcity. As the Kenyan banking industry turns to balancing financial figures with concern for social and environmental causes, studies worldwide show that the extent to which a company incorporates sustainability concerns into its business model often correlates with its increases in profit. -AFRICAN LAUGHTER

BRIEFING Nairobi

Washington

EA digital marketing summit opens in city

US names varsities for 2015 fellowships

The inaugural East Africa Digital Marketing Summit and Show, a business-to-business event that brings together suppliers of digital marketing material and customers, opened yesterday at the KICC, Nairobi. The The event features some of the most respected personalities in the digital, communication and marketing industries giving talks on selected topics in a series of 8 sessions ends today.

The US Department of State has announced the U.S. colleges and universities that have been selected to host the 2015 Mandela Washington Fellowship for Young African Leaders this summer. The Fellowship is the ﬂagship programme of the President’s Young African Leaders Initiative. It empowers young African leaders through academic coursework, leadership training, mentoring, networking, professional opportunities.

Nairobi

Mike Odhiambo and his wife Sellah Shisoni who emerged the winners of the KCB Draw for Zero campaign at Kencom House in Nairobi on Wednesday.

Zurich

Seoul

Lafarge veteran to head cement group

Samsung struggles to meet demand

Lafarge and Holcim have picked Lafarge insider Eric Olsen as chief executive of their combined company, potentially opening the way for the two cement groups to clinch their $40 billion merger, if shareholders back it next month. Olsen, a 16-year veteran at Paris-based Lafarge, will take on the challenge of knitting together the two companies to deliver a promised $1.50 billion in cost savings.

Samsung Electronics Co Ltd expects record shipments for its new Galaxy S6 smartphones and said it will struggle to meet demand for the curved-edged version due to production constraints, adding to hopes for a turnaround in mobile sales. The S6 models are widely expected to sell briskly following a string of positive reviews, boosting prospects for an earnings recovery in 2015.

BUSINESS DAILY | Friday April 10, 2015

Friday April 10, 2015 | BUSINESS DAILY

CORPORATE SCENE

TRENDS IN THE PR INDUSTRY

Sc≥atch ca≥ds make≥ Sintel ta≥gets new ≥egional ma≥kets

MARKETING SPEND Marketers are spending more money on PR relative to other marketing disciplines. GLOBAL LAT UK W EU E EU

and cheque books for banks from Thika factory

Kenya Civil Aviation Authority’s outgoing board chairman Samuel Poghisio (left), director Raphael Nzomo (centre) and acting directorgeneral Joseph Chebungei during a luncheon in Nairobi to update the media on its activities and to send off directors whose terms ended on Tuesday. SALATON NJAU

From left: Samsung Electronics East Africa GM consumer electronics Allan Oyier ( left), vicepresident and COO Robert Ngeru and Industrialisation secretary Adan Mohamed during the launch of Samsung’ s latest air conditioners at the Norfolk Hotel in Nairobi on Tuesday. SALATON NJAU

AUST ASIA

BY BOB KOIGI

ecurity print solutions and producer of prepaid scratch cards for telcos, Sintel, has announced plans to increase its market beyond Kenya and East Africa as it positions itself as the market leader in providing specialised solutions to counterfeiting that costs the region Sh42 billion a year. The company that services 45 per cent of the Kenyan scratch card market from its 6.5 acre high security factory, last year became the first in East Africa and across all industries to be accredited with ISO 27001:2013, the most recent international standard for information security management. This demonstrates to clients their implementation of the highest level of security processes. It is a management standard, and looks at information security from a comprehensive view, taking into account employees, processes and technology. “At Sintel we are resolute in our commitment of providing top quality products and services at competitive prices, adding value to our customers’ businesses. We attribute our success to our staff, who we thank for their great loyalty and integrity. We are now ready to put Sintel Security Print Solutions on the global map,” Bipin Vora, chief executive officer and chairman said. The company predominantly prints scratch cards for Safaricom and Orange.

Activating printed scratch cards is done by mobile phone operators while outsourced companies mainly design, print and supply them according to specifications including serial numbers. The company has also been involved in smart card specialisation and SIM card packaging and has diversified into printing cheque books targeting local lenders after realising the limited number of suppliers in the business. While Britain’s De la Rue was for a long time the main printer of Kenyan currency and cheque books, as a Kenyan company, Sintel has now successfully moved into the area and now prints cheque books for six banks. Initially, Sintel used to print the cheque books in the UK, but has since bought machines and now does the job locally. The company, which now employs 150 staff near Thika following its set up just five years ago, is now setting its eyes on the production of highly sensitive documents with variable data and enhanced security features. Through its anti-counterfeit research and development team, the company has established a niche in designing bespoke solutions targeting telcos, financial, commercial, manufacturing and educational sectors that have been reeling from the proliferation of contrabands in the market. Kenya is ranked among the largest markets for counterfeit goods in East Africa, and serves as the distribution point to the region

M EA OUT OF 10

2014 2013

6.2 5.6 6.5 6.3 5.9 6.6 6.5 5.8 5.9 5.4 5.5 4.8 6.3 5.8 6.6 5.1 6 5.2

GROWTH Firm prints Safaricom, Orange cards From left: Mater Heart Run beneﬁciaries Trizza Achieng, Eunice Akinyi and Brian Wachira during the launch of the 15th edition of the run at Intercontinental Hotel in Nairobi yesterday. The event supports the rising number of children between the ages of ﬁve to 15 years living with heart conditions. The run organised by The Mater Hospital aims to raise Sh70 million and operate up to 250 children . COURTESY

HIGH

6.6 Asia

LOW

5.5 Eastern Europe

TALENT There is plentiful supply of intelligent welleducated talent in this market.

PHOTO/ COURTESY COURTESY The Sintel Factory in Thika . PHOTO/

GLOBAL according to a manual developed by the Kenya Association of Manufacturers, the Judiciary and other interested partners. The manual which indicated the largest sources of contraband goods are China and India paints a grim picture of the extent to which the trade into counterfeits has grown, now rivalling prime foreign exchange earners like coﬀee, tea and tourism. In the region, it is estimated that counterfeit products cost East African governments more than $500 million in lost tax revenue annually. According to KAM’s report, East Africa loses about $500 million or Sh42.7 billion, every year on counterfeit goods. The losses for Nairobi are believed to be a large percentage of this. “Pharmaceuticals form a bulk of the list with estimates revealing that more than 30 per cent of the total medicines sold in Kenya are counterfeit, and that about 40 per cent of all malaria drugs in the Kenyan market are counterfeits that may be harmful to users,” said the

report.This, the report says, has far reaching health implications on consumers and cannot be ignored, as they range from the upsurge of new illnesses to the non-curing or deterioration of illnesses and even death. Most of the medicines are counterfeit, expired or concoctions without any active medical ingredients. According to the International Medical Products Anti-Counterfeiting (Impac) Taskforce, the concoctions contain rat poison, mercury, lead, boric acid, paints, brick dust, ﬂoor wax and other life-threatening foreign bodies. Such poisons cause kidney failure, cancer, developmental defects, strokes, high blood pressure and other health complications. The situation has serious ripple eﬀects to the region since 60 per cent to 65 per cent of Kenya’s drugs and imports are re-exported to the East African Community (EAC) and Common Market for East and Central Africa (Comesa).

Sintel believes it can help pharmaceutical manufacturers tackle this worrying problem by providing solutions such as intelligent security seals and QR codes that can trace product authenticity. In banking fraud out of the $9.4 million stolen from banks in the first half of last year, $6.2 million was lost through cheque fraud, according to data from the Banking Fraud Investigations Department (BFID), a division of the Central Bank . According to Deloitte, cash theft, cheque fraud and asset misappropriation remain the three main avenues of fraud affecting the region. “Sintel is a fiercely proactive company, our R&D department is fully equipped to meet the requirements of a lively market. With this reactiveness we pride ourselves on being a preferred solutions provider and an ideal business partner in the fight against counterfeit products,” said Niraj Shah, chief commercial officer. -AFRICAN LAUGHTER

6 6.1 6.4 6.2 6.9 5.8 5.8 5.9 6.4 6.5 5.4 5.9 5.9 5.8 5.9 5 5.8 5

NA LAT UK W EU E EU AUST ASIA M EA OUT OF 10

HIGH

6.9 Latin Ametica

LOW

6.4 Eastern Europe

NON-TRADITIONAL SERVICES Clients in this market are willing to turn to PR ﬁrms to provide non-traditional services. GLOBAL

7 7 7.5 7.6 7.7 7.9 7.5 7.8 6.7 6.8 7 6.8 6.9 7.5 7.4 6.4 7 6.3

NA LAT UK W EU E EU AUST ASIA M EA OUT OF 10

HIGH

7.7 Latin Ametica

LOW

6.7 Western Europe

OPTIMISM There is optimism about the growth of public relations market here. GLOBAL

7.7 7.5 8.5 8.1 8.7 8.2 7.8 7.3 7.3 6.7 6.9 7.3 7.9 7.5 8.4 7.9 7.9 7.4

NA LAT UK W EU E EU AUST From left: East Africa Digital Summit and Fair founder Martin Muli, media practitioner David Ohito, director of digital communications in the Ofﬁce of the President Dennis Itumbi and Marketing Society of Kenya CEO Waithera Ng’ang’a during the inaugural East Africa Digital Marketing Summit and Show at the KICC in Nairobi yesterday. The event brings together suppliers of digital marketing materials and customers . COURTESY

ASIA M EA OUT OF 10

HIGH

8.7 Latin Ametica

LOW

6.9 Eastern Europe

SOURCE: WORLD PR REPORT | GRAPHIC MILLIE WACHIRA

BUSINESS DAILY | Friday April 10, 2015

Friday April 10, 2015 | BUSINESS DAILY

CORPORATE SCENE

TRENDS IN THE PR INDUSTRY

Sc≥atch ca≥ds make≥ Sintel ta≥gets new ≥egional ma≥kets

MARKETING SPEND Marketers are spending more money on PR relative to other marketing disciplines. GLOBAL LAT UK W EU E EU

and cheque books for banks from Thika factory

AUST ASIA

BY BOB KOIGI

M EA OUT OF 10

2014 2013

6.2 5.6 6.5 6.3 5.9 6.6 6.5 5.8 5.9 5.4 5.5 4.8 6.3 5.8 6.6 5.1 6 5.2

HIGH

6.6 Asia

LOW

5.5 Eastern Europe

TALENT There is plentiful supply of intelligent welleducated talent in this market.

PHOTO/ COURTESY COURTESY The Sintel Factory in Thika . PHOTO/

6 6.1 6.4 6.2 6.9 5.8 5.8 5.9 6.4 6.5 5.4 5.9 5.9 5.8 5.9 5 5.8 5

NA LAT UK W EU E EU AUST ASIA M EA OUT OF 10

HIGH

6.9 Latin Ametica

LOW

6.4 Eastern Europe

NON-TRADITIONAL SERVICES Clients in this market are willing to turn to PR ﬁrms to provide non-traditional services. GLOBAL

7 7 7.5 7.6 7.7 7.9 7.5 7.8 6.7 6.8 7 6.8 6.9 7.5 7.4 6.4 7 6.3

NA LAT UK W EU E EU AUST ASIA M EA OUT OF 10

HIGH

7.7 Latin Ametica

LOW

6.7 Western Europe

OPTIMISM There is optimism about the growth of public relations market here. GLOBAL

7.7 7.5 8.5 8.1 8.7 8.2 7.8 7.3 7.3 6.7 6.9 7.3 7.9 7.5 8.4 7.9 7.9 7.4

ASIA M EA OUT OF 10

HIGH

8.7 Latin Ametica

LOW

6.9 Eastern Europe

SOURCE: WORLD PR REPORT | GRAPHIC MILLIE WACHIRA

BUSINESS DAILY | Friday April 10, 2015

P≥ima≥y schools games event gets Sh5m Nestlé boost

Procter & Gamble marks decade of delivering water to Kenyans

SPONSORSHIP Money to go towards ﬁnals of

ball games and gymnastics held in Machakos BY BOB KOIGI

estlé Kenya, through its MILO brand, has donated Sh5 million to the Primary Schools’ Ball Games and Gymnastics national ﬁnals being held in Machakos. The money will go towards providing participating teams sports kits, balls, trophies, medals and certiﬁcates. “I am pleased to announce our MILO support in 2015 of up to Sh5 million,” said Ciru Miring’u, Nestlé Kenya MD. The sponsorship, in partnership with the Ministry of Education and the Kenya Primary Schools Sports Association, is in line with the brand’s commitment to supporting sporting activities, Ms Miring’u said. “In 2014,

we additionally sponsored about 20 young boys to attend the MILO Soccer Championship in Nigeria while another 18 were sponsored in both 2010 and 2011 to South Africa and Ghana respectively. In addition to the money, Nestlé Kenya will give a MILO-branded cup to each of the more than 1,200 pupils and 200 oﬃcials who are attending the event. According to the Education ministry, hundreds of children join national schools every year because of their sporting talents. “The Government has enabled all children in primary schools to take part in co-curricular activities,’’ said Ministry of Education PS Richard Belio Kipsang. -AFRICAN LAUGHTER

P&G ofﬁcials display Always sanitary pads at a past event. The ﬁrm says it has delivered 750 million litres of clean drinking water to Kenyans. SALATON NJAU BY BOB KOIGI

Procter & Gamble (P&G), makers of popular brands such as Pampers, Always and Ariel, is marking a decade of providing clean water to Kenyans. “In Kenya alone P&G has delivered 750 million litres of clean drinking water and invested more than Sh500 million in the programme,” said P&G ofﬁcial Irene Mwathi-Miheso. P&G runs the Children’s Safe Drinking Water (CSDW) programme. The project works closely with local NGO Safe Water and Aids Programme

(SWAP). Ms Rose Akoth of Bondo, Siaya County, was trained by Children’s Safe Drinking Water’s partner SWAP about the importance of clean drinking water. She learned how water puriﬁer sachets help get rid of water-borne diseases and decided to start selling the sachets and other treatment options while providing health information. Ms Akoth is now an entrepreneur and an active community health promoter. “The idea of (supplying and treating) billions of litres of water can be hard to comprehend, but when you meet the people whose lives have been changed

by clean drinking water you understand just how important it is that we continue to invest in the future of Kenya through this programme and brands like Always, Ariel and Pampers,” said Mrs Mwathi-Miheso. P&G also partnered with CARE Kenya to share clean drinking water with 13year-old Boniface Otieno, a P&G ambassador, and his family. Master Otieno teaches fellow students at his school in Bondo to use the P&G water puriﬁer sachet and the importance of washing hands as well as proper sanitation. Through the support of P&G and CARE Kenya, children like Otieno become agents of change who take what they learn at school back home to transform the health and lives of their communities. P&G provides clean drinking water in Kenya, Guatemala and Pakistan through the powder technology — which kills deadly viruses and bacteria and removes dirt, parasites and other pollutants — making contaminated water clean and drinkable. Working with Population Services International, CARE, ChildFund, Save the Children, World Vision, and others; P&G also supports disaster relief around the world. - AFRICAN LAUGHTER

Friday April 10, 2015 | BUSINESS DAILY

MONEY & MARKETS NEWS I REVIEWS I ANALYSIS

Fanisi Capital buys stake in Nai≥obi pizza-make≥ Eu≥opean Foods Af≥ica

BY GEOFFREY IRUNGU

ACQUISITION Investment is the second

by the fund in a Kenyan food processors BY JOHN GACHIRI

Fanisi Capital has invested in Nairobibased pizza-maker European Foods Africa Ltd (EFAL) as private equity firms increasingly target the growing middle class’ appetite for processed foods. This is the second such investment by Fanisi in the last few months. The firm invested both debt and equity but a breakdown was not disclosed. EFAL, maker of Dr Oetker pizza, said it will use the Sh193.2 million ($2.1 million) to expand processing and distribution of frozen pizzas and whole berries and fresh berry beverages to supermarkets, grocery chains and restaurants in Nairobi and Mombasa counties. “Fanisi’s support and resources will drive the business to differentiate its brand through quality frozen

products, oﬀering a stable and reliable cold chain system,” said EFAL chief executive Stephan Belzer. The funding will also go towards strengthening the company’s operational systems and ensuring stability. The food processor is looking at expanding its business to the East African market whose combined population is forecast to hit 290 million in the next four years. EFAL, though, targets a niche market and Fanisi said this is one of the main attractiveness of its business model. “We are supporting a strong entrepreneur who has developed a good understanding of the evolving local consumer preferences over several years and has identiﬁed a niche product whose demand continues to grow,” said Fanisi managing partner Tony Wainaina. The investment in EFAL is

An attendant displays the Dr Oetker product line of frozen pizzas marketed and distributed across Kenyan supermarkets by European Foods Africa Ltd. COURTESY the second by Fanisi in a Kenyan food processor following the Sh221 million funding of Ngare Narok Meat Industries Ltd in exchange for a 40.15 per cent stake in late 2014. The Laikipia-based ﬁrm operates a modern slaughterhouse, meat processing and rendering plant that also targets the high-end market. The other food processing company that Fanisi

has invested in is ProDev Group Holdings, a Rwanda-based ﬂour milling and distribution company. Fanisi typically invests between $50,000 (Sh4.6 million) and $15 million (Sh1.38 billion) in companies for periods of between three and six years through its $50 million (Sh4.6 billion) fund. jgachiri@ke.nationmedia.com

T≥easu≥y ≥aises Sh24 billion f≥om 12-yea≥ ≥eopened bond BY CHARLES MWANIKI

The 12-year Sh25 billion infrastructure bond tap sale (reopening) has raised Sh24 billion, meaning the Treasury has achieved its target of netting Sh50 billion from the issue. All the subscriptions to the bond were accepted and allotted at the same ﬁxed yield rate of 11.55 per cent like in the ﬁrst sale of the bond. The initial sale of the infrastructure bond done in the last week of March was oversubscribed 106 per cent, attracting 1,101 bids worth Sh51.6 billion. Some 823 bids worth Sh25.7 billion were accepted, with the government then moving fast to secure the extra demand through reopening the sales from April 1 to April 8. The infrastructure bond is meant to fund medium and long-term projects in the transport and energy sectors. There has been high demand for government primary issues, with the auctions for the 182-day and 364-day Treasury Bills worth Sh7 billion this week attracting bids amounting to Sh12.2 billion at 10.24 and 10.56 per cent in yield respectively. This happened even as the sale took place simultaneously with the infrastructure bond, which has in the past been seen to divert investor demand away from the

NSE ≥eco≥ds low bonds t≥ade in Ma≥ch

short-term securities sold concurrently. The sale of the infrastructure bond was expected to strengthen the shilling in the short term by attracting foreign inflows, as well as mopping up some of the liquidity in the market. “Whether or not the infrastructure bond tap sale helps the shilling will depend on foreign investor uptake. If they take up a significant portion then we expect good inflows. However we must also consider the fact that local commercial banks, pension funds and other institutional investors also bid for the paper,” said Bank of Africa dealer Robert Gatobu. In terms of mopping up excess liquidity, Mr Gatobu said the effect of the bond will depend on the maturity redemptions lined up for this month, which eventually determine how much of additional government borrowing can be classified as ‘new borrowing’. The shilling has been edging towards the 93 level this week, even as CBK moved into the market with dollar sales to check volatility as it nears yet another key psychological level. Dealers said the shilling weakened slightly yesterday to 92.75/85 units to the dollar having opened the day at 92.70/80.

The bond market at the Nairobi Securities Exchange (NSE) saw a lower turnover last month with investors diverting cash into the 12-year Sh25 billion infrastructure bond. Bonds worth Sh41.5 billion traded, down 5.7 per cent from previous month. In February, the turnover stood at Sh44 billion but in March there was focus on the primary 12-year infrastructure bond where investors put in bids of nearly Sh52 billion. Many investors spared liquidity for the bond rather than seek deals in the secondary market. The bond was hugely oversubscribed as it is tax-free with a provision for a partial principal redemption (repayment) during its life. “People held back on trading in the secondary market because they were sparing liquidity to participate in the infrastructure bond,” said Alexander Muiruri, head of sales and research at Nairobi-based brokerage house Kestrel Capital.

High trading Mr Dawood Rawat whose Bramer Banking Corporation in Mauritius has been linked to Ponzi scheme. FILE

B≥itam stock unfazed by la≥gest owne≥’s link to a Ponzi scheme BY GEOFFREY IRUNGU

British American Investments (Britam) share has largely shrugged oﬀ news of its largest shareholder being embroiled in a Ponzi scandal in Mauritius. Yesterday the share traded at an average Sh25.25 down just 75 cents compared to the average price last Thursday when the scandal broke. The marginal fall in price could also have been caused by the fact that the company closed the books for the payment of a 30 cent dividend on April 3. Payment of the dividend is scheduled for April 30. Investors appeared to have been calmed by a notice put out by

the Britam management stating it was completely separate from Bramer Banking Corporation, which was accused by Mauritian authorities of involvement in a pyramid or Ponzi scheme. The bank is owned by Dawood Rawat who is the single largest shareholder at Britam with over 20 per cent stake. A Ponzi scheme involves promise to pay unrealistically high returns for cash investment with new members paying for the older ones until it becomes impossible to pay anyone as no new people join in. Those who have paid into the scheme lose their cash. The Mauritian government will nationalise the bank after its licence was withdrawn .

Despite the high liquidity shown by the market in the subscription of the 12-year bond, the yield actually went up by 0.293 points, as the previous similar bond had been issued at a yield of 11.263 per cent. According to Kestrel Capital data, the most traded bonds in the month were the 10-year issues. A total of 30 per cent of the bond turnover was made through the 10-year bonds, meaning Sh12.45 billion was traded. Among the reasons for the high trading in the bond was the fact that it had been issued in February and there appeared to be some mis-pricing as it was issued at a lower yield than what was available in the market. Mr Muiruri said there is a tendency for newly issued bonds to be the focus of the market once they begin trading on the NSE. “We have seen a lot of trading on the 10-year bond in March because people were seeking to beneﬁt from the capital gains arising from the trading at lower yield than the one at which it was initially issued,” said Mr Muiruri. The second most traded bonds were the 20-year types taking 26 per cent or Sh10.79 billion of the total turnover for the month. The infrastructure bonds took 20 per cent of the total turnover for the month.

BUSINESS DAILY | Friday April 10, 2015

SPECIAL ADVERTISING SECTION

Best Practice

in Board Diversity Awards

Good corporate governance sees Kenya Re clinch top award By MILLICENT MWOLOLO >>> mmwololo@ke.nationmedia.com

ast Africa’s leading re-insurer, Kenya Re, has come tops in the recently-concluded, Best Practice in Board Diversity Awards. The awards sought to recognise companies listed at the Nairobi Securities Exchange (NSE) that uphold diversity and inclusivity in their boardrooms. With a board composition drawn from different professional backgrounds and diverse regions all over Kenya, the re-insurer has given a new meaning to inclusivity and diversity. “Our composition is drawn from the Coast, Eastern, Central, RiftValley and Lake region,” says Mr. Jadiah M. Mwarania, Kenya Re Managing Director. He notes that the board members are also drawn from diverse professional backgrounds. There is an international marketer, lawyer, pharmacist, actuary and someone from the government. “They all bring in different capacities,” notes Mr. Mwarania. Their ages range from between 40 years and early 60’s, and besides, one of their board members is differently abled. More outstanding is the fact that their board chairperson – Mrs. Nelius Kariuki, was the first lady to ring a bell at the NSE, when Kenya Re was listing in 2007. This concoction at the top organ of Kenya Re has given the reinsurer more meaning to boardroom room debates, and ensured that diverse views are taken care of in all resolutions. Though not expected, coming 7th at the independent survey was not by surprise. “As a corporate, we have always upheld good corporate governance principles. The

Jadiah M Mwarania MD, Kenya Re win was a consequence,” Mr. Mwarania says passionately. Kenya Re’s experience at the NSE has been very successful, going by the share price. The shares were initially trading for Sh 9.50 each and within no time they almost doubled to a high of Sh18.50. At some point they dipped at Sh7.50, but at the moment, they have optimized at between Sh17.50 and Sh18.50. At the bourse, the shares are in very high demand and are actively trading, growing in value by the day. “In 2012, our bonus shares were all taken up by our shareholders,” recollects the MD. The last four years have seen Kenya Re bounce back to proﬁtability, posting an annual growth rate of between 25 to 30 per cent, and is very active in claims payments.

A strong brand

Four years ago, Kenya Re rebranded, claiming a new image that has seen the brand grow stronger by the day. A strong brand out there has given the reinsurer an edge, “but it is our people who give us the most competitive advantage in the market,” says Mr. Mwarania. A competent team of staﬀ members that serves the business and ensures that claims are duly processed. “We deal with insurance companies and we should be able to protect their risks, and

our risks too. Our technical team should therefore have the capacity,” he emphasizes. Their turn-around time in the payment of fully supported claims is less than 24 hours. With a Sh1.75 billion capital base, and reserves which amount to Sh13.4 billion, Kenya Re is over capitalised, which is good for experience in new business. The ﬁrm has enjoyed good relationship with their brokers who are positioned in strategic locations in the African region. This has ensured that the re-insurer can easily serve insurance ﬁrms in over 62 countries in Africa, Middle East and Asia. In addition to this, Kenya Re does market visits that establish and cement their relationships with their clients. Kenya Re has also excelled in performance contracting by the government of Kenya. In addition, the company has since last year, been providing reinsurance to oil and gas industry and technical training for the same. The reinsurer too were the pioneers of political risks and terrorism cover. Their micro-insurance continues to be well-received in the market. Kenya Re has been spearheading the ‘Niko Fiti’ campaign, a deliberate Corporate Social Responsibility (CSR), which gives assistive devices to the physically disabled. This continues to increase the visibility of the brand, enhancing its image.

