WELLINGTON, New Zealand, Feb 20 – New Zealand’s High Court ruled Monday that Kim Dotcom was eligible for extradition to the United States over online piracy allegations linked to his now-defunct Megaupload web empire.

But defence lawyers immediately vowed to appeal the decision and maintain the long-running battle to stop Dotcom being sent for trial in the United States.

“We are far from defeated,” Dotcom’s barrister Ron Mansfield said in a statement.

Dotcom himself lashed out at the judgement on Twitter, arguing he had proved his central legal point that copyright is not an extraditable offence.

“It’s a political case. It’s a political judgement,” he tweeted.

“I told you I can’t be extradited for copyright and I was right. What is this? Sharia law?”

The FBI alleges Megaupload netted more than US$175 million in criminal proceeds and cost copyright owners more than US$500 million by offering pirated content.

Dotcom has denied any wrongdoing and accused US authorities of pursuing a vendetta against him on behalf of politically influential Hollywood studios.

He argues Megaupload was a genuine file-sharing site that did its best to police copyright infringement but had 50 million daily users and could not control every aspect of their activity.

Dotcom, a German with permanent residency in New Zealand, faces decades in jail if convicted in the United States of piracy.

He was first arrested more than five years ago when armed police staged a dawn raid on his mansion near Auckland as the FBI shut down Megaupload’s servers in the United States.

Since then, the fight to avoid extradition has become a war of legal attrition, resulting in numerous court hearings and appeals.

‘Extremely disappointing’

In Monday’s decision, High Court judge Murray Gilbert upheld an earlier District Court ruling that there was “overwhelming” evidence to extradite Dotcom and his three co-accused.

Gilbert accepted Dotcom’s argument that copyright infringement was not a criminal offence under New Zealand law, so he could not be extradited for it.

But he said there was enough evidence to put Dotcom on trial for criminal fraud, meaning he could be sent to America.

Mansfield said the extradition decision was “extremely disappointing” but the copyright finding was a crucial legal point that could overturn the ruling.

“The last hurdle to what we say is the correct outcome no extradition will now need to be determined by the Court of Appeal,” he said.

“We remain confident that this last point, which would prevent extradition in this complex and unprecedented legal case, will be resolved in Kim’s favour.”

Born Kim Schmitz in Kiel, northern Germany in 1974, Dotcom changed his name in 2005, around the same time he established Megaupload.

The website was an early example of cloud computing, allowing users to upload large files onto a server so others could easily download them without clogging up their email systems.

At its height in 2011, Megaupload claimed to have 50 million daily users and account for four percent of the world’s Internet traffic.

The problem, according to an FBI indictment, was that many of the files shared were copyright-protected films and music.

Dotcom’s wealth allowed him to move to New Zealand under an investment scheme in 2010, despite a chequered past as a hacker and an insider trading conviction that would normally have kept him out.

LONDON, United Kingdom, Feb 20 – US tech and retail giant Amazon on Monday said it would create 5,000 British jobs this year, in a show of confidence in the UK economy ahead of Brexit.

“Amazon UK today announced plans to create more than 5,000 full-time jobs this year, taking the company’s total UK workforce to over 24,000,” a statement said.

“These new job opportunities are for people with all types of experience, education and skill levels, from software developers, engineers and technicians, to those seeking entry-level positions and on-the-job training,” it added.

Amazon separately said it was creating 1,500 positions in France under plans to have 15,000 new posts across Europe in 2017.

The company is meanwhile in the process of providing 100,000 new positions in the United States by the middle of next year.

FRANKFURT AM MAIN, Germany, Feb 22 – German pharmaceuticals and chemicals giant Bayer on Wednesday reported record sales and profits for 2016 and said it expected further growth in 2017, as its goal to seal a mammoth takeover of US seedmaker Monsanto remains on track.

“We again posted a record operating performance and are making good progress with the agreed acquisition of Monsanto as well,” chief executive Werner Baumann said in a statement.

The Aspirin-maker said net profit grew by 10.2 percent to 4.5 billion euros ($4.7 billion) last year, slightly below the 4.7 billion euros analysts surveyed by Factset had expected.

Group sales increased by 1.5 percent to 46.8 billion euros, in line with expectations, while underlying or operating profit before special items was up 10.2 percent at 11.3 billion euros.

Growth was mainly powered by Bayer’s prescription medicine division, led by a 30-percent jump in sales for its blockbuster drug Xarelto, an anti-coagulant.

The over-the-counter medicines unit, which includes household brands such as Alka-Seltzer and Rennie antacids, saw earnings fall.

The firm’s closely watched agrochemicals division disappointed in 2016, hit by what Bayer said was a weak market environment “particularly in Latin America” and falling demand for insecticides globally.

Bayer’s agriculture activities are in the spotlight as it seeks a $66-billion takeover of US seed and pesticide supplier Monsanto, in what would be the largest ever acquisition by a German firm.

The deal still requires regulatory approval from the European Union and the United States.

“Bayer and Monsanto are working closely with the authorities. Bayer remains confident of closing the transaction before the end of 2017,” the firm said in a statement.

The proposed tie-up would create an agrochemical behemoth which environmental activists who have called the deal a “marriage made in hell” fear would hold excessive power over farmers and the food chain.

