Category Archives: Nairobi City Council

Hiatus

Defn: Attending a weeklong seminar at a hotel where the minimum charge for internet access is 175 shillings for 15 minutes (or 11.66 sh per minute) – meaning it’s not worth checking e-mail, browsing or blogging until the weekend.

Beautiful city
-Silent improvements are taking place in Nairobi.

– Road and lane names signs which had all but disappeared years ago, have re-appeared even in estates. I now know the names of roads in my local area, which I had never known before.

– The City has quietly fixed the traffic lights at University Way/Uhuru highway roundabout. These lights bore the brunt of stones whenever students rioted and have been off for many years. But it appears that since students are now more sober-minded and less riot-prone, the lights have been re-activated – but a bummer for me since that roundabout is now much slower to navigate. I have not seen any accidents there yet, but I can expect a few since matatus generally ignore traffic lights there and the City has not told motorists, who normally, zip through there at high speed, that they may have to now yield

– The Adopt-a-Light company has put up high floodlights (which they call slum lights) at the railway bus terminus, inside Uhuru park some parts of Mathare and Kibera which illuminate huge areas and improve security.

NCC Revenue Collection

Digital maps: Nairobians have started receiving invoices for land rates in 2006. The Nairobi City Council uses data from Geomaps to come up with valuations and land rates whose calculations are not easily understood. E.g. one bill assesses a house about 0.6% in 2006 land rates, and with additional penalties of 3% per month. And it is not clear if these rates are legal.

Tow thugs: Not content with smashing outdoor restaurants, teams from the city council have now taken harassment in the name of revenue collection to a new level. 5 PM is the cut off time in the city, after which parking is free of charge. But now if a car is illegally parked in the evening (usually the owner is in a bar somewhere) it is likely to be towed away by a council land rover. This is often preceded by a standoff between angry bar patrons on one side and the rungu-armed team who travel in each land rover. The owner later has to part with a few thousand shillings to release the car.

It is already difficult to find decent parking near many popular bars as all the good spaces are taken up by taxis. Imagine how bad things would be if they extended this new rule to more Westlands, Hurlingam or other bar-filled areas of the city.

Un-Absa

A South African banking regulator believes that absorbing Barclays Africa operations in nine countries (including Barclays Kenya) would be “too much to chew” for Absa. This is part of the second phase of the Barclays Absa merger.

Also at the NSE

Consolidation at REA Vipingo
The Robinow family (UK) has applied to the Capital Markets Authority (CMA) to increase its stake in Rea Vipingo plantations from 21% to 57% by acquiring shares from REA Holdings (for Kshs. 94 million) and Unitbuckle Holding through a private transfer. They are appealing that the effective takeover be classified as a consolidation and not as a takeover and intend for the company to continue trading at the NSE.

East African Cables group turnover increased from 825m to 1,162 million shillings and profit almost doubled from 124m in 2004 to 213m in 2005. The company will pay a 2nd and final dividend of 3.5 sh per share (1st interim dividend was 1.5) after the AGM in March.

Pan Africa Insurance ended 2005 with net premium income increasing from 790m to 1,031 million and total income from 1,105m to 1,569m. Profit for the year increased from 94m to 177m and the company will pay a dividend of 1.2 sh per share (up from 1) after May 11.

Serena: Wednesday, February 15, is the deadline for Serena shareholders to participate in the company’s consolidation.

Banks

EABS Bank intends to reduce its share capital from 1,662.5 million to 1,112.5 m shillings and a court hearing will be held on February 28 in this regard.

Dubai Bank has advertised to sell the road construction assets of the late Sunil Behal – including graders, caterpillars, lorries, tippers, fuel & water tankers, trailers and bulldozers – by public auction on February 21.

Scholarship opportunity

The Les Aspin Center for Government is inviting a select few Kenyan to a 6-week training program on anti-corruption and good governance to be conducted in Washington DC in August and September 2006.

Candidates: Must be Kenya so over 25 years (if university students over 21 years) with not less than 2 years relevant work experience e.g. at government agencies, civil society, human rights, women development, education, print & electronic media, or to do with public or private accountability.

Applications: Deadline is March 17, and send pack (application letter, 2 letters of recommendations, p.copy of passport, current org. info, CV and 200 – 250 word statement of purpose on how training will benefit the candidate & society) to the Les Aspin Center for Government P O Box 50309 city square Nairobi. (apply only to Nairobi & by snail mail)

Cheap Advertising
The Nairobi City Council has slashed advertising rates by 50%.

