Business daily apr 16th 2015 by HABA KWA HABA

Bitange Ndemo

Digital Business

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NO. 2075

THURSDAY, APRIL 16, 2015

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Kenya ≥isks losing Sh10bn with closu≥e

LEFT ALONE

of Dadaab camp

More than 10,000 jobs held by both local and foreign workers could also become redundant in three months BY MUGAMBI MUTEGI

“We must secu≥e ou≥ count≥y at whateve≥ cost, even at the ≥isk of losing business with Somalia” WILLIAM RUTO, DEPUTY PRESIDENT

Kenya could lose up to Sh10 billion in annual foreign currency inﬂows if the Dadaab refugee camp is closed in the next three months as directed by the Uhuru Kenyatta government. Dadaab, which is home to nearly half a million people, has over the 20 years of its existence grown into a well-oiled business hub that takes in large amounts of foreign aid from more than 30 agencies, including the UN as well as the United States, German and UK governments. The large number of refugees living in the ﬁve separate camps that make Dadaab has also created a dynamic economic hub with billions of shillings worth of security, transport,

retail, education, and engineering services. The camp has also created more than 10,000 jobs, mostly held by Kenyans. Concern has been rising that Deputy President William Ruto’s directive that the camp be closed in three months will not only put Kenya at odds with international law but also exact direct economic costs, including the destruction of thousands livelihoods. “Dadaab is not an ordinary refugee camp but a big business centre that supports varied needs of the thousands of people who live there as refugees, workers or natives,” the Department of Refugee Aﬀairs (DAF) said, adding that Dadaab’s economy is worth DADAAB, Page 4»

BY OKUTTAH MARK AND BRIAN WASUNA

The telecoms sector regulator has sent its director-general, Francis Wangusi, on leave and advertised his position, signalling a possible change of guard at the agency. Mr Wangusi has been at the helm of the Com-

munications Authority of Kenya (CA) for three years, having taken over from Charles Njoroge in 2012. Ben Gituku, who chairs the CA board, yesterday told the Business Daily that Mr Wangusi, whose contract expires on August 21, had requested for an extension of WANGUSI, Page 2»

General Hospital’s maternity wing yesterday after more than 300 nurses at the institution went on strike. KEVIN ODIT.

NEWS INDEPTH

Gamblers seek $150m answer in British vote that’s too tight to call Pages 12-13»

Safaricom suspends some M-Pesa services

Qataris aid Kenya in set up of centre

Safaricom will from today suspend the registration of new M-Pesa customers and transfer of cash to rival mobile phone networks until an ongoing upgrade and transfer of its IT system from Germany to Kenya is completed on Sunday.

Gas-rich Qatar has formally signed up to help Kenya set up an international ﬁnancial centre , expected to boost Nairobi’s push to host the coveted Chinese renminbi currency clearing hub.

Page 7»

Page 19»

BRIEFING

CA boa≥d sends Wangusi on leave, adve≥tises his job

MOMBASA Mothers attend to their newborns at the nursery section in Coast

BUSINESS DAILY | Thursday April 16, 2015

TOP NEWS

Kenya at ≥isk of Sh10bn loss f≥om Dadaab shutdown »From Page 1

billions of shillings. has in the past sought to downplay Kenya reckons that the camp has the possible economic costs of closing become a home for the Somalia ter- Dadaab and Kakuma camps terming rorist group Al-Shabaab’s sleeper cells it “very negligible.” and therefore a big security threat that “There will be no major impact must be immediately removed. on our foreign exchange accumulaTop aid agencies operating in tion because, unlike in the 1990s and Dadaab include the United Nations early 2000s, the NGOs and multilatHigh Commission for Refugees (UN- eral refugee operations are no longer a HCR), the World Food Programme major source of our foreign exchange,” (WFP), the United States Agency for he said. Closing the camp would, however, International Development (USAid) mean money that the Geand the International Orneva-based commission ganisation for Migration (IOM). The≥e will be no planned to spend there this year will be redirectOthers are the Kenya majo≥ impact ed towards repatriating Red Cross, the Norwegian Refugee Council, the Interon ou≥ fo≥eign the refugees. national Rescue CommitAid organisations exchange tee, Oxfam, Islamic Relief at Dadaab buy most of accumulation... their supplies locally, proWorldwide and the Catholic Relief Services. viding a ready market for HENRY ROTICH The WFP, which is a UN thousands of producers TREASURY SECRETARY agency, operates a monthly who help tap the donor budget of about Sh1 billion billions into the Kenyan to buy, ship in and distribeconomy. ute more than 10,000 metric tonnes The UNHCR, for instance, buys of food to the refugees. most of its non-food products from The US government, which is WFP’s Nairobi and Mombasa, and only main ﬁnancier, last year spent Sh10 turning to international suppliers if billion on refugee operations in Kenya the goods are not available locally. besides the huge amounts that came More than 50 trucks enter Dadaab from Australia and Denmark in aid, every week, carrying supplies from Nairobi and the port of Mombasa, according to DAF. The UNHCR spends an estimated earning the truck owners millions of Sh4 billion on the Dadaab refugee shillings besides providing employcamp every year, highlighting the ment to hundreds of people. A UNHCR-commissioned study in large amounts of money that will cease ﬂowing into Kenya once the 2013 found that business owners in and around the camp mainly do busicamp is closed. The UNHCR also supports Kakuma ness with the thousands of resident refugee camp situated near the Kenya aid workers. South Sudan border and which, like “Although their customers are not Dadaab, is overpopulated with refu- refugees, they attract people who travel gees from South Sudan, Burundi, to Dadaab – whether for business or relief work,” the report says. Ethiopia and Congo. The UNHCR report gives the examTreasury secretary Henry Rotich

UNHCR-supported refugees in Kenya as of January 2015 Kenya’s government has ordered the closure of Dadaab camp -- which hosts majority of the country’s refugees -- in three months Counrty of origin Somalia

No. of individuals 462,970

South Sudan

97,780

Ethiopia

21,300

Various Total

16,430 598,480 SOURCE: UNHCR

Somalia refugees queue for food supplies at the Dadaab camp in Kenya. FILE ple of Hanshi Palace, a business that is located opposite the Dadaab refugee camp’s main office, which earns millions of shillings every year leasing out Toyota Land Cruisers to a number of NGOs besides winning numerous construction tenders. Dadaab refugees buy food, cosmetics and other consumables such as miraa from Somalia, where it is sourced illegally and tax-free, making them cheaper and more affordable. Closing Dadaab is also expected to hit nearby towns such as Garissa hard. It is estimated that Garissa derives a third of its income from Dadaab, highlighting the possible ripple effects of moving the camp to Somalia. Mr Ruto, however, insisted that the government was ready to pay any cost to secure the country. “We must secure our country at whatever cost, even at the risk of losing business with Somalia,” he said. Abdullah Mohamed, a resident of Garissa who works with one of the aid agencies in Dadaab, said closing the camp would severely affect the livelihoods of thousands of people employed there. Provision of social services such as education and health in the semiarid North Eastern part of Kenya is also expected to suffer a huge setback

with the closure of the camp, which has seven secondary schools and 20 primary schools. Cab hire services also make a huge segment of the Dadaab economy, supporting more than 100 households in the region. Hiring a taxi for movement between the five camps costs between Sh1,000 and Sh3,500. “There are thousands of young people whose only source of income is supplying the aid agencies,” Mr Mohamed said, even as he urged the government to rescind the decision. This is not the first time that the Kenyan government has attempted to close the Dadaab camp. In 2013, Mr Ruto said the camp needed to be closed as it had become a financial burden to the country besides being a security threat. The announcement elicited a diplomatic backlash that only ended when the government signed a tripartite agreement with the UN, allowing the refuges to voluntarily opt to go back home over a three-year period. The latest attempt, coming soon after an Al-Shabaab attack at Garissa University left 147 students dead, is already facing stiff opposition from agencies such as the UNHCR. pmutegi@ke.nationmedia.com

MPs okay bid to t≥anslate all laws into Kiswahili BY OLOO WINNIE

All laws will be translated into Kiswahili if a Bill currently before Parliament is passed. MPs yesterday unanimously adopted a motion by Taita Taveta women representative Joyce Lay urging the National Council for Law Reporting to progressively translate the Constitution and laws of Kenya into Kiswahili. Ms Lay said the move will see Kenyan courts give judgment to parties in

a case in Kiswahili. It is estimated that 70 per cent of Kenyans understand Kiswahili more than English. Members of Parliament agreed that there was need for citizens to understand the Bill of Rights in the Supreme law in order to make justice understandable by a majority of Kenyans. “Translation of the Constitution and laws will cater for justice for all, the Constitution (is) the single most important document,” said Saku MP

Ali Rasso, adding that the translation should include audio for broadcast to breach all barriers of communication. Those who contributed to the private members motion argued that translating laws into Kiswahili would encourage public participation in governance. Nominated MP Sunjeev Birdi said Kiswahili will help the majority of Kenyans in the marginalised regions to understand issues likely to aﬀect them. “Most Kenyans speak Kiswahili more than English, they should not

be restricted to participate in national affairs when seeking employment in offices because of language hurdles,” she said. Kiswahili is the official language in the East African Community partner-states of Kenya, Uganda and Tanzania — and the Democratic Republic of Congo. This could see documents of EAC written in both English and Kiswahili.Kiswahili is a language spoken by more than 100 million people in Africa, Eastern Africa being the hub.

UN agency u≥ges State to ≥ethink camp closu≥e The United Nations refugee agency has urged Kenya to rethink its order to close the world’s largest refugee camp, saying it would not participate in forcing Somalis back to their homeland as that would breach international law. Kenya gave the United Nations three months to remove Dadaab camp, housing 350,000 registered Somali refugees, as part of its response to the killing of 148 people in nearby Garissa by a Somali Islamist group. Kenya has in the past said AlShabaab militants use Dadaab camp as a hideout. The UNHCR said the “abrupt” plan “would have “extreme humanitarian and practical consequences”. “We are thus urging the Kenyan authorities to give the matter further consideration,” UNHCR spokeswoman Karin de Gruijl told a news brieﬁng. “The main issue is the voluntariness of returns. If these people were forced to return, it could be in breach of international law and UNHCR would not facilitate such a move,” she said. The 1951 UN Refugee Convention, to which Kenya is a party, prohibits forcing refugees back to areas where their life or freedom is threatened, a practice known as ‘refoulement’.

Desperate Njonjo Mue, of the human rights coalition Kenyans for Peace, Truth and Justice, said the logistics of emptying Dadaab “boggles the mind” and could play into Al- Shabaab’s hand. “Basically, we would be handing over to Al-Shabaab a ready-made army of say 200,000 young men who will be desperate and who will have nothing to do,” he said. UNHCR considers that large-scale returns of refugees is still not possible in many parts of Somalia, where public services such as schools and healthcare are lacking after 20 years of conﬂict. The UN agency said it was ready to work with Kenyan authorities to strengthen law enforcement at Dadaab to help protect refugees and Kenyans against possible intrusion by armed groups or “terrorist incursions” from across the border. “The government of Kenya has not said this camp should be closed because Al-Shabaab is in the camp. The government of Kenya is just concerned about the whole situation in the camp,” de Gruijl said. “With them we have stepped up law enforcement in the camp, so the situation is much calmer now than some years ago.” At its peak, Dadaab held 500,000 Somali refugees, many of whom had ﬂed famine in 2001, she said. -REUTERS

Thursday April 16, 2015 | BUSINESS DAILY

ECONOMY & POLITICS NEWS I REVIEWS I ANALYSIS

MPs extend Matemu p≥obe by 10 days PARLIAMENT Fate of chair Mumo Matemu and

deputy Irene Keino still hangs in the balance

Ababu now suspended f≥om House BY OLOO WINNIE

hind closed doors but failed to arrive at an agreement resulting in the lapse The fate of Ethics and Anti-Corrup- of the deadline for tabling the findings. tion Commission chairman Mumo Committee vice-chairperson Pricilla Nyokabi moved a moMatemu and his deputy, tion seeking the 10-day Irene Keino, still hangs extension without giving in the balance after ParI move that this reasons. liament granted 10 more days to its Justice and Le- House ≥esolves to “I wish to move that gal Affairs committee to this House resolves to extend the pe≥iod extend the period of pecomplete its work. The committee was in- of petition fo≥ the tition for the removal of itially given up to Tuesday the Ethics and Anti-Cor≥emoval of the to file its report on the peruption Commission by EACC tition seeking the removal the committee for a furof the two top anti-graft ther 10 days,” Ms Nyokabi PRICILLA NYOKABI, MP said. “We need a further 10 commissioners. days to finalise it and I ask The extension of the deadline for tabling the report fol- Banisa MP Mohammed Haji to second lowed a sharp split between members the motion,” she said. of the committee on whether or not to Mr Haji did not make any statedismiss the commissioners. ment, only rising to bow to signify The committee had on Tuesday his consent to the motion. Commitmorning met for over five hours be- tee member Peter Kaluma said the BY EDWIN MUTAI

Ethics and Anti-Corruption Commission chairman Mumo Matemu (right) and his deputy, Irene Keino. SALATON NJAU AND FILE EACC petition concerned an independent constitutional commission. “It is a serious matter touching on EACC. You will remember that the President was here a few days ago and received a standing ovation for his goodwill towards ﬁghting corruption when he tabled the secret corruption dossier. You also will agree that EACC is handling these critical cases,” he said. Mr Kaluma, however, diﬀered with Ms Nyokabi for asking for more time for the team saying the committee had

finished sifting through documents and conducting hearings. “I am worried about the 10 days. We met yesterday (Tuesday) and what only remained was the adoption of the report... We should reduce time to five days,” he said. The committee is evaluating a petition filed by Mr George Oriaro who wants Mr Matemu and Ms Keino removed from office for alleged breach of the Constitution and abuse of office. emutai@ke.nationmedia.com

Embattled former Public Accounts Committee (PAC) chairman Ababu Namwamba was yesterday suspended from Parliament for four days after he refused to apologise over bribery claims he made against his colleagues without giving evidence. Deputy Speaker Joyce Laboso accused Mr Namwamba of breaching parliamentary standing order and code of conduct. “I hereby reprimand you and inform you that this House has expressed its displeasure about your conduct that has brought the integrity of PAC into ridicule.” Mr Namwamba was removed from the powerful watchdog committee on Tuesday after MPs voted to adopt recommendations of the Powers and Privileges committee. The committee, chaired by Kuresoi North MP Moses Cheboi recommended that PAC be reconstituted.

BUSINESS DAILY | Thursday April 16, 2015

ECONOMY & POLITICS COUNTY BUSINESS

T≥easu≥y launches special fund fo≥ upg≥ade of ≥u≥al ≥oads BY EDWIN MUTAI

The Treasury has announced plans to set up a special purpose fund in the next 14 days to ﬁnance the upgrade of selected rural roads to bitumen standards. Treasury secretary Henry Rotich says the kitty - Roads Annuity Fund - will initially have a seed capital of Sh500 million – to meet the national government’s liability to contractors. Under the State’s annuity roads ﬁnancing plan, at least 10,000 kilometres of roads across the country will be built in a Public Private Partnership (PPP) model over 10 years.

The details are contained in the Road Annuity Regulations 2015 that the Treasury tabled in Parliament on Tuesday. The House is expected to approve the rules within two weeks. “The Fund will provide resources to meet national government liability to contractors engaged to build 10,000 km of road under the programme, termed annuity payment obligations,” Mr Rotich says in the explanatory memorandum accompanying the regulations. “The fund will also provide comfort to road developers (including contractors and ﬁnanciers) that national gov-

In numbers 10,000km of roads will be built over ten years under a public private partnership model.

ernment’s annuity payment obligations will be met when they fall due to rule out fears that pending bills will accumulate with respect to payment demands under the new mode of ﬁnancing roads development.” “Ultimately, the new system aims

China ≥ejects tea f≥om Kenya ove≥ high ﬂuo≥ide levels IMPACT Move has compounded tea sector’s

woes at a time when global prices a very low

to move the country gradually to a ‘userpay’ model for funding infrastructure projects outside the exchequer budget,’’ he adds. Under section 4 of the regulations, the initial capital of the fund will be Sh500 million appropriated by Parliament in the 2014/15 financial year. “The officer administering the fund (Transport principal secretary) shall ensure that sufficient funds are available in the bank account, in accordance with the funding obligations set out in project agreements,” the rules states. The rules obligate the PS to n ensure that a minimum of five per cent of the

Coffee ready for sampling at the Nairobi Coffee Exchange. FILE

Coﬀee fa≥me≥s’ ea≥nings set to take a hit as Nai≥obi auction p≥ices fall by 13pc BY GERALD ANDAE

BY GITONGA MARETE

The Chinese government has rejected most of Kenya’s tea leaves over high fluoride content, erecting yet another road block on Kenya’s bid to grow its earnings from tea exports. Officials at Kenya’s tea directorate say the rigorous checks introduced by Chinese regulators seeking to curb entry of high fluoride content tea into their market has significantly cut exports to the Asian nation. “We have not yet understood why China has introduced this standard, which has never been a quality requirement in all other tea markets including our traditional ones,” said Ms Elizabeth Kimenyi, interim head at the Directorate. Most Kenyan tea is grown in Rift Valley, a region where soils tend to have high fluoride content. “We are pursuing the matter with the relevant authorities so that we can sort out the issue soon since China provides a huge market for our tea,” Ms Kimenyi told the Senate committee on Agriculture, Livestock and Fisheries that visited the Mombasa tea auction on Tuesday. China is regarded as a potential highvolumes market for Kenya’s tea. In 2009, Kenya exported 918,140 kilogrammes to the populous Asian market, rising over the years to 1,305,781 kgs by 2012. These exports have since plunged to 922,828 kgs in 2013 and 935,600 kgs in 2014, following the introduction of the new standards, said Ms Kimenyi. The Senate committee vice chairman Henry Ole Ndiema said it was surprising that a country like China, which exports more goods than it imports from Kenya, could slap such an “unnecessary” require-

East Africa Tea Trade Association stakeholders at the Mombasa Tea Auction Centre . FILE

ment on the country’s tea. “Most of the lucrative infrastructure projects are being undertaken by Chinese companies and these “trade barriers” are not acceptable. We will take up the matter with them,” he said. Tea is Kenya’s top foreign exchange earner, netting an average of Sh100 billion annually in the last three years. Its traditional markets for tea are Britain, Pakistan, Egypt, Afghanistan and Sudan but the Tea Directorate says there were eﬀorts to diversify the markets not only to China but also such African countries as Ghana, Nigeria and Algeria. The current restriction in China adds to the woes of an industry which has been hit by low global prices in the last two years. The East African Tea Trade Association (EATTA) managing director Edward Mudibo told the committee that tea prices at the auction increased from Sh181 ($2.02) per kilo in the ﬁrst week of January to Sh225 ($2.50) in March. gmarete@ke.nationmedia.com

annual annuity obligations or Sh2 billion, whichever is lower, is maintained in the annuity payment obligations bank account. The regulations spell out the conditions and procedures under which the annuity obligations are to be ﬁnanced and circumstances when payment requests may be rejected. An Oversight Committee for the Special Fund will consist of PS ﬁnance (chairperson), roads PS (secretary), Planning PS, attorney- general, a representative of the Kenya Bankers Association and two eminent professionals appointed by Treasury PS.

The price of coffee at the Nairobi Coffee Exchange (NCE) has dropped by 13 per cent as the main crop season comes to an end, resulting to low quality beans. A 50 kilogramme bag has dropped to Sh16,284 ($177). The prices have been falling in the past one month from a high of $279 (Sh25,389) in early February, a move that will hurt farmers’ earnings this year. The lower prices look set to hit farmers’ earnings given that the growers earned an average of $212.7 (Sh19, 685) per 50 kilogramme bag in 2013/14. Kenyan growers also benefited

from better prices after the average auction price of the commodity increased to $212.7 per 50 kilogramme bag in 2013/14 from $166.7 a year earlier. “We are heading towards the end of the main crop season and the coffee that we are receiving at the moment is of low quality, hence resulting to a decline in price,” said Daniel Mbithi, NCE chief executive. Mr Mbithi also noted that low international prices have hurt the local crop. The market has been ﬂooded following a good crop in Brazil and Columbia in the ongoing crop season. Last year, Brazil had a bad crop because of bad weather, creating a shortage in the world market, and

thereby pushing up the price. The International Coffee Organisation had anticipated a good crop this year from Brazil. The country’s coffee is in high demand, mainly in the UK and America, with traders buying it for blending with other coffee from different parts of the world. Traders at the NCE peg their prices to the world’s largest auction in New York and low prices there affect the local crop given the fact that over 90 per cent of the beverage is exported. At the New York Coffee Exchange, the price of a 50-kilogramme bag has dropped from $180 (Sh16,380) in December to $150 (Sh13,468) this week, a 17 per cent decline.