Key achievements for Kenya Re

• Kenya Re is rated B+, by A.M Best. • Corporation is also rated AA by Global Credit Rating (GCR). • Best CSR campaign 2013 – PRSK Awards • Corporate Leadership Award 2014 (Niko Fiti)- at the Annual Disability Rights & Advocacy Awards (ADARA) • Campaign of the Year 2014 (Niko Fiti) – at the Malaika Tribute Awards

Friday April 10, 2015 | BUSINESS DAILY

MONEY & MARKETS GLOBAL

No≥way doubles Af≥ica powe≥ investments State-owned development fund has invested more than $249 million PROJECT

Norway’s state-owned development fund, Norfund, plans to double or even triple its investments in Sub-Saharan Africa’s power sector by 2020, its managing director said. Norfund is developing hydropower in Sub-Saharan Africa in partnership with Norway’s power group Statkraft, and has teamed up with Britain’s development fund CDC to invest in Globeleq Africa, a power company with an ambition to add 5,000 megawatt of new capacity. “We expect to double or even to triple the capital invested in Africa by 2020, depending on the projects,” Kjell Roland, managing director of Norfund, told a conference in Oslo,

which included energy ministers from Ghana and Zambia. The fund, backed by the government of the oil-rich Nordic country, has invested more than two billion Norwegian crowns ($248.85 million) in Africa so far, mainly in Sub-Saharan Africa. The fund is seeking to develop power projects in partnership with private investors, like Kenya’s 310 megawatt Lake Turkana wind power park, which will be the biggest wind park in Africa. “The project is on track to start producing power in 2016, and it should become a showcase for wind power in Africa,” Mugo Kibati,

Technicians repair high voltage power lines in Nairobi: Norfund plans to increase investments in Sub Saharan Africa’s power sector. FILE a chairman of the project company, told Reuters. Lack of access to electricity is holding back economic development in many African countries. “Power deﬁcit is the biggest single

issue for Ghana’s economy,” Ghana’s Minister of Power Kwabena Donkor told the conference. Sub-Saharan countries will need to invest $490 billion in power generation to reach 80 per cent of electrification in 25 years, a study by McKinsey&Company showed. To bring investment into the power sector, African countries need to have cost-reflective electricity tariffs, clear regulations and a political will, said Adam Kendall, McKinsey’s head of power and gas in Africa. Currently only about a third of the population have access to electricity in Sub-Saharan Africa, and in some countries, like Zambia, only 5 percent of rural and 26 percent of the urban population have electricity.

USD/KE

Kenya inﬂation rate

-REUTERS

Samsung expects ≥eco≥d shipments fo≥ Galaxy sma≥tphones Samsung Electronics Co Ltd expects record shipments for its new Galaxy S6 smartphones and said it will struggle to meet demand for the curved-edged version due to production constraints, adding to hopes for a turnaround in mobile sales. The S6 models are widely expected to sell briskly following a string of posi-

tive reviews, boosting prospects for an earnings recovery in 2015. This week, the company estimated its January-March operating proﬁt to be its highest in three quarters, which analysts said was partly because Samsung put its own chips in the new phones. Samsung expects the ﬂat screen S6

to sell more than the higher-margin S6 edge - priced about $120 more in South Korea - but mobile chief J.K. Shin said at a media event on Thursday the ﬁrm won’t be able to keep up with demand for the latter model in the near term because the curved screens are harder to manufacture. “Some carriers are switching ex-

May’12

isting orders to get more of the S6 edge, and it looks like demand for the model will exceed supply throughout this year,” said HMC Investment analyst Greg Roh. “That means average selling price will fall at a slower rate, which will have a positive impact on Samsung overall.”

DSE All Share

USE All Share Uganda

South Africa

2,045.00 -0.49%

52,974.96 0.32%

NGSE All share

Tanzania

Central Bank rate

Dec. 2013

RSE All Share

Apr. 2015

Rwanda

Nigeria

137.16 -0.07%

34,606.93 1.26%

2,667.68 -0.01%

Mar‘15

-REUTERS

Tracking the markets: Benchmark Index (Latest Data) Africa JSE All Share Index

Mar‘15

Feb’14

Average Tea Prices USD/Kg 80

July ‘14

Mar‘15

July ‘14

Mar‘15

July ‘14

Mar‘15

July ‘14

Mar‘15

July ‘14

Mar‘15

World

Feb’14

DJ Industrial

Xetra Dax

July ‘14

Mar‘15

July ‘14

Mar‘15

26,944.39 2.70%

July ‘14

Sensex

Tokyo

Hongkong

12,087.13 0.43%

17,902.51 0.15%

Nikkei

HangSeng

Frankfurt

New York

Mar‘15

Mumbai 19,937.72 0.75%

July ‘14

Apr‘15 SOURCE: EATTA

Mar‘15

28,885.21 0.62%

July ‘14

Mar‘15

Av. Coffee Prices in 50kg bags

Oct ‘13

Mar‘15

BUSINESS DAILY | Friday April 10, 2015

MARKET DATA Agro Commodities Market Early Morning wholesale commodity prices Date 09.04.2015 COMMODITY Unit Kg Nairobi CEREAL Dry Maize Bag 90 2800 Green Maize Ext Bag 115 3600 Finger Millet Bag 90 7300 Sorghum Bag 90 4000 Wheat Bag 90 LEGUMES Beans Canadian Bag 90 6400 Beans Rosecoco Bag 90 6800 Beans Mwitemania Bag 90 6400 Mwezi Moja Bag 90 6400 Dolichos (Njahi) Bag 90 6800 Green Gram Bag 90 11500 Cowpeas Bag 90 7500 Fresh Peas Bag 51 3800 Groundnuts Bag 110 13000 ROOTS & TUBERS Red Irish Potatoes Bag 50 2400 White Irish Potatoes Bag 50 2500 Cassava Fresh Bag 99 2000 Sweet Potatoes Bag 98 3600 VEGETABLES Cabbages Ext Bag 126 2800 Cooking Bananas Med Bunch 22 560 Carrots Ext Bag 138 4200 Tomatoes Lg Box 64 5500 Onions Dry net 13 900 Spring Onions Bag 142 2200 Kales Bag 50 3000 Chillies Bag 38 3400 Cucumber Bag 50 2400 Capsicums Bag 50 3200 Brinjals Bag 44 2000 Cauliﬂower crate 39 2800 Lettuce Bag 51 2400 FRUITS Passion Fruits Bag 57 4800 Oranges Bag 93 3600 Lemons Bag 95 2800 Mangoes Local Bag 126 2700 Mangoes Ngowe Sm Basket 25 1100 Ripe Bananas Med Bunch 14 640 Limes net 13 900 Pineapples Dozen 13 740 Pawpaw Lg Box 54 2000 Avocado Bag 90 2700 OTHERS Eggs Tray

Mombasa

Kisumu

Eldoret

Kisii

M&A Equity deals completed last month in Africa

2800 6000 7900 2700

3400 3000 7200 3600

2200 2200 7200 5400 3400

3200 6400

Target Name

6800 6500

8000 7600

7200 7200 11250 11700 6300 2040 12600

Target TF Macro Description

Acquiror Name

Delta EMD Ltd-Black Rock

South Africa

Materials

Spraymate

South Africa

Materials

Egypt

Bk of Nova ScotiaLoan,Deposit

8800

Univert Food Industries SAE

7650 9900 6300 4500 14080

13000 8200 2500 10000

3500 4000 1800 3300

3200 3200 2100 2500

2200 2000

3500

2400

2200

4000 700 6900 6300 1100 3800 2200 3000 2000 1500 1760 3900 4000

2500 300 5000 5000 1040 1500 3500 1400

2200 1000 1800 4000 1400 780 1600

3200 350 6000 7000 600 1600 2800

2600 1400

2000

5500 3000 3400 1250 475 850 900 1100 3300

3000 3000 1700 2800 1800 300

2000 500 600

650 1300 1600

910 3780 2100

600 650 900

300

360

300

360

3705 3200

Target Nation

Undisclosed Acquiror

Unknown

2.68

Rust-Oleum Corp

United States

Financials

Arab African Intl Bk

Egypt

Consumer Staples

Samh Co for Trading Ltd

Saudi Arabia

1.15

Financials

Jabu Mabuza

South Africa

Tabrouk Building Co Ltd

Egypt

Real Estate

Sixth of October Dvlp & Invest

Egypt

25.03

MobiNil

Egypt

Telecommunications

Orange SA

France

183.95

White House Securities Co

Egypt

Financials

First Equity Partners WLL

Bahrain

South Africa

Consumer Products and Services

Undisclosed Joint Venture

United Kingdom

24.06

GPP Energy Advisors LtdWest Nile Delta Concession

Egypt

Energy and Power

BP PLC

United Kingdom

South Africa

Industrials

James Fisher & Sons PLC

United Kingdom

20.08

Egypt

Consumer Staples

Pioneers Hldg Co for Finl

Egypt

63.1

Heat Transfer (Pty) Ltd

South Africa

Consumer Staples

Highlot Gen Trading (Pty) Ltd

South Africa

ET Systems Ltd

South Africa

Industrials

Nice SpA

Italy

13.68

Frika Hair (Pty) Ltd

South Africa

Consumer Products and Services

Godrej Consumer Products Ltd

India

Egypt

Real Estate

Pioneers Hldg Co for Finl

Egypt

160.73

Subtech Group Holdings (Pty) Arab Dairy Products Co SAE

Roiaa Real Estate Invest Group

3000 2600

Rank Value of Deal ($mil)

South Africa

Sphere Holdings (Pty) Ltd 13200

Acquiror Nation

M&A Equity deals announced last month in Africa Target Name

Target Nation

Target TF Macro Description

Acquiror Name

Acquiror Nation

Rank Value of Deal ($mil)

Redeﬁne Ppty Ltd-New Ppty

South Africa

Real Estate

South Africa

19.14

Zaaiplaats Tin Mining Pty Ltd

South Africa

Materials

South Africa

0.2

Spraymate

South Africa

Materials

Fairvest Property Holdings Ltd Pamish Invests No 71 Pty Ltd Rust-Oleum Corp

United States

Egypt

Financials

Arab African Intl Bk

Egypt

Consumer Staples

Saudi Arabia

1.15

Sphere Holdings (Pty) Ltd

South Africa

Financials

Samh Co for Trading Ltd Jabu Mabuza

South Africa

Nestle Ice Cream (Pty) Ltd

South Africa

Consumer Staples

R&R Ice Cream PLC

United Kingdom

Mauritius

Materials

Malaysia

CitiBk NA Egypt-Consumer Bkg Tabrouk Building Co Ltd

Egypt

Financials

Egypt

Real Estate

Egypt

25.03

White House Securities Co

Egypt

Financials

Bahrain

Mtemi Resources Group of Cos Fairheads Intl Hldg (SA) Pty

Tanzania

Materials

Australia

South Africa

Financials

KNM Renewable Energy Sdn Bhd Commercial Intl Bank Egypt SAE Sixth of October Dvlp & Invest First Equity Partners WLL Rift Valley Resources Ltd Mandlalux Pty Ltd

South Africa

16.98

Synergy Income Fund Ltd

South Africa

Financials

South Africa

8.57

Egypt

Energy and Power

United Kingdom

GPP Energy Advisors Ltd-

South Africa

24.06

South Africa

Mauritius

British Capital Property Ltd

South Africa

Real Estate

Mauritius

17.09

Egypt

Healthcare

Egypt

Healthcare

Egypt

Subtech Group Holdings (Pty)

South Africa

Industrials

United Kingdom

20.08

Heat Transfer (Pty) Ltd

South Africa

Consumer Staples

South Africa

Nigeria

Retail

South Africa

Industrials

Undisclosed Joint Venture Atlantic Leaf Properties Ltd Atlantic Leaf Properties Ltd Intl Co for Med Inds SAE Intl Co for Med Inds SAE James Fisher & Sons PLC Highlot Gen Trading (Pty) Ltd Pioneer Food Group Ltd Nice SpA

United Kingdom

British Capital Finance Ltd

Consumer Products and Services Financials

Italy

13.68

Libya

Financials

Freslake Ltd

Libya

4.36

320

SOURCE: STATE DEPARTMENT OF AGRICULTURE. EMAIL MARKETINFO@KILIMO.GO.KE

Unit Trusts EFFECTIVE DATE: 8TH APR 2015 CURRENCY DAILY YIELD EFFECTIVE ANNUAL RATE MONEY MARKET FUND SH 7.24% 7.48% OLD MUTUAL SH 10.96% 11.57% BRITISH AMERICAN SH 9.01% 9.37% CBA SH 10.18% 10.71% UAP SH 10.70% 11.29% ICEA SH 10.55% 11.07% AMANA SH 11.16% 11.63% GENCAP HELA SH 11.29% 11.95% PAN AFRICA PESA+ SH STANLIB CURRENCY BUY SELL FIXED INCOME FUND SH 114.45 110.45 GENCAP HAZINA USD 99.52 99.52 NABO AFRICA BALANCED FUND SH 163.93 174.56 OLD MUTUAL / TOBOA SH 195.29 201.00 BRITISH AMERICAN SH 143.06 144.27 BA MANAGED RETIREMENT SH 124.90 124.98 AMANA SH 144.43 152.02 ICEA SH 132.79 128.14 GENCAP ENEZA SH 10.82 11.36 UAP SH 10.81 11.14 PAN AFRICA CHAMA+ SH STANLIB USD 115.18 115.18 NABO AFRICA EQUITY FUND SH 412.77 442.27 OLD MUTUAL SH 161.25 170.65 OLD MUTUAL EAST AFRICA FUND SH 125.75 125.75 AMANA SH 213.68 220.47 BRITISH AMERICAN SH 169.96 169.96 CBA SH 153.27 161.33 ICEA SH 138.62 133.76 GENCAP HISA SH 10.82 11.36 UAP SH STANLIB USD 104.47 104.47 NABO AFRICA BOND FUND SH 100.26 102.65 OLD MUTUAL BOND FUND SH 138.21 141.03 BRITISH AMERICAN SH 98.23 99.23 ICEA SH 10.80 10.80 UAP SH STANLIB FUND B1 SH STANLIB FUND A SH 10.43 10.75 PAN AFRICA PATA+ SHARIAH COMPLIANT SH 118.40 112.48 GENCAP IMAN

Bk of Nova ScotiaLoan,Deposit Univert Food Industries SAE

ABL Group

West Nile Delta Concession

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Friday April 10, 2015 | BUSINESS DAILY

MARKET DATA African Indices

Nairobi Stocks

NAME

NSE 20 Share Index

5,128.03 -0.28%

Nairobi

LOCATION

LAST

OPEN

HIGH

LOW

KENYA

5,128.03

-14.32

-0.28%

5,142.35

NSE 20 - SHR IDX LUSE ALL SHARE INDEX

ZAMBIA

6,115.47

-4.06

-0.07%

6,119.53

6,115.47

6,119.53

52,974.96

168.96

0.32%

52,943.03

53,078.68

52,765.66

52,806.00

UGANDA

2,045.00

ZIMBABWE

155.31

JSE ALL SHARE INDEX

5,500.00

ALSIUG

5,400.00

ZSE INDUSTRIAL

5,300.00

CFG INDEX

MOROCCO

5,200.00

MALAWI ALL SHR

MALAWI

5,100.00

DSE ALL SHR IDX

TANZANIA

5,000.00

NSE ALL SHARE/D

NIGERIA

EGX 30 IDX/D

4,800.00

TUN MAIN INDEX July ‘14

March ‘15

RSE ALLSHARE IND

170.46 -0.20%

Nairobi

182.00 177.00 172.00 167.00 162.00 157.00 152.00 147.00 July ‘14

March ‘15

FTSE Pan African Index

1,241.90 -0.76%

Nairobi 1500.00 1450.00 1400.00 1350.00 1300.00 1250.00 1200.00 1150.00 July ‘14

March ‘15

Active Active Counters Counters Last fri

Prev ffri

Price

Safaricom

16.35

KenolKobil

Total Shares

Change

Traded

15.95

2.51%

16,651,200

8.90

9.05

-1.66%

7,839,900

61.50

0.00%

1,716,000

Equity

47.50

49.50

-4.04%

968,700

NIC Bank

56.50

57.00

-0.88%

862,200

KCB

Gainers Last fri

Prev ffri

Net

Price

Sasini

16.50

15.10

1.40

9.27%

155.00

149.00

6.00

4.03%

Price

Change

Counter

Bamburi

Chng

7.70

7.45

0.25

3.36%

Safaricom

16.35

15.95

0.40

2.51%

BOC Gases

135.00

133.00

2.00

1.50%

Losers Counter

Last fri Price

Prev fri price

-10.00

-0.49%

2,055.00

-0.45

-0.29%

155.76

21,130.26

-96.93

-0.46%

21,215.04

21,290.80

21,130.26

21,227.19

15,492.20

7.05

0.05%

15,485.15

2,667.68

-0.36

-0.01%

2,668.04

34,606.93

431.69

1.26%

34,175.24

34,606.93

33,994.45

34,175.24

EGYPT

8,892.53

103.63

1.18%

8,789.25

8,892.53

8,789.25

8,788.90

TUNISIA

5,364.27

-20.66

-0.38%

5,384.94

5,394.86

5,364.27

5,384.93

RWANDA

137.16

-0.09

-0.07%

137.16

137.25

Daily Share Report

All Share Index (NASI)

Counter

PCT.CHNG

SOUTH AFRICA

5,600.00

4,900.00

NET.CHNG

Net Change

% Chng

BAT Kenya

720.00

799.00

-79.00

-9.89%

Jubilee

520.00

571.00

-51.00

-8.93%

Limuru Tea

950.00

993.00

-43.00

-4.33%

NBK

23.00

24.00

-1.00

-4.17%

Equity

47.50

49.50

-2.00

-4.04%

MARKET UPDATES

52 WK HIGH

52 WK LOW

AGRICULTURAL 100.00 26.00 EAAGADS 346.00 110.00 KAKUZI 180.00 120.00 KAPCHORUA TEA 1185.00 620.00 LIMURU TEA 27.50 27.50 REA VIPINGO 18.50 11.50 SASINI 319.00 240.00 WILLIAMSON TEA AUTOMOBILES & ACCESSORIES 62.00 31.00 CAR & GEN 13.60 8.00 MARSHALLS 9.40 5.20 SAMEER BANKING 18.45 15.05 BARCLAYS 155.00 104.00 CFC STANBIC 280.00 216.00 DTBK 63.00 31.00 EQUITY 55.00 33.25 HF 147.00 120.00 I&M HOLDINGS 64.50 42.25 KCB 34.00 22.25 NBK 85.00 55.00 NIC BANK 357.00 290.00 STAN. CHART. 25.00 17.10 CO-OP BANK COMMERCIAL 8.50 4.15 EXPRESS (K) 20.25 20.25 HUTCHINGS BIEMER 13.50 7.50 KQ 30.75 7.90 LONGHORN PUBLISHERS 325.00 225.00 NATION MEDIA 247.00 40.00 SCANGROUP 47.50 26.25 STANDARD GRP 49.50 32.00 TPS EA 15.60 8.00 UCHUMI CONSTRUCTION & ALLIED 95.00 76.00 ARM CEMENT LTD 206.00 135.00 BAMBURI 165.00 83.00 CROWN BERGER 17.00 13.50 EA CABLES 110.00 51.00 EAPC ENERGY & PETROLEUM 13.15 8.70 KENGEN 10.50 7.90 KENOLKOBIL 18.50 12.85 KENYA POWER 32.00 22.00 TOTAL 23.00 13.00 UMEME INSURANCE 40.00 16.40 BRITISH AMERICAN 12.40 7.50 CIC INSURANCE 599.00 301.00 JUBILEE 21.00 16.00 KENYA RE 26.00 15.10 LIBERTY KENYA 142.00 101.00 PAN AFRICA INVESTMENT 84.50 35.00 CENTUM INVEST. 10.85 2.50 OLYMPIA 30.00 17.00 TRANSCENTURY INVESTMENT SERVICES 15.00 NAIROBI SECURITIES EXCHG 28.00 MANUFACTURING & ALLIED A. BAUMANN 165.00 123.00 BOC GASES 1050.00 521.00 BAT KENYA 37.00 19.60 CARBACID 355.00 250.00 EABL 5.35 2.65 EVEREADY EA 192.00 4.40 K. ORCHARDS 3.85 1.35 MUMIAS 56.50 22.00 UNGA TELECOMMUNICATION & TECHNOLOGY SAFARICOM 17.50 11.75 GROWTH AND ENTERPRISE MARKET SEGMENT ATLAS DEV & SUP LTD 13.75 11.00 8.00 FLAME TREE GROUP HOLDINGS 14.00 5.80 3.00 HOME AFRICA 1500.00 KURWITU VENTURES LTD 1500.00

YTD %

VWA LAST PRICE

VWA PREV PRICE

DAILY PRICE CHANGE

DAILY TRADED SHARES

SHARES ISSUED

MKT CAP. KSHS

EPS LATEST 12MNTH

P/E TRAILING

PBV TRAILING

DPS LATEST 12MNTH

TOTAL DIVIDEND YIELD

-17.86% 55.56% -5.11% 28.79% 0.00% 17.51% 12.90%

34.75 280.00 130.00 950.00 27.50 16.50 280.00

34.50 280.00 130.00 993.00 27.50 15.10 280.00

0.72% 0.00% 0.00% -4.33% 0.00% 9.27% 0.00%

3,500 3,300 300 133,900 -

32,157,000 19,599,999 3,912,000 1,200,000 60,000,000 228,055,500 8,756,320

1,117,455,750.0 5,487,999,720.0 508,560,000.0 1,140,000,000.0 1,650,000,000.0 3,762,915,750.0 2,451,769,600.0

-1.30 8.17 32.21 -0.28 5.85 0.54 81.36

-26.73 34.27 4.04 -3392.86 4.70 30.56 3.44

2.78 1.89 0.37 4.63 0.74 0.60 0.39

0.00 3.75 5.00 1.00 0.00 0.25 7.00

0.00% 1.34% 3.85% 0.11% 0.00% 1.52% 2.50%

-8.33% 21.43% -7.50%

49.75 11.90 5.60

49.50 11.90 5.55

0.51% 0.00% 0.90%

500 33,900

40,103,308 14,393,106 278,342,393

1,995,139,573.0 171,277,961.4 1,558,717,400.8

6.57 -11.90 -0.24

7.57 -1.00 -23.33

0.95 0.44 0.67

0.60 0.00 0.00

1.21% 0.00% 0.00%

-1.50% 1.61% -0.43% -1.00% -21.86% 3.25% 7.89% -3.03% -0.87% 0.30% 5.00%

16.30 125.00 231.00 47.50 36.00 127.00 61.50 23.00 56.50 339.00 21.00

16.45 126.00 234.00 49.50 35.75 127.00 61.50 24.00 57.00 336.00 21.00

-0.91% -0.79% -1.28% -4.04% 0.70% 0.00% 0.00% -4.17% -0.88% 0.89% 0.00%

122,200 18,200 53,100 968,700 40,000 1,100 1,716,000 17,800 862,200 34,100 426,200

5,431,536,000 395,321,638 242,110,105 3,702,777,020 235,750,000 392,362,039 2,984,227,692 280,000,000 639,945,603 309,159,514 4,889,316,295

88,534,036,800.0 49,415,204,750.0 55,927,434,255.0 175,881,908,450.0 8,487,000,000.0 49,829,978,953.0 183,530,003,058.0 6,440,000,000.0 36,156,926,569.5 104,805,075,246.0 102,675,642,195.0

1.54 14.38 21.92 4.55 4.21 13.56 5.63 3.11 7.07 33.21 1.64

10.58 8.69 10.54 10.44 8.55 9.37 10.92 7.40 7.99 10.21 12.80

2.73 2.14 2.43 3.41 1.39 2.27 2.87 0.52 1.74 2.89 2.39

1.00 6.15 2.40 1.80 1.50 2.90 2.00 0.00 1.00 17.00 0.50

6.13% 4.92% 1.04% 3.79% 4.17% 2.28% 3.25% 0.00% 1.77% 5.01% 2.38%

-8.87% 0.00% -14.37% -9.19% -8.75% -2.21% 0.72% -7.43% 2.99%

5.65 20.25 7.70 8.30 236.00 43.75 35.25 33.75 10.35

5.65 20.25 7.45 8.40 240.00 44.25 35.00 34.25 10.35

0.00% 0.00% 3.36% -1.19% -1.67% -1.13% 0.71% -1.46% 0.00%

4,900

35,403,790 200,031,413.5 360,000 7,290,000.0 1,496,469,035 11,522,811,569.5 243,750,000 2,023,125,000.0 188,542,286 44,495,979,496.0 378,865,102 16,575,348,212.5 81,731,808 2,881,046,232.0 182,174,108 6,148,376,145.0 364,959,616 3,777,332,025.6

0.01 -18.34 -2.25 1.62 13.10 2.70 2.57 3.45 1.45

565.00 -1.10 -3.42 5.12 18.02 16.20 13.72 9.78 7.14

1.01 #DIV/0! 3.68 1.12 5.44 2.02 1.59 0.56 0.94

0.00 0.00 0.00 2.00 10.00 0.40 0.50 1.35 0.30

0.00% 0.00% 0.00% 24.10% 4.24% 0.91% 1.42% 4.00% 2.90%

-8.14% 7.19% 7.21% -3.40% 2.59%

79.00 155.00 117.00 15.70 59.50

79.00 149.00 119.00 15.65 59.50

0.00% 4.03% -1.68% 0.32% 0.00%

5,800 236,900 1,800 6,200

495,275,000 39,126,725,000.0 362,959,275 56,258,687,625.0 23,727,000 2,776,059,000.0 253,125,000 3,974,062,500.0 90,000,000 5,355,000,000.0

3.01 9.80 9.01 1.37 -4.30

26.25 15.82 12.99 11.46 -13.84

4.82 1.94 2.04 1.65 1.11

0.60 12.00 1.75 1.00 0.00

0.76% 7.74% 1.50% 6.37% 0.00%

3.40% 4.02% 19.72% 4.17% -9.52%

10.30 8.90 17.30 24.75 19.00

10.65 9.05 17.30 25.00 19.00

-3.29% -1.66% 0.00% -1.00% 0.00%

47,400 7,839,900 29,800 3,500

2,198,361,456 1,471,761,200 1,951,467,045 175,028,706 1,623,878,005

22,643,122,996.8 13,098,674,680.0 33,760,379,878.5 4,331,960,473.5 30,853,682,095.0

1.29 0.74 3.31 2.26 1.34

7.98 12.03 5.23 10.95 14.14

0.33 1.96 0.78 0.85 3.37

0.40 0.20 0.50 0.70 0.90

3.88% 2.25% 2.89% 2.83% 4.75%

-15.97% -1.04% 26.89% 9.38% 7.53% 0.83%

25.25 9.40 520.00 18.65 24.50 121.00

25.00 9.50 571.00 18.65 25.00 121.00

1.00% -1.05% -8.93% 0.00% -2.00% 0.00%

172,700 122,500 3,200 82,300 303,800 13,800

1,938,415,838 2,615,538,528 59,895,000 699,949,068 535,707,499 96,000,000

48,944,999,909.5 24,586,062,163.2 31,145,400,000.0 13,054,050,118.2 13,124,833,725.5 11,616,000,000.0

1.47 0.43 48.00 4.48 2.14 9.07

17.18 21.86 10.83 4.16 11.45 13.34

2.82 3.04 2.91 0.73 2.48 3.48

0.30 0.10 8.50 0.70 0.50 0.00

1.19% 1.06% 1.63% 3.75% 2.04% 0.00%

-0.82% 7.69% -5.68%

59.50 5.55 17.65

60.50 5.60 18.25

-1.65% -0.89% -3.29%

366,000 11,500 7,700

665,441,775 39,593,785,612.5 40,000,000 222,000,000.0 280,284,476 4,947,021,001.4

4.54 0.38 1.06

13.11 14.61 16.65

1.95 0.28 0.93

0.00 0.00 0.40

0.00% 0.00% 2.27%

19.65

19.55

0.51%

95,800

194,625,000

3,824,381,250.0

2.13

9.23

5.24

0.38

1.93%

0.00% 6.40% -12.00% -4.60% 5.19% 0.00% 1.82% 17.95% 8.18%

11.10 135.00 720.00 20.75 323.00 3.65 112.00 2.30 42.50

11.10 133.00 799.00 20.75 324.00 3.70 112.00 2.30 43.00

0.00% 1.50% -9.89% 0.00% -0.31% -1.35% 0.00% 0.00% -1.16%

745,900 2,700

3,840,066 42,624,732.6 19,525,446 2,635,935,210.0 100,000,000 72,000,000,000.0 254,851,988 5,288,178,751.0 790,774,356 255,420,116,988.0 210,000,000 766,500,000.0 12,868,124 1,441,229,888.0 1,530,000,000 3,519,000,000.0 75,708,873 3,217,627,102.5

-2.02 11.76 42.55 1.93 8.21 -0.85 0.15 -1.77 3.65

-5.50 11.48 16.92 10.75 39.34 -4.29 746.67 -1.30 11.64

#VALUE! 1.81 9.51 3.20 9.35 2.37 589.47 0.33 0.69

0.00 5.20 42.50 0.30 5.50 0.00 0.00 0.00 0.75

0.00% 3.85% 5.90% 1.45% 1.70% 0.00% 0.00% 0.00% 1.76%

13.52%

16.35

15.95

2.51%

16,651,200

40,065,428,000 655,069,747,800.0

0.57

28.68

8.18

0.47

2.87%

-14.63% -

11.40 9.35 3.50 1500.00

11.30 9.30 3.50 1500.00

0.88% 0.54% 0.00% 0.00%

1,000 5,200 550,200 200

-0.04 0.92 0.05 -62.40

-285.00 10.16 70.00 -24.04

0.00 0.92 0.00 0.00

0.00% 9.85% 0.00% 0.00%

58,300 69,600 6,800 6,700 900 1,500 35,800

700 100 108,300 6,700 9,300

433,063,193 161,866,804 405,255,320 102,272

4,936,920,400.2 1,513,454,617.4 1,418,393,620.0 153,408,000.0

#DIV/0!

