Saturday, November 24, 2007

Do you wonder what will happen after Dec 27,07?

The political heat generated by polls often leaves some politicians’ mouths unguarded. Their pronouncements provide us with rare insights into their thinking. We get a glimpse into the plans or strategies they have, in case they win.

You will hear more during campaign period. While most of us are focusing on December 27, we can stretch the truth and think of the period after, which is longer and perhaps more relevant.

Few people are willing to spend time speculating on how Kibaki II era will look like. We expect little change though a few people think Kibaki may make broad but unpopular changes. He may now afford to be "bad" since he would not be worried by prospects of another term. A few others fear he may just relax and wait for the sunset of his term, assured that few will ever be president.

What is not in doubt is that if Kibaki wins, there will be a generational change after five years or before, with most elderly politicians voluntarily or naturally retiring. Keen political strategists are trying to dovetail into this period, when the independence generation will finally bow out of the political scene.

Now, a more interesting question:

What if ODM wins? ODM leaders’ political pronouncements and their manifesto have given us some useful insights into their intentions.

But political reality will greatly constrain them. To mitigate the political fallout from their decisions, ODM may act in phases, giving the present power wielders time to exhale. The word witch-hunting will definitely reappear. It is an open question if an ODM victory will follow Moi’s brilliant political manoeuvres where he kept us busy with sideshows as he consolidated power. By the time we realised what was going on, we were all singing to his tune.

After victory, ODM might fight some internal battles and sacrifice a few lambs to cleanse the political system and appease the extremists. Lambs include those tainted with corruption but are currently untouchable because of their political value. More poignantly, there are only a few plum jobs available and ODM is top heavy with talent. Those left out will start fighting the same way LDP fought after missing out in major appointments after Narc victory.

More interesting is the promise for government jobs. Will ODM sack some people to create jobs for "her people"? What will be the political cost of doing so? What is clear is that government jobs and contracts are great motivator in the elections. What of jobs for the "small people", the holloi polloi?

Some think creating more political positions through constitutional change would appease the losers. Changing the Constitution is not going to be easy. Some political observers suggest boldly that in case of victory, ODM will be very reluctant to change the current Constitution. It might be expedient to "taste "power first. The likelihood of ODM getting to the State House with the current Constitution is PNU and her affiliates’ nightmare scenario.

ODM, like Narc, will make lots of promises. Fulfilling them will be another issue altogether. ODM may however get away with many promises by maintaining cordial relationship with opinion makers, media and through spinning. Within five years political reality will set in and ODM will learn hard political lessons; the masses are like wind, their direction is unpredictable.

Whoever wins this year must accept a fact; the era of coalitions is here with us. It is another matter how efficient this system is. What is clear is that such a system naturally provides checks and balances with no single region dominating the political landscape. The next one-month or so will give us more insights into what we expect after December 27. For now, we can only speculate.

Agha khan comes to the rescue again in E. Afica

The AGA Khan Health Services is set to build a $250 million (Sh15.7 billion) hospital and medical training complex in Nairobi.

When completed by 2011, the state-of-the-art facility would be the only one of its kind in East and Central Africa and will rival the Aga Khan Hospital in Karachi, Pakistan.

The Chief Executive Officer of the Aga Khan University Hospital in Nairobi, Ms Asmita Gillani, said preparations for the construction of the new hospital and medical training institution were complete.

"It will be one of the best equipped in the world and East Africans will not need to travel to Europe or the US for specialised treatment. They will get in Nairobi," she said.

Speaking in Kisumu, Gillani said the medical complex will include an undergraduate medical training centre and a nursing college.

"We have acquired land and work is set to begin," she said.

She said the Aga Khan University Hospital was installing new medical technology costing $43 million (Sh2.7 billion) to handle cardiac related illnesses and would soon launch new equipment for cancer treatment.

A stock to watch in kenya and uganda

A subsidiary of Sameer Group is investing $11.5 million (Sh736 million) in a milk plant in Uganda.

Sameer Agriculture and Livestock Ltd anticipates that the plant would process over 350,000 litres of milk daily when completed early next year.

The construction work for the factory at the Sameer premises on Fifth Street Industrial Area in Kampala has begun.

"We’ll be able to process about 350,000 litres per day, of which 200,000 will be powder milk and 150,000 for the ultra heat treatment milk," said Managing Director Mr A G Gagger.

Sameer’s production capacity has doubled to 60,000 litres of milk per day, up from 35,000 litres when the company took over then Dairy Corporation Limited in August last year.

Safaricom presents draft prospectus to NSE

The Safaricom intital public offer (IPO) draft information memorandum has been presented to the Nairobi Stock Exchange (NSE).

And the bourse has already ordered for additional servers to cater for increased trading capacity in anticipation of the IPO in which the Treasury hopes to offload its 25 per cent stake in the country’s most profitable mobile phone provider.

"The ATS (Automated Transaction System) that was commissioned last year has the capacity to handle 150,000 trades in a three hour session, because of the Safaricom IPO, we anticipate our trading environment to triple," Mr Chris Mwebesa, the NSE Chief Executive said yesterday in a statement, " we are therefore increasing our servers to handle this trading traffic."

He said the additional servers are expected in the next two weeks.

He said the move would ensure that the bourse does not experience a backlog of orders once the Safaricom IPO kicks off.

The presentation of the draft information memorandum to the NSE comes immediately after the same was made this week to the Capital Markets Authority (CMA) — the market regulatory body.

Investment Secretary, Ms Esther Koimett, said the Government was considering using an electronic system of application for the IPO.

"User acceptance testing of the system is currently being undertaken, and we have already briefed the market regulator to see whether we can go forward with this system," said Koimett.

She said discussions were currently going on between the capital markets regulator, and other stakeholders involved in the Safaricom IPO on the viability of the system.

The memorandum was presented to NSE by Safaricom Chief Financial Officer, Mr Les Baillie, among others.

Last year the Safaricom’s profit hit Sh17 billion, making it the most profitable company in the region.

With the largest local market in telecommunications of over 77 per cent and a subscriber base of 7.9 million customers recorded by the end of the first-half of this year, Safaricom IPO is expected draw countrywide participation.

Billed as the largest sale ever in the capital market, the offer is already drawing impressive interest from local, regional and overseas investors alike.

Treasury is seeking to offload 25 per cent of its 60 per cent stake in Safaricom to the public through the NSE in a transaction expected to net at least Sh35 billion.

Tuesday, November 20, 2007

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The statehouse race

Kenyan is amongst the very few democratic countries in Africa. We have seen democracy in parliamentary race where the now well informed public has ousted many of the former members of parliament during party nominations. The people of kenya are rising to exercise their civic duty in determining both the political and economic future of their country. What are your views on the parliamentary nominations? We might be seeing a parliament full of new faces? what are your views? Remember your opinions shape the direction of your country.