Minist≥y fo≥ms fe≥tilise≥ quality cont≥ol agency The Agriculture ministry will form a fully-ﬂedged fertiliser regulatory body to control the quality of inputs in the country as feud between governors and suppliers hurt key farming regions. Principal secretary Sicily Kariuki says the Kenya Fertiliser Quality Regulatory Agency will ensure that farmers get value for their money by buying fertiliser that meets the set parameters. “We can only assure that the quality of the fertilisers is right if we have internal systems and capacity of sampling, analysing and testing the imported and locally produced fertilisers,” said Ms Kariuki. She noted that capacity for fer-

100

Number of fertiliser inspectors that will be trained and gazetted

tiliser testing within the country is limited at the moment, making it diﬃcult to ensure that the quality is not compromised. Currently, Kenya does a preshipment testing of the fertilisers at the country of origin before the importation is done. The overall goal of the project, says the PS, is to improve crop productivity and incomes of smallholder farmers through strengthening

fertiliser quality and regulatory standards in Kenya. Training and gazetting of 100 fertiliser inspectors as well as 10 analysts will be conducted as the state moves in to step up measures on quality control. The ministry will also refurbish four laboratories that have so far been identiﬁed with the latest technologies for fertiliser analysis as well as developing an inspection manual to guide the process. The pilot project, which is being done in conjunction with the Alliance for a Green Revolution in Africa (AGRA), will cost a total of Sh50 million. -GERALD ANDAE

Thursday April 16, 2015 | BUSINESS DAILY

CORPORATE NEWS NEWS I REVIEWS I ANALYSIS

Safa≥icom suspends some M-Pesa se≥vices till Sunday upg≥ade

B≥itam to spend Sh75m on Matha≥e BY EDWIN MBUTHIA

WORKS Engineers will install servers recently

moved from Germany in the next three days process of installing the M-Pesa servers locally began 24 months ago, with Safaricom will from today suspend Safaricom having brought in 50 engithe registration of new M-Pesa cus- neers from across the globe, mainly tomers and transfer of cash to rival from Vodafone, IBM and Huawei to mobile phone networks until an on- design, install the new platform and going upgrade and transfer of its IT relocate the servers. system from Germany to Kenya is It is expected to minimise service outages that occur whenever the completed on Sunday. M-Pesa subscribers will also be undersea fibre optic cables that relay information to Gerbarred from sending cash many and back are to unregistered users or damaged. changing their personal The second The installation of identification numbers (PINs) in the period, as the gene≥ation M-Pesa M-Pesa servers locally to an end nearly telecommunications firm platfo≥m has bigge≥ brings eight years of foreign embarks on the final test capacity, is much hosting, which has at run for the relocated mobile money servers. times been blamed faste≥ Registration of new cus- BETTY MWANGI-THUO, SAFARICOM for delayed response GENERAL MANAGER tomers on mobile banking to service interrupservices M-Shwari or M-Ketions. sho will also not be available The new M-Pesa from 11pm tonight to Sunday noon. platform has capacity to handle 900 “The second generation M-Pesa transactions per second, up from the platform has a bigger capacity, is much previous 450 per second, which could faster and will allow other merchants improve on transaction speeds. to connect directly to the platform, Local hosting is also expected to unlocking a new era of transforma- save costs for Safaricom, which will tional mobile financial services,” said now be in charge of maintenance of the the Safaricom general manager for fi- system as opposed to currently when nancial services Betty Mwangi-Thuo it pays service fees to British telecomat a media briefing yesterday. The munications firm Vodafone—also its BY OKUTTAH MARK

From left: Safaricom head of product and services development Ken Okwero and Betty Mwangi-Thuo , general manager for ﬁnancial services, during a business update meeting at the Serena Hotel in Nairobi yesterday. SALATON NJAU

biggest shareholder. Ms Mwangi-Thuo said the new platform comes with additional functions that allow for M-Pesa’s integration with those of other vendors in banking, micro-insurance and retail sectors, especially supermarkets. She, however, said it is “too early” to comment on whether Safaricom will pass on the realised savings to customers in form of lower M-Pesa tariﬀs. Safaricom has invested heavily on the new infrastructure. A higher processing capacity is also expected to enable Safaricom clients to settle post-paid electricity bills, insurance premiums and bank payments in real-time. It currently takes 48 hours for payments made to Kenya Power to reﬂect on the electricity distributor’s systems while those made to the National Hospital Insurance Fund take 76 hours. “Our partners such as Kenya Power, will have to upgrade their back end to make it possible to enhance the time

it takes for the transactions to reflect within a shorter period on their side,” she added. The upgrade and shift of the platform comes at a time when M-Pesa is also eyeing bulk government payments such as pensions and salaries paid to beneficiaries in remote locations. The mobile money transfer sector is also expected to come under increased competition with the licensing of four Mobile Virtual Network Operators (MVNO); including Equitel, Tangaza Pesa and ZionCell. China’s Huawei has been building the second-generation platform, which is also designed to have improve re-routing of traffic when the system fails. Safaricom has recorded growth of M-Pesa subscribers to 19.95 million as at March 2014 from 14.9 million in 2012 and its agents to 80,335 from 39,401 in the period. mokuttah@ke.nationmedia.com

Financial services group Britam has set aside Sh75 million to sponsor Mathare United Football Club, in addition to spending Sh100 million on the branding and refurbishment of Nyayo National Stadium. The deal will see Britam spend Sh25 million per year to support Mathare United over the next three years while the stadium branding rights will last for two years. Britam will spend Sh40 million per year on branding and maintenance of the stadium facilities while Sh20 million will go to official logistics. Speaking yesterday at a media briefing to unveil the stadium branding deal, Sports Culture and Arts secretary Hassan Wario said that the ministry has adopted a new concept to attract the private sector to support sports activities in country. “This event is to unveil a collaborative achievement to improve sports and sports facilities in this country. Development of sports and the associated infrastructure is one of the key pillars of my ministry as envisaged in its mandate”, said Dr Wario. The branding deal will see Nyayo National Stadium painted in Britam’s official colours of blue, white and red as well as repairing and refurbishing the changing rooms, the VIP area and lavatories for spectators. Britam director for marketing and corporate affairs Ngera Muthoga said the strategic partnership with Sports Kenya (formerly Sports Stadia Management Board) would grow the company’s brand.

Eve≥eady in manufactu≥ing pa≥tne≥ship bid with O≥bit Chemicals BY MUGAMBI MUTEGI

Eveready East Africa is set to enter into a joint venture with manufacturing firm Orbit Chemicals that will see the battery maker deepen its diversification by producing more personal care products. The Nairobi Securities Exchange (NSE)-listed company has, in a notice, indicated that it will seek shareholder approval mid next month to form a joint venture company of equal stakes with Orbit Chemicals with the aim of producing common goods. Orbit Chemicals is a 43-year-old company that primarily supplies industrial chemicals to several firms

while also manufacturing soaps, petroleum jelly, hand gels, detergents, fertilisers, liquid detergents and washing powders. The notice states that Eveready will be seeking shareholders’ authorisation “to acquire 50 per cent common equity in a company to be set up under a joint venture arrangement with Orbit Chemicals Limited for the purpose of pursuing common business interests.” Mr Jackson Mutua, Eveready’s managing director, told the Business Daily last week that the company plans to launch a new line of products in the next ﬁve months to advance its diversiﬁcation, which has seen it move away from over-reliance on production

Eveready East Africa MD Jackson Mutua. SALATON NJAU of dry cell batteries. “We plan on unveiling new products in the personal care category by September as part of our eﬀorts to grow our portfolio,” he said, while declining to elaborate on speciﬁc

types of products they plan to launch. Eveready reported a Sh177.5 million loss for the year to September, down from the previous year’s net profit of Sh45 million. The firm, which was forced to close its Nakuru plant last year, began selling automotive-type lead acid batteries under the brand names Turbo and Turbo Plus. It also ventured into making industrial lighting bulbs, fluorescent tubes and energy-efficient bulbs under its brand name Eveready in a bid to expand its existing portfolio of batteries and shavers. The company has also announced plans to make its debut in the real estate sector, adding that is has received bids from potential investors —

both local and international — to fund its multi-billion shilling projects. Eveready will this month complete feasibility studies on whether to build a hotel, shopping complex or a housing project on the 18.5 acre piece of land where the obsolete plant sits. During the May 14 AGM to be held in Nakuru, the company will also ask for the green light to sell idle equipment in the defunct factory to ﬁnance its diversiﬁcation drive. “The company is authorised to liquidate the unutilised equipment on the property in order to raise capital to diversify into new businesses in accordance with the Strategic Plan 2013-2017,” says Eveready in the AGM notice.

BUSINESS DAILY | Thursday April 16, 2015

CORPORATE NEWS COUNTY BUSINESS

Anti-competition ﬁne by CAK ala≥ms insu≥ance ﬁ≥ms

ARM eyes State p≥ojects with new high g≥ade cement BY WAINAINA WAMBU

PLEA Companies want a clariﬁcation on

the minimum premium charge set by IRA BY MUGAMBI MUTEGI

Insurance firms have been spooked by the competition watchdog’s decision to penalise re-insurance companies for colluding to set minimum premiums chargeable on customers. The Competition Authority of Kenya (CAK) yesterday said it had fined the Association of Kenya Reinsurers (AKR) Sh721,000 for setting minimum rates to insurance companies tendering to offer group life cover to National Intelligence Service (NIS) employees. Insurers are now calling for discussions between CAK and the Insurance Regulatory Authority (IRA), which sets the industry’s minimum charges, on the long-standing practice that

Association of Kenya Insurers CEO Tom Gichuhi.

the competition agency has labelled as they arise,” he added. The CAK said it being anti-competitive. “The two State plans to institute a compliance probodies need to discuss this matter, gramme to abolish minimum charges that associations set paying keen attention for members in a move to what effect removal which, if implemented of the minimum preto the letter, could affect miums would have on Minimum profit margins in the inboth the insured and p≥emiums we≥e surance industry. the insurers,” said Tom scientifically set The IRA currently Gichuhi, the executive sets minimum premidirector for the Assoby actua≥ies ciation of Kenya Insurums for insurance poliTOM GICHUHI, EXECUTIVE ers (AKI). cies in the industry. For DIRECTOR AKI “Minimum premiinstance, the minimum premium rate for private ums were scientifically set by actuaries to not only ensure that motor vehicles is four per cent while insurance companies do not exploit that for public service vehicles such their clients, but also to see to it that as matatus and buses is fixed at 7.5 per insurance companies remain healthy cent of the car’s value. and are able to pay claims whenever “We are in communication with

FILE

the CAK on matters pertaining to issues of mutual concern between the two institutions,” said IRA’s chief executive oﬃcer Sammy Makove in response to queries on what the insurance regulator was doing to resolve the stalemate. Increased competition has seen insurance companies resort to undercutting – charging lower than minimum set premiums – as a strategy to woo customers and increase the uptake of their products. The IRA said the practice of undercutting is rampant and poses a “serious threat” to the proﬁtability and attractiveness of Kenya’s insurance sector. Twelve insurers reported underwriting losses in 2013. pmutegi@ke.nationmedia.com

Athi River Mining (ARM) has joined the list of manufacturers producing high grade cement that is suitable for heavy duty construction works such as bridges, skyscraper foundations, pre-cast slabs and beams and railway sleepers. This is after it was issued with a Kenya Bureau of Standards certificate to produce the cement late last year. The cement is given a rating 52.5 megapascal (MPa) as per the industry grading . Bamburi Cement also produces Powercrete, which is rated 52.5MPa while Savannah Cement makes the 32.5MPa and 42.5MPa grades, which it terms as “rapid strength development cements,” but have a lower rating than the 52.5MPa grade. Kenyan cement firms are upgrading their production capacity to benefit from the construction boom fuelled by State- sponsored projects including roads, railways and airports. ARM managing director Pradeep Paunrana said the high quality cement allows for saving on costs.

Thursday April 16, 2015 | BUSINESS DAILY

IDEAS & DEBATE OPINIONS I REVIEWS I ANALYSIS

Boycott by opposition poses se≥ious c≥edibility challenges fo≥ Sudan polls

Other Voices Richard M.Nixon Former US President

GOVERNANCE Elections seen as a formality to protect President Bashir from ICC for ﬁve years BY ROSALIND MARSDEN

he outcome of Sudan’s presidential and parliamentary elections, held on April 13-15, is not in doubt. President Omar al-Bashir, who has ruled Sudan for more than a quarter of a century after seizing power in a military coup and who has been indicted by the International Criminal Court (ICC) for war crimes, crimes against humanity and genocide, is expected to win the presidency in a landslide. Combined with pre-arranged parliamentary elections, the process looks unlikely to hold much legitimacy or deliver any answers to Sudan’s continuing problems. Such an outcome is hardly surprising given that opposition parties are boycotting the elections, most other presidential candidates are virtually unknown and the process is overseen by the powerful national security apparatus. Bashir is the only candidate who has been actively campaigning and touring the country. The result of the parliamentary elections has also been organised in advance. Through their announcement of candidates, Bashir’s ruling National Congress Party (NCP) signalled that they would allow other political parties to win about 30 per cent of the seats. This is consistent with President Bashir’s intention to invite NCPaligned parties into another broadbased government with the offer of parliamentary seats, government jobs and the economic benefits available to regime insiders. NCP parliamentary candidates are hardly bothering to campaign. Speaking recently at Chatham House, Sudanese analyst Magdi el Gizouli spoke of the election result being irrelevant, due to a system that manages political competition by distributing jobs among government satellite parties. The government of Sudan maintains that it is constitutionally obliged to hold elections this month. This argument might have cut more ice if it had not just amended the Constitution to abolish the state governors’ elections, which should have taken place at the same time as the presidential and parliamentary elections – as well as if there had been efforts to create a conducive environment by respecting the basic freedom also enshrined in the Consti-

Stanley Kutler (Reuters) Forty years ago, on August 8, Richard M. Nixon made unprecedented constitutional history when he resigned the presidency amid the disgrace and scandal of Watergate. He cannot escape that legacy — for he left an indelible record of his deeds in a treasure trove of tapes. He transformed the 50-year-old Bureau of the Budget into the Ofﬁce of Management and Budget, an agency of vast powers. Goodluck Jonathan Outgoing Nigerian President

A Sudanese man casts his ballot during elections in 2010. International observers have given this year’s polls a wide berth, citing an environment that is not conducive for participatory and credible elections. FILE tution. It is widely believed that PresiSouthern Kordofan and Blue Nile, and dent Bashir is keen to go ahead with associated human suffering, means elections in order to gain a veneer of that millions of voters will be disenfranchised. Political space has been legitimacy for the government and to protect himself from the ICC by securfurther squeezed since the 2010 elecing another five years in office. tions. Newspapers have been regularly confiscated, civil society organisations The government’s insistence on closed and opposition politicians, civil holding elections this month puts it at odds with those who believe that, for society leaders, activists and students elections to be credible, they should be detained. preceded by a genuine and inclusive Three prominent detainees - Fanational dialogue. Opposition parrouq Abu Eisa, Amin Mekki Medani and Farah Agar - were imprisoned for ties are boycotting what they regard four months after the as sham elections. signing of the Sudan In December 2014, P≥ocess looks Call declaration by opthe ‘Sudan Call’ forces unlikely to hold position groups and – a political alliance only released on the between the Sudan much legitimacy eve of elections. Revolutionary Front, o≥ delive≥ any Some international the National Umma answe≥s to Sudan’s bodies which observed Party, the National continuing the 2010 elections, inConsensus Forces (an cluding the European umbrella group of p≥oblems Union and the Carter leftist parties) and the Centre, have declined Civil Society Initiative to engage in election – signed a declaration monitoring this time. calling for a compreThe members of the Sudan Troika hensive political solution to end Su(US, UK and Norway) expressed disdan’s wars, democratisation, equal appointment that ‘an environment citizenship and the end of one-party conducive to participatory and credrule. They have launched an election ible elections does not exist’, while the boycott campaign across the country European Union lamented that ‘when which is gaining momentum. dialogue is bypassed, some groups are It is difficult to see how credible excluded and civil and political rights elections can be held in Sudan in are infringed, the upcoming elections the current environment. Continued cannot produce a credible result with armed conflict underway in Darfur,

legitimacy throughout the country’. Nevertheless, Khartoum will derive comfort and a measure of legitimacy from the presence of African Union, Arab League and other international monitoring missions. The NCP’s decision to reject former South African president and African Union mediator Thabo Mbeki’s invitation to attend a preparatory meeting in Addis Ababa in late March, in order to discuss the modalities for a genuine national dialogue with other Sudanese stakeholders, was a serious lost opportunity to work towards a comprehensive solution to Sudan’s problems. The NCP’s absence was reportedly due to concern about coming under pressure to postpone elections. It might also signal that the regime is losing interest in African Union- led negotiations because it is feeling emboldened by an improvement in its regional relations, particularly the substantial economic beneﬁts already ﬂowing from President Bashir’s dramatic decision to join the Saudi-led military coalition against the Houthis in Yemen (despite Sudan’s previous long-standing alliance with Iran). If so, the prospects of peacefully resolving Sudan’s multiple problems look more remote than ever. Ms Marsden is an associate fellow, Africa Programme at Chatham House, a lLondon think-tank.

Chitra Nagarajan (Guardian) The indefatigable Bring Back Our Girls movement continues to hold protests. This campaigning has been successful in highlighting the plight of the abducted girls, and although it hasn’t led to their safe return yet, it has had an important effect on Nigerian politics. Perceived government inaction in the wake of Chibok abductions was among the reasons Nigerians voted Goodluck Jonathan out of ofﬁce last month.

Jacob Zuma South African President

Haji Mohamed Dawjee (Mail and Guardian) Our president doesn’t deserve even an ugly or poorly made statue, but he does deserve to fall, like the statue of Cecil John Rhodes did. He doesn’t deserve one, not by a long shot, but I’m pretty sure that a bronze or cement statue of Jacob Zuma would be more welcome than the real deal. South Africans got the ball rolling for some real change over the past couple of weeks when they lobbied for a noteworthy protest to see the Cecil John Rhodes statue removed.

BUSINESS DAILY | Thursday April 16, 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

Pa≥astatal heads should safegua≥d public land

esterday we reported that National Bank (NBK) had been summoned by the Public Investment Committee (PIC) to explain the whereabouts of three title-deeds belonging to the Kenya Meat Commission (KMC). The background of the story is that KMC had taken loans with NBK that were guaranteed by the government. But according to the reports, the troubled meat processor had charged 13 titles three of which were reportedly sold while another five cannot be accounted for though the State repaid the loans. It was reported NBK was still reconciling its records. But the main issue here is not this particular occurrence. A lot of government land cannot be accounted for or it is in the wrong hands. KMC is particularly notorious for not keeping a firm grip on its land countrywide and this has not been helped by frequent changes of management and the board. Indeed, around its Athi River factory, it has managed to lose hectares upon hectares of land to grabbers and its viability thus hangs in the balance. It is not alone. The likes of East African Portland Cement Company and Numerical Machining Complex have been afflicted by the grabbing. So have National Social Security Fund and Agricul-

tural Development Corporation to name a few. To be fair, even public schools and other institutions have not been spared. The natural thing would be to ask the National Land Commission (NLC) to swiftly address the issue. But knowing the complexity of the land issue and the historical background of it, the quicker thing would be to charge the CEOs of the said parastatals with reclaiming the land and securing it. Indeed, when the board and CEOs are appointed, it should be made clear to them that they hold property of parastatals in public trust and part of their mandate it protect the same. Consequently, this should be inbuilt in their performance contracts. The problem right now is that parastatal heads don’t seem to bother with government property unless they are perpetrating criminal disposal of the same. What happens in due course is that as structures come up on the aﬀected land, it becomes quite costly to remove the encroachers. Sometimes simple measures like fencing would have done the trick. The government and the NLC must immediately help secure public land held in trust by institutions. But this will only be possible if the main burden is put on the shoulders of the corporation heads are on the ground.

P≥omote high integ≥ity

he Kenyan private sector has once again featured on a pollster’s list of shame for its perceived role in greasing the wheels of corruption in the country. The survey by the research ﬁrm Afrobarometer released on Tuesday ranks corporate executives among the most individuals alongside the usual suspects such as police oﬃcers and public service bureaucrats. Of the 2,397 respondents who participated in the survey, 38 per cent said they regarded business executives as the main initiators of bribery cases. This is a reputation that a sector whose very survival depends on public trust and has long played the victim card in conversations about

graft could certainly do without. The cost of widespread perceptions of corruption is considerably high, with businesses risking a clients’ backlash and putting themselves increasingly on the radar of State regulators. It is clearly in the private sector’s interest to step up the fight against graft within its ranks. The traditional administrative or disciplinary measures aside, there are innovative self-regulation tools available to businesses to deal with the problem. Safaricom and KCB, for instance, are local trailblazers of the Sustainability Report that allows them to among other things subject their staff to high integrity standards. It’s an effort worth emulating.

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“All those who agree with my idea, and also like being in my good graces, raise your hands...”

Why data is the lifeblood of innovation BITANGE NDEMO REVOLUTION

undreds of people from all parts of the world will next week converge on Cartagena, Colombia, to discuss ways of mainstreaming data in development, in an event dubbed the “Cartagena data festival”. This follows the UN secretary-general’s report on the post-2015 sustainable development agenda that calls for the building of a global data consensus. The gathering comes shortly after the African Union adopted an African Data Consensus in Ethiopia on March 28. A sustained data revolution is desired to drive social, economic and structural transformation in Africa. Although many countries may not achieve their Millennium Development Goals (MDGs) this year, many millions of families have moved out of poverty, millions more children are in schools and the number of people without access to clean drinking water has more than halved in the last 15 years. We have leant about successful developmental pathways. And many of the world’s poorest countries are experiencing strong economic growth. We could do better but there is still one key element, the absence of which is impeding progress: data. A report by UK think-tank Overseas Development Institute (ODI) titled ‘‘Data revolution: ﬁnding the missing millions’’, notes that data are not just about measuring changes, they also facilitate and catalyse that change. Only by knowing

more about the people who own the least can we hope to bring the benefits of development to them. Of course, good-quality numbers will not change people’s lives in themselves. But to target the poorest systematically, to lift and keep them out of poverty, even the most willing governments cannot efficiently deliver services if they do not know who those people are, where they live, and what they need. Nor do they know where resources can be deployed with the greatest impact. Perhaps even more transformative, the report says, the data revolution could play a role in changing the power dynamic between citizens, governments and the private sector, building on open data and freedom of information movements. It has the potential to enable people to produce, access and understand information about their lives, and to use this information to make changes. The proliferation of ICTs is making it possible to visualize weather patterns using satellite on real time basis. After sometime, impact on vegetation can be seen. The knowledge from such data can help farmers predict rainfall patterns. Similar satellite imagery can be used to estimate poverty patterns and assess development levels in rural areas using images of types of housing. Such estimates were not possible before. Statisticians used conventional methods to gather such data. However, in most cases, they did not produce accurate data. The ODI report shows that 1.2 billion people ‘officially’ live in extreme poverty, but surveyors often don’t reach the very poor, so there could actually be 350 million missing from the global total. The report hastens to caution that

VIEWS FROM ABROAD

while we enthusiastically embrace data revolution, discussions around it need to be grounded in reality. It is understandable that progressive academics and techies in New York, Silicon Valley and Nairobi tech hubs are excited by the potential for big data to change the world. But this needs to be married with reality: that many statistics offices in developing countries have irregular electricity supply; too often, only a handful of people in the country will have the relevant training to collect and analyse data; and that the few qualified people may be pulled away from their vital work to provide answers to donors’ research questions regardless of whether such questions are relevant to that country’s own data needs. There is need to massively develop capacity in Africa and transform the continent. There are genuine fears from various civil society organisations that greater appetite for data may lead to compromising of individual privacy. To mitigate this fear, a comprehensive policy and legal framework is needed to compel users of data to anonymize personal data. According to the report, there are other unfounded fears among some developing-country governments that the data revolution is yet another donordriven offensive. Innovations mushrooming out of Africa today need data, which is the lifeblood of innovation. We curtail our own creativity and progress when we hide data. Data helps us shape policy to respond to human needs. We must begin to celebrate data. The writer is associate professor at University of Nairobi Business School.

Opinions f≥om a≥ound the wo≥ld

Miliband wants to forget past

US should ﬁght Boko Haram

Rise and fall of black power

Labour’s attempt to persuade the voters that it was now the party of prudent economic management is insame. Ed Miliband, who served as lieutenants THE TELEGRAPH to the Spendthrift-inLONDON Chief Gordon Brown, telling us that they are to be trusted as the guarantors of ﬁscal probity. Do you remember all that Labour talk that the Coalition had overdone the austerity and economy would have had more growth if only they had borrowed and spent more? If we want to see what Labour will do in the future we have to look at the past.

Boko Haram presents a serious threat to Nigeria and beyond, because the group now aligns itself with the terrorist Islamic State. The risk is similar to that in CHICAGO TRIBUNE CHICAGO Somalia : When law in a region breaks down and militant groups are allowed to run rampant, terrorism festers and spreads. Muhammadu Buhari takes ofﬁce May 29. Chad, the US and other nations can bolster him in the effort to defeat Boko Haram. African forces have reported success in repelling the insurgents. There is some faint hope that Nigeria can prevail over terror.

