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THURSDAY, OCTOBER 1, 2015 WWW.BDAFRICA.COM KSH60 | TZ SH 1,700 | UGSH2,700 | RFrNO. 2195

Const≥uction dip pulls downsecond qua≥te≥ g≥owth to 5.5pcAnalysts say theperformancemakes it hardfor economy torealise Treasury’s 6.5 to 7 per centannual target

TSC out tohi≥e 70,000teache≥s fo≥th≥ee months

TSC chief executive officer Nancy

Macharia. FILE BY NEVILLE OTUKI

Economic growth slowed down in the

second quarter of the year, shackled by

the near halving of activity in the key con-

struction and manufacturing sectors in

the wake of persistent exchange rate tur-

bulence and the resulting rise in the cost

of imported goods.

Official data released yesterday shows

that the economy grew by 5.5 per cent

between April and June, down from the

6 per cent growth reported for the same

period last year.

The performance, which ana

said had exceeded their expectat was, however, still better than th

per cent recorded in the first qu

of the year.

“This is definitely better than I ex

ed,” said Aly-Khan Satchu, an indep

ent analyst who runs Nairobi-based

vending firm Rich Management. “

good outcome in light of the preva

climate that is underlain by turbule

change rate and rising interest rate

Mr Satchu, how-

ever, said that at 5.5 ECONOMY, P

5.4% 4.5% 9.9% 0.8%

AGRICULTURE MANUFACTURING CONSTRUCTION TOURISM

Growth in key sectors in the

second quarter (%)2014 2015

Electricity 4.6 10.2

Construction 16.6 9.9

Transport/

communication5.7 6.2

Financial 7.9 6

Agriculture 2.1 5.4

Manufacturing 8.3 4.5

SOURCE: KNBS

BY BD TEAM

The government intends to hire

70,000 relief teachers to minimise

disruption of learning in public

schools caused by the ongoing

strike.

Recruitment of the relief tu-

tors comes at a time when the

government is embroiled in legal

battles with the teachers over a

pay dispute.

In a notice dated September

29, the Teachers Service Com-

mission (TSC) is calling on pri-

mary and secondary tutors to ap-

ply for jobs.

TSC chief executive Nancy Ma-

charia called on registered teach-

ers aged below 45 years to submit

their applications for the positions

before Monday, October 5.

Out of the intended recruit-

ment of 70,000 relief teachers

sought by TEACHERS, Page 4»



2 BUSINESS DAILY | Thursday October 1, 2015

BY EDWIN MUTAI

A select committee will be formed to

look into allegations of skewed and

compromised investigations by

various government and non-State

agencies during the 2007 post-elec-

tion violence if Parliament approves

a motion filed by Ainabkoi MP Sam-

uel Chepkonga.

If approved, Parliament may get

another opportunity to discuss the

report of the Commission of Inquiry

into the 2007/08 post-election vio-

lence, popularly known as the Waki

report, that was tabled in the House

in 2008 but never acted upon.

Mr Chepkonga, who chairs the

Justice and Legal Affairs Committee,

has written to Speaker of the National

Assembly Justin Muturi seeking to

establish the probe team.

The Waki report, which has since

been adopted as part of the evidence

in a case facing Deputy President

William Ruto and former journalist

Joshua arap Sang at The Hague, is

yet to be discussed and adopted by

the National Assembly.

Mr Ruto and Sang are facing

crimes against humanity charges

at the International Criminal Court

(ICC).

The charges arose from the vio-

lence that followed announcement

of the presidential election results

in 2007 where former president

Mwai Kibaki was declared winner

over former prime minister Raila

Odinga.

Over 1,133 Kenyans died in the vio-

lence and another 650,000 were dis-

placed from their homes. ICC prose-

cutor Fatuo Bensauda closed her case

against the two this month.

Defence lawyers are expected to

make their closing submissions.

Ruto and Sang have filed an app

against the use of five recanted w

ness statements by the prosecut

“Aware that following the 2

post-election violence, various s

and non-state agencies carried

independent investigations, eit

on their own of in the exercis

their statutory functions….som

those agencies, including the W

commission either submitted

publicised their findings and or

ports which are yet to be discus

by the National Assembly,” Mr Ch

konga said.

He said there have been conce

over possible compromise and a

gations that some of the witne

who testified before the presiden

commission of inquiry into the

lence and other agencies may h

been procured.

MP wants House to p≥obe Waki ≥epo≥t claim

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BY BRIAN WASUNA

A fresh labour dispute is brewing in

the judicial arm of government where

nearly 500 staff members have differed

with their employer, the Judicial Serv-

ice Commission (JSC), over cancellation

of promotions that had been awarded

in April.

The dispute has its roots in the JSC’spublication of a notice on August 19,

cancelling the cross-departmental pro-

motions that were granted to 475 em-

ployees early in the year.

Employees who have

worked in the courts for

at least three years and at-

tained additional academ-

ic qualifications since they

were employed qualify for

appraisal and promotion.

The JSC has recently

introduced a raft of guide-

lines on staff assessment

and promotions, includ-

ing a stop to cross-depart-

mental movements thus

freezing staff advancement.

The Kenya Judiciary Staff Asso-

ciation’s (KJSA) attempt to reach a ne-

gotiated settlement with the JSC has

flopped, pushing the employees down

the strike path

“Our members have raised the is-

sue with us and we have written to the

JSC seeking clarification. We are await-

ing a response from the JSC while also

consulting our members to see what

action to take next,” KJSA chairman

Sango Maewa said.

Judiciary Chief Registrar Anne

Amadi did not return our phone calls

or reply to messages sent to her on the

dispute. The August memo sent to all

Judiciary staff said the new guidelines

would affect employees interviewed in

April for promotions.

The JSC says in the memo that it

would consider a few cross-depart-

mental transfers, but those affected

would remain in the same pay grade

as their current positions.

Employees have opposed the direc-

tive, arguing that it renders academic

qualifications they have since attainedredundant.

Qualifications for promotions within

departments require employees to have

attained new qualification

in the relevant discipline.

Clerical officers would, for

instance, only be promoted

after taking classes in pro-

ficiency.

Mr Sango said the un-

ion’s members had op-

posed the guidelines, but

insisted it was too soon take

any action.

He, however, did not

rule out a strike or legal

action against the JSC for

ignoring interviews that were done

in April.

JSC commissioners conducted the

interviews and released a 74-page re-

port, seen by the Business Daily, that

recommends hundreds of employees

for promotion. The interim report is,

however, yet to be signed by the 11 com-

missioners.

“Any officer currently undertaking

further studies or training should notify

my office of the training and study being

undertaken for purposes of ensuring

that the training is relevant to their per-

formance in the Judiciary and is being

offered by a recognised institution,” Ms

Amadi says in a memo.

[email protected]

Judicial Se≥vice in

p≥omotions ≥ow

with cou≥t wo≥ke≥s LABOUR Union says 475 employees are

affected by cancellation of new appointments

We a≥e consulting

ou≥ membe≥s to

see what action to

take next

SANGO MAEWA

CHAIRMAN, KENYA JUDICIARY

STAFF ASSOCIATION

TOPNEWS



Thursday October 1, 2015 | BUSINESS DAILY




State moves to hi≥e 70,000 ≥elief teache≥s as st≥ike bitesthe government,

50,000 tutors will be posted to prima-

ry schools while the remaining will be

attached to secondary schools.

“The teachers will be hired on athree-month contract and will there-

after be considered on priority ba-

sis for employment on permanent

terms when vacancies arise ,” said Ms

Macharia.

The advert requires that applicants

for primary school teacher positions

must have P1 certificates while those

seeking to be secondary tutors need

to have a minimum of a Diploma in

Education.

“Successful applicants must not fill

employment forms in more than one

station as this will lead to disqualifi-

cation,” the advert reads.

The public education sector has

been in turmoil since the beginning of

the new school term on August 31.

The more than 288,060 public

school teachers have boycotted work,

demanding a pay increase.

The teachers were awarded the

50-60 per cent salary increase bythe Employment and Labour Rela-

tions Court in June, but the TSC and

the government have since appealed

the ruling that is still pending at the

Court of Appeal.

The strike has paralysed the edu-

cation sector in a crucial term when

more than 1.4 million students are

supposed to sit for national exami-

nations.

Oral examinations for Form Four

candidates started on Monday and

will go on until October 6 before

the start of theory papers on Octo-

ber 12.

With fresh third-term dates, the

government attempted to re-open

the schools on Monday after the Em-

ployment and Labour Relations Court

suspended the teachers’ strike for 90

days last Friday.

Tutors, however, vowed to stay

away from the classrooms until they were given directions by the court.

The government and the teachers

appeared before the Court of Appeal

yesterday morning for the hearing of a

case in which the TSC is appealing the

decision by the Labour Court to give

teachers a basic pay increment.

Amendment

Attorney-General Githu Muigai yes-

terday told Appellate Judges Erastus

Githinji, Philomena Mwilu, Festus

Azangalala, James Odek and Martha

Koome that the implementation of the

50 to 60 per cent basic pay award to

the teachers in the manner proposed

by the Labour Court would require a

constitutional amendment.

“If judgment is allowed as it stands,

it will create an amendment to the

Constitution where Parliament can

appropriate funds, but will be limited

to what the courts have directed. Westate that it is not open for the judge

to disregard the constitutional frame-

work,” said Prof Muigai.

He said that the Constitution

provides that other than making

laws, Parliament has the power to

impose taxes and also decide how

public funds will be spent, a role

which even President Uhuru Keny-

atta and his Cabinet secretaries can-

not usurp.

“It is a power the Constitution has

reserved to Parliament and to the ex-

tent the judge wanted through the or-

der to allocate to teachers money not

budgeted for, it is the government’s

position that the judge made an ex-

treme error because he ignored the

Constitution,” said the AG.

He said there is no proced

known in law, other than the bu

etary process, that can create S

billion available to pay teachers.Prof Muigai said that the order

the government to immediately s

paying teachers enhanced backda

salaries so as to cover the period J

1, 2013 to June 30, 2017, without

propriation from Parliament, is

tenable.

President Kenyatta has maintai

that the increase in the teachers’ s

ries is unsustainable and canno

implemented by the governmen

The lowest paid teacher in Ke

earns a minimum salary of Sh23, 6

while the highest paid teacher ea

a minimum of Sh140,089.

Reporting by Sandra Chao, Ou

Wanzala, Abiud Ochieng and R

ard Munguti

»From Page 1

per cent, the second

quarter growth makes

it difficult for the economy to realise the

Treasury’s 6.5 to 7 per cent forecast for

the year, adding that momentum has

been lacking in the third quarter and

is unlikely to pick up in the final quar-

ter of the year.

The economy grew by 5.3 per cent

ast year helped by a robust six per cent

expansion in the second quarter, which

was the year’s best.

Analysts’ modest ex-

pectation for the third andfourth quarter of the year

is informed by the Central

Bank of Kenya’s decision to

increase the policy rate in

May and June to a high of

11.5 per cent, whose effect

has been the increase in

commercial bank interest

rates beginning September,

portending a slowdown in

consumption.

The Kenya National Bu-

reau of Statistics (KNBS)

second quarter data, which

was released yesterday,

shows that activity slowed

down in the manufacturing which grew

by 4.5 per cent compared to 8.3 per cent

in a similar period last year.

Kenya last week unveiled an indus-

trialisation blue print aimed at spurring

growth in the sector that has stagnated

at 11 per cent of gross domestic product

(GDP) for the past 10 years compared to

the global average of 16.1 per cent.

Activity in the construction, which

has for long kept the economy grow-

ing, also slowed down to 9.9 per cent

compared to 16.6 per cent in the second

quarter of last year.

Construction, which mainly con-

sists of infrastructure projects such as

roads, railways and real estate, grew at

the highest rate of 11.3 per cent in the

first three months of the year.

National Construction Authority

chairman Steven Oundo

attributed the slowdownto rising cost of loans and a

weaker shilling, which has

raised costs for private de-

velopers.

The KNBS data, howev-

er, shows that commercial

bank interest rates eased

to an average of 15.38 per

cent from 16.68 per cent in

the second quarter of 2014,

contrary to Mr Oundo’s as-

sertion.

KNBS director-general

Zachary Mwangi says in

the agency’s latest report

that the (second) quarter

of the year was characterised by a fairly

stable macroeconomic environment

supported by a slowdown in inflation

and decline in interest rates. The report

shows that the energy sector posted the

best performance, having grown 10.2 per

cent compared to 4.6 per cent in a simi-

lar period last year, helped by increased

geothermal and hydropower generation

alongside increased connection of homes

and schools to the national grid.

Kenya’s economic mainstay agricul-

tural sector, which accounts for slightly

over a quarter of GDP, expanded by 5.4

per cent in the review period compared

to 2.1 per cent last year, offering the much-

needed support to the economy.

The country’s macro-economic envi-

ronment has this year been marked by

a persistent weakening of the shilling

against the dollar. The turbulence has

seen the Kenyan currency lose 16.3 per

cent of its value to the dollar since the be-

ginning of the year to trade at Sh105.

The turbulence occurred in the wake

of falling revenues from tourism, tea and

horticulture — the country’s key foreign

exchange earners — amid a rising im-

port bill. The ongoing construction of

the Sh327 billion standard gauge rail-

way linking the port city of Mombasa

and Nairobi kept the construction sec-

tor afloat, analysts said, pointing to the

fact that the sector’s performance wouldhave been much worse in the absence of

the mega project.

The KNBS confirms that position,

stating that the 9.9 per cent construc-

tion sector growth was due to “increased

public infrastructure projects.”

Commercial banks’ lending to the

construction sector stood at Sh87.5 bil-

lion up from Sh77.1 billion last year while

cement consumption grew 4.8 per cent

to 459,022 tonnes.

The KNBS said growth in manufac-

turing was supported by reduced cost

of inputs such as electricity during the

second quarter.

“In the food manufacturing sub-sec-

tor, there was an increase in the manu-

facture of soft drinks and processing of

canned foods which recorded growths

of 8.4 per cent and 19.2 per cent, respec-

tively,” the bureau said.

The Treasury has said that it expects

the economy to grow at between 6.5 per

cent and 7 per cent this year but hopes

of attaining the target now look to

slipping away.

The many challenges facing

economy have forced the Internatio

Monetary Fund (IMF) to revise its f

year growth projection from 6.9 per

to 6.5 per cent.Kenya’s current account has,

instance, worsened by 61.8 per cen

Sh151.2 billion in the second quar

meaning the country imported m

than it exported, piling pressure on

shilling.

“The worsening of the current

count deficit in the second quarte

2015 could be attributed to the incre

in merchandise trade deficit that dete

rated to a deficit of Sh246.3 billion,”

KNBS said in its quarterly report.

A country’s net exports are on

the four broad components of gross

mestic product (GDP). The others

investment, consumption and gov

ment spending.

Tourism declined for the seven csecutive quarters on the poor perfo

ance of hotels and restaurants as we

accommodation, showing the exten

which rampant insecurity has wrea

havoc in the sector.

It, however, contracted at a m

slower pace of 0.8 per cent compare

19.3 per cent last year second quarte

“Overall, the sector recorded a

per cent drop in hotel occupancies,”

KNBS said.

The financial sector recorde

growth of 6 per cent in the review p

od compared to 7.9 per cent in the sa

quarter of 2014.

Credit to the private sector expan

by 20.6 per cent from Sh1.7 trillion in

second quarter of 2014 to Sh2.09 tril

during the same period of 2015.

Since 2010, the best performing

quarters were in 2011 when the GDP g

by 7.6 per cent and 2010 when it grew

7.3 per cent.

[email protected]

Const≥uction d≥agssecond qua≥te≥

g≥owth to 5.5pc»From Page 1

Kenya Power workers instal a newtransformer in Mombasa in July. Thelatest KNBS quarterly report showsthat the energy sector posted the bestperformance.FILE

TOPNEWS

It is a good

outcome in light

of the p≥evailing

climate that

is unde≥lain

by tu≥bulent

exchange ≥ate and

≥ising inte≥est

≥ates

ALY-KHAN SATCHU

RICH MANAGEMENT

Economy growth betweenApril and June %

SOURCE: KNBS




BY NEVILLE OTUKI

President Uhuru Kenyatta has

won a major concession from

the United Kingdom with a

new military deal that allows

British soldiers who commit

crimes while in Kenya to face

justice in local courts.

The new agreement— which had stalled since

2013 — will see off-duty sol-

diers tried locally for break-

ing the law.

“If a UK soldier commits

an offence whilst off-duty,

normal Kenyan law applies

as it would to any other UK

national in Kenya,” the British

High Commission said in an

e-mail response to the Busi-

ness Daily questions.

“If on-duty, UK military

law would apply – however,

with proceedings to be held

in Kenya, as directed by the

Judge Advocate General.”

The Judge Advocate Gen-

eral is the princi-

pal judicial officer

in the UK armed

forces.