Looking ahead, Bayer said it expects group sales to grow to more than 49 billion euros in 2017, and a “mid-to-single-digit percentage” increase in underlying profits.

“We have every reason to be optimistic about the future and started the new business year well,” said Baumann.

Bayer had already announced on Tuesday that it would pay out an increased divided for 2016 of 2.70 euros per share, up from 2.50 euros for 2015.

NAIROBI, Kenya, Feb 27 – Business magnate and industrialist Dr Chris Kirubi has been honoured with the Distinguished African Impact Leader of the Year Award by African Leadership magazine UK.

Dr Kirubi’s selection was based on his contributions to Africa’s economic growth and development and his towering status as one of Africa’s best entrepreneurs.

Chairman of the International Advisory board Ambassador Joe Beasley credited Dr. Kirubi’s zeal for mentorship and his ability to teach others how to prosper in the business landscape.

“Your commitment to mentorship and an ardent subscription to the worthy cause of teaching people how to fish rather than giving them fish, have positioned you as a leading light in Kenya’s business landscape,” Beasley said.

Beasley, further praised Dr Kirubi saying that he has used his vast wisdom and experience in leadership to inspire thousands of young people in the continent.

In winning, Dr Kirubi beat President and CEO MeTL Group Mo Dewji, Out-Going Ghanian President John Mahama and Econet Wireless founder Strive Masiyiwa among others.

The African Leadership magazine Persons of the Year is an annual award reserved for distinguished Africans, who are considered to have blazed the trail in the year under review.

Those who have won the award in the past include Dr. Mo Ibrahim, founder, Ibrahim Prize for Leadership in 2010, Liberia President Ellen Johnson Sirleaf in 201, President Jakaya Kikwete, former President of Tanzania in 2014 and His Excellency President Goodluck Jonathan, the immediate past president of Nigeria in 2015 among others.

KUALA LUMPUR, Malaysia, Feb 27 – Saudi Arabia’s Aramco will invest $7 billion in a giant Malaysian oil refinery project, Prime Minister Najib Razak said Monday, as he declared ties with the kingdom were “at an all-time high”.

The deal between Aramco and Malaysian state energy firm Petronas for the $27 billion project will be signed on Tuesday, the prime minister said.

“This is a huge investment and is very significant,” said Najib.

The vast scheme under construction in the southern state of Johor near the Singapore border is known as the Refinery and Petrochemical Integrated Development Project.

It is being led by Petronas, which said last month development was more than 50 per cent complete, with the project set to come online in 2019.

Victor Shum, vice president for energy at global consultancy IHS Markit, said the deal was a “win-win situation”.

“Having Saudi Aramco as a partner with Petronas is a boost for the project and for Malaysia,” he said.

“For Aramco it’s more than just an outlet for its crude supplies. They are now part owner of the plant.”

He added: “It’s really going to make this region Singapore and South Johor a major refining and petrochemical hub in Southeast Asia.”

The project is expected to create thousands of jobs in Malaysia, according to Craig Erlam, a senior market analyst at Oanda, adding it would provide stiff competition to Singapore, a major refinery hub.

Najib made the refinery announcement on the second day of a four-day state visit to Malaysia by Saudi Arabia’s King Salman.

He told reporters: “The visit will cement and put our relationship on a strong trajectory,” adding the Saudi head of state was “satisfied and happy” the agreement would be signed.

Malaysia is keen to attract foreign investment as the energy-exporting, trade-dependent economy has seen growth steadily slow in recent years, denting revenues and putting severe pressure on the ringgit.

Relations between Saudi Arabia and Malaysia came under the spotlight after it was revealed that $681 million in transfers were made to Najib’s personal bank accounts in 2013.

The prime minister said the “personal donations” from the Saudi royal family have been mostly returned and denies any wrongdoing.

SAN FRANCISCO, United States, Mar 1 – After a dearth of technology listings in 2016, Snapchat parent Snap is set for its market debut as early as this week.

The initial public offering (IPO) if successful could presage a wave of listings from the sector’s so-called “unicorns” those with a valuation of at least $1 billion based on private funding sources.

Here are some of the likely tech IPO candidates:

Uber: estimated valuation $68 billion

Ridesharing giant Uber is the heavyweight in the unicorn herd, having already raised billions to fuel its expansion to over 500 cities on multiple continents.

But Uber has downplayed any talk of an immediate IPO, even amid reports of big losses during its expansion phase. While Uber is the largest of the privately financed “sharing economy” startups, it has faced a range of controversies, ranging from problems with regulators to accusations of sexism.

“I feel like we maybe just entered high school. It’s the ninth grade. It’s not time to go to prom yet,” Uber founder and chief executive Travis Kalanick told Vanity Fair recently.

Airbnb: $30 billion

Airbnb is to homesharing what Uber is to ridesharing, with operations in 191 countries, with a potentially major impact on the global hospitality industry.

While Airbnb has faced some of the same regulatory complaints as Uber, it has made profits as it has expanded. It is moving beyond its core service of lodging to services such as restaurant bookings and plane tickets in an effort to become a one-stop travel service.