There is no doubt that President Robert Mugabe can work a crowd. He knows he is in the people business, which is essentially what politics is about. NEW DAY Mr President, if you are HARARE a democracy purist, why don’t you practice democracy at all levels? Why are you secretive with the voters’ roll? Why can’t you embrace e-voting which gave Nigeria the freest and fairest elections in its history last month? Mr President, please bring your away form home.

Thursday April 16, 2015 | BUSINESS DAILY

EDITORIAL & OPINION

Change attitude towa≥ds wo≥k and se≥vice to people HARRISON MWIRIGI IKUNDA DEVELOPMENT

ince the passing of former Singapore leader Lee Kuan Yew, I have seen a lot of analysis on Kenyan media comparing and contrasting the two countries more so on politics and economic development. The long and short of it is Kenya lost the plot a long time ago and perfected the missteps over time. I had the privilege of visiting that Asian tiger nation and can confidently confirm we are simply worlds apart. Even right now I can confidently say we are not pulling at the same pace with Singapore.

The biggest undoing to Kenya has been corruption and too much of it, which is anathema in the Asian nation. Whereas our approach to leadership in Kenya has been that of self enrichment and misuse of power theirs has been strictly a duty to make the all live well. Every society has its own shortcomings but looking at what could bedevil Singapore is nothing compared to Kenya. Part of our biggest challenge is our culture towards work and service to people. One of the things I have learnt about several South East Asian countries is discipline and dedication to work. A look at Singapore, South Korea, Hong Kong and Tai-

Letters

wan reveals how a well educated and thoroughly disciplined work force in the public and private sectors can do. Similarly their leadership has had the focus on the global market. Whereas our politics is to fight village wars and ethnic battles the Singaporean leadership and politics had the focus of the export oriented market. Yes politics is difficult everywhere but ours has had the fusion of negative ethnicity and corruption to a scale that has stunted the nation. Meritocracy has suffered over the years and many resigned to the fate of the rotten culture of corruption and tribalism. You find

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

Revamp security at educational institutions

nstitutions of higher learning are unique environments that require security solutions based on complex and often changing series of factors. When a university is chartered it is deemed responsible for all its operations as an autonomous body by law, devoid of control or patronage from any other entity. A public university is thus equivalent to any other government parastatal responsible for its employees and clients issues, among them security. As such, the university administration has no business blaming the government for inadequate security since it should be an integral part of its planning and budgetary processes. A safe environment is the cornerstone of any learning and should be emphasized with equal zeal as academia. Whilst private universities have made considerable and deliberate efforts to restrict entry into their campuses and hostels their public counterparts are laid back with negligible procedures at ensuring safety and security within their premises. The latter oﬀer virtually unrestricted entry for all and sundry, with mediocre frisking at only major points leaving several others left unmanned. Higher learning institutions must adopt campus

too many of our people too inward looking and short in purview of the aﬀairs. The thinking of enterprise is short sighted in many respects. We certainly have many good brains. Similarly, part of the leadership have had the courage to set up new models and tapped into friendship beyond the traditional to look East. All these have some great visions in them. Countries like Singapore discovered how to place themslves strongly in the global market place long time ago. At the same time it managed its internal aﬀairs well. Can we emulate it? The writer is a Nairobi-based researcher and consultant

Memorial set up in honour of 147university students killed by terrorists in Garissa recently. FILE security best practices that have been employed in various sectors with success. Strict review and implementation of All-Hazards Emergency Response Plans (ERP) should be conducted to ensure an ongoing cycle of mitigation, preparation, response and recovery. Literally many universities have not conducted any disaster drill over the last five years speaking volumes of the level of unpreparedness even for common risks like fire. Notably absent is a mass-notification communication system to provide information on emergencies. There’s the gaping lack of the critical link in the information chain of interoperable communication with county law enforcement, fire, emergency, medical and other local first

responders off campus. The most basic and agreeably ‘first-line’ security aspect of education and prevention programs for students, faculty and staff is virtually non-existent. Technology despite being an invaluable tool in security, has seen slow uptake by universities. It can effectively improve access control through biometrics, card readers and pin numbers rather than mere frisking. Most universities are presently operating on reactive plans, which is no guarantee of safety. The bulk of the responsibility lies with administration The undeniable fact emerging from all the terrorist acts in the recent years is that the perpetrators employ elaborate schemes to infiltrate the target before they strike. Knowledge of this should enable students to take charge of their safety by staying alert, observant and aware of their surroundings and colleagues to actively report suspicious activity to responsible security personnel. The tragic incident at Garissa University College ought to force higher learning institutions to rethink their security policies.

ERIC G. NDUBI via email

Stop using wood in tea factories

enya Forest Service (KFS) has embarked on a spirited eﬀort to encourage Kenyans to plant trees ‘so that Kenya can achieve a 10 per cent forest cover as envisioned in the Vision 2030 development plan. This vision may, however not be achieved if the current consumption of wood by KTDA is allowed continue. I agree that the agency buys the wood and poor Kenyans will simply cut their trees if there’s some pay. However, by saving a few coins for it’s stakeholders by using wood as opposed to electricity, the agency can only lead all of us including the same stakeholders to only one place: KTDA should be banned from purchase and use of wood in tea processing. KFS should tighten its noose because tea processing costs are met by a few but climate change costs will be borne by all earth dwellers.

WILSON KIRIMA Muranga

Will construction of wall along porous border help curb attacks?

llow me to comment on the proposed wall construction along the porous Kenya - Somalia border. While its good to protect the country from terrorists attack , its important to consider some three issues.

First, the animal herders who are not interested in the construction of a wall along the porous border which restricts their grazing movement. This may see them demolish parts of the wall for free passage of their animals. And why

do we think Al-Shabaab will not do the same? Second, is the strength of a wall that can withstand the harsh climate in northern Kenya. Third, soldiers who were supposed to guard the border will be

relieved of some of their duties of guarding the border and leave the wall unattended and at the mercy of intruders. Subsequently, the construction will be waste of time, energy and resources.

MOHAMED A. SHEIKH, Eastleigh

Rememb≥ance of past he≥oes must be p≥oactive JAMES BRAXTON PETERSON COMMEMORATION

ow long does it take a nation to recover from the assassination of its president? 50 years? 100 years? 150? At the time of his assassination, President Abraham Lincoln was directly engaged in what could be considered the second-greatest political challenge of his presidency: the reunification of the United States in the immediate aftermath of a Civil War that had claimed more than 700,000 lives. No American family was left untouched by the carnage. The plans for Reconstruction were doomed from the start. Confederate sympathizers were defeated, angry and busy developing new systems of restriction and oppression for the recently manumitted Africans in America, even as they wrestled with the destruction of infrastructure across huge swaths of the South. So, how long does it take for a nation to recover from the assassination of one of its presidents? The question may be unanswerable. But to the extent that Lincoln as president was invested in pressing our nation to grasp the humanity of black folks — and given the fact that the GOP’s “Southern strategy” to gain the votes of disgruntled white Southerners still exists, combined with the withering effects of mass incarceration of people of color — Lincoln’s work remains unfinished some 150 years later. It remains unclear whether or not the United States has or ever will recover from the assassination of President John F. Kennedy. The emergence of neo-liberalism, our permanent war footing and the slow rollback of the civil rights agenda of the 1960s suggest that the Kennedy brand of presidential leadership would have been critical to strengthening America’s commitment to social justice in the era of globalization. Will America ever recover from the assassination of Martin Luther King Jr., by some accounts one of the greatest Americans who ever lived? Though we, as a nation, have done our due diligence to memorialise Lincoln, Kennedy and King, their absences seem eerily pronounced in the 21st century. The permanence of our nation’s greatest challenges: war and institutional racism becomes less and less debatable as the centuries go by. In the 21st century, we have arrived at a moment when looking back is sometimes better than looking forward. Too often our contemporary politicos cite the great leaders of bygone eras without any inclination to model their courage or their incisive interventions into the American project. Lincoln’s life and legacy unfortunately fall victim to such appropriations. We would be better served at this 150th commemoration of Lincoln’s assassination to come to terms with the significance of his actual political work as opposed to reveling in our celebratory fascination of time stamps and political platitudes. The writer is associate professor at Lehigh University

BUSINESS DAILY | Thursday April 16, 2015

NEWS INDEPTH

Gamble≥s seek the $150 million answe≥ in B≥itish vote that’s too tight to call ELECTION Clue as to who will govern Britain’s $2.8 trillion economy may lie

among the bookmakers who have risked their cash on outcome of tight race BY NEIL MAIDMENT AND MICHAEL HOLDEN

If Prime Minister David Cameron forms Britain’s next government after the tightest election in a generation, it will not just be the Conservative Party leader who will be smiling. Scott Moorhead will be laughing all the way to the bank. As part of a record 100 million pounds ($148 million) expected to be gambled on the British election, Moorhead stands to win 250 pounds on a 500 pound bet that the Conservatives will win most parliamentary seats in the May 7 election. “I think there is a bit of money to be made,” Moorhead, 36, who works in advertising in London, told Reuters. “Bookies call it right more often than not so you are backing some fairly odds-on chances.” In the most unpredictable British election in recent times, opinion polls indicate neither the Conservatives nor the Labour Party will win an overall majority as once fringe parties challenge the certainties of the post-1945 two-party system. The stakes are high. If Cameron wins, he has promised a referendum on European Union membership, while Scottish nationalists have oﬀered to shore up a future Labour minority government in the event of a hung parliament. In such a tight ﬁght, a clue as to who will

govern Britain’s $2.8 trillion economy may lie casts but without the money involved in betamong the gamblers and bookmakers who ting markets, saw a healthy win for Israeli have risked their cash on the outcome. Prime Minister Benjamin Netanyahu two Bookmakers currently have the Con- weeks before he won. The last polls before servatives as favourite to be the largest sin- the vote showed his Likud party trailing. gle party, although the odds also suggest Prediction market, Predictwise.com, is Labour are most likely to form a minority forecasting that Cameron will be the next prime minister with his Conservatives wingovernment. Odds indicate gamblers expect there to ning most seats. be a late swing to Cameron’s ConWith about 300 million servatives as polling day nears. pounds gambled on the “When the betting markets Grand National steeplechase say one thing and the polls say alone, political betting is still This election is dwarfed by the wagers on horse another, the evidence suggests going to be the racing and soccer in Britain. that it is a good idea to go with the markets,” said Prof Leighton But with the size of politibiggest nonVaughan Williams, director of cal bets rising, it is now serispo≥ts betting the Betting Research Unit at Notous business for Britain’s 6.3 event of all time billion pound gambling industingham Business School. try, dominated by the likes of “I’ve interrogated huge data sets of polls and betting markets traditional bookmakers LadMATTHEW SHADDICK, over many, many years in the US brokes and William Hill, but POLITICS TRADER and the UK and basically the betwith Internet gambling firms ting markets are very, very accusuch as Betfair growing as onrate predictors of the outcome line betting increases. of elections, and certainly comVaughan Williams said up pared to polls.” to five times as much money He said he could think of no could be bet on this election recent examples of betting markets get- compared to the last national ballot in 2010, ting it wrong and cited the Israeli election and bookmakers said the figure would exin March as an example of the prediction ceed the previous record amount laid during the US presidential vote in 2012, making it market getting it right. Prediction markets, which make fore- the biggest non-sporting betting event ever.

Leader of the opposition Labour Party Ed Miliband speaks during the launch of the party’s Education Manifesto in central London. Right, British Prime Minister David Cameron poses for a “selﬁe” as he meets with local people in Alnwick, north east England. AFP

“If it stops being too close to call, it’s the markets which will be the ﬁrst to tell us,” Vaughan Williams said. According to William Hill, one man bet 900,000 pounds on Scots rejecting independence in a referendum last year — the biggest political bet of all time— giving him winnings of just under 200,000 pounds when Scots voted on Sept. 18 to preserve the United Kingdom. One London-based gambler has staked 200,000 pounds that there will be hung parliament for which he could win 45,000 pounds. Another has risked 85,000 pounds that the Conservatives will have the most seats, and could win 68,000 pounds. “There is no doubt that this election is going to be the biggest non-sports betting event of all time,” Matthew Shaddick, politics trader for British bookmaker Ladbrokes, told Reuters. Peter Smith, a retired tax consultant who said he makes about 20,000 pounds a year by gambling, is expecting to stake a year’s proﬁt

A taste fo≥ the absu≥d oﬀe≥s ≥elief in ≥ace fo≥ Downing St≥eet In an election that will shape the destiny of the United Kingdom, anguish over how to eat bacon sandwiches and hot dogs has brought a note of absurdity to the battle for Downing Street. The May 7 vote could throw Britain’s membership of the European Union into doubt or give Scottish nationalists, who want to break up the United Kingdom, the role of kingmaker in the London parliament. For Prime Minister David Cameron and opposition Labour leader Ed Miliband, though, the struggle for power has brought an array of culinary, and cutlery, challenges. Since appearing to want to vomit while eating a bacon sandwich live on television last May, Miliband has repeatedly raised the issue on cam-

paign, even quipping that he could share one of Britain’s best loved breakfast treats with Cameron. “I think if I had my time again, I wouldn’t eat a bacon sandwich live on TV,” Miliband told a magazine as he set out his bid to follow Winston Churchill and Margaret Thatcher. “But the election is not a bacon sandwich-eating competition. I probably wouldn’t win if it was.” Determined to avoid what the media called “Ed Miliband’s bacon sandwich incident”, Cameron used a knife and fork to eat a hot dog at a barbecue on one campaign visit. “In 2010 he caused oﬀence on a visit to New York when he asked for a plain sausage, without even onions,” it wrote. “And in March 2012

UKIP leader Nigel Farage wears socks showing the Union ﬂag . Farage likes to portray himself as a man of the people. FILE

he was said to have tried eating one sideways while at a basketball game with President Obama.” With the choice of Britain’s leader resting at least partly on their table manners, the Labour party invited the television cameras into the Miliband family

home. Photographs showed Ed and his wife Justine standing in a narrow, white kitchen drinking tea. A columnist at the Daily Mail was appalled. “Not much prospect of a decent meal emanating from that mean, sterile, little box,” wrote Sarah Vine, also the wife of a most senior Conservative politician, Michael Gove. The aﬀair took a surreal turn when it was revealed that Miliband was actually in his second kitchen, a small add-on reserved for making tea and quick snacks. Desperately trying to protect his left-wing credentials, Miliband said he rarely used the larger, more attractive kitchen in his 2 million pound ($2.9 million) London house. “Revealed: Ed’s two-kitchen se-

cret,” splashed the Times. To outsiders, the island nation’s political discourse may seem bizarre. Having led one story on a poll showing 71 per cent of the population were not interested in the leaders’ wives or their kitchens, the Daily Mail devoted the rest of the article to ranking the wives and their kitchens. The one politician who rarely brings his family into politics is Nigel Farage, the leader of the United Kingdom Independence Party (UKIP) who has spent much of the campaign in the pub. Farage, a 51-year-old former commodities trader, likes to portray himself as a man of the people, with a pint of beer in one hand and a cigarette in the other. -REUTERS

Thursday April 16, 2015 | BUSINESS DAILY

NEWS INDEPTH MARKETS

REUTERS

The Conservative Party election bus (left) faces the Liberal Democratic one ahead of a day of campaigning yesterday in London. AFP

on the election, placing as many as 200 bets which he hopes will net him 5,000 pounds. “If there were more markets I would bet on politics all the time, it is much easier to make money on politics,” Smith, who said he won 11,000 pounds backing Barack Obama to win the US presidency in 2008, told Reuters. “Putting 20,000 pounds on horses would be quite frightening but it is not as frightening to put it on this as you can see the way things are going and I know I am going to make a pretty decent return,” he said. Smith is targeting what he said were bloated odds caused by people betting with their hearts, and what he thinks are nailed-on bets such as there being a hung parliament. Some clients of spread betting firm IG Group were looking at six-figure wins if certain events happen, said Matt Brief, head of dealing at IG. One man stands to win 200,000 pounds if Labour wins a majority, although Brief explained the client had placed the bet to hedge any losses he might suffer should financial markets move against his exposure after the election. Mike Smithson, who runs the www.politicalbetting.com website and is a former Liberal Democrat politician himself, is less convinced that the betting markets

always provide the correct answers, at least until the final 24 hours before polling day. “I’m extremely sceptical of that theory,” Smithson, whose websites get some 100,000 hits daily, told Reuters. “If the betting was always the best guide, the favourites would always win which is not the case.” He said he would risk 2,000-3,000 pounds on the election, but trading on the odds rather than making specific bets. “I’m always betting on the betting. So if I think that the Labour Party (odds) has got too long I’ll bet on that in the hope that Labour price will adjust itself and come in, and then get out of that position,” he explained. Smithson said the market had overestimated the impact of Scotland, where Labour are predicted to lose dozens of seats to the Scottish National Party, saying these would be more than offset by Labour taking seats off the Conservatives in England. “What does seem to happen is Conservative punters are much more optimistic about their chances than Labour punters,” he said. “So any good poll for the Conservatives tends to produce a better outcome than a good poll for Labour which tends to get ignored by the markets.” -REUTERS

Members of clinical staff at the Royal Albert Edward Inﬁrmary in Wigan, north west England . British Prime Minister David Cameron promisesto improve the state-run National Health Service. AFP

Histo≥y shows UK ma≥kets often sh≥ug off elections

Three weeks ahead of an election that seems likely to produce no clear winner and trigger a bout of political uncertainty, the temptation for foreign investors to cut and run from British assets should be intense. Yet as strategists and investment managers pore over the parliamentary permutations that might follow the May 7 poll, financial markets have barely flinched. And judging by market behaviour around the past six British elections, that’s not as surprising as it might seem. Opinion polls and betting markets point towards another hung parliament, even more fractured than in 2010, when a rare coalition government resulted. That raises the prospect of weeks of political horse-trading, a shaky minority government and even a repeat election. Some investors fear a Conservative-led administration will honour a pledge to call a referendum on European Union membership in 2017. Others dread a left-wing pact between Labour and Scottish nationalists that could slow budget deficit cuts, increase regulation and hasten a re-run of last year’s independence referendum in Scotland. As Deutsche Bank economist George Buckley says: “There are few “good” outcomes for the financial markets.” So watching top UK stocks hit record highs, up almost eight per cent so far this year, is a little

THE FIGURES

8pc

UK stocks hit record highs, up almost 8 pc so far this year. puzzling. Britain’s 10-year borrowing costs also remain below two per cent and within half a point of January’s record lows. Even sterling, left especially vulnerable by the need for foreign financing to plug the UK’s huge current account gap, remains relatively unruffled. Options markets have seen short-term hedging against significant sterling swings around polling and beyond, but the pound’s trade-weighted value =GBP has been stable for almost two months and is up more than one percent this year. So are these markets set for a rude awakening? Market behaviour three months either side of the six British elections since 1983 shows some good reason for the calm. For FTSE 100 stocks, only one of those periods showed a net loss of more than two per cent and that was in 2001, when Labour and Prime Minister Tony Blair easily won a second term.

And rather than politics, the reason for the outsize FTSE drop that year was the final throes of the dot.com stock market crash that had swept around the world since mid-2000 Losses on 10-year gilts have only once topped two per cent, in 1987, another poll in which the incumbent — then the Conservatives— swept to another term. Again, that was more to do with a tightening of global interest rates to control a brewing inflationary boom. Trade-weighted sterling meanwhile did not lose more than a net 3.1 per cent in any of the post-election periods examined. A different cut of historical data shows the full-year performance of UK stocks and gilts has been positive in all six election years, even when adjusted for sterling moves. “How many elections have actually had a material impact on the economy or financial markets over the past 30 or 40 years? When one looks at the charts, the answer is very few,” said Andrew Milligan, head of global strategy at Standard Life Investments in Edinburgh. Of course this year might be different. Options markets are braced for sterling moves of up to 13 per cent against the dollar over the next month. Gloomier forecasters have warned for some time that Britain’s yawning balance of payments and budget gaps, could result in a sterling crisis.

BUSINESS DAILY | Thursday April 16, 2015

Thursday April 16, 2015 | BUSINESS DAILY

BUSINESS DAILY

BUSINESS

THURSDAY, APRIL 16, 2015

SUPPLY Customers can have their supplies within four working days after placing orders, down from a month

Kemsa po≥tal aims to ease d≥ugs supply headache fo≥ counties

forecasting and lastly improved Kemsa’s data warehouse decision-making. County governments can now order Kemsa has also been providing drugs through the Kenya Medical Suptraining to the county health officials ply Agency (Kemsa’s) online portal and for free. have their supply within four working Dr Munyu says on average coundays, down from a month. ties with larger populations such as The portal, called Logistic ManageKakamega and Nakuru ask for drugs ment Information System (LMIS), has costing between Sh200 million and been created by Kemsa’s in-house softSh300 million per quota. ware developers to enable counties and Kemsa is targeting all the 47 counties health facilities to buy medical comwith the portal, but only Makueni which has 160 facilities, Kajiado County which modities online. The portal is available free of charge has 101 facilities and the Nakuru County to Kemsa’s clients. All that the customer Referral Hospital have fully embraced needs to do is to create a password which the new system. he can use from a personal computer, Other than the county governments, the portal is also used by other Kemsa laptop or tablet. partners who include the Besides placing requests, National Aids and STIs the portal enables county We have Control Programme( medical representatives to NASCOP) for its National keep track of their orders in significantly Programme for Anti-Retreal-time. ≥educed ou≥ roviral. Others are Usaid, The portal has a chat option through which clients tu≥na≥ound time Unicef, Danish Intercan contact Kemsa staff for f≥om fou≥ weeks to national Development Agency(Danida) and DFID follow-ups on orders as well app≥oximately fou≥ among others. as to make enquiries. days “Before LMIS, orders Kemsa CEO John Munyu from the facilities would said the portal had eliminatJOHN MUNYU, ed the long manual ordering be captured using the KEMSA CEO standard order and reportprocess which faced many ing forms (SORF), which challenges including taking would be done manually and sent to weeks or months for Kemsa to receive order forms, under supply and over supKemsa via courier services. Most of the ply of commodities due to data inaccuratime we encountered inaccuracies in cies in reporting and ordering and poor the quantities requested on the form interpretation . and prolonged turnaround time,” Dr “We have significantly reduced our Munyu added. turnaround time from four weeks to approximately four days depending on orHow it works: Once the user has ders, which has in turn seen an increase obtained his or her password and logged in demand from the counties by between in, the customer is able to view the tem50 per cent and 60 per cent,” Dr Munyu plate and key in the quantities needed told Business Daily in an interview. or prepare the order on a Kemsa excel The increase , Dr Munyu added, has ordering template and then upload it also been aided by the fact that health in the system. The uploading takes less services are now devolved which has givthan five seconds and the main order is en the county governments the leeway in place. The user is able to view all the commodities and their value. A printout to prioritise their needs unlike before of the order can also be done (filing). when the central government was the sole decision-maker on the kind of drugs Once the user has checked the order, and quantity it would send to respective he can submit it to the medical superhealth facilities across the country. intendent or pharmacist in charge for Other than reducing the time it takes approval. The order then moves to the to place an order and have the drugs county pharmacist for consolidation. (All pharmacists will forward their orders to dispatched, the portal has also reduced the county pharmacist). paperwork, error and costs. It has also The county pharmacists consolidate improved national quantification and

TECHNOLOGY SYSTEMS INNOVATIONS INFORMATION GADGET REVIEWS

inside>>

Technology makes tracking of stock easier for Crown Paints Pages 16-17 >>

BY OKUTTAH MARK

TECHNOLOGY

Beneﬁts of using LMIS

. . . . . . . . .