The new deal,

which awaits

parliamentary

approval in the

two countries, fol-

lowed a Monday

meeting between

British premier

David Cameron

and President Kenyatta on

the sidelines of the ongoing

UN General Assembly meet-

ing in New York in a bid tostrengthen security, economic

and diplomatic ties.

Nairobi had threatened to

end its military co-operation

deal with the UK unless lo-

cal courts try British soldiers

who commit crimes while on

training in Kenya.

“The new agreement will

result in improved military

capabilities for both sides

and allow for concurrent ju-

risdiction, recognising that

the laws of both nations ap-

ply to visiting forces,” said a

statement from the British

High Commission.

Kenya-UK military co-op-

eration has run for 40 years,

and is currently valued at

about £58 million (Sh7.9 bil-

lion) a year, up from about

Sh2.5 billion three years ago.

The pact was extended by six

months to October after the

initial deal expired to allow

for the talks.

The agreement allows upto 10,000 British troops a year

to conduct military exercises

in Kenya’s harsh terrain be-

fore they are deployed to ac-

tive operations in areas such

as Afghanistan and Iraq. The

deal also includes training of

the Kenya Defence Forces.

Kenya also wants more of

its soldiers to be trained in

the UK, up from the current

two yearly.

There have been several

unsolved crimes linked to

British troops.

In 2013, Sergeant George

Madison shot and killed Til-

am Leresh, an armed herds-

man, during a

live fire exer-

cise in Lolkan-

jau, Samburu

County, outside

the designated

military train-

ing grounds.

He was con-

fined to bar-

racks for seven

months while

a diplomatic

battle raged over where he

should be tried before being

removed from the country.

In 2012, Agnes Wanjiru Wanjiku was found mur-

dered in Nanyuki having last

been seen with two British

soldiers. The case remains

unsolved with the suspects

having been deployed to Af-

ghanistan before questioning

by the Kenya Police.

That same year, some 200

British soldiers were involved

in a bar brawl near the Lion’s

Court Hotel in Nanyuki. The

bar was destroyed and sev-

eral people injured. Some

of the soldiers were airlifted

to Nairobi. No charges were

ever filed.

[email protected]

UK soldie≥s tobe t≥ied locally

unde≥ new deal PACTKenyan laws to apply for

offences committed while off-duty

The new

ag≥eement

will ≥esult in

imp≥oved milita≥y

capabilities fo≥

both sides

BRITISH HIGH COMMISSION

ECONOMY& POLITIC

BY BD REPORTER

A spike in food prices helped lift inflation

for the first time in three months to 5.97

per cent.

The Kenya National Bureau of Statistics

(KNBS) said in a statement that inflationrose from 5.84 per cent in August.

Food costs outweighed drops in electric-

ity, kerosene, petrol, and housing prices, the

statistics office said. “This was an aggregate

result from increases in prices of several

food items which slightly outweighed the

decreases,” said KNBS.

Food has big effect on Kenya’s inflation

because it accounts for a larger share of

consumption. The cost of potatoes, milk,sukuma-wiki and onions went up, the sta-

tistics office said.

The central bank (CBK) has a medium

term inflation target range of betwee

per cent and 7.5 per cent.

Inflation has remained within

target over the past 12 months, sh

policy makers concern to the vo

Kenya shilling.

The shilling has lost about 16.3 peagainst the dollar this year on what the

has blamed on speculative activities b

rency dealers and weak fiscal positio

Food p≥ices ≥aise inflation fo≥ fi≥st time in 3 months




BY KIARIE NJOROGE

Corruption and burdensome taxes

have cut Kenya’s competitiveness in

the latest ranking by the World Eco-

nomic Forum (WEF).

The country is ranked 99th out of

140 economies in the 2015-16 Global

Competitiveness Index (GCI) released

yesterday, down from 90 last year and

trails regional rival Rwanda-which has

risen to position 58.

Corruption was cited as the most

problematic factor in doing business

with weak institutions in

government also pulling

Kenya’s score down.

High corporate taxes

has also dimmed Ken-

ya’s competitiveness. The

government takes 38.1 per

cent of the profits posted

by firms in form of taxes

compared 28.8 per cent in

South Africa and 33.5 per

cent in Rwanda.

Kenya had an aver-

age score of 3.9 points

from a maximum seven across 114

indicators that range from labour,macroeconomic stability, educa-

tion, institutions and infrastructure

among others.

In all the indicators that are cor-

ruption-related, the country scored

poorly reflecting the weakness in com-

bating the vice that has remained root-

ed in Kenya’s government and private

sector. For example, the index gives a

poor score of 2.9 (out of 7) for diver-

sion of public resources.

Diversion of resources for key pro-

grammes like infrastructure has been

blamed for slowing down the improve-

ments necessary to attract and retain

investors in the country.

The report also paints a poor

picture of the country in terms of ir-

regular payments and bribes as well

as favoritism in decisions made by

government officials.

Besides Rwanda, Kenya’s other

neighbours were ranked below it

with Ethiopia jumping nine places

to 109. Uganda was at 115 while Tan-

zania is ranked 120.

The index provides a glimpse into

the key factors that determine eco-

nomic growth and a country’s level of

present and future prosperity.

“By doing so, it aims to build a

common understanding of the main

strengths and weak-

nesses of an economy so

stakeholders can work to-

gether to shape economic

agendas that address chal-

lenges and enhance oppor-

tunities,” the report adds.

Kenya performed rel-

atively well on the qual-

ity of the education sys-

tem where it scored 4.3

points out of seven to see

it ranked at position 36.

Other areas of good

performance are financing through

local equity market (4.4 points), thecountry’s capacity to attract talent (3.7

points) and capacity for innovation

(4.3 points).

But terrorism which has severely

affected tourism at the coast is shown

to be a major drawback. Kenya has

been ranked last in the business costs

of terrorism showing the huge amount

being lost due to the terror attacks as

well as the insurance covers and se-

curity costs.

The country also ranks low at po-

sition 134 on the cost associated with

insecurity and organised crime. Po-

lice services are put to be unreliable

in the country.

[email protected]

SURVEY GCI report puts State at position 99 out of

140 as regional rival Rwanda climbs to position 58

Co≥≥uption, taxes cutKenya’s competitive

edge in global ≥anking

A road under construction. IFC mainly invests in infrastructure. FILE

By doing so it

aims to build

a common

unde≥standing

of the main

st≥engths and

weaknesses...

GCI REPORT

Bungoma youth

petition EACCon wheelba≥≥owsBY LILLIAN MUTAVI

A group of Bungoma youth has peti-

tioned the Senate, the ethics agency

and the Directorate of Criminal In-

vestigations to review county govern-

ment tenders, including the purchase

of wheelbarrows at Sh109,000 each,

saying they were inflated.

The petitioners also cite embezzle-

ment of funds, financial impropriety

and skewed employment.

“We have officially brought our

petition; before it was hearsay that

the county spent Sh109,000 on a

wheelbarrow. We want a clear inves-

tigation on the matter,” said Dalton

Simiyu, 24.

They also asked the Ethics and

Anti-Corruption Commission

(EACC) to investigate the acquisi-

tion of 32 acres of land at Musikoma

at Sh6 million per acre, which they

said was inflated.

The county government bought a

Toyota Fortuner at Sh9.6 million and

raised the budget for a maize meal

programme in Kamukuywa from

Sh376 million to Sh1.2 billion, stated

the petition.

Farmers got local cows at Sh82,000

each, believing these were exotic andpure breed dairy cows, they claimed

in a list that also contained an office

partitioning project whose budget was

Sh15 million and the fencing of the

governor’s office at Sh26 million.

The petitioners questioned the re-

cruitment process, accusing the Public

Service Board of biased hiring and dis-

regarding requirement of minimum

qualifications.

Mr Michael Mubea, the EACC

deputy chief executive, said 15 coun-

ties, including Bungoma, were being

investigated for graft.

The wheelbarrow case had been

investigated but the ethics agency will

also work on the list of petitions pre-

sented by the youth, he said.

ECONOMY &POLITICS

BY ANGIRA ZADOCK

Police are on the trail of a gang led by

a woman in her eighties that has been

robbing people in Nairobi for the last

three years.

Police say the gang of two menand three women,, all of Asian origin,

mainly target electronic goods and

M-Pesa shops in Nairobi and neigh-

bouring towns.

In all the cases reported to the po-

lice, the gang has not been reported to

use firearms. One of the gangsters is a

well-known suspect who was brought

up and lived in South C before he

moved away two years ago.

The elderly gang leader accom-

panies her youthful accomplices to

targeted outlets posing as a first time

visitor to Kenya and in desperate need

to change foreign currency into local

money.

The gang has been captured on

several CCTV cameras but very littleis known about their personal details

and residence. Lang’ata OCPD Elijah

Maina yesterday said they were inves-

tigating a case where the gang stole

money from an M-Pesa shop in Dam 2

Estate in Lang’ata on Saturday.

The octogenarian and another

young woman went to the M-Pesa shop

and pretended they wanted to with-

draw Sh70,000. The young woman told

the shop owner that the elderly woman

had arrived in Kenya the previous

and wanted various denomination

Kenyan currency.

The shop owner realised that t

were taking too long and became im

tient. She told them that she wante

attend to another customer who wed to buy milk from the next coun

but the young woman pleaded w

her to be patient.

She left to serve the other cust

er but when she came back to the

Pesa counter, the two left hurriedly

drove off in a car parked outside.

The shop owner later realised t

they had stolen all the money, but

fortunately did not get the detail

the car.

Police hunt fo≥ gang led by 80-yea≥-old woma




CORPORATE NEW

BY BRIAN WASUNA

Barclays Bank has denied any involve-

ment in the alleged illicit transfer of a

134-acre piece of land in Karen whose

dealings have sucked in past and

present senior government officials.The lender yesterday told a Nairobi

High Court that it only held the land as

security for a loan taken by a business-

man at the centre of the saga, Horatius

Da Gama Rose, and released it in 1988

after the debt was repaid in full.

Barclays director of legal services

Waweru Mathenge said the lender only

oversaw the transfer of the land from its

original owner Arnold Bradley to Mr DaGama Rose’s father — Francis. Barclays

holds that it was the executor of Mr Bra-

dley’s will and that it was legally trans-

ferred to Francis Da Gama Rose.

Mr Mathenge said Mr Da Gama Rose

used the land as security for loans be-

tween 1983 and 1988.

He stated that there is no record to

show that the land was transferred to

Muchanga Investments, another firmowned by the Da Gama Rose family.

“Barclays transferred the property

to Da Gama Rose Investments as execu-

tor of Mr Bradley’s estate. By January

31, 1983 the executorship had been fi-

nalised. There are no records showing

that Barclays dealt with the land in re-

gards to Habenga Holdings, Catherine

Ng’ang’a or John Mugo,” he said.

Mr Da Gama Rose, former NSSFmanaging trustee Jos Konzolo and

Carmelina Mburu, the widow of Nai-

robi’s first provincial commissioner are

engaged in a vicious legal battle fo

land, claiming ownership. Much

Investments, owned by Mr Da G

Rose, filed the suit last year.

Lady Justice Lucy Gacheru

moned Barclays to explain the tra

of the property to Mr Da Gama RJustice Gacheru extended o

stopping interference with the p

erty until October 30.

Ba≥clays denies ≥ole in 134-ac≥e Ka≥en land t≥ansfe≥ saga




BY SANDRA CHAO-BLASTO

Airtel Kenya says it has removed all M-

Pesa branding from its mobile money

agency outlets in response to a court

case filed by Safaricom claiming

breach of its trademark.

Linda Kaai-Kiriko, Airtel’s legal

and regulatory affairs

manager, says in court

documents that the re-

moval of the referencesto M-Pesa in all its ad-

vertising boards is an

act of good faith but does

not amount to admitting

any liability.

“Upon realising that

this suit had been filed

Airtel acted with speed

and deleted all references

to the plaintiff’s services

from its boards by July 14,” says Ms

Kaai-Kiriko in the court papers.

Safaricom moved to court in June

claiming that Airtel was infringing on

its M-Pesa trademark for the promo-

tion and marketing of Airtel Money by

including its symbols on the advertis-

ing billboards of its agents.

Safaricom says it had written a

cease and desist letter to Airtel on

May 15 over the use of its logo by Air-

tel Money agents after investigations

showed infringement in 69 outlets

across the country.

The telco, which

has a commanding

lead market share,

claimed that Airtelinitially wrote to it

saying it was not

aware of the trade-

mark infringe-

ment and that it

would undertake

investigations and

revert.

Airtel later

wrote an e-mail

to Safaricom seeking a way forward

on the shared agents branding on

May 27.

Ms Kiriko claims that Airtel en-

gaged its rival in discussions to find

an amicable solution after the firm re-

ceived the demand notice with Airtel

Kenya CEO Adil El Youssefi and Safa-

ricom chief executive Bob Collymoreleading the conversations.

“Safaricom filed the instant suit de-

spite the fact that the chief executives

of the two companies were in direct

communication with each other on

the subject matter demonstrating the

seriousness with which the issue was

being treated,” she said.

Airtel says in court documents that

it had approached some of Safaricom’s

M-Pesa agents after the Competition

Authority compelled Safaricom to re-

move and nullify all the clauses that

provided for exclusivity of trade with

them in June last year.

Airtel’s legal affairs officer claimed

that the agents who agreed to enter

into contract with it did not object

to the mobile money branding ontheir premises, saying they wanted

the signage to show that they also

offered Airtel Money services in ad-

dition to M-Pesa so as not to mislead

customers.

“We agreed to put the notices on

the boards as requested by the agents

merely stating that the alternative

competing services were also avail-

able at the respective sites,” she said.

Safaricom’s in-house counsel Daniel

Ndaba however argues in court docu-

ments that the agreement of the re-

tailer to the branding of their outlets

was not a licence for Airtel to infringe

on the M-Pesa trademarks.

Ai≥tel ≥emoves

M-Pesa b≥andingf≥om agent shops

ADVERTS Firm says move is an act of good faith but does not amount to admitting liability

Airtel Kenya CEO Adil El Youssefi. FILE

Ai≥tel acted withspeed and deleted

all ≥efe≥ences to the

plaintiff ’s se≥vices

LINDA KAAI-KIRIKO, AIRTEL’S LEGAL AND

REGULATORY AFFAIRS MANAGER

CORPORATE NEWS

BY MUGAMBI MUTEGI

Stima Sacco is set to construct 340 r

dential houses in Machakos at a co

Sh1.3 billion, becoming the latest co

erative society to deepen its investm

in the real estate sector.

The gated community is to be b

on a 19.6 acre piece of land in Matung

(along Kang’undo Road) and will c

prise three-bedroomed maisonettes

bungalows, two-bedroomed apartm

blocks and a kindergarten.

Stima Investments Cooperative S

ety Limited, an affiliate of Stima Sacc

overseeing the project that it expect

break ground in November and comp

in about 18 months.

Co-operative societies like Mwali

Chai and Safaricom Saccos are curreundertaking several multi-billion shil

real estate projects in the country, sel

the housing units to both members

non-members.

“We expect to receive all regula

approvals and thereafter float a ten

for construction,” said Stima Investm

CEO Nelson Irungu in an interview.

“We are targeting the middle class w

are increasingly settling in the area.

houses will be sold to both members

outsiders for between Sh4 million

Sh6 million.

The 41-year-old sacco has a memb

ship of 54,000 and was ranked third l

est in the country by the sector regul

last year.

Stima Saccoin Sh1.3bn

housing plan




IDEAS & DEBATE

BY ROBBIE CHEADLE AND

JOHN GEEL

W e live in a world where debt

has become a part of life.

As much as we are certain

that the sun will rise in the morning,

we know that we will fund high value

items using long-term debt. The same

applies to our governments which we

rely on to make sensible and consid-

ered decisions on our behalf.

Post the 2008 global financial cri-

sis, bank funding has become moredifficult to obtain. As a result, African

governments, which desperately need

to grow their economies to alleviate

large scale poverty in their countries,

are turning more and more to domestic

central government marketable debt

instruments (“Government Market-

able Debt”) and sovereign debt as an

alternative method of funding their do-

mestic development requirements.

Infrastructure and the ability to

provide electricity are major inhibitors

to growth in most African countries

and the lure of government marketable

debt and sovereign debt as a method of

funding capital intensive infrastruc-

ture projects is very strong.

The five largest economies in Af-

rica, namely Nigeria, South Africa,

Egypt, Morocco and Kenya are all

restrained, to some extent, by poor

infrastructure, including their ability

to provide electricity.

Based on the World Bank 2015 Ease

of Doing Business Survey the ability of

these five countries to provide electric-ity (calculated using the formula 1-(rel-

evant countries rating per the survey /

the total number of participants in the

survey) is as follows: Nigeria one per

cent, South Africa 16 per cent, Egypt

44 per cent, Morocco 52 per cent and

Kenya 20 per cent.

Similarly, the extent that infra-

structure deters investment in these

same five countries, according to the

participants in the Frasier Institute

Annual Survey of Mining Companies

2014 is as follows: Nigeria 89 per cent,

South Africa 43 per cent, Egypt 45 per

cent, Morocco 31 per cent and Kenya

38 per cent.