CEO Brian Chesky said Airbnb is working to become “IPO-ready,” but is not in a hurry to hit Wall Street.

“We’re pretty aligned with our investors, they’re very happy for us to stay private,” Chesky told Wired.

“And we agree that when it’s best for the business we’re going to do it. So we don’t have any intentions to go public in the near-term.”

Palantir: $20 billion

The secretive startup Palantir Technologies whose data-crunching software is used for everything from counterterrorism to hedge-fund investing has done its best to stay out of the spotlight.

But the Silicon Valley firm, whose early investors included a CIA venture fund, has been widely reported to have helped the US military find and capture Osama bin Laden.

The company named after the “seeing stone” in the JRR Tolkien series “Lord of the Rings” counts as clients intelligence agencies from the US and other countries, and others in law enforcement and the financial sector.

One of its founders is Peter Thiel, a prominent tech investor who was among the few big names in the sector to support the candidacy of Donald Trump.

CEO Alex Karp told a Wall Street Journal conference last year that an IPO was a “possibility,” and could be a way to help employees profit from some of their equity compensation.

“The people who create the value of production, the workers at Palantir, they need to know that they have liquidity at a fair price and this has raised a lot of questions,” Karp said.

“We’re now positioning the company so we could go public.”

Dropbox: up to $10 billion

The cloud computing group Dropbox claims to have some 500 million users and growing revenues that could be nearly $1 billion annually.

Reports of a Dropbox IPO have been circulating for some time, but the lackluster performance of rival Box after its 2015 IPO has raised questions about how Dropbox would be received.

Its latest funding round valued Dropbox at some $10 billion, but since then some investment companies have marked down the value of their holdings in the software firm.

Spotify: $8.5 billion

The Swedish-based streaming music giant has long opposed a stock market listing, but thinking has changed since co-founder Martin Lorentzon turned over the top management role to his fellow founder Daniel Ek.

Spotify has some 100 million customers including 40 million with paid subscriptions, well ahead of rivals such as Apple Music with around 20 million paying customers.

The news website TechCrunch reported recently that Spotify had been looking at a 2017 IPO, but was now considering a delay to 2018 with its valuation in question.

Vice Media: $4 billion

Among the fastest-growing digital media groups, Vice has been able to attract the coveted 18-to-34-year-old demographic for its news websites and video programs.

It has garnered investments from established media groups like Disney and 21st Century Fox as it grows internationally.

Co-founder and CEO Shane Smith has indicated an IPO is likely this year as Vice aims at further growth.

“We’re talking to some banks and we’re getting ready,” he told Variety last year.

“Next year (2017) is going to be a banner year and now is the time to do it.”

SAN FRANCISCO, United States,Mar 2 – As Snapchat’s owner makes its Wall Street debut, the key question for investors is whether the vanishing-message app is on its way to glory or despair.

Wildly popular with young smartphone users keen to share messages that don’t linger, Snapchat is alternately viewed in the social media world as a winning bet such as Facebook or a lackluster performer like Twitter.

Snap Inc. priced its initial public offering (IPO) Wednesday at $17 a share to raise $3.4 billion and give the California startup a hefty valuation of $24 billion. It’s the largest US tech firm to make a market debut since Facebook in 2012.

Analysts at the venture equity firm Goodwater Capital said in a report that the company has positioned itself “as the most significant competitor to Facebook in social networking.”

Snap has some strong credentials, Goodwater noted: more than 158 million daily active users creating 2.5 billion “snaps” per day in 20 different languages, $936 million in revenues expected in 2017, and partnerships with major brands and publishers.

“Snapchat is well-positioned to scale rapidly and take market share in the $652 billion global advertising market,” the report said.

Analyst Debbie Williamson of eMarketer said Snap has “revolutionized” the way young people communicate and been creative with features for users and advertisers.

“It has a pretty long runway ahead,” she said. “I think of it in the context of where Facebook was early on.”

Both companies got early locks on a young generation, with the potential to add older users with time.

“It always makes sense to stay in tune with what young people are doing, and Snapchat has really struck a chord with young people,” Williamson said.

Snap’s prospects outside the US market are less clear, she added, saying it faces tougher competition as Facebook and others mimic Snapchat’s features.

Scale or sink?

Some analysts are skeptical about Snap, however, pointing to the example of Twitter, which has seen only modest increases in its user base since its 2013 IPO, and now trades well below its offering price.

Lou Kerner, manager of the Social Internet Fund and a partner in the venture investment firm Flight VC, said he is avoiding the offering, concerned that Snapchat’s user engagement may have already peaked.

Snap’s IPO filing left out details about historical trends for user metrics, he said — typically not a good sign.

“We know all products have lifecycles you can look at Twitter for a lesson,” he added.

Others said potential investors should be wary of Snap’s hefty valuation.

“Snap is a great company at the valuation of $500 million,” Global Research Equities analyst Trip Chowdhry said. “It is a total disaster at anything beyond that.”

At $22 billion, he added, “it really shows the private markets are totally detached from reality.”

Investors should learn a lesson from other onetime tech-sector stars that failed to live up to expectations, Chowdhry said.

“If you are a fundamental investor, you should be on the sidelines, you should not play the IPO,” he said.

