Category Archives: Finance

Africa’s wealth is being devoured by tyrants and vultures

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From: Yona Maro
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Karibu Jukwaa la www.mwanabidii.com
Pata nafasi mpya za Kazi www.kazibongo.blogspot.com
Blogu ya Habari na Picha www.patahabari.blogspot.com

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31 July by Nick Dearden

A surprise judgment was made recently against a vulture fund, FG Hemisphere, striking down its claim for $100m from the Democratic Republic of Congo. FG Hemisphere has spent many years and a small fortune pursuing Congolese dictator Mobutu Sese Seko for a debt it bought “secondhand” for $3m, but on which it hoped to claim back $100m. Most recently it has been trying to grab the assets of Congo’s state-owned mining company, Gécamines, through a joint venture in which it is invested on Jersey.

The DRC has vast mineral wealth including diamonds, copper, oil and gas; one estimate puts the value of these resources at $24 trillion. However, it is pretty much the poorest country in the world. The reason is centuries of plunder, at its worst involving the buying, selling and brutalisation of millions of people. But plunder today continues in different guises – through odious debt and tax avoidance.

It seems incredible that so rich a country can end up in serious debt, until you think about the amount of money leaving the DRC through the other crucial factor in its impoverishment: unpaid taxes. Although the DRC has been a poor reporter of data, it has been estimated that, between 1970 and 2008, more than $6bn left the country illicitly. This is equivalent to about 1% of the economy every year – more than enough to cover its total outstanding debts. The figures suggest that an average of $170m has left the DRC every year, almost two-thirds of the average $300m it has to make in debt service payments. Little wonder that its debt is starting to rise again, and is expected to reach $7.5bn by 2015.

As Africa is celebrated for its growth rates, the amount of taxes lost to the continent accelerates. The funds flowing in, lauded by Tony Blair, Sir Bob Geldof and their ilk, will primarily enrich those already at the top, fuel inequality and expand dependence on a crony form of finance. Vultures will increasingly swoop on these riches.

http://cadtm.org/Africa-s-wealth-is-being-devoured

World Trade Report 2012

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From: Yona Maro

Non-tariff measures (NTMs) can serve legitimate public policy goals, such as protecting the health of consumers, but they may also be used for protectionist purposes. The Report reveals how the expansion of global production chains, climate change and the growing importance of consumer concerns in richer countries affect the use of NTMs. It also reports that such measures represent the main source of concerns for exporters. The focus of the Report is on technical barriers to trade (TBT) regarding standards for manufactured goods, sanitary and phytosanitary (SPS) measures concerning food safety and animal/plant health, and domestic regulation in services. The Report looks at the availability of information on NTMs and the latest trends concerning usage. It discusses the impact that NTMs have on trade and examines how regulatory harmonization and/or mutual recognition of standards may help to reduce any trade-hindering effects. Finally, the Report looks at international cooperation on NTMs.
http://www.wto.org/english/res_e/booksp_e/anrep_e/world_trade_report12_e.pdf

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Karibu Jukwaa la www.mwanabidii.com
Pata nafasi mpya za Kazi www.kazibongo.blogspot.com
Blogu ya Habari na Picha www.patahabari.blogspot.com

Kenya: Corruption is the reason why Raila Missed the Opportunity to Rule Kenya

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From: Judy Miriga

Folks,

Kenya’s Political problem is bigger than what many people can imagine. In a surprise turn, many will be saddened when they will finally come to grips with reality in confirmation of the truth in how they were taken for granted. Miguna Miguna’s book as a witness tells his story and carries with it many aspects which if used by Local or International Jurisdiction, is loaded with valuable points that can put PM Raila to task to answer charges against the Court of Law and which can be used to bring justice against human rights, violation and abuse of public office in such like manner to create personal wealth and for Special Interest against public interest and mandate. Joining and eating with the corrupt robbed Raila the victory of freedom fighter, the journey he begun many years ago. Obstruction of justice will not go forever. Justice will finally be heard.

Raila and Kibaki are on a Mission for commission agency to complete unfinished business of the corrupt past regimes and to promote Uhuru’s Business empire facilitated at Boston’s Massachusetts. That is the base where Master Plan for MoUs for Vision 2030 was delivered by Amb. Odembo to Governor Duval Patrick at State House Boston, Massachusettes. That is why Odembo’s Diaspora team is formed with haste to conform and is set to serve Special Interest’s Agenda. They are in a joint league with China’s Commission Agency to Kenya representing the Unscrupulous International Corporate Special Business Interest under the New Emerging Markets. Funny that this is the reason why Devolution of Counties Bill, Land reform Bill, Security Bill and Finance Bill cannot be completed according to National Reform Accord. This is the reason why the Constitution is mutilated and is inflicted with dangerous clauses which benefits Special Interest values against Public Interest mandate.

Although Kibaki will be retiring, Raila and Uhuru expects to strike a deal on Memorandum of Understanding so they can skip going for election; why, because the Constitution is incomplete and No Election can be done without a proper constitution or with a mutilated damaged constitution. Raila and Uhuru are bonded on a mission and they are of “Birds of the same feathers”…

These projects are labeled Government Business Projects, utilizing donor funds, loans and taxpayer money corruptly, unconstitutionally and irregularly. They are enjoined with faked NGOs from where funds are fizzled through to feed the Trading Enterprises business interests of Special Interest network. Ponzi Schemes, Hedge Fundings and Pyramids Schemes are equally the kind of deals incorporated unscrupulously without public knowledge or consent. Many more politicians with innocent civilians are expected to be terminated, assassinated or killed during this turn-around of campaign season.

To seal their relationship, this is the reason why Raila went to campaign for Museveni after Museveni was awarded with Migingo by Kibaki and Moi playing crucial part over the unfinished business. After campaigning for Museveni, Raila went ahead and invited Museveni to be adorned with a ceremonial Luo Regalia to seal the deals made over the sale of Greater Luo Nyanza Lands with other Public Wealth resource; more specifically targeting Blocks for Oil exploration, other Mineral such as rare colta raw materials for computer with other electronics, Gold, iron ore, Diamond etc., found in and around Migori with a base at Odundu. It is sad that tribal groups are tipped to confrontational civil conflict where in areas of Migori and Odundu, about 2,500 Luo families are moved out of their community land and some Kisiis are favored to do the Government projects denying those who initially owned those land job opportunities to work in the project, and as well likewise, Lake Victoria and Migingo is made to be occupied by the Luhya’s supported by the Somali’s (Head of Al-Shabaab in Kenya while the tail is in Somalia).

People, this is Social injustices, Political intimidation and is an Economic Crime with abuse and violation of Human Rights; which is being made against the unsuspecting disadvantaged poor of Kenyan under a syndicate of conspiracy that has caused serious mental torture to many victims of the circumstances, it has driven many to extreme poverty, it has caused many people to lose their family and community homes and source of livelihood for survival has become extremely difficult. This behavior has caused many youth to go astray because of hopelessness and some engaged in unfavorable destructive activities because of lack of employment as well as exasperated situation of draught with extreme environmental pollution; which must not be taken lightly but people must engage Legal Justice to interrogate and bring to justice these corrupt leaders so that, discipline and order may take effect and properly organized investments for shared fair deal where everyone gets a chance and opportunity to participate in progressive development agenda is at play for all.

No business deals should have been made overriding the constitutional Public mandate. Policy regulations in the Constitution protects and preserves public interest and mandate, but going against it without transparency and accountability is unacceptable and it must not be left without legal justice taking precedence to protect rights of public.

Whether Raila and Uhuru join together under MoU to take leadership of Kenya, their place still remain to be occupied at the ICC Hague.

Judy Miriga
Diaspora Spokesperson
Executive Director
Confederation Council Foundation for Africa Inc.,
USA
http://socioeconomicforum50.blogspot.com

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On Thu, Jul 19, 2012 at 7:33 PM, Maurice Oduor wrote:

KM,

Of course has not changed. Infact I would say that it has gotten worse in certain aspects. Look at how senior government appointments in certain key sectors are the preserve of one tribe!!!

All the Security organs, Finance ministry and its agencies, Transport ministry and its agencies, Energy ministry and its agencies, Provincial Administration and its agencies etc are all controlled by one tribe.

This is the worst scandal in the country and I’m not sure why Kenyans are not outraged about it. Maybe they gave up and came to accept it from this one tribe.

You are right Kuria; Kenya has not changed.

Courage,
Oduor Maurice

On 7/19/12, Henry Gichaba wrote:

Dear Kenyans,

Let wacha Miguna atoboe yote!

I also felt that I had some unfinished business to pursue there relating to the assassination of my good friend, Dr. Crispin Odhiambo Mbai. This sage had been shot and killed at close range in cold blood one Sunday afternoon in September 2003. From Canada I had tried to do all I could to assist in the arrest of his killers who, to date, have not been prosecuted even though The Standard newspaper’s investigative journalists traced some of them to a Tanzanian village. Senior Kenyanpoliticians who were alleged to have been involved in his death have never been investigated.”

Mobbi Gichaba, somewhere in the forests of North carolina.

US condemns China, Russia for Syria UN vetos
By AFP
Posted Thursday, July 19 2012 at 20:56

The United States condemned Thursday the “highly regrettable decision” of China and Russia to veto a UN Security Council resolution threatening sanctions against Syrian President Bashar al-Assad.

It is a “mistake to prop up that regime,” President Barack Obama’s spokesman Jay Carney told a White House briefing shortly after Russia and China blocked UN action against Syria for the third time in nine months.

The veto is a “highly regrettable decision that will, I think, have repercussions for the countries that vetoed the resolution for a long time, in terms of how they’re viewed by the Syrian people,” Carney said.

“There’s no doubt that Syria’s future will not include Bashar al-Assad. His days in power are numbered. It’s a mistake to prop up that regime as it comes to an end.”

Carney’s reaction followed that of US Ambassador to the United Nations Susan Rice, who said bluntly that the UN Security Council had failed on Syria.

“We will intensify our work with a diverse range of partners outside the Security Council to bring pressure to bear on the Assad regime and to deliver assistance to those in need,” Rice said.

“The Security Council has failed utterly in its most important task on the agenda this year,” Rice added, as she slammed Moscow and Beijing.

Highlighting Syria’s stockpile of chemical weapons, Rice said the Syrian government will be “held accountable” if it is used against the opposition.

“As the situation deteriorates, the potential that this regime could consider using chemical weapons against its own people should be a concern for us all,” she said.

Fears over the chemical weapons have increased in recent days.

On Monday, Nawaf Fares, who defected from his post as Syrian ambassador to Iraq, said in an interview with the BBC that he was “convinced” that Assad would draw on his stocks if cornered.

The latest Russia-China veto deepened an acrimonious battle at the 15-nation council over who is to blame for the world powers’ failure to get international action to halt the Syria conflict.

There were 11 votes in favor, with Russia and China voting against and with Pakistan and South Africa abstaining. As two of the five veto-wielding permanent members of the council, Russia or China can block any resolution.

Billions in tax revenue goes missing

[image]A clerk at the KRA headquarters receives tax return forms from members of public outside the Kenya Revenue Authority offices. The Government could have lost billions of shillings over the years as exact figures of the amounts collected in tax revenue remain unknown. Photo/FILE

By MWANIKI WAHOME jwahome@ke.nationmedia.com
Posted Thursday, July 19 2012 at 20:12

In Summary
Mars Group presents figures showing about Sh98.4bn in fiscal year 2007/08 was unaccounted for

The Government could have lost billions of shillings over the years as exact figures of the amounts collected in tax revenue remain unknown.

Figures presented by the Mars Group, a watchdog organisation, to the budget committee yesterday indicated that in the 2007/08 financial year, some Sh98.4 billion in ordinary revenue was not accounted for.

“What is shocking is that in June 2009, a month after receiving the auditor-general’s certified accounts indicating receipt of Sh496 billion, the Finance Minister declared Sh397 billion to Parliament — a difference of Sh98 billion,” said Mars Group managing director, Ms Jayne Mati.

Overall, Sh498.9 billion in revenue accounts was not certified by the Auditor-General’s office as required due to audit queries. Out of this amount contained in 57 queries in the accounts, only those concerning Sh3.4 billion were fully answered.

Ms Mati said their analysis of budget figures indicated a pattern over the years, with most of the queries raised by the auditor-general going unanswered.