The attractiveness of using govern-

ment marketable debt and sovereign

debt is compounded by the numerous

publications and research documents

promoting the usefulness of these in-

struments as a viable method of fund-

ing for African governments.

In considering whether the as-

sumption of additional government

debt is really an option, African gov-ernments need to carefully consider

a number of factors, including most

importantly their existing debt posi-

tion on a holistic basis.

The published debt figures for the

countries of the world tend to be split

up into total domestic government

debt and sovereign debt with the result

that each governments’ total indebted-

ness is not that easy to establish. Total

domestic government debt for African

countries has generally increased be-

tween 2013 and 2014. The five Afri-

can countries with the highest levels

of total domestic government debt as

a percentage of gross domestic prod-

uct (“GDP”) for 2014 are Zimbabwe

at 181 per cent, Egypt at 94 per cent,

Morocco at 77 per cent, Ghana at 73

per cent and Mauritius at 61 per cent.

Kenya at 59 per cent and Mozambique

and South Africa at 47 per cent each

are also among the more indebted Af-

rican countries.

If the sovereign debt owing by Afri-

can countries is brought into the equa-

tion, the total debt position for certain

countries becomes fairly concerning,

particularly against the current back-

drop of declining global mineral prices,

declining global foreign direct invest-

ment (“FDI”), inadequate energy sup-

plies, lower growth rates and weaker

exchange rates.

Useful tool

In conclusion, Government Market-

able Debt is a useful tool available to

African governments to fund much

needed infrastructure projects and

power initiatives.

However, the ability of improved

infrastructure and electricity genera-

tion to contribute to each countriesanticipated GDP growth and FDI

inflows needs to be compared to the

cost implications of incurring addi-

tional government debt and the gov-

ernment’s ability to fund interest and

debt repayments timeously.

The potential negative cash flow

implications of paying interest and set-

tling government debt that is denomi-

nated in a foreign currency, particular-

ly the continuously strengthening US

dollar, also needs to be considered.

Cheadle is Associate Director,

Deal Advisory and Capital Markets

at KPMG and

Geel is Managing Partner, Deal

Advisory at KPMG

OPINIONS I REVIEWS I AN ALYSIS

Workers build the Grand Renaissance Dam near the Sudanese-Ethiopian border. Infrastructure and energy provision remain

key challenges for Africa. AFP

FUNDINGGovernments must consider cost

implications of incurring additional debt and

ability to fund interest and repayments

Is issuing debt inst≥uments

a viable option fo≥ Af≥ica?

Other Voices

Asa Bennet, The Telegraph

Jeremy Corbyn doesn’t want to sit in N

He wants to protest outside it. The Lab

Party is pretending that voters don’t ex

Imagine you are the leader of a politica

ty. That party hasn’t won a general ele

for a decade. It’s unlikely to be in a pos

to win an election for another decade.can you do? If you’re Corbyn, you do s

thing that is breathtaking in both its au

ity and its simplic ity. You just pretend t

voters don’t exist. You simply ignore th

Jeremy Corbyn

Britain’s Labour Party lead

Barack Obama

US president

Michael Hudson, International

News

In his Orwellian September 28, 2015 sp

to the United Nations, President Obam

that if democracy had existed in Syria

never would have been a revolt agains

sad. By that, he meant Isil. Where there

democracy, he said, there is no violenc

revolution.This was his threat to promo

revolution, coups and violence against

country not deemed a “democracy”’. H

redefined the word in the internationa

cal vocabulary.

Aditi Lalbahadur, Mail & Guardi

The principles that South Africa applie

riving at its foreign policy decisions are

always clear. There is plenty of evidenc

show that Jacob Zuma’s government

to balance multiple interests while be

sponsive to the context within which i

emerge. But the principles that South

applies in arriving at its foreign policy d

sions are not always clear. This makes

ficult for observers to understand, if th

not attuned to these multifarious facto

the weighting that they are afforded.

Jacob Zuma

South Africa president




W e are all waiting with bated

breath to see whether scien-

tists’ dire predictions of El

Niño will happen. Of course it the re-

sponsibility of the scientist to warn us,

and ours to prepare.

What raises eyebrows is our reaction

to disaster predictions. We react the same

way our great grandfathers would have

reacted, with characteristic fatalism

borne of our cultures. We attribute oc-

currence of future events to God. We

throw our hands in the air and say, ya

mungu ni mengi .

It is a defeatist cultural belief. Many

countries have accumulated enormous

amount of data to be able to predict

many future events. We must take it as a

certainty and begin planning for its oc-

currence.

National and county governments are

showing off with their huge budgets set

aside to fight El Niño. In any strategy, it

is not the budget that fights – it is hearts

and minds that are important. I would

hope by now that residents of Budalangi

and Nyando river catchment areas, low-

er Tana delta and informal settlements

along the river banks of Nairobi, espe-

cially in Kibra, Mukuru and Mathare have

been moved to higher grounds.

We also must be cognisant of changing

patterns of flooding. Torrential rainfalls

in Ngong Hills will devastate residents

of Ongata Rongai more than ever before.This is because we now have many peo-

ple living on the slopes whose houses act

as water collection points that feed the

raging floods downstream.

It is imperative that we map out pat-

terns of settlement and their environ-

mental impact. We are seeing more and

more flooding in the Rift Valley that has

never had a history of flooding. Last year,

flooding in Narok killed 15 people even

as we failed to address the bigger issueof environmental degradation.

We have refused to relate our own

actions to the effects of climatic change

and what we see on the ground. Flood-

ing in Narok was a direct consequence

of the depletion of the Mau Forest and

settlement patterns. In April 2012, seven

church youths died in Hells Gate, which

lies a few kilometres from Naivasha and

Mau. Yet we never use historical facts

to inform and prepare those who may

be affected.

We must connect the dots of disaster

points to problem sources if we want to

deal sustainably with environmental

disasters. Nairobi and its environs are

growing haphazardly when virtually

every city on the globe aspires to be a

smart city. A smart city as defined by

Southampton City Council, “uses digital

technologies or information and commu-

nication technologies to enhance qual-

ity and performance of urban services,

to reduce costs and resource consump-

tion, and to engage more effectively and

actively with its citizens.’

Unfortunately, we politicise even

the science of planning. Recently, a

prominent politician opposed the Ki-

dero drums. This traffic experiment was

conducted by a globally respected firm

that has executed many smart cities plans

globally but its work was threatened by

a political populist.

Although initially frustrating, it has worked in Westlands and other areas

by unclogging the flow of traffic in key

arteries.

It is such experiments that we m

emulate now in order to get it r

during emergencies. Even without

emergency, you can die in the tra

jam in Nairobi today while being ta

to hospital in an ambulance. Most d

ers, perhaps because they never wen

proper driver training schools, find bulances a bother and hardly create

space for them to pass.

So no matter how much money

have as a war chest for any disaste

is pointless if our culture on the ro

remains backwards. We need mult

simulation and punishment to ignor

drivers to attain the level of preparedn

needed to see us through El Niño

similar disasters in the future.

Many of the drainage systems

clogged in major cities including th

that are claiming to have set aside fu

for the impending disaster. Logic wo

dictate that some of the money be u

to unclog the drainage systems.

Big cities must link up with mo

network operators and broadcaster

collaborate especially in the use of S

as well as broadcasts to inform peop

disaster points.

In the past, we have been stuck on

impassable highway for hours when S

or broadcast can inform people to

alternative routes. By law, broadcas

are supposed to give a few minutes

public information such as emerge

and disaster broadcasts.

This facility must be used ahea

time to educate drivers to avoid us

roads and to allow emergency vehi

deal with problems more effectively

Former British PM Winston Churc

once said: “Plans are of little importa

but planning is essential.”The writer is an associate profes

at University of Nairobi’s Busin

School

Let’s p≥epa≥e adequately fo≥ El Niño

BITANGE NDEMO

PREPAREDNESS




The troubles with Yahoo’s

spinoff of Alibaba could last

longer than Marissa Mayer.

The internet firm’s boss says thecompany still plans to rid itself of

a $22 billion stake in the Chinese

e-commerce company. Whether

the deal will be tax-free, though, is

an issue that authorities could take

years to resolve.

With Yahoo’s business stagnant

and competition rising, the chief

executive may be gone before the

wrangling ends. If everything goes

as planned, the $28 billion company

could save more than $6 billion in

payments to Uncle Sam.

Earlier this month, however, the

Internal Revenue Service declined to

say it would approve the transaction,

stating that the income consequenc-

es of spinoffs were under review. Yahoo might still realize the tax

benefits if it closes the transaction

before year’s end, because the IRS

said it will not apply any new re-

strictions retroactively. But there’s

no guarantee the Feds won’t chal-

lenge the deal in any event. The com-

motion draws even more attention to

Mayer’s failure to rejuvenate Yahoo

since she took the helm three years

ago. Revenue from the company’s

mobile, video and social-networking

businesses did grow 60 per cent last

quarter from a year earlier, and it now

accounts for about a third of all sales.

Unfortunately, those businesses pay

handsomely to acquire internet traf-

fic. Strip out these costs, and Yahoo’srevenue was flat. Meanwhile, income

next year is projected to be about half

of what it was in 2012.

Turning things around won’t

get any easier. Advertising is a cycli-

cal business, and the U.S. economic

recovery is getting long in the tooth.

The end of Yahoo’s search agreement

with Yahoo Japan in 2017 may vapor-

ize $150 million of annual EBITDA.

The rise of advertisement blockers

will also hit the company’s rapidly

growing mobile business.

And Facebook is sucking up a

greater chunk of internet advertis-

ing dollars, thanks to its intimate

knowledge of its users. No wonder

enthusiasm for Mayer seems to befading. Her appearance this week at

an interactive advertising conference

in New York attracted far fewer fans

than a year ago.

Yahoo has had six chief executives

over the past decade. None has man-

aged to lead the company to success.

It may be time to admit that the task

is too much for any mere mortal.

The author is a Reuters Break-

ingviews columnist

ROBERT CYRAN

CHALLENGES

Yahoo’s Alibaba spinoff t≥oubles may outlast boss

EDITORIAL& OPINIO




well over 500 million barrels of oil are stored

in large above-ground tanks. The facility at

Shibushi, for example is just off-shore. Fol-

lowing the catastrophic earthquake and

tsunami which struck Japan in 2011, calls

were made to expand the country’s oil stocks

in case of crises in the future which might

hamper oil distribution again.

The International Energy Agency (IEA)oversees the release of oil from a wide range

of reserves internationally. Martin Young is

head of the agency’s Emergency Policy Divi-

sion: “When a country signs up to the IEA

there are various obligations,” he says. “One

of the key obligations is to hold oil stocks

equivalent to 90 days’ imports.”

Specialised storage

But not all countries have salt domes to store

oil underground. Nor do all countries even

have large, specialised storage facilities

for SPR purposes. The UK, for instance,

has neither.

“What the UK has is an obligation on

industry to hold oil at their existing sites

above what they would normally do,” ex-

plains Young. That oil is quietly kept aside by firms so that the government can access

it immediately, if and when it’s needed.

Two nations which are not members of

the IEA, India and China, have in recent

years ploughed funds into their own SPRs.

The Chinese in particular have ambitious

plans. A diverse array of storage locations,

dotted across the land will, it is hoped, even-

tually store almost as much as the Ameri-

cans in a combination of state-owned facili-

ties and commercial stockpiles.

The Chinese don’t have the luxury of salt

caverns and have to opt instead for much

more expensive storage above ground in

tanks. They’re easy to spot on Google Earth

and in satellite photos – just look for the

rows of large white dots. The SPR site in

Zhenhai is just one of these and it currently

holds its full capacity of 33 million barrels.

“It was big,” says Young, who visited the

location a few years ago. “What you see is

a whole load of oil tanks co-located with a

couple of oil refineries.”

Narongpand Lisapahanya, an oil and gas

analyst at investment group CLSA, says that

spending money on developing an SPR is all

part of China’s plan to be treated seriously

as a global superpower. “If you’re going to

be a superpower, you’re going to have to

have the reserve,” he says with a laugh. “Ithelps you become part of treaties globally. If

another superpower, during energy events,

asks for a release of reserves then China can

now take part.”

No modern superpower, then, is com-

plete without an SPR to call its own. While

the growth of reserves around the world is

generally welcomed, there are some who

worry that countries outside the IEA could

use their reserves to manipulate global oil

prices by selling off stocks at opportune

moments.

Of course, mitigating nasty price spikes is

exactly why SPRs were invented in the first

place, as Carmine Difiglio at the US Depart-

ment of Energy explains: “Protecting the US

economy from sharp increases in domestic

petroleum product prices was the purpose

of the SPR in 1975 and it remains the pur-

pose of the SPR today,” he says.

But there’s an important line to draw

between that and using an SPR for ad hoc

manipulation of the world’s markets. On this

point, Martin Young is emphatic: “The oil

stocks are not there for price management

as such,” he explains, “they’re there to cor-

rect a shortage in the market because of a

NEWS INDEPT

supply disruption.” There’s a continual debate

about how SPR stocks should be used, though.

Some people think releases could be more ag-gressive while others question whether the

US has always taken full advantage of its SPR

oil, which is valued at roughly Sh4.6 trillion

($43.5bn).

“For some folks, 700 million barrels in the

ground just looks like a gigantic pot of money,”

comments Sarah Ladislaw, at the Centre for

Strategic and International Studies in Wash-

ington DC.

Few, though, would support initiatives to

fundamentally change how SPRs are used – in

the US or elsewhere. The emphasis is definitely

on planning for emergencies and mitigating

supply problems.

Governments and the IEA prepare for such

situations by working out how they would draw

oil from SPRs in the event of a crisis.

There are even specialist firms which help

with this sort of planning, such as EnSys, which

has developed a sophisticated computer model

to simulate future pricing fluctuations in the

oil industry.

Geopolitical mechanisations

This expertise helps EnSys to advise groups

which control SPRs as to when and why they

might consider distributing oil to local re-

fineries. As CEO Martin Tallett explains, it’s

a numbers game. By how many barrels will

your imports be short during a given crisis?

How much would have to be released from an

SPR to ease that?

“What we would do is sit down with some-

body and say, OK, there’s disruption in the Mid-

dle East, maybe North Africa as well,” he says.“And we really start from the numbers rather

than spending a lot of time understanding in-

depth the geopolitical machinations that could

have caused the disruption.”

As governments and energy bodies continue

planning for the worst, oil stockpiles only look

set to get bigger and bigger. It’s obvious that

the US and many other countries believe their

SPRs are a good investment.

Despite all the preparations, it’s still possi-

ble that, during a future crisis, oil might not be

distributed quickly enough from the strategic

reserves. Would we get a repeat of 1973? Bob

Corbin, for one, won’t say: “I wouldn’t want to

speculate on what could or could not occur,” he

comments. “We’re prepared to deliver when-

ever we need to.”

-BBC

A man walks from a Lagos gas station with petroleum containers during a 2012 shortage. States now

opt to have petroleum reserves to minimise adverse economic effects of shortages. FILE

A man sits outside a closed electronics shop in Tokyo. Many traders were forced to close shop

after the economy shrunk in 2009 due to an oil crisis. Japan today has petroleum reserves. AFP

Af≥ican statesapp≥ove oil andgold tax to pay

fo≥ child≥en’s foodCongo-Brazzaville, Guinea, Mali and Niger have agree

to divert a portion of state revenues from oil, gold

phosphate and uranium to a UN fund to fight child

hood malnutrition.

From 2017, $0.01 (£0.07) from every barrel of o

and $0.60 from every gram of gold will go to pay fo

supplements.

The scheme is expected to raise about Sh10.5 bi

lion ($100m) a year.

Chronic malnutrition in sub-Saharan Africa a

fects more than one in three children under five, th

UN says.

The scheme called Unitlife, which will be man

aged by the UN children’s agency (Unicef), was an

nounced at the UN’s annual gathering of world lead

ers in New York.Ending hunger was one of 17 Sustainable Develop

ment Goals launched by at the UN on Friday.

The UN says it would take around $50bn over th

next 10 years to reduce by 40 per cent the number o

children under the age of five whose growth is stunte

from malnutrition.

The UN’s Philippe Douste-Blazy, who is leading th

Unitlife project, said he hoped to gradually add mor

countries, like top oil producers Nigeria and Angol

A similar scheme already takes 1 euro ($1.12

£0.74) per air ticket from countries signed up to th

it to fund projects fighting HIV/Aids, malaria and tu

berculosis.