TO RECEIVE NATIONMOBILE ALERTS ON YOUR CELLPHONE, SMS THE STOCK YOU WANT, E.G. STOCKS KENGEN, TO 20667. 6667. EACH EACHALERT ALERTCOSTS COSTSSH5 SH5ABOVE ABOVENORMAL NORMALRATES. RATES.

BUSINESS DAILY | Friday April 10, 2015

MARKET DATA Equities & Bonds Kenya Treasury and Infrastructure Bonds

Share Price Performance Scorecard SCORECARD AS AT 9TH APRIL 2015 NAME A BAUMANN ATLAS DEVPNT & SPPRT SERV ATHI RIVER MINING BAMBURI BARCLAYS KEN BAT KENYA BOC KENYA BRITISH AMERICAN CAR & GENERAL CARBACID INV CENTUM INV CFC STANBIC BANK CIC INSURANCE CO-OP BANK CROWN BERGER DIAMOND KEN EA CABLES EA PORT CEM EAAGADS EA AFR BREW EQUITY BANK EVEREADY EA EXPRESS KEN FLAME TREE HLDNGS G WILLIAMSON HUTCHINGS BIEMER HOME AFRICA LIMITED HOUSING FIN I&M HOLDING JUBILEE HLDS KAKUZI KAPCHORUA KEN ORCHARDS KENGEN KENYA AIRWAYS KENYA COM BK KENOLKOBIL KENYA POWER KENYA RE KURWITU LIBERTY HOLDINGS LIMURU TEA LONGHORN MARSHALL MUMIAS SUGAR NAIROBI SECURITIES NATION MEDIA NATL BANK KEN NIC BANK OLYMPIA CAPITAL PAN AFR INS REA VIPINGO SAFARICOM SAMEER AFRICA SASINI SCANGROUP STANDARD GRP STD CHART KEN TOTAL KENYA TPS (EA) TRANSCENTURY UCHUMI SUPER UNGA GROUP

PREVIOUS 11.10 11.30 79.00 149.00 16.45 799.00 133.00 25.00 49.50 20.75 60.50 126.00 9.50 21.00 119.00 234.00 15.65 59.50 34.50 324.00 49.50 3.70 5.65 9.30 280.00 20.25 3.50 35.75 127.00 571.00 280.00 130.00 112.00 10.65 7.45 61.50 9.05 17.30 18.65 1500.00 25.00 993.00 8.40 11.90 2.30 19.55 240.00 24.00 57.00 5.60 121.00 27.50 15.95 5.55 15.10 44.25 35.00 336.00 25.00 34.25 18.25 10.35 43.00

CLOSE 11.10 11.40 79.00 155.00 16.30 720.00 135.00 25.25 49.75 20.75 59.50 125.00 9.40 21.00 117.00 231.00 15.70 59.50 34.75 323.00 47.50 3.65 5.65 9.35 280.00 20.25 3.50 36.00 127.00 520.00 280.00 130.00 112.00 10.30 7.70 61.50 8.90 17.30 18.65 1500.00 24.50 950.00 8.30 11.90 2.30 19.65 236.00 23.00 56.50 5.55 121.00 27.50 16.35 5.60 16.50 43.75 35.25 339.00 24.75 33.75 17.65 10.35 42.50

% 1D 0.00 0.88 0.00 4.03 -0.91 -9.89 1.50 1.00 0.51 0.00 -1.65 -0.79 -1.05 0.00 -1.68 -1.28 0.32 0.00 0.72 -0.31 -4.04 -1.35 0.00 0.54 0.00 0.00 0.00 0.70 0.00 -8.93 0.00 0.00 0.00 -3.29 3.36 0.00 -1.66 0.00 0.00 0.00 -2.00 -4.33 -1.19 0.00 0.00 0.51 -1.67 -4.17 -0.88 -0.89 0.00 0.00 2.51 0.90 9.27 -1.13 0.71 0.89 -1.00 -1.46 -3.29 0.00 -1.16

% 5D 0.00 0.00 -1.25 -2.52 -1.51 -10.00 1.50 -2.88 0.51 -1.19 0.00 -0.79 -4.08 0.00 -1.68 -3.35 -1.57 0.85 2.96 0.62 -6.86 -6.41 0.89 1.08 0.00 0.00 7.69 -4.00 0.00 -8.77 0.00 0.00 0.00 -5.07 -3.14 1.65 -1.11 -0.86 -0.80 0.00 -2.97 -15.48 -4.05 -0.83 0.00 -1.26 0.43 -4.17 1.80 -4.31 -3.20 0.00 -1.51 -0.88 14.98 -4.89 -1.40 0.30 2.06 0.00 -4.85 -1.43 -2.86

% 1M 0.00 -0.87 -5.95 -3.73 -4.40 -15.29 -0.74 -11.40 -7.01 -12.63 0.00 -3.10 -16.81 -1.18 -5.65 -5.71 -3.09 2.59 -6.71 8.03 -5.94 -15.12 -11.02 7.47 2.19 0.00 0.00 -2.04 0.79 -3.70 -5.72 -7.80 0.00 -11.97 -19.37 5.13 -11.00 -2.81 1.36 0.00 2.08 -14.72 -10.27 -0.83 -22.03 -1.75 0.43 -9.80 -10.32 -12.60 -9.70 0.00 5.14 -13.18 5.10 -8.85 -18.02 -4.24 -12.39 -0.74 -1.94 -5.05 -8.60

% 3M 0.00 -5.79 -4.82 6.90 -0.61 -20.09 -2.17 -10.62 -0.50 -8.79 -5.56 0.00 -2.59 10.53 -3.31 -5.71 -0.32 8.18 -7.95 4.19 -3.06 -1.35 -6.61 10.00 12.00 0.00 -11.39 -20.44 4.10 15.56 40.00 -5.80 1.82 5.10 -15.38 9.82 1.71 8.81 5.97 0.00 4.26 23.22 -22.79 13.33 6.98 -4.15 -14.18 -8.00 -10.32 -7.50 3.42 0.00 18.91 -12.50 28.91 -5.91 -0.70 0.59 -5.71 -6.25 -8.55 -1.43 8.28

% 6M 0.00 -9.20 3.33 -4.96 -22.25 -16.67 -15.13 29.22 -21.70 1.71 -3.10 -16.81 -3.45 0.86 -10.81 1.62 -15.60 -12.03 17.88 -4.52 -3.95 -31.93 -6.67 0.00 0.00 -24.21 -7.30 26.52 27.27 -13.91 -8.20 -8.04 -14.44 4.24 -6.32 15.72 1.08 10.11 8.16 -63.52 10.19 17.95 -12.67 -24.36 -14.81 -19.29 -42.19 0.00 0.00 27.24 -13.85 11.86 -4.37 4.44 -0.59 -17.50 -10.00 0.00 2.99 -22.02

% 1Y 0.00 -6.51 -18.42 0.00 26.32 -5.59 39.89 60.48 -40.29 59.73 14.68 0.00 5.00 38.46 -5.71 3.29 -34.97 19.83 23.28 48.44 5.80 26.97 5.26 0.00 0.00 3.60 0.00 65.61 133.33 -9.72 2140.00 -12.34 -40.54 32.97 -14.01 14.57 0.00 58.58 53.23 -35.41 18.41 -26.98 -23.38 -15.60 -10.32 27.59 -3.20 0.00 31.33 -12.50 -2.94 -4.89 29.36 6.27 -1.00 -20.12 0.00 -28.62 84.78

Corporate Bonds APRIL 9TH, 2015

BONDS LISTED AT THE NAIROBI SECURITIES EXCHANGE

APRIL 9TH, 2015

ISSUE

MATURITY

ISSUED VALUE COUPON

TRADED

TOTAL

DATE

IN MILLIONS

YIELD

PRICE

VALUE TRADED

(%)

(KSHS)

(%)

ISSUE NO.

(%)

TWO YEAR BONDS FXD 3/2013/2YR

26-AUG-13

24-AUG-15 17,927.40

12.9390

101.1994

FXD 4/2013/2YR

24-DEC-13

21-DEC-15 25,251.00

11.5530

100.7496

FXD 1/2014/2YR

24-MAR-14

21-MAR-16 20,000.00

10.8030

100.2806

FXD 2/2014/2YR

26-MAY-14

23-MAY-16 20,130.15

10.7930

FXD 3/2014/2YR

22-DEC-14

19-DEC-16 8,905.12

10.8900

FXD 1/2015/2YR

23-JAN-15

20-FEB-17 23,592.55

11.4700

100.9404

100.2106 10.7000

100.1030

250,000,000

FIVE YEAR BONDS FXD 1/2010/5YR

24-MAY-10

18-MAY-15 11,924.85

6.9510

98.9033

FXD 2/2010/5YR

30-NOV-10

23-NOV-15 14,973.10

6.6710

97.2455

FXD 1/2011/5YR

31-JAN-11

25-JAN-16 22,083.10

7.6360

97.0450

FXD 1/2012/5YR

28-MAY-12

22-MAY-17 31,079.55

11.8550

101.7242

FXD 1/2013/5YR

29-APR-13

23-APR-18 20,240.75

12.8920

104.5871

FXD 2/2013/5YR

1-JUL-13

25-JUN-18 26,340.05

11.3050

100.3825

FXD 3/2013/5YR

25-NOV-13

19-NOV-18 14,937.80

11.9520

101.6262

FXD 1/2014/ 5YR

28-APR-14

22-APR-19 25,540.95

10.8700

97.8865

FXD 2/2014/ 5YR

23-JUN-14

17-JUN-19

16,418.25

11.9340

101.3943

24-APR-06

13-APR-15 3,060.25

13.5000

102.2668

NINE YEAR BONDS FXD 1/2006/9YR TEN YEAR BONDS FXD 1/2006/10YR

27-MAR-06

14-MAR-16 3,451.05

14.0000

102.1563

FXD 2/2006/10YR

29-MAY-06

16-MAY-16 5,028.10

14.0000

103.9277

FXD 1/2007/10YR

29-OCT-07

16-OCT-17 9,308.80

10.7500

99.3880

FXD 1/2008/10YR

29-OCT-07

16-OCT-17 2,992.75

10.7500

95.8019

FXD 2/2008/10YR

28-JUL-08

16-JUL-18

10.7500

100.4667

FXD 3/2008/10YR

29-SEP-08

28-SEP-18 4,151.60

10.7500

94.9482

FXD 1/2009/10YR

27-SEP-09

15-APR-19 4,966.85

10.7500

96.1897

FXD 1/2010/10YR

26-APR-10

13-APR-20 19,394.15

8.7900

86.1135

FXD 2/2010/10YR

1-NOV-10

19-OCT-20 18,849.90

9.3070

91.4516

FXD 1/2012/10YR

25-JUN-12

13-JUN-22 16,803.75

12.7050

FXD 1/2013/10YR

1-JUL-13

19-JUN-23 12,643.05

12.3710

12.3500

100.8271

100,000,000

FXD 1/2013/10YR

1-JUL-13

19-JUN-23 12,643.05

12.3710

12.3250

100.8271

100,000,000

FXD 1/2013/10YR

1-JUL-13

19-JUN-23 12,643.05

12.3710

100.8271

FXD 1/2014/10YR

27-JAN-14

15-JAN-24 30,520.25

12.1800

99.8509

25-SEP-06

11-SEP-17

13.7500

97.6357

FXD1/2006/12YR

28-AUG-06

13-AUG-18 3,900.95

14.0000

105.2139

FXD1/2007/12YR

28-MAY-07

13-MAY-19 4,864.60

13.0000

104.9016

13,504.70

107.2197

ELEVEN YEAR BONDS FXD1/2006/11YR

4,031.40

TWELVE YEAR BONDS BONDS LISTED AT THE NAIROBI SECURITIES EXCHANGE ISSUE MATURITY ISSUED VALUE COUPON DATE DATE IN MILLIONS (%)

ISSUE NO. CENTUM BOND SENIOR UNSECURED FIXED RATE AND EQUITY LINKED NOTES 26-SEP-12 18-SEP-17 CTNB.BD.18.09.17/13.50 26-SEP-12 18-SEP-17 CTNB.BD.18.09.17/12.75 CONSOLIDATED BANK OF KENYA LTD MEDIUM TERM NOTE PROGRAMME 30-JUL-12 24-JUL-19 CON.BD-FXD(SN)/2012/7YR 30-JUL-12 22-JUL-19 CON.BD-FXD(SBN)/2012/7YR 30-JUL-12 22-JUL-19 CON.BD-FR(SN)/2012/7YR SHELTER AFRIQUE MEDIUM TERM NOTES 17-DEC-12 14-DEC-15 FXD 2/2012/3YR 30-SEP-13 24-SEP-18 FXD 1/13/05YR 30-SEP-13 24-SEP-18 FR 1/13/05YR BARCLAYS BANK MEDIUM TERM FLOATING RATE NOTES 14-JUL-08 14-JUL-15 FXD (MTN)/2008/7YR 14-JUL-08 14-JUL-15 FR (MTN)/2008/7YR MRM 27-OCT-08 17-OCT-16 FR (MRM) 2008/8YR 27-OCT-08 17-OCT-16 FXD (MRM) 2008/8YR CFC STANBIC BANK SENIOR & SUBORDINATED BOND ISSUE 7-JUL-09 7-JUL-16 FR (CFC STANBIC) 2009/7YR 7-JUL-09 7-JUL-16 FXD (CFC STANBIC) 2009/7YR KENGEN PUBLIC INFRASTRUCTURE BOND OFFER 2019 2-NOV-09 31-OCT-19 FXIB 1/2009/10YR SAFARICOM LTD DOMESTIC MEDIUM TERM NOTE 20-DEC-10 20-DEC-15 FR2 (SAFARICOM LTD) 2009/5YR 20-DEC-10 20-DEC-15 FXD2 (SAFARICOM LTD) 2009/5YR 20-DEC-10 20-DEC-15 FXD2 (SAFARICOM LTD) 2009/5YR HOUSING FINANCE MEDIUM TERM NOTE 22-OCT-12 14-OCT-19 FXD (HFCK) 02/2012/7YR 26-OCT-10 2-OCT-17 FR (HFCK) 2010/7YR 26-OCT-10 2-OCT-17 FXD (HFCK) 2010/7YR I&M MEDIUM TERM NOTE 13-DEC-13 8-MAR-19 FXD I&M-01/13/5.25 13-DEC-13 8-MAR-19 FRN I&M-01/13/5.25 BRITAM MEDIUM TERM NOTE 22-JUL-14 15-JUL-19 BRTB.BD.22/07/19-0037-13 UAP HOLDINGS MEDIUM TERM NOTE 28-JUL-14 22-JUL-19 UAP.BD.22.07.2019 NIC MEDIUM TERM NOTE 8-SEP-14 9-SEP-19 NIC.BD.09/09/19-0039-12.5 CIC INSURANCE GROUP LTDMEDIUM TERM NOTE 8-OCT-14 2-OCT-19 CIC.BD.22.07.2019 CFC STANBIC MULTICURRENCY MEDIUM TERM NOTE 15-DEC-14 8-DEC-21 CFCB.BD.08/12/21-0042-12.95 CBA FIXED MEDIUM TERM NOTE 22-DEC-14 14-DEC-20 CBAB.BD.14/12/20-0041-12.75 EABL FIXED MEDIUM TERM NOTE EABB.BD.19/03/18-0043-12.25 23-MAR-15 19-MAR-18

PREVIOUS PRICE (%)

2,917.10 1,250.80

13.5000 12.7500

105.2550 99.9620

1,480.60 196.50 1.00

13.2500 13.6000

99.1677 100.0000

500.00 4,239.70 760.30

12.7500 12.7500

1,300 700

11.5000

100.7057 100.0000 99.4819 85.5534

TOTAL VALUE TRADED (KSHS)

FIFTEEN YEAR BONDS FXD1/2007/15YR

26-MAR-07

7-MAR-22 3,654.60

14.5000

109.0397

FXD2/2007/15YR

25-JUN-07

6-JUN-22

7,236.95

13.5000

108.2496

FXD3/2007/15YR

26-NOV-07

7-NOV-22

17,568.00

12.5000

99.9310

FXD1/2008/15YR

31-MAR-08

13-MAR-23 7,830.90

12.5000

100.6070

FXD1/2009/15YR

26-OCT-09

7-OCT-24

12.5000

102.7808

FXD1/2010/15YR

29-MAR-10

10-MAR-25 20,823.73

10.2500

87.1031

FXD2/2010/15YR

25-APR-11

8-DEC-25

13,513.10

9.0000

81.9916

FXD1/2012/15YR

24-SEP-12

6-SEP-27

21,089.45

11.0000

91.7296

FXD1/2013/15YR

25-FEB-13

7-FEB-28

40,886.33

11.2500

90.8891

FXD2/2013/15YR

29-APR-13

10-APR-28 17,385.85

12.0000

97.0362

112.6478

621.50 1,378.50

13.0000

100.0000 100.0000

97.91 2,402.09

12.5000

100.0000 100.0000

15,625

12.5000

100.0150

200.00 4,287.00 4,287.00

8.0000 8.0000

93.8370 99.6932 96.5610

2,969.10 1,166.50 5,864.40

13.0000

100.0000

FXD1/2010/25YR

8.5000

100

THIRTY YEAR BOND

3,429.00 226.00

12.8000

100.0000

6,000.00

13.0000

100.0000

2,000.00

13.0000

99.9807

9,420.45

TWENTY YEAR BOND FXD1/2008/20YR

30-JUN-08

5-JUN-28

20,360.95

13.7500

FXD1/2011/20YR

30-MAY-11

5-MAY-31

9,365.80

10.0000

FXD1/2012/20YR

26-NOV-12

1-NOV-32

43,082.72

12.0000

13.2054

92.2059

50,000,000

FXD1/2012/20YR

26-NOV-12

1-NOV-32

43,082.72

12.0000

13.0104

92.2059

100,000,000

28-JUN-10

28-MAY-35 20,192.50

11.2500

91.8177

28-FEB-11

21-JAN-41 23,888.95

12.0000

91.0563

79.8372

TWENTY FIVE YEAR BOND

SDB 1/2011/30YR

INFRASTRUCTURE BONDS IFB 1/2009/12YR

23-FEB-09

8-FEB-21

19,726.85

12.5000

105.1593

IFB 2/2009/12YR

7-DEC-09

22-NOV-21 18,897.65

12.0000

102.4081

IFB 1/2010/8YR

1-MAR-10

19-FEB-18 15,908.05

9.7500

98.2874

IFB 2/2010/9YR

31-AUG-10

19-SEP-19 32,871.55

6.0000

IFB 1/2011/12YR

3-OCT-11

18-SEP-23 43,447.35

12.0000

11.0000

102.3180

99,900,000

11.0500

99.7393

150,000,000

5,514.50

12.5000

100.0000

5,000.00

13.0000

100.0000

5,080.00

12.9500

100.0000

IFB 1/2013/12YR

30-SEP-13

15-SEP-25 38,841.68

11.0000

7,000.00

12.7500

100.0000

IFB 1/2014/12YR

27-OCT-14

12-OCT-26 35,060.55

11.0000

98.4647

9,047.35

12.2500

IFB 1/2015/12YR

30-MAR-15

15-MAR-27 25,695.35

11.0000

97.3156

IFB 1/2015/12YR

30-MAR-15

15-MAR-27 25,695.35

11.0000

22,100,000

88.4106

98.1874

Friday April 10, 2015 | BUSINESS DAILY

MARKET DATA Global Markets & Currencies Currencies

Europe’s Blue Chips

Kenya Shilling CURRENCY BUY US DOLLAR 92.62 STG POUND 137.68 EURO 99.65 SA RAND 7.82 KES / USHS 31.97 KES / TSHS 19.89 KES / RWF 7.39 KES / BIF 16.50 AE DIRHAM 25.21 CAN $ 73.68 S FRANC 95.60 JPY (100) 76.97 SW KRONER 10.65 NOR KRONER 11.47 DAN KRONER 13.33 IND RUPEE 1.49 HONGKONG DOLLAR 11.95 SINGAPORE DOLLAR 68.27 SAUDI RIYAL 24.68 CHINESE YUAN 14.92 AUSTRALIAN $ 71.19

SELL 92.75 137.90 99.82 7.83 32.12 20.03 7.48 17.06 25.25 73.82 95.76 77.11 10.67 11.49 13.36 1.49 11.97 68.41 24.74 14.95 71.31

MEAN 92.68 137.79 99.73 7.82 32.04 19.96 7.43 16.78 25.23 73.75 95.68 77.04 10.66 11.48 13.35 1.49 11.96 68.34 24.71 14.94 71.25

US Dollar BACKGROUND EURO JAPANESE YEN BRITISH POUND SWISS FRANC AUSTRALIAN DOLLAR CANADIAN DOLLAR SWEDISH KRONA NORWEGIAN KRONE BOSNIAN MARK DANISH KRONE RUSSIA ROUBLE TURKISH LIRA ICELAND KRONA INDIAN RUPEE POLISH ZLOTY CZECH KORUNA HUNGARIAN FORINT UKRAINE HRYVNIA ISRAEL SHEKEL ALBANIAN LEK BULGARIAN LEV SERBIAN DINAR CYPRUS POUND ESTONIAN KROON GEORGIAN LARI GIBRALTAR POUND CROATIAN KUNA KAZAKHSTAN TENGE LITHUANIA LITAS LATVIAN LATS MOLDOVAN LEU MACEDONIA DENAR MALTESE LIRA ROMANIAN LEU SLOVAK KORUNA SERBIAN DINAR ARMENIAN DRAM UAE DIRHAM ANGOLAN KWANZA BURUNDI FRANC BOTSWANA PULA CONGO FRANC CAPE VERDE ESCUDO CHINESE YUAN DIJIBOUTI FRANC ALGERIAN DINAR EGYPT POUND ETHIOPIAN BIRR GHANAIAN CEDI GAMBIAN DALASI ERITREA NAFKA GUINEA FRANC RWANDA FRANC KENYA SHILLING COMORO FRANC LIBERIAN DOLLAR LESOTHO LOTI LIBYAN DINAR MOROCCAN DIRHAM MALAGASY ARIARY MAURITANIAOUGUIYA MALAWI KWACHA MOZAMBIQUE METICAL NIGERIAN NAIRA SC RUPEE SUDANESE DINAR SUDAN POUND ST HELENA POUND SIERRALEONLEON SAO TOME DOBRA SOMALI SHILLING SWAZILAND LILAGENI THAI BAHT TUNISIAN DINAR TANZANIA SHILLING UGANDA SHILLING CFA FRANC CFA FRANC MAURITIUS RUPEE SOUTH AFRICA RAND ZIMBABWE DOLLAR

BID 1.08 119.99 1.48 0.97 0.77 1.25 8.69 8.07 1.80 6.95 52.45 2.60 136.87 62.21 3.74 25.40 276.05 23.32 3.94 130.24 1.82 59.99 0.40 11.70 2.23 1.49 7.06 185.67 2.85 0.51 17.50 56.96 3.41 4.09 21.55 111.48 475.00 3.67 108.24 1,534.30 0.10 913.00 100.71 6.21 177.00 97.69 7.63 20.36 3.81 42.60 15.00 7,000.01 685.00 92.75 457.00 84.00 11.81 1.37 9.90 3,075.00 311.00 429.01 35.50 199.00 13.05 200.02 2,025.50 1.54 4,345.00 22,093.00 705.00 11.81 32.53 1.97 1,850.00 2,970.00 608.21 605.96 36.00 11.83 378.00

ASK 1.08 120.00 1.48 0.97 0.77 1.25 8.70 8.08 1.84 6.95 52.55 2.60 137.16 62.22 3.74 25.45 276.45 23.38 3.94 130.76 1.82 60.19 0.40 11.71 2.27 1.49 7.06 185.72 2.85 0.51 17.89 57.54 3.42 4.09 21.60 111.68 478.00 3.67 109.24 1,584.30 0.10 943.00 102.21 6.21 178.00 98.11 7.63 20.56 3.83 43.60 15.50 7,500.01 696.00 92.85 458.00 85.00 11.85 1.37 9.98 3,170.00 319.00 448.67 36.21 199.10 14.00 201.02 2,035.60 1.54 4,445.00 23,464.00 712.00 11.86 32.55 1.97 1,860.00 2,980.00 615.21 611.96 36.30 11.84 381.00

FTSE 100

Based on one day performance in local currency % PERFORMANCE IN LOCAL CURRENCY COMPANY

COUNTRY

INDUSTRY

LAST

CHG % CHG

ENI

ITALY

INTEGRATED OIL&GAS

16.75

0.05

NESTLE

SWITZERLAND

FOOD PRODUCTS

74.3

RECKITT BENCKISER GRP

UNITED KINGDOM

NONDURABLE HOUSEHOLD PRODUCTS

HSBC HLDGS

UNITED KINGDOM

GLAXOSMITHKLINE

1-WK

YTD

52-WK

0.3

4.17

15.4

-7.61

0.2

0.27

1.57

1.9

8.63

5970

0.17

2.37

14.6

25.82

BANKS

587

0.1

0.02

0.81

-3.5

-2.98

UNITED KINGDOM

PHARMACEUTICALS

1591

UNCH.