“Most of the audit queries involving huge amounts of money every year are not answered. The figures seem to double in the election years,” she said.

The amounts collected by Kenya Revenue Authority do not tally with what is received by the exchequer in most cases. For example, the revenue collected in 2007/08 for taxes on income, profits and capital gains has five different figures depending on the institution.

The exchequer shows Sh168 billion, KRA noted Sh166 billion, the amount in ledger records is Sh172.9 billion, amount in revenue statement is Sh177 billion and the amount declared in Parliament by the

Finance minister is Sh165 billion.

She said the opening balance figures for the subsequent financial year were understated, and were omitted for the first time in this year’s budget statement.

Grants and loans revenue was reflected as Sh26.7 billion in the auditor-general’s certified accounts, but only Sh20 billion was declared in Parliament, a difference of Sh6 billion that is yet to be accounted for.

The miscellaneous accounts had Sh15.9 billion, but only Sh8.5 billion was declared to Parliament.

Income tax from corporations declared in Parliament was Sh79 billion, while the exchequer account records reflected Sh86.6 billion, an understatement of Sh7.5 billion.

Billions in tax revenue goes missing

By MWANIKI WAHOME jwahome@ke.nationmedia.com
Posted Thursday, July 19 2012 at 20:12

In Summary
Mars Group presents figures showing about Sh98.4bn in fiscal year 2007/08 was unaccounted for

The Government could have lost billions of shillings over the years as exact figures of the amounts collected in tax revenue remain unknown.

Figures presented by the Mars Group, a watchdog organisation, to the budget committee yesterday indicated that in the 2007/08 financial year, some Sh98.4 billion in ordinary revenue was not accounted for.

“What is shocking is that in June 2009, a month after receiving the auditor-general’s certified accounts indicating receipt of Sh496 billion, the Finance Minister declared Sh397 billion to Parliament — a difference of Sh98 billion,” said Mars Group managing director, Ms Jayne Mati.

Overall, Sh498.9 billion in revenue accounts was not certified by the Auditor-General’s office as required due to audit queries. Out of this amount contained in 57 queries in the accounts, only those concerning Sh3.4 billion were fully answered.

Ms Mati said their analysis of budget figures indicated a pattern over the years, with most of the queries raised by the auditor-general going unanswered.

“Most of the audit queries involving huge amounts of money every year are not answered. The figures seem to double in the election years,” she said.

The amounts collected by Kenya Revenue Authority do not tally with what is received by the exchequer in most cases. For example, the revenue collected in 2007/08 for taxes on income, profits and capital gains has five different figures depending on the institution.

The exchequer shows Sh168 billion, KRA noted Sh166 billion, the amount in ledger records is Sh172.9 billion, amount in revenue statement is Sh177 billion and the amount declared in Parliament by the

Finance minister is Sh165 billion.

She said the opening balance figures for the subsequent financial year were understated, and were omitted for the first time in this year’s budget statement.

Grants and loans revenue was reflected as Sh26.7 billion in the auditor-general’s certified accounts, but only Sh20 billion was declared in Parliament, a difference of Sh6 billion that is yet to be accounted for.

The miscellaneous accounts had Sh15.9 billion, but only Sh8.5 billion was declared to Parliament.

Income tax from corporations declared in Parliament was Sh79 billion, while the exchequer account records reflected Sh86.6 billion, an understatement of Sh7.5 billion.

Seek compensation, officials told

By PAUL OGEMBA pogemba@ke.nationmedia.com
Posted Thursday, July 19 2012 at 23:30

In Summary
Three activists want the courts to allow the commissioners to seek damages for their dismissal

The row over the appointment of 47 county commissioners has taken a new twist with a call to compensate them for the time they have been in office.

Three activists want the courts to allow the commissioners to seek damages for their “dismissal”.

Mr Tambo Michael Ouma, Ms Elizabeth Waithira Njuguna and Mr Jeremiah Odhiambo Ambasa claim that the commissioners’ appointments were nullified by the court and so they should be compensated.

According to the activists, the President should have appointed the commissioners procedurally.

They argued that the officers’ integrity was eroded when the court nullified the appointments and that they should be entitled to compensation for the three months in office.

The petition is the latest move in a saga pitting the Attorney General and the Ministry of Internal Security.

On Tuesday, AG Githu Muigai clashed in court with Internal Security permanent secretary Mutea Iringo over the ruling that nullified the appointments.

Prof Muigai maintained that his office was ready to obey the ruling.

The AG dismissed Mr Iringo’s hiring of a private lawyer to appeal the court decision, saying he was the only one mandated by the Constitution to act on behalf of any government office in legal suits.

Mr Iringo has instructed lawyer Kibe Mungai to file an appeal against the decision claiming that if the orders are enforced, a serious vacuum would be created in the administration of counties pending the completion of the restructuring of the Provincial Administration.

He argued that the execution of the judgment would affect security and administrative services provided by the Provincial Administration at county level, locations and sub-locations.

He claimed the judgment had paralysed and curtailed the President’s constitutional mandate and called into question all the powers of the President to act under the provision of the executive chapter of the former Constitution.

Lady Justice Mumbi Ngugi last month nullified President Kibaki’s appointment of the commissioners; ruling that the President did not have the power to appoint or deploy the county commissioners and that such appointment violated the constitutional requirement for gender equality.

Nyong’o needs to tell Kenyans why he reinstated Kerich to NHIF helm

Posted Thursday, July 19 2012 at 20:04

The NHIF saga has elicited an acrimonious debate in the recent past and the public has cast a lot of aspersions on the way the institution has been managing the money that belongs to public servants.

That is why the President and the Prime Minister ordered further investigation into the scandal.

The dust has barely settled and Medical Services Minister Anyang’ Nyong’o has reinstated Mr Richard Kerich at the helm as chief executive of the institution.

This has been done despite the fact that conclusive investigation has not been done, and there are still more questions than answers concerning the health insurance scheme hatched for civil servants. The minister has gone ahead to disregard the President and the PM over the matter.

The questions that linger on are: On which grounds did the minister reinstated Mr. Kerich? Was Mr Kerich cleared of the serious allegations levelled against him?

The minister owes Kenyans an explanation. Parliament did return an inconclusive and completely unreliable report on the scandal involving the civil servants medical scheme. Did the minister use this as a leeway to return Mr Kerich to the helm?

The Efficiency Monitoring Unit, which is under the PM’s office, was to spearhead investigations into the fund that has been accused of paying money to non-existent clinics. The unit has since then never produced a report that sheds any light on the scandal, yet the minister has disregarded all this.

What we are seeing from the minister is the height of impunity. His action raises eyebrows. The President and the PM should take a cue from the minister’s action and take action.

In my opinion the minister should either step down or be sacked for his defiance. The principals have, on various occasions, vowed to combat impunity. They should demonstrate this by punishing erring ministers like Nyong’o.

VIVERE NANDIEMO, Ikerege
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Sham scheme

The NHIF civil servants outpatient medical scheme is proving to be a sham. What is the need of contributing to a scheme that puts very little monthly cash ceilings (as little as Sh2,000) to contributors who also have other family members?

Where did those enticing figures of Sh500,000 and above a year disappear to? To make matters worse, services such as x-ray, ultrasound are not catered for! I’m better off with my little monthly medical allowance and I demand it back.

FELIX ONYANGO, Nairobi

STATEMENT OVER THE ONGOING FURORE OVER MY BOOK,
PEELING OFF THE MASK: A QUEST FOR JUSTICE
BY MIGUNA MIGUNA

FOR IMMEDIATE RELEASE

I wish to sincerely thank the more than five hundred Kenyans and friends of Kenya of good will who attended my book launch on Saturday, July 14, 2012 at the Intercontinental Hotel in Nairobi. Thanks to you, it was a splendid success!

Let me also express my gratitude to thousands of people, who have sent me short text messages, emails or telephoned me to encourage me and to express their unyielding support before and after the launch.

I am issuing this statement from Toronto, Canada, where my family and I have just arrived and hope to start enjoying a much-deserved and pre-planned summer holiday. Contrary to malicious reports in the media, my family and I booked our flights on May 24, 2012. I am not sure why some people are implying that I should have sought and obtained their permission before traveling abroad. No one has a right to my family privacy.

I am particularly disturbed by fake and false media reports that I had fled into exile. Some desperate political goons for hire have even claimed that I have ‘fled from justice.’ There have been suggestions that I have fled because of law suits and potential arrest. By the time I left Kenya, I had not been served with any legal notices or law suits. In any event, neither could have prevented me from traveling.

I have earned a living practicing law for more than 15 years. Therefore, a lawsuit isn’t something I run away from. Nor would I be scared of an incompetent, misguided and delusional political announcement to the media by the director of public prosecutions that I should record a statement with the Kenya Police. Keriako Tobiko has no mandate over the International Criminal Court. Instead of issuing threats to me – someone he considers a potential witness – the Witness Protection Act compels him to provide me with protection. Threatening me over the media is a clear breach. Consequently, I will treat his politically motivated statement with the contempt it deserves.

I boarded my flight at the Jomo Kenyatta International Airport on July 16, 2012, like any other passenger. Based on media reports, the Prime Minister of Kenya, Raila Odinga, also left for China almost at the same time our flight departed. Was he also fleeing into exile?

My book, Peeling Back the Mask is a political memoir. It contains my life’s narrative. It explains my background, growth, maturity, experiences, reflections and thoughts. It attempts to record history. It also tries to unmask the culture of impunity that has bedeviled our country for more than fifty years. For me, any debates, discussions and further reflections that result from the book’s publication can only deepen our thoughts, expand the democratic space, entrench the rule of law and help broaden good governance. That’s a good thing.

However, when I see ravenous mobs burn my effigy, bury a coffin symbolizing my death and threatening me, my immediate and extended family merely because I wrote a book that they perceive to be critical of their political deity even though, in all likelihood, they might not have read; it demonstrates a level of intolerance, ignorance and base loyalty to certain political personages in a manner that cannot be positive.

Chillingly, as my effigy and ‘coffin’ were being burnt and buried in a mock funeral in Nyando by Raila’s fanatics, the Prime Minister failed to see the need to restrain his supporters. He didn’t openly call for peaceful and reasoned debates as we would expect of someone claiming to be a statesman.

As a mob was holding my funeral procession, calling for my ‘deportation to Canada’, threatening my brother and his family, Raila’s intellectual groupies were unleashing a coordinated assault on my character and reputation through the media. False allegations are being dredged up in a desperate but futile attempt to bolster the ambitions and campaigns of a man whose quest for power has reached a dead end. But rather than conduct a searing self-evaluation, they want to hurl all the blame on me.

Raila Odinga is running for president. I am not. As a person who has occupied an exalted public position in our society for decades; one who has enjoyed immense privileges; and one who is seeking even more power and privileges; Raila Odinga must be audited, vetted and weighed thoroughly for his record in public life before he can be found to have satisfied the requirements for election. If he doesn’t like the audit, he must be prepared to cede ground and relinquish his political ambitions. There are no two ways around it. But he cannot intimidate, threaten or beat us into submission.

Two questions we need to ask Raila are these: (a) If his supporters and groupies can burn my effigy and mock coffin and attack me viciously in the era of the new constitution that guarantees me the right to express myself fully including in book form merely on account that I have written a book they dislike because it is critical of him; what are they capable of inflicting if Raila were to become president? (b) Are the rights Raila proudly claims he fought for only meant for his supporters and sycophants?

I wish to inform the country that when The Standard newspaper purportedly published an article titled “Miguna answers Sarah Elderkin” on or about July 17, 2012, I was in a jet somewhere over the Atlantic Ocean and couldn’t have been capable of accessing Sarah’s piece in the Daily Nation (which I have still not read, having just arrived in Toronto), and definitely didn’t have the time to write it. It’s unfortunate that The Standard newspaper published a misleading and fake article and maliciously purported it to be mine. By this statement, I would like to pout The Standard newspaper on notice that I shall take appropriate legal action against it for this false and clearly malicious publication.