RESOURCE RICH CONTRIBUTORS:

CONGO-BRAZZAVILLE

Most of its GDP is from oil;

UNDP Human Development Index ranking: 14

out of 187 nations

GUINEA

Rich in iron ore, bauxite, diamonds and gold; UND

Human Development Index ranking: 179

MALI

One of Africa’s top gold producers; UNDP Huma

Development Index ranking: 176

NIGER

One of the world’s leading uranium producers;UND

Human Development Index ranking: 187

A gold miner pans for gold in Koflatie, Mali, , a few mile

from the border with its southwestern neighbour Gu

ea. AFP




The Ugandan shilling lost substantial gro

on Tuesday, touching a key psychologica

level as it was hammered by surging appfor dollars from corporate clients and com

mercial banks. Commercial banks quoted

shilling at 3,690/3,700, weaker than Mon

day’s close of 3,665/3,675. Traders have m

tioned 3,700 in recent weeks as the next

support level, saying breaching it was like

to alarm the central bank and possibly tri

ger an intervention. “There’s significant b

ing interest (for dollars) from both corpor

clients and in the interbank,” said David B

ambe, trader at Diamond Trust Bank.

Most corporate demand, he said, was com

ing from firms in the manufacturing and e

ergy sectors.

Ugandan shilling weakens duto corporate, dollar demand

Rwanda’s central bank held its repo rate

6.5 per cent on Tuesday, saying it was ach

ing its objective of increasing financing to

economy without the exchange rate suff

ing significant pressure.

Rwanda has held the benchmark rate ste

since June 2014, when it cut the repo rate

50 basis points. Central bank governor Jo

Rwangombwa also told a news conferen

that he expected inflation to be in the ran

of 3.3 per cent to 4.6 per cent by the year

end. He had previously forecast that infla

would not exceed 3.5 per cent by the end

2015. Rwanda’s urban inflation rate, whic

the central bank watches for monetary p

purposes, rose to three per cent year-on-

in August from 2.3 per cent a month befo

Rwanda central bank holdsays private sector credit

KAMPALA

South Africa slightly raised its 2015 maiz

output forecast to 9.94 million tonnes aft

silo delivery data suggested the crop was

slightly bigger than previously thought.

South Africa is still expected to reap its lo

est staple crop harvest since 2007, aroun

third less than the 2014 crop due to scorc

drought which pushed prices to record h

in July. The crop in Africa’s biggest produc

will consist of an estimated 4.7 million to

of white maize and 5.24 million tonnes of

low, the government’s Crop Estimates Co

mittee said in its final forecast for the yea

South Africa raises its 2015maize forecast after survey

Burundi’s inflation eased to 4.2 per cent

year-on-year in August from eight per ce

in July, officials said, as a surge in food pr

exacerbated by a political crisis showed

signs of slowing. More than 130 people h

died, the UN estimates, since protesters

to the streets in April, accusing the presi

of breaking the constitution by standing

again in elections. Year-on-year inflation

tially soared, from 4.7 per cent in March,

unrest drove up the price of essential com

modities.

Burundi inflation down to4.2 pc year-on-year in Aug

BUJUMBURA

BRIEFING

JOHANNESBURG

KIGALI

BY BD CORRESPONDENT

N KAMPALA

K enya is among four countries

drafting a new aviation plan

that could hand the ailing na-

tional carrier a new lease of life. Other

countries are Uganda, Rwanda and

South Sudan.

The four countries, which initial-

ly broke away from the East African

Community to form the Northern

Corridor Summit, are on the verge

of concluding talks to form a one air-

space area.

The plan was initially raised by

South Sudan President Salva Kiir and

his Ugandan counterpart Yoweri Mu-

seveni as a way of dealing with Kenya

Airways’ high ticket prices.However, deliberations on the

matter look set to turn around the

airline’s fortunes.

Officials in charge of aviation in

the ministries of transport of the

four countries and their directors

have agreed to liberalise the region-

al air space. Effectively, the agree-

ment could see Kenya Airways and

RwandaAir, the only two operational

national carriers, assume the role in

the four countries, opening them to

bigger volume of business.

The two airlines will get full ben-

efits of a national carrier in South Su-

dan and Uganda airspace.

Regional director Eastern and

Southern Africa in the office of the

International Civil Aviation Organisa-

tion Council Barry Kashambo said a

liberalised airspace will reduce fares

and increase flexibility in travel.

“The whole process is aimed at

eliminating restrictions and providing

guiding principles that will promote

and ease movement of persons, goods

and cargo by air,” Mr Kashambo.

Together, Uganda, Kenya, Rwan-

da and South Sudan will negotiate

air service agreements with foreign

countries as one bloc.

The greatest benefit is expected to

come from the classification of flights

between the four countries as domes-

tic, building on the recent move to

allow use of national identification

card as a travel document to ease

movement within the bloc.

“Partner states should develop

budgets and work plans for the es-

tablishment of a seamless Northern

Corridor airspace bloc and report

progress during the 11th summit,”

said a directive signed by Presidents

Kenyatta, Kagame, Museveni and

Salva Kiir at the June summit meet-

ing in Kampala, Uganda.

AVIATION Regional states in talks to liberalise airspace, opening carrier to more business

Ai≥space deal offe≥s KQ new lease of life

A Kenya Airways plane at Jomo Kenyatta International Airport.FILE



16 BUSINE SS DAILY | Thursday October 1, 2015

Think Different”, the two

words made famous by

Apple under the leader-

ship of the late Steve Jobs in an

advertising campaign back in

1997 have never jumped into ac-

tive memory as they did when the

team at Ushahidi launched BRCK

Education with Nivi Mukherjee

the head of the new division.

The opportunityThe Jubilee government had

education on its transformative

election agenda and the road to

Vision 2030 would be catalysed by turning education on top of its

head and going digital. The budget

estimates for this run into the bil-

lions of shillings with the digital

dividend projected at several fac-

tors of that.

The problemTethered thinking saw organisa-

tions with vested interest, work

simply with what is available in

the market at face value. Partner-

ships with original equipment

manufacturers (OEM’s) made

the most sense but middlemen

drove up prices. Some even opt-

ed to setup manufacturing plants.

Everyone seemed focused on the

laptop supply side of what is a

massive ecosystem.

A different pathProblems are solved in different

ways but it is always smarter to

increase strategic odds at tackling

a problem by ensuring that you

have as many parts of the solution

matrix under your control or eas-

ily addressable. That is the core of

solution architecture.

The primary consumer at scale,

for whom the benefits of digital

education will be felt most, is the

rural pupil. Despite the govern-

ment’s best intentions at rural

electrification it will take years to

achieve universal coverage. The

structure of our learning also does

not require 100 per cent digital

engagement but that learning is

augmented by technology. There-

fore mobility is key to ensure that

sharing of resources is easy. Form

factor must rank high due the na-

ture of interactions by the target

audience and security considered

given that most schools have basic

facilities.

Here is how the KioKit checks

all the boxes on the solution ma-trix. The BRCK is a ruggedised

WiFi router with an onboard

battery plus storage capable of

connecting 50 devices with con-

tent caching in the expected event

of power and connectivity outage.

The Kio tablet is designed for use

by children and has multimedia

capabilities.

Ruggedised for a longer life

span, they are also locked to dis-

courage theft, with the design also

making it stand out. Controls for a

connected world are also inbuilt

to ensure child safety.

These two main devices; one

wireless router and upto 40 tab-

lets are nested into a mobile unit,

hence the “kit”. The case is hard-

ened, water resistant and designed

to charge the entire system via a

single plug.

The backend also runs on lo-

cal cloud infrastructure by service

provider Angani and the cost ben-

efits of this are immense especially

in light of content streaming and

syncing via mobile data or other

available connectivity options.

As with all innovation, it seems

obvious after the fact.

Mr Njihia is CEO of Symbiotic |

www.mbuguanjihia.com | @mbu-

guanjihia

Diffe≥ent thinking needed

fo≥ digital education delive≥y

Technology MBUGUA NJIHIA

New Ushahidi BRCK Education head Nivi Mkherjee (right) with pupils.FILE

Konza authority signs investmentpartnerships with US business lobbyKonza Technopolis Authority has signed a partner-

ship with an American business lobby, The National

Business League (NBL) aimed at linking up with

international markets. Through the agreement, lo-

cal SMEs stand acquire development opportunities

through export promotion, joint ventures, strategy

alliance and direct investments.

The NBL is national federation of individuals, firms

and associations engaged in business enterprises,

with members drawn from over 37 states whose

aim is to support its member’s access business op-

portunities in deferent parts of the world.

“We have received more than 200 expressions of

interest from investors both local and international.

We have registered good interest from the private

sector particularly the telecom operators and lead-

ing banks who want to locate their da ta centres and

other ICT investments in Konza” said E ng John Tanui

(right), CEO KoTDA.

SimbaPay’s bank accounts opening appearns firm slot in global DEMO eventSimbaPay a digital money transfer provider – is the

winner of the prestigious DEMO Africa 2015 event

which was held in Lagos, Nigeria.

SimbaPay now automatically qualifies for the global

DEMO event that will be held in Silicon Valley, US.

At DEMO Africa 2015, SimbaPay showcased a new

service which

seamlessly op

app.

“We are tota

customers. It

back and sup

new in-app ba

inga Onyanch

in a statemen

that made the

Howard, vice

He added tha

inspiration fo

tions we’re un

DEMO Africa

tive start-ups

best new tech

continent. Th

two rigorous

plicants on th

and effective

Tech bytes

fringement of the digitised books he said that

all the books are encrypted by the IT platform

providers they have partnered with.

“As a matter of fact we are experiencing

more abuse of copyright infringement on our

hardcopy books compared to the digitised ver-

sions,” Mr Ngigi said.

The firm which recorded a 24.4 per cent

drop in net profit following reduced sales in

the year ended June 30, is also targeting county

governments with its digitised content .

The company registered Sh71.7 million inprofit after tax compared to Sh94.9 million

made in the previous year.

During the same period, the firm’s rev-

enues dipped by 39.3 per cent to Sh848.4

million compared to Sh1.4 billion in the same

period last year.

The book-selling company, suffered from

l

i

S

g

s

m

l

R

L

b

p

T

b

a

y

Longhorn publishes is betting on dig-

ital books to reach a wider audience

and grow its revenue.

The only Nairobi Securities Exchange

(NSE)- listed publisher in an interview with

the Business Daily said it has digitised all its books available on hardcopy and are current-

ly available on Amazon and Worldreader.

The firm has also signed a partnership

with Samsung to avail its digitised content

on its devices and is also seeking partner-

ship with local mobile telecommunication

firms to offer the same.

Simon Ngigi, Longhorn managing direc-

tor said that other than reducing the print-

ing costs, digital content is easy and faster

to distribute.

The publisher is also targeting to capture

the tech savvy and the youth who prefer in-

teracting with computer devices as opposed

to hardcopy books.

“What we see in the coming years is that

more and more revenue will be generated

from the digital books,” Mr Ngigi said.“By availing all our books in digital for-

mats, this is not only a win to us but also to

our customers since the pricing of the digital

books is almost half the cost of the hardcop-

ies which offers quite some savings to our

clients,” he added.

To mitigate the chances of copyright in-

Longho≥n bets on digital boo STRATEGY NSE-listed

publisher plans to link

up with local ICT firmsto offer its content on

learners’ devices

Tech

TalkBY OKUTTAH MARK

DigitalBusiness

Pupils use

laptops to

conduct

their studies.

Longhorn

Publishers

has

positioned

itself to

provide digital

content for

learners.

JARED NYATAYA




ng abroad to

Africa using its

te this win to our

ntinued feed-

e to develop our

service,” Nyas-

ommenting said

t of the team

g pitch was Dan

ring at SimbaPay.

ome reward and

er-driven innova-

ittances space.”

he most innova-

hted some of the

rom across the

e top picks from

of over 600 ap-

tivity, innovation

The final vetting and adjudication was done by a

pan-African panel of judges comprised of entrepre-

neurs, Vice Chancellors and academia.

Commercial Bank of Ethiopia eyes newsoftware to enhance fraud detectionThe Commercial Bank of Ethiopia (CBE) has

launched NetGuardians and TeamMate systems to

further enhance its capacity to protect customers’

data and mitigate against risks.

The systems were implemented by SOFGEN, a lead-

ing global banking technology consulting company,

which is part of the gia nt TechMahindra group of

companies.

The NetGuardians and TeamMate systems enable

the lender to see all transactions across the bank

from multiple angles, in real-time, round the clock,

giving it the ability to immediately detect any suspi-

cious movements and take preventive action.

“Investment in technology that protects against

risks like fraud, data theft and information leaks is

critical to build trust, as well as to our overall serv-

ice delivery and performance,” says Ephrem Meku-

ria, communications manager at CBE.

NetGuardians and TeamMate systems are designed

on the recognition that human behaviour is behind

fraudulent transactions, and it uses smart behav-

iour analytics based on policy rules and predictive

analytics.

With big data to correlate actions from across the

different bank systems, it can identify potential

fraud before it happens. It tracks and audits all ac-

tivities continuously, in real time, and instantly

alerts risk managers to any deviations.

“We recognise that CBE is strongly motivated to

improve fraud mitigation, operational and IT risk

management, transparency, and governance. We’re

committed to providing them with innovative solu -

tions that are directly aligned with their needs and

meet their most serious challenges,” NetGuardians

CEO Joël Winteregg said.

Mobile payments firm Beyonic has

signed a partnership with Mobile

Accord in a deal that will increase

its footprint across Africa with a

focus on NGOs.

Beyonic operating in Kenya

and Uganda says the deal with

developer Mobile Accord will

build its relationship with lead-

ing mobile carriers to expand to

25 additional countries.

Mobile Accord works with 78

mobile carriers in 44 countries in

Africa and Asia, a footprint mak-

ing the deal juicy for Beyonic.

Mobile Accord and Beyonic willimplement the roadmap, starting

with 10 markets: Cote D’Ivoire,

Ghana, Liberia, Malawi, Mozam-

bique, Niger, Rwanda, Sierra Leo-

ne, Tanzania, and Zambia.

Beyonic’s platform enables

businesses to deploy, track and

manage two-way mobile money

payments over multiple mobile

carriers.

“For those working in emerg-

ing markets, cash payments are

riddled with security and logisti-

cal issues. Over the past few years,

mobile money has become popu-

lar both for businesses looking

to move away from cash, and for

individuals who do not have themeans to open traditional bank

accounts,” said Luke Kyohere,

CEO, Beyonic

“Beyonic’s system allows NGOs

and businesses to utilise mobile

money with very little set-up and

we are excited to expand this tool

across Africa”.

Mobile money allows those in

emerging markets to pay or receive

money through even the most ba-

sic phones.

Mobile payments enable fast,

secure money transfers and re-

duce losses associated with cash

payments.

However, until now, business

making mobile payments neede

to connect individually to ever

carrier they wanted to send mone

through, a time-consuming pro

ess for organisations operating i

many countries.

One platform

Beyonic’s cross-carrier solutio

allows businesses to manag

payments in multiple countrie

through one platform.

Using Beyonic’s online inteface, companies can manage pa

ments to employees, aid benefic

aries, and vendors.

The ability to make and trac

payments across any networ

opens up mobile money to bus

nesses that did not have the re

sources to connect to every carrie

in a country.

Beyonic has deals with, amon

others, MTN, Airtel Uganda an

M-Pesa, and organisations lik

Save the Children, Educate! an

Innovations for Poverty Action

Mobile payments fi≥m

Beyonic ta≥gets NGOs

Tech in actionBY OKUTTAH MARK

Beyonic has deals with firms like M

and Safaricom. FILE

\ http://www.Diasporamessager.com

blog of the we

The International Telecommunications Union has awarded President Uhuru Kenyatta a

prestigious award for promoting the use of ICT for sustainable development.

The ICTs in Sustainable Development Award honours the important contributions made by

leaders, on behalf of their countries, towards harnessing the potential of information and

communication technologies (ICTs) for sustainable development.

President Kenyatta was given the award for the impressive progress Kenya has made in ICT

development and the important role technology is playing in achieving development and s

delivery goals.

The award is also meant to encourage nations to seek technological solutions to meet nati

and global aspirations for a sustainable and inclusive future.

NOTE: Blog quotes in this section are edited and do not in any way represent the vi

this newspaper or its editors.

so reflected in the decline

y 30.1 per cent to stand at

n the turnover was miti-

t saving in the company’s

ution costs in the exports

aid in a statement issued

digital books comes on the

nment initiative to avail all

r devices starting January.

materials to be used must

igital format.

ators and local universities

ped to reap big from Ken-

ital Literacy Programme.

e ICT Authority chief ex-

ecutive said time was long overdue for Ken-

ya’s education sector to go digital, adding that

opportunities presented by the shift far out-

weigh the costs.

“The next phase of the knowledge economy

will require a smart society where people can

exploit their talents, identify opportunities

and be able to grow with those opportuni-

ties,” he said.

Last week David Waweru the Kenya Pub-

lishers Association chairman pointed out that

the initiative will only pay off provided that,among other things, freedom of the Press is

preserved by stakeholders.

“The spirit of digital is to provide more op-

portunities to readers, writers, and content

creators; not limiting options. It is about greater

liberalisation of content creation and provi-

sion, not about consolidation,” he said during

the launch of the 18th Nairobi International

Book Fair at Nairobi’s Sarit Centre.

“As publishers, we must engage top gear in

creating digital content. Having said that, we

believe that the digital book will coexist with

the physical book; the two are not mutually

exclusive,” he added.