Final Business Brief for 2005

Serena
Serena shareholders are being encouraged to accept the offered new shares in a special mailed prospectus. The deal has been endorsed by the board as well as financial advisors of the company and is being promoted as a unique opportunity that takes advantage of a number of factors including one-off tax credits amounting to 504 million shillings from Tanzania & 96 m from Zanzibar, and the higher revenue and margins that Serena enjoys from operating hotels in Tanzania and Zanzibar. The company also plans to acquire hotel properties in Nakuru and Western Kenya in 2006. I have no doubt, the takeover will be successful and I look forward to owning new shares in Serena after March 2006

Standard
The Standard Group’s year ended in September and revenue increased from 1.76 billion to 1.99 billion. However, increased administrative and distribution costs meant that profit for the year reduced from 78m to 66m and the company will not pay a dividend in 2005.

Kengen
Another politically-correct deal was concluded last week and while this is not the first time that conflict of interest issues are being raised in the energy sector, it does raise questions about the outcome of the upcoming Kengen IPO.

New blood at NSE
2006 looks to be a bright year at the Nairobi Stock Exchange, with several companies expected to list some shares at the NSE for the first time since Mumias did in 2001. Kengen leads the pack with 30% available to the public while other companies who have expressed interest include the Scanad Group, Suntra Investment Bank, Sopa Lodges, Wananchi online, Adopt-a-light, belated Equity Bank ( who were expected to float some shares by October ’05), Sarova Hotels (target is June 2006), and Nakumatt (target 2007)

Cashing Out
Already investors are setting aside cash by liquidating other investments. NSSF which has already sold shares in KPLC also plans to sell other shares in Housing Finance, National Bank of Kenya and Sameer Investments. Top investors have also sold shares in Barclays, Uchumi and CMC.

ISP licences
The Communications Commission of Kenya has extended the deadline by one month for licenced ISP’s to apply for mandatory modified ISP licences. Companies will have to provide details of their current shareholding and tax compliance status – otherwise they will be de-registered in 2006.

Banking
– Co-operative Bank of Kenya has applied to the CCK for a value added service PRS license, which will become effective around January 15.
– Can giving micro-finance loans to men reduce the level of violence against women?
– Post Bank has officially ended its once popular premium bonds savings scheme and tomorrow (31/12) will be the deadline for bondholders to encash their bonds which will not be worthless thereafter.
– World Bank vs. Western Union: The amount of wire transfer remittances to Africa is greater than the amount of official direct aid.

Nairobi City Council
The NCC had quite an interesting week as;
– The Kenya Revenue Authority walked away from a deal it had struck with the NCC to collect land rates on behalf of the council.
– Members of the United Business Association and WeCanDoIt advised their members to renew their single business permits with the council to avoid harassment and arrest. The two groups which are challenging the council, claim that their members are being targeted for harassment.
– This week, NCC staff pulled down fences that surround private parking compounds in the city, insisting that owners put up modern fences that beautify the city.

Jobs
At the Kenya Revenue Authority
– Commissioner of domestic taxes CDT/05: Applicants expected to have MBA with at least 5 years senior management experience at audit or accounts in large organizations as well as good knowledge of revenue acts in Kenya.
Commissioner of customs services CCS/05: Applicants should have a business degree – preferably MBA, 5 years experience in senior management of large organizations and good knowledge or revenue acts in Kenya with emphasis on the East African Community Customs Management Act
Apply through KPMG’s executive selection at esd@kpmg.co.ke by 16 January.

Media jobs
Nation Media Group
– Television: Swahili reporter/anchor, sports editor, cameraman
– Radio: news presenter
– True Love magazine: senior fashion editor, fashion editor, and staff writer.
Apply to the group human resource director, Nation Media Group P O Box 49010-00200 Nairobi by January 4.
Standard
Senior reporter broadcast division. Apply to the group human resource director at hrd@eastandard.net
Kenya Times
– circulation sales executives: Nairobi (2) Eldoret Mombasa Kisumu Machakos Nakuru and Mt. Kenya
– advertising sales executives: Eldoret Mombasa
– advertising manager
– chief accountant
– managing director
apply to kenyatimes@timesnews.co.ke by January 6.

New Year’s resolution
Doubling church attendance can raise income by almost 10% recent research indicates. But is money a good reason to go to church? linked from www.aldaily.com.

Earthquake

A mini quake shook downtown Nairobi this afternoon. Buildings swayed gently from side to side for about fifteen-seconds, with calendars flying off the walls. No damage really, just to people’s psyches. They hurried downstairs from twenty floors up, with memories of the 1998 bomb blast at the back of their minds and stayed down until they ascertained that it was just a tremor. Most offices closed early at 4 p.m.