“Basically, Snap is not a durable company. The foundations are flimsy — zero technology, zero stickiness, hyper inflated, and zero governance.”

Generation gap

Whether Snapchat can expand beyond its core base of teens and millennials remains a big question mark for the company.

Goodwater said its January 2017 survey of 2,076 participants from the United States revealed that Snapchat has 16 percent share of “favorite social apps” among leading social apps for users under 30 years old, but only three percent among older users.

Snapchat’s user base is “quickly expanding into older demographics, with more than 50 percent of its US daily new users coming from the over 25 age group,” the report said.

A separate survey by the research firm eMarketer projects 70.4 million Americans will use the platform this year, and that growth will slow through 2021.

The survey noted that 6.4 percent of Snapchat’s users will be between the ages of 45 and 54, as the platform attracts users with new services such as partnerships with television networks for mini-episodes.

“Much of Snapchat’s growth is being driven by older Americans,” eMarketer said.

JOHANNESBURG, South Africa, Mar 2 – South African telecoms giant MTN said Thursday that it made a $200 million loss in 2016 the company’s first after suffering a huge fine in Nigeria and currency challenges in key markets.

“MTN Group’s financial results for 2016 reflect the most challenging year in the company’s 22-year history,” MTN said in a statement.

Johannesburg-based MTN reported profits of 20.2 billion rand ($1.6 billion) before tax for 2015.

Overall performance was hindered by lower than expected growth in both South Africa and Nigeria as well as the depreciation of the rand against the dollar and the continued impact of a $1 billion (950 million euros) fine by Nigerian authorities.

Nigerian authorities fined MTN in October 2015 for failing to disconnect unregistered mobile accounts in the country originally ordering it to pay $1,000 for each improperly registered SIM card.

Abuja had ordered the purge for security reasons, as the country battles Boko Haram Islamists as well as criminality especially kidnapping for ransom.

The original Nigerian Communications Commission penalty was equal to roughly a quarter of the country’s annual federal budget.

Nigeria, Africa’s most populous country, is MTN’s largest market, where it now has 62 million subscribers out of a total of 233 million a 1.2 percent increase on 2015.

MTN’s operations in South Africa were hit by technical issues and customer service problems during the year, which also hurt the bottom line, the company said.

“Towards the end of 2016 our two largest operations (South Africa and Nigeria)… began to show signs of a turnaround following an extended period of underperformance.”

Revenue was fractionally up for the year at 146.9 billion rand ($11.3 billion, 10.7 billion euros), the company said.

The MTN share price on the Johannesburg stock exchange rose five percent after the announcement of the company results compared to the close on Wednesday.

NAIROBI, Kenya, Oct 11 – Local importers and logistics firms can now insure their cargo faster and from anywhere following the launch of an online marine insurance portal by Kenya Orient Insurance Limited.

The move is aimed at easing access to marine insurance, often seen as complex and expensive, yet is vital in reducing risk of loss or damage to goods while in transit by sea or air. It will take as little as six minutes to get a marine insurance certificate using the portal accessible on www.korient.co.ke

Speaking at the launch ceremony, Kenya Orient Managing Director, Muema Muindi, said the Orient Marine Cargo portal is aimed at providing an efficient platform for importers and logistics firms to manage cargo risks from point of origin to the final destination.

“In the increasingly complex supply chain of global trade, this product will ease the safety concerns of importers, manufacturers and logistics providers. We appreciate the importance of swift response and efficient service in providing marine insurance coverage, handling claims and complete financial protection for goods in transit,” said Muindi.

He added that increased investment in infrastructure and manufacturing coupled with Kenya’s rising status as a regional business hub has resulted in a surge in the value and volume of imports and exports. However, many local importers are exposed to financial loss as goods transported by sea are covered only up to the destination port.

“Typically, goods under existing FOB and CIF contracts are insured up to the point they arrive in the country. We have had cases of goods being lost, stolen or damaged before getting to the final local destination. Orient Marine Cargo takes care of that by securing the goods right up to the warehouse,” said Muindi.

In June, the government directed that all goods coming into the country must be insured locally. Marine insurance business in Kenya has hitherto been dominated by foreign underwriters who repatriate billions of shillings thus denying the local insurance industry valuable revenue.

The Chairman of the Kenya National Chamber of Commerce, Kiprono Kittony, who was the chief guest at the launch, hailed the move by Kenya Orient and urged local firms to take up marine insurance.

“Local businesses still face a number of challenges not only in accessing foreign markets but also managing a multitude of risks that comes with venturing into international markets. Marine insurance plays a crucial role especially for businesses importing goods given the risks involved in trans-boundary movement of goods,” said Kittony.

“Despite the important role that marine insurance plays in facilitating international trade, it remains largely under-utilized by local businesses. The low uptake has been blamed on several factors key among them lack of awareness, high premiums and the fact that most goods are insured in the country of origin.”

Agnes Ndirangu, Chief Manager Technical Division at the Insurance Regulatory Authority, representing IRA Chief Executive Sammy Makove, said the marine insurance business currently at Sh2.5 billion is expected to rise significantly following the government directive.