The Kenya Institute of Curriculum Devel-

opment (KICD) also organised a conference

from yesterday to October 2 that features re-

nowned researchers, innovators, and practi-

tioners across all levels of education in Kenya,

providing delegate’s with insights on the latest

trends and practical tools for the advancement

of mobile and online learning.

“Advancements in technology are not lim-

ited to just improving how processes or ma-

chines work, but are now taking centre stage

in how teaching and learning occur,” KICD said

in a statement.

Other than the publishers’ computing de-

vice manufacturers have recently unveiled

devices targeting e- learning.Last week BRCK Education, a division

of BRCK - a Nairobi based technology firm

–launched its BRCK KioKit into the market.

The tablet, a component of a portable kit

made up 40 ruggedised BRCK Kio tablets that

cost Sh524,497 ($5,000) will be running web-

based content and locally cached videos that

will offer the pupils exposure to educational

information. A piece cost Sh10,385 ($99). The

firm has also entered into partnership with sev-

eral international and local organisations such

as Pearson, Intel- Education, e-Limu, Know-

Zone, and e-Kitabu in an effort to refine learn-

ers’ experience of accessing digital content.

“We wanted to take a holistic approach to

education, hence the design of an easy to use

digital solution that is uniquely tailored for the

African environment. We are deploying a con-tent-agnostic solution that allows us to curate

localised and culturally relevant digital content

that will improve the learning experience and

give a digital edge to millions of children across

the continent,” said Erik Hersman, BRCK CEO

during the launch.

[email protected]

o open new ≥evenue chapte≥

DigitalBusine




lem as it was last year, though the credit for that

lies with Android.

The small, yet chunky Phonejoy Gamepad 2 is

almost unchanged in terms of design, and while

it’s a little too thick to just slip into your jeans,

it’s small enough to put into a jacket pocket or

cargo pants.

The interlinked metal section in the middle is

reassuringly solid looking, and springs back with

a snap — this might change over time, but one

year down the line, the Kickstarter edition of the

original Phonejoy is still feeling pretty solid.

The LG G3 just about fits into the Phone-

joy Gamepad 2, though the ideal size is a little

smaller - around 5-inches. If your phone is bigger

than six inches then it won’t fit in the controller

— you’ll have to prop it up on a stand while gam-

ing instead.

The buttons all feel very solid, and clicky. The

D-pad is still a little spongy though — it’s better

than last year, but this is one area where there is

still room to improve.

The same is true for the analog sticks — they’re

a definite improvement over the original, but

compared to the full controller style gamepads

like the Amkette Evo Gamepad Pro, this is still

pretty short, and not as satisfying. It’s a necessary

compromise to allow you to slip your Phonejoy

into your pocket, but it does feel a little stiff as

a result.

Connecting the Phonejoy Gamepad 2 to your

phone is really simple, and the companion app

allows you to find games you can play easily. It

divides games into different genres, and also

shows the prices, so you can scoop up the best

free games if you want. The Phonejoy app also

includes a section for emulators, in case you want

to have some retro fun.

The overall experience of using the new Phone-

joy Gamepad 2 is great.

- GADGETS 360

The Phonejoy looks like a miniature con-

troller — and can be used like one, if you’re

gaming on a tablet or a smart TV — but it

actually splits down the middle and can be

stretched like an accordion to wrap around

your phone. The result is something like a

PlayStation Portable, and if you’re a fan of

the idea, you can install a PSP emulator from

the Play Store, assuming you have a stash of

legal PSP games available, of course.

In our review of the original Phonejoy

gamepad, we’d noted that we really liked the

ittle gamepad, and found it comfortable to

use with (and without) a phone. There were

a few issues though — the shoulder buttons

were spongy, and the analog sticks were too

short to use comfortably, and worst of all,

there were some pretty serious compat-

ibility issues.

The new version of the Phonejoy, which

we’ve been using for a week now addresses

all these issues, and the result is a controller

that is a delight to use with a battery that is

still going strong after 10 hours of gaming.

Compatibility is also not as much of a prob-

GoPro, the popular action camera maker, has launched its

new entry-level Hero+ action camera.The GoPro Hero+ features Wi-Fi and Bluetooth connectivity

but skips the LCD touchscreen on the top-end offering.

It can record videos at 1080p (full-HD resolution) at 60fps

and click images at 8-megapixel, offering an image resolu-

tion of 3264x2448 pixels.

The new action camera supports up to 64GB Class 10

microSD cards. Similar to the other GoPro action cam-

eras, the Hero+ is also rugged,

durable and waterproof up t

40 metres.

The company claims that the

GoPro Hero+ can automatically

adjust frame rates according to

lighting conditions.

Phonejoy Gamepad 2 offe≥s And≥oid

enthusiasts g≥eat use≥ expe≥ienceUPGRADE New version of the brand fixes weaknesses

in first model making a delight to use with long battery life

DigitalBusiness

Apple Watch software enhances features

Apple Watch’s new software brings useful enhance-

ments, though it’s not the same as getting a new watch.

That same watch can now do more. For the first time, non-Aple apps are able to display video and use the watch’s senso

and controls. In addition, the watch now works with Wi-Fi, e

tending how far you can go without a phone with you. These

enhancements address many of

my initial frustrations with the

watch. But the hardware itself

isn’t changing, apart for some

new colour and band choices. The

watchOS 2 update for Apple Watch

arrived Monday, delayed by a week

as Apple fixed an unspecified bug.

Gadget reviewsGADGET360

GoPro unveils Hero-action camera

Specs

The small, yet chunky Phonejoy

Gamepad 2 is almost unchanged in

terms of design.

It’s a little too thick to just slip into

your jeans, but small enough to put into

a jacket pocket or cargo pants. The buttons all feel very solid, and

clicky.

Most people are familiar with blackouts;

they are when the lights go out due to loss of

electricity. This can be caused by a number of

things, such as downed power lines, sched-

uled shutoffs, or some other event that caus-

es power to be cut.

Most people experience this a handful of

times a year and, depending on the situation,

blackouts aren’t that big of a deal. However,

they can wreak havoc on your electronics at

home or in your office. But why is this?

It’s because a blackout is exactly the same

as pulling the power cord right out from the

back of your computer. Aside from the fact

you might lose whatever file it is you were

working on, they will also force all of your

programs and your operating system to stop

instantly.

Now that you know about blackouts, let’s

look into the lesser known brownout. A

brownout is when electricity dips, surges,

or is just all around unclean. If you think of

electricity like water, it normally comes into

your house at a fairly consistent rate with the

same amount of pressure.

Now, normally brownouts aren’t that big of

a deal, but they can cause some of the same

issues associated with power outages, and

they can often be paired with spikes in power

also known as power surges.

Power surges are exactly what they sound

like, with excess power flowing into your

house.

The worst part about power surges is that

under most circumstances you can’t see

one actually happen. They are often very fast

and their effects are not immediately known.

Luckily, though, most modern electronics

are designed with some resilience to power

surges.

Let’s talk about ways we can mitigate the

effects or at least protect your electronics

from them.

First of all, buy a surge protector. I could go

into the nitty gritty of what to look for, but

buy a good brand , and the higher number

of Joules, the better. Generally, a good surge

protector will be about $30. Surge protectors

will help protect your electronics, are pretty

cheap, and give you a ton more outlets to

use! So buy one.

So what about brown outs and black outs?

Well the answer is a UPS or (Uninterrupted

Power Source). Basically, this is just a battery

for your electronics. The idea of a UPS though

is not to power your electronics for a long

time. Rather, it’s to power your electronics

for just long enough so that you can do a safe

power down.

- TECH TALK

How to protect computers against blackouts and power surges

Tech Demystified

HP announced a new line of enterprise class multi-

function LaserJet printers. The new printers aim to secure

the businesses’ print environment.

HP cited a Ponemon Institute study that showed the grow-

ing importance of printer security, stating that 56 per cent

of enterprise companies ignore printers in their endpoint

security strategy, and 64 per cent of IT managers believe

that their printers are likely to be infected with malware.

The new enterprise range of printers and MFPs incorporate

three new proprietary features. HP SureStart checks for the

integrity of the BIOS at startup, and is capable of automati-

cally restoring a golden copy of the BIOS stored in a pro-

tected part of the system when compromised.

HP announces new line of LaserJet printers




MONEY & MARKETSNEWS I REVIEWS I ANALYSIS

BY GEORGE NGIGI

Companies holding unclaimed assets

have been given a month to submit

them to the government or be penal-

ised.

The Unclaimed Financial Assets

Authority (UFAA) said yesterday it

would impose the penalties this year

after giving a four-year grace period

for companies to comply.

“The Act came to being in October

2011 so holders of unclaimed assets haveno excuse not to surrender

– we will impose the pen-

alties” said chief executive

Kellen Kariuki.

Companies are re-

quired to submit un-

claimed assets in their

books as at the end of

June each year to the

authority by the first day

of November of the same

year. Failure to forward the assets at-

tracts a penalty equal to 25 per cent of

the value of the assets that should have

been submitted.

The authority said institutions

which were not sure of the asset value

they were holding would be allowed to

submit what they were certain of be-

fore the deadline and seek a two-month

extension to surrender any remaining

amount.

Some of the assets that are consid-

ered unclaimed include cash in bank

accounts for a period exceeding five

years without any owner-initiated ac-

tivity such as withdrawal or request for

a statement. Other unclaimed assets

include bankers cheques not cashed for

two years, contents in safe deposit box-

es unclaimed for more than two years,

court awards exceeding two years, and

utility deposits held for over two years

since termination of services.

Matured life insurance policies un-

claimed for more than two years and

shares, whose dividends have not been

collected for more than three years, are

also in the list.The authority has collect-

ed Sh3.4 billion and expects

to double the amount by end

of the year should there be

compliance with this year’s

deadline. Banks have submit-

ted the bulk of the assets at 62

per cent of the total.

Ms Kariuki said the au-

thority had expected higher

collections from insurance

companies, pension schemes, saving

societies, saccos and government insti-

tutions but there was low compliance

levels in those sectors.

The law gives the authority powers

to audit any premise to ensure compli-

ance. It also compels the institutions to

provide information to the authority.

Organisations that have complied

include KCB Group which has remit-

ted the highest sum of Sh700 million,

Standard Chartered with Sh500 mil-

lion, the defunct Kenya National As-

surance Corporation Sh340 million and

Barclays Bank at Sh200 million.

Regulations on the unclaimed finan-

cial assets are yet to be passed by Par-

liament. The authority, however, main-

tained companies have to comply with

the Act because the rules were to give

guidelines on how the authority was to

pay out collected funds and not how the

holders were to submit the assets.

The Kenya Bankers Association

(KBA) supported the UFAA’s posi-

tion urging its members to observe

the deadline.

“The regulations are yet to be pub-

lished and various institutions may be

waiting to ensure consistency in com-

pliance, however, this should not de-

ter reporting and remitting unclaimed

funds, particularly now that the author-

ity is operational,” said chief executive

Habil Olaka.

Upon receiving the assets, the au-

thority’s first mandate is to search for

the legal owners of the assets or their

heirs — in cases where the owners are

deceased.

The authority has not paid out any

of the beneficiaries who have laid claim

of assets forwarded to them due to ab-

sence of the regulations. The benefi

have, however, been given an unde

ing to be paid once the guideline

approved.

Claims from the fund, so far,

been low and are estimated at

million.

The authority is pushing to

unclaimed assets held by comp

disclosed in financial reports to

tracking. Public listed companies

been disclosing unclaimed divid

but other assets remain confiden

[email protected]

Agency gives fi≥ms 30 days to ≥emit unclaimed assetsULTIMATUMAuthority tells companies to comply

or risk 25pc penalty of asset value in their possession

Unclaimed Financial Assets Authority chief executive Kellen Kariuki speaks at the Stanley Hotel in Nairobi yesterday on pu

awareness campaign to run in October.SALATON NJAU

Holde≥s of

unclaimed

assets have no

excuse not to

su≥≥ende≥

KELLEN KARIUKI, UFAA BOSS




The shilling strengthened

four-week high yesterday du

tight liquidity and commer banks offloading their long

lar positions, while stocks w

down for a fourth straight

sion.

At close of trade at 1

GMT, commercial banks quo

the shilling at 104.55/75 to

dollar, compared with Tuesd

close of 105.25/35.

“It’s due to people unwi

ing their long (dollar) positi

and also the overnight rates

quite punitive,” a senior tra

at one commercial bank sa

Lending rates

Tight shilling liquidity in

money markets has driven onight lending rates to shoo

to a high of 28 percent from

per cent earlier this month

A second trader said

central bank’s activity in m

ping up liquidity had cont

uted to those high rates. “T

have made it very expensiv

run any long foreign curre

position,” he said.

- REUTERS

Shilling fi≥ms to 4-week highstocks down

BY JOHN GACHIRI

The Capital Markets Authority

(CMA) is stepping up prepara-

tions for the introduction of an

exchange for derivatives, which

are used for hedging risk.

The CMA has partnered

with the Dubai Financial

Services Authority to train

local players on how the pro-

posed exchange will work.

The derivatives market is

one of the key targets for the

CMA and so far the regulatorshas set out the rules for mar-

ket players.

“The establishment of a

vibrant derivatives markets

in Kenya is one of the key

projects under the Capital

Market Master Plan whose

delivery is key to deepening

the capital market in Kenya,’’

said CMA acting chief execu-

tive Paul Muthaura.

He added that the regula-

tors has blended international

best practices and local reali-

ties in coming up with regu-

lations for the derivatives

market.

Kenya’s regulatory frame-

work on the planned exchange,

he said, has been aligned to the

International Organisation of

Securities Commissions princi-

ples and takes into account the

country’s status as a develop-

ing economy.

“The establishment of

a derivatives market is ex-

pected to attract both domestic

and foreign participation and

to benefit all sectors of the

economy through, among

others, providing products

to address volatility in in

est rates, currency and, in

longer term, volatility in p

es of commodities,’’ said

Muthaura.

The Nairobi Securities

change (NSE) also plans to

up a derivatives market

has in the past run ma

simulation with brokers.

Services hub

“We are set to launch our de

atives market, Real Estate

vestment Trusts and ExchaTraded Funds, all with an

of broadening our prod

offering and deepening

capital market while furt

strengthening our positio

the financial services hub

East and Central Africa,”

NSE chief executive Geoff

Odundo in August.

Derivatives are so ca

because they are der

from other assets — ca

underlying assets — such

equities, bonds or mortga

They are intended to mitig

against risks an investor m

incur when prices of the as

change.

CMA gea≥s up fo≥ launchof de≥ivatives exchange

Mr Paul Muthaura, the acting

CMA chief executive. FILE




Chief among the questions is whether

the world’s most influential central

bank, along with many of its peers, is

trapped at near zero interest rates as

the economic cycle crests and infla-

tion flatlines, due to a rapid cooling of

China and other emerging economies

and a commodity price slump.

The uncomfortable

prospect of heading intoanother economic slow-

down with no interest

rate ammunition to fight

the downturn is at the root

of much that investment

angst.

“The relative paucity

of the monetary policy

toolkit increases the fragil-

ity of the expansion, with

risks that an adverse shock

could lead businesses and consumers

to retrench and thereby transform a

mid-cycle slowdown into something

significantly worse,” wrote Citi chief

economist Willem Buiter.

Yet by subsequently insisting a rate

rise was still on the cards this year, the

Fed simultaneously removed any low-

rates balm and confused many as to

its ‘reaction function’.

Just which of the global pressures

that stayed its hand only two weeks

ago — weakening China, emerging

markets and commodity prices — will

disappear again by year end?

And if the rise of the dollar is at

least partly behind both those pres-

sures and the below-target U. inflation

rate, then surely every future push to

raise rates will simply strengthen the

currency again and re-ignite the same

chain reaction.

“You can’t run a independent, do-

mestically-focused monetary policy

in this environment,” said Salman

Ahmed, chief strategist at

asset managers LombardOdier, adding that a major

complication is the huge

uncertainty internally at

the Fed about just how

the world’s second biggest

economy, China, is actually

performing.

“What has happened is

that central banks have lost

control to calibrate mone-

tary policy to only domestic

economic data.”

The Fed may be in the hot seat,

but the Bank of England has a simi-

lar dilemma.

The Bank of Japan and European

Central Bank differ only in that there’s

no domestic pressure yet to tighten

policy. But their attempts to avoid

deep deflation and reach explicit in-

flation targets seem to be similarly

sideswiped by global rather than do-

mestic developments. And that’s not

changing any time soon.

In a world that’s wound down very

little of its overall indebtedness some

seven years after the credit crash was

supposed to launch a wave of ‘delev-

eraging’, relatively slow growth and

over-reliance on cheap credit to cope

with that funk has “zombified” global

economies for years to come, Ahmed

added.

And in such a low growth world,

political pressure to bring central

banks into a more centrally-directed

policy framework will only increase.

