BUSINESS NEWS Archives - Page 6 of 8

Kenya cancels Pakistani free stays, orders crackdown on illegal arrivals

30Sep

By Nasra HusseinNo Comments

Business

Kenya cancels Pakistani free stays, orders crackdown on illegal arrivals

Kenya Wednesday announced a crackdown on illegal immigrants from Pakistan and imposed a freeze on the free transit arrangements it has with the Asian country in a bid to prevent the spread of Covid-19. The Interior Ministry said it was reacting to the surge in numbers of Pakistanis passing through the country on their way to Saudi Arabia. The groups have been arriving in large numbers since last week, taking advantage of softer conditions on travellers from Kenya to the Middle East concerning Covid-19 regulations. Dr Karanja Kibicho, the Interior and Citizen Services Principal Secretary said authorities had noted a possible abuse of existing free transit arrangements between Kenya and Pakistan. The Kenyan Government is alarmed by the threat of the spread of the Covid-19 pande...

27Sep

By Nasra HusseinNo Comments

Business

Fuel, beer prices set to go up, again

Consumers in Kenya are facing yet another increase on at least 31 products. This comes with the adjustment of the excise duty rate by the Kenya Revenue Authority (KRA), a move that will force manufacturers and importers to pass costs to consumers. It will see fast-moving excisable goods such as fuel, beer, cigarettes, bottled water, energy drinks, and juice cost more from October 1, with consumers who are reeling from the effects of Covid-19, amid reduced spending power, forced to dig deeper into their pockets to access these products. In a notice issued on August 10, Kenya Revenue Authority (KRA) Commissioner General said the taxman would adjust the rate of excise duty using 4.97 per cent, as the average inflation rate covering the 2020/21 financial year. PRICE CHANGE ...

NHIF to cut benefits in cost saving plan

24Sep

By Nasra HusseinNo Comments

Business

NHIF to cut benefits in cost saving plan

Renal dialysis, major surgeries and diagnostics tests such as MRI and CT-scans top the list of benefits that the National Hospital Insurance Fund (NHIF) aims to cut in a drive to reduce payouts. The State-backed insurer’s cost-cutting drive will reduce payouts to hospitals by at least Sh2.9 billion in the year to June 2022, forcing thousands of beneficiaries to top-up for their medical bills. The maximum cover for MRI scan will be reduced to Sh9,600 from the current Sh15,000 per session while settlement of CT-scans is set to be capped at Sh6,000 from Sh8,000. The average payout for renal dialysis will fall to Sh6,000 from the current Sh9,500 if the proposals are approved, hurting Kidney patients as the NHIF seeks to reduce bills for the weekly procedure by Sh1 billion annuall...

NHIF is broke and it may not meet it’s Obligations.

20Sep

By Nasra HusseinNo Comments

Business, Politics

NHIF is broke and it may not meet it’s Obligations.

The National Health Insurance Fund is broke and may not meet its obligations if the negative financial performance is not dealt with. A new report by Auditor General Nancy Gathungu shows the national health insurer has a funding gap of over Sh3.6 billion. The fund’s performance has dropped compared with the financial year 2017-18 when it earned an extra Sh295 million. “The fund’s performance is on a downward trend and if strategies are not in place to reverse the trend, the fund is likely to experience financial difficulties in future,” Gathungu warned. The deficit resulted in a reduction of the fund’s earnings from Sh23 billion it posted in the year ending June 2018 to Sh19 billion in the year ending June 30, 2019. NHIF’s performance has been a cause of concern for man...

16Sep

By Nasra HusseinNo Comments

Business

Jambojet starts it’s operations to Lamu

Jambojet has commenced operations to Lamu, becoming its fourth Coastal destination after Mombasa, Malindi and Ukunda. The regional carrier will now fly from Nairobi to Lamu via Mombasa four times weekly with an introductory fare of Sh7,100 one way from Nairobi to Lamu. Mombasa to Lamu will start at Sh4,600 one way. In a statement on Thursday, Jambojet CEO Karanja Ndegwa said the airline is expecting more traffic to Lamu which is one of the major tourists destination in the coast. "Lamu County is undeniably one of Kenya’s top tourist destinations both for local and international travelers. With the ongoing LAPSSET project, we expect increased traffic into Lamu from tourists and potential investors. We want to ease their movement with the introduction of this route,”Nde...