Moreover, I don’t have the time, interest or the intention of arguing with Sarah over a book she has clearly not read. She answers herself at pages 496-498 of my book as well as in her article, “Keep It Real and Keep It Balanced” published in the May 19, 2011 issue of the Star newspaper in which she corroborated each and every claim I have made in Peeling Back the Mask. Readers should be aware, nonetheless, that I have more than fifty emails from Sarah confirming the runway corruption in the Prime Minister’s Office. If I was like Sarah, I would have unleashed them in defense of myself. But I am not going to bore my readers with details of the rot of and around Raila Odinga because the whole country already knows the truth.

Let me also make it clear that I do not have a Facebook account, have never used that platform to communicate and have no intentions of doing so any time soon. Consequently, purported Facebook publications bearing my name should be ignored as mischievous.

I am scheduled back to Kenya on or about August 18th, 2012, when my family holiday and publicity tour of my book ends. On arrival, I shall issue a comprehensive statement on some of the issues that have been raised in the media in recent days over my latest book and attendant political issues. Until then, I will enjoy my working holiday with my family.

Finally, let me say this: I will not be intimidated, threatened or shouted into silence by con-men, busy-bodies, hangers-on and political groupies.

The struggle against impunity will and must continue.

Thank you.

Lawmaker Rejects Calls for Kenyan Leader’s Resignation
Peter Clottey

Clottey interview with Ababu Namwamba, ODM leading member

Player cannot play this media

Last updated on: July 17, 2012 8:36 PM

A leading member of the Orange Democratic Movement in Kenya’s coalition government has dismissed calls by a former advisor and opponents for the immediate resignation of prime minister Raila Odinga.

Ababu Namwamba, who is also a parliamentarian, said accusations being leveled against the prime minister are aimed at undermining Odinga’s credibility and popularity ahead of the next general election.

His comments came after Miguna Miguna, a former adviser to the prime minister, called for his resignation for what he says is Odinga’s abdication of his constitutional responsibilities. He also accused him of condoning graft.

But, ODM leading member Namwamba said the allegations should be rejected “with the contempt that it deserves.”

“We have information, and we have good reason to believe that Mr. Miguna is acting and working at the behest of the rivals of the prime minister who are determined to go to any extent to scuttle his presidential bid,” said Namwamba.

“It has been clear the kind of support he [Miguna] has received from within circles… desperate to paint the prime minister as bad… in the public eye,” he added.

In his newly released memoir, Miguna said he has evidence connecting senior officials of the prime minister’s ODM party to violence following elections in late 2008. The 30-day conflict left at least 1,300 people dead and over 600, 000 displaced.

Namwamba said Miguna is committing a crime under Kenyan law for refusing to divulge information necessary for the prosecution of alleged masterminds of the violence.

“In the Kenyan constitution, withholding evidence is a criminal offense. It amounts to aiding and abetting a criminal offense. And so the question is if Mr. Miguna is holding this evidence for crimes that were committed more than four years ago… what has been his motivation for withholding this evidence?” asked Namwamba.

“That is why it is our considered opinion that he has to be invited by the Kenyan security machinery to give this evidence, and he has to be invited by the ICC [International Criminal Court] to proffer this evidence, otherwise what he has done is sensationalism. It is fear mongering really and is something that should not go unpunished,” said Namwamba.

Miguna left Kenya for Canada after launching his memoir and demanding the resignation of the prime minister. But Namwamba called for his extradition to provide the evidence he said he has about the post-election violence.

“He has sneaked out of the country which goes a long way to cast serious doubt not only about the veracity of his claims but also on the character of this man,” said Namwamba.

“I will urge the Kenyan authorities to extradite him back to Kenya so that he can take responsibility for his utterances and his publication.”

Cash In, Cash Out Kenya: The role of M-PESA in the lives of low-income people

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From: Yona Maro

This study examines how low-income Kenyans use M-PESA, that country’s pioneering mMoney service. The study focuses on (1) the value of M-PESA to low-income individuals; (2) the most likely areas for M-PESA’s future growth; and (3) whether M-PESA can serve as a platform for financial services beyond remittances.

Taken from the transactions of 92 individuals over eight months, the study found that “cash is king.” mMoney’s share of transactions was less than 6 percent, compared to more that 94 percent for cash. M-PESA is still primarily used to send money home, usually from urban to rural, and cash out almost always happens quickly, often the same day the remittance is received. Respondents did not appear to use M-PESA as a de facto savings account, but the services was an important part of their coping strategies for unusual large expenses, particularly hospital bills.
The study looks at ways M-PESA usage mimic cash usage patterns. It also examines the “e-money loop” – the number of times an e-money unit is transferred between being cashed out.
http://www.mobileactive.org/files/file_uploads/cash_in_cash_out_kenya_1.pdf

THE COMMENCING OF COMMERCIAL OIL PRODUCTION IN WESTERN UGANDA COULD SPARK OFF VIOLENT PROTESTS AS TRADITIONAL LEADERS AND CULTURAL INSTITUTIONS LAY DEMANDS FOR THEIR SHARES OF OIL REVENUES.

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Reports Leo Odera Omolo

Tension is building up following growing agitation for direct sharing in oil revenue by communities in Western Uganda oil wells regions are reportedly is casting a pall over the future prospects of the country’s political stability as it moves to the commencing of commercial oil production.

The traditional leaders of Bunyoro, the areas where the bulk of the oil reserves lies underneath, led the charge in late May his year, when they stormed parliament in the capital, Kampala demanding a 12.5 per cent royalty on oil revenue.

And last week another cultural institution in North Western Uganda joined the bandwagon. Although no figures are available to give an idea of exactly how much the Nebbi Cultural Institution would be expecting, experts say ,the development raises the prospect of possible wrangling as marginalized communities resource rich areas stand up for what they believe to be once in life time opportunity to improve their lot.

Fear persists, however, that these demands could take a direction of violent protest if a sense that they are not being adequately compensated for their land, employment or getting community development and broader social investments emerges.

“I communities begin demanding for higher percentage in shares, it will set a precedent where mineral sites may brig conflicts as they start fighting for their shares of royalties. Far from brining wealth and health, we may get ethnic politics,” said Ndebesa Mwbestya, a Makerere University don in the Department of History and Development studies.

Apparently the cultural institutions view their demands as a necessity for peaceful co-=existence with the oil companies operating in their localities. That is why mid June the Nebbi Cultural leader Rwoth Charles Umbidi spelt it out what hi flock expect from the oil companies- improved schools, hospitals and construction of cultural sites on top of jobs to appease the gods ‘ of our ancestors”. We do not want our gods to be annoyed with noise during exploration, so to appease them we must perform our rituals.” said Umbidi.

While it is a popular view that the communities hosting the mineral wealth got a share of revenues, Bunyoro’s demand is likely to escalate the tension between the Kingdom and the central government of President Yoweri Museveni, if government’s amendments to the Finance Bill is passed in its current form A district may, in consultation with the ministries responsible for culture and local governments, grant a share of the royalties due to the district, to a cultural or traditional institution, “reads the proposed law.

Ideally, this leaves the traditional leaders at the mercy of the local government which is expected to raise disagreements and political temperature.

Ends

The Euro Experience: A Review of the Euro Crisis, Policy Issues

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From: Yona Maro

This policy brief reviews the experience of the countries under the Euro currency, focusing on those that have been under significant pressure in recent years— Greece, Ireland, Portugal and Spain, referred to as “emerging” economies. At first they experienced stable growth and converged to the most advanced countries, but subsequent adjustment has proven elusive due to macroeconomic conditions, worsening structural deficiencies, and incomplete integration. The conditions for the survival of the Euro zone are complex and still far from fulfillment. While Latin America has recently experienced a similar period of stable growth, there is no room for complacency

http://www.iadb.org/en/research-and-data/publication-details,3169.html?displaytype=&pub_id=IDB-PB-167

—
Karibu Jukwaa la www.mwanabidii.com
Pata nafasi mpya za Kazi www.kazibongo.blogspot.com
Blogu ya Habari na Picha www.patahabari.blogspot.com

UNDERSTAND THE WORLD’S ECONOMIC MELT DOWN against SCRAMBLE TO AFRICA

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From: Judy Miriga

The term “economic collapse” in Commerce and Trade is used to describe a broad range of bad economic conditions from a severe, prolonged fiscal bad debts incurred by any Government failed priorities to control or to regulate business activities of Trade and currency flow which equally ends with Depression ratings and hyperinflation which includes increase of human death rates from occurrences of such unregulated imbalances.

Economic collapse is accompanied by dysfunctioning of Government from delivering public service according to Public Mandate which as a result brings about social disintegration, destruction and chaos, civil unrest and many times a breakdown of law and order.

Conspiracies exist all around amongst those leaders who engage in corruption of Public Wealth Resources because of selfishness of self ego who network with the unscrupulous International Corporate Business Community of Special Interest, who care for themselves, their business and mostly killing the poor.

Cases of economic collapse include persistent trade deficits, civil wars, famines and depletion of important fundamental public’s basic resources with stubborn unscrupulous corrupt leaders whose illegality is a driving force that pushes citizens to revolutions by forcing unprincipled, irregular and uncompromised policies that result to unfair Government delivery service to the general Public, which in extend is a failure to democratic principles leading to economic collapse.

These economic collapses are as a result of the educated professional lobbyist and CEOs who network with corrupt politicians and in return take big sums of money which are unrealistic and do not balance with the trade output which becomes main reason why there is no accountability as is required by the constitution.

When a Government system stops providing Public Delivery services for the fundamental basic needs to its Citizen, this creates turbulence to political turmoil and stability then severe hardship sets in and these are signs that progressively develop economic collapse.

The Great Conspiracy For the Scramble for Africa:

Many unscrupulous International Corporate Business Community scramble to Africa to own land for Agriculture, Natural Resources and Minerals in the likes of Diamond, Gold, Titunium, Iron Ore, Coltan for computer chips etc., and the scramble to Africa is to hijack Africa so they can own Africa, but with good Constitution, Africa can be saved and proper favorable deal for Economic Trade and Exchange can be truck in a more conducive balanced and favorable environment where all people mutually gain.

Today Gold is replacing paper money with all other Bills and Promissory notes, if the paper currency is vanquishing, Government debt obligations through bonds are weakening and becoming worthless in the International platform and the Gold takes over, who will own land deposits of Gold in Africa and who will benefit? Considering that the most of Gold and Oil are now coming from Africa, if Africa do not have any proper Constitution laid down with People’s Bills of Right put into consideration, where will Africa be? Who will be in control of Coltan minerals deposits for computer chips and other electronic accessories, if not Africans and if Africans are not cleverly protected under the Constitutional Bills of Rights?

Economic stability requires some sort of providing simple economy educational awareness to public through Constitutional Bills of Rights which Kenya’s Coalition Government under the two Principals have not done. We all believe that, World Bank having released the funds for the same and the Coalition leadership refusing provide the necessary required training, with the anomaly of trashing the Constitution in Parliament, it is clear, both the two Principals in the Coalition Government see this as relatively unimportant because of their involvement in the conspiracy, they are playing with public intelligence to conspire in the sale of Kenya and their auctioning of the Country to the International Corporate Business of Special Interest.

Without Proper Constitution for Public Bills of Rights No business local or international will be considered legitimate.

For Kibaki and PM Raila to go to solicit greener pastures for investment or Aid from the International Business Community, is a case of panic, it is to solicit for a death pill to Kenya.

Main article: 1998 Russian financial crisis:

After more or less stabilizing after the disintegration of the USSR, a severe financial crisis took place in the Russian Federation in August 1998. It was caused by low oil prices and government expenditure cuts after the end of the Cold War. Other nations of the former Soviet Union also experienced economic collapse, although a number of crises also involved armed conflicts, like in the break-away region Chechnya. The default by Russia on its government bonds in 1998 led to the collapse of highly leveraged hedge fund Long Term Capital Management, which threatened the world financial system. The U.S. Federal Reserve organized a bailout of LTCM which turned it over to a banking consortium.

Is the world headed to a massive melt-down, and where will Kenya/Africa be when we remain stuck in the mad after President Obama boosted us with the New Constitution inclusively with an offer to a welcoming Foreign Policy agenda which is for a Mutual Partnership towards a sustainable development agenda where everyone has an opportunity to benefit and improve their lives, but are treated with dignity instead of being made slaves.

This is a serious food of thought that require your weekend moment to digest.

Be prayerful and open your deeper thought and understanding of the value to God’s purpose of creation, to where we are headed in this case-scenario…….

