A total of 13 former senior executives at the Kenya Power and Lighting Company (KPLC) more commonly referred to as Kenya Power, have been awarded a total sum of 135 Million Kenyan Shillings by the Labour Court as compensation for their retrenchment which occurred 6 years ago. Retrenchment is a form of dismissal which is due to no fault of the employee or employees. It is a process whereby the employer reviews its business needs in order to either increase its profits or limit its losses, and results in the reduction of its employees. The compensation which hit an exact…
Author: Tobey
According to recent reports the Central Bank of Kenya’s (Amendment) Bill 2021 is looking to regulate the digital money lending operators while also issuing tough penalties to all rogue operators in the sectors. The Amendment Bill 2021 has so far been introduced in the parliament by Gladys Wanga the Chairperson Departmental Committee on Finance and National Planning in parliament. It was also published in a Special Issue of the Kenya Gazette on the 6th of April 2021. The proposal if approved by the parliament states in part that all unlicensed digital money lenders will face imprisonments for a period of…
The flag carrier airline of Kenya; Kenya Airways (also known as KQ), has signed a 2 year codeshare agreement with Congo Airways a decision which is being seen as a way to create more connectivity to the networks of the two airlines. A codeshare agreement, is a business arrangement that makes it possible for airlines to publish and market the same flight under their own airline designator and flight number (the “airline flight code”), as part of their published schedule or timetable. The codeshare agreement will now make it possible for all Kenya Airways customers to be able to arrive…
The Central Bank of Kenya (CBK) has made it known that it has reached an agreement with the Italian organization; E4Impact Foundation. The partnership is aimed at providing support to all Kenyan financial technology start ups and is also part of the Central Bank of Kenya (CBK)’s plans to promote innovation in the financial sector in Kenya. Via the Central Bank of Kenya (CBK)’s agreement with E4Impact Foundation all Kenyan start ups, will now be able to get access to international markets, international investors, as well as numerous players in the fintech sector. E4Impact Foundation will in addition offer capacity…
Kenyan Airways (KQ) which is the flag carrier airline of Kenya has been exempted by the National Treasury from paying the minimum tax set at 1 percent of Gross Turnover. What this means is that it will now be possible for Kenya Airways (KQ) to only pay income taxes once it returns to profitability in the future. The tax exemption will in addition be extended to the subsidiaries of Kenya Airways including its more affordable carrier; Jambojet. The minimum tax which was introduced on the 1st of January 2021, will be paid if a company’s normal corporate taxes go below…
The Kenya National Highways Authority (KeNHA) has finalized a 17 Billion Kenyan Shillings contract with China Communication Construction Company Limited. The contract is in regards to the construction of the 453 Kilometre Lamu to Ijara to Garissa Road. The scope of work will also include the construction of all associated spur roads to an all weather gravel standard. The tender has already been signed by the Director General of the Kenya National Highways Authority (KeNHA); Engineer Peter Mundinia alongside the General Manager M/S China Communication Construction Company Limited. The project documents which were posted on the official Kenya National Highways…
The Central Bank of Kenya (CBK) has given its approval for the liquidation of Chase Bank. Its decision was made public on the 16th of April 2021 and is coming 5 years after the commercial bank went into receivership. The decision by the Central Bank of Kenya (CBK) is coming after a recommendation was made by the Receiver-Manager, the Kenya Deposit Insurance Corporation (KDIC). The recommendation stated that the lender should be liquidated. A statement which was released by the Central Bank of Kenya (CBK) revealed that the Kenya Deposit Insurance Corporation (KDIC) made it known that, “considering the weak…
The Kenya Revenue Authority (KRA) has reportedly received more than 21 Billion Kenyan Shillings through its Alternative Disputes Resolution (ADR) mechanism. This is coming after the government agency which is responsible for the accounting, assessment, and collection of all revenues that are due to the Kenyan government, in accordance with the laws in and of Kenya, has so far been able to resolve 393 Alternative Disputes Resolution (ADR) cases in the financial year between July of 2020 and March 2021. According to the Kenya Revenue Authority (KRA) Commissioner, Legal Services and Board Coordination; Paul Matuku the Alternative Disputes Resolution (ADR)…
According to The East African, The National Treasury of Kenya is facing pressure from the International Monetary Fund (IMF) to increase the Value Added Tax (VAT) on all petroleum products times two, in order to cut the budget deficit, while also reducing the public borrowing. The International Monetary Fund (IMF) which is a multilateral financier believes that the East African nation of Kenya should put in place a 16 percent Value Added Tax (VAT) on all fuels when the prices of crude oil drop. This is two times higher than the 8 percent Value Added Tax (VAT) that is the…
The United States (US) has reportedly issued a Level 4 travel advisory against the Republic of Kenya and is telling its citizens not to travel to the East African nation. The travel advisory by the United States warns against traveling to Kenya due to the health risks of the ongoing Coronavirus pandemic and stresses on its citizens taking extra caution as a result of kidnappings, terrorism, and crime in Kenya. The Level 4 travel advisory which is on the United States (US) Bureau of Consular Affairs Website reads, “Do not travel to Kenya due to COVID-19. Exercise increased caution in…
The East African nation of Kenya is according to reports, planning to spend a total of 36 Billion Kenyan Shillings on the rescue of state owned establishments which have been making losses during the still ongoing Coronavirus pandemic. These state owned establishments include Kenya Airways, Kenya Power, alongside 3 of the biggest public universities in Kenya. The latest bulletin released by the International Monetary Fund (IMF) made it known that the 36 billion Kenyan Shillings in exceptional support to State Owned Enterprises (SOE) will be channeled solely towards supporting said Enterprises during the financial year which will end in June…
According to recent reports the NSE (Nairobi Securities Exchange) has acquired a 4 percent stake in the Dar Es Salaam Stock Exchange and has revealed that its reasons for doing so, are strategic. Mr. Geoffrey Odundo who is the Chief Executive Officer (CEO) of the Nairobi Securities Exchange (NSE) made it known while speaking to NTV Kenya that, “Back in 2017, we took a position in the Dar er Salaam Stock exchange. Dar Es Salaam Stock exchange was doing an IPO. And its always been part of our regional strategy to invest in related businesses and so we invested in…
According to The Kenyan Wallstreet majority of the households in Kenya have in recent months lost their sources of livelihood as a result of the devastating economic effects of the still ongoing Coronavirus pandemic. The International Monetary Fund (IMF) made it known that the socio-economic impact of the Coronavirus pandemic has been severe and will require a bit of time before a reversal can occur. Individuals in Kenya who have been adversely affected by the ongoing Coronavirus pandemic, have come up with strategies to survive the numerous effects of the pandemic. A report which was published by the International Monetary…
The International Monetary Fund (IMF) has made it known that its Executive Board has approved a 3 year credit facility for the East African nation of Kenya. The 3 year credit facility will amount to 2.34 billion United States Dollars which will be channeled towards supporting the country’s next phase with regards to effective responses towards the still ongoing Coronavirus pandemic, and also help the nation adequately reduce its debt levels. The International Monetary Fund (IMF) has made it known that Kenya will immediately be given access to as much as 307.5 million United States Dollars which will be channeled…