Construction Offers hope , with 60,000 new jobs

10Sep

By Nasra HusseinNo Comments

Business

Construction Offers hope , with 60,000 new jobs

Increased investment in construction, as Covid-19 ravaged the country, saved a portion of the economy last year, creating thousands of new job opportunities as other sectors suffered. The construction, which ranged from roads, railway lines and houses, provided a lifeline to over 60,000 Kenyans, as many shifted to building works to earn a living. The Economic Survey 2021 reports that wage employment in the construction sector grew by 33 per cent from 173,300 persons in 2019 to 230,500 persons in 2020. “Employment level in the public sector rose by 3 per cent from 8,832 persons in 2019 to 9,093 persons in 2020, while private sector employment recorded 34.5 per cent increase from 164,500 persons in 2019 to 221,400 persons in 2020,” the report states. This came even as the ho...

Uganda Threatens to Ban Kenyan Products from Their Market as Trade Row Escalates

4Sep

By Nasra HusseinNo Comments

Business

Uganda Threatens to Ban Kenyan Products from Their Market as Trade Row Escalates

Although Frank Tumwebaze did not formally write to the Kenyan government, he took to Twitter to complain to counterpart Cabinet Secretary Peter Munya for capping sugar Uganda imports. Tumwebaze faulted Kenya's recent decision to cut sugar imports from Uganda by 79 %, which is likely to escalate the ongoing trade dispute between Nairobi and Kampala. The minister warned if Kenya does nothing to remedy the situation on time, the move could potentially weaken the East Africa Community trade bloc as Uganda may be forced to take a similar route. "Don't make this whole idea of the East Africa Community doubtable. Should we also start a board to restrict/give permits to Kenyan margarine and plastics? Yes, we could check on their standards too," he threatened. Kenyan traders are allowe...

Aviation sector showing gradual revival post-Covid — KCAA

11Aug

By Nasra HusseinNo Comments

Business

Aviation sector showing gradual revival post-Covid — KCAA

Kenya’s aviation sector is gradually rising from the damaging blow inflicted by the Covid-19 pandemic in 2020, Kenya Civil Aviation Authority (KCAA) has said. KCAA Director General Capt. Gilbert Kibe has revealed that the average daily Aircraft movement is currently about 550 from 1,045 before the pandemic. Current daily international aircraft movement is at 110 while domestic traffic is 440. With the setting in of the Coronavirus pandemic, Kenya and the global aviation sector was largely affected, with passenger traffic in July 2020 recording a decline of 94 per cent in comparison to the same period in 2019 due to the pandemic. According to the data released by KCAA, aircraft traffic movements was lowest in July 2020, standing at 9,185, which decreased by 68 per cent belo...

Rosemary Oduor appointed acting Kenya Power CEO

4Aug

By Nasra HusseinNo Comments

Business

Rosemary Oduor appointed acting Kenya Power CEO

The Kenya Power Board of Directors has appointed Rosemary Oduor acting Managing Director and CEO. In a statement on Wednesday, Board Chairperson Vivienne Yeda said her appointment followed the resignation of Bernard Ngugi. "We wish to inform our shareholders that the Board of directors, exercising their powers given under Article 113 of the Articles of Association of The Kenya Power and Lighting Company Plc, have appointed Eng. Rosemary Oduor as the Acting Managing Director and Chief Executive Officer of the company with effect from 4th August 2021," the statement said. Prior to her appointment, Oduor who has worked with Kenya Power since 1991 was the company’s General Manager in charge of Commercial Services and Sales. She also has experience in power engineering and mana...

14Jul

By Nasra HusseinNo Comments

Business

Fuel prices will not change.

The Energy and Petroleum Authority (Epra) has handed Kenyans a reprieve by keeping fuel prices unchanged for the next one month, easing fears of a rise in the cost of the key commodity. Epra was expected to raise the prices of petrol, diesel and kerosene by passing on the increased cost of importing fuel to consumers following a hike in global crude oil prices. The landed cost of importing a cubic-metre of petrol increased by 4.8 per cent to $520.04 last month from $496.1 in May, while that of diesel increased by 3.69 per cent from $461.95 to $479.01 during the same period. However, the price a similar quantity of kerosene in the global market remained unchanged between May and June, but no single consignment for the commodity was imported into the country t...