The debate in Britain has shifted

squarely in that direction already:

the new left-wing leader of Britain’s

main opposition Labour Party, Jeremy

Corbyn, and his finance spokesman,

John McDonnell, are both long-stand-

ing critics of Bank of England inde-

pendence.

McDonnell, who this week assem-

bled a panel of advisers including No-

bel laureate Joseph Stiglitz and French

economist Thomas Piketty, advocates

a ‘People’s QE’ where the BoE would

be instructed to buy bonds sold by a

new national development bank for

infrastructure projects.

And one of those advisers, aca-

demic economist and former BoE

policymaker David Blanchflower,

said on Tuesday Labour was right to

debate the bank’s mandate beyond

pure inflation targeting.

“It should include new objectives

for the monetary policy committee

such as growth, employment and per-

haps even earnings,” he wrote, adding

the Fed’s model of seeking employ-

ment, stable prices and moderate

long-term borrowing rates would

be better.

But given the Fed is itself in a pecu-

liar bind, that model may not impress

some central bank critics.

And the concern among some

economists and investors is that

greater political control may leave

the bank compromised in future to

more extreme, short-term whims of

parties in power.

British economist George Magnus

said there may be a case for better co-

ordination between government and

central bank and some lines between

the two had indeed blurred. But he

warned of the danger of ‘crossing the

Rubicon’ on central bank independ-

ence. - REUTERS

INDEPENDENCE Influence of Fed on monetary

policy erodes regulators’ domestic mandates

Britain’s Labour Party Leader Jeremy Corbyn makes his keynote address on the third

day of the annual Labour Party Conference in Brighton, England on Tuesday.AFP

Cent≥al banks ≥oleunde≥ sc≥utiny on

loss of autonomy

MONEY & MARKETS GLOBA

The ≥elative

paucity of the

moneta≥y policy

toolkit inc≥eases

the f≥agility of

the expansion

WILLEM BUITER, CHIEF

ECONOMIST, CITI

Asia sha≥es on t≥ack fo≥ wo≥st qua≥te≥ly loss in fou≥ yea≥ Asian stock markets rallied yesterdayafter sliding to 3-year lows, but concerns

lingered over slumping commodities

prices and China’s cooling economy.

European markets were set to fol-

low Asia higher, with financial spread-

betters expecting Britain’s FTSE 100,

Germany’s DAX and France’s CAC 40 to

open as much as 1.2 percent higher.

US stock futures rose 0.8 per cent,

suggesting a stronger opening on Wall

Street later in the session.

MSCI’s broadest index of Asia-Pacific

shares outside Japan rose 1.6 per cent

after plumbing its lowest since June

2012 on Tuesday on fears that China’s

slowdown would curb its huge appetite

for commodities and resources.

The index was on track for a 2.9 per-

cent decline in September, extendinglosses for the quarter to 17.7 per cent,

its worst quarterly performance in

four years.

Japan’s Nikkei brushed aside an

unexpected drop in the country’s in-

dustrial output to close up 2.7 per cent,

paring losses for the quarter to 14.1 per-

cent, its deepest since 2010.

“The current environment rep-

resents a winding back of the overly

bullish expectations of both commodity

demand and Chinese growth – to a more

balanced expectation of progressive,

not exponential, growth,” said Angus

Gluskie, managing director of White

Funds Management in Sydney.

Demand for the safe-haven yen

eased as global stocks steadied and

some semblance of calm returned to

markets, but traders said month-end

and quarter-end flows meant that vola-

tility is likely to remain a feature.

The dollar index against a basket of

major currencies edged up 0.2 per cent.The dollar fetched 119.96 yen, having

turned around from a low of 119.24. The

euro slipped 0.1 per cent to $1.1231.

Commodity currencies languished,

with the Canadian dollar slipping 0.1

per cent to an 11-year low of C$1.3407.

Traders said US non farm payrolls

data on Friday could help strengthen,

or weaken, the case for the Federal Re-

serve raising US. interest rates before

the end of the year, thus setting the tone

for the dollar.

The market will also be keeping an

eye on Fed Chair Janet Yellen, who is

due to give welcome remarks at a con-

ference later on Wednesday.

And commodities and global finan-

cial markets face a major test of nerves

on Thursday, when the closely-waChinese Purchasing Managers’ I

(PMI) is likely to show the coun

factory sector shrank for the se

month in a row in September.

China’s CSI300 climbed 1.2 per

helping reduce losses for the qu

to 28 percent. The Hang Seng’s 1

cent gain also helped shrink loss

20 percent for the quarter.

South Korea’s Kospi reversed

lier losses to end the day 1 pe

higher, paring losses to 5.4 perce

the quarter.

Australian shares closed u

percent, for a quarterly decline

percent.

-REUTERS

An investor at the Jakarta Stock

Exchange.AFP

World trade will grow by 2.8 pethis year and could be pegged

further by a US interest rate rise

na’s economic slowdown or Eur

refugee crisis, the World Trade Or

zation said yesterday.

The forecast, revised down

a 3.3 per cent forecast made in A

means 2015 will be the fourth ye

a row with trade growth of less

three per cent, half the annual

age in 1990-2008 before the fina

crisis hit.

The WTO’s forecast implies gr

will quicken this year, from 2.5 pe

growth in 2014. But its expecta

have repeatedly proved overly

mistic as hopes of global econ

recovery have receded.There were still big potential

to its latest numbers.

“These include a sharper-

expected slowdown in emergin

developing economies, the possi

of destabilising financial flows fro

eventual interest rate rise by th

Federal Reserve, and unanticip

costs associated with the migr

crisis in Europe,” the WTO said

statement. The Chinese slowdow

ready caused the WTO to cut its

forecast for growth in Asian impo

2.6 per cent, down from a 5.1 per

projection in April, and Asian ex

to 3.1 percent from the previou

percent forecast.

China’s falling demand was on

jor reason why global trade shra

the first two quarters of 2015, con

ing from the previous quarter b

average of 0.7 per cent. Falling dem

in Brazil and oil and commodity p

also contributed. However, yea

year global growth for the year to

is still positive, at 2.3 percent from

same period of 2014.

-REUTERS

WTO names top ≥isks to t≥ade g≥owth




Banke≥ seesglobal financial c≥ises th≥eat inclimate changeClimate change threatens global

financial crises and long-term de-

clines in wealth unless world lead-

ers urgently seal a deal to limit it, the

head of the Bank of England said on

Tuesday.

“The challenges currently posed

by climate change pale in significance

compared with what might come,”

Mark Carney told business leaders in

a speech in London. “The far-sighted

amongst you are anticipating broader

global impacts on property, migration

and political stability, as well as food

and water security.”

Speaking as world leaders scram-

ble to lay the groundwork for a new

United Nations agreement to limitclimate change at talks in Paris start-

ing in November, Carney warned that

“the window of opportunity is finite

and shrinking”. His comments come

the day after French President Fran-

cois Hollande warned that if no deal

was reached in Paris, “it will be too late

for the world,” in an address to the UN

General Assembly in New York.

Rising temperatures

Scientists have underlined the ur-

gency of preventing temperatures

rising more than two degrees Celsius

(3.6 Fahrenheit) from pre-industrial

times, although analysts warn the

world is heating far faster.

Several nations and private sector

bodies have promised to cut green-

house gas emissions, blamed for the

severe weather and rising tempera-

tures, but there remain deep interna-

tional divisions over a long-awaited

deal. A Canadian economist who has

been the governor of the central bank

since 2013, Carney said that scientific

evidence indicated “climate change

will threaten financial resilience and

longer-term prosperity”.

He said the number of weather-

related loss events for insurers had

tripled since the 1980s, while infla-

tion-adjusted losses for the sector

had increased five-fold to $50 billion a

year. The “catastrophic impacts of cli-mate change” — including floods and

storms and financial costs of shifting

to a low-carbon economy — will only

be felt over a longer period than the

three to 10 year horizon used in the

financial industry, he warned.

“In other words, once climate

change becomes a defining issue for

financial stability, it may already be

too late,” Carney said.

The Earth is currently on track for

temperatures to rise 3.5 degrees, ac-

cording to Climate Interactive.

A 3.5 degree rise would mean “a

world we cannot adapt to”, accord-

ing to the body’s co-director Andrew

Jones.

-AFP

MARKETDATMARKETDAT

Tracking the markets: Benchmark Index (Latest Data)

World

Africa

USE All Share Uganda

1948.00

0.00

RSE All ShareRwanda

142.3

0.0

NGSE All shareNigeria

29909.44

-796.18

DSE All Share Tanzania

2576.77

0.00

NikkeiTokyo

20620.26

0.49%

Xetra DaxFrankfurt

11027.34

0.38%

SensexMumbai

27878.2

-0.67%

DJ IndustrialNew York

17477.40

0.40%

HangSeng Hongkong

23814.65

-0.74%

JSE All Share IndexSouth Africa

50767.02

-54.16

Jan ‘15 Aug ‘15 Jan ‘15 Aug ‘15 Jan ‘15 Aug ‘15 Jan ‘15 Aug ‘15 Jan ‘15 Aug ‘15

Jan ‘15 Aug ‘15 Jan ‘15 Aug ‘15 Jan ‘15 Aug ‘15 Jan ‘15 Aug ‘15 Jan ‘15 Aug ‘15

Tracking the markets: Benchmark Index (Latest Data)

World

Africa

USE All Share Uganda

1,924.00

-1.64%

RSE All ShareRwanda

135.4

0.00

NGSE All shareNigeria

30,574.01

-0.81%

DSE All Share Tanzania

2,531.08

0.69%

NikkeiTokyo

17,388.15

2.70%

Xetra DaxFrankfurt

9,688.73

2.52%

SensexMumbai

26,154.83

1.46%

DJ IndustrialNew York

16,049.13

0.30%

HangSeng Hongkong

20,846.30

1.41%

JSE All Share IndexSouth Africa

49,976.27

1.20%

WINNERS AND LOSERS - YTD

DTBKenya

TOTALKenya

BATKenya

OLYMPIA CAPITALKenya

TPS EA.Kenya4.35

-1.14%

Earnings per share

Price to earnings ratio (p/e)

Dividend Yield

-1.04

-4.18

0.00%

Jan ‘15 Sept ‘15

Earnings per share


Dividend Yield

42.55

19.20

5.20%

817.00

3.68%

Earnings per share


Dividend Yield

2.26

8.47

3.66%

19.15

2.13%

Earnings per share


Dividend Yield

21.92

9.12

1.20%

200.00

0.00%

Earnings per share


Dividend Yield

29

-2.48

Earnings per share


Dividend Yield

1.54

8.54

7.60%

13.15

0.77%

BarclaysKenya8.35

0.60%

Earnings per share


Dividend Yield

1.29

6.47

4.79%

KenGenKenya47.00

-1.57%

Earnings per share


Dividend Yield

5.63

8.35

4.26%

KCBKenya

Earnings per share


Dividend Yield

10.44

4.98

0.00%

CentumKenya 52.00

0.00%

Earnings per share


Dividend Yield

-0.8

-3.5

0.00

3.

0.00

EvereadyKenya

1

21

4.5

Jan ‘15 Sept ‘15 Jan ‘15 Sept ‘15 Jan ‘15 Sept ‘15 Jan ‘15 Sept ‘1

Jan ‘15 Sept ‘15 Jan ‘15 Sept ‘15 Jan ‘15 Sept ‘15 Jan ‘15 Sept ‘15 Jan ‘15 Sept ‘1






NAME LOCATION LAST NET.CHNG PCT.CHNG OPEN HIGH LOW CLOSE

DJ INDU AVERAGE NEW YORK 16,049.13 47.24 0.30% 16,001.76 16,118.89 15,942.37 16,001.89

FTSE EUROTOP 100 LONDON 2,727.64 71.46 2.69% 2,655.56 2,728.09 2,655.56 2,656.18

XETRA DAX PF/D FRANKFURT 9,688.73 238.33 2.52% 9,674.61 9,696.13 9,596.95 9,450.40

CAC 40 INDEX/D PARIS 4,464.77 121.04 2.79% 4,433.76 4,468.25 4,413.08 4,343.73

FTSE MIB/D MILAN 21,248.98 522.23 2.52% 21,039.60 21,261.31 20,971.28 20,726.75

SMI PR/D SWITZERLAND 8,516.01 192.53 2.31% 8,449.32 8,526.26 8,428.07 8,323.48

HANG SENG INDE/D HONG KONG 20,846.30 289.70 1.41% 20,795.93 20,939.39 20,683.11 20,556.60

NIKKEI 225 INDEX TOKYO 17,388.15 457.31 2.70% 17,193.84 17,460.97 17,179.40 16,930.84

ALL ORDINARIES AUSTRALIA 5,058.60 100.48 2.03% 4,958.10 5,058.60 4,958.10 4,958.12

STRAITS TIMES/D SINGAPORE 3 ,614.24 5.95 0.16% 3,598.31 3,625.76 3,590.11 3,608.29

SSE COMPOSITE/D SHANGHAI 3,053.32 15.19 0.50% 3,052.84 3,073.30 3,039.74 3,038.14

S&P SENSEX/D MUMBAI 26,154.83 376.17 1.46% 25,986.52 26,179.70 25,918.21 25,778.66

Currencies Global Indexes

Global Markets & Currencies

MARKETDATA

Kenya Shilling

Global Indices

US Dollar

FTSE 100

Global Markets & Currencies

MARKETDATA

Kenya Shilling

FTSE 100

CURRENCY BUY SELL MEAN

US DOLLAR 105.19 105.39 105.29

STG POUND 159.41 159.75 15 9.58

EURO 118.21 118.45 118.33

SA RAND 7.56 7.58 7.57

KES / USHS 34.97 35.13 35.05

KES / TSHS 20.45 20.53 20.49

KES / RWF 6.93 7.01 6.97

KES / BIF 14.70 14.82 14.76

AE DIRHAM 28.64 28.70 28.67CAN $ 78.44 78.61 78.53

S FRANC 108.08 108.32 108.20

JPY (100) 87.67 87.87 87.77

SW KRONER 12.53 12.56 12.55

NOR KRONER 12.40 12.44 12.42

DAN KRONER 15.85 15.88 15.87

IND RUPEE 1.60 1 .60 1.60

HONGKONG DOLLAR 13.57 13.60 13.59

SINGAPORE DOLLAR 73.83 74.02 73.92

SAUDI RIYAL 28.05 28.10 28.08

CHINESE YUAN 16.55 16.59 16.57

AUSTRALIAN $ 73.76 73.94 73.85

SOURCE CBK

DAILY YTD 52 WEEK 3-YR

INDEX (REGION/COUNTRY) CLOSE CHG % CHG % CHG HIGH LOW % CHG % CHG

GLOBAL

THE GLOBAL DOW (WORLD) 2,200.33 -12.27 -0.55 -12 2,639.52 2,200.33 -13.2 4.6

THE GLOBAL DOW EURO (WORLD) 1,846.63 -12.12 -0.65 -5.1 2,305.98 1,752.10 -2.3 9.5

DJ GLOBAL INDEX (WORLD) 288.56 -1.97 -0.68 -10.1 341.62 288.56 -10 4.4

DJ GLOBAL EX U.S. (WORLD) 199.02 -2.86 -1.42 -11.6 246.68 199.02 -15.2 -0.1

ASIA PACIFIC

DJ ASIA-PACIFIC TSM (ASIA-PACIFIC) 1,269.58 -34.41 -2.64 -11 1,619.39 1,2 69.58 -12.8 0.5

ALL ORDINARIES (AUSTRALIA) 4,958.10 -187 -3.63 -8 5,954.80 4,958.10 -6.4 4

S & P/ASX 200 (AUSTRALIA) 4,918.40 -195.1 -3.82 -9.1 5,982.70 4,918.40 -7.1 3.9

DOW JONES CHINA 88 (CHINA) 245.31 -4.89 -1.96 -17.2 408.69 185.44 27.6 8.6

SHANGHAI COMPOSITE (CHINA) 3,038.14 -62.62 -2.02 -6.1 5,166.35 2,290.44 28.5 13.3

HANG SENG (HONG KONG) 20,556.60 -629.72 -2.97 -12.9 28,442.75 20,556.60 -10.4 -0.5

S & P BSE SENSEX (INDIA) 25,778.66 161.82 0.63 -6.3 29,681.77 24,893.81 -3.2 11.2

JAKARTA COMPOSITE (INDONESIA) 4,178.41 57.91 1.41 -20.1 5,523.29 4,120.50 -18.7 -0.7

NIKKEI 300 (JAPAN) 277.30 -13.03 -4.49 -2.5 343.20 238.07 3.8 22.8

NIKKEI STOCK AVG (JAPAN) 16,930.84 -714.27 -4.05 -3 20,868.03 14,532.51 4.7 24

TOPIX INDEX (JAPAN) 1,375.52 -63.15 -4.39 -2.3 1,691.29 1,177.22 3.7 23.1

KUALA LUMPUR COMPOSITE (MALAYSIA) 1,603.32 -5.11 -0.32 -9 1,862.80 1,532.14 -13.2 -0.7

NZSX-50 (NEW ZEALAND) 5,612.42 -86.71 -1.52 0.8 5,957.85 5,132.02 6.4 13.5

KSE 100 (PAKISTAN) 32,214.58 -475.44 -1.45 0.3 36,228.88 28,927.04 8.4 27.8

PSEI (PHILIPPINES) 6,859.29 43.7 0.64 -5.1 8,127.48 6,791.01 -5.8 8.7

STRAITS TIMES (SINGAPORE) 2,787.94 -3.98 -0.14 -17.2 3,539.95 2,787.94 -14.9 -3.1

KOSPI (SOUTH KOREA) 1,942.85 ... CLOSED 1.4 2,173.41 1,829.81 -4.4 -0.8

COLOMBO STOCK EXCHANGE (SRI LANKA) 7,085.38 6.74 0.1 -2.9 7,605.79 6,782.43 -2.3 5.9

WEIGHTED (TAIWAN) 8,132.35 ... CLOSED -12.6 9,973.12 7,410.34 -9.5 1.7SET (THAILAND) 1,348.84 -3.29 -0.24 -9.9 1,615.89 1,301.06 -14.9 1.3

