Author: David Indeje

78 per cent of Kenyans experienced income declines in 2024, according to the 2024 Financial Services Monitor by Old Mutual. The report surveyed employed Kenyans aged 20 to 59, earning KSh12,000 or more, representing about 63 per cent of the country’s working population. The findings paint a picture of a population grappling with financial hardship. 40 per cent of respondents reported significant stress, with 15 per cent feeling overwhelmed by their financial responsibilities. This anxiety is further exacerbated by high living costs, a challenging business environment, unpredictable financial situations, and inadequate income, leading to widespread concerns about job security. Financial…

The United Nations Conference on Trade and Development (UNCTAD) says urgent infrastructure investments and effective trade policies are needed to unlock the full potential of the African Continental Free Trade Area (AfCFTA), which could create a $3.4 trillion trading market. “Africa faces serious challenges—from volatile global markets and high debt costs to infrastructure gaps,” said Rebeca Grynspan, Secretary-General of UNCTAD, at the launch of the 2024 Economic Development in Africa Report. “But these challenges also present an opportunity to reshape the continent’s economic future. With bold reforms, investment, and full implementation of the AfCFTA, Africa can emerge stronger, more resilient,…

MultiChoice and French media giant Groupe Canal+ have proposed changes to the corporate structure of South Africa’s pay-TV giant to comply with local broadcasting regulations regarding ownership and control. In a notice to shareholders on Tuesday, the companies announced plans to restructure MultiChoice Group, creating an independent entity, “LicenceCo,” to hold its South African operating licenses. This move follows Canal+’s acquisition of a 35% stake in MultiChoice, triggering a mandatory offer under South African takeover regulations. Canal+ has steadily increased its shareholding in MultiChoice since 2020, reaching 45.2% as of May 2024. To comply with regulations limiting foreign ownership of…

Thirty African leaders signed a landmark declaration committing to concrete reforms to expand access to reliable, affordable, and sustainable electricity across the continent during the Mission 300 Africa Energy Summit in Dar es Salaam, Tanzania. This Dar es Salaam Energy Declaration will be presented to the African Union Summit in February for adoption. Mission 300 aims to connect 300 million Africans to electricity by 2030, boosting economic growth, employment, and quality of life. Currently, approximately 600 million people in Africa lack access to electricity, according to the World Bank. Financial Commitments The African Development Bank and the World Bank plan…

The Central Bank of Kenya (CBK) has lowered its key interest rate by 50 basis points to 10.75%, marking the fourth consecutive rate cut. This move aims to stimulate lending and support economic growth, which decelerated in 2024. The Monetary Policy Committee (MPC) cited stable inflation, driven by low energy prices and a stable shilling, as a key factor in this decision. “The committee noted that economic growth decelerated in 2024, and therefore there was scope for a further easing of the monetary policy stance to support economic activity, while ensuring exchange rate stability,” it said in a statement. Key…

Diageo PLC, the multinational beverage alcohol company, has agreed to sell its 80.4% stake in Guinness Ghana Breweries Limited to Castel Group for US$81 million. The deal, structured as 5.15 Ghanaian cedis per share and payable in US dollars, is expected to close in 2025, pending regulatory approvals. This move aligns with Diageo’s “flexible and asset-light” business model. The company has been strategically divesting from certain African markets while retaining ownership of core brands like Guinness. Similar divestitures include the sale of Guinness Nigeria to Tolaram in September 2024, the exit from Meta Abo Brewery in Ethiopia, and the sale…