World bank cut Kenya forecast from 5.3 to 4.7

Today world bank Kenya has announced that it was cutting the growth forecast for Kenya 2014. they blamed this situation on the following factors
1.insecurity
for the past one month Kenya as experience security lapses. which are blamed on the Somalia terrorism group alshabab and also the internal fighting between ethnic and clans who are fighting for resources.
many Western countries advised its citizen against traveling to kenya. this has caused the the number of tourist arriving in the country to decrease which is the leading earner in the country after agriculture.
2.increase in the electricity price
World Bank says that the increase in the electricity prices will lead to the increase in the prices of goods and services as they are dependent on the electricity. Kenya government is carrying out ambitious project of connecting each households into the electricity grid in the next five years. the bank says this is possibly since Kenya has natural resource such as geothermal,which is capable of producing to oversupply if its utilized and resources allocated into its production.
3. inflation pressure
Rising inflation rate in the country is expected to slow down the rate of the growth in the country. this inflation is blamed on..
- high cost of goods. prices of goods have really risen since government passed the VAT bill. in which they expected to increase the revenue they are collecting to finance its projects and rising wage bill.
- high cost of borrowing money from Kenya. since 2002 Kenya banks have been making big profits at the expense of its customers.

Mbuvi Ngunze the new Kenya Airways CEO

Kenya  airways has announced new Chief Executiveofficer to replace Dr. Titus Naikuni whose term ends in November 2014.Mr. Mbuvi Ngunze, who is the current Chief Operating Officer in KQhas been appointed to the role of Group Managing Director and CEO of Kenya Airways Limited with effect from December 1, 2014.The Group Managing Director/Chief Executive Officer, Dr. Titus Naikuni, will be retiring at the end of November 2014, after 11 illustrious years at the helm of the national carrier, Kenya Airways Ltd -'The Pride of Africa'.“In January this year, the Board of Directors engaged the services of aninternational Executive Search firm, Spencer Stuart Ltd., to assist the Board in identifying a successor to Dr. Naikuni as Group Managing Director and CEO," said Evanson Mwaniki, Chairman."I am pleased to announce that the Board has finally reached a unanimous decision on this matter. As such, I am pleased to announce the appointment of Mr. Mbuvi Ngunze, who is the current Chief Operating Officer in KQ. to the role of Group Managing Director and CEO of Kenya Airways Ltd.,

the worrying ageing Africa farmers

the statistics released recently shows that farming in Africa is increasingly being left out to the old members of the continent. this as lead the decrease in food production in the continent that as resulted in famine affecting many countries in Africa.
The youth are not interested in farming. majority of them are flooding the cities in search of office jobs. for example in Kenya where agriculture is the main activity that drives economy after tourism. this has not even inspired many jobless youth into venturing into the farming.
the problem with the ageing farmers they practice agriculture instead of agri business. by practising agriculture they farm using outdated farming techniques which results in less produce in the farms. while the youth who understand the current best practice of farming do not want to engage in it.
so where is the problem
1.education system
when students are in school they are encouraged to study hard that they will become doctors, teachers, pilots, lawyers, engineers and FARMERS. so student's develop notion that farming is a job for the parents who at home or retired persons in the society.
2. government
many government in the continent does not encourage the young people to venture into the farming as a way of solving food shortage and reducing the rate of unemployment in the society. the role of government is to provide enabling environment where young persons will be attracted into farming and this is done through provisions of subsidies on farming materials. improving roads that is used by farmers.
if the youth will engage in agricultural activities the food shortage that is being witnessed each year in the continent will be the thing of the past. millions of jobs could be created.

About joshoua oigara

Joshua Oigara
Group CEO

He was appointed as the KCB Group CEO on January, 2013.
 He previously served as the Chief Financial Officer of the Bank prior to his appointment.
EDUCATION BACKGROUNG
He holds a Masters in Business Administration with a distinction in International Business Management from Edith Cowan University, Australia (2011), Bachelor of Commerce Degree, Accounting Option, from the University of Nairobi, Kenya (1997), Advanced Management Program Graduate from INSEAD, Fontainebleau, France (2010). He is also a graduate of the Program for Management Development (JuMP), Fuqua School of Business, Duke University, North Carolina, USA (2006) as well as a Certified Public Accountant of Kenya, CPA (K), School of Accountancy, Strathmore University, Kenya (1997).
 He is a Board member in KCB Bank Tanzania Board and sits in the Risk, Credit, Human Resources, Procurement, Transformation, Strategy and Information Technology committees.

kenya banks making super normal profit expense of its customers

Kenya banks have emerged as the country most profitable sector. of all the 43 banks in the country they made profits except for the four banks which reported loses. Banks are making this super normal profit after charging high interest rates that they offer its customers. it is considered that Kenya is among the African continent that loans are the most expensive. The relationship between the interest rate and prices of goods and services is clearly related. when the interest rate are high this lead to the sharp increase in prices of goods as limit the circulation of money in the country. This month the KBA Kenya bankers association and treasury announced that commercial banks have began the pilot implementation of the annual percentage rate APR. this is a pricing mechanism which will enable consumer to compare different bank loans cost based on standardized parameters and a common computation model. APR takes into account the following factors 1.interest rate components: 2. bank chargers and fees 3. third party cost,legal fees, insurance costs, valuations fees and government levies.

Kenya and terrorism

For the past one month Kenya as suffered attacks from members of extreme Islamist Alshabab from the neighboring country Somalia. the question on the minds of Kenya's is why I we been attacked. this as lead to emerging of countless theories concerning the course of attacks. we have sampled this theories.; 1. Because Kenya send it troops to Somalia. During the time of former Kenya president Mwai Kibaki Kenya accused the Islamist for kidnapping tourists in the coastal kenya. Kenya decided to send its troops to Somalia in pursued of them, they managed to captured the port of Kismayu that alshabab had controlled for years. following this alshabab changed it tactics from piracy's on Indian ocean and started to recruit Young boys Into it's organization to use them to fight for them inside Kenya in what they called revenge for the death of their brothers in the Somalia. 2. Corruption inside the Kenya government corruption in government of Kenya is ranked high regardless of which regime are in power both government and opposition have no solutions to this "diseases". its believed that immigration officer's are the one letting terrorist to enter the country just by paying them few shillings the police manning the roads have not been left behind. contracts that are tendered are surrounded by secrecy which fuel corruption to prosper. 3. Ethnicity The biggest deceased that Kenyans suffered from is ethnicity power is viewed as a way to reward your "people" even department like security are not spared on this. Ethnicity is even being used to fight the terrorism in Kenya people are being profiled according to their ethnicity. Somalis of Kenya origin are the one felling the consequences of the police because of the sin committed by "their brothers" in Somalia. 4. Economic sabotage This theory is passed by majority of the current administration who. accuses the western government for the sabotage. this is after USA UK issued travel advisory for its citizen. During election period western powers had warned Kenyans on electing Uhuru and Ruto whom they we're facing criminal charges at ICC. that their will be consequences. many Kenyans now believed that this is what they meant. 5. Politics Kenya is country were you will not deferenciate between campaign time or not. government practice politics you may though they are the opposition while the opposition love to criticise government regardless of good or bad action by the ruling party. The terrorist takes advantage of disunity coursed by Kenyan politicians.