Online orders placement and consumption reporting done real time. Reduced paper work, fewer errors. Reduction of order turnaround time thus enhanced timely delivery Improved national quantiﬁcation and forecasting Traceability of orders within Kemsa. Chat system, which enhances customer service and service delivery Data warehouse for decision making Track medical commodities in the facilities through monthly reporting Ofﬂine population of EMMS excel template and consumption Data Reporting Form (CDRR) in cases where there is limited Internet access.

the orders through a process that will also help them to know the value of each consolidated commodity and to print out the information. The county pharmacist is able to ration the facility orders to ﬁt the county budget for medicines. He or she will then create a pro-forma invoice that advises them on the commodities and

Mr John Munyu, Kemsa CEO. DIANA NGILA value of what Kemsa can supply. With the pro-forma invoice the county pharmacist can prepare the LPO which upon completion is forwarded to Kemsa by keying in the LPO number. Once Kemsa processes the orders, the customer will receive an electronic delivery note and SMS indicating the status of their request. The second key module of the Kemsa is Program Commodities reporting and ordering. This is a report on consumption, re-supplies and losses, in stock and out of stock medicine. The Program commodities include malaria, nutrition, Antiretroviral (ART), and HIV test kits. The reporting helps the national committee on these commodities to manage re-supplies to all the facilities in Kenya. A period for reporting is normally created and the facilities place their consumption reports by keying in or uploading. The reports are received at Kemsa and re-supplies arranged. There is a rationalised column on the programme template which records the quantities to be re-supplied. An electronic delivery note is subsequently sent to the customer indicating the commodities to be expected from Kemsa. The customers will receive an SMS indicating that the commodities have been dispatched through Kemsa e-mobile. mokuttah@ke.nationmedia.com

Tech company launches Sh1.4bn app competition

Page 17 >> TECHTALK

Lumia 640XL is a decent phone, save for its low 720p screen display GADGET REVIEW

BUSINESS DAILY | Thursday April 16, 2015

Thursday April 16, 2015 | BUSINESS DAILY

DigitalBusiness

Technology makes t≥acking of stock easie≥ fo≥ C≥own Paints

Technology MBUGUA NJIHIA

telecoms by investing millions in ICT to cut costs Mombasa depot to file reports on what they sold, I just look it up online,” he said. The paints maker is also using technology to track the stock movement hisBY CHARLES MWANIKI tory and put financial control to ensure enyan manufacturers are invest- that field managers and distributors do ing millions of shillings in tech- not request for goods that they have no nology, taking cue from banks, capacity to sell. Keeping track of movement of goods insurance firms and telecoms as they not just from the factory, but also further seek to boost efficiency and cut costs. Crown Paints is among manufactur- down the chain at distributorship level ers that are betting big on technology to allows managers to make quicker deciseal financial loopholes and track the sions on production rates and therefore optimise their resources, avoiding manumovement in stock. The chief executive officer Rakesh facture of idle stock. Many distributors rely on access of Rao said the adoption of ICT across its goods on credit from mansystems has boosted efficiency in the company and ufacturers, meaning that cut financial and material idle stock makes it harder We have given to balance books. leakages. tablets to all ou≥ Auditors also have an Communicating with easier time checking the staff spread across the resales people, gion as the company widens flows of cash and goods whe≥eby they now with the computerised its reach is importance, said do not p≥epa≥e Mr Rao. records. Crown Paints has shiftMany manufacturers any physical daily ed to online calls between require that any changes ≥epo≥ts the top management and to keyed-in orders be auRAKESH RAO, CHIEF EXECUTIVE thorised by management, heads of departments, even in cases where the making savings on phone change is arising out of an expenses. “We have given tablets to all our sales error that needs to be rectified. people, whereby they now do not pre“For instance, where we have distribpare any physical daily reports. Once utors hitting the limit of goods they northey log into the system we are able to mally take, the system locks them from track their sales and also see where they taking more stock, and if they need more are,” said Mr Rao. stock, approval has to come from direc“We have spent more than $4 million tors. Earlier, there was no such control, (Sh370 million) in these systems and all and some people would take much more our locations are online. For instance, I than their capacity, and have problems do not need to wait for the Kisumu or paying later,” said Mr Rao.

Tech Talk

Why timing is eve≥ything fo≥ ent≥ep≥eneu≥s in technology

are imminent if you are to leverage network effects to create the scale that is key for any tech-centric business to break into profitability and have a shot at growing into a sustainable enterprise. In athletics, especially in long distance running, it is widely expected that the first one out of the starting blocks will not be the first across the finish line. Factors of tech production outside talent and capital are easily available and one can fire up scalable backend infrastructure and access targeted marketing inventory to drive awareness and funnel in users on the cheap. Pacing one’s business is critical to surviving the long haul. The global space is littered with stories of those who went before, perhaps with better service propositions, but are no more. Some markets shifted, new markets opened up, consumer mindsets changed, dynamics of capital access improved, barriers to entry got demolished, people got complacent; among many other environmental factors. The second first mover advantage is real, use market data, research and gut to read where the wind will blow and position your sail appropriately. Njihia is CEO of Symbiotic | www.mbuguanjihia.com | @mbuguanjihia

inMombasa. Mombasa.KEVIN KEVINODIT ODIT Crown Paints CEO Rakesh Rao during the opening of the new Crown Paints Ofﬁces in

To ease the payments process, distributors and manufacturers are adopting mobile money payments, especially those who move smaller amounts of goods. Many Kenyan manufacturers have adopted ICT in logistics departments, preventing cases of diversion of goods by unscrupulous transporters. Tracking softwares in ﬂeet management are helping companies to keep track of vehicles at any one time. Mr Rao said his company has also computerised processes such as paint selection which previously would be done manually, making it easier for customers to choose.

How technology has benefited Crown Paints The paints maker is using technology to track the stock movement history and put financial control to ensure that field managers and distributors do not request for goods that they have no capacity to sell. Crown Paints has shifted to online calls , making savings on phone expenses.

“We have installed visualisers on a screen where customers can walk into our showrooms, play with dif-

ferent colours and select the right one for their rooms. The computer generates the colours, and once we feed in the shade code, it is fed into the system and then it will be manufactured,” he said. Through technology, he said, a customer is now guaranteed to get the exact colour they want, in a process that can last for just a few minutes. Automation helps a company save on labour costs, given that computers do the work that would have normally been done by several people in a manual process. As more manufacturers seek to

cut costs with adoption of technology, it exposes the sector to cybercrime risks. Financial institutions in particular have been victims of IT-related fraud that has seen millions transferred from customer accounts, with some of these crimes being instigated by employees. Manufacturing ﬁrms face the risk of manipulation of stock or payments by tech-savvy managers or distributors, leading to losses. However, with checks against potential weak spots in the system, such loopholes can be sealed. cmwaniki@ke.nationmedia.com

Tech bytes Access Kenya incorporates technology in teaching science AccessKenya has partnered with the Global e-Schools and Communities Initiatives (GESCI) to help improve the quality of teaching of science, technology, English and Mathematics subjects in Kenyan schools. Under the programme, about 60 teachers have learnt how to incorporate videos in teaching chemistry and biology, as well as learning how to stream educational content straight into the classrooms including academic exchanges with their peers abroad. The teachers has also been able to improve their competencies in the use of interactive white boards, conducting of online research thus enabling them to transform and deliver once abstract concepts into real experiential sessions in class. The

mation technology professionals in Kenya with the requisite skills to tackle key issues in the sector such as cyber security,” said Emily Kinuthia, the marketing and communications manager at AccessKenya. The SIPSE project is targeting more schools as it seeks to incorporate technology in daily teaching and learning tools in public secondary schools. A teacher at Lavington Primary School uses e-learning. FILE

initiative comes on the backdrop that the number of students taking science, technology, English and Mathematics subjects are reducing and which AccessKenya fears may contribute to shortage of scientists and engineers in Kenya. “Students are struggling to understand important science and mathematics concepts thus accounting for low enrolment in science, technology and math-

BY OKUTTAH MARK

A Nairobi M-Pesa agent (left) serves a client. As a technology entrepreneur you must determine with a certain level of accuracy and conﬁdence when the product-market ﬁt will happen. FILE

Tech in action

Tech company launches Sh1.4bn app competition

STRATEGY Manufacturers take cue from banks,

he world of technology entrepreneurship can be a daunting one. Things change quickly; from peculiar consumer habits to new channels of engagement, regulation via legislation, market readiness and even investor appetite. However, the one thing that remains top on my list is timing. Getting into the market in an almost perfect environment or adapting oneself appropriately should be the goal of every technology entrepreneur. There are those who subscribe to the school of thought that says start where you are, with what you have got and get to the market as fast as possible. In my opinion that line of thinking could fasttrack the entry of any technology based enterprise into the dead pool; unless of course one is looking at building a simple lifestyle business whose barriers to entry would be low and competitive advantage almost non-existent. Timing is important because it feeds into everything else. Come in too early and you will burn; educating the market, dealing with consumer skepticism, dead-end pitches to owners of capital or figuring out when to pivot. As a technology entrepreneur you must determine with a certain level of accuracy and confidence when product-market fit will happen or when diminishing returns

ematics related courses in universities,” said Esther Wachira, the SIPSE project coordinator. Some of the schools that have beneﬁted from this initiative include Nakuru Girls High School and Mumbuni Boys Secondary School in Machakos. “This is a matter of sustainable socio-economic development. For instance, there exists a huge shortfall of qualiﬁed infor-

Real-time fraud alert system launched A Kenyan business fraud management solution company, Fraud-Vigilance, has launched an integrated system that offers real-time theft alerts. The system dubbed, Glinde 2.0 also gives business owners real-time localised fraud/ market risk alerts, access to a national fraudulent employees data base, a toll free whistle blower line, national fraud sta-

tistics and maps. Fraud-Vigilance uses an advanced real-time streaming and analytics to log every incoming fraud alert, register it, localise and broadcast or database. A business person can log into the database submit reports, query the system and view reports of fraud cases. Subscribers can interact with the platform through USSD, SMS, IOS, Android app, web portal among others. “There are two basic drivers of fraud; the

availability of the stock, cash, ﬂoat, merchandise to be stolen/ misappropriated and the ability of the fraudster to get away with the loot. Fraud is committed by someone who is conﬁdent that they will get away or the repercussions are minimal and delayed,” Edwin Wachiye, CEO Fraud-Vigilance, said in statement. The new fraud system targets multinationals, banks, beer distributor, mobile number operators, and supermarkets stores. “Kenyans are by and large very entrepreneurial. The biggest challenge they face is fraud by their own employees and fraud by the public/customers against their business,” said Mr. Wachiye. The Real-Time Fraud Prevention Engine leverages Glinde 2.0 unique technology to deliver a Engine that enables organizations to prevent fraudulent activity in real-time, at both in store level and outstore levels.

alifornia-based Global Learning XPRIZE has launched a Sh1.4 billion ($15 million) app competition and is calling on local software developers, educators and innovators to participate. The competition entails developing an open source software solution which will enable children in developing countries to teach themselves basic reading, writing and arithmetic skills. Mr Ed McNierney, the Global Learning XPRIZE technical director, unveiled the competition in Nairobi on Tuesday. Mr McNierney said that the registration process will take six months after which teams will have 18 months to develop their applications. A panel of expert judges will be set up to select the top five teams which will proceed in the competition, each receiving a Sh93 million ($1 million). The solutions from the five contestants will be spread in 200 villages across the world for field-testing for 18 months to determine the overall winner who will get the Sh930 million ($10 million) top prize. The total timeframe of the competition will be five years. Mr McNierney told the Business Daily in an interview that one of the conditions the teams must meet is that the application must be coded in two languages, English and Kiswahili. The application must also be uploadable in any computing device. “We are targeting the best application that can be used by students aged seven to nine to do basic arithmetic. This calls for teams to have members who can write good software, understand how children begin learning and reading, and the

Pupils in a computer class. The Global Learning XPRIZE firm’s competition entails developing a software solution that will enable children in developing countries to teach themselves basic reading, writing and arithmetic skills. FILE solution should incorporate videos and games,’’ he said. The teams can draw members across the globe and can also seek technical or financial support from corporates. “Technology is not the only solution, but it must be part of the solution. If technology can do what we believe it can with learning, it will allow children in conflict zones and refugee camps to safely begin or continue their education,” Mr McNierney said. The competition is motivated by the fact that an estimated 250 million children around the world cannot read, write or demonstrate basic arithmetic skills. Most of these children are in developing countries with no access to quality schools and teachers. “While programmes exist to build schools and train teachers, traditional models of education are not able to scale fast enough to meet demand. We simply cannot build enough schools or train enough teachers to meet the need,” Mr McNierney said.

blog of the week http:// www.uonbr.com Necessity is the mother of all invention. We Kenyans have plenty of necessities, unfortunately there are not sufﬁcient local inventions to solve these necessities. We may brag of M-Pesa and a couple other inventions but still we are not yet there. The International Community Forum recently ranked Nairobi as the most intelligent city in Africa. This was based on the achievement of communities that have built inclusive, prosperous economies on the basis of information and communication technologies. We may gloat and boast in this commendation but the question is; what exactly do we have to show for it? The facilities are there; iHub, CD4lab and Chandaria Innovation Centre, just to name but a few. That is great, but where are the Kenyan startups born in these facilities? Where is the disconnect? NOTE: Blog quotes in this section are edited and do not in any way represent the views of this newspaper or its editors.

BUSINESS DAILY | Thursday April 16, 2015

Thursday April 16, 2015 | BUSINESS DAILY

DigitalBusiness

Technology makes t≥acking of stock easie≥ fo≥ C≥own Paints

Technology MBUGUA NJIHIA

Tech Talk

Why timing is eve≥ything fo≥ ent≥ep≥eneu≥s in technology

inMombasa. Mombasa.KEVIN KEVINODIT ODIT Crown Paints CEO Rakesh Rao during the opening of the new Crown Paints Ofﬁces in

“We have installed visualisers on a screen where customers can walk into our showrooms, play with dif-

BY OKUTTAH MARK

A Nairobi M-Pesa agent (left) serves a client. As a technology entrepreneur you must determine with a certain level of accuracy and conﬁdence when the product-market ﬁt will happen. FILE

Tech in action

Tech company launches Sh1.4bn app competition

STRATEGY Manufacturers take cue from banks,

BUSINESS DAILY | Thursday April 16, 2015

DigitalBusiness Gadget reviews

REVIEW The pixelation problem is evident when one starts reading text

Lumia 640XL is a decent phone save fo≥ its low 720p sc≥een display N

ot too long ago, big-screen phones were called phablets, indicating their in-between status between the phones and tablets. Almost no one uses that term anymore, with large-screen smartphones now being known as, well, phones. Apple was pretty much the last one to acknowledge this trend, but last year’s iPhone 6 and iPhone 6 Plus were lapped up in record numbers, indicating an almost insatiable consumer appetite for big-screen phones. Earlier, Microsoft Devices - then Nokia - had forayed into the world of large phones with the Lumia 1320 and Lumia 1520. While the 1520 was a flagship-class device, the 1320 was relatively modest in terms of specifications. The Lumia 640 XL Dual SIM - announced at MWC alongside the Lumia 640 Dual SIM and other variants - is in many ways a successor to the 1320, though the company stopped short of officially positioning it as such.

Specs

5.7-inch 720p display

Dual SIM smartphone 1.2GHz processor 3000mAh battery capacity

Lumia 640 XL runs Windows Phone 8.1 Update 2 out of the box, which includes all the features of the Lumia Denim update with some other enhancements. These new features include improvements to the Settings

Smartphone and tablet manufacturer Infinix Mobility is betting on longer battery life and affordable pricing to mark an entry into smartphone market segment. Unlike most smartphones, the Infinix Hot Notex551ndroid handset is backed by a massive 4000mAh battery with fast charging mode, which means that 20 minutes of charge allows you up to seven hours performance. Retailing at an introductory price of Sh9, 999, the Infinix Hot Note smartphone runs on the latest Android 4.4.2 (KitKat) operating system, providing users with enhanced sharing features.

Iball Andi 5M Xotic smartphone

app, where you can get to any setting quickly by using the in-app search. You can also pin frequently-used individual settings (such as Wi-Fi) to your home screen as a live tile. Simply tap and hold down any setting and you’ll see the pin to start option. The Lumia 640 XL comes preloaded with a host of Lumia-branded apps like Lumia Beamer, Lumia Camera, Lumia Cinemagraph, Lumia Creative Studio, Lumia Moments, Lumia Selﬁe, and Lumia Storyteller. Pre-installed third-party apps include BBM, BookMyShow, Facebook, Fitbit, Foodpanda, MobiKwik, NDTV, Olacabs, and WeChat. Thankfully, you can uninstall these apps should you so desire.

Camera Software

Inﬁnix Hot Note

1GB RAM

Design and display The 640 XL Dual SIM is a quintessential Lumia - solidly built using good quality plastic, with a variety of colour options to choose from. It makes no eﬀort to stand out in any way, and strange as that may sound, that’s not necessarily a bad thing in our opinion. The Lumia 640 XL Dual SIM comes with a 5.7-inch 720p display. While the display has no issues when it comes to colour reproduction or viewing angles, the pixel density leaves a lot to be desired. This isn’t noticeable while you are looking at live tiles or viewing pictures, but as soon as you start reading text, pixelation issues come to the fore. Microsoft’s decision to use a 720p screen in a bid to keep the costs down is understandable, but on a 5.7-inch display, is perhaps a step too far. The pixelation problem wouldn’t have been as bad if Microsoft had stuck to a 5-inch display.

CNET

Outdoors and in good lighting conditions, the 13-megapixel Lumia 640 XL camera captures decent details, though the images tend to be just a little-bit over-exposed with some amount of noise. Noise is more of an issue in low-light conditions, but overall the camera

does a pretty decent job in terms of managing light and maintaining image quality. The ﬂash does a decent job of lighting up the subjects evenly. The camera captures high-quality fullHD video with good audio clarity. The front camera is perfect for good quality selﬁes, even in low-light conditions.

Performance and battery life The Lumia 640 XL comes with a 1.2GHz Snapdragon 400 SoC with 1GB RAM. In synthetic benchmarks, the phone comes nowhere near Android phones that are now available at a similar price, but with Windows Phone’s ability to play nice with limited resources, users are unlikely to ﬁnd the diﬀerence as dramatic. The phone features a 3000mAh battery that will easily last a day-and-a-half of heavy usage. The call quality is good and the loudspeaker - situated at the back - is pretty decent for calls as well as your dose of entertainment.

iBall has launched the Andi 5M Xotic smartphone in India, pricing it at Rs. 8,199. The iBall smartphone was previously listed for purchase in February by an online retailer at Rs. 8,950. According to the company, the biggest USP of the iBall Andi 5M Xotic is its 2GB of RAM at the price, as well as 16GB of built-in storage. The dual-SIM smartphone runs on Android 4.4 KitKat that the ﬁrm says will be upgraded to Android 5.0 Lollipop. It features a 5-inch qHD (540x960 pixels) IPS display that offers a pixel density of 220ppi. The smartphone packs a quad-core 1.3GHz Cortex-A7 processor coupled with 2GB of RAM.

Canon PowerShot ELPH 170 IS and ELPH 160 Canon has pulled the wraps off two cameras in its more affordable PowerShot ELPH line. The PowerShot ELPH 170 IS and the PowerShot ELPH 160 are the two new additions and both of them have same features which include a 20-megapixel CCD sensor. The only differentiating factor is that the ELPH 170 IS has optical image stabilisation built-in. The PowerShot ELPH 170 IS and the PowerShot ELPH 160 have a retail price tag of Sh73,422 and Sh58,722 respectively. In addition to digital cameras, Canon also introduced the VIXIA HF R62, VIXIA R60 and VIXIA HFR600 handycams.

-NDTV GADGETS

Tech Demystiﬁed

How the Google Now application works as your personal assistant BY SANDRA CHAO-BLASTO

With an increasing number of things to do, meetings, local and international work related trips and even the everyday side-hustle to bring in extra income; it is becoming extremely difﬁcult to remember some small details. Often people who can afford hire an assistant who not only helps them remember special events like the birthdays of their loved ones and even what to wear to foreign business trips in respect to the pre-

vailing weather. However, with the Google Now application, you get a personal assistant wherever you are in the country for free as long as you can spare some data. The application which automatically updates itself on the Google search widget of android smartphone access and organises information from several applications like weather, Gmail, translate, maps and others makes it readily available to you in the form of cards. By choosing from the settings button of the dominant email you use, it is able to ac-

cess such information like the details of a business trip and put it in the form of cards alerting you about the air ticket details and even the itinerary. As the date of travel draws near it even shows you interesting sites to visit and you could also have it translate words into the foreign language with the voice search option and it can talk back to you saying how it is pronounced. The Google App as it is also known provides location based settings from maps to determine your work and home place and even

calculates how long it will take to reach either destination when there is trafﬁc or without trafﬁc. Though it assumes the place you spend most of your evening times is home and the venue that you go to everyday is work place, but this can be changed manually. It also draws information about meetings from your email, calendar or inbox agendas and adds reminder cards over the same ensuring that you do not miss out on anything important. The birthday card draws informa-

tion from for instance your Gmail and Google+contacts and reminds you of whose birthday is coming up very soon. You could also set out your own reminders for stuff to buy or people you need to meet who might not have sent you an ofﬁcial invite. The Sports card allows you to select your preferred sport and teams for which to receive ready updates about while the News card brings you the most read or trending stories within your country

Thursday April 16, 2015 | BUSINESS DAILY

MONEY & MARKETS NEWS I REVIEWS I ANALYSIS

Qata≥is aid Kenya’s bid fo≥ cent≥e to clea≥ Chinese cu≥≥ency TRADE Countries sign a memorandum of

understanding on the establishment of the NIFC BY CHARLES MWANIKI

Gas-rich Qatar has formally signed up to help Kenya set up the Nairobi International Financial Centre (NIFC) that is hoped to aid Nairobi’s push to host the coveted Chinese renminbi currency clearing centre. Treasury Secretary Henry Rotich, and Qatari ﬁnance minister Ali Al-Emadi signed a memorandum of understanding for the establishment of the NIFC in a meeting held on the sidelines of the launch of a renminbi-clearing centre for Middle East in Doha, Qatar. Kenya has been looking to establish the NIFC since 2008. It is supposed to have a well-functioning ﬁnancial system

to attract international capital issuers and investors and act as the gateway for finances into the eastern and southern Africa region. “The signing of the MOU with Qatar is to help support the establishment of the NFIC and may also lead to the eventual establishment of a renminbi clearing centre in Nairobi… a team of experts from Qatar Financial Authority Centre have been working with officials of the National Treasury of Kenya since 2012 towards the realisation of NIFC,” said a statement by Kenya’s embassy in Doha. Qatar had pledged to help Kenya develop Nairobi as the region’s financial hub in April 2014 during a visit by President Uhuru Kenyatta to the Gulf

Mr Henry Rotich, Treasury Secretary. FILE state, and has been offering advice to Kenyan officials on the formulation aspects of the centre. The project was first mooted during the Kibaki administration but has had several false-starts and controversy. In May last year, President Kenyatta gazetted the Nairobi Financial Centre Authority (NFCA) which is tasked with licensing companies to operate under the centre and formulating the legal, regulatory and institutional aspects of the centre. The Treasury plans to fast-track regulatory changes opening up listed companies to full foreign ownership this year from the current limit of 75 per cent as it races to meet one of the key requirements for market accessibility for international financial centres.