For goods to be cleared at the point of arrival, importers will now have to furnish a local certificate of marine insurance to the Kenya Revenue Authority (KRA) or face penalties.

The move by the government is expected to boost uptake of marine cargo insurance. Kenya Orient is also targeting anticipated growth in demand for marine insurance to grow revenue and profits.

“We are looking at new opportunities to strengthen our business portfolio; marine cargo insurance is one of them. With increased trade between Kenya and the rest of the world, marine cargo insurance is an excellent opportunity for new business,” said Kenya Orient Chairman Julius Muya.

There are two classes of marine insurance, namely hull and cargo, with the former covering ships and other seaborne vessels as well as aircraft. Orient Marine Cargo includes three classes of marine insurance as defined by the Institute of Cargo Insurance and covering a variety of risks including fire, vessel sinking and collision, loss of cargo or washing overboard.

According to the Kenya Economic Survey 2016, the total value of the country’s imports stood at Sh1.5 trillion last year. Kenya’s main imports include petroleum, industrial machinery, motor vehicles, iron, steel, wheat, pharmaceuticals and general merchandise.

PARIS, France, Mar 6 – French carmaker PSA on Monday announced the acquisition of General Motors’ European subsidiary, which includes the Opel and Vauxhall brands, for 1.3 billion euros ($1.38 billion).

The move sees PSA regain its position as Europe’s second-largest automobile manufacturer, after Germany’s Volkswagen, overtaking rival French firm Renault.

PSA said in a statement it was also buying GM Europe’s financial operations for 900 million euros in a joint deal with bank BNP Paribas, taking the total value of the deal to 2.2 billion euros.

The takeover includes six assembly plants and five component-making facilities and some 40,000 employees.

Plans for the takeover of the Opel division by PSA, which owns the Peugeot and Citroen brands, were unveiled in the middle of February, sparking fears in Germany and Britain that the prospective new owner could cut non-French jobs.

PSA boss Carlos Tavares said the firm was “deeply committed to continuing to develop this great company and accelerating its turnaround”.

“We are confident that the Opel/Vauxhall turnaround will significantly accelerate with our support, while respecting the commitments made by GM to the Opel/Vauxhall employees,” Tavares said.

Vauxhall employs around 5,000 people in Britain. Opel operates some 10 factories in Europe spread across six countries, and had 35,600 employees at the end of 2015, 18,250 of them in Germany.

Founded in 1862, Opel, with its lightning-bolt emblem, is a familiar sight on European roads, but in recent years the firm has booked repeated losses, costing Detroit-based GM around $15 billion since 2000.

A sharp fall in the pound since Britain’s vote to quit the EU last June sank Opel’s hopes of getting back into the black in 2016, and it ended up reporting a loss of $257 million.

NAIROBI, Kenya, Mar 7- Seventy-one percent of women entrepreneurs in East Africa finance their businesses from their own savings.  

According to a research by Graça Machel Trust and New Faces News Voices, a majority of women are still not ready to access formal financing due to lack of collateral as well as high-interest rates.

New Faces New Voices Lead Researcher and Kenya Director Andia Chakava, however, says women entrepreneurs have a negative perception towards external financing, as they do not believe they have the requirements to access financing from banks and other financial institutions.

“I would say a minimum of 50 percent of women across all the countries in the regions said they are part of a savings group. So there is a lot of ‘Chamas’ going around that is helping to support business starting and growth,” said Chakava in interview with Capital FM Business.

And due to lack of the high cost financing, Chavaka says a lot of women end up remaining at the micro and small medium enterprises compared to their male counterpart.

Most women interviewed owned enterprises with an investment of between $1,000 to $5,000 to start their businesses and only 8percent of these businesses have an annual turnover of $100,000.

“But when the business needs to go to a different level, you need additional capital and some of these amounts needed are too big. The women are saying that when it comes to expansion capital they do not find those traditional forums helpful,” Chavaka adds.

Apart from savings, other options sought include Angel Investors willing to inject capital in exchange for ownership equity or convertible debt. Others include grants or women funds.

“I think women are not just looking for money and repayment. Instead, they are saying, are you going to walk with me so that we grow this business. Is this something we are going to utilize our networks together? Are you going to be a true partner?,” she says, “Women simply wants a hustle free kind of repayment methods when it comes to credit.”

The research sought to establish the key factors that hinder growth of women enterprises from micro and small enterprises to medium and large-sized businesses.

It covered Kenya, Uganda, Tanzania and Rwanda and interviewed women entrepreneurs across all sectors of the economy, aged between 20 to 40 years.

NAIROBI, Kenya, Mar 8 – Kenya’s dollar millionaires have increased by 11 percent to 9, 400 in 2016 from 8, 500 in 2015.

This is according to a new Wealth report by Knight Frank which attributes the jump in the number of millionaires to the growth of construction, technology and real estate sectors.

The report also indicates that there are 370 individuals that have surpassed the 10 million dollar mark from 340 in 2015 while 120 Kenyans have a net worth of 30 million dollars and above.

The country is yet to record any dollar billionaire.

The Wealth Report Editor Andrew Shirley says Kenya’s diversified economy makes it as one of Africa’s top performers in wealth creation with the trend expected to continue over the next decade.