Thank you all for sharing,

Judy Miriga
Diaspora Spokesperson
Executive Director
Confederation Council Foundation for Africa Inc.,
USA
http://socioeconomicforum50.blogspot.com

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FULFORD VS. HAARP

Uploaded by christollinger on May 28, 2008
Benjamin Fulford reports from Tokyo on a mysterious plasma weapon seen prior to the Niigata earthquake in July, 2007 and red, white and blue lights seen prior to the recent earthquake in China. Both quakes targeted nuclear facilities…coincidence?

Dummies’ guide to what went wrong in Europe.

Helga is the proprietor of a bar. She realises that virtually all of her customers are unemployed alcoholics and, as such, can no longer afford to patronize her bar. To solve this problem she comes up with a new marketing plan that allows her customers to drink now but pay later.

Helga keeps track of the drinks consumed on a ledger (thereby granting the customers loans).

Word gets around about Helga’s “drink now, pay later” marketing strategy and, as a result, increasing numbers of customers flood into Helga’s bar. Soon she has the largest sales volume for any bar in town.

By providing her customers freedom from immediate payment demands, Helga gets no resistance when, at regular intervals, she substantially increases her prices for wine and beer – the most consumed beverages.

Consequently, Helga’s gross sales volumes and paper profits increase massively. A young and dynamic vice-president at the local bank recognises that these customer debts constitute valuable future assets and increases Helga’s borrowing limit. He sees no reason for any undue concern, since he has the debts of the unemployed alcoholics as collateral.

He is rewarded with a six-figure bonus.

At the bank’s corporate headquarters, expert traders figure a way to make huge commissions, and transform these customer loans into DRINKBONDS. These “securities” are then bundled and traded on international securities markets.

Naive investors don’t really understand that the securities being sold to them as

“AA Secured Bonds” are really debts of unemployed alcoholics. Nevertheless, the bond prices continuously climb and the securities soon become the hottest-selling items for some of the nation’s leading brokerage houses.

The traders all receive a six-figure bonus.

One day, even though the bond prices are still climbing, a risk manager at the original local bank decides that the time has come to demand payment on the debts incurred by the drinkers at Helga’s bar. He so informs Helga. Helga then demands payment from her alcoholic patrons but, being unemployed alcoholics, they cannot pay back their drinking debts. Since Helga cannot fulfil her loan obligations she is forced into bankruptcy. The bar closes and Helga’s 11 employees lose their jobs.

Overnight, DRINKBOND prices drop by 90%. The collapsed bond asset value destroys the bank’s liquidity and prevents it from issuing new loans, thus freezing credit and economic activity in the community.

The suppliers of Helga’s bar had granted her generous payment extensions and had invested their firms’ pension funds in the BOND securities. They find they are now faced with having to write off her bad debt and with losing over 90% of the presumed value of the bonds. Her wine supplier also claims bankruptcy, closing the doors on a family business that had endured for three generations; her beer supplier is taken over by a competitor, who immediately closes the local plant and lays off 150 workers.

Fortunately though, the bank, the brokerage houses and their respective executives are saved and bailed out by a multibillion dollar no-strings-attached cash infusion from the government.

They all receive a six-figure bonus.

The funds required for this bailout are obtained by new taxes levied on employed, middle-class, non-drinkers who’ve never been in Helga’s bar.

Now do you understand?

NOW THIS:
Understanding the Looming World Economic Meltdown

La’Ziramjad

Thursday, 06 October 2011 17:42

After recovering from the Credit Crunch or the Global Financial Crisis in 2008 that has been labeled by many economists as the worst financial crisis since the 1930s Great Depression, the world is now on the brink of another economic meltdown. The rising cost of living and unemployment rate that burdens almost every country in the world today clearly shows that the world may hit the wall again at any time in the near future.

Greece Default

To understand what might happen to Malaysia if an economic meltdown is to happen, it is very easy to just look at Europe and see the troubled Greece, which is now battling against its debt default. Greece is a perfect illustration of a country which had run its economy the wrong way and the repercussions of doing so.

With the European Union (EU) incessantly lending money to Greece while asking its government to cut its budget, many don’t realize that the EU’s help is rather futile. The economic models being used by many nations right now will need alteration at a global level in order to restore Greece and other soon-to-be-affected countries.

But at the moment, with Greece, we are looking into the ‘opposite approach’. EU was telling Greece, “we lend you money, so you must balance your budget, and you need to cut your social welfare programs, sell your investment, sell your transport.” Unfortunately, this will make Greece poorer as the tax in Greece is going to shrink. To put it simply, with no tax money, a nation cannot grow.

When Greece announced its debt default that sees its government no longer able to make out bonds, the banks, especially those in Germany, Spain and England will soon be affected as they were the ones that had lent the money to Greece. This would then ignite a chain-effect in other European countries and later spread to other continents like Asia as the economic models that are being use here are similar to those being used in Europe.

And intriguing enough, The EU is not solving the problem in Greece. Instead, they’ve been driving out from the crisis in reverse. The whole world must understand the current issues and grasp at the fact that the best way to resolve the problem is through collective efforts. The underlining problem is under-consumption and distributing money to the wrong community.

Understanding the Problem

These days, too much of the world’s wealth and income has gone into the corporate sector. That means our capital has flowed out to the likes of CEOs, shareholders of the corporate world and other related party of the corporations. This leaves the ordinary people getting less and less share of the profit.

The consequence of the ordinary people getting fewer shares is that the buying power among the population stop to grow. The capital is growing but manufacturers cannot go on to produce goods and products such as TVs, shoes and other things because people just cannot afford to buy them due to their limited buying power. This then leads to an overhang of supply and demand. This happens as the surplus of the capital cannot produce material anymore due to the slow market. When this happens, the capital goes into speculation, more bonds, foreign exchange and also future derivatives. This will spark a chain effect where the government will fail to produce foods, houses and many more other necessities simply because the people can’t afford to buy them.

In the Europe nowadays, due to the derivative bubbles, most of the governments are now spending a lot of their money to save the banks. The economic environment is so worrisome that government deficits have reached 1.3 times the country’s GDP. What happened to Greece now can happen to any country, as the capitalist economic system is currently ‘eating’ into the value for money while the profits are kept among the corporate.

The Solution

Since it’s all because of the under-consumption, the answer to the problem is to take steps to transfer the wealth of the society to the ordinary people. One of the steps to circulate wealth to the public is by setting up minimum wage. The minimum wages affect will bring the buying power to the people again, and that money can go into the demands again.

The other step is to make all country in the world to start charging tax on all corporate profit financial transactions. This measure will transfer the corporation money to the government. The results of this will see the government having extra money to spread among the organization members, the society. With this, the government can again start to congregate demands.

We must realize that we need to transfer the wealth from the corporate to the government, to the people. If the money from the tax were given to the government then the government can use it for welfares, education, healthcare, and all kind of interventions to help the people. Then there will be demand all over again. This is how the world is going to get out from this current crisis.

What Malaysia Has Done

Malaysia has wooed RM21.3 billion in foreign direct investments (FDIs) in the first half of this year and with prime minster Najib at helm the FDI is getting higher due to government’s hectic lobbying for foreign investors. Not that this is not good, investment is always good. However, we must be aware that, in this current economy, investors will not prosper the country in the right way. With a lot of foreign investors coming down to Malaysia to invest, the locals are getting lesser chance to gain the nation’s capital.

Najib has been saying that his wishes to liberalize the market and create more business people. These will only lead to corporation reaping the nation’s capital and the national income will obviously get smaller. Big businesses, railways, hospitals and education cannot be left to commercial interest, no matter how straightforward we are going with this economy.

The Wise Approach of the South Americans

While Europe and some Asian countries are now on the brink of economic system, countries like Brazil have prospered and managed to avoid themselves from the meltdown. Since the 35th president of Brazil, Luiz Inácio Lula da Silva took over the government in 2003, Brazil’s minimum wage have been raised three to four times. Brazil’s government has started to realize the importance in uplifting the poor people.

Brazil has started a program called ‘Bolsa Familia’ which gives money to poor family as long as they send their children to school. With such welfare system, the family would not only able to buy themselves foods, but the children would also receive education.

Since 2003, when the program first started, 12 million families have joined the scheme and received small amounts of money (around US$12 a month). Inequality has been cut by 17 percent in just five years, which is perhaps one of the most dramatic achievements in welfare ever recorded. The poverty rate has fallen from 42.7 percent to 28.8 percent.

In Brazil, with the introduction of such system, the corporate world is also started to receive demand again, because the people now have money in their hands, therefore their buying power has been restored. This will automatically encourage production of goods. In Brazil, all parts of the country are reaping something useful to satisfy all parts of the community. The Brazilian government, by giving money and buying power to the poor, has not only increased demand but also promote small local businesses to form.

The money will always stay within the country as the poor communities are not ‘customarily obliged’ to buy that imported US$199 iPhones. They are satisfied with the cheaper local-made mobile phones. The consequence to this is it would boost the local corporate companies.

Greed and Instant Gratification

The people of the world must now realize the situation, not only them; the corporate power on the other hand must be less greedy and help the market first, so that they can receive demands again for production. By adapting this new attitude, the under-consumption problem that we are facing now can be overturned.

Adam Smith was quoted saying that “you can be greedy as you like, but make sure you take care of your community”. This must be practiced by the corporate world. It is understood that the capitalist’s motive is to maximizing profits, but this shortsighted mentality should be chucked out so that more profits can be gained in the future.

Why Can’t People See It?

Understanding the economic situation might prove decisive to the world economy now. Socialists have proven that its economic analysis has found the core problem of the modern era economic meltdown. And to look at it and have a think about it doesn’t bring people closer to communism. This however is not the case as this is an economic analysis, not a political ideology.

So if someone asks why the economy is going to go through a meltdown, just tell them that we, and the rest of the world, have perceived the meltdown in a wrong way and dealing with it in a wrong way. Actually we have been doing the opposite of what we’re supposed to be doing.

Mungiki yaerejea na sura mpya

Published on Jun 19, 2012 by standardgroupkenya
http://www.ktnkenya.tv
Idara ya polisi nchini imetoa onyo kali kwa makundi haramu humu nchini na kuwataka wakenya kufahamu ya kwamba kundi haramu la mungiki limerejea tena na sura mpya. Naibu msemaji wa polisi Charles Owino mapema hii leo mchana alipasua mbarika na kusema kuwa polisi hawatoruhusu kamwe makundi kama hayo kuwahangaisha wakenya hususan tunapokaribia uchaguzi mkuu. Mohammed Ali anatuarifu zaidi.

MPs want losing candidates nominated

Published on Jun 20, 2012 by NTVKenya
http://www.ntv.co.ke
Parliament is on course to amending a key component of the constitution, to allow presidential and deputy presidential candidates who lose in the elections to find their way back into parliament. Garsen MP Danson Mungatana, who is the proponent of the amendment has intimated that the amendment seeks to strengthen the opposition in parliament. Ben Kitilli reports on a matter that is set to receive backlash from Kenyans..

Cheserem: Kenya needs leaders with integrity at all levels

By Luke Anami

The media have been asked to be at the forefront in educating Kenyans about the calibre of leaders required to take the country forward.

Micah Cheserem, the chairman of the Commission on Revenue Allocation, said it was critical that Kenyans understood Chapter Six of the Constitution on Leadership and Integrity.

Lamenting poor leadership, he asked voters to make a break with the past by electing visionary and transformative leaders during the General Election.

“As Kenya turns 50 next year, and given our history, we should have done better. Kenya has performed way below its potential because of many factors. But the major one is poor leadership not at all levels,” said Mr Cheserem.

“And because of that, corruption has crept into every sphere of society, including the media. That is why we thought of Chapter Six given the integrity of the people we are going to elect,” said Cheserem when he visited the Standard Group Centre where he met editors and senior journalists.

Mr Cheserem called on the media to scrutinise those standing for elective posts, especially those gunning for president and governorship, saying the President and the 47 governors held the key to the future.

“Go 20 years back on the lives of these persons (running for office and reveal them) without scandalising them,” said Cheserem.

The Standard Group Deputy Chairman and Chief Executive Paul Melly said the media group would not defend corrupt leaders and would proactively engage and facilitate a process that will ensure the defence of the Constitution.