NSE sets stage fo≥ counties to ≥aise health funds f≥om Reits

On a visit to China in August 2013, the President announced intention to host the renminbi clearance house in Nairobi with an eye on the booming trade between China and African states. Setting up structures for direct exchange of the shilling and the Chinese currency through the clearing house could boost trade between the two countries by easing commercial transactions. Kenyan exporters to China normally have payments processed through a lengthy process that involves physically sending Chinese payment cheques back to the country for clearance and payment. With a clearing house, the cheques could be processed locally through an agreement between the two central banks thus expediting payments and easing the cost trade. China’s currency is yet to gain the status of the US dollar as an international unit despite the country’s huge trade portfolio, in part due to the tight exchange control by Beijing. China has however been looking to internationalise its currency. The Doha renminbi clearing centre is the ﬁrst one in the Middle East and North Africa (MENA) region, joining 14 other centres mainly situated in Europe, East Asia, Australia and Canada. cmwaniki@ke.nationmedia.com

Stanlib to list Sh9 billion p≥ope≥ty units on bou≥se BY JOHN GACHIRI

BY CHARLES MWANIKI

The Nairobi Securities Exchange (NSE) has announced it will launch Real Estate Investment Trust (Reit) for the health and water sectors in the counties. The NSE said it is ready to launch share units for both income and development purposes this year, opening the way for companies to tap the market for building capital or dispose of assets through public sale. County governments have been planning major health and water investments over the past three years, but many projects have been hamstrung by lack of funds. The bourse is holding consultations with counties on the units, the NSE chief executive oﬃcer Geoﬀrey Odundo said on the sidelines of a ceremony for the listing of the new Housing Finance (HF) rights shares. “They are more like development Reits, but are more specialised. The health Reits will target investors building hos-

Utility Reits Utility Reits will target power and water services, allowing investors to put capital in special purpose vehicles

pitals, which is quite good for county governments and their health expansion programmes,” said Mr Odundo. “Utility Reits will target power and water services, allowing investors to put capital in special purpose vehicles in form of Reits. These are the kinds of options we want the county governments to consider as they plan to tap into capital markets,” he said.

The Capital Markets Authority has already licensed three Reit trustees—KCB, Cooperative Bank and Housing Finance— as well as six Reit managers. Trustees Act as the custodians for the Reit (a stake in a property) unit holders by making sure the Reit manager invests prudently in exchange for a fee. Real-estate ﬁrms and asset managers have indicated they will be participating in the Reits market once it is active. Housing Finance managing director Frank Ireri said the company will consider using Reits to fund part of its planned Sh30 billion real-estate investments being done through subsidiary Kenya Building Society (KBS). “One of our options for these developments is through the Reits, since we are lucky to have diﬀerent sources of money from which we will choose as we go along. KBS is also in the process of applying to become a Reit manager,” said Mr Ireri.

Stanlib Investments plans to list a Sh9 billion Real Estate Investment Trust (Reit) at the bourse in the next two months. Stanlib, part of South African Liberty Group, said it will package a mix of properties and sell them as Reits (property share units) in June this year. The investment ﬁrm has a property portfolio of Sh15 billion, but the Kenyafocused Reit will list realestate assets worth just Sh9 billion. Finer details including pricing and the properties involved will come out in May. “Those details are in the information memorandum which will come out next month,” Stanlib chief investment oﬃcer Kenneth Kaniu told the Business Daily. Listing is meant to give investors an exit avenue and help in price discov-

ery. Should the units come to the market by June this year, they will be the ﬁrst such asset in Kenya since 2012 when the Capital Markets Authority (CMA) introduced laws allowing the roll-out. Housing Finance and Centum Investments are the other ﬁrms planning to issue units for properties under construction. HF is looking at investment Reits for its commercial and housing project in Nairobi’s Komarock while investors in Centum Two Rivers Development coming up in Runda area of Nairobi will use Reits as exit vehicles. Stanlib did not indicate the expected returns, but properties such as retail malls can attract up to 13 per cent in annual rental yields. A presentation by Centum showed its Two Rivers Development will have an annual rental yield of 14 per cent.

Logistics ﬁ≥m FSG completes Congo t≥anspo≥t company buyout BY JOHN GACHIRI

Frontier Services Group (FSG), a Nairobi-based logistics ﬁrm, has completed its purchase of Congolese transport company as part of central and western Africa expansion plan. The Hong Kong Stock Exchange-listed ﬁrm chaired by ex-Blackwater Erik Prince said it had concluded the deal announced earlier of buying Cheetah Logistics SARL for an undisclosed amount. Cheetah Logistics is a privately owned company based in the Democratic Republic of Congo and specialises in ground transportation.

Step forward “With the addition of Cheetah’s well-established transportation business, we are meaningfully expanding our geographic reach into the DRC and sub-Saharan Africa by providing transportation and logistics solutions that fall squarely within FSG’s operational capabilities,” said FSG chief executive Gregg Smith. Mr Smith said the acquisition of the logistics operator will supplement its other transportation businesses. FSG goal, he said, is to have companies that can provide land, sea and air transportation in remote areas of sub-Saharan Africa. “Our acquisition of Cheetah marks an important step forward for FSG in providing our customers complete logistics solutions, including land, air, sea and all of the warehousing and port management processes required to compress customers’ cycle times,” said Mr Smith. In 2014, FSG bought a 49 per cent stake in Phoenix Aviation for Sh1.2 billion in an acquisition meant to support servicing government, humanitarian agencies, NGOs and oil and gas exploration ﬁrms. Phoenix Aviation last year earned FSG Sh787.4 million in revenues. This was equivalent to 21 per cent of the Sh3.7 billion that the ﬁrm generated in the year although the deal was done towards the end of last year.

BUSINESS DAILY | Thursday April 16, 2015

SPECIAL ADVERTISING SECTION

Energy Management Awards 2015

Curbing energy waste: The path to sustainable business

s enterprises endeavour to become more competitive, energy is a cost that cannot be overlooked. Energy cost continues to pose an increasing challenge to enterprises. Kenya has experienced a high economic growth in the last couple of years which has resulted in increased demand for electricity. This increase is anticipated to continue growing at an annual rate of approximately eight per cent with manufacturers consuming about 60 per cent of the energy produced in the country. However, nationally, energy continues to be inefficiently utilised particularly within industry. Wastage of energy ranges between 10 per cent and 30 per cent of primary energy input. This is mainly attributed to lack of information, motivation, know-how, financial restrictions as well as market imperfections. It is estimated that the average energy saving potential in Kenyan industry is over Sh2 billion per annum. Rarely do firms evaluate energy use, and see how much of it could be saved. This has put a number of companies in shaky positions, with energy costs eating into hardearned revenues. Enterprises can adopt measures that will help curb energy wastage as the path to sustainable business. Manufacturers who implement energy management measures save about 30 per cent from use of energy-efficient measures. Prudent management of energy is key for all businesses to improve on their bottom line. For over 10 years the Kenya Association of Manufacturers (KAM) has championed energy efficiency and conservation programmes. The

programmes are designed to help companies identify energy wastage, determine saving potential and propose recommendations on measures to be implemented to conserve energy. These initiatives, which are run through the Centre for Energy Efficiency and Conservation (CEEC), have saved firms over Sh10 billion. CEEC, established in 2004 by KAM in conjunction with the Ministry of Energy and Petroleum, supports efforts by manufacturers to reduce energy wastage by conducting regular audits in company facilities. Firms in Kenya are now fast appreciating the need for energy conservation. Companies that have taken the necessary action have experienced cost reductions from energy savings. The enterprises have promoted energy efficiency through the identification of efficient management and renewable energy investments. The Energy Management Awards (EMA) is one of the programmes under CEEC. The

From Left EMA Advisory Council Chairman Eng. Joseph Ng’ang’a, KAM Chairman, Mr. Pradeep Paunrana and Kenya Power MD, Dr. Ben Chumo. Awards recognise and profile organisations with outstanding sustainable business practices in energy management. This year’s award ceremony held on March 27, 2015 was attended by over 400 participants and was themed “A Night with Energy Royals. “ The 51 participating companies achieved combined savings of Sh 268 million. The prime platinum sponsor for the awards was Kenya Power. This year, the awards were expanded to include the Students Category. This change was made to encourage students in institutions of higher learning to adopt innovation in their undergraduate and postgraduate projects to include energy management. This will ensure sustainability as a mainstay of day-to-day business practice, particularly in this era when productivity and innovation underpin the competitiveness of our industries and enhance the link between the private sector and the academia. Other new categories are the Sustainable Building Team of the Year as well as the Green Architect of the Year. Making her remarks during the event KAM’s outgoing chief executive Betty Maina lauded the notable progress in the energy efficiency and management front in the country. “Indeed, these efforts in energy

conservation by industry and service sectors are paying dividends as can be evidenced by the savings that have been reported by companies participating in the different categories of awards in today’s event,” Ms Maina said. Through CEEC, KAM has managed to subsidise Energy Audits with the help of the Ministry of Energy and Petroleum: over 350 energy audits were carried out throughout the country and SMEs were not left out. Specialised energy efficiency and renewable energy trainings have also been carried out. Over 500 personnel were trained for different energy management programmes. To date, a total of 121 Certified Energy Managers (CEMs) and 15 Certified Measurement and Verification Protocol (CMVP) have received qualifications under the CEEC. KAM chairman Pradeep Paunrana appreciated the developments in the energy sector that have enabled the manufacturing sector, business community and other investors to plan well for expansion. “We look forward to the delivery of the 5000Mw project,” he said. He further congratulated the government for getting the country to the point where Kenya is in the league of the top 10 world’s largest producers of geothermal energy. EMA Advisory Council chairman Joseph Ng’ang’a said energy management initiatives will continue to be central on the global scene. He congratulated companies that have been abiding by the law and have taken up energy audits. He urged those who have not yet done so to take up the energy audits. This year’s event was preceded by the inaugural CEO’s Forum on sustainable energy management which brought together over 200 participants. They discussed among other things, climate change, the road to a greener economy, balancing economic development goals with sustainability and energy management in Kenya. The meeting also featured panel discussions by various CEOs on best practices in energy management. Safaricom CEO Bob Collymore urged chief executives to embrace sustainable energy management, saying this journey is every CEO’s imperative. “But while it’s true that the initial cost of green solutions is high, the payoffs to growing economies such as Kenya’s are immense,” he said. He encouraged the private sector to improve on their green solutions investments while congratulating all the companies that have taken a step towards securing the future for generations to come.

Olenguruone Tea Factory staﬀ.

Thursday April 16, 2015 | BUSINESS DAILY

BUSINESS DAILY | Thursday April 16, 2015

SPECIAL ADVERTISING SECTION

Energy Management Awards 2015

Buy Kenya Build Kenya

or the 11th year running, Kenya Power has been the platinum sponsor for the Energy Management Awards

Kenya Power has been a great supporter and has been committed towards

energy conservation not only for industry but the Government of Kenya at large. Addressing participants at the gala dinner, Kenya Power managing director Ben Chumo reaﬃrmed the company’s commitment to Buy Kenya Build Kenya. “Our long-term support is to actively open up opportunities for local investors who manufacture the materials and equipment that we use in our national distribution infrastructure,” said Dr Chumo. Recently Kenya Power purposely awarded contracts

worth Sh4.6 billion to local investors to put up 16 substations out of 36, under the Kenya Electricity Modernisation Project. “With a target of connecting 75 per cent of Kenyans by 2020, the ongoing generation capacity of 5,000MW, the future of this sector is bright,” he said. Kenya Power has launched a number of initiatives, including the Boresha Umeme and Boresha Stima Viwandani. D. Chumo made a call to manufacturers to partner with Kenya Power to build Kenya.

Kenya Power MD, Dr. Ben Chumo (left) recieving an apppreciation token from KAM Chairman Pradeep Paunrana.

Mzuri Sweets scoops the coveted Overall Energy Management Award Mzuri Sweets scooped the coveted overall Energy Management Award. The company also won the Best New Entrant and was Runners-up in the Fuel Oil Savings Awards. Other new categories recognised were Energy Award for the student category, Sustainable Building Team of the Year as well as the Lead Architect, won by Musau Kimeu.

Mzuri Sweets representative giving some remarks. Looking on is KAM Outgoing CEO Ms. Betty Maina.

Mzuri Sweets staﬀ with Kenya Power MD, Dr. Ben Chumo (centre).

Thursday April 16, 2015 | BUSINESS DAILY

SPECIAL ADVERTISING SECTION

Energy Management Awards 2015

Manufacturers who implement energy management measures save about 30 per cent from use of energy-eﬃcient measures. Prudent management of energy is key for all businesses to improve on their bottom line.

Winning moments for the “Energy Royals” – Kenafric Team with the Best Overall Energy Management Award (Runners Up).

Hall of Fame Award Category

Winner

Runners-Up

Overall energy management AwardLarge Energy Consumers

Mzuri sweets

1st Runner –up: Kenafric confectioneries 2nd Runner –up: BAT Nairobi

Overall energy management AwardMedium Scale Energy Consumers

Kanyenyaini Tea Factory

Premier food Industries

Best energy management team Award

Sarova Whitesands

Kenafric confectioneries

Fuel savings Award Large Energy Consumers

Spin Knit

Mzuri sweets

Fuel savings Award - Medium Scale Energy Consumers

Ole Nguroune Tea Factory

Beiersdorf

Electricity savings Award - Large Energy Consumers

Kenafric confectioneries

Mombasa Cement

Electricity savings Award (SME)

Sarova Shaba

Olenguruone Tea Factory

Service sector Award

Sarova Panafric

1st Runner –up: Sarova Whitesands 2nd Runner –up: Turtle Bay Beach Hotel

Sustained High Performance Award

Bamburi NGP

SpinKnit

Best New Entrant Award

Mzuri sweets

Olenguruone tea factory

The Technical committee Award for best Assessment tool presentation.

Bidco oil Reﬁneries Ltd

BAT Nairobi

BUSINESS DAILY | Thursday April 16, 2015

MARKET DATA Agro Commodities Market Early Morning wholesale commodity prices Date 14.04.2015 COMMODITY Unit Kg Nairobi Mombasa CEREAL Dry Maize Bag 90 2800 3000 Green Maize Ext Bag 115 3400 6800 Finger Millet Bag 90 7300 7900 Sorghum Bag 90 4000 3600 Wheat Bag 90 LEGUMES Beans Canadian Bag 90 6400 Beans Rosecoco Bag 90 6800 7000 Beans Mwitemania Bag 90 6400 6800 Mwezi Moja Bag 90 6400 Dolichos (Njahi) Bag 90 6800 8100 Green Gram Bag 90 12000 9900 Cowpeas Bag 90 7200 6300 Fresh Peas Bag 51 3800 6000 Groundnuts Bag 110 13000 13700 ROOTS & TUBERS Red Irish Potatoes Bag 50 3800 3600 White Irish Potatoes Bag 50 4000 4100 Cassava Fresh Bag 99 2100 1600 Sweet Potatoes Bag 98 3600 3300 VEGETABLES Cabbages Ext Bag 126 2800 3700 Cooking Bananas Med Bunch 22 540 750 Carrots Ext Bag 138 4200 6200 Tomatoes Lg Box 64 6300 6400 Onions Dry net 13 1100 1400 Kales Bag 50 3000 3500 Spring Onions Bag 142 2200 3800 Chillies Bag 38 3500 5700 Cucumber Bag 50 2400 2000 Capsicums Bag 50 3000 1500 Brinjals Bag 44 2100 1300 Cauliﬂower crate 39 2800 3900 Lettuce Bag 51 2600 4000 FRUITS Passion Fruits Bag 57 4800 5000 Oranges Bag 93 3400 3000 Lemons Bag 95 2800 2700 Ripe Bananas Med Bunch 14 620 450 Mangoes Local Bag 126 2700 Mangoes Ngowe Sm Basket 25 1100 1200 Limes net 13 900 850 Pineapples Dozen 13 720 630 Pawpaw Lg Box 54 2000 1200 Avocado Bag 90 2400 1600 OTHERS Eggs Tray 310 300

Commodities

Kisumu

Nakuru

Eldoret

3400 3000 7200 3600

2100 2000 6500 3150

2200 2200 7200 5400 3400

8000 7600

6400 6400 4900 4500 6000 10800 7200 5000 12500

13000 8200 2500 10800

A golden antique artifact, dating back to the 4th century BC, at the National History Museum in Soﬁa, Bulgaria. Exquisitely crafted gold, silver and bronze antique objects are on display at the Louvre museum in Paris this week, giving visitors a rare glimpse of the ancient Thracian culture that produced them. AFP

11250 11700 6300 2040 12600

4000

2500 2300

3000

2200

2700 300 5000 3500 1040 2000 1500 1400

350 2500 4500 850 3000 1500 3500

2400 1200 1600 5500 1500 1500 780

2600 1350

2500 2500 3000

2500

3000 3000 1600 300 2500 1800

5000 3200 2700 750 2800

3705 3300

900 1200 3300

480 2500 2500 280

Soﬁa

6750 6750

3500 3500 2100 2500

360

Ra≥e

Global Commodity Prices Effective date: 15th April 2015

600 2000 500

PCT.CHNG -10.13% -1.63% 0.73% 9.65% -0.19% -1.99% 1.40% -1.92% -8.89% -1.07% -1.28% 2.37% -4.40% 2.23% 0.65% 0.83% -0.83% 0.70% 1.18% 1.06% 11.07% 2.17% -3.08% -1.05% 2.36% -9.77% -4.62% -0.86% -4.19% 1.32% 0.82% -4.56% 0.15% -5.88% -4.04% 0.90% 2.22% -13.06% 1.48% -5.80% -7.40% -1.52% -6.88% -0.75% 9.99% 1.35%

OPEN 413.01 1,059.25 139.08 2,208.10 558.85 270.72 512.39 437.86 93.23 1,897.57 4,202.13 71.39 2,282.99 301.98 336.14 497.53 1,881.98 537.52 122.59 166.93 925.67 6,675.20 1,059.68 1,222.06 563.20 515.67 668.84 298.90 255.21 643.45 758.92 4,653.89 638.93 732.52 2,107.68 132.98 1,356.97 121.62 1,724.33 972.79 766.25 524.99 447.08 322.27 344.70 1,383.44

360

HIGH 413.01 1,059.25 139.08 2,208.10 558.85 270.72 512.39 437.86 93.23 1,897.57 4,202.13 71.39 2,282.99 301.98 336.14 497.53 1,881.98 537.52 122.59 166.93 925.67 6,675.20 1,059.68 1,222.06 563.20 515.67 668.84 298.90 255.21 643.45 758.92 4,653.89 638.93 732.52 2,107.68 132.98 1,356.97 121.62 1,724.33 972.79 766.25 524.99 447.08 322.27 344.70 1,383.44

CURRENCY LAST NET CHNG

COMMODITY

MSCI Emerging Markets Sector Indices LAST NET.CHNG 413.01 -46.54 1,059.25 -17.51 139.08 1.01 2,208.10 194.39 558.85 -1.08 270.72 -5.48 512.39 7.09 437.86 -8.58 93.23 -9.10 1,897.57 -20.46 4,202.13 -54.57 71.39 1.66 2,282.99 -105.06 301.98 6.58 336.14 2.18 497.53 4.10 1,881.98 -15.73 537.52 3.73 122.59 1.43 166.93 1.75 925.67 92.24 6,675.20 142.04 1,059.68 -33.67 1,222.06 -12.98 563.20 12.97 515.67 -55.84 668.84 -32.41 298.90 -2.60 255.21 -11.16 643.45 8.41 758.92 6.20 4,653.89 -222.25 638.93 0.98 732.52 -45.75 2,107.68 -88.74 132.98 1.19 1,356.97 29.42 121.62 -18.28 1,724.33 25.13 972.79 -59.87 766.25 -61.22 524.99 -8.11 447.08 -33.03 322.27 -2.43 344.70 31.30 1,383.44 18.37

MONEY MARKET FUND

SOFTS

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

NAME CI-UAE CI-AC AMER. CI-ASIA PAC CI-ARGENTINA CI-BRIC BRIC BRIC GROWTH BRIC VALUE CI-BAHRAIN CI-BRAZIL FREE CI-CHILE CI-CHINA FREE CI-COLOMBIA CI-CZECH REPUBLI CI-EAFE+EM CI-EU CI-EGYPT CI-AC EUROPE CI-C.FE CI-GOLD DRAGON CI-HUNGARY CI-INDON. FREE CI-INDIA CI-JOEG & MA CI-KOREA CI-KUWAIT CI-SRI LANKA CI-MOROCCO CI-EM E.EUROPE CI-EM FAR EAST CI-EM ASIA CI-EM EUROPE CI-MALAYSIA FREE CI-OMAN CI-PERU CI-AC PAC. CI-PHILIPP.FREE CI-PAKISTAN CI-POLAND CI-QATAR CI-RUSSIA CI-THAILAND FREE CI-TURKEY CI-TAIWAN CI-ISRAEL CI-SOUTH AFRICA

Effective date: 14th April 2015

AGRO COMMODITIES

910 3780 1800

LOW 413.01 1,059.25 139.08 2,208.10 558.85 270.72 512.39 437.86 93.23 1,897.57 4,202.13 71.39 2,282.99 301.98 336.14 497.53 1,881.98 537.52 122.59 166.93 925.67 6,675.20 1,059.68 1,222.06 563.20 515.67 668.84 298.90 255.21 643.45 758.92 4,653.89 638.93 732.52 2,107.68 132.98 1,356.97 121.62 1,724.33 972.79 766.25 524.99 447.08 322.27 344.70 1,383.44

CLOSE 459.55 1,076.76 138.07 2,013.71 559.92 276.20 505.31 446.43 102.33 1,918.03 4,256.70 69.74 2,388.05 295.41 333.97 493.43 1,897.71 533.79 121.16 165.18 833.43 6,533.16 1,093.36 1,235.04 550.23 571.51 701.25 301.50 266.38 635.03 752.73 4,876.14 637.95 778.27 2,196.42 131.80 1,327.55 139.90 1,699.20 1,032.66 827.47 533.10 480.11 324.70 313.40 1,365.07