The country is yet to record any dollar billionaire.

The Wealth Report Editor Andrew Shirley says Kenya’s diversified economy makes it as one of Africa’s top performers in wealth creation with the trend expected to continue over the next decade.

Kenya’s high net worth individuals say innovative investing, capital growth, portfolio diversification, portfolio liquidity and ability to move wealth quickly around the world are the most important factors in wealth management and investment decisions.

“It seems that Kenyan millennials have the same approach to wealth creation as their counterparts from the rest of the world, but significantly different from their parents,” Shirley said.

The report identifies political uncertainty as the biggest threat to Kenyan high net worth investors’ ability to create and maintain wealth over the next five years.

Other threats include potential fall in asset values rising taxes, tighter control on movement of capital and rising interest rates in that order.

NAIROBI, Kenya, Mar 8 – The Coca- Cola Foundation has set aside Sh1 million to go to empowering women economically under the women’s economic empowerment program.

The program which is a joint venture with Kenya’s Women Enterprise Fund (WEF) has so far empowered over 200,000 women since its inception in 2014.

The initiative is set hit the second phase where it targets to empower about 500, 000 women by 2019.

The Coca-Cola Company Director for women’s economic empowerment Susan Mboya-Kidero says overcoming the stubborn and numerous barriers that exist for women in capturing economic opportunity can make a tremendous difference both to individual lives but also in supporting regional economic growth.

“We are truly inspired by the passion of our partners and the 200,000 women who have participated in this program to date, and we are delighted to be expanding this program to help fulfill the dreams of even more remarkable Kenyan women over the next three years,” she said.

The initiative represents the single largest global program in Coca-Cola’s 5by20 effort to economically empower five million women worldwide by 2020.

The public-private partnership aims to address and remove barriers that women may experience in creating economic opportunity by providing access to loans and grants to enable them to start the business.

Participants in the program also receive business skills training, financial services, assets including coolers, marketing materials and products as well as providing access to peer networks through a business club for mentoring and ideas sharing.

NAIROBI, Kenya, Mar 9- “Think. It costs you nothing. It is the only product you can use, and use, and use and nobody will charge you. If you watch DStv, you pay, anything else you pay. But nobody will call you to pay for thinking,” says Industrialist Dr. Chris Kirubi.

He was speaking to a group of lecturers, financial experts and students at the University of Nairobi during this year’s Nairobi Innovation week.

The Nairobi Innovation week which takes place annually is aimed at creating a platform for presentation of academic papers, innovation illustrations and case studies focused on research and innovation,
as well as champion policy discussions on innovation in Kenya.

Kirubi has challenged public universities to partner with the private sector and stop depending on government financial support for growth.

“Professors have very good and clear mind. But in many of them, it remains theory. You know theory needs to be converted into action. I personally feel, you have a concentration of very intelligent people in this University, but after very many years, since we were young kids, you are still behaving like a baby relying on your parent to feed you,” he says.

In terms of partnerships with the private sector, Kirubi says it was time to bring on board directors from the business world, apart from lecturers, a move he says will help bring in innovative ideas of creating enterprises.

“Please, let us partner with the private sector so that we come here we give you ideas. Let us get on, let’s use technology, let’s be the home of innovation, because you have such great young people, who are ready and if supported they will innovate, and then you take it to the market,” he says.

The business guru notes that public universities have more than enough human capital who are the students, but laments that for the longest time, most of them graduate, half-baked, with no skills to create jobs.

The students, he argues, could be used as a tool to create huge enterprises at the universities that would not only make money of the institutions but also bring forth successful entrepreneurs.

“All students who graduate here, where do you send them? You send them to the streets to go and look for jobs. And these students are like half-baked bread. A student says, ‘I have a bachelors degree’. What can you do? Nothing. Why don’t we give them technical training, keep them here to do jobs for you under your guidance, create businesses, so that by the time they go out there, they are employable, entrepreneurs who are part of you,” Kirubi challenged the University leadership.

“If you bring me here, I would create billions for you.”

HONG KONG, China, Mar 10 – Uber hit back at Hong Kong authorities Friday after five of its drivers were found guilty of operating without proper licences, in yet another blow to the ride-hailing giant.

The case comes as the ride-hailing app encounters regulatory roadblocks around the world it pulled out of Taiwan last month following an impasse with the government, which deems the service illegal.

It also on Wednesday promised not to use a recently uncovered “Greyball” software program to trick regulators trying to catch drivers breaking the law.

The Hong Kong drivers were arrested in a dramatic police swoop in 2015 after furious traditional cabbies in the southern Chinese city smashed up their own taxis with hammers and drove slowly towards the government headquarters calling authorities to act over unlicensed cars.

All five drivers were found guilty Friday at the West Kowloon Court of driving without a permit allowing them to transport paying customers and without third-party insurance, local media said.

They were fined HK$10,000 (US$1,287) each and had their driving licences suspended for 12 months, pending appeals.

“Sharing a ride shouldn’t be a crime,” Uber said in a statement in response to the verdict.

“We are very disappointed with today’s court decision, which we believe goes against the best interests of riders, drivers and the city of Hong Kong itself,” it said, adding that it would “stand by” and provide assistance to those involved.