“Our role is to defend public interest and when those who are managing public resources are found to have engaged in activities inconsistent with the existing Constitution, we will be the first to bring it up,” Mr Melly said.

“When the MPs choose to use their privileged position to protect what is clearly vested interest, it is our duty to tell Kenyans to be aware of those involved so that they will never have an opportunity to see the inside of Parliament again,” he said.

“As far as the subject of Integrity is concerned and the implementation of Chapter Six, all of us will play an important role as the media in interrogating our leaders and more importantly setting the agenda,” Melly added.

Melly said Kenyans do not want to see most of the governors taken to court on corruption charges in the first, as happened in Nigeria.

Cheserem said it would be costly if Kenyans did not elect women in line with the constitutional provision that not more than two-thirds of members should be one gender.

“While the number of MPs is pegged at 290, the number of women elected must meet the requirements of Article 27. There is no article that covers Parliament on women but if the women are less, then you must nominate them,” said Cheserem.

Article 27(8) of the Constitution, which is within the Chapter on the Bills of Rights, prescribes that the state shall take legislative and other measures to implement this principle.

“If you fail to elect the required number of women, consequently the wage bill will increase for the additional number of women you will have nominated. That is why is important for Kenyans to know that they must elect women in the coming elections.”

Cheserem said the provision was critical, because it required the state to be proactive in creating the necessary legislative and policy framework to ensure the realisation of the principle.

Fury as ‘selfish’ MPs chop up Constitution

Chairman of the Constitutional Implementation Committee Charles Nyachae. The Commission for implementation of the Constitution petitioned President Kibaki to reject the amendments. Photo/FILE

By NATION TEAM newsdesk@ke.nationmedia.com
Posted Thursday, June 21 2012 at 23:30

National outrage broke out on Thursday after MPs diluted laws designed to discourage party-hopping and set high thresholds for qualification to elective office in accord with the new Constitution.

The Commission for implementation of the Constitution petitioned President Kibaki to reject the amendments, while lawyers and civil society groups vowed to challenge the amendments in court and to organise public protests.

MPs had gone into an unusual late session on Wednesday to amend the Elections Act and the Political Parties Act, creating windows to allow persons without higher education to vie for political office.

They also relaxed the provisions barring MPs from defecting from one party to another.

CIC chairman Charles Nyachae, Law Society of Kenya chairman Erick Mutua and International Centre for Peace and Conflict chairman Ndung’u Wainaina argued that MPs had embarked on a journey to mutilate a Constitution that is less than two years old.

Mr Nyachae said his team had petitioned the President to decline to sign the amendments into law.

“We have written to the President pointing out the unconstitutional things and urge him not to assent to them. These amendments are not in the interest of the people of Kenya,” he said.

He said that the commission would seek court intervention to declare the changes unconstitutional if the president gives them assent.

“They are aimed to serve the personal interests of the current MPs which is in direct contravention of Article 16 of the Constitution,” he said.

He also asked Kenyans to rise up and defend their constitution from mutilation by the Legislature.

Mr Mutua concurred that the amendments were illegal. “MPs are engaging in a self-serving mission. We see these amendments as an illegality and a move by Parliament to circumvent the provisions of the constitution which deal with leadership and integrity,” he said in a statement

“We wish to point out that we shall proceed to court to challenge those unconstitutional amendments. We want to urge the public to ignore any unconstitutional law,” he said.

The LSK boss added that lawyers no longer had confidence that MPs will enact laws which are meant to ensure that only persons of integrity are elected to hold political office.

“With what has happened we have no faith that the expected legislation under Chapter Six will accord with the letter and spirit of that chapter,” he said.

Lawyers Atsango Chesoni, Harun Ndubi, George Kegoro, Grace Maingi and activist Ngunjiri Wambugu threatened to move to court to reverse the amendments.

Speaking at the Kenya Human Rights Commission offices in Nairobi, the group further vowed to hold demonstrations countrywide.

Mr Wainaina described the amendments as archaic and retrogressive. “We hope that Judiciary will exercise its judicial authority and powers to review this anti-people amendments and also curtail excesses of Executive and Parliament,” he said.

Saying that MPs had “shamelessly disrespected” Kenyans, he urged the public to collect signatures to file a petition for the dissolution of the coalition government.

Meanwhile, MPs for the second day running continued to make changes to the laws through the Statute Law (Miscellaneous Amendment) Bill, 2012.

With the amendments to section 14 of the Political Parties Act, MPs and councillors will freely form and join new political parties, while still holding on to their seats.

Also, losing presidential candidates now have a window to get back to leadership through nomination to Parliament or to the Senate.

An amendment suggested by the Narc Kenya MP for Garsen Danson Mungatana overturned the law against losing candidates finding their way back to the legislature.

However, the House rejected a move by Chepalungu MP Isaac Ruto to allow presidential candidates and their running mates to at the same time contest other elective seats.

Mr Ruto, an ODM MP who has moved to the United Republican Party led by presidential aspirant William Ruto, proposed that the presidential candidate and the deputy clinch the top seat, they forfeit the lesser positions and occasion a by-election.

The contentious amendments to allow defections proposed by Gachoka MP Mutava Musyimi were approved during an acrimonious debate pitting mainly ODM MPs who vehemently opposed against the party’s rebel MPs now in URP and their counterparts allied to the PNU alliance.

Similar Amendments to those of Rev Musyimi, a PNU MP and a presidential hopeful on a Democratic Party ticket, had also been suggested by Siakago MP Lenny Kivuti (Safina).

Rev Musyimi’s amendments were opposed by Narc Kenya presidential aspirant Martha Karua and MPs Ababu Namwamba, John Mbadi, and Millie Odhiambo; while Mr Adan Duale and assistant minister Peter Munya supported.

Rev Musyimi argued proposed the changes by the reality that the country was in a transition “and transitions are not easy.”

However, Ms Karua opposed the changes vehemently, described the move as a “great shame”.

Coalition Chief Whip Jakoyo Midiwo accused those seeking to amend the elections laws of killing democracy. “I am opposing the amendment knowing that the people who are used to indiscipline shall win. This country is a democracy and there cannot be a thriving democracy where there is no political party discipline.”

But assistant minister Munya, the PNU for Tigania East, said restricting people to parties they were no longer keen on was an infringement of their rights and freedom of association.

Budalangi MP Ababu Namwamba read to the House a letter from the CIC chairman Mr Nyachae informing House Speaker Kenneth Marende that the amendments were unconstitutional and would be fought in court.

Mandera Central MP Abdikadir Mohammed, who chairs Parliaments Committee on Implementation of the Constitution (CIOC) dismissed Mr Nyache’s assertions, saying it was not the responsibility of CIC to supervise Parliament.

—Reports by Njeri Rugene, Bernard Namunane, Emeka Mayaka and Lucas Barasa

USA, Ohio: Farm Policy that’s Better for Farmers, Fairer to Taxpayers

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From: Senator Sherrod Brown

With one in seven Ohio jobs connected to agriculture, it’s obvious just how vital farming is to our state. That’s one of the reasons I’m honored to represent our state’s farmers, ranchers, and rural communities as Ohio’s first senator on the Agriculture Committee in more than four decades. Over the last year, as part of my “Grown in Ohio” listening tour, I’ve had the opportunity to hear directly from farmers, business leaders, and community officials about how we can reform our agriculture policy so that it’s more responsive to the needs of farmers and rural communities and fairer to taxpayers.

That’s why I’m fighting to pass the 2012 farm bill, which reflects locally-identified priorities of Ohio’s rural communities, bolsters Ohio’s number one industry to create jobs, and strengthens our economy while reducing the deficit.

Reauthorized only once every five years, the farm bill offers an opportunity to adjust our farm, food, conservation and rural policies. In addition to continuing natural resource conservation and investments in nutrition, this farm bill includes the most significant reforms to farm policy in decades. It eliminates more than 100 duplicative programs and authorizations, and takes steps to crack down on fraud and abuse to make sure only those who are eligible for benefits receive them. And because this deficit-reducing bill saves some $23 billion in taxpayer dollars, this is a bill for all Ohioans.

The centerpiece of the bill’s reform and deficit reduction efforts is an overhaul of the farm safety net, modeled on a bill I introduced last year with Republican Senator Thune – called the Aggregate Risk and Revenue Management Program (ARRM). Our proposal and the 2012 farm bill eliminate the existing network of direct farm support programs in favor of a less expensive, market-oriented safety net that will kick in only when times are tough. With this bill, the era of direct payments – and paying farmers for crops regardless of need or market conditions – is over. The farm bill makes simple commonsense reforms. The bill also limits the amount of farm program payments any individual can receive.

While directing $23 billion to deficit reduction, the 2012 farm bill also supports the biobased-products industry and continued investment that can create jobs in Ohio. Companies producing biobased products, which are composed wholly or significantly of biological ingredients, are creating jobs in Ohio’s small towns and rural communities, and generating a link between agriculture and manufacturing. Last September at OSU, I held a roundtable with Ohio’s biobased leaders to discuss the need for an Ohio-led, U.S. biobased industry. Ideas from this roundtable helped establish the “Grow it here, Make it Here” initiative, which has been included in the farm bill and will help create new market opportunities for Ohio farmers and some 130 biobased manufacturers in our state.

Similarly, many Ohio farmers explained to me that they see opportunities for growth right in state, selling to Ohioans who want to buy Ohio-grown and Ohio-made goods. These comments contributed to my Local Farms, Foods and Jobs Act, which would forge closer links between Ohio producers and consumers by addressing production, aggregation, marketing, and distribution needs. The bill would also improve consumer access to healthy, fresh food with support for technology and direct sales and many components of my bill are included in the farm bill.

Since our nation’s food and agriculture policy affects all Americans every day, it is crucial to ensure that the 2012 farm bill creates jobs, and provides economic relief to those in need. The 2012 farm bill is a bipartisan reform bill that saves taxpayers billions of dollars while maintaining investments in the economy, the environment, and public health.

There is no excuse to delay its passage. We must act swiftly to pass the 2012 farm bill.

Sincerely,

Sherrod Brown
U.S. Senator

Washington, D.C.
713 Hart Senate Building
Washington, DC 20510
p (202) 224-2315
f (202) 228-6321

Columbus
200 N High St.
Room 614
Columbus, OH 43215
p (614) 469-2083
f (614) 469-2171
Toll Free
1-888-896-OHIO (6446)

Kenya Plan to establish Derivative Markets -Instruments that played a big role in Global Financial Crisis of 2008

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From: amenya gibson

Now Kenyan will be moving to join top nations in modern markets.

Central Bank of Kenya has developed guidelines that will allow financial institutions to trade financial instruments called derivatives.

There is need as Kenyans we develop enough manpower that will enable Kenya not only avoid journey that West Nations faced when these instruments almost destroyed their markets but establish how best such instruments can help us especially as we move towards devolved system of government.

I cant wait to see Maasai community trading their Sandals at New york Stock exchange without moving physical having the sandals being shipped to NYSE.

We all know financial instruments of derivatives can help a company develop very fast and grow its market but also can cause within seconds the company to be bankrupt.

Recently JP Morgan Chase and Company led its CEO Jamie Dimon having a rough time to explain why its on its balance sheet we have a hole of usd 2B from saw its London Trading Desk which is over Ksh (87times 2) =Ksh 176B amount that can develop see Kenya pay teachers,etc without stress but all this got wiped in a few months.

We all know that derivatives markets make biggest Investments banks in USA such as Lehman Brothers AIG,Morgan Stanley collapse.

Will Kenya avoid this especial when we shall be having trading of swaps,oil and gas derivatives and even we can have come 2013 Political Derivatives we bet on which politicians are likely to win in 2013
—

Thanks
Gibson Amenya
Level Moja Capital Solutions K Ltd
Skype amenya.gibson

World: My Speech to the Finance Graduates

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From: Yona Maro

—
Karibu Jukwaa la www.mwanabidii.com
Pata nafasi mpya za Kazi www.kazibongo.blogspot.com
Blogu ya Habari na Picha www.patahabari.blogspot.com

– – – –

By Robert J. Shiller, 30 May 2012

NEW HAVEN – At this time of year, at graduation ceremonies in America and elsewhere, those about to leave university often hear some final words of advice before receiving their diplomas. To those interested in pursuing careers in finance – or related careers in insurance, accounting, auditing, law, or corporate management – I submit the following address:

Best of luck to you as you leave the academy for your chosen professions in finance. Over the course of your careers, Wall Street and its kindred institutions will need you. Your training in financial theory, economics, mathematics, and statistics will serve you well. But your lessons in history, philosophy, and literature will be just as important, because it is vital not only that you have the right tools, but also that you never lose sight of the purposes and overriding social goals of finance.