Unit Trusts CURRENCY

DAILY YIELD EFFECTIVE ANNUAL RATE

OLD MUTUAL

7.33%

7.58%

BRITISH AMERICAN

10.97%

11.59%

CBA

9.05%

9.41%

UAP

10.66%

11.24%

SUGAR NO5

USD

371.40

-0.10

COFFEE

USD

173.00

-3.00

ICEA

10.42%

10.99%

COCOA

USD

2836.00

-12.00

AMANA

10.63%

11.16%

RUBBER

JPY

201.00

1.00

MADISON

9.76%

10.21%

FROZEN OJ CON1 USC

112.95

3.35

GENCAP HELA

11.05%

11.52%

-0.08

PAN AFRICA PESA+

10.85%

11.46%

COTTON NO2

USC

64.61

FIXED INCOME FUND

GRAINS

CURRENCY

BUY

SELL

114.56

110.55

USD

99.08

OLD MUTUAL / TOBOA

164.02

174.66

BRITISH AMERICAN

195.26

200.96

BA MANAGED RETIREMENT

143.09

144.30 124.09

GENCAP HAZINA

CORN

USC

371.25

-2.25

MAIZE EUR

EUR

155.75

1.25

WHEAT

USC

498.25

1.25

ROUGH RICE

USD

10.22

0.00

SOY BEANS

USC

963.00

2.75

AMANA

124.09

SOY BEAN OIL

USC

31.39

0.09

ICEA

144.12

151.7

132.99

128.34 69.03

OILSEEDS

NABO AFRICA BALANCED FUND

CANOLA

CAD

456.00

-0.20

GENCAP ENEZA

PALM OIL

MYR

2264.00

-8.00

MADISON

65.43

UAP

10.89

11.43

PAN AFRICA CHAMA+

10.60

10.93

USD

114.08

METALS & MINING SYMBOL CURRENCY 100 OZ GOLD

USD

NABO AFRICA LAST 1191.80

NET CHG -1.00

SILVER

JPY

60.00

0.00

HG COPPER

USC

2.71

0.00

PLATINUM

JPY

4412.00

-23.00

ALUMINIUM

CNY

13085.00

60.00

OIL& GAS SYMBOL

EQUITY FUND OLD MUTUAL

413.12

442.65

OLD MUTUAL EAST AFRICA FUND

161.38

170.80

AMANA

125.33

BRITISH AMERICAN

213.85

220.64

CBA

169.96

ICEA

152.38

160.4

GENCAP HISA

139.04

134.18

MADISON

52.22

69.03

UAP

CURRENCY

LAST

NET CHG

LIGHT CRUDE

USD

54.01

0.72

NO 2 HT OIL

USD

1.82

0.02

BRENT CRUDE

USD

59.23

0.80

GAS OIL

USD

555.50

9.75

NATURAL GAS

USD

2.53

0.00

KEROSINE

JPY

56010.00

120.00

10.89

11.43

USD

103.98

100.33

102.73

BRITISH AMERICAN

138.15

140.97

ICEA

98.49

99.48

UAP

10.82

PAN AFRICA PATA+

10.23

10.55

118.36

112.44

NABO AFRICA BOND FUND OLD MUTUAL BOND FUND

SHARIAH COMPLIANT GENCAP IMAN

Thursday April 16, 2015 | BUSINESS DAILY

MARKETDATA DATA MARKET

Eu≥ope sha≥es at 14-yea≥ high ahead of ECB policy ≥eview European shares hit a 14-year high yesterday before a meeting at which the European Central Bank is expected to aﬃrm its loose policy stance, as weak data from China raised prospects of monetary easing there too. Firmer commodity prices and merger news also helped hoist European stocks, and US stock index futures pointed to a ﬁrmer start on Wall Street, bucking a softer trend in Asia. Financial markets remain broadly driven by policy action from the world’s major central banks — German tenyear borrowing costs hit a record low at auction on Wednesday — and Tuesday’s softer US retail sales supported the view that the Federal Reserve will not rush to raise interest rates in June. The ECB is almost certain to keep rates unchanged at record lows at its meeting later in the day, and is also tipped to quash talk it might scale down sooner than planned the 1 trillion euro quantitative easing scheme it launched last month.

Performance Data earlier showed growth in China’s economy slowed to a six-year low of seven per cent in the first quarter — better than many feared after a woeful trade performance in March. But both retail sales and industrial output missed forecasts, intensifying Beijing’s struggle to find the right policy mix to shore up activity. “Unless one can make a very good case or suggestion that we’ll see a rebound in April or May then it does look as if more easing from the People’s Bank (of China) is on the cards,” said Investec chief economist Philip Shaw. The pan-European Eurofirst 300 index of leading shares rose 0.8 per cent to 1,653.62 points, its highest since late 2000. News that Finnish telecom equipment maker Nokia agreed to buy France’s Alcatel-Lucent helped the push higher. Britain’s FTSE 100 index hit a fresh high, helped by gains in fashion chain Next, retailer Dixons Carphone and drugs firm AstraZeneca. Earlier in Asia, Shanghai stocks were volatile, falling more than 1 percent after the data but recovering subsequently to be marginally positive for the day. Shanghai, which has been rising for six weeks running as investors have chosen to focus on the prospect of extra policy stimulus, looks overdue for some consolidation, some analysts say. - REUTERS

ACTIVE COUNTERS Scan Group

Williamson Tea 278.00 -0.71%

Jul ‘14

Apr15 81.36 3.42 2.52%

Earnings per share Price to earnings ratio (p/e) Dividend Yield

Kakuzi Uchumi Kenya

44.75 1.13%

Jul ‘14

Apr15 2.70 16.57 0.89%

Earnings per share Price to earnings ratio (p/e) Dividend Yield

EABL Eaagards

256.0018.80 Kenya Kenya 0.39% 2.17%

Kenya

Jul ‘14

Kenya

Apr15

244.00 35.75 7.49% 2.88%

Jul ‘14

Apr15

8.171.35 Earnings Earnings share perper share 13.93 31.33 Price to earnings ratio (p/e) Price to earnings ratio (p/e) 1.60% 1.46%

Earnings share Earnings perper share Price to earnings ratio (p/e) Price to earnings ratio (p/e) Dividend Yield Dividend Yield

Dividend Yield Dividend Yield

Jubilee

Limuru Kenya

Jul ‘14

Apr15

Earnings per share Price to earnings ratio (p/e) Dividend Yield

CLonghorn &G Kenya

-0.28 -3400.00 0.11%

30.25 8.35 -3.20% 0.00%

Jul ‘14

USE All Share

Jul ‘14

Apr15

Jul ‘14

Apr15

Kenya Kenya

Jul ‘14

Apr15

44.75 -0.56%

11.75 720.00 0.00% 4.50%

Jul ‘14

Apr15 3.65 12.26 1.68%

Earnings per share Price to earnings ratio (p/e) Dividend Yield

Mumias KPLC Kenya

Apr15

14.452.15 0.35% -2.27%

Jul ‘14

Apr15

-6.35 per share 42.55 Earnings Earnings per share -1.85 to earnings ratioratio (p/e)(p/e) to earnings 16.92 PricePrice 0.00% YieldYield Dividend 5.90% Dividend

2.23 -1.77 6.48 -1.21 0.00% 0.00%

RSE All Share Rwanda

137.14 0.00%

34,971.45 -0.20%

2,728.57 -0.36%

Jul ‘14

48.00 11.88 1.49%

Nigeria

Tanzania

2,079.00 0.87%

53,678.62 0.69%

BAT Airways Kenya

Apr15

NGSE All share

DSE All Share

Uganda

South Africa

Earnings per share Price to earnings ratio (p/e) Dividend Yield

per share 1.627.48 Earnings Earnings per share Price to earnings ratio (p/e) 5.154.04 Price to earnings ratio (p/e) Yield 2.64% Dividend Dividend Yield 23.95%

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

Jul ‘14

Apr15

Earningsper pershare share -1.30 8.82 Earnings Pricetotoearnings earningsratio ratio(p/e) (p/e) -27.50 27.66 Price DividendYield Yield 0.00% 2.25% Dividend

Unga 570.00 0.18%

952.00 0.00%

Apr15

Jul ‘14

Apr15

World DJ Industrial

Xetra Dax 12,273.18 0.37%

18,036.70 0.33%

Jul ‘14

Apr15

Jul ‘14

Nikkei

HangSeng

Frankfurt

New York

Apr15

Mumbai 19,869.76 -0.20%

27,618.82 0.21%

Jul ‘14

Sensex

Tokyo

Hongkong

Jul ‘14

Apr15

29,004.36 -0.14%

Jul ‘14

Apr15

BUSINESS DAILY | Thursday April 16, 2015

MARKET DATA African Indices

Nairobi Stocks

NAME

NSE 20 Share Index

5,126.02 -0.04%

Nairobi

LOCATION

LAST

OPEN

HIGH

LOW

KENYA

5,126.02

-2

-0.04%

5,128.02

-4.8

-0.08%

6,102.76

6,106.71

6,102.76

6,107.56

0.69%

53,367.13

53,713.56

53,343.60

53,311.46

NSE 20 - SHR IDX LUSE ALL SHARE INDEX

5,600.00

JSE ALL SHARE INDEX

ZAMBIA

6,102.76

SOUTH AFRICA

53,678.62

NET.CHNG

367.16

PCT.CHNG

5,500.00

ALSIUG

UGANDA

2,079.00

0.87%

2,061.00

5,400.00

ZSE INDUSTRIAL

ZIMBABWE

156.92

-0.71

-0.45%

157.63

5,300.00

CFG INDEX

MOROCCO

21,109.45

36.73

0.17%

21,115.21

21,109.45

21,072.72

5,200.00

MALAWI ALL SHR

MALAWI

15,516.66

8.01

0.05%

15,508.65

5,100.00

DSE ALL SHR IDX

TANZANIA

2,728.57

-9.92

-0.36%

2,738.49

5,000.00

NSE ALL SHARE/D

NIGERIA

34,971.45

-70.88

-0.20%

35,042.33

35,084.52

34,971.45

35,042.33

4,900.00

EGX 30 IDX/D

4,800.00

TUN MAIN INDEX July ‘14

March ‘15

RSE ALLSHARE IND

171.07 0.17%

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

1,237.32 0.00%

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 fri

Price

Change

Total Shares Traded

Safaricom

16.30

16.10

1.24%

2,169,800

Equity

46.00

47.75

-3.66%

1,926,000

Mumias

2.15

2.20

-2.27%

1,278,300

EA Cables

15.50

15.55

-0.32%

1,051,800

Barclays

15.85

15.95

-0.63%

675,500

Gainers Last fri

Prev fri

Net

Price

EAPC

59.50

54.50

5.00

9.17%

720.00

689.00

31.00

4.50%

Standard Grp

35.00

34.00

1.00

2.94%

Eaagads

35.75

34.75

1.00

2.88%

347.00

342.00

5.00

1.46%

Counter

Last fri Price

Prev fri price

Equity

46.00

47.75

-1.75

-3.66%

3.00

3.10

-0.10

-3.23%

Flame Tree Grp Hoc 9.10

9.40

-0.30

-3.19%

NBK

23.00

23.75

-0.75

-3.16%

5.55

5.70

-0.15

-2.63%

Stan. Chart.

Price

Change

Counter

BAT Kenya

Chng

Losers

Home Africa

Express (K)

8,896.68

-30.85

-0.35%

8,926.95

8,977.62

8,896.68

8,927.53

5,435.26

29.01

0.54%

5,409.43

5,440.72

5,408.43

5,406.25

RWANDA

137.14

0.00%

137.14

Daily Share Report

All Share Index (NASI)

Counter

EGYPT TUNISIA

Net Change

MARKET UPDATES

% Chng

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 65.50 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 7.35 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 72.00 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 16.00 TRANSCENTURY INVESTMENT SERVICES 15.00 NAIROBI SECURITIES EXCHG 28.00 MANUFACTURING & ALLIED 11.10 11.10 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 17.50 11.75 SAFARICOM GROWTH AND ENTERPRISE MARKET SEGMENT ATLAS DEVPT & SUPPORT LTD 13.75 11.00 8.00 FLAME TREE GROUP HOLDINGS 14.00 5.80 2.90 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

-17.26% 41.67% -5.11% 23.48% 0.00% 32.30% 12.90%

35.75 256.00 130.00 952.00 27.50 16.70 278.00

34.75 255.00 130.00 952.00 27.50 17.00 280.00

2.88% 0.39% 0.00% 0.00% 0.00% -1.76% -0.71%

6,900 1,600 200 111,800 3,000

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

1,149,612,750.0 5,017,599,744.0 508,560,000.0 1,142,400,000.0 1,650,000,000.0 3,808,526,850.0 2,434,256,960.0

-1.30 8.17 32.21 -0.28 5.85 0.54 81.36

-27.50 31.33 4.04 -3400.00 4.70 30.93 3.42

2.86 1.73 0.37 4.64 0.74 0.60 0.38

0.00 3.75 5.00 1.00 0.00 0.25 7.00

0.00% 1.46% 3.85% 0.11% 0.00% 1.50% 2.52%

-16.67% 21.43% -12.50%

45.50 11.90 5.30

45.00 11.90 5.25

1.11% 0.00% 0.95%

1,300 6,600

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

1,824,700,514.0 171,277,961.4 1,475,214,682.9

6.57 -11.90 -0.24

6.93 -1.00 -22.08

0.87 0.44 0.63

0.60 0.00 0.00

1.32% 0.00% 0.00%

-4.49% 1.61% -2.13% -4.50% -24.04% 0.00% 13.16% -4.04% -0.87% 2.09% 7.50%

15.85 125.00 230.00 46.00 34.50 121.00 65.00 23.00 57.00 347.00 21.50

15.95 126.00 230.00 47.75 34.75 123.00 64.50 23.75 57.00 342.00 21.50

-0.63% -0.79% 0.00% -3.66% -0.72% -1.63% 0.78% -3.16% 0.00% 1.46% 0.00%

675,500 8,100 38,800 1,926,000 110,700 1,100 471,200 11,600 140,400 58,900 411,000

5,431,536,000 395,321,638 242,110,105 3,702,777,020 352,416,667 392,362,039 2,984,227,692 280,000,000 639,945,603 309,159,514 4,889,316,295

86,089,845,600.0 49,415,204,750.0 55,685,324,150.0 170,327,742,920.0 12,158,375,011.5 47,475,806,719.0 193,974,799,980.0 6,440,000,000.0 36,476,899,371.0 107,278,351,358.0 105,120,300,342.5

1.54 14.38 21.92 4.55 4.21 13.56 5.63 3.11 7.07 33.21 1.64

10.29 8.69 10.49 10.11 8.19 8.92 11.55 7.40 8.06 10.45 13.11

2.66 2.14 2.42 3.30 1.33 2.17 3.03 0.52 1.76 2.96 2.45

1.00 6.15 2.40 1.80 1.50 2.90 2.00 0.00 1.00 17.00 0.50

6.31% 4.92% 1.04% 3.91% 4.35% 2.40% 3.08% 0.00% 1.75% 4.90% 2.33%

-8.06% 0.00% -13.79% -9.73% -10.65% -2.21% -2.16% -8.78% 3.98%

5.55 20.25 7.45 8.35 235.00 44.75 35.00 33.75 10.40

5.70 20.25 7.50 8.35 235.00 44.25 34.00 33.75 10.45

-2.63% 0.00% -0.67% 0.00% 0.00% 1.13% 2.94% 0.00% -0.48%

5,000 131,600 14,300 4,000 113,100 500 22,100 40,100

35,403,790 360,000 1,496,469,035 243,750,000 188,542,286 378,865,102 81,731,808 182,174,108 364,959,616

196,491,034.5 7,290,000.0 11,148,694,310.8 2,035,312,500.0 44,307,437,210.0 16,954,213,314.5 2,860,613,280.0 6,148,376,145.0 3,795,580,006.4

0.01 -18.34 -2.25 1.62 13.10 2.70 2.57 3.45 1.45

555.00 -1.10 -3.31 5.15 17.94 16.57 13.62 9.78 7.17

0.99 #DIV/0! 3.56 1.13 5.42 2.07 1.58 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% 23.95% 4.26% 0.89% 1.43% 4.00% 2.88%

-11.05% 10.79% -4.50% -4.01% -6.03%

76.50 151.00 106.00 15.50 59.50

76.50 154.00 106.00 15.55 54.50

0.00% -1.95% 0.00% -0.32% 9.17%

27,700 500 25,300 1,051,800 500

495,275,000 37,888,537,500.0 362,959,275 54,806,850,525.0 23,727,000 2,515,062,000.0 253,125,000 3,923,437,500.0 90,000,000 5,355,000,000.0

3.01 9.80 9.01 1.37 -4.30

25.42 15.41 11.76 11.31 -13.84

4.66 1.89 1.85 1.63 1.11

0.60 12.00 1.75 1.00 0.00

0.78% 7.95% 1.65% 6.45% 0.00%

-2.43% 1.72% 17.99% 0.00% -14.52%

10.00 8.90 17.15 23.50 17.95

10.05 8.85 17.05 24.00 17.95

-0.50% 0.56% 0.59% -2.08% 0.00%

51,800 191,200 134,300 13,600 400

2,198,361,456 21,983,614,560.0 1,471,761,200 13,098,674,680.0 1,951,467,045 33,467,659,821.8 175,028,706 4,113,174,591.0 1,623,878,005 29,148,610,189.8

1.29 0.74 3.31 2.26 1.34

7.75 12.03 5.18 10.40 13.36

0.32 1.96 0.77 0.81 3.18

0.40 0.20 0.50 0.70 0.90

4.00% 2.25% 2.92% 2.98% 5.03%

-14.29% -4.17% 26.44% 7.92% 1.08% 5.00%

25.50 9.10 570.00 18.10 23.25 127.00

25.50 9.20 569.00 18.40 23.50 126.00

0.00% -1.09% 0.18% -1.63% -1.06% 0.79%

434,300 664,300 96,100 129,400 2,900 2,700

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

49,429,603,869.0 23,801,400,604.8 34,140,150,000.0 12,669,078,130.8 12,455,199,351.8 12,192,000,000.0

1.47 0.43 48.00 4.48 2.14 9.07

17.35 21.16 11.88 4.04 10.86 14.00

2.85 2.94 3.19 0.71 2.35 3.65

0.30 0.10 8.50 0.70 0.50 0.00

1.18% 1.10% 1.49% 3.87% 2.15% 0.00%

-1.64% 11.54% -12.14%

59.50 5.75 16.95

60.00 5.80 17.00

-0.83% -0.86% -0.29%

114,500 6,500 60,200

665,441,775 39,593,785,612.5 40,000,000 230,000,000.0 280,284,476 4,750,821,868.2

4.54 0.38 1.06

13.11 15.13 15.99

1.95 0.29 0.89

0.00 0.00 0.40

0.00% 0.00% 2.36%

19.60

0.00%

171,200

194,625,000

3,814,650,000.0

2.13

9.20

5.23

0.38

1.94%

0.00% 8.00% -24.12% -2.30% 9.42% 6.76% 0.00% 12.82% 13.21%

11.10 135.00 720.00 20.75 337.00 3.85 110.00 2.15 44.75

11.10 135.00 689.00 21.25 337.00 3.95 110.00 2.20 45.00

0.00% 0.00% 4.50% -2.35% 0.00% -2.53% 0.00% -2.27% -0.56%

19,300 5,700 122,500 17,000 1,278,300 15,100

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 5,288,178,751.0 790,774,356 266,490,957,972.0 210,000,000 808,500,000.0 12,868,124 1,415,493,640.0 1,530,000,000 3,289,500,000.0 75,708,873 3,387,972,066.8

-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 41.05 -4.53 733.33 -1.21 12.26

#VALUE! 1.81 9.51 3.20 9.76 2.50 578.95 0.31 0.72

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% 1.63% 0.00% 0.00% 0.00% 1.68%

14.59%

16.30

16.10

1.24%

2,169,800

40,065,428,000 653,066,476,400.0

0.57

28.60

8.15

0.47

2.88%

-24.39% -

11.00 9.10 3.00 1500.00

11.00 9.40 3.10 1500.00

0.00% -3.19% -3.23% 0.00%

1,500 9,300 297,400 -

-0.04 0.92 0.05 -62.40

-275.00 9.89 60.00 -24.04

0.00 0.92 0.00 0.00

0.00% 10.12% 0.00% 0.00%

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

4,763,695,123.0 1,472,987,916.4 1,215,765,960.0 153,408,000.0

#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.