“The transport law is from over 40 years ago,” Uber Hong Kong general manager Kenneth She told reporters after the verdict.

“We hope that the government does not only look at outdated laws but truly takes a step forward” he said.

Ahead of the verdict, She told the South China Morning Post that Uber would not withdraw from Hong Kong.

The US firm announced in February it would suspend business in Taiwan after the government raised the maximum penalty for Uber drivers to Tw$25 million (US$804,000) the highest in the world.

Uber also halted services in Hungary in July last year due to new legislation that stops drivers from making money with their own vehicles.

It has also faced stiff resistance from traditional taxi drivers around the world, as well as bans in some places over safety concerns and questions over legal issues, including taxes.

NAIROBI, Kenya, Mar 10 – Nine Kenyan women trail blazing in their respective fields are among the 100 women honored by OkayAfrica in celebration of International Women’s Day.  

The digital media platform included multimedia artist Wangechi Mutu, author and Caine Prize winner Okwiri Oduor and musician Muthoni The Drummer Queen on the list.

Ushahidi Co-Founder and technologist Juliana Rotich, Scientist Claire Muhoro and digital storyteller Evelyn Ngugi are also honored.

In a statement, OkayAfrica says the list is in celebration of black women who are making waves, shattering ceilings, and uplifting their communities.

“We feel it’s our duty to share at least 100 dope women who hail from the continent and diaspora with you.”

Also on the list are Oscar award winning actress Lupita Nyon’go and athletes Vivian Cheruiyot and Jemima Sumgong.

Mauritius President Ammenah Gurib-Fakim, Nigerian Author Chimamanda Ngozi Adichie and South African media personality Bonang Matheba also grace the A-list.

Maria Borges the Angolan supermodel – who was named Africa’s top model by Forbes in 2013 -, Tanzanian musician Vanessa Mdee, Nigerian musician Yemi Alade and retired supermodel who hails from Somali Iman Abdulmajid are also listed.

“Compiling this list was no easy feat….. We gathered as many African women who worked tirelessly on this list. After months of researching, learning, intense debating and listening, our hope is that you feel as empowered by and proud of the women profiled here as we do”

Happy International Women’s Day and by extension, Women’s month, to all our readers from the Capital FM Business News desk.

NAIROBI, Kenya, Mar 14 – General Motors EA has entered into an asset finance partnership with Cooperative Bank that will see the bank’s MSME clients in the motor industry get 95 percent financing on Isuzu vehicles. 

General Motors EA Managing Director Rita Kavashe says the partnership aims to assist their shared customers establish and sustain their businesses.

The 5-year financing deal allows Cooperative Bank customers to source only 5 percent of the cost of the asset with the bank paying the balance to be repaid within 5 years.

“Starting and sustaining a business in Keny is difficult. A recent study recently revealed that about 2.2 million SMEs have closed their businesses in the last five years because of difficulties. We, therefore, want to make life easy for our customers,” Kavashe said.

“73% of these SMEs were made up of motor vehicles and motorcycles repair businesses. To help reduce this, we have taken it upon ourselves to innovate ways that will make it easier for SMEs to access our products when they need it. This goes to show our commitment to the countryand a promise that Tuko Pamoja Safarini in their journey to success,” she added.

Apart from the 14 percent interest rate, another extra charge will be the 1 percent which will be used to process the loan.

Additionally, customers will get Sh300,000 working capital which they will be expected pay in a year.

“We admit that there is much more that is involved in running a business apart from owning the vehicle. Our customers will, therefore concentrate more on doing other things involved in running their businesses,” Cooperative Bank Retail Business Manager Maurice Motuma said.

The bank says it expects to tap into its 1 million MSME client base.

The partnership will not be affected by the Isuzu take over expected next month.

VATICAN CITY, Holy See, Mar 15 – Closing factories and cutting jobs can constitute a “very serious sin”, Pope Francis said Wednesday in his latest broadside in defence of labour rights.

His comment was made in support of staff at the Italian branch of Sky television who are currently involved in a dispute over 200 redundancies and 300 relocations.

“I spare a special thought to the staff of Sky Italia and I hope that a rapid solution is found that respects the rights of everyone, especially families,” Francis said at the end of his midweek audience in St Peter’s square.

“Work gives us dignity and lawmakers, the representatives of the people, have a duty to do everything so that every man and woman can hold their heads high and look others in the eye, with dignity,” he added.

“Anyone who, through economic manoeuvring or by negotiating deals that are not clear, closes factories or companies and takes people’s jobs away is committing a very serious sin.”

It was not the first time that Francis has intervened in an Italian labour dispute.

In September 2014 he attacked German steel group ThyssenKrupp’s plans to reduce staff numbers at a loss-making Italian plant.

The Argentine pontiff is a regular critic of capitalism.

In the first major missive of his papacy he denounced growing inequality and the “idolatory of money” while last year he described the globalised economic system as “structurally perverse.”

Such observations have led to him being branded the “Marxist” pope in some quarters.

But he has denied any sympathy for communist ideas, joking once that the Marxists had stolen all their best lines from the bible.