...

1.37

15.6

2.28

ALLIANZ SE

GERMANY

FULL LINE INSURANCE

165.35

-0.15

-0.09

1.13

20.4

35.81

BHP BILLITON

UNITED KINGDOM

GENERAL MINING

1469

-1.5

-0.1

2.62

5.8

-24.28

ROCHE HOLDING PART. CERT.

SWITZERLAND

PHARMACEUTICALS

271.9

-0.4

-0.15

2.03

0.7

5.72

SANOFI SA

FRANCE

PHARMACEUTICALS

95.6

-0.18

-0.19

26.4

25.59

ASTRAZENECA

UNITED KINGDOM

PHARMACEUTICALS

4697

-10

-0.21

1.12

3.1

23.26

NOVARTIS AG

SWITZERLAND

PHARMACEUTICALS

97.95

-0.25

1.93

6.1

32.9

ZURICH INSURANCE GROUP

SWITZERLAND

FULL LINE INSURANCE

313.3

-0.8

-0.25

-5.2

0.5

23.35

RIO TINTO

UNITED KINGDOM

GENERAL MINING

2853.5

-8.5

-0.3

3.73

-4.9

-16.72

AXA

FRANCE

FULL LINE INSURANCE

24.1

-0.08

-0.31

0.75

25.5

28.85

STANDARD CHARTERED

UNITED KINGDOM

BANKS

1090

-4.5

-0.41

1.25

13.2

-15.54

SAP

GERMANY

SOFTWARE

67.35

-0.35

-0.52

0.42

15.6

15.68

CREDIT SUISSE GROUP AG

SWITZERLAND

BANKS

26.71

-0.14

-0.52

1.4

6.5

-6.77

LLOYDS BANKING GROUP PLC

UNITED KINGDOM

BANKS

79.68

-0.42

-0.52

0.76

5.1

7.82

UNILEVER CVA

NETHERLANDS

FOOD PRODUCTS

40.08

-0.23

-0.56

1.79

22.8

31.13

NATIONAL GRID

UNITED KINGDOM

MULTIUTILITIES

888.2

-5.1

-0.57

1.29

-3.3

8.78

DEUTSCHE BANK

GERMANY

BANKS

32.94

-0.21

-0.63

0.5

31.8

1.97

ABB

SWITZERLAND

INDUSTRIAL MACHINERY

20.82

-0.14

-0.67

0.39

-1.5

-8.96

TELEFONICA S.A.

SPAIN

FIXED LINE TELECOMMUNICATIONS

13.11

-0.1

-0.72

-1.58

13.56

BT GROUP PLC

UNITED KINGDOM

FIXED LINE TELECOMMUNICATIONS

444.3

-3.3

-0.74

0.32

10.7

22.77

L’AIR LIQUIDE

FRANCE

COMMODITY CHEMICALS

120.4

-0.9

-0.74

0.5

17.1

21.48

BARCLAYS

UNITED KINGDOM

BANKS

255.95

-2.05

-0.79

0.47

5.1

7.27

UBS GROUP

SWITZERLAND

BANKS

18.64

-0.16

-0.85

0.54

9.1

3.15

PRUDENTIAL

UNITED KINGDOM

LIFE INSURANCE

1681.5

-15.5

-0.91

0.12

12.7

29.5

BAYER

GERMANY

SPECIALTY CHEMICALS

139.9

-1.3

-0.92

0.79

23.8

46.08

BANCO SANTANDER S.A.

SPAIN

BANKS

7.06

-0.07

-0.95

-0.27

1.9

2.33

SIEMENS

GERMANY

DIVERSIFIED INDUSTRIALS

101.15

-1

-0.98

0.3

7.9

3.18

UNILEVER

UNITED KINGDOM

FOOD PRODUCTS

2882

-32

-1.1

0.91

9.7

10.59

BASF

GERMANY

COMMODITY CHEMICALS

-1.07

-1.13

1.47

34.5

18.61

TOTAL

FRANCE

INTEGRATED OIL&GAS

47.05

-0.55

-1.15

2.63

10.7

-2.59

BRITISH AMERICAN TOBACCO

UNITED KINGDOM

TOBACCO

3589

-42

-1.16

0.34

2.5

5.87

DIAGEO

UNITED KINGDOM

DISTILLERS&VINTNERS

1906

-23.5

-1.22

0.82

3.1

1.46

GLENCORE PLC

UNITED KINGDOM

GENERAL MINING

287

-3.65

-1.26

2.23

-3.9

-9.18

VODAFONE GROUP

UNITED KINGDOM

MOBILE TELECOMMUNICATIONS

222.55

-2.85

-1.26

0.16

UNCH.

3.51

DEUTSCHE TELEKOM

GERMANY

MOBILE TELECOMMUNICATIONS

17.16

-0.22

-1.27

0.76

29.5

52.03

ING GROEP

NETHERLANDS

BANKS

13.93

-0.18

-1.28

0.43

28.6

36.92

Global Indices NAME

LOCATION

DJ INDU AVERAGE

NEW YORK

FTSE EUROTOP 100

LONDON

LAST

OPEN

HIGH

LOW

17,902.51

27.09

NET.CHNGPCT.CHNG 0.15%

17,877.62

17,976.20

17,822.23

17,875.42

3,248.69

19.08

0.59%

3,227.39

3,249.14

3,227.39

3,229.61

12,047.91 12,035.86

XETRA DAX PF/D

FRANKFURT

12,087.13

51.27

0.43%

12,099.43

12,117.03

CAC 40 INDEX/D

PARIS

5,179.08

42.22

0.82%

5,156.16

5,179.80

FTSE MIB/D

MILAN

23,724.43

145.73

0.62%

23,653.15

23,729.52

5,154.60

5,136.86

23,624.07 23,578.70

SMI PR/D

SWITZERLAND

9,361.93

114.11

1.23%

9,300.18

9,364.55

9,299.08

HANG SENG INDE/D

HONG KONG

26,944.39

707.53

2.70%

26,913.28

27,922.67

26,732.23 26,236.86

NIKKEI 225 INDEX

TOKYO

19,937.72

147.91

0.75%

19,851.12

19,957.32

19,822.49

ALL ORDINARIES

AUSTRALIA

5,901.51

-26.81

-0.45%

5,928.30

5,931.10

5,899.80

5,928.31

STRAITS TIMES/D

SINGAPORE

3,460.30

-0.38

-0.01%

3,472.63

3,476.27

3,450.26

3,460.68

SSE COMPOSITE/D

SHANGHAI

3,958.54

-36.27

-0.91%

4,006.13

4,016.40

3,900.03

3,994.81

S&P SENSEX/D

MUMBAI

28,885.21

177.46

0.62%

28,858.42

28,906.71

28,622.44

28,707.75

9,247.82

19,789.81

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LAST 1017.50 2996.00 1575.00 476.32 1561.50 738.00 1140.00 311.80 555.30 4740.00 536.00 257.15 3631.50 1151.00 858.25 1457.50 1897.00 457.05 1811.00 450.50 3355.00 260.00 1195.00 1132.00 2851.00 1790.00 1922.50 210.82 202.20 1183.00 687.50 305.70 356.20 288.25 1604.50 682.37 1200.00 597.60 547.50 599.00 2721.00 1256.00 3174.34 2570.00 259.36 3496.00 219.50 364.80 1288.00 284.50 79.35 568.50 553.82 199.97 897.00 7017.50 234.90 1014.88 583.50 1692.50 1483.00 6031.00 347.40 1984.90 1172.00 2015.00 585.00 2827.78 951.00 4733.00 432.90 3648.71 273.37 3322.00 2517.00 477.90 5435.00 468.90 1124.00 1171.00 142.60 1549.36 1098.50 2148.15 649.58 321.90 247.85 2921.00 964.86 535.50 224.20 1736.30 4077.00 1579.00 5370.00 7.70

CLOSE 1026.50 2963.00 1566.00 465.30 1595.00 733.00 1123.00 300.10 550.00 4697.00 532.00 255.95 3589.00 1153.00 849.00 1469.00 1888.00 457.30 1743.00 444.30 3324.00 259.00 1178.00 1130.00 2809.00 1752.00 1906.00 209.40 200.80 1181.00 686.00 303.10 357.30 287.00 1591.00 680.00 1185.00 587.00 540.00 591.00 2674.00 1275.00 3146.00 2600.00 256.40 3441.00 220.80 363.00 1276.00 283.00 79.68 561.00 554.50 198.70 888.20 7020.00 232.50 1006.00 581.00 1681.50 1431.00 5970.00 348.70 1982.50 1160.00 2019.50 582.50 2853.50 944.00 4691.00 432.50 3638.00 270.70 3284.00 2484.00 472.20 5485.00 482.40 1120.00 1162.00 147.90 1535.00 1090.00 2136.00 641.50 313.60 246.85 2882.00 958.50 517.50 222.55 1765.00 4004.00 1560.00 5290.00 7.45

NET.CHNG -9.00 33.00 9.00 13.10 -34.00 5.00 17.00 11.70 5.50 43.00 4.00 1.20 42.50 -2.00 8.50 -11.50 9.00 -0.25 68.00 6.20 31.00 1.00 17.00 2.00 42.00 38.00 16.50 1.40 1.40 2.00 1.50 2.60 -1.10 1.25 13.50 2.50 15.00 10.60 7.00 8.00 47.00 -19.00 28.00 -30.00 2.90 55.00 -1.30 1.80 12.00 1.50 -0.33 7.50 -0.50 1.30 8.80 0.00 2.40 10.00 2.50 11.00 52.00 61.00 -1.30 5.50 12.00 -4.50 2.50 -25.50 7.00 42.00 0.40 10.50 2.70 38.00 33.00 5.70 -50.00 -13.50 4.00 9.00 -5.30 15.00 8.50 10.00 8.00 8.30 1.00 39.00 6.50 18.00 1.65 -28.00 73.00 19.00 80.00 0.25

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BUSINESS DAILY | Friday April 10, 2015

The

OBITUARY Eshiwani: Fo≥me≥ KU vice-chancello≥ leaves the scene Page 29

GOLF How Kenya Open and the Maste≥s a≥e ≥elated Page 31

Featu≥es | Viewpoints | P≥oﬁles | Analysis

In the Headlines

Law student who found escape ≥oute in Shabaab TERRORISM University of Nairobi trained Abdirahim Abdullahi

felled by Recce’s bullets when he attacked Garissa killing 148 BY JOHN KAMAU

What else would it take to ponder in time when to fall over one’s self in awe, love, joy and fulﬁlment? -Garissa killer, Abdirahim Abdullahi, November, 10, 2009.

ixty-four months after he wrote those apocalyptic words on his Twitter account, he lay dead on the concrete floor of Garissa University College from an unseen gun wound. He was still dressed in a stripped shirt and straight leg chinos. Two pieces of his stripped shirt lay near the crouched elbow atop some caked blood. Abdirahim Abdullahi, who read Law at the University of Nairobi, was not the classic terrorist, although he wore the trademark flak jacket, and was armed with an AK-47. He was middle-class and had worked briefly for a local bank. He was a social freak.

Abdirahim Abdullahi.ILLUSTRATION BY STANSLAUS MANTHI

The General Service Unit Recce unit sniper appears to have caught him before he triggered the suicide vest — if he had any. A few spent catridges lay by his side — his recognisable face facing the left. Ababmo, as fellow students fondly called him, was no more. Abdullahi is thought to have joined the militant Al-Shabaab group in 2013 while still at university. According to a CBS news report quoting senior university administrator Noel Manyenze, Abdullahi never graduated for there were “pending issues with his transcript.” Also, during his last year at the university, his lecture attendance record dropped to a 20 per cent low and became a C and D student. He hardly updated his Twitter account and when he did it was full of lamentations. “Some lectures are natural bores. Lookin 4 an escape route.... This boredom’s drilling into my bones *sigh*” he wrote in 2009, the year he entered the university. “What I can vividly re-

ABDIRAHIM ABDULLAHI Who brainwashed Abdirahim Abdullahi to the extent of not graduating after attending Law classes for years at the University of Niarobi? His sister thinks somebody did that. Ababmo to his friends, who was only 26 when he was felled during the attack that left 148 dead at Garissa, was a lover of books and football. ‘Merchant of Venice’ by Shakespeare was one his best collections until he turned to be a merchant of death, instead. Immediately he joined university, he complained that classes and lecturers were boring and swore that he was looking for an escape route. Did he ﬁnd one such route in terror cells and returned to attack his country?

member is that in high school we used to play football together and we used to call ourselves “Team C”. We were not talented footballers but we played for fun during games time in the evening that was 2004-2006,” recalled his friend, Ali Al-soomal, in a Facebook post. Abdullahi’s elder sister, Ifrah, says their brother loved football and books. His best was the classic, William Shakespeare’s Merchant of Venice. Another fellow student at the Law School, Gerald Kiti, saw him as a “vibrant, lively... and a generally cool person…For Ababmo to be associated with a terrorist attack... it’s astonishing, it’s very surprising.” Son of Abdullahi Daqara, the Chief of Bulla Jamhuri in Mandera County, he was reported missing to the authorities last year by his father. He feared that his son, a former student at Wamy High School in Nairobi, could have crossed over to Somalia. He would call his father and terminate calls once asked about his location. A sharp dresser, he is thought to have got ﬁrst links to Al-Shabaab while in either Second or Third year. But at university, according to his friends — and apart from the irregular class attendance — there were no signs that he had become a terror recruit. January 2009 had witnessed signiﬁcant changes in Somalia. Ethiopia had pulled out its troops from Somalia and a UN-brokered peace process had led to the establishment of the Transitional Federal Government headed by Sheikh Sharif Ahmed, a former leader of the Islamic Courts Union. There was frenzy of calls from Jihadists and from Osama bin Laden calling for the removal of President Ahmed and the group accelerated its recruitment and attacks inside Somalia. In the next year, Al Shabaab carried multiple suicide bombings in Uganda which

was part of the Amisom troops station in Mogadishu. But it appears that Abdullahi’s recruitment fell between Kenya Defence Forces entry into Somalia in 2011 and fall of Kismayu in 2012. Some reports suggest that he may have tried to join the newly-formed Islamic State of Iraq and the Levant (ISIL) in Syria after it was formed in 2013. ISIL’s intention was to create an Islamic caliphate in all targeted territories dissolving states and emirates in its wake. Kenya fell within the map. But Abdullahi, 26 at the time of his death, did not accomplish his mission and settled for the Al-Qaeda-backed Al-Shabaab. His Garissa University mission was, however, not part of Isis. “We are a respectable member of al-Qaida,” Al Shabaab Somali spokesperson Ali Mohamoud Raage told Newsweek this week. By the time his father reported him missing, another University of Nairobi Commerce graduate, named Abdullahi Hajira also disappeared for the second time. Hajira, the son of a Kenya Defence Force soldier, had returned in 2013 to ﬁnish his studies but blew himself up at the Pangani Police Station in April 2014 after he was arrested. Since 2012, more than 600 people have been killed in Kenya by the Shabaab.

Terror cells Some media reports say that Abdullahi and Hajira were friends and he (Hajira) could have recruited him into the terror cells in Nairobi. Both were residents of Mandera. Another University of Nairobi student, named Atom, also left for Turkey where he is believed to have joined Isis, which is estimated to have 22,000 foreign fighters from about 100 countries. A recent report submitted to the United Nations Security Council in late March says Iraq and Syria have become a “veritable international finishing school for extremists.” How a man who wore suits and ties, smiled to the camera led Kenya’s most heinous gun rage might never be known. It is the same questions that the British are asking about “Jihad John” the computer expert who is the face of Isis beheading unit. The emergence of a middle-class within the terror groups, according to Gen Michael Hayden, a former director of the CIA, “negates the narrative by the Obama administration that poverty inspires terrorism.” “I think someone brainwashed him to do something on behalf of them,” Ifrah told New York Times. Perhaps. But on April 2, he lay dead on the concrete floor having led a group that executed 148, majority of them Garissa University students. jkamau@ke.nationmedia.com

Friday April 10, 2015 | BUSINESS DAILY

Featu≥es | Viewpoints | P≥oﬁles | Analysis

THE WEEKENDER

Man About Town

My best Easte≥ pa≥ty in yea≥s came to pass CELEBRATIONS I ﬁnd myself with all the time after my wife

accompanied her younger sister to her parents’ in the village We are back to the office after the Easter Break the statement was important and I had to ask: and once again events remind me that I need to “Who is we?” She answered: “But, of course, you discuss my job description with the CEO. But the and I, and you said that this time round we have only challenge is that I can never seem to gather no plans so this works out just fine.” Things have the courage to ask. been nice between both of us and I promised we This morning, I found myself in a meeting to would go. I dared not tell Shiro at this point that I really do not like going to her side of discuss an important tender that the family because as very conservawe are submitting. In fact when I Though I received the meeting invite, I asked tive Christians they do not allow me the CEO’s PA whether my presence to have a drink. was inwardwas needed. Come Good Friday, I was all set to ly delighted, She said: “The boss insisted that leave and was looking towards a leiI kept my you must attend.” I had no choice surely drive to Shiro’s village, reading joy hidden but to be there. As I am sitting in the the newspaper before setting off. and moaned boardroom waiting for the meeting At about 9am, a hysterical Shiro inhow I would to begin, I look back to my Easter terrupted my reading, saying, “Babes miss the trip we have a problem.” My first thought weekend which was simply heavwas the baby and I said, “What is the enly and made me remember my matter with the baby? Do we go to bachelor days. A fortnight ago, Shiro informed me that there hospital?” She said, “No, nothing is wrong with would a function on her side of the family for a the baby but my sister is in deep trouble.” I had to younger sister who is getting married. She was calm Shiro down to narrate the story which ended clearly excited and said: “We cannot miss this since up being that her sister’s car would not start at all. it is our baby who is getting married.” The ‘we’ in Since her sister lives down the road from where we

stay. I offered: “I can drive down and see what is the matter and call my mechanic.” An hour later after trying all manner of tricks and having the mechanic try fix the car, we realised that this car requires an engine overhaul. The mechanics said “Since most of the shops are closed for Easter, we can only do this on Tuesday.” Shiro’s sister was distraught as she said, “But, I cannot miss the function at home! I must go! We figured out that the best thing to do is to have Shiro, her sister, their children and their nannies go to the village. The natural outcome was that I could not accompany them. Though I was inwardly delighted, I kept my joy hidden and moaned about how I had been looking forward to the day. Shiro’s sister was praising

me for ‘such a sacriﬁce for her sake.” That is how I ended up in Nairobi with free time and with no family demands. I managed to connect with some of my ex-college friends and get thoroughly drunk. Better still, since I did not have a car I used cabs and avoided the menace of Alcoblow. I watched all the football matches uninterrupted without having to make way for Cartoon network. I walked around the house dressed in only my T-shirt. A good time. My reminiscing is brought to an abrupt end by the voice of the CEO saying, “ I think we now have a quorum, the meeting can start. Josphat! Please take minutes.” I really need to have that job description conversation.

Quotable quotes

“The attack in Garissa is obviously the work of Kenyan Somalis. Let us not blame Somalia’s Al-Shabaab. This is local.” NAIROBI LAWYER AHMEDNASSIR ABDULLAHI IN A SERIES OF TWEETS LINKING LOCAL POLITICIANS TO THE KILLING OF 147 STUDENTS AT THE GARISSA UNIVERSITY COLLEGE.

I ask (President Kenyatta) to re-look why we are a soft target for Al-Shabaab. How come there is no terrorism attack in Ethiopia yet Ethiopia and Somalia are true existential enemies? Could it be that the enemies are within? History is replete with Trojan Horses. At the height of the Cold War, it was found that the closest aide to German Chancellor Willy Brandt was a stassi agent and the Government collapsed because of the scandal....without engaging in McCarthyism, have all your closest aides including Ministers vetted. In the fog of war, trust but verify! - LAWYER DONALD KIPKORIR ON THE GARISSA MASSACRE.

BUSINESS DAILY | Friday April 10, 2015

Featu≥es | Reviews | P≥oﬁles | Analysis

THE WEEKENDER

Theatre

Play b≥ings out sins and sec≥ets of family life as ‘Hea≥ts of A≥t’ ≥etu≥ns for herself, something she’s never done before. Her survival strategy involves calling an old college friend Peter (played by Sitati) to help out, which he does. But going to stay with Peter’s family is like going from the frying pan into fire for Janel. They are just about to go into ‘battle-mode’ as she arrives. The ‘enemy’ approaching is the absentee father (Kennedy Musumba) who left Peter’s mother Maria (Grace Waihuini) 23 years before with one son and another (Elvis Gatere) on the way. The second round of fireworks begins with the father’s arrival. But this is also when the biggest ‘treat’ of all appears on stage. Musumba hasn’t been a household name in local theatre circles for more than two decades, but the co-founder of Mbalamwezi Players was a trailblazing thespian who in his day made waves, not only as a producer-director but as an actor as well. Musumba not only launched Mbalamwezi in the early 1980s with Eliud Abuto, who subsequently went on to form the Festival of Creative Arts which opens next Thursday in Don’t Let me Go! at Alliance Francaise, starring Robert Agengo, Mama Janel (Ellsey Janet Kirina, Martin Githinji, Justin Mirichi, Diana Mulwa, Nick Ndeda and Aketch) with younger daughter Kirumburu Ng’ang’a. Tina (Tracy Amadi) Musumba and Abuto also launched the and dad (Job Mbalamwezi Theatre Awards which had a Wasonga) in Sins and catalytic effect on thespians, theatre critSecrets. MARGARETTA WA ics and even corporates like Jimna Mbaru GACHERU who began to take more seriously theatre’s critical role in reflecting issues challenging Kenyan society. Ironically, Musumba’s sudden and inexplicable departure from the theatre scene somehow echoes the role of his character in Sins and Secrets since Peter’s dad did a similar disappearing act, albeit for entirely different reasons. The derelict dad in Sitati’s play walked out because he had another family somewhere which he apparently felt compelled

COMEDY Co-founder of Mbalamwezi Players Kennedy

Musumba in active role after being away for two decades

BY MARGARETTA WA GACHERU

Nairobi theatre-goers are in for a treat this weekend when Hearts of Art returns to Alliance Francaise (after going silent for more than a year) with a brand new script entitled Sins and Secrets by the group’s founder Walter Sitati. The ‘treat’ is not simply the story, which reﬂects so many facets of the challenges people face in Kenya — everything from corruption, nepotism and the gross inequality between the super-rich and the rest of us to the internal crises of families pulled apart by multiple social forces. Sitati has also done an excellent job casting credible characters to play members of two families, one of which is well-to-do but hardly happy,

the other lower middle class headed by a single mother who has struggled alone for years to ensure both her sons grow up to be well-educated, well-mannered and wise young men. I don’t want to give away too many details of Sitati’s storyline. Suﬃce it to say, there is both emotional strife arising from family crises. But there’s also humour as characters struggle to resolve the dilemmas they face. One of the biggest crises revolves around Janel (Beatrice Wawka) being tossed out of her family home by a father (Job Wesonga) who’s fed up having given his ﬁrst born all the opportunities money can buy, yet she’s ‘blown it’ by losing a lucrative job he helped her get. Enough is enough, he’s decided. It’s now for this spoilt young woman to fend

Ken Musumba as the derelict father with Maria (Grace Waihuini) in Sins and Secrets. MARGARETTA WA GACHERU

to go and stay with. But it is after the other wife dies that he decides to come back to Maria. If he expected a warm welcome, he’s sorely mistaken. Fireworks ensue as Maria’s sons, loyal to their mum, want this old man who has disrespected her and them to disappear for good.

Fine screenwriter Understandably, Maria is also livid about his arriving after 23 years, yet she still has a soft spot in her heart for this audacious man who dares to show his face after so long. Janel is dismayed at the discovery it’s not just her family that’s dysfunctional. Her father and mother (Ellsey Oketch) also were often at war before she left home. How the story is resolved is something one will have to ﬁnd out. Sitati is one of Kenya’s most interesting playwrights, but it also turns out he is a ﬁne screen writer as we will also get to see this weekend when a chunk of his latest TV series entitled Simple Men will serve as a sort of curtain raiser before Sins and Secrets comes on. It’s a series that sounds somewhat similar to the popular American sit-com Friends and it should be shown on the MNet station later this year. margaretta.gacheru@gmail.com

Anonymous a≥tists honou≥ Snowden with b≥onze statue A group of anonymous artists erected a four-foot-tall bronze statue of Edward Snowden, the former US spy agency contractor famous for leaking classiﬁed information, in a New York City park overnight, oﬃcials said this week. The large molded bust of Snowden, depicted wearing a collared shirt and his signature glasses, was placed atop a stone pillar that is part of an existing monument at Fort Greene Park

in Brooklyn, photos posted to social media showed. The name “Snowden” spelled out in bronze letters appeared to be attached to an adjacent shorter pedestal on top of which sits a bronze bald eagle spreading its wings, a statue that has long made its home in the park. The idea for the statue was conceived by two New York guerilla artists who worked with a West Coast sculptor to create the ﬁnished piece,

reported Animal New York, a local news and culture blog, which was invited to witness the late-night installation.

Our liberties The artists, whose names were not disclosed, said they sympathised with Snowden, the former US National Security Agency contractor who leaked details of massive US intelligence-gathering programmes

and remains in hiding in Russia, and intended to pay tribute to him with the installation. “Our goal is to bring a renewed vitality to the space and prompt even more visitors to ponder the sacriﬁces made for their freedoms,” they said in a statement published by the blog. “We hope this inspires them to reﬂect upon the responsibility we all bear to ensure our liberties exist long into the future,” they said.