Thursday April 16, 2015 | BUSINESS DAILY

MARKET DATA

MARKET DATA Equities & Bonds Kenya Treasury and Infrastructure Bonds

Share Price Performance Scorecard SCORECARD AS AT 15TH 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 11.00 76.50 154.00 15.95 689.00 135.00 25.50 45.00 21.25 60.00 126.00 9.20 21.50 106.00 230.00 15.55 54.50 34.75 337.00 47.75 3.95 5.70 9.40 280.00 20.25 3.10 34.75 123.00 569.00 255.00 130.00 110.00 10.05 7.50 64.50 8.85 17.05 18.40 1500.00 23.50 952.00 8.35 11.90 2.20 19.60 235.00 23.75 57.00 5.80 126.00 27.50 16.10 5.25 17.00 44.25 34.00 342.00 24.00 33.75 17.00 10.45 45.00

CLOSE 11.10 11.00 76.50 151.00 15.85 720.00 135.00 25.50 45.50 20.75 59.50 125.00 9.10 21.50 106.00 230.00 15.50 59.50 35.75 337.00 46.00 3.85 5.55 9.10 278.00 20.25 3.00 34.50 121.00 570.00 256.00 130.00 110.00 10.00 7.45 65.00 8.90 17.15 18.10 1500.00 23.25 952.00 8.35 11.90 2.15 19.60 235.00 23.00 57.00 5.75 127.00 27.50 16.30 5.30 16.70 44.75 35.00 347.00 23.50 33.75 16.95 10.40 44.75

% 1D 0.00 0.00 0.00 -1.95 -0.63 4.50 0.00 0.00 1.11 -2.35 -0.83 -0.79 -1.09 0.00 0.00 0.00 -0.32 9.17 2.88 0.00 -3.66 -2.53 -2.63 -3.19 -0.71 0.00 -3.23 -0.72 -1.63 0.18 0.39 0.00 0.00 -0.50 -0.67 0.78 0.56 0.59 -1.63 0.00 -1.06 0.00 0.00 0.00 -2.27 0.00 0.00 -3.16 0.00 -0.86 0.79 0.00 1.24 0.95 -1.76 1.13 2.94 1.46 -2.08 0.00 -0.29 -0.48 -0.56

% 5D 0.00 -2.65 -3.16 1.34 -3.65 -9.89 1.50 2.00 -8.08 0.00 -1.65 -0.79 -4.21 2.38 -10.92 -1.71 -0.96 0.00 3.62 4.01 -7.07 4.05 -1.77 -2.15 -0.71 0.00 -14.29 -3.50 -4.72 -0.18 -8.57 0.00 -1.79 -6.10 0.00 5.69 -1.66 -0.87 -2.95 0.00 -7.00 -4.13 -0.60 0.00 -6.52 0.26 -2.08 -4.17 0.00 2.68 4.96 0.00 2.19 -4.50 10.60 1.13 0.00 3.27 -6.00 -1.46 -7.12 0.48 4.07

% 1M 0.00 -4.35 -10.00 -7.36 -7.04 -13.36 -8.78 -6.42 -14.15 -3.49 0.85 0.81 -3.19 7.50 -13.82 -4.96 -0.96 -0.83 -4.03 10.86 -11.54 -7.23 -7.50 -2.15 -2.11 0.00 -3.23 -10.97 -2.42 4.01 -11.42 -7.80 -4.35 -9.91 -19.89 9.24 -11.44 -6.28 -2.69 0.00 -6.06 -15.30 -7.22 -2.46 -18.87 0.26 -5.24 -7.07 -8.06 -4.17 -4.51 0.00 3.16 -14.52 7.05 -5.79 -14.11 -2.25 -14.55 2.27 -4.51 6.67 -4.28

% 3M 0.00 -9.09 -5.56 -0.66 -2.46 -20.00 -2.17 -12.82 -12.50 -6.74 -9.16 -0.79 -5.70 12.57 -9.40 -2.13 -2.52 7.21 -13.33 10.86 -9.80 1.32 -7.50 8.98 -1.07 0.00 -25.00 -22.91 -3.20 25.83 28.00 -13.33 0.00 3.09 -21.16 12.07 -4.30 12.09 1.97 0.00 1.09 23.48 -18.54 6.25 -27.12 -5.54 -16.37 -14.02 -10.94 -8.00 8.55 0.00 11.64 -17.83 28.96 -4.28 -9.68 2.36 -12.15 -8.16 -5.83 -3.70 11.18

% 6M 0.00 -14.53 -4.43 -7.04 -27.93 -15.09 -12.82 -8.54 -21.70 -0.83 -0.79 -14.95 -1.15 -10.92 -11.20 -6.34 -15.60 -15.88 22.99 -6.60 -2.53 -26.00 -7.33 0.00 0.00 -24.59 -10.37 35.07 21.90 -13.33 -18.52 -14.89 -14.86 11.11 -9.18 13.95 -0.28 3.33 8.39 -61.16 13.33 10.26 -10.91 -24.44 -14.81 -18.57 85.48 1.60 0.00 29.88 -19.08 16.38 -2.72 -0.71 2.06 -15.32 -6.90 0.00 5.58 0.00

% 1Y 0.00 -10.00 -20.53 -2.16 24.78 -10.00 40.11 45.60 -38.97 53.55 13.64 0.00 6.17 25.44 0.88 0.00 -36.02 27.68 24.81 42.64 20.31 19.35 12.10 0.00 0.00 -4.83 0.00 87.50 115.13 -7.14 1900.00 -15.25 -41.80 37.57 -5.82 14.72 -5.97 24.33 53.55 -34.25 17.82 -32.81 -24.19 -17.86 -8.06 32.18 -1.55 0.00 24.43 -22.06 -2.62 -6.77 26.13 9.12 3.30 -19.64 0.00 -27.27 88.42

BONDS LISTED AT THE NAIROBI SECURITIES EXCHANGE

APRIL 15TH 2015

ISSUE

MATURITY

ISSUED VALUE COUPON

DATE

IN MILLIONS

(%)

TRADED YIELD

ISSUE NO.

PREVIOUS PRICE (%)

TOTAL VALUE TRADED (KSHS)

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

100.3563

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

100.1729

FXD 3/2014/2YR

22-DEC-14

19-DEC-16 8,905.12

10.8900

100.2546

FXD 1/2015/2YR

23-JAN-15

20-FEB-17 23,592.55

11.4700

100.9404

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

FXD 1/2013/5YR

29-APR-13

23-APR-18 20,240.75

12.8920

FXD 2/2013/5YR

1-JUL-13

25-JUN-18 26,340.05

11.3050

100.3825

98.5816 11.3000

103.2560

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

115,000,000

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

97.5365

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 102.1640

13,504.70

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

FXD 1/2014/10YR

27-JAN-14

15-JAN-24 30,520.25

12.1800

25-SEP-06

11-SEP-17

4,031.40

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

100.5707 12.3000

99.8509

200,000,000

ELEVEN YEAR BONDS FXD1/2006/11YR TWELVE YEAR BONDS

Corporate Bonds APRIL 15TH 2015

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

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

TOTAL VALUE TRADE (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

FXD1/2010/15YR

29-MAR-10

10-MAR-25 20,823.73

10.2500

9,420.45

102.7808 12.4000

87.1227

500.00 4,239.70 760.30

12.7500 12.7500

100.7057 100.0000

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

89.7601

1,300 700

11.5000

99.4819 85.5534

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

95.5914

112.6478

100,000,000

621.50 1,378.50

13.0000

100.0000 100.0000

97.91 2,402.09

100.0000 100.0000

FXD1/2008/20YR

30-JUN-08

5-JUN-28

20,360.95

13.7500

12.5000

FXD1/2011/20YR

30-MAY-11

5-MAY-31

9,365.80

10.0000

15,625

12.5000

100.0150

FXD1/2012/20YR

26-NOV-12

1-NOV-32

43,082.72

12.0000

13.0553

92.7888

50,000,000

FXD1/2012/20YR

26-NOV-12

1-NOV-32

43,082.72

12.0000

13.0000

92.7888

200,000,000

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

200.00 4,287.00 2,969.10 1,166.50 5,864.40

8.0000

93.8370 103.0000

13.0000

100.0000

8.5000

100

3,429.00 226.00

12.8000

100.0000

6,000.00

13.0000

96.8124

TWENTY YEAR BOND

79.8372

TWENTY FIVE YEAR BOND FXD1/2010/25YR THIRTY 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 88.4106

2,000.00

13.0000

99.9807

5,514.50

12.5000

100.0000

IFB 2/2010/9YR

31-AUG-10

19-SEP-19 32,871.55

6.0000

5,000.00

13.0000

100.0000

IFB 1/2011/12YR

3-OCT-11

18-SEP-23 43,447.35

12.0000

102.3228

IFB 1/2013/12YR

30-SEP-13

15-SEP-25 38,841.68

11.0000

99.0986

IFB 1/2014/12YR

27-OCT-14

12-OCT-26 35,060.55

11.0000

IFB 1/2015/12YR

30-MAR-15

15-MAR-27 25,695.35

11.0000

5,080.00

12.9500

100.0000

7,000.00

12.7500

100.0000

9,047.35

12.2500

100.2003

98.4647 11.4000

97.5194

345,000,000

BUSINESS DAILY | Thursday April 16, 2015

MARKET DATA Global Markets & Currencies Kenya Shilling CURRENCY US DOLLAR STG POUND EURO SA RAND KES / USHS KES / TSHS KES / RWF KES / BIF AE DIRHAM CAN $ S FRANC JPY (100) SW KRONER NOR KRONER DAN KRONER IND RUPEE HONGKONG DOLLAR SINGAPORE DOLLAR SAUDI RIYAL CHINESE YUAN AUSTRALIAN $

BUY 93.30 137.57 99.24 7.74 32.10 20.01 7.33 16.70 25.40 74.71 95.76 77.94 10.62 11.70 13.28 1.49 12.04 68.41 24.87 15.03 70.86

SELL 93.45 137.90 99.41 7.76 32.26 20.15 7.43 16.95 25.44 74.86 95.97 78.10 10.64 11.73 13.31 1.50 12.06 68.54 24.92 15.06 71.03

MEAN 93.38 137.74 99.32 7.75 32.18 20.08 7.38 16.82 25.42 74.79 95.86 78.02 10.63 11.72 13.30 1.50 12.05 68.47 24.90 15.05 70.95

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

FTSE 100

Europe’s Blue Chips

Currencies

BID 1.06 119.46 1.47 0.98 0.76 1.25 8.80 7.95 1.81 7.05 50.59 2.70 137.51 62.43 3.79 25.85 279.56 21.00 3.98 132.05 1.85 59.99 0.40 11.70 2.23 1.48 7.16 185.82 2.85 0.51 17.90 57.87 3.41 4.17 21.55 113.25 469.90 3.67 108.50 1,545.00 0.10 913.00 102.58 6.20 176.55 98.66 7.63 20.37 3.81 42.60 15.00 7,000.01 685.00 93.25 457.00 84.00 12.08 1.37 10.05 3,110.00 288.00 430.80 34.83 198.50 13.09 200.02 2,025.50 1.53 4,345.00 22,445.00 705.00 12.08 32.42 1.98 1,885.00 2,999.00 619.53 619.53 36.15 12.10 378.00

ASK 1.06 119.49 1.47 0.98 0.76 1.25 8.81 7.96 1.86 7.05 50.69 2.70 137.84 62.44 3.79 25.90 279.80 21.50 3.98 132.80 1.85 60.19 0.40 11.71 2.25 1.48 7.16 185.85 2.85 0.51 18.25 58.47 3.42 4.18 21.60 113.75 472.90 3.67 109.50 1,595.00 0.10 943.00 104.08 6.21 99.07 7.63 20.57 3.85 43.60 15.50 7,500.01 696.00 93.45 458.00 85.00 12.12 1.37 10.07 3,209.00 294.00 448.83 37.19 198.60 13.86 201.02 2,035.60 1.54 4,445.00 23,836.00 712.00 12.13 32.43 1.98 1,895.00 3,009.00 624.53 624.53 36.35 12.10 381.00

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

COUNTRY

INDUSTRY

LAST

1-WK

YTD

52-WK

LLOYDS BANKING GROUP PLC

UNITED KINGDOM

BANKS

79.9

0.5

0.63

0.76

5.4

10.09

TELEFONICA S.A.

SPAIN

FIXED LINE TELECOMMUNICATIONS

13.53

0.06

0.45

2.58

13.5

17.36

BRITISH AMERICAN TOBACCO

UNITED KINGDOM

TOBACCO

3677.5

15.5

0.42

-1.04

5.1

6.56

NATIONAL GRID

UNITED KINGDOM

MULTIUTILITIES

905.8

3.1

0.34

-0.19

-1.3

11.35

ROYAL DUTCH SHELL A

UNITED KINGDOM

INTEGRATED OIL&GAS

2045.5

0.34

0.94

-5

-7.59

RECKITT BENCKISER GRP

UNITED KINGDOM

NONDURABLE HOUSEHOLD PRODUCTS

6091

0.15

-0.41

16.9

26.03

ABB

SWITZERLAND

INDUSTRIAL MACHINERY

21.17

0.03

0.14

0.43

0.1

-5.83

ENI

ITALY

INTEGRATED OIL&GAS

17.13

0.02

0.12

0.65

18.1

-7.2

VODAFONE GROUP

UNITED KINGDOM

MOBILE TELECOMMUNICATIONS

229.35

0.15

0.07

0.02

7.7

BT GROUP PLC

UNITED KINGDOM

FIXED LINE TELECOMMUNICATIONS

456

UNCH.

...

0.3

13.6

28.02

NESTLE

SWITZERLAND

FOOD PRODUCTS

75.55

UNCH.

...

-0.46

3.6

12.85

BP PLC

UNITED KINGDOM

INTEGRATED OIL&GAS

470.95

-0.05

-0.01

-0.28

14.6

-0.76

TOTAL

FRANCE

INTEGRATED OIL&GAS

48.73

-0.03

-0.06

0.43

14.6

-0.75

UNILEVER

UNITED KINGDOM

FOOD PRODUCTS

2911

-2

-0.07

-0.82

10.8

9.31

CREDIT SUISSE GROUP AG

SWITZERLAND

BANKS

27.01

-0.04

-0.15

-0.41

7.7

-2.88

NOVARTIS AG

SWITZERLAND

PHARMACEUTICALS

100.4

-0.2

-0.99

8.7

35.95

UBS GROUP

SWITZERLAND

BANKS

18.92

-0.04

-0.21

-0.63

10.7

7.99

HSBC HLDGS

UNITED KINGDOM

BANKS

616.3

-1.7

-0.28

0.69

1.3

-0.82

L’AIR LIQUIDE

FRANCE

COMMODITY CHEMICALS

121.9

-0.35

-0.29

-0.57

18.5

24.41

ROCHE HOLDING PART. CERT.

SWITZERLAND

PHARMACEUTICALS

277

-0.9

-0.32

-0.47

2.6

8.97

DIAGEO

UNITED KINGDOM

DISTILLERS&VINTNERS

1934

-6.5

-0.33

-0.23

4.6

0.89

GLAXOSMITHKLINE

UNITED KINGDOM

PHARMACEUTICALS

1628.5

-5.5

-0.34

-0.82

18.4

5.54

BG GRP

UNITED KINGDOM

INTEGRATED OIL&GAS

1173

-4

-0.34

0.43

35.6

4.73

FINANCIERE RICHEMONT

SWITZERLAND

CLOTHING&ACCESSORIES

83.65

-0.3

-0.36

-0.95

-5.8

-3.35

UNILEVER CVA

NETHERLANDS

FOOD PRODUCTS

40.58

-0.2

-0.48

-0.78

24.3

31.09

ZURICH INSURANCE GROUP

SWITZERLAND

FULL LINE INSURANCE

309.9

-1.5

-0.48

-1.49

-0.6

25.41

SAP

GERMANY

SOFTWARE

68.79

-0.34

-0.49

-0.38

18.1

19.43

DEUTSCHE TELEKOM

GERMANY

MOBILE TELECOMMUNICATIONS

17.49

-0.12

-0.65

-0.03

55.59

ALLIANZ SE

GERMANY

FULL LINE INSURANCE

168.35

-1.15

-0.68

-0.8

22.6

41.11

ANHEUSER-BUSCH INBEV

BELGIUM

BREWERS

117.5

-1

-0.84

-0.47

25.2

50.89

PRUDENTIAL

UNITED KINGDOM

LIFE INSURANCE

1681

-15.5

-0.91

-2.04

12.7

29.36

AXA

FRANCE

FULL LINE INSURANCE

24.16

-0.25

-1.04

-1.29

25.8

31.84

SANOFI SA

FRANCE

PHARMACEUTICALS

97.92

-1.06

-1.07

-0.84

29.4

30.51

BASF

GERMANY

COMMODITY CHEMICALS

94.84

-1.05

-1.1

-1.94

35.7

21.26

SIEMENS

GERMANY

DIVERSIFIED INDUSTRIALS

102.5

-1.15

-1.11

-0.92

9.3

6.38

BAYER

GERMANY

SPECIALTY CHEMICALS

143.2

-2

-1.38

-2.05

26.7

52.94

DAIMLER

GERMANY

AUTOMOBILES

86.93

-1.24

-1.41

-1.94

31.27

DEUTSCHE BANK

GERMANY

BANKS

32.73

-0.47

-1.42

-1.1

3.14

BNP PARIBAS

FRANCE

BANKS

56.8

-0.82

-1.42

-0.79

15.3

3.84

BANKS

9.56

-0.15

-1.6

-0.03

22.9

11.32

BANCO BILBAO VIZCAYA ARGN SPAIN

CHG % CHG

Global Indices NAME

LOCATION

LAST

NET.CHNG PCT.CHNG

OPEN

HIGH

LOW

DJ INDU AVERAGE

NEW YORK

18,036.70

59.66

FTSE EUROTOP 100

LONDON

3,310.88

25.34

0.33%

17,979.11

18,075.60

17,905.48

17,977.04

0.77%

3,287.89

3,317.46

3,287.40

XETRA DAX PF/D

FRANKFURT

12,273.18

3,285.54

45.58

0.37%

12,220.10

12,326.14

12,214.81

12,227.60

CAC 40 INDEX/D

PARIS

FTSE MIB/D

MILAN

5,248.41

30.35

0.58%

5,230.98

5,258.51

5,217.04

5,218.06

23,941.71

188.8

0.79%

23,804.71

23,995.78

23,787.77

23,752.91

SMI PR/D

SWITZERLAND 9,460.80

45.18

0.48%

9,454.11

9,470.05

9,428.90

9,415.62

HANG SENG INDE/D

HONG KONG

27,618.82

57.33

0.21%

27,693.25

27,807.98

27,442.52

27,561.49

NIKKEI 225 INDEX

TOKYO

19,869.76

-38.92

-0.20%

19,838.53

19,913.42

19,823.86 19,908.68

ALL ORDINARIES

AUSTRALIA

5,877.33

-38.911

-0.66%

5,916.20

5,927.80

5,864.30

5,916.24

STRAITS TIMES/D

SINGAPORE

3,539.95

18.87

0.54%

3,532.70

3,544.51

3,528.56

3,521.08

SSE COMPOSITE/D

SHANGHAI

4,083.28

-52.28139

-1.26%

4,135.65

4,175.49

4,069.01

4,135.57

S&P SENSEX/D

MUMBAI

29,004.36

-40.08

-0.14%

29,087.25

29,094.61

28,918.74 29,044.44

NAME ANGLO AMERICAN/D ASSOC.BR.FOODS/D ADMIRAL GROUP/D ABDN.ASSET.MAN/D AGGREKO/D ANTOFAGASTA/D ARM HOLDINGS/D ASHMORE/D AVIVA PLC/D ASTRAZENECA/D BAE SYSTEMS/D BARCLAYS/D BRIT AM TOBACC/D BG GROUP/D BR LAND CO/D BHP BILLITON/D BUNZL/D BP/D BURBERRY GRP/D BT GROUP/D CARNIVAL/D CENTRICA/D COMPASS GROUP/D CAPITA PLC/D CRODA INTL/D CRH/D DIAGEO/D MAN GROUP/D EVRAZ PLC/D EXPERIAN/D FRESNILLO/D G4S/D GKN/D GLENCORE/D GLAXOSMITHKLIN/D HAMMERSON/D HARGREAVES LS/D HSBC HOLDINGS/D ICAP PLC/D IAG/D INTERCONT HOTE/D IMI PLC/D IMPERIAL TOBAC/D INTERTEK GROUP/D ITV/D JOHNSON MATTHE/D KAZ MINERALS/D KINGFISHER/D LAND SECS GROU/D LEGAL & GENERA/D LLOYDS BNK GRP/D MEGGITT PLC/D MARKS & SP./D MORRISON SUPMK/D NATIONAL GRID/D NEXT/D OLD MUTUAL/D PETROFAC/D POLYMETAL INT/D PRUDENTIAL/D PEARSON/D RECKIT BNCSR G/D ROYAL BANK SCO/D ROYAL DTCH SHL/D REED ELSEVIER/D ROYAL DTCH SHL/D REXAM/D RIO TINTO/D ROLLS ROYCE PL/D RANDGOLD RES./D RSA INSRANCE G/D SABMILLER/D SAINSBURY(J)/D SCHRODERS/D SCHRODERS NV/D SAGE GROUP/D SHIRE/D STANDARD LIFE/D SMITHS GROUP/D SMITH&NEPHEW/D SERCO GROUP/D SSE PLC/D STANDRD CHART /D SEVERN TRENT/D TATE & LYLE/D TULLOW OIL/D TESCO/D UNILEVER/D UNITED UTIL GR/D VEDANTA RES/D VODAFONE GROUP/D WEIR GROUP/D WOLSELEY/D WPP PLC/D WHITBREAD/D KENYA AIRWAYS/D

LAST 1063.50 3004.00 1584.00 489.70 1598.00 754.00 1165.00 317.30 554.50 4838.50 530.00 262.10 3695.00 1183.56 863.38 1485.00 1849.00 476.95 1797.90 453.93 3284.00 263.00 1198.12 1161.00 2923.00 1838.00 1953.50 211.33 204.40 1176.00 745.00 304.40 360.80 302.00 1626.00 684.00 1234.10 616.90 552.00 593.88 2767.00 1282.00 3265.00 2646.00 267.30 3524.00 236.20 363.30 1292.70 282.20 80.12 564.50 570.35 202.50 897.98 7230.00 233.00 1054.23 580.00 1677.00 1425.00 6033.00 356.50 2070.00 1152.00 2116.50 588.00 2934.50 985.00 4977.00 432.50 3601.00 279.40 3370.00 2574.80 483.20 5570.00 472.40 1137.00 1175.00 146.80 1541.00 1074.50 2139.25 655.00 384.80 245.85 2928.00 973.50 559.50 228.20 1916.00 4085.00 1584.00 5320.00 7.40

CLOSE 1039.50 2977.00 1591.00 493.80 1600.00 743.00 1167.00 315.20 560.00 4800.00 529.00 262.15 3677.50 1173.00 864.50 1459.50 1910.00 470.95 1784.00 456.00 3296.00 262.90 1206.00 1159.00 2902.00 1803.00 1934.00 211.80 203.70 1180.00 722.50 304.50 356.60 293.35 1628.50 687.50 1210.00 616.30 550.50 595.50 2781.00 1273.00 3254.00 2629.00 268.20 3520.00 229.80 362.40 1304.00 282.90 79.90 568.00 568.00 199.00 905.80 7110.00 235.40 1049.00 578.50 1681.00 1425.00 6091.00 353.70 2045.50 1169.00 2086.00 590.00 2892.50 973.50 4938.00 434.40 3610.50 275.00 3372.00 2572.00 480.70 5535.00 475.10 1124.00 1180.00 148.80 1564.00 1083.50 2172.00 651.00 368.60 244.20 2911.00 979.00 558.00 229.35 1880.00 4081.00 1593.00 5345.00 7.50

NET.CHNG 24.00 27.00 -7.00 -4.10 -2.00 11.00 -2.00 2.10 -5.50 38.50 1.00 -0.05 17.50 11.00 -1.00 25.50 -61.00 6.00 13.00 -2.15 -12.00 0.10 -8.00 2.00 21.00 35.00 19.50 -0.50 0.70 -4.00 22.50 -0.10 4.20 8.65 -2.50 -3.50 24.00 0.60 1.50 -1.50 -14.00 9.00 11.00 17.00 -0.90 4.00 6.40 0.90 -12.00 -0.70 0.22 -3.50 2.50 3.50 -7.80 120.00 -2.40 6.00 1.50 -4.00 0.00 -58.00 2.80 24.50 -17.00 30.50 -2.00 42.00 11.50 39.00 -1.90 -9.50 4.40 -2.00 6.00 2.50 35.00 -2.70 13.00 -5.00 -2.00 -23.00 -9.00 -32.00 4.00 16.20 1.65 17.00 -5.50 1.50 -1.15 36.00 4.00 -9.00 -25.00 -0.10

PCT.CHNG 2.31% 0.91% -0.44% -0.83% -0.13% 1.48% -0.17% 0.67% -0.98% 0.80% 0.19% -0.02% 0.48% 0.94% -0.12% 1.75% -3.19% 1.27% 0.73% -0.47% -0.36% 0.04% -0.66% 0.17% 0.72% 1.94% 1.01% -0.24% 0.34% -0.34% 3.11% -0.03% 1.18% 2.95% -0.15% -0.51% 1.98% 0.10% 0.27% -0.25% -0.50% 0.71% 0.34% 0.65% -0.34% 0.11% 2.79% 0.25% -0.92% -0.25% 0.28% -0.62% 0.44% 1.76% -0.86% 1.69% -1.02% 0.57% 0.26% -0.24% 0.00% -0.95% 0.79% 1.20% -1.45% 1.46% -0.34% 1.45% 1.18% 0.79% -0.44% -0.26% 1.60% -0.06% 0.23% 0.52% 0.63% -0.57% 1.16% -0.42% -1.34% -1.47% -0.83% -1.47% 0.61% 4.40% 0.68% 0.58% -0.56% 0.27% -0.50% 1.91% 0.10% -0.56% -0.47% -1.33%