Unless you have been studying at the bottom of the ocean, you know that the financial sector has come under severe criticism – much of it justified – for thrusting the world economy into its worst crisis since the Great Depression. And you need only check in with some of your classmates who have populated the Occupy movements around the world to sense the widespread resentment of financiers and the top 1% of income earners to whom they largely cater (and often belong).

While some of this criticism may be over-stated or misplaced, it nonetheless underscores the need to reform financial institutions and practices. Finance has long been central to thriving market democracies, which is why its current problems need to be addressed. With your improved sense of our interconnectedness and diverse needs, you can do that. Indeed, it is the real professional challenge ahead of you, and you should embrace it as an opportunity.

Young finance professionals need to familiarize themselves with the history of banking, and recognize that it is at its best when it serves ever-broadening spheres of society. Here, the savings-bank movement in the United Kingdom and Europe in the nineteenth century, and the microfinance movement pioneered by the Grameen Bank in Bangladesh in the twentieth century, comes to mind. Today, the best way forward is to update financial and communications technology to offer a full array of enlightened banking services to the lower middle class and the poor.

Graduates going into mortgage banking are faced with a different, but equally vital, challenge: to design new, more flexible loans that will better help homeowners to weather the kind of economic turbulence that has buried millions of people today in debt.

Young investment bankers, for their part, have a great opportunity to devise more participatory forms of venture capital – embodied in the new crowd-funding Web sites – to spur the growth of innovative new small businesses. Meanwhile, opportunities will abound for rookie insurance professionals to devise new ways to hedge risks that real people worry about, and that really matter – those involving their jobs, livelihoods, and home values.

Beyond investment banks and brokerage houses, modern finance has a public and governmental dimension, which clearly needs reinventing in the wake of the recent financial crisis. Setting the rules of the game for a robust, socially useful financial sector has never been more important. Recent graduates are needed in legislative and administrative agencies to analyze the legal infrastructure of finance, and regulate it so that it produces the greatest results for society.

A new generation of political leaders needs to understand the importance of financial literacy and find ways to supply citizens with the legal and financial advice that they need. Meanwhile, economic policymakers face the great challenge of designing new financial institutions, such as pension systems and public entitlements based on the solid grounding of intergenerational risk-sharing.

Those of you deciding to pursue careers as economists and finance scholars need to develop a better understanding of asset bubbles – and better ways to communicate this understanding to the finance profession and to the public. As much as Wall Street had a hand in the current crisis, it began as a broadly held belief that housing prices could not fall – a belief that fueled a full-blown social contagion. Learning how to spot such bubbles and deal with them before they infect entire economies will be a major challenge for the next generation of finance scholars.

Equipped with sophisticated financial ideas ranging from the capital asset pricing model to intricate options-pricing formulas, you are certainly and justifiably interested in building materially rewarding careers. There is no shame in this, and your financial success will reflect to a large degree your effectiveness in producing strong results for the firms that employ you. But, however imperceptibly, the rewards for success on Wall Street, and in finance more generally, are changing, just as the definition of finance must change if is to reclaim its stature in society and the trust of citizens and leaders.

Finance, at its best, does not merely manage risk, but also acts as the steward of society’s assets and an advocate of its deepest goals. Beyond compensation, the next generation of finance professionals will be paid its truest rewards in the satisfaction that comes with the gains made in democratizing finance – extending its benefits into corners of society where they are most needed. This is a new challenge for a new generation, and will require all of the imagination and skill that you can bring to bear.

Good luck in reinventing finance. The world needs you to succeed.

Uganda has floated tender for consultancy to build 2 billion dollar oil refinery in Kabaale, Hoima district

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Writes Leo Odera Omolo

INFORMATION emerging from the Ugandan capital, Kampala reveals that the government has floated an international tender for consultancy service on the logistics for building a USD 2 billion oil refinery in Kabaale, Hoima district, some 420 kilometers South West of the capital, Kampala.

Officials at the state-owned Petroleum Exploration and Production {PEPD} at the Ministry of Energy confirmed this adding that they were also looking for a lead investor for the refinery, which will have an initial capacity of 60,000 barrels of crude oil per day.

“The search for the lead investor will start next month through international bidding, according Mr Ernest Kubondo, the Commissioner in-charge of PEPD, the planned refinery will be operated under a public private partnership.

The Ministry of Energy is soon acquiring some 29 square kilometers of land from local communities as part of the preparatory phase for the refinery.

The successful consultant will conduct a route survey from the Kenya’s coastal port City of Mombasa to Kabaale to Kasese limitations for transport and recommend specific location of the site for the refinery and its boundaries. advise on shipment expected during construction and overall operation of the refinery,’ said Kabambe Kaliisa, the Permanent Secretary at the Ministry of Energy.

The PS said the interested consultants are required to obtain bid documents after paying USD 40 {Ushs 100,000}and submit them by June 21,2012.

Notice of he best bidder will be issued and published on July 11 and contract awards by the end of July in an exercise to be carried out under the Public Procurement and Disposal of Public Assets Act of 2003.

Uganda consumes about 550,000 cubic meters of refined fuel annually,85 per cent of which is imported through Kenya and 15 per cent through Tanzania.

Local production of crude oil has not started,

Tullow Oil PLC a British oil exploration firm, jointly with Total of France and China National Offshore Oil Corporation are currently working on details of refining 200,000 barrels per day of crude oil from Lake Albert basin by 2015.

“The parties are currently discussing how the investment in the project to build a refinery near Lake Albert will be shared,” the report quoted Elly Karuhanga, the chairman of the Uganda Chambers of Mines and Petroleum.

Major production from the Lake Albert basin is expected approximately 36 months after Ugandan government approves a plan for the development.

“Options are being weighed to allow the sale of small volumes of crude oil from well testing to industry as well testing as some small scale power projects,” said George Casenove who is in charge of Tullow’s media relations.

Uganda’s nascent oil and gas industry provides opportunities for both local and international investors to make money following the free-market policy adopted in the early 1990s.

“There are opportunities in the entire value chain from exploration,”said Energy Minister Irene Mukoni.”

Ends

EAC is seeking the better way of funding its institutions independently

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Writes Leo Odera Omolo.

INFORMATION EMERGING FROM THE East African Community’s secretariat in Arusha says that the Secretary General Richard Sezibera is pushing forward for merger of the budget for all institutions attached to the EAC to help improve their funding.

Somme semi autonomous institutions like the Lake Victoria Fisheries Organization {LNVFO} and The Inter-University Council of East Africa{IUCEA] have been operating below budget due to a funding gap after partner states failed to meet their quotas for the financial year that ends this June.

Tanzania, Kenya and Uganda, which make up LVFO, have paid 27.6 per cent of the expected USD 837,258.33 while partner states have paid less than 40 per cent of the USD 800,000 they are supposed to pay to IUCEA.

The budgets of the two institutions will be merged with that of the EAC for the first time in the 2012 / 2013 financial year, but partner states will still pay their quotas to thee institutions independently.

Dr Sezibera who was on a visit to Uganda last week to inspect the projects of the Lake Victoria Basin Commission {LVBC} and LVFO however, said in future, the secretariat will have the powers to compel partner states to pay their quotas to all institutions of the EAC on time.”If the money is coming directly from the ministries of education and agriculture into the EAC, we have more leverage,”said Dr Sezibera during a brief address to newsmen at the end of his Ugandan tour.

The secretariat via instruction from the Council to the Summit, will force defaulting member countries to pay up, with help from their presidents.

The EAC secretariat is also seeking to strengthen IUCEA, which received the mandate of the in February to accredit universities in the region through the Inter University Council of East Africa Amendment Bill 2010.

The Secretary-General is also looking at increasing the mandate of the LVFO to cover all the waters of East Africa and for the region to have full control of the fish resources.

Expected Rwanda, Burundi membership.This process will start with the admission of Rwanda and Burundi into LVFO in July this year.

The coming financial year will also see EAC turn LVFO into an East African Fisheries Organization EALFO using a protocol or an East African Legislative Assembly Bill. The EALVFO will help seal loopholes in over-fishing which are exacerbated by having different administration units controlling different waters. EALVFO is also expected to improve the region’s capacity to effectively police its waters.

He went on,”As we address the issue of Somalia, the governments of East Africa have to ensure control of their waters,” Dr Sezibera said, adding that Somalia’s problems like piracy are a result of that country’s failure to control its territorial waters.

The EAC Chief Pointed out that illegal fishing of the Somali coast had denied local residents a key source of livelihood.

The Lake Fisheries Organization promotes the sustainable use of the water bodies resources.

Ends

Kenya: Prof Nyong’o under heavy fire for neglecting understaffed and under utilized medical facilities

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Investigative Report by Leo Odera Omolo In Kericho Town

Ailing Kenyans are known to be succumbing to their deaths from incurable diseases owing to inadequate medical facilities, shortage of hospitals well stocked with drugs, neglected health centers, idle and understaffed hospitals.

This writer has discovered that some hospitals which were built with millions of taxpayers money are idle, neglected or understaffed.

One of these facilities, which gives the bad example of total neglect to the important medical facilities in this country is the ultra modern Sigowet Hospital, which is located within the County of Kericho’s newly created Sigowet district in lower Belgut.

The buildings housing the sub-district hospital stands magnificently beside the min-Sondu-Sosiot district.

The institution was built about twenty years ago. It was a pet project of the retired President Daniel Arap Moi. The government is believed to have sunk as much as close to Kshs 200 million in putting up this ultra modern medical facility.

Sigowet hospital is strategically located in a densely populated region. If it s put to a better used, it could be promoted to a level Five Hospital. It caters for patients from several administrative districts in Nyanza and the South Rift region of the Rift Valley Province.

These districts include Rachuonyo South, North Mugirango Borabu, Sotik, Kericho, Nyakach, Bureti, Nyando, Muhoroni and Rachuonyo North.

Sigowet hospital has yet to be officially commissioned to cater for both inpatient and outpatients respectively, though it is currently rendering skeleton services members of the public despite of the repeated requests by the residents to the Prime Minister Raila Odinga and the Minister for Medical Services Prof. Anyang’ Nyong’ to pay an urgent visit to the facility to have it upgraded.

Sigowet hospital despite having all the building extra facilities such as xray, laboratory has only six staff working at the institution. They comprised of our nurses and two medical technicians. There is no resident doctor whereas the facility is a big complex which could accommodate s many as ten medical doctors, specialists, surgeons.

This important ,but neglect facility could could provide the opponent of the coalition with good ammunition during the forthcoming general elections. Already the residents of Sigowet an area which has recently been gazetted as one of the 80 additional parliamentary constituencies counry wide to place the blame at the doorstep of the incumbent area MP Charles Keter who they said appeared to spent most f his valuable time drumming for the support of his political friend, the Eldoret MP William Ruto and in the course of doing that has totally neglected his constituents and openly abandoned the new hospital not pressing the government to supply the facility with adequate number of medics to man it.

Keter has since stated that he will not defend his parliamentary seat at the next general elections and would instead campaign for the lucrative position of Kericho County governor.

The neglected facility stands only a few meters from the main Sondu-Sosiot-Kericho road and would go down in history as one of the best medical institutions established in he region by the former KANU regime.

Another hospital, which is also facing semi-neglect, is the Awendo based sub-district hospital. Here those assigned to man the facility have no business asking the parents Ministry to supply it with adequate number of qualified medics. The hospital is relying mainly on volunteers, most of the untrained women from the surrounding rural locations. These women work as cleaners and maintenance staff, but are not on anybody’s payroll.

The women comes either twice or thrice a week from the rural villages, Resident of this fast rowing rural farming town are wondering as to where the money meant for the annual medical votes for the Ministry of Medical Services goes, if hey cannot engage adequate staff to man their facilities in rural areas.

The area MP is Dalmas Otieno who is also the Minister for Pubic Services could not b e reached to shade any light why the government cannot employ qualified nurses to work at the Awendo hospital.

