News

Kenya Revenue Authority (KRA) has backed its new corporate strategic plan to help double collections over the next three years.
The taxman has set a target of 2.05 trillion by end of financial year 2017/18, a massive growth from Kshs.1 trillion it raked in during the year 2014/15 fiscal year ended last June.
KRA’s sixth Corporate plan, running under the theme “Building trust through facilitation so as to enhance tax compliance, said Commissioner General, Mr. John Njiraini, will ride on 15 key performance indicators which will see sweeping changes in the internal and external operations of the agency.

DSC 2422Cabinet Secretary Health Dr James Macharia (Right) flanked by Cabinet Secretary National Treasury Henry Rotich (2nd Right), Mark Eldon-Edington, Head of Division, Grant Management Division (3rd Right), Ambassador to Kenya, Tatshushi Terada (4th Right) and American Ambassador to Kenya, Robert Godec (6th from Right) speaks during the Global Fund Grant Agreement signing of seven grant agreements worth a total of US Dollars 333 million (Sh 35 billion) on Tuesday, September 15, 2015 at the National Treasury, Nairobi.

The Insurance Industry is ready to absorb risks emanating from the forecast El Nino rains which is expected from next month.
Insurance Regulatory Authority (IRA) Chief Executive Officer Mr. Sammy Makove said the 49-member industry has adequate covers to compensate for insured losses incase of the El Nino.
He said unlike 1997, when the industry was caught off-guard, it was now well prepared to cushion insured businesses mainly in agriculture, trade, building and construction sectors.

Investors have been urged to invest in Kenya in order to improve the peoples’ living standards following the improved business environment in the country.
The National Treasury Cabinet Secretary Mr. Henry Rotich, said business ventures are attractive since the Government has reduced the cost of doing business such as the low energy tariffs.
Mr. Rotich said the government targets to tarmac   10,000 km of road network countrywide and complete the Standard Gauge Railway from Mombasa to Nairobi to facilitated transportation and fast-track development activities.

Global Fund grant portfolio growth to Kenya currently stands at US$895,647,494 with the country so far receiving disbursements worth US$697,304,446.
National Treasury Cabinet Secretary Mr. Henry Rotich said the funds disbursement was started in 2002 when the country received the first grants under civil society Principal Recipient.
“The grants agreements which were signed between the Government and the Global Fund will run for two years with the funds being utilized to fight against HIV/AIDS, Malaria and Tuberculosis pandemics”, said Mr. Rotich.

Kenya has to strive greatly in mobilizing resources to mitigate against the impacts of climate change in the country.
National Treasury Cabinet Secretary Mr. Henry Rotich said such impacts of climate change include droughts and floods which have destroyed human life, property, infrastructure and enhanced spread of diseases.
“Kenya has embarked on preparing a comprehensive and effective policy framework to facilitate the deployment and flow of climate finance in a transparent manner in a bid to overcome the challenge of mobilizing resources to mitigate impacts of climate change,” said Mr. Rotich.

Kshs.3 billion has been surrendered to the Unclaimed Financial Assets Authority (UFAA) by holders through the Unclaimed Assets Account in the Central Bank of Kenya (CBK).
The National Treasury Cabinet Secretary Mr. Henry Rotich said the holders of the Unclaimed Financial Assets surrendered them to UFAA according to the law.
“It is the priority of the common good that should permeate all sectors of government trickling down to our people.  And for this, I say well don UFAA and keep it up”, said Mr. Rotich.

About two million Kenyans have their money idle in an account at the Central Bank of Kenya (CBK) as unclaimed assets.
The Unclaimed Financial Assets Authority (UFAA) says about 60 companies have so far surrendered Kshs. 3.3 billion.  “The money is at the CBK in a trust account.  We have so far invested in government securities”, UFAA Chief Executive Officer Ms. Kellen Kariuki said in Nairobi during a media briefing.
Ms. Kariuki said only Kshs.32 million has been claimed to date.  The authority is planning an awareness and sensitization campaign to encourage beneficiaries collect their money.

The struggling sugar sector has once again found itself between a rock and a hard place, with very little solutions as socio-political and economic dynamics choke it while pushing the real issues to the sidelines.
The current ping pong between the political class will not help a sector that is now becoming synonymous with slowdown and bickering hence the need for sober resolutions that will help the millions of farmers who depend on this sweetener.
Close to a decade, the government has tried to protect the sector by limiting imports, but it seems this did not do much to turn around the fortunes of the sector as rising competition from regional players and their pricing strategies threaten the existence of local sugar farmers.

Holders of Unclaimed Financial Assets have been urged to surrender them to the rightful owners or the Unclaimed Financial Assets Authority (UFAA).
The National Treasury Principal Secretary, Dr. Kamau Thugge, said UFAA has been mandated to receive all unclaimed financial assets and to carry out inspection of financial assets to ensure accurate reporting.
Dr. Thugge further said all relevant information on unclaimed assets should be submitted to UFAA which is the custodian so that the Authority could locate and notify the owners of the surrendered financial assets.