WASHINGTON, United States, Mar 15 – President Donald Trump is set to announce steps Wednesday to halt his predecessor Barack Obama’s future vehicle emissions limits for manufacturers, a senior administration official said.

During a visit to auto manufacturing hub Detroit, Trump is set to announce that the Environmental Protection Agency’s objectives for 2022-2025 will be put on hold during a new review period.

“We are going to hold back the EPA determination” that automakers can meet the Obama administration’s strict curbs on greenhouse gas emissions, the official said.

The Trump White House says the rules were issued in an 11th hour move by the Obama administration without taking into consideration the realities of the market, the constraints of various actors in the field and consumer expectations.

“I don’t think the public really had an opportunity to weigh in,” the official said.

In a February letter to EPA Administrator Scott Pruitt, US auto manufacturers had asked the new president to suspend the Obama administration’s restrictions, saying they could threaten employment.

Trump is set to meet with auto industry leaders and union representatives in Detroit.

“Will be going to Detroit, Michigan (love), today for a big meeting on bringing back car production to State & U.S. Already happening!” he wrote in a tweet hours before the meetings.

Since his January 20 inauguration, Trump has repeatedly indicated he wants to remove a number of federal environmental regulations he considers futile, saying they are hurting job creation in the United States.

Pruitt, the former attorney general of Oklahoma, was one of the EPA’s fiercest opponents prior to being named by Trump to head the agency.

Last week, Pruitt sparked outrage when he went against scientific consensus in claiming that increasing greenhouse gas emissions were not a determining factor in climate change.

NAIROBI, Kenya, Mar 18 – A Western Kenya based sugar milling firm has expressed positive optimism on the local economy with a heavy investment on its production logistics infrastructure.

The Kakamega County based Butali Sugar Company has commissioned a fleet of 40 New Holland Tractors valued at Sh208 million to boost its cane development and haulage capacity; buoyed by a positive outlook on the local and regional economies.

Speaking at the firm’s factory when he received the new fleet of New Holland TS6 Series tractors from CMC Motors, Butali Sugar Company Managing Director, Sanjay Patel said the firm is investing heavily to optimize its field and production operations in line with the government Food Security programme.

With a raw cane crushing capacity of over 8,000 Tonnes of cane per day, Butali Sugar is currently rated as the single largest New Holland TS6 Series tractors customer in Africa and the Middle East with a fleet of 360 operational units.

According to Mr. Patel, the delivery of an additional 40 units now pushes the firm’s transport fleet to 400 operational tractors, significantly raising Butali Sugar Company’s capacity to serve more than 30,000 contracted out growers (through Butali Sugar Out Growers Ltd (BSOL) in the West Kenya sugar belt.)

In Western Kenya, Butali Sugar Company is reputed for its ability to pay farmers on a weekly basis for the cane collected.

The new fleet of 2-Wheel Drive New Holland tractors featuring purpose built wagons, Patel said, will be primarily used for the firm’s growing cane haulage needs from the members of BSOL to reduce wastage.

“At Butali Sugar, we are actively investing in such efficient and versatile transport options as part of our commitment to pass the benefits of an efficient production process to our customers and farmers,” Patel Said, adding that, “Our association with CMC Motors and New Holland Agriculture is founded on the delivery of proven performance tractors as well as reliable field and workshop service and parts that afford us a round the clock crushing guarantee to meet growing market demand for quality Butali Sugar products.”

Sold and serviced by CMC Motors Group in Kenya, New Holland tractors are manufactured by New Holland Agriculture, a brand of CNH Industrial N.V. (NYSE: CNHI /MI: CNHI) a global leader in the capital goods sector with established industrial experience, a wide range of products and a worldwide presence. New Holland Agriculture’s reputation is built on the success of their customers, cash crop producers, livestock farmers, contractors, vineyards, or grounds care professionals. They can count on the widest offering of innovative products and services: a full line of equipment, from tractors to harvesting, material handling equipment, complemented by tailored financial services from a specialist in agriculture. A highly professional global dealer network and New Holland’s commitment to excellence guarantees the ultimate customer experience for every customer.

Visiting New Holland Agriculture Middle East and Africa Region Business Manager, Mr. Yasin Seker, while acknowledging Butali Sugar as one of the largest New Holland Tractors operator in the continent and the Middle East, disclosed that periodic operating feedback received from the sugar company among other Kenyan customers, is playing a key role in New Holland Agriculture’s research and development (R&D) Programmes.

“It may come as surprise for many to note that Kenya is perhaps one of the most important market in Africa for New Holland Agriculture and is constantly providing crucial product improvement feedback to the product development teams. Such feedback to the R&D team plays a key role in the enhancing New Holland Agriculture’s overall commitment to continue innovating and adapting to market demands in support of our local distributors like CMC Motors Group,” Seker said.

CMC Motors Divisional Manager, Alexander Makaa noted that New Holland Agriculture’s formula for outstanding performance in agricultural and related accessories involves mixing raw power and superior control with the ultimate in customer flexibility. The TS 6 Series tractors, he said, are a natural choice for livestock, arable or related agricultural contracting applications.

The locally available New Holland Agriculture tractor models, he said feature a wide selection of transmissions and front axle options allowing customers to enhance their field productivity.