It is not unusual to find some old women working at the hospital as untrained midwives and nurses or cleaners. The women said they were told about three years ago to star working at the facility as volunteers an that they would be considered for permanent employment. Some of the do commute from as far as seven to eight kilometers from the surrounding rural locations in Sakwa East ad Sakwa South Locations.

One civic leader in Awendo Town Council scathingly criticized the Minister for Medical Services Prof. Nyong’o for gross inefficiency and for having failed to provide Kenyans with proper medical protection and gross negligence and called for the Minister to be reshuffled and transfer to a lesser important Ministry.

Ends

Food security in Africa / African Development Bank Chief to Meet G8 Leaders for Unprecedented Session

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From: News Release – African Press Organization

PRESS RELEASE

African Development Bank Chief to Meet G8 Leaders for Unprecedented Session

Donald Kaberuka will take part in an extraordinary meeting to discuss the critical issue of food security in Africa

WASHINGTON, May 17, 2012/ — Dr. Donald Kaberuka, President of the African Development Bank (http://www.afdb.org), will take part in an extraordinary meeting of the world’s richest nations this week to discuss the critical issue of food security in Africa.
;
[Photo:] http://www.photos.apo-opa.com/plog-content/images/apo/photos/donald-kaberuka—afdb-president.jpg

President Kaberuka has been invited to the Group of Eight (G8) Summit at Camp David near Washington by U.S. President Barack Obama, who stated in the invitation that the session will focus on ways to “increase private sector investment in agriculture and scale innovation.”

This reflects the growing recognition on the world stage that Africa plays an increasingly important role in the global economy, and that the African Development Bank is a leading contributor.

Saturday’s meeting will include leaders of the G8 nations, several African Heads of State, executives from multinational companies, African private sector leaders and President Kaberuka representing the AfDB. It’s the first time that an AfDB chief has been invited to a residence of the U.S. President.

During his visit to Washington, President Kaberuka will also participate in a symposium on food and nutrition security and attend a reception hosted by Hillary Clinton, the U.S. Secretary of State.

The African Development Bank has been instrumental in promoting sustainable economic growth and reducing poverty on the continent for nearly 50 years. Its membership includes 53 African and 24 non-African nations.

The Bank was established in 1964 to stimulate and mobilize internal and external resources to promote investments as well as provide its regional member countries with technical and financial assistance.

Distributed by the African Press Organization on behalf of the African Development Bank.

For more on the African Development Bank, go to http://www.afdb.org

SOURCE

African Development Bank (AfDB)

Africa – Dark Continent No More

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From: Yona Maro

AFRICA is a continent on the rebound. Poverty is still evident, some parts are still at war, diseases remain a challenge but the world must not be fooled. The continent is a giant that is awakening.

In fact, this has been happening over the past few years but many, even the Africans themselves, have hardly been noticing.

But now things are moving at such a pace the continent is now difficult to ignore, or the world can do so at its own peril.

The World Economic Forum on Africa, a meeting of minds in government, business, civil society, the academia, media and the arts held its 22nd summit in Ethiopia last week where Africa’s transformation was under the spotlight.

More than 700 delegates from 76 countries attended the summit hosted by Ethiopia, itself a country considered the third fastest growing in the world, at an average 8,1 percent Gross Domestic Product growth.

The various statistics released during the Forum from all perspectives showed that the continent is experiencing real transformation with its 2 percent share of global foreign direct investment set to grow phenomenally over the next few years now that the world’s attention has shifted to this continent.

The famous Asian Tigers are fast being tamed by the aggressive “Lions of Africa” as the continent shrugs off the demeaning tag of poverty, darkness, war and disease that it has been known for, for a long time. The picture of wars, hunger and dirt is fast being replaced by that of sunshine, improved infrastructure, wealth and a better quality of life.

The continent is not yet there but there is light at the not too far end of the tunnel.

The body language, the tone of presentations and discussions at the forum told a story of a continent that has suddenly found itself and is raring go.

It certainly was about time that we changed the world’s view on Africa. Often times the minute you say you are from Africa, one suddenly begins to talk about civil strife, diseases and poverty levels instead of engaging on more progressive issues such as ICT development.

But such speakers as Africa Development Bank president Donald Kaberuka and former UN Secretary-General Kofi Annan and other prominent speakers stressed that that phase was fast disappearing and a new Africa was about to change the global complexion.

These were no mere sentiments or wishful thinking. Mr Kaberuka said the past decade had been the most progressive for Africa in the last 50 years.

The continent is faring well and is one of the fastest growing regions despite the economic crisis in the West.

In fact, Africa is expected to maintain an average 5 percent growth rate over the next decade.

Sustainable growth would have to be inclusive, with various programmes and projects targeted at the youth, women and micro and small businesses. The need to generate employment for the millions that are jobless cannot be overemphasised.

Of course, challenges such as low intra-Africa trade, corruption, poor infrastructure, political instability in some instances and other impediments to growth would have to be addressed in the process.

As I listened through and participated in some of the discussions at the World Economic Forum, my country Zimbabwe kept coming to my mind.

This country should not be left out of the renaissance and should make the most of the mileage gained by the continent.

The resurgence on the continent resonates well with what has been happening in Zimbabwe on the economic front. This country is the fastest growing in the region and its inflation is the lowest. This, coming from a hyperinflation state only three years ago, is something that has begun to catch the eye of investors and development partners.

Zimbabwe’s economy, although coming from a very low base, has been on the mend.

We were discussing with colleagues over lunch yesterday, the 2007-2008 era when carrying a loaf of bread home would make news and when a petrol attendant in South Africa would easily recognise a Zimbabwean because they always said “pane petrol here?” (is there petrol here?) when to the South Africans it was obvious that a fuel station would naturally have petrol and diesel.

But that phase belongs to history and Zimbabwe will need to consolidate its gains and move the economy further up the ranks.

However, challenges such as perception on indigenisation, poor electricity supply, political disharmony in some instances and poor infrastructure presently threaten the gains that have been made to date.

The economy is expected to grow by 9,4 percent but already some schools of thought argue that the figure will need to be revised downwards.

The country has begun to interest investors with planeloads of businesspeople coming from South Africa, Asia and some parts of Europe but it is the policies we implement here that will determine whether the inquiries will amount to much.

Electricity is a key production component but the challenges at Zesa are compromising Zimbabwe’s competitiveness in terms of trade and investment.

What does it take for Zesa to operate effectively? When will the electricity challenges end? Why have they persisted for this long?

Furthermore, the liquidity challenges have constricted economic activity and the challenges in this respect seem to be worsening.

What strategies do we presently have in place to tame the situation? When should we anticipate a softening of the tight liquidity crunch?

Is there a roundtable where Government, business, labour, civil society and the academia are bringing their minds together to resolve the problems confronting the economy?

Are such platforms as the Tripartite Negotiating Forum and the National Economic Consultative Forum actively engaged in finding solutions?

Is the Confederation of Zimbabwe Industries holding emergency meetings to proffer solutions from a business perspective or do we wait for their next annual conference to deliberate on issues?

What is the Business Council of Zimbabwe presently seized with?

To what extend has the one-stop investment authority eliminated the cumbersome process of starting business in Zimbabwe?

Has the country been visible enough to the outside world?

These are some of the questions that need answers as Zimbabwe anticipates an improved economy where business thrive, jobs become available and where the ordinary person can afford a decent meal, healthcare and other facilities to do with their welfare.

At the World Economic Forum Zimbabwe was represented by Deputy Prime Minister Arthur Mutambara, Finance Minister Tendai Biti, Investment Promotion and Economic Planning Minister Tapiwa Mashakada and his permanent secretary Dr Desire Sibanda, among others.

From the business sector, I noticed Kingdom Financial Holdings founder and director Nigel Chanakira, among others.

In my interactions with them, they were upbeat about the country and felt progress would be made once a few issues as stated above were settled.

Professor Mutambara said Zimbabwe had a good story to sell and him and his team were at the Forum to keep a present on the global stage and to benefit from the ideas and thoughts exchanged at such platforms as the WEF meetings.

Let’s see what the next half of the year has in store for this country.

We will collectively have a say in this country’s future.

In God I Trust

http://www.herald.co.zw/index.php#

—
Karibu Jukwaa la www.mwanabidii.com
Pata nafasi mpya za Kazi www.kazibongo.blogspot.com

Kenya: Chemelil Sugar Company is on its deathbed as the result of poor management and embezzlement of its resources

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By a Special Correspondent

CHEMELIL Sugar Company, which for many years used to be one of the most vibrant and efficiently managed sugar producing mills in the country is ailing and headed for a total collapse.

It owed its raw cane suppliers millions of shilling in unpaid bill for the cane delivered to the facility during the months of March, April and this month, forcing the cane farmers to divert their cane from its growing zones to other factories.

The Company has yet to pay its senior staff and mangers, their salary for the month of April. It has, however, paid the laborers and the junior staff on fears of facing possible strike and demonstration protests.

It has had a change of guard in recent months, which saw the long serving agricultural manager Charles Owelle a Luo from Ugenya being confirmed as the new managing director .He replaced the former MD Eng.Edwin Otieno Musebe, a hard working Luhyia man who had turned around and steered the hitherto run-down facility.

Musebe’s unceremonious removal was both tribally and politically motivated, which saw members of the local Luo community had ganged up and they did everything possible including the staff sabotaging of the mechanically ailing factory, which has had no annual mechanical maintenance running into several years.

Politically Eng. Musebe was viewed to be leaning to the former Minister for Agriculture now the MP for Eldoret North William Ruto, while the local workers and many staff wanted the facility to be managed by a Luo who is allied to the Prime Minister Raila Odinga and the ODM.

They did this to the chagrins of the sugar cane farmers who had very cordial and warm relations with the company during highly profiled skills during Musebe’s managerial prowess. That saw the local cane farmer getting paid for their cane delivered to the facility n monthly basis.

THE former chairman of the company’s board of directors Dr M Mining, a Kalenjin was replaced by Ms Margaret Chemengich a fellow Kalenjin who is a retired former Permanent Secretary.

The abrupt change of top management after the Ministry had refused to renew the contract of the former MD was expected to bring in some skills an efficiency in the management of the facility, which is based in Muhoroni district in the region classified as the Nyanza Sugar-belt, but it has made it the worse instead.

According to unsigned and anonymous documents circulating within Chemelil and Muhoroni towns, the company sale of made sugar indicated that the firm sold 30,000 50kg bags at Kshs 4000 each earning Kshs 120 million, but still could not meet its financial obligations. Where this money did goes to?

By the end of April the Kenya Power and Lighting Company Limited {KPL} was owed Kshs 30 million unpaid for power bills. This forced the company temporarily disconnect the power supply to the factory last week. However, it later restored the supply following the intervention of by the higher authorities on fears that plunging the facility into to total darkness would pave the way for criminal minded people to vandalize its property.

The cane farmer have yet to be paid for the cane delivered and crushed in the facility between the month of March, April and this month amounting to a total of Kshs 114 millions.

The employees ha received their salary in March and had been warned in a circular that their salary for April would be affected much later. The pay bill is amounting to Kshs 20 million.

Mandatory deductions from the employee’s salary had yet to be remitted to the relevant authority such as NSSF and NHIF. This has now hit the Kshs 14.4 million in arrears. Medical cards covering the employee’s medical schemes are no longer valid and the employees cannot use them, to access medication.

For the rehabilitation of the mill, the company is believed to have received close to Kshs 340 million from the Kenya Sugar Board, but experts says this amount is inadequate taking into account that the mill had gone for years without its annual maintenance. It is now experiencing persistent mechanical breakdown thereby drastically reducing its production capacity.

The frequent breakdowns and the scarcity of raw cane had also drastically reduced the company revenue base. The employees were recently disturbed and disillusioned when they heard that the company had planned to take 18 of its senior managing staff an 11 members of the board of directors for a couple of day retreat to Sarova Lions Hotel in Nakuru.

The retreat was supposed to have taken place around May 8 to May 11th. But both farmers and the workers alike say there is nothing to celebrate while the financially ailing government wholly-owned firm is still facing myriads of problems.

Unconfirmed reports say that Chemelil Sugar Company might have lost between 400 and 400 million shillings between October last following the change of guard to date and due to poor management of its resources.