By late afternoon on Monday, park oﬃcials removed the illegal statue, which park workers had covered with a blue tarp. Park spokeswoman Maeri Ferguson said park oﬃcials were deciding what to do with it. Ferguson did not say whether park property had been damaged. City police said they were investigating. -REUTERS

Friday April 10, 2015 | BUSINESS DAILY

Featu≥es | Viewpoints | P≥oﬁles | Analysis

THE WEEKENDER

Obitua≥y

Mathematician who juggled academia and politics TRIBUTE Eshiwani, who died last weekend, knew corridors of

power in Moi regime and ordered KU’s ﬁrst seven computers BY JOHN KAMAU

t the height of his career, George Eshiwani was the vice-chancellor of Kenyatta University by day and a Kanu consultant by night. “Moi was my friend,” he once told a TV station. So entrenched was Prof Eshiwani in the Kanu regime that former President Moi once named him to a think-tank that was to help Kanu strategise on winning the 1997 general elections. The good professor of mathematics had little choice. Perhaps he had. At KU, students fondly called him ‘Georgy’ when he freely mixed with them, fielding their endless questions, ranging from accommodation to quality of food and state of lecture halls. He was easy-going, smooth-talking and would easily take to the podium to dance with students during the KU Culture Week, which he had introduced, in the month of September. However, those who fell out with him would easily be expelled from the university. His dalliance with Kanu was his other hallmark. The cat was let out of the bag when Moi left power and the Goldenberg inquiry provided Kenyans with a sneak preview of the underworld of the Kanu regime where money squirrelled from Central Bank through fictitious diamond export compensation scheme earned ne’er-do-wells and political scoundrels pseudo-celebrity status. For his role, and for unknown reasons, Prof Eshiwani is listed in the Judicial Goldenberg Report among the primary beneficiaries as having received Sh12 million. The payments were received from what Goldenberg architect Kamlesh Pattni described as the “election account” or what was known as Steadfast account. “It is possible that the payments were made in connection with the 1992 Kanu election campaign,” said the commission led by Justice Samuel Bosire.

Own class During the judicial hearing, Prof Eshiwani emerged, not as the leader of KU, but as a Kanu operative who was used to dishing out campaign money ahead of the 1992 election. In September 1992, he led about 1,000 students to State House, Nairobi where they met with President Moi to announce their “defection” from the Forum for the Restoration of Democracy (Ford), an Opposition party then. According to then student leader, Morris Muthamia Mwariama, Prof Eshiwani forced him to defect to Kanu and mobilise other students to hold a massive demonstration against Ford. For that, he told Justice Bosire, he received Sh800,000 from President Moi to start campaign against the Opposition. Prof Eshiwani was not alone. Other vicechancellors, including University of Nairobi’s Phillip Mbithi and his successor Francis

Gichaga, Moi University’s Justin Irina and Japheth Kiptoon of Egerton also led student delegations to State House. However, Prof Eshiwani appeared on the list of money recipients. As a scholar, Prof Eshiwani was in a class of his own. He made students love sciences and would attract many to his lectures. Born in 1941 in Mulwanda, Butere, he had, after graduation from the University of East Africa, settled as a chemistry and mathematics teacher in Kisii School where he started the “A” Level class. But Eshiwani did not stay for long in Kisii and was transferred to Alliance High School. It was during this time that he was accepted for an MSc course at Stanford University where he also did his PhD in Mathematics, graduating in 1975 — the same year that Dr Sally Kosgei, who was to later become an insider in Moi’s government — was graduating with her Master’s degree in History at the same university. Eshiwani’s research was on the teaching of probability to secondary school students and he appears to have used this well. After Stanford, Eshiwani settled for a teaching career as a lecturer at the University of Nairobi. He wrote papers in refereed journals and wrote books as well. He loved doing research and even after Moi left power, and he came under pressure to quit, he went to see his fellow mathematician, Prof George Saitoti who had managed to squirrel out of sinking Kanu and became Mwai Kibaki’s new Minister for Education, Science and Technology in the Narc government formed in 2003. Prof Eshiwani, as Saitoti would later tell Parliament, knew that his time was up and wanted to go back to research. In March, 2003, there was unrest at KU, where Prof Eshiwani had reigned since April 21, 1992 when Moi appointed him at the height of the campaigns under a multi-party system – and the professor was under pressure to quit. Various allegations had been levelled against him and his three deputies: Prof Jude Ongong’a, Prof Mohammed Rajab and Prof Olive Mugenda by officials of the Universities Academic Staff Union (Uasu) and student leaders. They accused Prof Eshiwani and his management of lack of dialogue, highhandedness, mismanagement and abuse of office. The situation was so bad that the KU Senate was forced to sit at Utalii College as students barricaded the Administration block.

“I have information that George Eshiwani is destroying information that has to do with the investigations that are going on,” Koigi wa Wamwere told Parliament as legislator Peter Munya sought a ministerial statement. But Prof Eshiwani had left a legacy at KU. When he arrived there as the first vice-chancellor, the university had no computers and he ordered the first seven computers from ICL and IBM. He was one of the first Kenyans to have e-mails in his office in 1992. He also started the African Virtual University, a World Bank supported initiative, in which he was named the international chairman. It was to offer degrees in computer science, computer engineering and electrical engineering. Prof Eshiwani, as investigations started of his reign, left KU for his rural home where he dug two ponds and started fish farming. As a

founding principal of Jomo Kenyatta College of Agriculture and Technology (now Jkuat), Prof Eshiwani put into practice what he always reminded students: innovation and competence. What was started as a hobby soon thrived into an aquaculture venture of 50 ponds with tilapia and mud ﬁsh. His former KU student, Simon Gicharu, who founded Mt Kenya University, appointed Prof Eshiwani as the Pro-Chancellor to maintain and oversee quality. He was also the chairman of Technical University of Kenya, previously The Kenya Polytechnic. But he appears to have settled for rural life after failing to get an ODM ticket for the Khwisero seat in 2007. Every Sunday, he would attend the ACK Mulwanda Church and he never abandoned his friends. That is how despite his failing health, he decided to attend the funeral of Grace Ogot last weekend. He died the same day. jkamau@ke. nationmedia. com

Prof George Eshiwani. ILLUSTRATION BY STANSLAUS MANTHI

PROF GEORGE ESHIWANI George Eshiwani died on April 4 at 74, while attending the burial of author and politician Grace Akinyi Ogot in Gem. From 1992 to 2003, he was the vicechancellor of Kenyatta University, where he put a strong argument for innovation and competence. After active university life, Prof Eshiwani took up farming, choosing aquaculture, where he had 50 ponds of tilapia and mud ﬁsh. His former student, Simon Gicharu, who founded Mount Kenya University appointed him pro-chancellor. He was also the chairman of the Technical University of Kenya.

BUSINESS DAILY | Friday April 10, 2015

Featu≥es | Viewpoints | P≥oﬁles | Analysis

THE WEEKENDER

Book Review

NEW IN NAIROBI

Publishe≥’s No sha≥pens my pen BY MWIKALI LATI

Anthony Mugo has been writing ﬁction for more than 20 years. He won the Budding Writer’s Prize in 2009 and 2010 for his two novel manuscripts: Too Innocent to Die and Not a Drop. Two years later, he entered the Burt Award for African Literature with his novel Never say Never and won. Two years later, Ask the Stars won the same award. Both are published by Longhorn Publishers.

When did you ﬁrst realise you wanted to be a children’s book author? The Burt Award is for Young Adult literature so I had to adapt. I would say Young Adult literature chose me.

Where do you get your story ideas? Albaik Restaurant is a fast food franchise serving roast chicken, ﬁsh, shrimps, subs and burgers. It is on the ground ﬂoor of Corner House, opposite Hilton Hotel and the International Life House, on Mama Ngina Street. The Saudi Arabia-based restaurant now has two branches in Kenya; another one is in Nyali, Mombasa. SALATON NJAU

Bestsellers HARDCOVER FICTION

11. “Private Vegas” by James Gawande (Metropolitan) Patterson and Maxine Paetro 5. “Every Day I Fight” by Stuart Scott (Little, Brown) (Penguin/Blue Rider) 12. “World Gone By” by 6. “Killing Patton” by Bill O’Reilly and Dennis Lehane (Morrow) Martin Dugard (Henry Holt and Co.)

1. “The Girl on the Train” by Paula Hawkins (Riverhead)

13. “Mightier than the 7. “Savor” by Shauna Niequist (Zondervan) Sword” by Jeffrey Archer (St. 8. “10-Day Detox Diet Cookbook” by Mark Martin’s Press) Hyman (Little,Brown) 14. “Leaving Berlin” by 9. “Thug Kitchen” by Thug Kitchen (Rodale) Joseph Kanon (Atria) 10. “The 20/20 Diet” by Phil McGraw (Bird

2. “All the Light We Cannot See” by Anthony Doerr (Scribner) 3. “Last One Home” by Debbie Macomber (Ballantine) 4. “Prodigal Son” by Danielle Steel (Delacorte) 5. “The Assassin” by Cussler/Scott (Putnam) 6. “Endangered” by C.J.Box (Putnam) 7. “A Spool of Blue Thread” by Anne Tyler (Knopf) 8. “The Buried Giant” by Kazuo Ishiguro (Knopf) 9. “The Nightingale” by Kristin Hannah (St. Martin’s Press) 10. “Cold Betrayal” by J.A. Jance (S&S/ Touchstone)

Thousands of possible things can happen to a man in a day that can change him, the society or the world forever. One only needs imagination and creativity to explore these possibilities in a manner that makes them stand out. Sometimes all we need to do is to recall. Never say Never is semi-autobiographical. We have as many and diverse growing up stories as our entire population. What lacks are passion, patience and perseverance to write them down. If we had to tell all our stories time would run out.

Your book Ask the Stars touches on sibling rivalry. Was this a difﬁcult subject to write about?

Ask the Stars echoes tribal supremacy wars in our country which most of us can relate to. I aimed to show that amid all the diﬀerences and misunderstandings we are stronger united. It was particularly fulﬁlling to see Titus Mutuiria reconcile with himself, know what he can and can’t change and channel his energies toward the greater good.

As an adult writing for children, how do you make young authentic characters? I give the characters realistic goals and challenges common to youth in real life. I give them traits of youth: they are in a hurry, they ﬂirt with risks, they love adventure, they feel insecure and they want to discover who they really are.

How do you handle rejection from publishers? I write even more. I finished Too Innocent to Die in 2006 but it is still unpublished. I have since published two books and finished three more stories. I believe in myself so fiercely. Rejection can’t dent my resolve. I challenge myself to become such a good writer no one can ignore.

You have won the Burt Award twice now, looking to enter it a third time? Burt Award aims to make available good and relevant stories and I believe I have lots of these to tell. mwikalilati@gmail.com

15. “The Fifth Gospel” by Ian Street Books) Caldwell (Simon & Schuster) 11. “Goddesses Never Age” by Christiane Northrup (Hay House) HARDCOVER NONFICTION 1. “Dead Wake” by Erik Larson (Crown) 2. “The Life-Changing Magic of Tidying up” by Marie Kondo (Ten Speed) 3. “Get What’s Yours” by Laurence Kotlikoff, Philip Moeller and Paul Solman (Simon & Schuster) 4. “Being Mortal” by Atul

12. “Money: Master the Game” by Tony Robbins (Simon & Schuster) 13. “17 Carnations” by Andrew Morton (Grand Central) 14. “Yes Please” by Amy Poehler (Dey Street Books) 15. “Our Kids” by Robert D. Putnam (Simon & Schuster)

Anthony Mugo displays one of his books during the interview. He says a rejection by a publisher pushes him to write more and release better manuscripts. SALATON NJAU

Friday April 10, 2015 | BUSINESS DAILY

THE GOLF COURSE

THE WEEKENDER

The chain that links Ba≥clays Kenya Open and the Maste≥s PRESTIGE Many alumni of Kenyan tourney playing at Augusta

Tough CUT questions and how Barclays Kenya Open, a wet one in many years, will be won Here is my armchair assessment of how the Barclays Kenya Open will be won, and lost. But first let me discuss the dreaded CUT that the golf professionals and six amateurs in action today will be facing. From the start list of 156 golfers, only 60 (plus ties) will play into the weekend, the rest will be CUT OFF! At the 2013 Barclays Kenya Open, the CUT was set at 2-over par and the winning score was 12-under as set by Jordi Garcia Pinto who was pushed to the wire by Tim Sluitter who finished a shot behind. At the 2012 Barclays Kenya Open, the CUT was generous at 4-over par and the winner Jake Roos posted a winning score of 10under par. He was chased down the 18th by Lasse Jensen, Adrein Bernadet and Pedro Oriol all on 9-under par. So where will the CUT line be drawn today? And what will be the winning score on Sunday? And perhaps, how many Kenyans will make the CUT today? In 2013 five Kenyan pros made the CUT – Greg Snow, Kopan Timbe, David Odhiambo, Njuguna Ngugi and Brian Njoroge. Dismas Indiza missed the CUT by one miserable stroke. In 2014 only Snow and Indiza made the CUT. 2015 is a different ball game . Karen Country Club has refurbished two greens, the par-4 11th and the par-5 third. The championship is also being held during

THE GOLF TALK CHARLES GACHERU

his weekend, some of the world’s top golfers will be at the Karen Country Club for the final two rounds of the Barclays Kenya Open, the regions most prestigious golf championship and part of the European Challenge Tour. Now in its 48th edition, the Barclays Kenya Open has a long history, many top class golfers, including Trevor Immelman and Henrik Stenson who are both playing at perhaps the world’s greatest golf tournament this weekend— the Masters, — have participated in the championship. Talking of the Masters, other Barclays Kenya Open ‘alumni’ playing at the Masters include Branden Grace, Vijay Singh, Ian Woosnam, Martin Kaymer, Joost Luiten and Ian Poulter. Some may remember the epic battle for the Kenya Open title at Muthaiga in 2011 – winner Michiel Bothma had to fight off the attack of his fellow South Africans Tyrone Ferreira and Branden Grace and also that of England’s Sam Walker. Grace went on to have a fantastic season on the main European Tour in 2012, winning the Jo’burg Open, the Volvo Golf Champions, where he beat Ernie Els and Retief Goosen in a playoff, the Volvo China Open and the Alfred Dunhill Links Championship. This weekend, he plays with the big boys at the Masters and not just as a spectator, Grace was T18 at the Masters in 2013. But why haven’t we seen the same level of success among the Kenyan professionals? Where are our Immelmans and Luitens? As you read this, the Kenyan delegation at the Barclays Kenya Open will be playing in the second round of the championship and they will be battling to make the CUT. For those unfamiliar with the CUT, let me explain. The Kenya Open field includes 156 golfers, but only 60 can play into the weekend and participate in rounds three and four. Golfers, and appropriately so, refer to this ‘selection’ as the CUT. And missing the CUT is seriously horrifying thing for a golf professional. Firstly it means you go home with ZERO earnings and secondly it means you miss the opportunity for invitations into future events. Year in year out at the Kenya Open, the large Kenyan delegations has continued to miss the CUT by a mile, perhaps this year will be different. By the way, we have six amateurs play-

GOLF Briefs Kenya’s rainy season, giving us the ﬁrst wet Kenya Open in a long time — will the local boys fair better or worse in these conditions? And lastly, Tournament Director Patrick Obath has kept Par at 72 – you see in previous years, Obath in his wisdom has turned the easy par-5 3rd hole (easy for some) into a monster par-4 – and many dreams were invalidated at that hole. This year, and in the spirit of Easter, Obath is playing that hole as a par-5, giving golfers the opportunity for birdie. So how will the Barclays Kenya Open be won? In my not so humble opinion, the key to winning will be the par-5s. The golfers who score up to 8-under total over the par-5s will win this tournament. The second and third holes are both cast iron birdie holes; the better players will require mid to short irons into the second green and mid to long irons into the third green for eagle and birdie opportunities. Records show that the 15th and 18th have played easy — but wait, didn’t Karen add a water feature on the par-5 18th? Will that have an effect on performance? I can name a few Kenyan pros who will ﬁnd that water feature repeatedly. The par-4s are where this championship will be lost. My take for the CUT – 1-over par. My take for the winning score – 13-under par. -CHARLES GACHERU

GOLF FIXTURES Vet Lab Friday CBA Loresho Association Golf Day Sponsored by Commercial Bank of Africa

Professional player Greg Snow lead the Kenyan team at the 48th edition of the Barclays Kenya Open which kicks off today. COURTESY

ing in the Barclays Kenya Open as well, and while they are not competing for the 200,000 euros (Sh20m) prize kitty, they too face the CUT today. Any amateur making the CUT will be eligible to win the Kenya Open Amateur Silver Salver; this prestigious Salver was last won in 2011 by Boniface Simwa. In that year, another amateur Collins Omondi also made the CUT alongside golf professionals Nicholas Rokoined, Greg Snow and Richard Ainley. Nyali Golf Club’s Mathew Wahome,

the 17-year old junior golfer makes his debut at the Kenya Open and the golﬁng fraternity is rooting for him to make the CUT today and win the Silver Salver. So, this weekend, watch Kenya’s best professionals and amateurs battle it out at the Barclays Kenya Open and in the evening catch up with the Kenya Open graduates playing at the world’s greatest golf stage, the Masters at Augusta. Best of luck to Wahome and Woods.

1st Tee 7:30 G.M.Warui, M.N.Kanyi, X.N.Iraki, H.Mwango; 7:38 S.Mbwaya, G.Macharia, K.Mbwaya, J.Maalu; 7: 46 Ian Maina, F.Wangila, Ano; 7: 54 J.Mwangi, J.Karing’u, Y.Asami, K.Oba; 8:02 Rohan Lakhani, D.Thakkar, C.Orenge; 8:10 K.Thakkar, K. Raikundalia, L.Orenge; 8:18 H.E.Mwangi, K.Ndungo, M.Kiruti, D.Ndung’u; 11:22 Rohit Shah, K.Bosire, J.G.Chege; 11:30 M.Karano, G.M.Warui,T.Njojo, E.Obare; 11:38 M.Maingi, S.Njuguna, J.C.Wachira, L.Wambaa; 11:46 J.Munge, A.Van Rooyen (Snr), A.Van Rooyen (Jr), R.Odhowe; 11:54 F.M.Macharia, R.Waitete, B.Berges; 12: 02 J.M.Mwaura, E.Mogoa, J.Orenge, B.N.Kamau; 12:10 L.Gachimbiri, J.H.Kimura, M.Mwai, C.N.Kihara; 12:18 D.G.Muchungu, R.Mungai, K.Mwaura; 12:26 C. Itangata, E.Wambari, K.Waithaka, S.F.Mwangi; 12:34 P.Nderitu, S.Rukwaro, M.Mukiri, B.M.Mbai; 12:42 N.Kariuki, P.Rwambo, M.Githiaka, O.Githinji; 12:50 A.Kabaara, F.Kimathi, J.Wainaina, P.Kiguru; 12:58 E.Ogonji, K.Njenga, I.Awoundo, J.Ngunze;

1:06 J.Makau, S.Ndung’u, J.G.Njenga, W.Nguima; 1:14 C.Maitho, D.Kihara, N.Ndiritu, F.N.Mwangi; 1:22 S.Mbugua, B.Wamahiu, S.N.Mugwe, OS; 1:30 O.Abekah, R.Olonde, P.Okoth, R.Kimani. 10th Tee 11:30 W.Ngari, R.Githii, C.G.Munyori, S.Tubei; 11:38 C.Ndonga, P.Muiruri, E.Ndonga; 11:46 E.Mbole, R.Wafula, P.Muiruri, S.Ndonga; 11:54 M.Sio, Shem Noah, R.Shako, S.G.Mbaabu; 12:02 S.Orenge, R.Lofty, S.Orenge (2), S.Orenge (3); 12:10 A.Njenga, L.Kwendo, E.M.Thuiya, M.Muiruri; 12:18 K.Mariga, A.Mungai, S. Njenga, C.Muchungu; 12:26 M.Karobia, A.Nyagah, D.Gitu, C.Muguku; 12:34 H.Mwangi, E.Mugo, S.Mbugua, S.Mwangi; 12:42 P.Musyimi, C.Omondi, D.Wahome, Ian Irungu; 12:50 M.Kebaara, R.Agung, M.Ageng’o; 12:58 W.Wachanga, M.Gunze, J.Mundia, S.Mundia; 1:06 A.Unia, A.Raythatha, J.Kimani; 1:14 P.Ekai, M.Njogu, C.Kamunge, M.Muura; 1:22 W.Macharia, P.Sinkira, A.Kale, M.Mbugua; 1:30 E.Njoki, F.Kahuruka, K.Waweru, J.Karanja; 1:38 F.K.Mugo, J.Kisolo, Ano. Strictly observe your tee-oﬀ time!

BUSINESS DAILY | Friday April 10, 2015

THE MARKET CURVE FINANCIAL ANALYSIS & COMMENTARY with George Bodo

www.businessdailyafrica.com

Perspective The airline would have posted a Sh2 billion proﬁt if it didn’t own expensive aircraft

KQ should sell its D≥eamline≥s to boost balance sheet K enya Airways’ apparent cashfor the full-year period ended March flow problems have been re31, 2014, the airline took a depreciacently serialised in the media tion and amortisation charge of Sh5 to the extent that it emerged the airbillion in its profit and loss accounts, just because it owns aircraft. This is line had delayed remittance of employee monthly check-off obligations a figure that could have been used to banks, ostensibly to boost cash-flow to convert the full-year loss for that position. period to a profit of Sh2 billion (the airline reported a Sh3.4 billion loss in The company has maintained a policy of ambiguity on this issue, neithe period). And with the airline conther confirming nor denying sitting on tinuing to register new aircraft, this a precarious cash posidepreciation and amortion. But the existence tisation figure is likely of a cash-flow problem to grow in the coming Kenya Ai≥ways could be easily negated financial years. would eme≥ge f≥om by the fact that the airSecondly, the airthe t≥ansaction a line has been operating line should not be positive EBITDA marplanning to own the leane≥ and mo≥e gins over the past five aircraft it currently efficient se≥vice years, averaging at 13.4 operates, but doesn’t p≥ovide≥ and would per cent between 2010 fully own. Between and 2014: this despite 2011 and 2014, the be bette≥ equipped.. reporting a cumulative airline has honoured net loss position of Sh4 finance lease obligations to the tune of Sh1 billion. The billion over the same period. airline could make some sizeable However, if indeed there is cashsavings by converting all its finance flow stress, then it has all to do with leases into operating leases (and efthe airline’s balance sheet management strategies. First, KQ has no busifectively taking on a path of de-ownness in owning aircraft in its balance ing its fleet). And in order to de-levsheet. This is because owning aircraft erage its balance sheet, to help ease is very expensive. Today, Uber is alits long-term cash-flow position, most the world’s largest taxi company the airline should now fast-track its but doesn’t own a single taxi. In fact, planned fixed asset monetisation pro-

Eurozone deputy ﬁnance ministers gave Athens a six working day deadline to come up with revised reform proposals to enable a deal to be reached at a Eurogroup meeting on April 24 to unlock bailout aid, Greek newspaper Kathimerini reported on Thursday. The two sides met in Brussels on Wednesday to bridge diﬀerences over a reform package that Greece’s creditors have demanded before they release urgently needed bailout funds.

A KQ Boeing Dreamlinerat JKIA, Nairobi . FILE gramme. This would typically involve the sale and leaseback of a portion of its non-leveraged fleet. This would be done through a Special Purpose Vehicle (SPV), in which KQ will hold absolutely minority stake with majority stake going to some third party entities. KQ would then sell and lease back the aircraft from the SPV. The net effect is that a sale and leaseback should offer long-term cash-flow and earnings enhancements to KQ and may help re-create wealth for its shareholders. Looking at the airline’s current fleet, approximately nine high value aircraft have not yet been leveraged on and can form a good portion of the asset monetisation programme. The sale and leaseback has the added benefit of transferring the risks and costs associated with outright aircraft ownership to a remote SPV. KQ would emerge from the transaction a leaner and more efficient service provider and would be better equipped to deal with the increasing competitive pressures in

Optimistic

KQ’s debt proﬁle

“A deadline of six working days was given to the Greek side to present proposals that can be acceptable by creditors,” the paper said. Athens has submitted a 26-page reform list but EU/IMF negotiators say it is too optimistic on revenue projections and omits the key issues of pensions and labour markets, which are the most sensitive for Tsipras’ leftist Syriza party.

Meeting Source: Callstreet Research and Analytics Ltd

the local and regional markets speciﬁcally. Otherwise, KQ’s balance sheet is already heavily geared, limiting its fund-raising options. There is little room for additional debt (and even if they were to create a room, it wouldn’t be ﬁnely priced). And the market may not have enough appetite to participate in additional share sale.

FTSE 100 3,248.69 19.08

XETRA DAX 12,087.13 51.27

A eurozone official has said discussions will reach a critical point at the April 24 meeting of the eurozone’s finance ministers in Riga. On Thursday, Greece’s minister of state Alekos Flabouraris expressed confidence that a deal would be reached by then. “I believe it (that an agreement will be reached in Riga) 100 per cent,” he told Mega TV. -REUTERS

Mr Bodo is an investment analyst

GLOBAL MARKET WATCH DJ INDU 17,902.51 27.09

Eu≥ozone gives G≥eece 6 days to ≥evise ≥efo≥ms

CURRENCY RATES CAC 40 5,179.08 42.22

FTSE MIB 23,724.43 145.73

SMI PR 9,361.93 114.11

HANG SENG 26,944.39 707.53

NIKKEI 225 19,937.72 147.91

ALL ORD. 5,901.51 -26.81

SSE COMP. 3,958.54 -36.27

S&P SENSEX 28,885.21 177.46

$: 92.62 €: 99.65 £: 137.68

TSh USh SAR

19.89 31.97 7.82

Market Activity MARKET CAP IN SH BN

LAST

2,379.82

2,384.57

TOTAL SHARES TRADED

32,051,600

37,397,800

EQUITY TURNOVER IN SH

679,466,885

913,014,557

BONDS TURNOVER

978,850,000

1,316,900,000

TOTAL DEALS (BONDS) TOTAL DEALS (EQUITY)

1,793

1,976

5,128.03

5,142.35

NSE ALL SHARE INDEX

170.46

170.80

PINEBRIDGE INDEX

878.91

876.79

FTSE NSE KENYA 15 INDEX

226.21

229.04

FTSE NSE KENYA 25 INDEX

226.69

229.47

92.44

1,241.90

1,251.38

NSE 20 SHARE INDEX

FTSE NSE KENYA BOND INDEX FTSE ASEA PAN AFRICAN INDEX

HE SAID “If we don’t believe in freedom of expression for people we despise, we don’t believe in it at all.” Download the NMG PLAY app on Google Play and scan this QR code with your smart phone for pictures, videos and more stories

- Noam Chomsky American linguist, philosopher,

www.businessdailyafrica.com

The business of taking a break

Kenyan a≥tists being showcased with Af≥ica’s best >>PAGES 12-13

10th APRIL, 2015 - 16th APRIL, 2015

F≥om dukawalla to hotelie≥ Local investo≥s who a≥e b≥inging b≥and name hotels to Kenya >>PAGES 8 & 9

From reception to corner ofﬁce >>3 | Keep sun,rain out of outdoor living >>5 | Adult bedwetting >> 10

BDLIFE | Friday April 10, 2015

EDITOR’S NOTE

REAL ESTATE

TRAVELER

HEALTH

EAT OUT

ome of them started oﬀ as small dukawallas running family businesses on Nairobi’s Biashara Street or other small streets in the capital city. They were selling carpets, curtain materials, cars in a small showroom or furniture. They were household names in their own rights as merchant traders. Then the younger members of these shop owning families decided to branch out into completely uncharted business waters. And the pulling force was the same – The hospitality industry. Today, big brand name hotels are coming into Kenya courtesy of people whose anchor businesses have nothing at all to do with the hotel industry and they are making it big through franchises and management arrangements. Our main feature this week looks at the people behind international brand hotels that are coming into the country and just what the lure is for them. In our gardening feature, we bring you great ideas on how to liven your living room outdoors with awnings, canopies and parasols. This week, we have lots of great stuﬀ for you. Enjoy and keep us informed on what you enjoy reading.