EUROPE

STOXX EUROPE 600 (EUROPE) 339.23 -2.34 -0.69 -1 414.06 310.03 -1.1 8.1

STOXX EUROPE 50 (EUROPE) 2,905.25 -20.28 -0.69 -3.3 3,591.47 2,781.33 -5.3 4.9

EURO STOXX 50 (EURO ZONE) 3,029.86 -9.58 -0.32 -3.7 3,828.78 2,874.65 -6.1 7.3

EURO STOXX (EURO ZONE) 317.56 -1.29 -0.4 -0.7 392.35 288.41 -1.4 9.1

ATX (AUSTRIA) 2,187.68 19.22 0.89 1.3 2,681.44 2,032.13 -0.7 1.5

BEL-20 (BELGIUM) 3,296.76 -21.13 -0.64 0.4 3,905.71 2,887.73 2.3 11.6

PX 50 (CZECH REPUBLIC) 959.40 -2.98 -0.31 1.3 1,058.40 901.30 -3.2 0.2

OMX COPENHAGEN (DENMARK) 815.78 -15.31 -1.84 20.8 923.55 611.68 18.1 21.9

OMX HELSINKI (FINLAND) 7,563.22 28.87 0.38 -2.5 9,374.42 7,010.83 -1.4 11.4

CAC 40 (FRANCE) 4,343.73 -13.32 -0.31 1.7 5,268.91 3,918.62 -1.6 9

DAX (GERMANY) 9,450.40 -33.15 -0.35 -3.6 12,374.73 8,571.95 -0.3 9.4

BUX (HUNGARY) 20,932.82 266.1 1.29 25.8 22,850.53 15,686.69 17 4

FTSE MIB (ITALY) 20,726.75 -32.74 -0.16 9 24,031.19 18,078.97 -0.8 11.1

AEX (NETHERLANDS) 412.11 -0.21 -0.05 -2.9 509.24 376.27 -2.1 8.4

ALL-SHARES (NORWAY) 611.63 0.94 0.15 -1.3 711.22 575.27 -9.6 7.3

WIG (POLAND) 49,257.71 25.97 0.05 -4.2 57,379.45 48,602.02 -10.2 4

PSI 20 (PORTUGAL) 4,896.39 -69.81 -1.41 2 6,324.88 4,606.25 -14.7 -2

RTS INDEX (RUSSIA) 784.11 8.38 1.08 -0.8 1,123.72 629.15 -30.2 -19

IBEX 35 (SPAIN) 9,393.90 -0.3 -0.003 -8.6 11,866.40 9,291.40 -13.2 6.8

SX ALL SHARE (SWEDEN) 466.99 0.53 0.11 -1.5 564.90 405.51 4.3 12.1

SWISS MARKET (SWITZERLAND) 8,323.48 -57.74 -0.69 -7.3 9,526.79 7,899.59 -5.8 8.6

BIST 100 (TURKEY) 74,257.65 942.66 1.29 -13.4 91,412.94 71,299.43 -0.9 3.8

FTSE 100 (U.K.) 5,909.24 -49.62 -0.83 -10 7,104.00 5,898.90 -10.8 1

FTSE 250 (U.K.) 16,442.49 -171.67 -1.03 2.2 18,263.46 14,426.74 6.9 11.9

AMERICAS

DJ AMERICAS (AMERICAS) 455.30 0.13 0.03 -10.2 524.44 454.62 -7.4 7

MERVAL (ARGENTINA) 9,659.57 248.2 2.64 12.6 12,548.99 7,581.72 -23 57.9

SAO PAULO BOVESPA (BRAZIL) 44,131.82 175.19 0.4 -11.7 58,051.61 43,956.63 -18.4 -9.3

S & P/TSX COMP (CANADA) 13,036.96 32.38 0.25 -10.9 15,450.87 13,004.58 -12.9 1.9

SANTIAGO IPSA (CHILE) 2,936.17 3.66 0.12 -7.2 3,359.04 2,903.95 -9.7 -11.5

IPC ALL-SHARE (MEXICO) 42,121.51 228 0.54 -2.4 45,773.31 40,225.08 -6.4 1

CARACAS GENERAL (VENEZUELA) 11,871.34 -265.56 -2.19 207.6 15,580.47 2,808.13 308.1 237.8

SOURCE: WSJ MARKETS

BACKGROUND BID ASKEURO 1.12 1.12

APANESE YEN 120.32 120.33

BRITISH POUND 1.52 1.52

SWISS FRANC 0.97 0.97

AUSTRALIAN DOLLAR 0.70 0.70

SWEDISH KRONA 8.39 8.39

CANADIAN DOLLAR 1.34 1.34CHINESE YUAN 6.36 6.36

NORWEGIAN KRONE 8.48 8.48

BOSNIAN MARK 1.71 1.76

DANISH KRONE 6.66 6.66

RUSSIA ROUBLE 65.49 65.50

TURKISH LIRA 3.03 3.03

CELAND KRONA 127.17 127.46

NDIAN RUPEE 65.58 65.59

POLISH ZLOTY 3.78 3.78

CZECH KORUNA 24.24 24.28

HUNGARIAN FORINT 279.26 279.66

UKRAINE HRYVNIA 21.05 21.25

SRAEL SHEKEL 3.92 3.93

ALBANIAN LEK 124.07 124.67

BULGARIAN LEV 1.75 1.75

SERBIAN DINAR 59.99 60.19

CYPRUS POUND 0.40 0.40

ESTONIAN KROON 11.70 11.71

GEORGIAN LARI 2.35 2.43

THAI BAHT 36.32 36.34

GIBRALTAR POUND 1.51 1.51

CROATIAN KUNA 6.82 6.82

KAZAKHSTAN TENGE 271.80 272.10

LITHUANIA LITAS 2.85 2.85LATVIAN LATS 0.51 0.51

MOLDOVAN LEU 19.97 20.20

MACEDONIA DENAR 54.78 55.15

MALTESE LIRA 3.41 3.42

ROMANIAN LEU 3.94 3.94

SLOVAK KORUNA 21.55 21.60

SERBIAN DINAR 106.61 107.03

ARMENIAN DRAM 470.00 475.00

UAE DIRHAM 3.67 3.67

ANGOLAN KWANZA 134.85 135.85

BURUNDI FRANC 1,566.00 1,586.00

BOTSWANA PULA 0.09 0.10

CONGO FRANC 915.00 935.00

CAPE VERDE ESCUDO 98.28 99.38

DIJIBOUTI FRANC 176.70 178.40

ALGERIAN DINAR 105.80 106.15

EGYPT POUND 7.83 7.83

ETHIOPIAN BIRR 20.72 21.12

GHANAIAN CEDI 3.68 3.74

GAMBIAN DALASI 38.60 39.60

ERITREA NAFKA 15.12 15.62

GUINEA FRANC 7,294.50 7,794.50

KENYA SHILLING 104.75 104.95

COMORO FRANC 437.15 438.15

LIBERIAN DOLLAR 87.00 88.00

LESOTHO LOTI 13.81 13.84

LIBYAN DINAR 1.37 1.37

MOROCCAN DIRHAM 9.69 9.71

MALAGASY ARIARY 3,200.00 3,250.00

MAURITANIAOUGUIYA 286.00 298.08

MALAWI KWACHA 549.20 561.50

MOZAMBIQUEMETICAL 42.00 42.84

NIGERIAN NAIRA 198.00 198.10

RWANDA FRANC 707.00 716.00

SC RUPEE 12.94 13.26

SUDANESE DINAR 200.02 201.02

SUDAN POUND 2,025.50 2,035.60

ST HELENA POUND 1.55 1.56

SIERRALEONLEON 4,145.00 4,245.00

SAO TOME DOBRA 21,205.00 22,519.00

SOMALI SHILLING 642.00 649.00

SWAZILAND LILAGENI 13.81 13.85

TUNISIAN DINAR 1.96 1.97

TANZANIA SHILLING 2,155.00 2,165.00

UGANDA SHILLING 3,688.00 3,698.00

CFA FRANC 585.26 594.26

CFA FRANC 585.26 602.86

MAURITIUS RUPEE 35.45 35.65

SOUTH AFRICA RAND 13.82 13.83

ZIMBABWE DOLLAR 378.00 381.00

NAME LAST CLOSE NET.CHNG PCT.CH

ANGLO AMERICAN/D 550.70 543.10 7.60 1.40%

ASSOC.BR.FOODS/D 3299.00 3205.00 94.00 2.93%

ADMIRAL GROUP/D 1495.00 1455.00 40.00 2.75%

ABDN.ASSET.MAN/D 296.30 293.00 3.30 1.13%

AGGREKO/D 906.50 876.00 30.50 3.48%

ANTOFAGASTA/D 498.60 491.70 6.90 1.40%

ARM HOLDINGS/D 935.00 919.00 16.00 1.74%

ASHMORE/D 247.20 243.40 3.80 1.56%

AVIVA PLC/D 450.23 428.40 21.80 5.09%

ASTRAZENECA/D 4201.00 4129.50 71.50 1.73%

BAE SYSTEMS/D 448.80 436.90 11.90 2.72%

BARCLAYS/D 245.70 239.00 6.70 2.80%

BRIT AM TOBACC/D 3629.00 3521.00 108.00 3.07%

BG GROUP/D 951.10 949.60 1.50 0.16%

BR LAND CO/D 831.50 821.50 10.00 1.22%

BHP BILLITON/D 996.00 979.00 17.00 1.74%

BUNZL/D 1769.00 1739.00 30.00 1.73%

BP/D 332.65 326.20 6.45 1.98%

BURBERRY GRP/D 1359.00 1316.00 43.00 3.27%

BT GROUP/D 421.25 413.25 8.00 1.94%

CARNIVAL/D 3426.00 3312.00 114.00 3.44%

CENTRICA/D 227.70 222.80 4.90 2.20%

COMPASS GROUP/D 1041.00 1015.00 26.00 2.56%

CAPITA PLC/D 1197.00 1190.00 7.00 0.59%

CRODA INTL/D 2744.00 2656.00 88.00 3.31%

CRH/D 1739.00 1700.00 39.00 2.29%

DIAGEO/D 1765.00 1718.00 47.00 2.74%

MAN GROUP/D 152.04 148.60 3.80 2.56%

EVRAZ PLC/D 73.50 72.00 1.50 2.08%

EXPERIAN/D 1059.00 1031.00 28.00 2.72%

FRESNILLO/D 595.50 596.50 -1.00 -0.17%G4S/D 230.60 227.40 3.10 1.36%

GKN/D 265.00 255.50 9.50 3.72%

GLENCORE/D 88.49 80.25 8.24 10.27%

GLAXOSMITHKLIN/D 1263.00 1237.50 25.50 2.06%

HAMMERSON/D 621.00 612.50 8.50 1.39%

HARGREAVES LS/D 1207.00 1179.00 28.00 2.37%

HSBC HOLDINGS/D 497.63 485.55 12.10 2.49%

ICAP PLC/D 455.50 447.00 8.50 1.90%

IAG/D 586.50 570.00 16.50 2.89%

INTERCONT HOTE/D 2259.00 2209.00 50.00 2.26%

IMI PLC/D 941.50 944.50 -3.00 -0.32%

IMPERIAL TOBAC/D 3396.00 3334.00 62.00 1.86%

INTERTEK GROUP/D 2416.00 2346.00 70.00 2.98%

ITV/D 246.70 243.20 3.50 1.44%

JOHNSON MATTHE/D 2470.00 2410.00 60.00 2.49%

KAZ MINERALS/D 80.15 72.70 7.45 10.25%

KINGFISHER/D 357.30 347.90 9.40 2.70%

LAND SECS GROU/D 1250.00 1234.00 16.00 1.30%

LEGAL & GENERA/D 239.20 230.40 8.80 3.82%

LLOYDS BNK GRP/D 75.39 73.36 2.03 2.77%

MEGGITT PLC/D 476.20 464.10 12.10 2.61%

MARKS & SP./D 500.50 488.40 12.10 2.48%

MORRISON SUPMK/D 167.50 156.10 11.40 7.30%

NATIONAL GRID/D 912.60 900.90 11.70 1.30%

NEXT/D 7561.50 7470.00 90.00 1.20%

OLD MUTUAL/D 188.10 182.10 6.00 3.29%

PETROFAC/D 769.00 762.50 6.50 0.85%

POLYMETAL INT/D 571.00 558.00 13.00 2.33%

PRUDENTIAL/D 1385.80 1330.50 55.50 4.17%

PEARSON/D 1112.00 1099.00 13.00 1.18%

RECKIT BNCSR G/D 5996.00 5820.00 176.00 3.02%

ROYAL BANK SCO/D 315.00 308.60 6.40 2.07%

RDS ‘A/D 1551.00 1537.00 14.00 0.91%

RELX/D 1122.00 1095.00 27.00 2.47%

ROYAL DTCH SHL/D 1555.00 1543.00 12.00 0.78%

REXAM/D 525.50 517.00 8.50 1.64%

RIO TINTO/D 2210.00 2149.50 60.50 2.81%

ROLLS ROYCE PL/D 669.34 651.00 18.50 2.84%

RANDGOLD RES./D 3836.00 3844.00 -8.00 -0.21%

RSA INSRANCE G/D 398.40 391.90 6.50 1.66%

SABMILLER/D 3723.50 3700.00 23.50 0.64%

SAINSBURY(J)/D 260.40 229.30 31.10 13.56%

SCHRODERS/D2783.00 2716.00 67.00 2.47%

SCHRODERS NV/D 2146.00 2116.00 30.00 1.42%

SAGE GROUP/D 500.00 491.40 8.60 1.75%

SHIRE/D 4513.73 4431.00 82.00 1.85%

STANDARD LIFE/D 386.50 375.50 11.00 2.93%

SMITHS GROUP/D 1000.00 994.50 5.50 0.55%

SMITH&NEPHEW/D 1148.00 1122.00 26.00 2.32%

SERCO GROUP/D 101.60 100.50 1.10 1.09%

SSE PLC/D 1495.64 1437.00 58.00 4.04%

STANDRD CHART /D 638.80 624.10 14.70 2.36%

SEVERN TRENT/D 2188.00 2136.00 52.00 2.43%

TATE & LYLE/D 587.00 577.50 9.50 1.65%

TULLOW OIL/D 172.10 166.60 5.50 3.30%

TESCO/D 182.30 171.30 11.00 6.42%

UNILEVER/D 2690.00 2603.00 87.00 3.34%

UNITED UTIL GR/D 918.63 905.50 13.50 1.49%

VEDANTA RES/D 436.40 440.30 -3.90 -0.89%

VODAFONE GROUP/D 207.94 204.35 3.60 1.76%

WEIR GROUP/D 1153.66 1144.00 10.00 0.87%

WOLSELEY/D 3765.00 3656.00 109.00 2.98%

WPP PLC/D 1370.00 1325.00 45.00 3.40%

WHITBREAD/D 4686.00 4577.00 109.00 2.38%

KENYA AIRWAYS/D 5.50 5.65 -0.15 -2.65%




In the Drake song0 to 100, the ob-

vious theme is reaching a point of

success at a fast pace. A few lines

later, there’s a lyric, “I’m the rookie

and the vet.”

It’s a great line. Imagine possessing

the best qualities of the enthusiastic

up-and-comer with the wisdom and

experience of an industry lifer. The

key to success in life and business is to

combine the best qualities of both the

rookie and the veteran. Here’s how:

The rookie approaches with

the beginner’s mind. This is an at-

titude of openness, eagerness and lack

of preconceptions even when studying

a subject at an advanced level. Rook-

ies are always looking for information

and experiences that will help them

accelerate their professional develop-

ment. They are the antithesis of the

“know it all.”

The rookie is willing to pay

their dues. The enthusiasm that

comes with being the newcomer

usually partners with a “bring it on”

approach. Unfortunately, for many

experienced leaders, cynicism and

complacency too often replace that

unbridled enthusiasm. As a veteran,

revisit the “pay your dues” mental-

ity. You’ll be amazed at how much

you can accomplish with an attitude

change.

