IFC invests Sh5 billion in Turkana oil

The International Finance Corporation (IFC) has thrown oil exploration in Northern Kenya a much-needed lifeline with the injection of Sh5 billion in Africa Oil, one of the majors operating in the region.

The Canadian explorer said the IFC, World Bank’s private sector lending arm, made the $50 million investment in a private placement that will see the lender secure a 6.83 per cent stake in the explorer.

The new funds will go towards exploration in Lokichar where its partner Tullow Oil has in the past struck a series of promising wells.

Safaricom injects Sh14M seed capital for young entrepreneurs

Safaricom foundation has partnered with Junior Achievement Kenya and ‘hand in hand’ . Eastern Africa to empower the youth with entrepreneurial skils and seed capital to start their businesses. Safaricom foundation has set aside 14 million shillings towards a revolving fund those with no access to micro credit as a pilot in seven counties for a period of one year.

Flower exports rise by 12 per cent

Kenya’s cut flower exports rose by 11.7 per cent during the first quarter of this year to 136,601 tonnes. This was a remarkable growth for the sector at nine per cent in volumes and 18 per cent in value compared with the same period last year. Vegetable exports, however, declined by 3.3 per cent from 16,600 tonnes to 16,1000 tonnes during the period under review. The agriculture, forestry and fishing sector on the other hand, expanded by 4.4 per cent compared with 2.2 per cent last year. This growth was reflected in the increased use of agricultural inputs during the quarter.

According to Kenya National Bureau of Statistics (Knbs), the country’s horticultural sector earned Sh100.8 billion last year, a six per cent growth in comparison with Sh94.7 billion earned in 2013. Kenya remains one of the top three exporters of cut flowers in the world. The major markets are the EU, America, Australia, Russia, and Japan. Ngige said increased demand for fertiliser, a key input for agriculture sector, was notable as reflected by its import which grew by 18.4 per cent from 224,000 metric tonnes in first quarter 2014 to 265,9000 metric tonnes in the first quarter of this year.

Kenya’s first oil export expected in October 2022

Kenya’s push to start oil production by 2017 will be delayed by at least five years going by the detailed design and construction timeline for the proposed crude oil pipeline connecting Uganda and local oil fields to Lamu. The Toyota Tsusho design released yesterday shows that the flow of the first oil is expected in October 2022 at the earliest. This will come after the commissioning of the oil pipeline in the last quarter of 2020.

Barclays unveils Sh30bn credit line for SMEs

Small and medium enterprises would soon have easier access to credit as more banks pledge financing commitments to the business segment.
Barclays Bank of Kenya has stepped in with a Sh30 billion loans commitment to SMEs. Barclays Managing Director Jeremy Awori said the bank would continue to support the sector as part of its plan to help in accelerating economic growth and providing market-specific products

Kenya’s development efforts lead to improved World Bank rating

Kenya is among five countries in Africa that have made progress in supporting development and poverty reduction in 2014.According to a World Bank report released last week, Kenya scored above the African average of 3.2 in the latest Country Policy and Institutional Assessment (CPIA).
The Government’s effort to enhance economic growth by initiating development projects, and its implementation of sound strategies to reduce poverty levels has helped boost its rating.
World Bank’s Africa Region Acting Chief Economist Punam Chuhan-Pole, who also authored the report, said the CPIA analysis rates the performance and challenges of poor countries.
The survey found that 26 per cent of governments and institutions in made progress in supporting development and poverty reduction last year, with 10 countries seeing an improvement in their overall CPIA score.