Creative local furniture takes pride of place

Nyeri on tourist map with new hotels coming up

How to deal with adult bedwetting

The Tokyo of the town

THIS WEEK’S PHOTOS

Rhoda O≥engo

Published by the Nation Media Group Kimathi Street, Nairobi PO Box 49010 GPO Nairobi Telephone 254 20 328 8104 Fax 254 20 214 849 Email: bdlife@ke.nationmedia.com www.bdafrica.com

LINUS GITAHI Chief Executive Ofﬁcer

Models pose for a photo during last weekend’s Kenya Sound fest at Ngong Racecourse. A car boot ﬁtted with a Kenwood music system

TOM MSHINDI Acting Editorial Director OCHIENG’ RAPURO Managing Editor RHODA ORENGO BDLife Editor JOAN PERERUAN Photographic Editor

A model poses on car rims that were on display by “Indian Sound” was the title given to the sound system ﬁtted on this car. Sound lab

ISABELLA MUKUMU EVELYN SITUMA DOREEN WAINAINA ANNIIE NJANJA OLOO WINNIE MARGARETTA WA GACHERU MWIKALI LATI DR MUKUHI NGANGA BILL ODIDI JACKSON BIKO Writers GENNEVIEVE NAHINGA Senior Graphic Designer MILLIE WACHIRA Graphic Designer STANSLAUS MANTHI Graphic Designer

ON THE COVER

Clockwise: Villa Rosa Kempinski Hotel, Dusit D2 Hotel, Best Western Plus Hotel and Radisson Blu Hotel. FILE

A sound system of more than 1200 watts fitted on this van (left) complements the LED screens fitted. on the same car with screens linked to a wireless play station. (Right) A projector fitted in the boot of car allows viewers to have an outdoor watching experience ALL PHOTO SALATON NJAU

BDLife wants to hear from you. Send photos and letters to bdlife@ke.nationmedia.com and we may publish them on this page. Follow us on Facebook.com/BUSINESSDAILYAFRICA or join and follow our conversations on twitter @BD_Africa and #BDLife

Friday April 10, 2015 | BDLIFE

BDLIFE: PROFILE

F≥om a ≥eceptionist to the co≥ne≥ office She wanted to study medicine but ended up c≥unching figu≥es in an actua≥ial science class at the Unive≥sity of Nai≥obi. A jou≥nalist in a p≥evious inte≥view b≥eathlessly lauded he≥ as “defying ste≥eotype” and excelling in a “field conside≥ed the p≥ese≥ve of men.” That she is b≥illiant and d≥iven isn’t in question. The question that I ask he≥, as we have ea≥ly mo≥ning tea at Java, Valley A≥cade befo≥e he≥ zumba session is, if she is at a good place with he≥self as a woman and as a p≥ofessional. BY JACKSON BIKO

“Chiwanuka”, and not “Kiwanuka”, isn’t that how it’s pronounced? Exactly. That’s my dad’s name, he was Ugandan, hailed from Katende region in Western Uganda. Dad was a doctor who found his way to Kenya at the height of Idi Amin’s tyranny where, in his own words, he met the most beautiful woman he had ever seen – mom – from Kiriaini, Nyeri. He was warned not to deal with Kikuyu women (Laughs) and so when he married her, he moved us all to Embu, a middle ground, and where I was raised.

How was growing up in Embu? The reason why I ﬁnd it hard to assimilate myself into this whole Nairobi social culture is because I’m basically a farm girl. But I ended up attending Kenya High where you never quite felt the pressure to excel in education, you were given the choice to pursue other disciplines and that’s why most of my friends who pursued diﬀerent disciplines are successful in them. I then joined University of Nairobi to do Actuarial Science when I didn’t attain the necessary points for medicine. After university, I joined Hyman’s Robertson (now Alexander Forbes) as a receptionist. You can imagine how humbling that was, from crunching huge mathematical sums to sitting at the reception! I was there for seven years!

As a receptionist? No! Fortunately! (Laughs). That experience taught me that you just have to do your time. I wasn’t allowed to meet a client the ﬁrst ﬁve years there, and that kind of experience is very important. You keep your head low and you learn. I then took a one year sabbatical and joined Patricia Mbela, the fashion designer, where my greatest achievement was to design one glamorous hat that made it for one of her shows. (Smiles). I then got broke and joined the Local Authority as a pension provider, there I learnt that the real money is not in Nairobi.

Where is the real money? In Narok. Every time I paid beneﬁts to a farmer who we thought we were doing a favour, we realised that he would only use that money to buy seeds for his massive wheat farm. There is also money in Garissa. This experience piqued my ﬁnancial radar.

What are you struggling with right now? I ﬁnd it unfortunate how young people want to move too fast; they want to get in and immediately be managers. I’m struggling with friends and relatives bringing me CVs of people who want to join and start from the top.

What’s the one thing that really shakes your self-conﬁdence? When someone shouts at me. (Pause). I don’t think that actually shakes my conﬁdence. (Thinks). I think if any of my close family or friends felt that our relationship had stopped being authentic, that would do it. (Thinks) You know, I also think if my mom read this interview and thought it was rubbish, that would shake me. (Peeking at my notepad). Hey, are you actually writing my words verbatim?!

Will you stop reading my notes! (Laughs) Your handwriting is so legible upside down.

Thank you! So when did you last shout at someone? We were raised with rules in the house; don’t bang doors, sufurias and make a racket generally, so I guess that socialisation is the reason why it would shake me if shouted at.

PHOTO /DIANA NGILA

PATRICIA KIWANUKA Executive Director, Old Mutual Age: 38 Professional Pension Advisor, East African Community Secretariat: 2012- 2013 Head of Business Development, VP, PineBridge Investments East Africa: 20072013 Head of Africa Business Development, VP, AIG Global Investment Group: 2007-2010

How old are you? Are you married, single?

(Long pause) Now, that’s a new one! A brand new car from the showroom, something with zero mileage and polythene paper on the seats.

Single. I always joke that my greatest blessings are my exes. (Chuckle). I’m friends with all of them, they will always tell me when I’m losing focus.

I’m sure you can get one if you wanted to…

What is your greatest regret?

How many houses do you own now, ﬁve? (Laughs) Don’t go there! The house I live in is mine, and I have some investments here and there in the property market.

It’s great exercise, even though it doesn’t help my weight! (Sigh)…

Nonsense, your weight is just ﬁne… Oh thanks! I liked dancing in college so Zumba allows me to relive some of that. Plus this year, I decided to live my life as a bird. Here, look (removes small phone from purse) I let go of my nice modern phone for this “mulika mwizi.”

Like a true Nyerian…

Throughout your life, what is the one thing that you have pursued that you didn’t achieve?

That’s what everyone would say. I don’t know. One time I gave this really old woman in the village Sh1,000 and she thanked me but said, “A woman without a house is still a poor woman.” Since then I have invested and I don’t know if I will ever get to the point of buying a brand-new car from the showroom at this expense.

So Zumba, what’s up with that?

I had an answer to that question yesterday. (Thinks). Yes, wish I had spent more time with my dad before he passed on seven years ago. I was struggling then and couldn’t aﬀord to visit him in Uganda as often as I would have liked.

You are half Ugandan-half Nyeri, what is the “Nyerian” in you? Person who worries about the sense in buying a showroom car. The Ugandan in me wants the showroom car, the Nyeri in me says no!

(Laughs) I know! This year is for taking things easy, for de-stressing. I said I won’t deal with 1,000 emails on my phone the whole day.

You have kids? No.

You want kids? Yes. But I know I don’t want a kid without a husband. I don’t think I would be the same person if my dad wasn’t in my life.

What is your greatest extravagance? Holidays. I spend on holidays! The last memorable trip I was in? Milan, deﬁnitely. It ties with Zanzibar. That was also really nice. By the way, this year, I will be on a cruise, courtesy of Old Mutual. They have a very strong human resource component, the best I have encountered professionally, so I’m looking forward to that.

Listen, will you please tell me if your mom thinks this interview was rubbish? (Laughs) I sure will.

BDLIFE | Friday April 10, 2015

BDLIFE: INTERIOR

C≥eative local fu≥nitu≥e cuts its own niche MOBILCASA PRICE RANGE: Dining tables from Sh25,000Sh250,000 Beds from Sh25,000Sh180,000 Coffe tables from Sh20,000Sh60,000 Sofas from Sh100,000Sh350,000 Kitchens from Sh300,000Sh2m

They wanted to be di≠e≥ent f≥om the mass p≥oduced stu≠ by using ≥eal wood ISABELLA MUKUMU

Left: Hand carved chair. Below: Bedroom furniture custom-made for a hotel in Kajiado. ALL PHOTOS/ ISABELLA MUKUMU

he furniture market is evolving every day with new designs being created whether it is with the use of wood only or including fabric to make them more appealing. Today, there is little creativity in many of the designs available in the market, such that one cannot diﬀerentiate between what is imported and what is made locally as many carpenters have perfected the art of duplicating designs. However, one furniture shop has cut a niche for itself in the furniture market coming up with creative designs that are more natural and customized to suit the Kenyan market. Mobilcasa furniture has been in operation for the last 10 years when they started with a little furniture shop on Mombasa Road. They started with contemporary wooden furniture but later moved into purely handmade carved furniture after realising that most of what was available in the local market was duplicated from someone else’s designs.

Bernard Mutuku , Mobilcasa’s Managing Director started oﬀ as a sales agent for a shop which imported MDF furniture from Egypt and China. But hearing numerous customer complaints and seeing how expensively these items were priced made him move into the carpentry business.

Hand-made Armed with a certiﬁcate in clearing and forwarding and experience as a sales agent, he put all his savings of Sh220,000 into the business which he moved to the Nairobi showground and later to Mombasa road where he changed his style to unique handmade furniture. “With time, we knew what the market needed was something diﬀerent from the contemporary designs borrowed from the western world. Their products are all traditional hand made from quality mahogany combining the natural beauty of wood which makes them unique and durable. Despite having no experience in handmade products, Bernard slowly learnt the art through constant practice.

Unique The move into handmade furniture was also spurred by his father who was a wood sculptor and who he remembers vividly carving all sorts of shapes when he was young. Today, Mobilcasa has been able to design custom made furniture for their large clientele who include individual home owners, corporates as well as hotels. They now make bedroom, sitting room, dining furniture sets, home and oﬃce accessories Tumaini hotel in Isinya is one hotel which has beneﬁted from Mobilcasa’s expertise . It is this company they con-

“With time, we knew what the ma≥ket needed was something di≠e≥ent f≥om the contempo≥a≥y designs bo≥≥owed f≥om the Weste≥n wo≥ld.” Bernard Mutuku , Mobilcasa’s Managing Director

tracted to furnish their hotel rooms with customized furniture. “We wanted something unique and when we saw the designs from Mobilcasa, we knew that was what we wanted to grace our rooms,” says Peter Njoroge, Manager at Tumaini Gardens, adding that the furniture designs blend well with their natural environment.

Congo At first, it was difficult for him to get customers since most people thought his products were not authentic given that there are similar furniture made from MDF. But it was not long before customers started streaming in after references from satisfied customers. Mobilcasa uses chunky natural wood from Congo which is taken through seasoning and fumigation. “The process starts with treating the wood beforehand in order to avoid termite infestation and to also preserve the wood,” says Bernard. They then carve them into their customer’s preference, paint them to their desired colour and add wood stains to make them more attractive. One aspect that stands out in most of their furniture is the lion foot print that is engraved into most of their designs, an original mark for Mobilcasa as Bernard tells the BD Life team.

Designer The foot print is their brand and engraved on most of their furniture unless a customer does not want it. Handmade furniture takes more time than machine carved ones and it can take upto two months to ﬁnish one small project. “It takes time and patience to curve one design and duplicate it as in the case of dining table seats,” says Bernard, adding that it has been one of the biggest hurdles he has had to deal with. With a workmanship of 78 carpenters and sales people, Bernard is the lead designer - a position which means he has to come up with new designs every six months in order to make a variety of unique items.

Friday April 10, 2015 | BDLIFE

BDLIFE: GARDENS up posters to support the sails. “When they are attached to a house, sails are mostly used to elongate short balconies,” explains Alex Kioko, Technical in Charge, Sail Shade Company. Sails can be installed creatively to incorporate various styles without compromising on their main role. Sails bearing a blend of colours can be installed overlapping to enhance outdoor décor. However, according to Kioko blending materials of varying colours can only be achieved where sails will cover a large surface area. There are various materials that are used to make sails, but if planning on installing one, ensure that the fabric is treated with UV stabilisers to give it a long lifespan. Kioko says the cost of installing depends on the area to be covered. For instance, they previously installed a sail shade measuring 5 by 4.9 metres at Sh120,000. He advises clients to install sails measuring more than 5 by 5metres to ensure that there is enough shade in the garden. A roof awning is a great way to extend your sitting area onto the outdoors. but shielded from the rain and sun. PHOTOS OURTESY

Awnings

A sail is agreat way to enhance your outdoor decor. A parasol out in the yard to keep you cool on a hot day.

Keep sun, ≥ain out of you≥ outdoo≥ living

Parasols A parasol is a large umbrella set up in a garden to give shade. Garden parasols oﬀer a quiet place for people to relax. Pool parasols go together with pool beds and oﬀer shade to people basking after having a swim. The cost of a garden parasol with a table and six chairs starts from Sh50,000, if purchased from furniture dealers on Ngong road.

G≥eat ideas to help you enjoy you≥ ga≥den even when the weathe≥ conditions change BY ANNIE NJANJA

well-maintained garden provides a tranquil and cool environment to lounge around in. Being a quiet environment, it is the ideal place to bask around over the weekend or holidays should the weather be conducive. However, given the sometimes harsh weather conditions, sitting around in the garden can be severe especially when the sun is scorching or when it is pouring. Where residents enjoy staying outdoors, it is necessary to shield them from sun or rain. Therefore, installing a shade sail, canopy, awning or a parasol in a garden

An awning is basically an extension of the house, where the shade roof is attached to the wall. An awning extends the living space to the outdoors where family can enjoy the day’s breeze and the surrounding greenery and ﬂowers while sipping on some cold drink or preparing a barbecue. Awnings are popular with restaurants but Kioko says that they are also installed on residential houses. They are eﬀective in shielding people from sun and rain depending on the material used. “There are also small-sized awnings that are installed on windows to protect curtains from direct sunlight and from wearing out besides preventing the sun from penetrating the house,” he says. One has the choice of installing a cassette or free standing awning. A cassette awning hangs down when pulled and retracts into a metal cover for protection while a free standing awning is mobile and can be placed at any corner of the garden.

is a sure way of keeping the scorching sun or rain at bay.

Sails Installing sails is a unique way of providing shade in a garden while expanding the outdoor living space. Sails are eye-catching and add aesthetic appeal to a garden besides performing their primary function of providing shade. Sails come in diﬀerent shapes and sizes making them simple to customise - to suit the shape and the size of the garden. They are also used to protect the

Canopy

Garden canopy.

garden furniture from the sun, create shade for swimming pools and are used to cover an outdoor kitchen area. Technical experts advice on two ways of installing it, which are either ground level installation where a sail end is attached to a house or fence and standalone installation which involves setting

A canopy is a great alternative especially for individuals who enjoy staying outdoors at night. The four poster roof can be custom-made to include waterproof foldable covers. Canopies come in handy during rainy weather since people can light a bonﬁre, or enjoy the breeze regardless of the weather while having dinner. ANjanja@ke.nationmedia.com

BDLIFE | Friday April 10, 2015

BDLIFE: ACTIVE LIFE

Tu≥n that spa≥e ≥oom into a home gym fo≥ the family With the help of a ﬁtness expe≥t, you can equip you≥ space without b≥eaking the bank

Even before buying the bigger equipment, you can start with weights of different sizes.

Simon Mungai demonstrates how to train using a bench at the Nairobi Sports House on Moi Avenue. SALATON NJAU

BY OLOO WINNIE

size of equipment to purchase. Heavy ones like tread mills, weight lifting machines and cross trainers, take a larger space compared to dumb bells and kettle bells. Mwangi says before you spend money on the bigger equipment, a simple exercise mat, cotton and leather gloves a weighing scale, gym shoes and clothes will create a ready feel any exercise you may want to engage in. The Reebok exercise mat is a good choice going for Sh7000 at Nairobi Sports House but there are other alternatives by Adidas and many other around the city’s bigger supermarkets.

meet Gustone Dibogo, a 42-year-old father of two teenagers puffing his way from his office located along Kimathi Street. He approaches me with a smile, declaring that he has just had a great cardio racing down the stairs. I’m sure he would have saved time and energy if he took a lift. He somehow seems to read my mind and says, “For my weight lifting session following in the evening, the stairs give me a great warm-up, I get prepared this way. Gustone looks very fit, one “Lifting would be forgiven for thinking weights he’s in his early 30s just by how his muscles are firmed up and the can be done flat stomach. I can spot well-toned muscles through his blue shirt and just by the quietly conclude he must be living bench, pushin the gym.

Gym shops

To track developments, a weighing scale is indispensable, with many choices available at retail supermarkets and gym shops. Gym shoes should fit comfortably, be absorbent and flexible, a great ups, and sit Spare room Adidas pair will set you back ups can all I ask him about this and he tells about Sh10,000 at the Deame that his home is fitted with one, cons’ Lifestyle shop. go on the≥e that he altered the servants’ quar“You need to visit a fitness ters to make it a well-equipped gym trainer to help you in figuras well.” for himself. ing out he right equipment Mwangi Njoroge, a I ask how he manages his crazy for what you would like to fitness expert with routine of being a father, a consultachieve,” advices Davy OdhiNairobi Sports House ant with a busy firm and husband ambo. “Kettle bells and situps function best to eliminate and still managing time for the love handles, together with a gym. “With time I have managed to space things healthy diet, these work magic,” he adds. according to my schedule, a typical day begins Kettle bells are available in plastic and metals on the treadmill, a bit of stretches to weight lift- with varying weights, the prices increasing with ing and squats, then work and then a shorter the weights. A pair will cost you from Sh5000 to exercise routine before supper with the family Sh11,000 from two to four kilogrammes. in the evening, “he adds. Tread mills and bicycles are the most popuHe is one of the people who have fully ben- lar equipment for home gyms, the treadmill efitted from having a home exercise programme substitutes the early morning run and has the for four years counting. Mwangi Njoroge, a advantage that you can control it according to fitness expert with Nairobi Sports House ad- your pace. It also makes it easier to calculate vices on some of the equipment needed for your heartbeat. “People with diabetes are able to manipulate the speed at which they want to a home gym. His advice: “Come up with equipment go- making it possible for them to exercise ,” that are multi-functional to save on space says Odhiambo. and cost.” When shopping for home gym equip- Trainer A fully-equipped electrical tread mill costs ment, consider your weight, various trend mills have a specific limited weight for a per- Sh125,000 at Body and Soul along Chaka son, adds Mwangi. Road. Benches are necessary for lifting weights, doSpace is a key consideration when putting together a home gym, it dictates the kind and ing sits-ups and sometimes for relaxing during the breaks. Mwangi says that a quality bench has should have a leather cushion fitted with a durable sponge. He explains that since they can be used for many functions, choosing the right one is very important. “Lifting weights can be done just by the bench, push-ups, and sit ups can all go on there as well. Invest in an adjustable one to save you space, “says Mwangi. Odhiambo says that other than relying mainly on equipment exercises for your home gym, kick boxing can also help improve health and clear up the tensions from a long day. At the end of the day, what is important is to get the help of a fitness trainer to help you equip your home gym.

Nye≥i on tou≥ist Investo≥s in hospitality make ≥egion a favou≥ite t≥avelle≥ destination

BY ISABELLA MUKUMU

he story of how Giraﬀe Ark came to be reads like a fairytale. Annette, a banker and her husband Magu Kariuki, a successful industrialist in Nyeri bought the land on which the resort now sits after attending a fundraising event at a nearby church.

The master bedroom at the main house of the Giraffe Ark Game Lodge.

Friday April 10, 2015 | BDLIFE

BDLIFE: TRAVELLER BRIEF KTB LAUNCHES ONLINE DIRECTORY

The large chess board at the hotel. ALL PHOTOS SALATON NJAU and a conference facility for corporate and private events.

Thatched

map with new hotels This was in 2012. They thought it would make a beautiful country home due to its spectacular views of Mt Kenya as well as the Aberdares range. Tucked away in the vast lands of Nyeri County along the Nyeri -Nyahururu highway is this magniﬁcent gem that was once a country home for the Magus who later converted it into the charming resort it is today.

Country home It all started with the 5-bedroom maisonette which was to be their home in the countryside. This now serves as the main house for those who prefer a homely atmosphere for their holiday. Set on a hill, the house sits tall and bold on these carefully landscaped gardens outshining most of the smaller cottages that surround it at the bottom of the house which were built later to augment the now 60-bed resort. The rooms in the main house are

One of the executive rooms.

The Victo≥ian theme is ≥epeated in all the cottages and ≥ooms with some accents of contempo≥a≥y designs lending a feel of class and elegance. not only spacious but each has a mix of an oriental and Victorian feel to them, from the sunken living room, the executive master bedroom, three luxury rooms, a deluxe room and an open space attic with panoramic views of Mt Kenya. The master bedroom, which is

The reception area with imposing pictures of giraffes.

now known as the royal suite, is spacious with a bathroom and balcony overlooking the rest of the 12 acres on which the resort stands. The beautifully landscaped gardens which was once farm-land hosting a cow shed, 3000 chicken, goats and vegetables that Annette liked to grow are now dotted with trees, ﬂowers and beautiful pathways. On one end of the grounds is a swimming pool with an outdoor barbeque kitchen, a children’s play area and an open terrace for outdoor events and a live chess board. There is still work in progress as the resort hopes to increase their bed capacity in the coming years. “We opened on December 17th last year with a fully booked register for the holidays” says Annette. The idea of putting up the resort started in 2012 and has developed to include three luxurious cottages, ﬁve deluxe cottages, 11 executive cottages

Anyone familiar with the tall, bold and graceful animal can actually see why the resort bears the name, all the house designs depict this beautiful animal, the Giraﬀe. The roofs of all its buildings have a standard theme, all thatched with an elongated ark to depict the long neck of a giraﬀe. The Victorian theme is repeated in all the cottages and rooms with some accents of contemporary designs lending a feel of class and elegance. Annette, also an interior designer, did most of the interior décor herself. Although the cottages do not provide the option of self-catering, there are various options to choose from when it comes to dining. One can sample meals from the Chinese restaurant, the Terrace Restaurant and the upcoming Japanese restaurant.

Activities Although they had no prior training in the hotel and tourism industry, the couple went on to establish the resort with the help of friends in the tourism sector. Some of the activities one can engage in at Giraffe Ark include horse riding, night bonfires, hikes on Mt Kenya, biking and other outdoor activities including game drives. Giraffe Ark benefits from the neighbouring Solio Ranch, a privately owned 45,000-acre wildlife conservancy which is just 10 kilometres away. “The ranch’s conservation efforts which are geared towards the rhino as well as other wildlife, offered us an opportunity to contribute to the Mt Kenya’s tourism industry,” says Annette adding that they are working towards increasing their bed capacity to 110 by next year. Mt Kenya region is now one of the busiest in the tourism calendar as local and international tourists look for alternative holiday destinations in the country away from trouble spots along the coast. The level of competitiveness in the region is striking with various hotels coming up in the county, from Tafaria Lodge to Chaka Ranch in Kiganjo and the upcoming Hotel by Fountain group in the next year.

If you are looking for a tour operator, attraction sites or just want to make a hotel booking in Kenya, the process has been made easier by the Kenya Tourism Board (KTB) online directory, which was launched last month. The directory has data of various players in the hospitality industry, giving domestic and international tourists a chance to access competitive packages and make bookings without a hustle. The KTB directory, found on the Magical Kenya website, is also integrated into Jovago.com - an online booking portal - to reach a wide audience enabling both local and international tourists to scan through a number of options. KTB is banking on the partnership with the online portal to increase the country’s visibility and grow the number of tourists making bookings from around the world. “This digital platform is one of the key mediums that will supplement our traditional channels of marketing our diversiﬁed tourism products and services, targeted at our various audiences,” said Phyllis Kandie, the Cabinet Secretary, Ministry of East African Affairs, Commerce and Tourism during the unveiling of the directory and signing of the agreement between Jovaco.com and KTB. The initiative, Kandie said, will complement KTB’s strategy and improve Kenya as the tourism destination of choice in East Africa and beyond. “The directory targets local, regional, international travel and tourism providers. It provides them with an open business opportunity to easily make contacts and explore partnerships with other listed providers,” said Kandie. The CS said the platform will give tech-savvy audiences quick, up-todate information and feedback to any queries raised. The directory will also give counties an opportunity to showcase the diverse and unique attractions, providing an additional collection of tourism products that go beyond the safari experience and sandy beaches. The Ministry hopes to revive the tourism sector after a drop in the number of tourists visiting Kenya, primarily due to terrorism inﬂuences. The ministry’s Tourism Recovery Task Force, together with major industry players, have come up with a recovery plan that includes a domestic SMS campaign, global advertisement campaigns and Charter airline promotions. - Annie Njanja

BDLIFE | Friday April 10, 2015

Friday April 10, 2015 | BDLIFE

BDLIFE: MAIN STORY

MAIN STORY: BDLIFE

BEST WESTERN HOTEL MOMBASA

on percentage of total gross room revenue and monthly programme fees. Ms Khamisa says the fee structure is very important and needs to be looked at in minute detail as there are a lot of hidden expenses that can aﬀect the holder’s return on the investment. International hotels brand prefer a franchise arrangement as opposed to building and owning properties they operate because it allows for rapid expansion and less capital outlay. Hilton Worldwide has perfect this model. In 2013 for instance the chain fanatical statement put the number of its hotel franchise at 3,420. Achieving such success is often an uphill task for brand owners. They need to ensure that their hotels comply with their regulations and standards.