A veteran uses accumulated

knowledge to make strategic deci-

sions. The great advantage of experi-

ence is having a history to draw upon.

Effectively using collective knowledge

from the past and relating it to cur-

rent dilemmas is a veteran’s play not

available to the rookie.

A veteran keeps cool under

pressure. Since rookies are en-

countering most experiences for the

first time, it’s easy to let the imagina-

tion run to the worst-case scenario,

which is hardly productive. The vet-

eran shouldn’t be rattled by a fork in

the road. Rather, he or she can use

experience to focus on what’s really

important – making the right deci-

sion and following up with correc-

tive action.

A veteran knows whom to ask

for advice.For the rookie, knowing

where to go for answers can be half

the battle – but deciding whom to

trust is another matter. On the other

hand, an experienced executive knows

where to go and more importantly,

whose advice to weigh more heavily

than others.

Aim to strike a balance between the

zeal of a newcomer and the savviness

of a seasoned player. If you can har-

ness the best traits of both the rookie

and the vet, you’ll reach MVP (most

valuable professional) status.

- ENTREPRENEUR

Keep the zeal of a rookie no matter how high you climb




Life: MANAGEMEN

Reasons many salespeople a≥enot g≥owing in the p≥ofession

Most salespeople fall on the

wayside and many grow

into inefficiency. This is

the tragedy of the sales profession.

A worrying number of experienced

salespeople aren’t really growing in

experience. Their 10 years experience

is in fact one year experience ten times.

It is a matter of duration not merit.

This tragedy is aggravated by the

fact that the last decade has funda-

mentally shifted the sales landscape.

Technology is rapidly shifting what

was for a long time a one way street

into a dual carriageway. Buyers have

greater access to information and

options beyond the average sales-person.

What is the source of this tragedy?

First, is it is foundation – the environ-

ment that shapes our formative years.

Education, society and upbringing

prepare us for a desk job. As such, the

baseline for growth in employment

is from zero because a footing exists,

plus the organisation structure sup-

ports it.

On the other hand, how many

teachers, role models or parents tell

their mentees to study hard and be

salespeople? Close to nil. Many people,

therefore, are not born salespeople but

have it thrust upon them. Small won-

der then that only a handful achieve

greatness.

MARKET Worrying number of experienced salespeople have become inneficient

Life: MARKETIN

SALES PITCH

JOHN KAGECHE

Selling, on the other hand, starts

from below zero and reaching zero is

a feat in itself. To successfully reach

the zero base line, sellers must first

unlearn what they learned for close to

two decades and in an environment

that treats them as outcasts.

Lacking the requisite support

structures (for example, a competent

sales manager) makes it a losing bat-

tle for many.

Secondly, the nature of selling

makes things hard. Unlike the desk

job where work comes to you, selling

requires that we

are always looking

for work. To thrive,

the search must re-

main never ending.

It’s the very lifeline

of the role.

Salespeople

have to learn to re-

main afloat in the

floods of internalpressure for num-

bers and external

rejection by buy-

ers. Rejection is

painful and it torpedoes many sales

boats. They rapidly sink and the cap-

tain jumps ship.

Sometimes the captain stays on

board because he is seasoned in

steering clear off the waters. He thus

remains “experienced” in his comfort

zone. Naturally, growth is stunted.

Another reason why many sales-

people grow into inefficiency is their

attitude. Having grown a year past base

line, the sales person wallows in the

miasma of the progressive pats on the

back he has been receiving. He looks

around at the novices struggling to get

to zero and feels that he has arrived. He

stops learning, developing and grow-

ing. He gets sloppy and inadvertently

breaks his prospecting pattern; he

wings his presentations and gets too

casual with buyers.

For a moment it works; the momen-

tum he has built in the past year carries

him forward. Soon though, he realises

he has been decelerating. What was

once a steady gush is reduced to spurts.

This becomes his new normal.

It is especially difficult to get out

of this predicament if the

salesperson lacks a selfish

drive to keep him going; not

merely achieving targets for

the sake of it (which inciden-

tally is unsustainable as a

motivation tool) but a burn-

ing desire for, say, recogni-

tion, helping others, getting

a degree or keeping up with

the Joneses.Interestingly, even those

with desk jobs in time find

it necessary to acquire sales

skills for their side hustles.

Globally, even with rapidly changing

technology replacing many jobs, the

one profession that is still growing

is sales. Paradoxically, the salesper-

son isn’t.

Arresting this anomaly is a joint

effort that pools together the sales-

person’s attitude and enabling sup-

port structures.

Kageche is lead facilitator, Lend

Me Your Ears, a sales training and

development firm. Email:lendmeyo

[email protected]

Even with

≥apidly changing

technology

≥eplacing many

jobs, the one

p≥ofession that

is still g≥owing is

sales

Lack of requisite support structures, rejection by buyers and lack of a proper foundation affect the growth of many sales people. FILE




TIMES CROSSWORD 24,962

How to playFill the grid so that every row, every column and every 3x3 bcontains 1-9.You solve the puzzle with reasoning and logic and notmathematical ability

SUDOKU PUZZLE 090

TIMES 24,961

SUDOKU 089

Across

1 Means to help engineers joining

training programme (8)

5 French city, mostly chilly when spring

begins (6)9 Computing trouble? Start off showing

some common sense (8)

10 Dog collar returned and put away

(4,2)

12 Rhubarb ready for picking after very

little time (5)

13 He plays rugby game, then he soaks in

water and departs (5,4)

14 In the event, tip-top notion will need

further development (5-2-5)

18 Oscar’s off to the sea, taking a spin in

a motor to Land’s End (7,5)

21 Protective garments formerly,

covering legs? Quite the opposite (9)

23 Bit of a smooth operator? I wish! (5)

24 High-flier beginning to inquire about

careers? He’s put off (6)

25 Recalled artist at Christmas party

being a famous painter (8)26 Old coin with head of the queen?

Right (6)

27 Peacekeepers ultimately want

number set free (8)

Down

1 Agreed southern town is off-limits

2 Left wing agent given hearing (6)

3 Cuckoo at top of mast? (2,3,4)

4 Force tax to come down on delivetruck? It’s gone up (8,4)

6 Lecture means nothing to class (5

7 Refer to new school that’s set up a

very attractive (8)

8 Try a dip I concocted in haste (8)

11 Coin the wife banked, back from

Cornwall? (5-7)

15 Type of fish — brill — served aro

noon, maybe (9)

16 Given slap, unpleasant person ful

discomfort (8)

17 Conserve ocean, having reduced

pollution (8)

19 Who might give order to preach?

20 Passion is stronger in EastEnders

broadcast (6)

22 Female physician’s stroke of luck

1 2 3 4 5 5 76

9 10

11

12 13

14 15

16 17

18

19

21 22 23

24 25

26 27

S U S T A I N E D H O C U S

U U P O U U A H

P A R A P E T M U T A B L E

E F E I F I L

R Y E A S C E R T A I N E D

I S E I L E R

N U T T E R V E N D E T T A

I M V S E K

E A U D E N I L T R I F L E

T P N R S M L

Z A R A T H U S T R A O A R

S I L A S R A

C O G N A T E F I T T I N G

H H L N F O D E

E A T U P T R A I N B A N D

W here do you see yourself in five years? Will you be a workaholic,

living the simple life or will you

be a successful entrepreneur with a mil-

lion-dollar business?

There is no substitute for classic goal set-

ting. Here are a few tried-and-true tactics

to propel your business to success.

Review your goals every day

Goal setting is like getting on the scale –

you’ll see greater success if you do it every

morning. As entrepreneurs, dreaming

big is standard practice. The distinguish-

ing factor between the big dreamers and

the big doers is that the doers take action.

“Sometimes our biggest life goals seem

so overwhelming. We rarely see them as

a series of small, achievable tasks,” writesJack Canfield in his book, The Success Prin-

ciples: How to Get from Where You Are to

Where You Want to Be.“But in reality, break-

ing down a large goal into smaller tasks

– and accomplishing them one at a time – is

exactly how any big goal gets achieved.”

Behaviour science expert and writer

James Clear calls these smaller goals

“systems.” “If you’re a coach,” he explains,

“your goal is to win a championship. Your

system is what your team does at practice

each day. If you’re an entrepreneur, your

goal is to build a million-dollar business.

Your system is your sales and marketing

process.”

Evaluate your goals regularly

Goal setting is a process of discovery as

much as it is a way to get the job done.

As you monitor your goals, ask yourself:

Does this goal matter?

“Being a leader means finding the

path,” explains author Kevin Hall in his

book, Aspire: Discovering Your Purpose

through the Power of Words. “But before

you can help someone else find their path,

you must know yours.”

By evaluating your goals regularly, you

can make sure to focus on what’s important

to you. For example, if your goal is to run

10 miles a day but you’re starting to have

knee problems, then you may ask yourself

if your goal is really to run (as an end in it-

self) or to enjoy a healthier lifestyle. This

kind of flexibility will get you what you re-

ally want – and may save you from having

surgery down the road.

Zig zag your way to the top

While the idea of racing toward your

goals at breakneck speed is seductive,

there are unexpected obstacles that inevi-

tably complicate any business.

“The road to success is never a straight

line,” writes Rich Christiansen in The

Zig Zag Principle. “The diversions and

detours I had often found so frustrat-

ing had actually created more stable and

solid businesses. On the other hand – and

without exception– each time I had raced

directly at a target with high velocity, I

had failed.”

Zigzagging requires you to be nimble

and flexible and to take advantage of multi-

ple opportunities. When a challenge comes

along, consider your goal and whether it

would be best to forge directly ahead or to

pivot toward a different, short-term goal. It

may not be the straightest path, but being

adaptable is the clearest path to success.

Some of the most successful entrepre-

neurs have achieved their success in part

by practicing disciplined goal setting.

- ENTREPRENEUR

T≥ied and t≥ue tactics to helpyou set you≥ five-yea≥ goals

Life: MARKETING

By breaking down your long-term goals into smaller daily tasks, evaluating your plans regu-

larly and being adaptable, you will enjoy the benefits of your efforts. FILE




Injury-plagued NBA playerundergoes surgery againChicago Bulls guard Derrick Rose, the inju-

ry-nagged former NBA Most Valuable Play-

er, suffered a left orbital fracture in prac-

tice and was done for surgery yesterday.

Rose was struck in the face by an elbow

during a pre-season workout and taken

to a nearby hospital where doctors diag-

nosed the orbital break.

A timetable for Rose’s return to the Bulls

will be determined after the operation.

Rose has been hindered by a series of knee

injuries since winning the 2011 NBA Most

Valuable Player Award. Since the start of

the 2011-12 season, Rose has played in

only 100 regular season games. Rose, 26,

tore a left knee ligament in the 2012 NBA

playoffs and missed the entire 2012-13

season.

He suffered a right knee inj ury in Novem-

ber of 2013 that caused him to miss the re-

mainder of the 2013-14 campaign.

Last season, Rose missed 31 games, some

of them due to an operation on his right

knee in February.

Rose helped the US squad win the World

Championships in 2010 and 2014. New

Bulls coach Fred Hoiberg already lost Mike

Dunleavy Jnr underwent back surgery last

week and is expected to miss eight to 10

weeks.

Tom Brady free to playafter court adjourns caseNew England Patriots quarterback Tom Brady

is all but certain to remain free to play for the

rest of the season after a court ruled on Tues-

day that the NFL’s appeal in the “Deflategate”

case would not be heard before February.

The court granted a request by the league and

players union for an expedited hearing, with

the league ordered to file a brief by October

26, with Brady’s attorneys to reply by Decem-

ber 7 and the league having until December

21 to respond.

The appeal would be heard the week of Febru-

ary 1 with the Super Bowl set for February 7 at

the new home stadium of the San Francisco

49ers. The timing virtually ensures Brady

would not face a ban this season even if the

ruling in the controversy about underinflated

footballs that has haunted the Patriots since

last year’s American Conference final.

NFL commissioner Roger Goodell looked into

the controversy of balls found to be below NFL

air pressure minimums and banned Brady for

the first four games of this season.

Brady appealed the ban to Goodell and he up-

held his punishment in July. Brady then took

the matter to US District Court and earlier

this month had the suspension thrown out

by judge Richard Berman — a verdict the

league has now pushed to the US Court of

Appeals.

SPORTS BRIEFINGSPORTS BRIEFING

New England Patriots quarterback T

Brady. REUTERS




M

Army seizes coup barracksBurkina Faso’s interim government says

the army has retaken the barracks of the

presidential guard that staged a coup ear-

lier this month. Officials announced the

takeover in a televised statement. It is not

clear if there were any casualties. Earlier,

a BBC correspondent in the capital Oua-

gadougou said shots and explosions were

heard and smoke seen rising from the bar-

racks. The army accuses the presidential

guard of not laying down arms after the

coup. Coup leader Gen Gilbert Diendere,

whose whereabouts are still unknown,

had called on the elite force to surrender

“to avoid a bloodbath”.

He told the AFP news agency that he

feared there had been “many deaths” as

the barracks were seized.

The army had surrounded the barracks

all day and army spokesman Capt Guy

Herve Ye said artillery was fired at the

complex before soldiers moved in and

took control.

Islamist charged at ICCA suspected Islamist militant accused of

destroying cultural sites in Timbuktu is due

to appear before the International Criminal

Court (ICC), in the first case of its kind.

Ahmad al Faqi al-Mahdi is suspected of

war crimes over the destruction of nine

mausoleums and a mosque in the ancient

Malian city in 2012.

He was handed over by Niger after the ICC

issued a warrant for his arrest. Islamists

occupied the city until they were ousted

by French forces in 2013.

In a statement, the ICC said the suspect

would be informed of the charges

against him during yesterday’s initial

hearing.

CAR capital in lockdownThe capital of the Central African

Republic is under a night-time curfew

after days of intense fighting between

Christian and Muslim groups.

Fierce clashes between the two groups

erupted after the killing of a Muslim taxi

driver in Bangui on Saturday.

At least 36 people have died in the

violence, and the UN says it has forced

nearly 30,000 people to flee.

“We fear that the violence we’re seeing

in Bangui is a return to the dark days of

late 2013 and 2014, when thousands

were killed and tens of thousands had

to flee their homes,” said Leo Hobbs, a

spokesman for the UN’s refugee agency.

Bombers get death sentenceA court in the western Indian city of Mum-

bai has sentenced five people to death

over the 2006 serial bombings of com-

muter trains.

Seven of the 12 men convicted for the

blasts have been given life sentences.

Seven blasts ripped through trains in the

evening rush hour on 11 July 2006, killing

189 people and injuring more than 800.

The attack was blamed on Islamic

militants backed by Pakistan, an

allegation the country has denied.

A defence lawyer told reporters

outside the court that the accused

were “innocent” men who had been

“framed” and said they would challenge

yesterday’s order in the high court.

US state executes womanA woman in the US state of Georgia has

been executed despite a number of last-

ditch appeals, including one by the Pope,

to try to block her execution.

Kelly Gissendaner (pictured), 47, was the

first woman put to death in the southern

US state in 70 years. Lawyers filed at least

three appeals with the US Supreme Court

to try to delay the sentence hours before

she died.Gissendaner planned but did not

carry out her husband’s murder in 1997.

Her former lover, Gregory Owen, who

killed Douglas

Gissendaner,

was given life

in prison as

part of a plea

bargain. Pope

Francis, who

was recently on

a US tour, urged

the review board to reconsider. But on

Tuesday afternoon, the board announced it

was not granting clemency.

Russia starts Syria air strikesRussia appears to have begun carrying out

air strikes in Syria against opponents of

President Bashar al-Assad, a US defence

official says. The official said the strikes

reportedly came in the area of the western

city of Homs. Washington was informed

in advance that they were about to take

place. The development came amid re-

ports that President Assad had formally

requested Russian military support. Re-

ports from Russia say the upper house of

the Russian parliament granted President

Vladimir Putin approval to deploy the Rus-

sian air force in Syria.

Migrant killed on rail tracksA migrant has been killed on the Eurotun-

nel tracks trying to make it to the UK.

The man is the 13th migrant to die trying

to get to Britain since late June, and the

fourth in 10 days. The man’s nationality is

not confirmed, although the BBC has been

told by people in the migrant camps in Cal-

ais he was Eritrean. A spokesman for Euro-

tunnel said a man was found unconscious

beside the tracks on the French side.

UK scientists have successfully germinated

seeds from the critically endangered Japanese

Birch, a species that has just 21 known trees

remaining.

Rare tree seeds germinatedNew Zealand has revealed plans to turn an

area of the South Pacific about the size of

France into a marine reserve. The Kermadec

Ocean Sanctuary lies north of the mainland

N Zealand plans marine reserveScientists think they can now tie dark streaks

seen on the surface of Mars to periodic flows of

liquid water. Data from a Nasa satellite shows

the features, which appear on slopes, to be as-

Data reveals water on Mars

EnvironmentNEWS

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