Thursday April 16, 2015 | BUSINESS DAILY

LI E

MANAGEMENT How to close sale with lessons f≥om ou≥ daily expe≥iences Page 30

FOOTBALL

Red Devils ≥etu≥n to thei≥ winning ways Page 31

MANAGEMENT

Want business funds? He≥e is how to win investo≥s Most entrepreneurs fail to attract financing for ventures due to poor presentation of their plans Third, some investors also receive utility happiness from the knowledge that a business provides a benefit to the environment. BUSINESS TALK Entrepreneurs that may categorically predict returns in each of the before mentioned SCOTT BELLOWS triple bottom-line areas stand a higher chance of securing investment. kirote enjoyed entrepreneurship Also, investors want to ensure that they ever since her childhood when she do not lose their investment. Inasmuch, assisted her mother in their family they will assess the viability of your busishop in Meru town. Once she reached 30 ness plan. As investor and professor Paul Hudnut tells entrepreneurs, investors will years old, she decided to give back to Kenlook at five additional key areas. yans and started a business incubator. In her business incubator, she sought to foster First, investors will only invest if they young women’s ambitions. see a market opportunity. Does a clear Nkirote provided young women with market need permeate through the pages entrepreneurship training, coaching, of the business plan? Does the entrepreneur present a coherent strategy on how mentoring, linkages, and work space. As she slowly grew her incubator, Nkirote beto satisfy that need? gan to require the ladies to not only write Continuing with the market opportunitheir own business plans, but also present ty, the business plan must summarise comthem to business experts. Soon she lined pelling market research that supports the up investors to listen to her entrepreneurs’ opportunity. Does the business plan dissect pitches. the market and segment clients or does it However, the young women crashed in just speak broadly to an assumed need? attaining the target with experts and invesWhat may seem like an obvious need to an tors. None received follow-up inquiries. So, entrepreneur may not exist as so obvious Nkirote searched for reasons and ways forto consumers. Does the entrepreneur actuward for her entrepreneurs. She discovered ally understand his or her target customer that many entrepreneurs make mistakes needs? Do the client characteristics seem in their business plans and understood and described presentations. As stated by well? Kenyan venture investor Second, even the best Do not give a Peter Nduati, present your business ideas mean nothsales pitch about business to investors not ing without implementayou≥ p≥oducts to as a sales pitch for your tion. While M-Pesa by all investo≥s. Instead accounts proved a brilliant products, but rather how highlight why idea, an idea alone does not your business appeals to you≥ ventu≥e earn revenue. A thought or investors. As we wrap up with the concept must turn into acdese≥ves thei≥ final article in the Busition. The investors’ perfunding and what ness Talk business plan ceptions on the business is in it fo≥ them operations solidify whether writing series, what do an entrepreneur may turn investors ultimately want ideas into action. Can the to here? Every investor organisation actually support its vision retains different preferences and investment appetites. However, some general for the future? Does the business model themes exist. allow for scalability to grow beyond humble beginnings? Does the entrepreneur First, nearly every investor desires to earn a return on his or her investment. Busiclearly understand the HOW beyond getness people know that money comes with ting the business running smoothly and associated costs. Business Talk covered efficiently? the precise returns required by investors Third, do the investors like the entrepreneurs as people? Entrepreneurs must in earlier articles in this series. build trust with investors. Perceptions on Second, many investors also desire social returns whereby the business model business owner integrity and character actually adds value to society through its speak volumes on the likelihood of investor-deemed worthiness. Further, may the products or services.

Suraj Gudka of Soko TextICT makes a pitch for his business idea during the Next Big Thing event by the ‘Business Daily’ at the Strathmore University in Nairobi last year. EVANS HABIL

team effectively develop its venture and effectively attract people, partners, and resources to the venture as it grows? If the management team does not possess a skill set, has it identified the gap and how to fill it in the future? Fourth, investors desire to see that the business creates value as well as impact as described in the triple bottom-line above. But does the entrepreneur actually provide measurable metrics for success and impact? Do the financial projects actually support the proposed funding request made in the business plan? Many entrepreneurs shockingly present plans with numbers that do not match. Avoid such simple mistakes. Fifth and final, investors ascertain the potential of the business. A venture that shows that it may create significant impact on a social or environmental challenge stands a much higher likelihood of funding. Does the business plan come off as credible and compelling or instead desperate and shallow? Has the business plan clearly defined a competitive advantage over oth-

er options in the market? Does the business mode exploit the competence? Remember that investors do not need to read and listen to mountains of data and endless stories. Learn to put forth a concise, credible and compelling overview of the opportunity that you desire them to fund. Let the investor understand the venture, why your venture matters, and how they stand to gain by putting their money into your business. In summary, always write and speak to your audience. Do not give a sales pitch about your products to investors. Instead highlight why your venture deserves their funding and what is in it for them. Discuss investor tips with other Business Daily readers on Twitter through #KenyanExecutives. Prof Scott serves as the director of the New Economy Venture Accelerator (NEVA) at USIU-Africa’s Chandaria School of Business, www.ScottProfessor.com, and may be reached on: info@scottprofessor.com or follow on Twitter: @ScottProfessor.

In next week’s edition of Business Talk, we explore ‘How to Select a University’. Read current and prior Business Talk articles on the Business Daily’s website and www.usiu.ac.ke/blog/businessdaily.

BUSINESS DAILY | Thursday April 16, 2015

Life: MANAGEMENT

How to close sale with lessons f≥om ou≥ eve≥yday expe≥iences

TIMES CROSSWORD 24045 1

SELLING Fear of rejection is the biggest hurdle in the way of clinching a deal

14 15

16 17

SALES PITCH 18

JOHN KAGECHE

22 23

oday, we address the ways to close a sale borrowing from everyday experiences. On your way home you see a pair of shoes being sold on the street. You want the shoe. The seller sees that and says, “Karibu siste. Kujaribu ni bure” (Welcome, my sister. It’s free to try on). You do. He tells you it goes well with your dressing. You know this but the assurance is still welcome and your excitement at hearing this shows in your face. “Hicho kiatu ni cha mguu wako madam” (That shoe fits you perfectly madam). And with this he proceeds to gather and wrap your “old” pair in a plastic bag and while giving the package to you says, “Nipe mia tatu tu” (Give me Sh300 only). And you find yourself reaching for the purse and giving him the money. Several closes have just happened. A minor close — try it on, a test close — you do, a custom fitclose — the shoe was created for your foot and the ultimate one, the assumptive close — wrapping the old pair without asking you if you are buying but instead assuming that you will; and you do. In the corporate world, you have a contract you need signed. It could be account opening, tenancy agreement or purchase of an elevator. Everything before this stage of signing pans out and the client is happy. Being human however, he hesitates. You say, “Let’s go over the main points together. Is this ok?” (minor close). We will ship in the elevator in six weeks and install it on the fourteenth week of the project which will be two weeks after it gets here. Is this correct? (test close). The project manager

24 25 27

Across

Down

1 These items collected as records of work done (4,6)

1 Pulls the studious schoolchild up (4)

6 Fancy wife being drawn to that fellow (4)

A hawker sells calendars to Red Cross officials at the Jomo Kenyatta Sports Ground in Kisumu in January. Our life experiences have vital lessons in closing sale. TOM OTIENO and contractor have assured you and I that the specifications of the elevator are a perfect fit for the shaft. I’m I right? (custom-fit close). With yeses at every stage so far, you very casually remove your pen from inside your coat pocket, open and turn the handle towards him with one hand and, with the other hand, the page with the dotted line and the bank funds transfer form, and say, “Please sign here and here” (assumptive close). He signs. The waiter at the pub asks, “moto ama baridi?” (warm or cold?). This is the alternative close. Notice how it does not matter what response you give-either way the sale happens. In the corporate world. “Do you want to sign with the blue pen or the black one?” or “Would you like to pay by cheque or cash, Sir?” or “would you like us to meet at 8.30am on Monday, or is the following day Tuesday 10am better? Plenty other ways to close happen in

our everyday lives. Look out and learn from them. As this column has shown, what really makes closing difficult is the fear of rejection more than the tightening of the stomach at the moment of closing. And it’s just that: a moment Why do buyers hesitate to buy at the time of closing yet are ripe for it? Because they are human. You and I aren’t any different. Now that you are equipped, give these techniques your best shot. The knot in your stomach won’t go away when you do; it’ll still be there. It never goes away no matter how fluent you are. However, repeatedly putting your best foot forward will tame it, and more importantly, get you to complete the sales process. Mr Kageche is lead facilitator Lend Me Your Ears; a speech writing and sales training firm. Email:lendmeyourears@consu ltant.com.

TIMES 24044 D R OWS Y S U P E R MAN E I C P T D O R U N D E R G R OWT H S OW E A A O C R M HADR I AN RU I NOUS T D N N S A E E ANTHROP O LOG I S T A T Y O D E Y O U MA R KMYWO R D S U S I A T O M F A L B AN I A B U R ME S E S E I A T I N T AR GU I L LO T I NE S A U O E O E T U ADHE R E NT OP E NE R

Senate maintains ban on d≥inking wate≥ The Minnesota Senate voted to keep rules banning senators from making eye contact during floor debate and from having drinking water on the floor. Sen. Warren Limmer, R-Maple Grove, spoke in favor of striking the rule that bars senators from looking at one another during floor debate, requiring them to instead keep their eyes on the Senate president. “I find this particular rule of the Senate, dare I say, antiquated,”

Limmer said. However, Senate Majority Leader Tom Bakk, D-Cook, said the rule is still relevant to the process. He said looking at one another during debates could cause deliberations to become personal. “Our decorum would probably not be as Senate-like as we would like to have it” if the rule was changed, Bakk said. The Senate sided with Bakk in a 15-44 vote.

The body also voted 10-51 on Monday to keep a longstanding ban on beverages, including water, on the ﬂoor of the Senate. The votes earned the Senate some ribbing on Twitter from colleagues in the Minnesota House of Representatives. “Long Live the House! Where even Senators can come over and drink water on the House Floor,” Rep. Tim Sanders, R-37B, tweeted.

SUDOKU 232

9 Driver of cart with a dead body (7) 10 Broken life closed by death in London suburb (7)

2 Photo of criminal gunned down after attack (7) 3 Form of advertising used by golf course committee (8,5) 4 Tearfully accepts a telling-off (6)

12 Prove top performer in event (10)

5 Actor: he’s very good in Cheers, note (8)

13 Creature of beauty, oddly (3)

7 Be inclined to stop where repairs to platforms are carried out (4,3)

15 Close to zero temperature in pleasant spot (6) 16 Woman’s twisted expression about city in India (8) 18 Cocktail drunk at formal occasion (8)

8 In ACAS negotiation there’s little time for reﬂection (10) 11 Meeting in favour of, say, a complete cycle of Wagner (13)

23 Incline in road with no parking sign (3)

14 He’s prone to struggle, close to defeat (2,3,5)

24 Taxes cut in an island? The opposite (10)

17 Some friendships are sort of solid (8)

26 Boy in great discomfort is a hero (7)

19 Bet nag ﬁnally moved at slow pace (7)

27 Japanese art foundation mostly has American investment (7)

21 Check I am beating hand with no trumps (7)

28 Wolves, say, go downhill, leaving lake (4)

22 Had dinner in restaurant, or tea perhaps? (3,3)

20 Plaster on wall held mostly ﬁrm (6)

29 Regiment of poets recited (5,5)

25 Fail to locate teacher’s address (4)

SUDOKU PUZZLE

233

How to play Fill the grid so that every row, every column and every 3x3 box contains 1-9. You solve the puzzle with reasoning and logic and not mathematical ability

Thursday April 16, 2015 | BUSINESS DAILY

Resu≥gent Man United ≥ediscove≥ thei≥ mojo with eyes on top p≥izes REVIVAL Red Devils return

to their winning ways after two years of lacklustre show

he swagger has returned to Manchester United and their recent revival has provided genuine grounds for believing they are ready to challenge again for the top prizes in the game. After two years of disappointment following the retirement of manager Alex Ferguson, United have beaten arch-rivals Liverpool and champions Manchester City in a run of six successive victories which have lifted them to third in the Premier League. They are well placed to qualify for the Champions League and with manager Louis van Gaal sure to be given substantial funds to bolster his squad, United fans are dreaming of a return to the glory years they enjoyed with Ferguson at the helm. The manner of United’s 4-2 win over City on Sunday, the first victory over their neighbours for more than two years, only added to the belief swirling around Old Trafford. “Now they are the kings of the city,” said United striker Eric Cantona, whose signing by Ferguson in 1992 proved to be the catalyst for an unprecedented era of success. “Sometimes you have a season when you lose games and you finish fourth or fifth,” the Frenchman told reporters in Shanghai. “Next year they can win.” Cantona should know. The flamboyant forward brought belief to a talented squad and his goals inspired United to win the 1993 title, their first for 26 years and the start of the Ferguson glory days which ended when the Scot retired in 2013. David Moyes endured a dismal 10 months as manager, overseeing a negative style of football completely at odds with the traditions of the club.

United finished seventh shortly after Moyes was fired and Van Gaal was handed the reins along with a large transfer kitty. “With a manager from Holland I think it’s very important for Manchester United, because it’s the same kind of philosophy for the game, Holland and Manchester United,” Cantona said. They struggled, however, in the first half of the season, suffering a home defeat by Swansea and a humiliating 5-3 loss at promoted Leicester. Van Gaal tinkered with his formation, incurring the wrath of the fans by deploying captain Wayne Rooney in midfield and relying on the brilliance of goalkeeper David de Gea to stay in touch with the leaders. Then, seemingly out of nowhere, the Dutchman stumbled on a winning formula last month. Three first-half goals against Tottenham Hotspur brought back memories of the days

when Ferguson’s teams would blow opponents away at Old Trafford. Juan Mata scored two superb goals to sink Liverpool at Anfield and Manchester City were overwhelmed by an incessant and ruthless red tide. With Michael Carrick pulling the strings in midfield, the revitalised Marouane Fellaini and Ashley Young tormented the City defence as United roared back from conceding an early goal to secure the most significant win of Van Gaal’s tenure. The canny Dutchman knows he must still recruit a top-quality central defender, a more physical central midfielder to complement the wily Carrick and at least one faster more mobile forward. If United can keep De Gea out of Real Madrid’s clutches, they will have the makings of a potent team capable of mixing it with the best once again. - REUTERS

Manchester United’s striker Wayne Rooney (right) celebrates scoring their second goal with striker Radamel Falcao during the English Premier League football match against Aston Villa at Old Trafford in Manchester. AFP

Crystal Palace defender Joel Ward (left) vies with Manchester City’s David Silva during a past EPL football match. AFP

Janua≥y slump dogs Man City’s quest fo≥ P≥emie≥ League title Joint leaders of the Premier League on New Year’s Day, the wheels started to come off Manchester City’s season during their 2-0 defeat by Arsenal in the middle of January -- and they have never been the same since. City had been challenging Chelsea at the top of the table and at the start of 2015, the two clubs had been separated only by alphabetical order. Although there had been some earlier indications that Manuel Pellegrini’s well-oiled machine was not running quite as smoothly as it could, City looked set to maintain their push for a second successive title. A few doubts were raised during the Christmas and New Year programme when they allowed Burnley to come back from two goals down to draw 2-2 at the Etihad Stadium. They also squandered a 2-0 lead against Sunderland before eventually winning 3-2 thanks to a late Frank Lampard header. City fell behind Chelsea in the title race when they allowed Everton to come from behind to force a 1-1 draw at Goodison. Five weeks after being level with Chelsea, they were trailing Jose Mourinho’s side by seven points. After Sunday’s crushing 4-2 derby defeat at Manchester United, even a top four finish and a place in next season’s Champions League is no longer a certainty. Headlines like “Humiliated” “Dismal City” “Toure top of the City flops” and “City humbled in derby defeat” have made painful reading for the blue half of Manchester. - REUTERS

SPORTS BRIEFING Second division Brazilian team appoints Pele’s son head coach One of the sons of Brazilian football legend Pele has been appointed as coach of a second division team. Mogi Mirim’s president Rivaldo, the former Brazil, Barcelona and AC Milan star, announced yesterday that they had signed 44-year-old Edinho, who had previously worked as an assistant coach at several other clubs. Edinho may not be able to take up his post, however, as he is waiting to be sentenced over the laundering of drug money. He was initially sentenced to 33 years in

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prison but is awaiting a deﬁnitive decision. Back in 2005 he was jailed for six months for drug smuggling, although he has always maintained that he was only ever a drug user. He is due to take charge of his ﬁrst match with Mogi Mirim on May 8.

Two top French clubs boycott broadcaster for showing clip

Brazilian football legend Pele. AFP

Top French clubs Paris Saint-Germain and Marseille are boycotting a leading French broadcaster for showing ﬁlm of incidents which led to bans for star players Zlatan Ibrahimovic (right) and Dimitri Payet. Both were punished for tirades aimed

at referees which were shown by Canal Plus. As a reprisal, PSG and Marseille say they will not answer the station’s questions after games or at press conferences until the end of the season. Paris coach Laurent Blanc rejected a question from Canal Plus after Saturday’s League Cup ﬁnal win over Bastia. The channel attended Blanc’s press conference Tuesday ahead of PSG’s Champions League quarter ﬁnal clash against Barcelona, but it did not try to ask a question. Paris are furious at a four-match ban imposed after Canal Plus pictures showed Swedish star Ibrahimovic in an expletiveladen rant against referees and France

after his side lost at Bordeaux. French international Payet was banned for two matches for shouting at the referees room that Marseille had been “screwed” after a goal was disallowed in their 0-0 draw with title rivals Lyon. Again it was shown by the subscription broadcaster which, with BeIn Sport, has the rights to show French league games.

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Haram’s attempt to establish a medieval-style caliphate in religiously mixed Nigeria, Africa’s biggest oil producer.

Opposition suspends protest Buhari pledges to free girls Nigeria’s President-elect Muhammadu Buhari has vowed to make every effort to free more than 200 schoolgirls abducted by Boko Haram militants a year ago but admitted it was not clear whether they would ever be found. The abduction of the girls from a secondary school in Chibok in the country’s Northeast last April drew international attention to the humanitarian crisis caused by Boko

Opposition leaders in Guinea have called for a suspension of protests after gunﬁre erupted in several neighbourhoods in the capital Conakry as hundreds of supporters clashed with security forces for a second day running. Protests over the timing of elections would be suspended until next week, a spokesman for the opposition said. Government spokesman Damantang Albert Camara said one person died during the violence.

India speaks on church attack India’s Hindu nationalist government has denied that “communal” politics was behind a series of attacks on churches and the rape of a nun in recent months, as it seeks to quell rising concerns among religious minorities. “We have found that all these incidents were law and order problems. Not a single case was carried out by the majority community... nor was it of political nature or communal,” Finance minister Arun Jaitley told the NDTV news channel. Since December, half a dozen churches have been vandalised as hardline Hindu groups campaign to convert members of “foreign religions” to Hinduism.

Environment NEWS

Don’t close camp, UNHCR says The United Nations High Commission for Refugees (UNHCR) has warned Kenya not to expel Somali refugees in response to Al-Shabaab’s massacre of students. Kenya has given UNHCR three months to close the Dadaab camp which houses 350,000 Somali refugees. The government believes Al-Shabaab militants who killed 148 people at Garissa University hid in the camp. The agency warned that the camp’s closure

“There is no point in calling elections,” Alekos Flabouraris told Greek TV.

Britons arrested in terror war

Greece rules out early poll Greece’s state minister yesterday ruled out that the leftist government was considering an early election. Speculation has been rife in recent days that Prime Minister Alexis Tsipras’ (pictured) cash-strapped government may call snap polls if it does not reach a deal on reforms with its European Union and IMF lenders that will unlock further aid under its bailout.

Four Britons who were detained in Turkey on suspicion of trying to cross illegally into Syria were arrested on their return to England yesterday, police said. The four were part of a group of nine people, all members of the same family, who were detained in Turkey at the beginning of the month. They were arrested on suspicion of the commission, preparation or instigation of acts of terrorism, police said. Thousands of foreigners have joined the ranks of Islamic State and other militant groups in Syria and Iraq, many of them crossing via Turkey.

would have “extreme humanitarian consequences.”

400 migrants feared dead About 400 migrants are feared drowned after their boat capsized off Libya, survivors have told Save the Children. The Italian coast guard rescued 144 people from the boat and launched an air and sea search operation in hopes of saving others. Hundreds more migrants rescued from boats in the Mediterranean are due to arrive in Sicily during the day. More than 8,000 migrants have been picked up since Friday. Italy’s interior ministry has instructed ofﬁcials to be prepared to house the new arrivals, many of who are children.

TOTAL SHARES TRADED EQUITY TURNOVER IN SH BONDS TURNOVER

2,392.49

2,384.32

11,430,500

17,027,100

401,200,000

692,542,005

1,074,550,000

1,900,200,000

TOTAL DEALS (BONDS)

TOTAL DEALS (EQUITY)

1,915

NSE 20 SHARE INDEX

5,126.02

5,128.02

NSE ALL SHARE INDEX

171.07

170.78

PINEBRIDGE INDEX

875.01

874.66

FTSE NSE KENYA 15 INDEX

225.78

FTSE NSE KENYA 25 INDEX

226.15

FTSE NSE KENYA BOND INDEX FTSE ASEA PAN AFRICAN INDEX

92.42

1,237.32

HE SAID “The hunger for facile wisdom is the root of all false philosophy.”

- George Santayana Spanish Philosopher (1863–1952)

Cuba welcomes US move Cuba has welcomed as “fair” a US decision to remove it from a list of state sponsors of terrorism, saying it should never have been on the list in the ﬁrst place. President Barack Obama met Cuban President Raul Castro (pictured) at the Summit of the Americas in Panama last week, four months after he announced a historic thaw in ties with the communist island nation.

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Coloured Pluto comes into view

Warmer seas ‘to change UK diet’

Whale’s record-breaking migration

The New Horizons probe, which is bearing down on Pluto, has captured its ﬁrst colour image of the distant dwarf planet. The picture, just released by the US space agency, shows a reddish world accompanied by its biggest moon, Charon. New Horizons is set to barrel past Pluto on July 14. It will acquire a mass of data that it will then return to Earth in 16 months.

Warming seas will push traditional ﬁsh favourites off the British menu, a study suggests. University of Exeter researchers say ﬁsh such as haddock, plaice and lemon sole will decline as the North Sea warms by a 1.8 degrees over 50 years. But other species such as John Dory and red mullet will shift their range into UK waters, according to the researchers.

A whale’s journey across the Paciﬁc Ocean is the longest recorded migration of any mammal, say scientists. The female gray whale made a round trip of 22,500km from the east coast of Russia to breeding grounds off Mexico and back. The study, published in Biology Letters, raises questions about the whale’s conservation status.

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