The local farmers have placed the blame squarely at the doorsteps of the parent Ministry of Agriculture whose some of the officials are being accused of collaboration with inefficient m one on political an tribal considerations

Bothe the new MD Charles Owelle and the Company’s public relations man Bosco Magare could not be reached for their immediate comment. Effort to trace them were fruitless

Ends

USA: Republican political suicide

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From: Steven Biel, MoveOn.org Civic Action

Hi—I wanted to make sure
you saw this email we sent the other day. This is an incredible opportunity,
and every dollar counts!

Young voters could decide the 2012 election, and
Republicans are slapping them in the face by trying to double the interest
rates on student loans this July. We’ve got a plan to make sure every
college student in America knows what’s happening and who’s to blame. Can
you donate $5?

Dear MoveOn member, 

In 2008, young people voted
in record numbers and went for President Obama over John McCain by
more than 2-to-1.1 This year, every election expert
agrees that if that happens again, Obama will win easily—and the Democrats
will probably win back the Congress.

And now Republicans have
handed us a golden opportunity to fire up young people to vote in 2012.

You see, because of
Republican obstruction in Congress, interest rates on college loans are set
to double this July—pouring even more debt on a generation
already drowning in student loans. President Obama is pushing Congress to stop
it, but as usual Republicans have dug in their heels.2

To make sure young
people know what’s happening, we’re launching one of the largest online ad
campaigns in MoveOn history—putting ads on the Facebook page of every college student in America to warn them about this Armageddon of student debt.

We’ve already tested
several versions of these ads, and we know they’re effective at getting
students to take action. But we’ll have to scrap the plan unless we can
raise $200,000 from MoveOn members. Can you chip in $5?

Yes, I can contribute $5 to help make sure young people vote in
2012.

MoveOn has already heard
from hundreds of thousands of young people freaking out about this—and we’re
already working to make sure they call Congress, register to vote, and keep
taking action on campus.

But really, we need
to reach the millions of young people who aren’t hearing about this, and hands down the best way to reach
them is on Facebook. 

Facebook ads are awesome
because unlike TV, radio, or newspaper ads, people can click on them and sign
up to take action. And of course, Facebook is where young voters spend so
much of their time.

Nothing strikes fear
into the hearts of Republican strategists like the idea of another wave of
young voter turnout like in 2008, and this Republican war on students gives us a chance to
make it happen, if we can act fast.

Click here to contribute $5 to help make sure young people vote
in 2012.

Student debt has become
an absolutely explosive issue among young people. Since
1999, student loan debt has increased by more than 500%. You may not
realize it if you don’t have kids or if you went to college 10 or 20 years ago,
but it now costs on average more than $21,000 a year to go to a public school
with in-state tuition. The best private schools are almost triple that much.3

In fact, we’ve seen two
of the largest petitions in MoveOn history in recent months calling on Congress
to provide relief for those drowning in student debt. This is a sleeping
giant of an issue, and in the coming weeks it can really blow up.

The Republicans’ doubling
of interest rates is just the latest attack on students. For years they’ve been
slashing funding for higher education, leading directly to skyrocketing tuition
at public colleges and universities. Just last year, they cut $8 billion out of
the Pell Grant program for low-income students and reduced the income threshold
for eligibility for a full Pell Grant.4

This is the ultimate
teachable moment for young voters, showing them who’s on their side and why it’s so important
to vote. With your help, we can make this one of the key turning points of the
2012 election.

Can you contribute $5 to help make sure young people vote in
2012?

Thanks for all you do.

–Steven, Joan, Wes,
Marika, and the rest of the team

Sources:

1. "Young Voters in
the 2008 Election," Pew Research Center for People & the Press,
November 12, 2008
http://www.moveon.org/r?r=274743&id=40284-21095459-3IDPcRx&t=5

2. "Obama To Make
Student Loans a Campaign Issue," Slate, April 20, 2012
http://www.moveon.org/r?r=274744&id=40284-21095459-3IDPcRx&t=6

3. "Chart of the
Day: Student Loans Have Grown 511% Since 1999," The Atlantic,
August 18, 2011
http://www.moveon.org/r?r=274368&id=40284-21095459-3IDPcRx&t=7

"College costs
climb, yet again," CNN Money, October 29, 2011
http://www.moveon.org/r?r=274745&id=40284-21095459-3IDPcRx&t=8

4. "Student loan
rate hike: What you need to know," CNN Money, April 24, 2012
http://www.moveon.org/r?r=274746&id=40284-21095459-3IDPcRx&t=9

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Gadhafi’s massive business interests in East Africa likely to shrink as Kenya and Uganda are said to be demanding new deals

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Reports Leo Odera Omolo

REPORTS appearing in local newspapers in both Kenya and Uganda have hinted that Libyan interests in East Africa, which were brokered by the toppled and slain former Strongman Muamaor El Gadhafi continue to shrink as it emerges that Kenya, will be pressing for complete disengagement with the Tripoli’s business flagship Tamoil East Africa Ltd.

A crucial meeting is scheduled to be held in the Ugandan capital, Kampala later this weekend to review the propose Eldoret-Kampala pipeline.

Top industry players and Energy Ministry officials are reportedly wants the multimillion-dollar deal – the largest surviving project by a Libyan company in East Africa- terminated and the project floated afresh to attract new partners.

Launched in 2007,the project has suffered crippling delays, compounded by the insurrection that precipitated last year’s toppling of long-ruling dictator Colonel Muammor El Gadhafi.

Kenyan most influential weekly, the EASTAFRICAN, reported early this week that lately, Libya had launched a major diplomatic offensive, hoping to persuade authorities in Kenya and Uganda to revive the deal, claiming that Tamoil had already spent USD 15 million.

It is understood that the joint co-coordinating committee that has been overseeing the contract on behalf of the two governments is not persuaded by the claim by h Libyan that Tamoil has spent such a large amount of money on the project.

“Doubts have also emerged as to whether Tamoil – which is said to have suffered the loss of billions of dollars in assets due to persistent bombing by NATO forces during the insurrection-still, has the wherewithal to undertake this critical project, especially after Uganda reportedly demanded that the scope of the project be altered to cater for n additional line to pump future refined Ugandan oil to export markets through Kenya.” the paper says.

So far, the project has not moved beyond even the first stages following the signing of the agreement in January 2007

It was originally projected that Libyans would achieve financial closure in July 2007. However, closure was not achieved; the time lines have had to be extended several times with the project stagnating at the heads of agreement level for months.

Still, a great deal of preparatory work was done, including the signing of a formal agreement. An environmental Impact Assessment was also done and licenses fro NEMA, Kenya and NEMA

Uganda issued in 2008.

The NEMA Kenya license, which was valid for a 24 –month period expired on July 6,2010. And In May,Tamoil, submitted designs for a 10-inch diameter pipeline that were approved by the JCC in June 2008.

When Uganda, following discovery of significant quantities of oil and having decided to build an inland refinery insisted on a reverse flow pipeline, Tamoil presented other designs of a 12-inch diameter reverse flow pipeline recommending construction of a 12-inch diameter reverse flow pipeline.

By the beginning o this year, the way leave acquisition process, which was being undertaken by the governments in collaboration with Tamoil had been substantially completed.

In Kenya, the Ministry of Lands released the compensation schedules for parcels of land along the way leave of the pipeline. The submitted schedule contained about 2,107 formally and informally subdivided plots with n estimated total compensation cost of Kshs 520 million {USD6.27 million].The compensation details for 191 affected plots were, however, found to be missing from the report and the Minister was directed to complete the work.

Under the arrangement, the Kenya and Uganda governments were to acquire the way leave and other land rights as part of their equity injection in the joint venture company.

Payments to land owners whose compensation schedules have been released have not been done.

At a meting of the JCC in October 2010,it was agreed that the Libyan provide finance to pay of landowners.

The JCC also decided that the two governments would postpone any equity injection until after the Libyan had produced the money to fund land acquisition.

The shareholding by the two governments would be equivalent to the equity injection that would have been made at commissioning of the project up to 12.5 per cent for each government as per heads of agreement. As at now, the report went on, acquisition of land for permanent installation such as block valves station and pumping stations is still outstanding.

Kenya-Uganda pipeline extension project is jointly sponsored by the government of Kenya, through the Ministry of Energy and the government of Uganda through the Ministry of Energy and Mineral Development.

The joint coordinating commission was set up through a memorandum, of understanding between the two governments in 1995 initially to oversee the feasibility study.

But the mandate of the JCC was expanded in October 2000 to allow the commission to oversee the implementation of the project. A feasibility study was done in 1999 by a firm called Penspen Limited, and complementary study was done two years later by Nexant Ltd. Both studies established that the uni-directional pipeline from Eldoret to Kampala was commercially viable.

The JCC considered and adopted the final report by Nexant Ltd and the two governments approved the construction of the pipeline as a public-private partnership.

Following international competitive bidding, the Libyan company was selected as the private- -partner, paving the way for the parties to sign the heads of agreement in January 2007.

However, the recent reported discovering of large quantities of oil deposits in the Northern Kenya County of Turkana could possibly change the speed of the work implementation and slacken the project.

Ends

Kenyans based in foreign countries have made a record remittance of money back home

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Writes Leo Odera Omolo.

KENYA received the highest Diaspora remittances from its citizens living an working in the abroad.

This has put Nairobi on the lead of other regional states in eastern Africa, according to the World Bank report just released.

The report shows that last year alone, Kenya received a total of Kshs 208 billion {USD 2.5 billion} from the Diaspora. up from Kshs 149.8 billion {USD 1.8 billion} in 2010,representing a 39 per cent rise.

Statistics from the Central Bank of Kenya {CBK} show in February, Kenya received a record Kshs 8.7 billion {USD 103.97 million}, the highest the country for the country in a single month.

In an interview with Nairobi based DAILY NATION at the release of the February figure, a top official of the CBK attributed the harp rise in remittances during the month to increased use of formal channels and a reduction in costs.

The paper quoted Charles Koori, the director of research at the CBK as saying hat the country could have received more through informal channels.

The World Bank report recommends an improvement on data on remittances, both at the national and the bilateral levels, which it says will enhance monitoring of progress in reducing remittance costs.

Close behind Kenya is Uganda, which received USD 937 million last year, up from USD 915 million in 2010.

Tanzania had the least remittances of all the five EAC countries, maintaining an annul total of USD 25 million for each of the past two years.

Report says, apart from Tanzania and Burundi that maintained their remittance inflows, as recorded in 2010, all the other EAC member states recorded increased foreign remittances mirroring the trend in most developing nations, so the World Bank report indicates.

“For the first time since the global financial crisis, remittance flows to all six developing regions rose in 2011.

“Following this rebound the growth of remittance to developing countries is expected to continue at a rate of 7.8 per cent annually to reach USD 441 billion by the year 2014,” reads a statement fro the World Bank.

Last year, remittance to developing countries totaled USD 372 billion representing a 12.1 per cent rise from remittances received in 2010. It is estimates last December; the bank had projected remittances to developing countries for 20911 to total USD 351 billion.

The increase in remittances has been attributed to reduction in the average remittance costs from about 8.8 per cent of the amount being remitted in 2008 to an average of 7.5 per cent during the third quarter of 2011.

Ends

World Economic Outlook: Growth resuming, dangers remain

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From: Yona Maro

The April 2012 edition of the World Economic Outlook assesses the prospects for the global economy, which has gradually strengthened after a major setback during 2011. The threat of a sharp global slowdown eased with improved activity in the United States and better policies in the euro area. Weak recovery will likely resume in the major advanced economies, and activity will remain relatively solid in most emerging and developing economies. However, recent improvements are very fragile. Policymakers must calibrate policies to support growth in the near term and must implement fundamental changes to achieve healthy growth in the medium term. Chapter 3 examines how policies directed at real estate markets can accelerate the improvement of household balance sheets and thus support otherwise anemic consumption. Chapter 4 examines how swings in commodity prices affect commodity exporting economies, many of which have experienced a decade of good growth. With commodity prices unlikely to continue growing at the recent elevated pace, however, these economies may have to adapt their fiscal and other policies to lower potential output growth in the future.

http://www.imf.org/external/pubs/ft/weo/2012/01/pdf/text.pdf

—
Karibu Jukwaa la www.mwanabidii.com
Pata nafasi mpya za Kazi www.kazibongo.blogspot.com