VILLA ROSA KEMPINSKI Owner: Adil Popat

Owner: Amjad Rahim

Franchise

DUSIT D2

Owner: The Sanghrajka family

F≥om dukawallas to billionai≥e hotelie≥s F≥om fu≥nitu≥e to ca≥ dealing, these investo≥s a≥e new ent≥ants in the hospitality indust≥y BY EVELYN SITUMA

part from an avid interest in cars, Adil Popat’s has always loved the hospitality industry where he has worked on and off for about three decades. He worked at a Hilton hotel before joining a hotel chain in Portugal and later in South Africa where he started his own business with an Ocean Basket franchise. So when the idea of owning a hotel came about eight years ago, the chief executive of Simba Corporation Ltd was certain that the time was right. In 2009, he embarked on the journey to bring one of the world’s oldest luxury hotel brands in Kenya – the Villa Rosa Kempinski. While Popat could have worked with a brand like Hilton which he had worked for while abroad, he chose a brand that was not that well-known locally. “We were approached by most of the major brands around the world but felt that Kempinski was the best fit for our property type,” says Nazir Khamisa, chief hospitality officer at Simba Corporation Ltd.

European Popat was eager to have a stand-alone master architectural design that would be in a class of its own and Kempinski’s profile and his intended location for the hotel fit in best. “This is exactly what we wanted for our property – to be the leading property in the region. Our architecture is very European. Our look and feel is very classical and we thought this was a good fit for what we wanted,” adds Ms Khamisa. Popat is happy to have achieved his dream. His company is now working on its growth plan

of establishing hotels in Naivasha and Kisumu. Ms Khamisa says the ﬁrm’s focus is not on leisure but business travel. “The slump you see is in the tourist-oriented properties. We do not intend to build in this category. We also feel that with the growing middle class in this country, there is an opportunity to cater to the local travelling public whether it is for business or leisure. This allows you to grow the programme in the 2nd and 3rd tier cities across the region.”

Business travel The new boys in the hospitality industry namely Adil Popat, Michael Kairu of Radisson Blu Nairobi, Noorali Manji and Sachedina Sabdrudin - Hilton Garden Inn, Nairobi, Amjad Rahim, owner Best WesternPlus, Mombasa, the Sanghrajka family with Dusit International management and AMS properties are all taking a different route from what was originally their businesses. They have realised that there is money to be made in business travel and are pouring millions into that sector. Partnering with well-known and respected international hotel brands is doing magic for them. Kairu, a Nairobi businessman who is better known as the owner of a printing firm, is currently supervising the finishing touches at the first Radisson Blu Hotel in the city. His company, Elgon Road Development Ltd, is developing the building that will host the hotel. The investment is supported by four Nordic private equity funds -Swedfund, Finnfund, Danish investment fund, IFU and Norfund. Kairu holds 58.7 per cent stake in Elgon Road

Developments Ltd – the special purpose vehicle behind the luxury hotel with Swedfund owning 21.3 per cent and 10 per cent each for Finnfund and IFU. Kairu has pumped Sh7 billion into the lavish hotel to net business travellers with ﬁne taste. The Carlson Rezidor Hotel Group, whose key brands are Radisson Blu and Park INN is keen to open more hotels in Africa especially Kenya through franchise and lease management. The group is currently working with the renowned prime commercial building developer AMS property for Park Inn, a middleclass brand by the group. On Mombasa Road, Global hotel chain Hilton

HILTON GARDEN INN

Owners: Noorali Manji and Sachedina Sabdrudin

Worldwide is set to open its budget brand Hilton Garden Inn through a franchise with Modern Reliance Ltd next year.

Middle class Internationals hotel chains like the 175-room Hilton Garden Inn in Nairobi are priced at a lower rate than the typical five-star mother hotels. The idea behind these chains is to offer something lavish to middle class Kenyans and business travellers. According to those in the hospitality industry, this is a market that has been underserved, yet it offers the greatest potential for international hotel chains.

“Best Western was the most suited to the Mombasa market. It is a fuss-free brand with very good rates and a stable reputation worldwide. We wanted to spoil people by giving them international standards of hospitality at a relatively low rate,” Amjad Rahim, chief executive Elegant Properties and owner of Best Western Plus Creekside Hotel in Mombasa said. The Lonrho Group which made a comeback into the Kenyan market in 2012 is also interested in opening up budget hotels around the country. Lonrho holds the US-based chain easyHotels franchise. The entry of classy hotels for business travellers is for sure oﬀering international chains the oppor-

tunity to expand in regions where they were not visible before . The two men running the show in the Sh2.3 billion hotel near the Jomo Kenyatta International Airport are keen on achieving aﬀordable accommodation for middle class consumers. Noorali Manji and Sachedina Sabdrudin are close friends and business partners working with Hilton Worldwide.

“We also feel that with the g≥owing middle class in this count≥y, the≥e is an oppo≥tunity to cate≥ to the local t≥avelling public whethe≥ it is fo≥ business o≥ leisu≥e.” Nazir Khamisa, chief hospitality ofﬁcer at Simba Corporation Ltd.

International brands dictate the location and design of the franchise outlet in order for it to match with set standards. The development team often advises investors on building requirements and approve on intended business location and structure in case it’s a new development. “Diﬀerent brands have very diﬀerent requirements and standards. Complying with these and adapting them to our local Kenyan market can be quite a challenge at times,” said Mr Rahim. Mr Rahim and his wife are behind Best Western Plus, a US-based franchise located in Tudor Creek next to the Nyali Bridge with a bed capacity of 100. “We decided to bring the Best Western brand to Mombasa because we felt Mombasa was lacking a quality ‘International branded’ hotel. We are now working with the Accor group of hotels from France and will soon be opening a 344room Pullman Hotel in the heart of Westlands in Nairobi,” he said. Best Western Plus, like the Nairobi Best Western is a franchise of the hotel chain that has maintained the same standards in over 4, 000 hotels globally. Rahim is the businessman behind Cowrie Shell Beach Apartments in Bamburi. He is also building Golden Sand Resort in Diani.

Wheelbarrows Modern Reliance’s prime location near the airport is what gave Manji the idea of venturing into the hospitality sector. He chose Hilton because he wanted the

RADISSON BLU

Owner: Michael Kairu

ALL PHOTOS FILE

business traveller traffic to his establishment and the Hilton brand guaranteed him that. Manji built his fortune from selling high-end furniture under his company Furniture Palace and manufacturing of wheelbarrows and other farm equipment. The decision on lease management or franchise arrangement with these branded hotel chains lies with the property owner. “There are many considerations one has to take into account when choosing a hotel brand. What are the requirements for the brand in terms of look and feel, quality of the property, amenities required and size of rooms, etc. and does that fit in with the development that you have planned. Once this is understood, you have to ask whether what you will spend on the investment is justified,” says Ms Khamisa. “You have to look at the management agreement and see if the terms and conditions are acceptable to you and are in line with your company culture,” she said. Franchise refers to a business model where a company gives its brand name, service marks and operating systems to a third party to use for trading under a set agreement. However, daily hotel operations are left to the franchise holder, though regular inspections are made by the parent company to ensure compliance. Hilton charges a franchise application fee for those interested in its brands, royalty fee

Billionaires Most hotel chains assign new franchise outlets a lifeline of 20 years and 10 to 15 years for converted properties. While franchises are easy to operate, developers with no prior knowledge in hospitality favour management agreements. “Hospitality has a lot of appeal, however if you do not know this business, leave it to the professionals to run it. It is very complicated and unforgiving if not run properly,” Ms Khamisa reckons. The Sanghrajka family, who are the proprietors of the Tile & Carpet Centre business, has their passion in carpets and household interior furnishings which they have run successfully for years and not hotels, therefore they roped in the Thai hospitality brand to manage and operate their hotel on 14 Riverside in Nairobi. The Thai-based global brand DusitD2 under the holding company Dusit International opened its doors last year in the prime Westlands district. As the new big boys who have joined the hospitality industry from other businesses shine in their new ventures of giving business travellers decent rooms at fair rates, there is no doubt that this club of investors is growing each year and attracting more millionaires. esituma@ke.nationmedia.com

BDLIFE | Friday April 10, 2015

Friday April 10, 2015 | BDLIFE

BDLIFE: MAIN STORY

MAIN STORY: BDLIFE

BEST WESTERN HOTEL MOMBASA

VILLA ROSA KEMPINSKI Owner: Adil Popat

Owner: Amjad Rahim

Franchise

DUSIT D2

Owner: The Sanghrajka family

F≥om dukawallas to billionai≥e hotelie≥s F≥om fu≥nitu≥e to ca≥ dealing, these investo≥s a≥e new ent≥ants in the hospitality indust≥y BY EVELYN SITUMA

HILTON GARDEN INN

Owners: Noorali Manji and Sachedina Sabdrudin

Worldwide is set to open its budget brand Hilton Garden Inn through a franchise with Modern Reliance Ltd next year.

Wheelbarrows Modern Reliance’s prime location near the airport is what gave Manji the idea of venturing into the hospitality sector. He chose Hilton because he wanted the

RADISSON BLU

Owner: Michael Kairu

ALL PHOTOS FILE

BDLIFE | Friday April 10, 2015

BDLIFE: GADGETS

10 latest gadgets f≥om elect≥onics show In t≥ying to outdo each othe≥, each secto≥ has come up with ve≥y inte≥esting items BY JONATHAN KEANE

10. BLU VIVO AIR

It may still be a relatively small player in the business but Blu unveiled several new smartphones this week at CES, however, the Vivo Air stood out from the pack. The $199 unlocked Android KitKat 4.4 phone is deﬁned by its slim features at just 5.1mm thick and weighs three and a half ounces. Inside you’ve got 16GB memory, 1GB RAM and a 1.7GHz Octa-Core Cortex-A7 processor while on the exterior the new Vivo Air comes with a 4.8” 306ppi screen, an eight megapixel camera and a ﬁve megapixel front facing camera.

s the dust begins to settle in Las Vegas at this year’s Consumer Electronics Show, there are more new gadgets, phones, watches and tablets than you could even attempt to keep track of. We forgive you if you got lost in all the news coming out of CES this year. Luckily, we’ve decided to pick out 10 of the best gadgets and devices that caught our eye at this year’s show, including everything from smartphones to wearables and tablets to good old fashioned laptops

9. LOGITECH UE MEGABOOM Logitech’s new UE MegaBoom Bluetooth speaker maintains some consistency in its line of products. Visually, it maintains the cylindrical design of its predecessors but promises much greater sound quality. The 8.3” waterproof speaker weighs less than two pounds but is sturdier at the same time and sees a greater focus on bass quality. Logitech also says that it has deliberately reinforced the tough design of the speaker to withstand its more adventurous users.

8. SONY SMARTWATCH 3 As the smartwatch race heats up, Sony has made its latest play with the new edition of the Smartwatch 3, with a sleek stainless steel design. The new incarnation gives the brand of smartwatch a new lease of life from the rather unnatural design and feel of its predecessor. The stainless steel endows the watch with some extra character and looks a little more like a conventional watch, which is much more stylish than some of the original clunky smartwatch designs.

As long as people complain about terrible battery life in their iPhones, there’ll be a place for Mophie Juice Packs. The new incarnation of the protective battery cases are built especially for the iPhone 6 and 6 Plus. The designs are more or less the same as previous editions of the Juice Packs but function takes precedent over form here. In total, there are three new products: Juice Pack Air for iPhone 6, promising more than 100 per cent extra battery while the Juice Pack Plus for iPhone 6 too promises over 120 per cent. Finally, the Juice Pack for iPhone 6 Plus claims more than 60 per cent extra battery.

6. ALCATEL SMARTWATCH Alcatel is bringing the chatter around smartwatches back to basics in every sense. Its plainly titled Watch is a low budget smartwatch that’s a cross platform with Android and iOS. Showing oﬀ several colour styles, the Watch’s simplicity is key and comes in at a price of $150. However, for all those positives, you’ll still be getting what you pay for as the screen is low resolution but it comes with much of what you would expect – heart rate monitor, accelerometer, and gyroscope. As a primer for wearables and smartwatches or for someone that isn’t looking for anything too fancy on their wrist, Alcatel may be cornering that market.

Twitter has launched a new video streaming app for its users. The app dubbed, Periscope allows users to share and watch live video broadcasts from their mobile phones. Users are able to title their broadcasts as well and it only allows those you choose to view it. Periscope allows broadcasters to share experiences with others. Press a button, and instantly notify your followers that you’re live. Broadcasters on Periscope are directly connected to their audience, able to feel their presence and interact. Recently, Twitter launched Tweet Deck teams that lets you share accounts without sharing passwords. They also launched “While you were away” feature that keeps you abreast with what’s

happening on Twitter even when you are ofﬂine. On Periscope, viewers inﬂuence the broadcaster by sending messages, and expressing their love by tapping the screen to send hearts. One can tap the video while watching to send a colour coded heart. - DOREEN WAINAINAH

and is decked out with an Intel RealSense Snapshot depth camera. The slim tablet will be available this week in the US Canada. Dell has yet to conﬁrm and its plans for further release dates but did say “early 2015” according to The Verge.

3. PHILIPS FIDELIO NC1L HEADPHONES Philips’ new noise-cancelling Fidelio NC1L headphones need no batteries and connect directly into whatever iOS device you’re using via the Lightning connector. The $299 headphones use four diﬀerent microphones to cancel out the noise for your listening pleasure, which gives you options as to how much noise cancelling you want in any given scenario. It’s strong message to Beats and Apple, and just might show them the way forward on how the two companies’ products might interact someday.

2. DELL XPS 13 Dell is back on this list once again, this time with a laptop to prove that the laptop business is anything but on the way out. The new XPS 13 laptop comes with a 13.3-inch “UltraSharp Quad HD+ inﬁnity display” and an optional 3,200 × 1,800 resolution if you really fancy it. Not content with just a thin tablet to its name, Dell has also slimmed down some of the laptop’s measurement with a thin 5.2mm bezel to make for the impressive looking display you’ll ﬁnd. The 2.6-pound laptop also promises an astounding 15 hours of battery life.

1. WITHINGS ACTIVITÉ POP

5. ACER CHROMEBOOK 15

Twitte≥ launches new st≥eaming app

play, runs Android KitKat 4.4

7. MOPHIE JUICE PACK FOR IPHONE 6 AND 6 PLUS

Sticking with laptops, Acer unveiled its new Chromebook 15 recently, making it the ﬁrst Acer Chromebook to use the Intel’s new Broadwell chips—the Core i3 and Celero. Self-described as a “true powerhouse”, the device has a 15.6” display, a choice of 16GB or 32GB SSD drive and a choice of 2GB or 4GB or RAM. Acer made no speciﬁc promises on the battery life, but at a price of $249, it’s already sounding like one of the best Chromebooks yet.

4. DELL VENUE 8 7000 Moving on to tablets, which haven’t been forgotten about at this year’s CES, Dell introduced its new Venue 8 7000 tablet, which picked up the CES Best of Innovation award. The super lean tablet is just 6mm thin with an 8.4” OLED dis-

You can shove as many features into a wearable as you like but you still have to get the design right and Withings may very well be onto something here with the Activite Pop. One look at the watch and it looks like a pretty stylish wearable rather than some of the gaudy designs out there. The $150 waterproof watch is essentially a ﬁtness tracker but has all the style of a classic beautiful watch and it teams up with the Withings HealthMate app for health data insights and personal reminders. It wins our best gadget from CES 2015 because it just might be the most mainstream-ready smartwatch to come out yet.

Friday April 10, 2015 | BDLIFE

BDLIFE: HEALTH See a doctor to ﬁnd out the cause of your problem.

How to deal with adult bedwetting

FILE

Don’t be emba≥≥assed to seek help as it is t≥eatable

DR MUKUHI NG’ANG’A

edwetting is considered a child’s problem and generally speaking, even children above the age of seven years are considered too old to wet the bed. However, adult bedwetting is a relatively common problem much as it is not talked about openly. In most cases, it is a treatable condition but often people are too embarrassed to seek medical advice.

WHAT COULD BE WRONG? Primary incontinence

Most children stop bed wetting between 4-7years. Some people, however, carry on bed wetting into adulthood. This is a particularly diﬃcult form of bed wetting to deal with as most people have tried the usual conventional ways to stop without success. Research has shown that it may be hereditary.

Bladder irritability The muscle of the bladder usually allows for it to ﬁll up before it sends signals to the brain telling you that you need to pee. In some cases, the bladder muscle may be overactive and cause you to pee in an erratic manner. This over-activity is usually worsened by substances such as caﬀeine and alcohol.

Bladder cancer Cancer can block parts of the bladder (speciﬁcally the area which control opening of the bladder). This leads to inability to control urination patterns. In addition, sometimes the treatment for these cancers can cause incontinence as a side-eﬀect.

Urinary tract stones

A COUPLE’S PROBLEM Most people only ﬁnd out that their partner bed wets after they are married (or it begins after years of marriage). Because of the stigma associated with this problem, it can put a lot of strain on a relationship and it has led to many couples sleeping in separate beds. When seeing a doctor, it is important for the one who does not bed wet to accompany their partner to hospital to ﬁnd out exactly what is wrong and how to deal with it in the long-term. In some cases, couple relationship counselling is necessary because it not unusual for the non-bed wetting person to put down their partner for bed wetting in moments of anger and frustration.

using diuretics to have difficulty controlling their bathroom habits during the first few weeks of therapy. (This increased urination is the reason why most people fail to comply with their treatment. To help deal with the problem of urinating too often at night, take the tablet first thing in the morning if you are on a once daily dosage). People taking sleeping tablets may also find that they are unable to wake up at night even when their bladder is full.

Neurological disorders Conditions that aﬀect the nervous system such as Parkinson’s, spinal cord injury and stroke can cause diﬃculty in controlling one’s bladder.

Prostate problems Diabetes Diabetes has been known to cause increased urination both during the day and at night. Usually, the volumes of urine passed tend to be quite large which can lead to the occasional ‘night time accident’. Diabetes can also aﬀect the nerves which control the bladder causing unusual urination patterns.

Any condition that causes enlargement or change in the structure of the prostate can make urination a problem. Most men with prostate problems notice that they cannot pass urine with the same ease that they did when they were younger and it is not unusual for urine to dribble out at night when least expected.

Urinary tract infection Medication side-effect Certain medication can cause you to urinate more frequently (these medicines are known as diuretics). This is true for medication used to treat high blood pressure and kidney disease. It is, therefore, not unusual for people who start

Infections of the bladder can cause it to be irritated resulting in painful urination. In addition, it makes one urinate more frequently and sometimes one can get incontinent (and wet the bed).

Stones in the urinary system can sometimes cause blockage in the usual ﬂow of urine. This causes urine to pass out unexpectedly. Usually, this clears when the stone is passed out of the body.

Anxiety and stress This is more common among teenagers who begin to bed wet after years of control. It usually happens when they are faced with tough problems which they cannot deal with, for example bullying or violence at home. It may be associated with night terrors (vivid nightmares).

After childbirth Women who have a particularly diﬃcult labour may develop incontinence after childbirth. If there is no damage to the bladder, the next culprit is the weakness of the pelvic ﬂoor muscles. These can be strengthened over time with exercises such as kegels.

Obstructive sleep apnea (OSA) This is a condition in which one experiences difficulty breathing while asleep. Most of these people snore and may even stop breathing temporarily. This is a serious condition which can happen in people whose airways (behind the nose and throat) are either too floppy or have a blockage. Apart from the poor quality of sleep these people have, they sometimes also find themselves wetting the bed.

WHEN TO SEE A DOCTOR Anyone who begins to wet the bed as an adult must seek medical advice. When you go to see the doctor, expect that he/she will do a thorough physical examination (including your genitals and prostate). They will also ask very detailed and personal questions regarding your physical and mental wellbeing. They may order various tests including urine tests to check for infections, bladder studies (where various imaging tests are done when your bladder is full and while you are peeing) and if necessary, some neurological tests may be done.

TREATMENT Although supportive treatment such as setting an alarm to wake you up at night to pee or minimising your ﬂuid intake at night is useful, treatment of adult bed wetting must always be directed at the underlying cause.

Tips fo≥ coping with an enla≥ged p≥ostate

hen a man reaches about age 25, his prostate begins to grow. This natural growth is called benign prostatic hyperplasia (BPH) and it is the most common cause of prostate enlargement. BPH is a benign condition that does not lead to prostate cancer, though the two problems can co-exist Although 50 per cent to 60 per cent of men with BPH may never develop any symptoms, others ﬁnd that BPH can make life miserable. The symptoms of BPH include A hesitant, interrupted, weak urine stream Urgency, leaking, or dribbling A sense of incomplete emptying More frequent urination, especially at night. As a result, many men seek treatment. The good news is that treatments are constantly being improved. Patients and their physicians have more medications from which to choose, so if one doesn’t do the trick, another can be prescribed. And thanks to some reﬁnements, surgical treatments are more effective and have fewer side-effects than ever before. But there are some things men dealing with BPH can do on their own. When symptoms are not particularly Prostate gland. FILE bothersome, watchful waiting may be the best way to proceed. This involves regular monitoring to make sure complications aren’t developing, but no treatment. For more troubling symptoms, most doctors begin by recommending a combination of lifestyle changes and medication. Often this will be enough to relieve the worst symptoms and prevent the need for surgery.

Tips for relieving BPH symptoms Four simple steps can help relieve some of the symptoms of BPH: 1. Some men who are nervous and tense urinate more frequently. Reduce stress by exercising regularly and practicing relaxation techniques. 2. When you go to the bathroom, take time to empty your bladder completely. This will reduce the need for subsequent trips to the toilet. 3. Talk with your doctor about all prescription and over-the-counter medications you’re taking; some may contribute to the problem. Your doctor may be able to adjust dosages or change your schedule for taking these drugs, or prescribe different medications that cause fewer urinary problems. 4. Avoid drinking ﬂuids in the evening, particularly caffeinated and alcoholic beverages. Both can affect the muscle tone of the bladder, and both stimulate the kidneys to produce urine, leading to nighttime urination. -Reuters

BDLIFE | Friday April 10, 2015

BDLIFE: CULTURE AND THE ARTS ART

CULTURE Fashion designer Ann McCreath (third from left) with some of the KikoRomeo models FILE

Kenyan a≥tists being showcased with Af≥ica’s best Collabo≥ation between co≥po≥ates and visual a≥ts gives needed global visibility

Neighbou≥hood ma≥ket b≥ings fashion close≥ BY MWIKALI LATI

estival for African Fashion & Arts (FAFA) annual fashion gala is usually the talk of the town, however, after the glamorous night is over, the much-appreciated fashion disappears. Each designer goes to back their studios and waits for customers to visit. From the runway to the wardrobe that is what FAFA’s Neighbourhood Market hopes to bring to Nairobi fashion lovers.

Launch To be launched this Saturday, 11th, at the G-Pot restaurant on Chaka Road in Kilimani, it is set to be an open air market that merges a unique blend of beauty, art, fashion and food brought together for a day ﬁlled with shopping and entertainment. Entry is free. “We want the air to be very chilled and laid back, people to come and enjoy good music, food and socialise with their friends. The set-up will be picnic style benches,” says Silvia Tonui, CEO, FAFA. This follows up on the series of discussions facilitated by FAFA for young designers known as Fashion Focus – that were held every Thursday evening at KikoRomeo’s shop at Yaya Centre for the better part of last year. One of the topics was overcoming the big hurdle of getting to market their ﬁnished garments and accessories.

Made in Kenya She adds that most designers starting out are not able to aﬀord the high rents required by more popular shopping malls. For this reason, FAFA has come up with the “FAFA Neighbourhood

Market” which will be a market for designers to sell their creations. It will also act as a marketing exercise for them as many Kenyans are not aware of the number of highly-talented designers in Kenya. The criteria for picking the designers will be those who make their products in Kenya or those whose design labels are registered in Kenya if they are making them outside Kenya.

BY MARGARETTA WA GACHERU

arclays is not the ﬁrst bank to sponsor Kenya visual arts. Stanbic has been assisting Circle Art Agency (now Gallery) from the get-go of the agency in 2013. CBA supported GoDown’s East African Art Summit. And back in the 1990s, ABN Amro was a big supporter of the Kenya Museum Society’s popular Art Fair. But just because other banks have seen the virtue and value of supporting local visual artists in the past doesn’t make Barclays’ role any less important or timely. On the contrary, the Atelier Art Exhibition that opened last Tuesday and ran through Easter weekend at the Nairobi National Museum was something of a watershed moment for artists witnessing collaboration between the corporate community and the visual arts.

Old stock KikoRomeo, Ogake Mochache, the Lebanese Gardens Restaurant on James Gichuru road have conﬁrmed their presence while market goers will enjoy music from Sonbern, formerly a Camp Mulla band member. The whole idea is for Kenyans to get good deals on local designs so it doesn’t have to be a new collection, it could be designers getting rid of old stock. It will run every second Saturday of the month for the next 8 months. mwikalilati@gmail.com A model walks on the runway to showcase various African fashions during Festival of African Fashion and Arts at the oval last May. JEFF ANGOTE

“We want the ai≥ to be ve≥y chilled and laid back, people to come and enjoy good music, food and socialise with thei≥ f≥iends. The set-up will be picnic style benches,” Silvia Tonui, CEO, FAFA.

Competition The exhibition was also a competition and unlike other art competitions (e.g. Manjano and MASK), the six selected artists (out of the

Revolutionary boots from Wambui Kamiru’s ‘Harambee63’ installation. PHOTOS BY MARGARETTA WA GACHERU

MUSIC

Duo in p≥oject to showcase BY BILL ODIDI

ome very fresh faces on the music scene are appearing on stage this weekend to launch a self-supported performance concept, which they are optimistic, will open the doors for other budding artists. This group of newcomers will be holding a joint concert called “The New Flame” this Saturday at the Front Terrace of the Alliance Francaise in Nairobi. The main act of the show is a 19-year-old singer called Amara Tiri, who has already posted a You tube video of herself performing an acoustic version of Amy Winehouse’s song “Valerie.”