Kenya will today sign an agreement with the Global Fund of Ksh33 billion (USD332 million) to fight HIV/AIDS, Tuberculosis (TB) and Malaria.
The National Global Fund Coordinator at the National Treasury Ms. Margaret Onyimbo said the funding support to be signed will be for the next two years under the New Funding Model.
The signing ceremony that will be led by National Treasury Cabinet Secretary Mr. Henry Rotich will be conducted at the Treasury building, Nairobi at 2.30pm.

Ksh25 billion excess liquidity in the market was mopped up yesterday by the Central Bank of Kenya (CBK) in an effort to help stabilize the shilling.
The bank uses term auction deposits and repurchase agreements to absorb liquidity, which makes it costly to hold onto dollars and in turn lends support to the shilling.
The shilling held steady with scarce dollar demand , a day after the bank injected dollars into the market to bolster the local currency as it neared its all-time low.

The National Treasury on behalf of the Intergovernmental Budget and Economic Council will hold a four-day national conference on County Own Source Revenue Enhancement next week.
In a press statement issued today at the National Treasury Nairobi, the four-day conference will be held at the Great Rift Valley Lodge and Golf Resort, Naivasha on September 21-24.
The National Treasury will host the conference in collaboration with the United Nations Development Programme (UNDP), International Monetary Fund (IMF) and the World Bank.

The Unclaimed Financial Assets Authority (UFAA) said it will audit all financial institutions and state agencies to ascertain the amount of unclaimed assets in their possession.
It said it suspects they could be under declaring the exact amount of unclaimed funds they hold. The Authority’s Chief Executive Officer, Ms. Kellen Kariuki said it is estimated the institutions could be holding up to Kshs.283 billion in unclaimed assets.
“We will do research to establish how much there is.  We have collected financial assets amounting to Kshs.3.3 billion so far”, she said during a media briefing in Nairobi.

The Central Bank of Kenya (CBK) has pumped into the market more dollars to prop up the shilling after weakening to hit 106.15/35 on Monday’s close.
The shilling weakened close to its all-time low in early trading yesterday, weighed down by corporate dollar demand and US currency’s strength. At 10.22 am, the shilling traded at 106.60/70 close to the low of about 107 in October 2011; but finally closed at 105.5 in the afternoon against the greenback.

The Government will write-off shs.40 billion owed by five sugar mills set for privatization.
Privatization Commission Chairman, Mr. Henry Obwocha said the debt is owed to the government and the Kenya Sugar Board.
The five factories earmarked for privatization are Muhoroni, Nzoia, Chemelil, Miwani and Sony.
Mr. Obwocha said on Wednesday at Chemelil that the Government wants to sell the factories with a clean financial sheet.

Kenya will sell a one year Treasury bond worth Kshs.30 billion this month and its proceeds will go towards funding the government’s budget, the Central Bank of Kenya (CBK) has said.

The CBK said in a statement it will receive bids for the bond between September 11th and 23rd and will auction it on September 24th.
Meanwhile the shilling firmed last week against the dollar demand from energy and telecommunications firms offset by Central Bank’s injection of greenbacks into the market, and tight liquidity.

After showing some stability last week, the Kenya shilling yesterday exchanged at 106 to the dollar even as Central Bank of Kenya (CBK) attempted to mop up excess liquidity of Ksh14 billion to stall the drop.
Last Friday, the shilling exchanged at Ksh105.60/70 to the dollar. Since the year began the shilling has lost nearly 14.8 percent of its value against the US dollar.
Analysts attribute the fall to the strength of the US dollar globally, demand for foreign currency from telecommunications and energy firms, and Kenya’s widening current account deficit.

DSC 2759Cabinet Secretary National Treasury Henry Rotich unveils Unclaimed Financial Assets Authority (UFAA) 2015-2018 Strategic Plan today, Wednesday, September 16, 2015 at the Kenyatta International Convention Centre in Nairobi. Looking on left are: Mr. Vincent Kimosop, Chairman, UFAA and Mrs .Kellen Kariuki, CEO, UFAA.  The UFAA Strategic Plan is aimed at guiding the Authority's operations over the medium term. UFAA is one of the recent public institutions in the Kenya and the first of its kind in Africa. And its establishment follows the enactment of the Unclaimed Financial Assets Authority Act in December, 2011 with the principal goal of ensuring that all unclaimed financial assets are re-united with their rightful owners.

Kenya’s shilling was firm against the dollar yesterday due to the intervention of the Central Bank of Kenya (CBK) early this week.
At 12:25 pm, commercial banks quoted the shilling at 105.25/45, barely changed from Wednesday’s close of 105.25/35.
The CBK Monday and Tuesday market intervention was timely as substantial dollars sold boosted the shilling as the local currency edged closer to its record low of 106.80, set in October 2011.