Big break “The New Flame” is a concept developed by two young music fans, Collins Kibet and Chebet Kipingor who were both inspired by the talent of their friend, Amara Tari. Collins plays the role of manager, promoter and video director for his younger sister, Amara. “When she sings, everything stops. How she carries a melody, or does her notes, is an art all

THE NEW FLAME Afro Fusion concert April 11, 2015 at 6 pm at Alliance Francaise Introducing 19-year-old singer, Amara Tari Supported by Le Band, 3 HM and other acts Charges: Sh800

in itself,” says Chebet as she describes the singer whose deep vice belies her youth. They say it is these qualities that made them choose Amara Tiri as the ﬁrst of what they hope will turn out to be many amazing young artistes to work with on “The New Flame.” It is these many aspiring musicians who, just like Amara, spend the day hanging out at venues like Alliance or the Piano Centre looking for their big break, that inspired Collins and Chebet

Friday April 10, 2015 | BDLIFE

CULTURE AND THE ARTS: BDLIFE

Museums of Kenya and itself, is only the beginning of what promises to be an annual event. This year, the announcement of the competition and call to artists for their work was “late” according to Sylvia Githai, director of Kuona Trust. The short notice meant artists didn’t have much time to create new works especially for the Atelier show. That’s why there was a bit of a déjà vu experience for me who had seen much of the artwork before. There was nonetheless a mix of new and older works at the Museum. For instance, I hadn’t seen the speciﬁc paintings by Samuel Njuguna, Mutuku Mwiki, Leena Shah and one award winner Maral Bolouri before. Even so, I feel the winning six, despite some of their work having been shown before at other venues, brought some of their best art to the Museum.

Winners Cyrus Ngang’a’s “ Jua Kali Bicycle.”

32 who submitted works) will now embarked on a journey that will take them ﬁrst to South Africa where their winning artworks will go on display together with the ﬁnalists from four other African countries, namely Botswana, Ghana, Zambia and South Africa where the Atelier art competition has been running for the past 30 years.

Annual event Kevin Irungu’s ‘Kibera Times’

It is only this year that the bank chose to reach out across the region and open up the Atelier to other African artists. So this exhibition which was based, according to Raj Shah, on a partnership between Kuona Trust, the National

unknown musicians to scrape what little resources they could get, to organise this ﬁrst show and hopefully build on its success. “These are real musicians who play a range of instruments and refuse to be put in a box as Kapuka or hip hop artistes. They believe that given a chance, they can be every bit as good as Sauti Sol has turned out to be,” says Chebet “This is a concept about new beginnings, new opportunities, new ideas for those with a gift of expressing themselves through music,” she adds. Their objective is to send a message that music, along with other art forms is a valid career choice and that young people can realise their dreams with support and guidance to utilise their gifts.

A students As if to prove that point, “The New Flame” includes two A students, Jason Rae and Joel Maina who are also musicians and play at least ﬁve instruments each. Both have gone against the grain of only pursuing university or college education and

work as freelance instrumentalists with many artistes. “The New Flame” is an opportunity for this group of musicians to be exposed to the right people in the business, from producers, managers and established musicians, and provide them with the necessary tools of the trade. Amara Tari will be supported by a variety of performers like Ciano Maimba, Philie Kombo, Jason Rae, Samson Maiko, Wairimu Kamatu, Ken Orwa and a guest appearance from Le Band. All these musicians are oﬀering their talents at no cost in the conviction that their contribution can uplift the talents of a fresh new talent. The concert will also be a platform for Amara Tiri to launch the audio and video of her song “Biggest Fan” originally sang and produced by the Kenyan Jazz/R&B artiste, Kagwe Mungai. Mungai himself has produced the cover version as a sign of the faith he places in the young artist. The concert will open with a per-

The six winners announced last Tuesday night by Raj Shah are Wambui Kamiru and Jackie Karuti, both of whom submitted installations for consideration: Wambui’s from her Harambee63 show and Jackie from Labyrinths. Then there was Cyrus Kabiru for his Jua Kali bicycle art, Kevin Irungu for his latest painted ‘edition’ of Kibera Times, Brian Omolo for his pop-art digital paintings and Maral Bolouri for her playful pen and ink painting. Some of the other notable works which were not up for consideration but featured prominently in the Atelier show were by Paul Onditi (who served as one of the competition judges together with Peterson Kamwathi, Carol Lees, Danda Jaroljmek and Raj Shah), Michael Soi, Patrick Mukabi, Geraldine Robarts, Bertiers

formance by Jason Rae, followed by the video showcase of “Biggest fan”. Samson will then play a trumpet and trombone set with Jason, before Ciano does an acoustic guitar solo. Philie will also per-

Amara Tiri, 19 year-old singer, who has already posted a You tube video of herself performing an acoustic version of Amy Winehouse’s song ‘Valerie.’ COURTESY BILLI ODIDI

Mbatia, Omosh Kindeh, Maggie Otieno and Leena Shah to name but a few.

Global exposure What else is in store for the six ﬁnalists apart from being showcased together with their counterparts from Botswana, Ghana, South Africa and Zambia at the Absa Gallery in Johannesburg (which contains the second largest corporate art collection in the world, valued at over Sh9 billion) is potentially millions of shillings, art residencies everywhere from Paris, New York, Sylt, Germany, and Johannesburg itself, plus global exposure of both the artists and their artwork. The challenge is that ultimately, there are only 10 ﬁnalists and one grand-prize winner. But the fact that Kenyan artists are on board a moving project that’s been giving African artists a platform to shine for 30 years is a big deal already.

Kenya Pavillion In contrast, the other international forum which has raised serious questions about the role of the Kenya government in allowing Chinese and Italian artists to use the Kenya name with no Kenyan artists’ representation is the biennial Venice Biennale. The Cabinet Minister for Culture, Hassan Wario has skirted the central issue of how there could be a so-called ‘Kenya Pavilion’ at the Biennale when no Kenyan artists or arts organisations are involved? The same thing happened two years ago, and this year the artists are demanding answers, but so far, they are being stone-walled. Many artists believe the minister’s name should be placed on the List of Shame for his role in allowing the misrepresentation of Kenyan culture and art for two years in a row. Finally, Patrick Nganga’s art is at the Talisman Restaurant, to be reviewed next week.

form a solo guitar set, before Le Band and the trio from Third Hand Music get on stage. The concert will then close with Amara Tari’s performance of her songs including an upcoming new release, “Party all the time.”

Debate Meanwhile, Kenyan music industry veterans along with the new techies will debate the major issues confronting the business at a forum called “Analogue Elders vs. Digital Natives” this Saturday. The event at the Goethe Institute and organised jointly by Ketebul Music and East Africa Santuri will feature a session between older artists from Kenya’s rich musical past with younger musicians, producers and DJs representing the digital era. The concert will be followed by a panel discussion at the Goethe Auditorium, investigating the results of the co-creation workshop as well as debates between guest speakers from the music industry, media and cultural curators. Later on Saturday night, the space will be transformed into a party with music from the diﬀerent eras in Kenyan music, past and present, live performances and DJ sets from a diverse selection of artists.

BDLIFE | Friday April 10, 2015

BDLIFE: EAT OUT DRINK

Floor seating arrangement (left and table setting (right) at Tokyo Japanese restaurant in Lavington . PHOTOS COURTESY EAT OUT

The Tokyo of the town Restau≥ant has g≥eat food pai≥ed with g≥eat wines and champagnes fo≥ all palates BY DARSHANI HARIA

okyo Japanese restaurant has been in Nairobi for a very long time! It moved from Westlands to Karen and finally ended up in Lavington, on Kolloh Road adjacent to the Shell Petrol Station off James Gichuru road. They now have a much larger space and their garden is exquisite. It’s bright and well kept, with just enough shade and trees to enjoy on a hot day. They have 3 indoor spaces as well, one for the traditional customer, another for the more adventurous Teppanyaki consumer and finally, a brilliantly decorated space for the fun-loving punter to get their Karaoke on!

Sushi and Taittinger at Tokyo Japanese restaurant. ALL PHOTOS COURTESY EAT OUT

Mouthwatering morsels I was invited to sample some of the delicacies Tokyo has on oﬀer on their menu. Presented to the table was a large, traditional sushi boat, ﬁlled with scrumptious goodies such as sushi

rolls, nigiri, sashimi and salad. The sushi we had was one of their new stars on the menu – the Black Dragon roll - ﬁlled with an agreeable combination of crispy Salmon skin (su-

premely crunchy and salty) and vegetables and topped with a dainty treat of Unagi (Eel!) and Avocado. I have only tasted eel once before and needless to say, it was not a pleasant experience! However, this one was deliciously fresh, delicate and tender with none of the unpleasant fishiness or earthiness that you get at many other places. The sashimi presented was from a few different fish. The usual suspects were there – Tuna and Salmon, but there was also White Tuna, Red Snapper and Octopus sashimi. I was dreading the Octopus but to my surprise and enjoyment, it was so skillfully cooked that it was not chewy at all and had a wonderfully delicate flavour (although sashimi is generally raw, Octopus needs to be cooked slightly otherwise it’s very slimy and chewy). The other fish were beautifully fresh. The pieces were dainty and soft, and literally melted in your mouth leaving behind just a hint of saltiness as a reminder they were there.

Champagne with your sushi Tokyo has a special offer starting in May. In collaboration with Wines of the World, they now use Taittinger as their exclusive pouring champagne. If you buy a glass of Taittinger at Sh2000, you get a superb complementary selection of sushi, sashimi or nigiri, and of course you get even more of these delicious bites if you buy a whole bottle. In case you didn’t know, champagne and sushi is one of the most amazing combinations. As long as you control the amount of soy and wasabi, the distinct, slightly earthy taste of the Champagne comes together perfectly with the briny taste of the raw fish, especially with oily fish like Salmon and Tuna where the acidity of the Champagne cuts through the oiliness. Don’t miss out on this!

Dusitd2 opens stunning Rouge deck BY FRED MWITHIGA

Monday evening and I am headed to dusitD2 for the opening of their new Rouge Deck. As soon as I walk in, two beautiful ladies welcome me, offer a drink and lead me to the deck. In this 10second span, all I can think is ‘where did they get these models?’ but this is dusitD2. Nothing is left to chance. The Rouge Deck has class written all over it. Their red swimming pool is one of a kind and has two submerged lounge areas in it. The deck has a contemporary-chic modern design. The bar section has a tree with red leaves (like the Weirwood in Game of Thrones) with lights gently illuminating it. By 8pm, Rouge Deck is a ﬂurry of excitement. DJ Protégé is doing his thing behind a massive reﬂective mask that serves as a booth. The bar is very busy. People are ordering drinks like the weekend just began. You can’t blame them though, who says no to a free drink in such a beautiful space? The bites on offer are an array of exceptional Thai cuisine. Minutes later, renown radio personality, Caroline Mutoko takes the stage and welcomes the guest speakers: Mr Chanin Donavanik, CEO and Managing Director of Dusit International, Mr Snehal Sangh and dusitD2 Nairobi’s General Manager, Mr Olivier Francis. After the speeches are done, a toast is proposed (an opportunity to down our champagne).

DJ Protege at the Rouge deck. COURTESY

For the most up to date restaurant information, news, offers and events, visit: www.eatout.co.ke.

PUB REVIEW

G≥eat ba≥ fo≥ a ≥elaxed evening BY JACKSON BIKO

found myself seated at the bar at Sarova Panafric Hotel on a slow weekend during this past holiday. Friday to be precise. I’m chatting with the barman, Eric who is making some cocktail or the other, shaking it up over his left shoulder. Being a Friday, Pressmen Band is just warming up. You remember them, don’t you? Old band, managed to weather the tides of musical inventions that came with the Internet and technology and manage to preserve what they stood for back then when bands played music that made sense. Today is a bit nostalgic, listening to them play some old tracks. Their voices aren’t what they used to be, they have indeed gotten richer with more history dating back decades.

The band plays in the main restaurant – Flame Tree – which sports an interesting mix of diners and after dinner crowd who are relaxing and enjoying their beers and cocktails. There are also a few resident guests, foreigners in their hotel slip-ons.

FLAME TREE BAR

Prices Beers: Sh400 Wine by glass: from Sh500 to Sh750 Cocktails: Sh450- Sh1,000 Amarula: Sh350 a glass

No frills You will probably not end up sitting at the restaurant if you aren’t planning on dining. You will sit at the main bar, where Eric is. It’s a small rectangular space, solid and without too many frills. A big-screen television shows sports above it. When the clock strikes 9.pm, this television will be switched to the news and all eyes at the bar will drift to it. Kenyans and their news! You might notice a few legislators at the bar; a governor, an MP, some

business mogul, a legal eagle. They often meet there for a drink because it’s non-obtrusive, relaxed and there is tons of parking space. From the bar, you might not be able to see the band do their magic but you will certainly hear them.

Security Hotel bars are not usually the most exciting places to drink at, you really have to be clear about what you want

Eric, the barman at Flame Tree pub at the Sarova Panafric Hotel. COURTESY JACKSON BIKO from that experience. Do you want to be alone and have a drink in a familiar environment where the music is low and the barman calls you by your name? Do you want to meet interesting new people? Do you want to while the time away as you wait for traﬃc to ease? Do you want to have a business meeting

that isn’t too serious or are you there to listen to an old band? This bar might fulﬁl any one of the above. Whatever it is, you will be assured of security and you know that you are sharing your space with people who are probably looking for the same things as you are.

Friday April 10, 2015 | BDLIFE

BDLIFE: MIND GAMES QUICK CROSSWORD

SUDOKU

229

WORD WHEEL

Insert the missing letter to complete an eight-letter word reading clockwise or anti-clockwise.

Across 1 Stroll (4) 3 Poetry (6) 9 Grassland (7) 10 Entertain (5) 11 Racket (3) 12 Insigniﬁcant person (9) 13 Unassuming (6) 14 Feeding trough (6) 16 Declaration (9) 19 Allow (3) 21 US state (5) 22 Rubbish (7) 23 Complete (6) 24 Jewellery item (4) Down 1 Dried (5) 2 Erudite (7) 4 Main ofﬁce (12) 5 Small rodent (5) 6 Soft shoe (7) 7 Utterly absurd (12) 8 Jump (4) 13 Dog (7) 15 Chivalrous (7) 17 Once more (5) 18 Border (4) 20 Fashion (5)

CODEWORD

3179

Each number in our Codeword grid represents a different letter of the alphabet. For example, if 18 represents “C,” ﬁll in C every time the ﬁgure 18 appears. You have two letters in the control grid to start you off. Enter them in the appropriate squares in the main grid, then use your

TIMES CROSSWORD

knowledge of words to work out which letters should go in the missing squares. As you get the letters, ﬁll in other squares with the same number in the main grid and control grid. Check off the list of alphabetical letters as you identify them. SOLUTION appears in Business Daily on Monday.

24041

WORD BUILDER

527

How many words of three or more letters, including plurals, can you make from the ﬁve letters, using each letter only once? No foreign words or ones beginning with a capital are allowed. There’s at least one ﬁve-letter word. Good = 16; Excellent = 22; Amazing = 29

Across 1 Perfect son, having punctured tyre, approaches father (9) 6 Helmet cold — might this be hot? (5) 9 Devilish children’s game? (7) 10 Article written on break-up of ice on a group of islands (7) 11 Cream, with lo-calorie drug? (5) 12 Piece of seafood: two men eat-ing a third, shortly (4,5) 14 Shut up from both sides? (3) 15 Revered river artist ﬁnds hard to draw

0513

accurately, but another captures this (11) 17 Discrepancy in enumeration, one going up? (11) 19 Drop fuel when reversing (3) 20 Open University ﬁles list in house, or similar thing (9) 22 Alien who breaks record, ﬁt (5) 24 English sense Virgin Islands are invading, being resentful (7) 26 Grand greeting, embracing far too much in dance (7) 27 Little fool (5)

28 Man’s racing to catch dog formerly on lead — such a character (9) Down 1 Father beginning to diet, getting into trim (5) 2 Book somewhere just off the M4? (7) 3 Be idle, then children’s author has to chip in (2,4,3) 4 Business assessment of rustler’s work? (11) 5 Little room for game (3) 6 Actor’s request at the bookmaker’s? (5) 7 Pound bread — start to tire, and ﬂag (7)

8 Criminals bound to be working (5,4) 13 In the dark, dark shade, beginning to edge forward (6,5) 14 Glue’s believed to secure one, as protection for boxer (9) 16 French overplay kinky love (9) 18 Cold day in 1945 — no mud around, anyhow (7) 19 Shallow basket in sink (7) 21 Having a screw loose, as twisted? (5) 23 Gather fuel’s around a pound (5) 25 Check date (3)

TRIO

511

These four words can be completed using the same three-letter sequence. Can you ﬁnd it?

YESTERDAY’S SOLUTIONS SOLUTION FOR TIMES CROSSWORD AT LEFT YESTERDAY’S SUDOKU AT RIGHT SOLUTIONS FOR QUICK CROSSWORD. WORD WHEEL, CODEWORD, WORD BUILDER AND TRIO WILL APPEAR IN BUSINESS DAILY ON MONDAY

BDLIFE | Friday April 10, 2015

BDLIFE: WEEKLY PLANNER WHAT’S ON THIS WEEK Art Shags: Life There ni Poa: The Village Market, until April 13th. An art exhibition by The Little Art Gallery featuring Patrick Kinuthia, Fred Abuga, James Njoroge. Transformations Art Exhibition: The Village Market, until April 15th. Transformations Art Exhibition will happen at the Village Market Rooftop Parking. Fringe Churches in the Periphery of Seoul: Kuona Trust, until April 19th. This documentary work represents an inquiry into the religious, cultural and ﬁnancial dynamics of non-traditional churches located in the periphery of Seoul. The Staircase Showcase: Creatives Garage, until April 24th. Creatives Garage presents The Staircase Showcase featuring Kezia Nduta.

Theatre Don’t Let Me Go: Alliance Française, Nairobi, until April 19th. In this hilarious comedy of riotous marital misunderstandings, a couple attempts to ﬂee the country.

Movie Premier of the Week

Genre: Comedy

Fiﬁ Moto & Enomizizi With Kiunoviuno Band: Club Rumourz, Thursdays. Fiﬁ Moto, Enomizizi and Kiunoviuno band join us at Club Rumourz every Thursday for chakacha/ belly dancing.

Cast: Will Ferrell, Kevin Hart, Alison Brie

Sports

GET HARD

When millionaire James King is nailed for fraud and bound for San Quentin, he turns to Darnell Lewis to prep him to go behind bars.

Chicago.

clothes and other Kenyan crafts.

Zumba with Magic Mike: The Oshwal Sports Complex, Wednesdays. Join Magic Mike for the most exhilarating workout of your life! Zumba Fitness is a Latin-inspired dance workout that will help you to party yourself into shape.

High Court Grounds Maasai Market: High Court Grounds, Wednesdays. Taking place across various locations in Nairobi, the Maasai Market is vibrant and the place to get beautiful sculptures, shoes, jewellery, clothes and a huge selection of other Kenyan crafts.

Afro-Dance Workshop: The Theatre Company, Thursdays. Come learn African and Afro-diasporic (dances that have African inﬂuence found in other countries, such as Brazil, Colombia, Cuba, and Haiti) movement and rhythms every Thursday.

Open Mic Nite: The Blues Restaurant, Fridays. Every Friday night there is an awesome Open Mic Nite at Blues Bar, Hurlingham…it’s a lot of fun. Also eat cheap burgers, ribs and Tusker.

Festivals/Craft Fairs

Kenya Kona Comic Sundays: Club Hypnotica, Sundays. Featuring seasoned comics like Dr. King’ori, Zuleka, YY, Oyoo, Moch Mpienga, the Bad’d boys of Kenya Kona and many more.

Maasai Market: Fridays at Village Market, Saturdays & Sundays at High Court Grounds; Sundays at Yaya Centre, Wednesdays at Capital Centre, Mombasa Road. The place to get beautiful sculptures, shoes, jewellery,

The Crafts Market: City Mall, Mombasa, Wednesdays & Thursdays, until April 23rd. Buy creative craft items every Wednesday and Thursday at City Mall’s main parking area.

Viva Espana Salsa Night: Artcaffe Restaurant - The Oval. Fridays Artcaffe Oval invites you to enjoy an evening of Spanish music, cocktails and dancing every Friday between 9pm and Midnight.

The Junction Musical Maasai Market: 3rd ﬂoor parking, the Junction, Thursdays. For a wonderful selection of arts and crafts, wooden carvings and beadwork.

Expositions Kenya Trade Show 2015: Sarit Centre, April 11th. The Kenya Trade Show 2015 is organised by Grow Exhibitions. Auto Bazaar: All About Cars: Thika Road Mall, 12th April. The Bazaar brings together car dealers, individual sellers, enthusiasts and buyers on a common ground where sellers to showcase and sell their cars to interested buyers every second Sunday of the month.

Music

Dance Ghungroo: An Evening of Kathak Dance: Oshwal Centre, April 12th. He has choreographed many performances in Indian Television Dance Reality shows like DID Super Moms, Jhalak Dikhla Ja-6&7, Boogi Woogi, India’s Got Talent-5, DID-4 etc

this and every thursday, you will be entertained by a live band, this week weavers band.

Hot Event of the Week 2015 Spring Fling Craft & Boot Sale: Rosslyn Academy, April 11th. A great opportunity to buy or sell items, do some shopping, eat unique foods and just enjoy the exciting atmosphere created through a community-wide event.

The New Flame Afro-fusion Concert: Alliance Française, Nairobi, April 11th. Video launch and Music Concert by Amara Tari, an upcoming singer. She will be joined by by Le Band, Ciano Maimba, Philie, 3ME, Jason Rae. Thursday Nite Live @ Choices featuring Lele Ngoma: Choices Pub and Restaurant, April 16th. Lele Ngoma is an eclectic Urban Afro-Soul band blending a variety of styles from Jazz to Benga, Rock to Caribbean sounds. Afro Rhumba Wednesdays: K1 Klub House, Wednesdays. Experience happiness with Kitts Band live on stage with the best of Rhumba.

Zumba Fitness: Sarabi Pool and Supper Club, Saturdays. Sankara Nairobi presents a zumba ﬁtness experience to remember with PJ every alternate Saturday.

Every Thursday Live Band: Sirville Brewery & Lounge, every Thursday. Starting

Capoeira Angola Classes: Y.M.C.A Kenya - Central Branch, Every Monday and Wednesday. Capoeira Angola can be described as a martial art, dance and a cultural weapon. It’s a beautiful game played to the rhythm of percussion instruments and call response songs and a philosophy.

Nightlife

Hip Hop Dance Classes: ABC Place, Wednesdays. Come learn the latest moves from your favorite music videos from an instructor who used to dance with a professional hip hop dance crew in Los Angeles and

Party Nite Saturday: Scotchies Lounge, every Saturday. Every Saturday with Dj Alpha. Free Wiﬁ and ample of parking space.

Danger’s Trio: Tamambo Village Market, every Friday. Come and enjoy our line up of quality music at the Tamambo Village market.

Hot Salsa Fridays: Seven Grill & Lounge, every Friday. Seven Lounge & Grill presents Hot Salsa Fridays with our ﬂambouyant band and instructors.

Friendly Fire Paintball: ASK Showgrounds, Jamhuri Park, April 11th. The heart-pounding thrills of paintball are like no other sport, whether you’re playing with a group of friends or challenging strangers to a fast-paced match. The Salama Fikira Kenya Derby: Ngong Racecourse, April 12th. Celebrating 110 years of horse racing in Kenya. The Barclays Kenya Golf Open 2015: Karen Country Club, until April 12th. Come watch the world’s best at The Barclays Kenya Open 2015. Currently the second oldest event under the PGA European Challenge Tour in Kenya.

Kids Events Kids Festival: Kisumu Polytechnic, April 11th. Kids festival in Kisumu edition will be hosted by Churchill. tickets are available at Naivas. SOS Children’s Villages - Kenya for a Kilimanjaro Trip: Mount Kilimanjaro in Tanzania, April 12th. Climb,Sponsor or Donate to support the SOS Childrens Villages. Parents Workshop: The Miraculous Brain: Peak Performance International, April 13th. We shall be hosting parents with children between 5-12 years for a Free 2 hour Parents Workshop. We shall be focusing on Brain Development and its impact in revolutionizing the way children learn. SuperCamp Kids Holiday Program: Savage Wilderness Camp, until April 17th. What’s your child doing this holiday? SuperCamp is a highly engaging holiday enrichment program that inspires and empowers students to excel. Kusoma Tu Utamaduni Kids Camp: CITAM Woodley, until April 24th. Looking for a holiday activity for your child? Kusoma Tu has just what you are looking for. Easter Avatar Art Workshop: The Nairobi Art Centre, until May 1st. The workshop is designed to introduce children to the world of Art & Crafts in relaxed and informal environment.

Food/Wine An Evening With Le Decanter: Sankara, April 10th-11th. A culinary experience through French Wines,

presented by Le Decanter. Wasini Happy Hour: Wasini All Suite Hotel, until April 23rd. Local beer and selected Wines and Spirits from Ksh 250. Pizza and Peroni Saturdays: Villa Rosa Kempinski, every Saturday. Get this, it’s not a one pizza, two pizza go home kind of thing. This is an all you can eat pizza affair. Cocktails Thursday: dusitD2 Nairobi, every Thursday. Come and try some of our uniquely created cocktails from the most exciting cocktail menu in the city. Great Deals: Best Western Premier Nairobi, everyday. Enjoy great deals everyday on corporate events, socials, cocktails.

Special Events Bridging the Gap: Analogue Elders vs. Digital Natives: GoetheInstitut, April 11th. Santuri East Africa and Ketebul Music will present a day of activities investigating this claim, and seeking solutions to questions of identity, tradition, innovation and the role of technology in music production. Divalicious: Villa Rosa Kempinski, April 11th. Crown paint presents Divalicious fashion and lifestyle exhibitions. World Parkinson’s Day: Nairobi Arboretum, April 11th. Creating Awareness on Parkinson’s Disease in Kenya. Autism Awareness Family Fun Day: Bomas of Kenya, April 12th. Kaizora Consultants is a centre for individuals with autism and other developmental disorders. Quiz Nite: Tamambo Village Market, April 15th. Quiz nite with quiz master Alexi.

Yoga Acro Yoga Workshop: Acacia Studios, April 12th. Acro yoga fuses elements of yoga and acrobatics together in a fun and challenging way, through partnership and teamwork. One Day Sshh Retreat in Langata: Private Property, April 11th. Give yourself a time out to enjoy this oneday meditation and healing retreat.

Film 3rd Session of CinemAlliance: Alliance Française, Nairobi, April 13th. Join us for the 3rd FREE session of CinemAlliance where we showcase: The future of Kenyan ﬁlms. License To Kill: Benga House-Kyuna Crescent, until May 16th. A ﬁlm series inspired by the idea that individuals have the right to take charge of their life to improve their community and society for a better place. For the most comprehensive event information in Kenya: www.kenyabuzz.com Tel: 0727 288 036