Tag: a_doingbusiness

  • New Kenya Tax on Goods Threatens Customs Union

    A new Kenyan Tax on goods has stimulated a diplomatic and trade standoff between Kenya and its landlocked neighbours especially Uganda a major trading partner with the coastal nation.

    The new tax is seen as a threat to the EAC bloc customs union where Kenya is accused of behaving “big brother wanting to have it all.”

    Kenya Revenue Authority (KRA) recently directed that transit goods execute a cash bond equivalent to the tax value of the consignments imposed on them if they were to be sold in Kenya.

    The decision has made importers and local authorities furious describing it as a move to hurt inland states’ businesses.

    Uganda argues that the genesis of the problem is the increased amount of Ugandan sugar on the Kenya market. Kenya suspects Uganda does not have the capacity to suddenly produce extra sugar.

    “They think we have no capacity so we have invited them to the sugar factories,” says Uganda Revenue Authority.

    Uganda cargo accounts for about 75% of the total exiting Mombasa.
    Importers are supposed to go to the insurance company not the clearing agent.

    The whole process means when an imported car exits Busia or Malaba, the importer does not get their transit cash bond back immediately, meaning business capital is tied up.

    The importer must go to a bank if they do not have cash, yet the bank will also issue the facility at a cost.

    If the importer chose to re-export or redirect the car to say Dar es Salaam, it means additional freight and pay costs of changing documents to KRA.

    “It is like somebody telling you; ‘don’t come to my place’, besides very few cars have bonds beyond Ksh1m”.

  • EU-EAC Negotiate Economic Partnership Agreements

    EAC Secretary General Amb. Dr. Richard Sezibera, currently on an official visit to the European Commission of the European Union, met with the Commissioner for Development Mr. Andris Piebalgs in Brussels.

    Amb. Sezibera and Commissioner Piebalgs’ discussions centered on the negotiations of the EU-EAC Economic Partnership Agreements (EPAs), as well as funding for Community projects through the European Development Fund (EDF).

    The Secretary General also briefed the Commissioner on the latest developments in the EAC integration process.

    On EPAs, the Secretary General reiterated the commitment of the EAC bloc to finalize the negotiations this year but added that this would only be achievable if the focus is on issues under the interim EPA signed in 2007.

    Amb. Sezibera emphasized the importance of signing an EPA that would be acceptable to Partner States.

    On funding, Commissioner Piebalgs informed the Secretary General that the instruments of EDF11 will be available as a seven-year support program and that local EU delegations would play a bigger role in facilitating access to funds as a means of expediting approval processes for projects.

    The EDF, created in 1959, is the main instrument for providing EU development aid in the African, Caribbean and Pacific (ACP) countries and the overseas countries and territories (OCTs).

    Amb. Sezibera was accompanied by the EAC Principal Resources Mobilization Officer, Dr. James Njagu; Principal Civil Aviation Officer, Eng. Ladislaus Matindi and Senior Energy Officer, Mr. Peter Kinuthia.

  • Rwanda Stock Exchange Market Performance

    The Rwanda Stock Exchange market went up as today’s trading session recorded a turnover of Rwf 15,381,100 from 60,000 BK shares and 19,400 Bralirwa shares traded in 8 deals compared to yesterday’s trading session which recorded a turnover of Rwf 91,700 from 700 BK shares traded in one deal.

    BK shares traded at Rwf 130 and Rwf 131 and closed at Rwf 131, unchanged from yesterday’s closing price whereas Bralirwa counter traded between Rwf 390 and Rwf 392 and closed at Rwf 392; registering an increase of Rwf 2 compared to yesterday’s closing price.

    KCB and NMG shares last transacted at Rwf 140 and Rwf 1,200 respectively.

    At the end of formal trading hours, there was an outstanding bid of 1,500,000 BK shares at Rwf 130 and an outstanding offer of 500 shares at Rwf 132. On BRALIRWA counter, there were outstanding bids of 94,200 shares between Rwf 376 and Rwf 391 and no outstanding offers.

    This week the RSE market went down in traded volumes and turnover compared to last week’s trading session. The total turnover for this week was Rwf 66, 786,200 from 436,100 BK shares and 25,900 Bralirwa shares traded in 22 deals compared to last week’s trading session which recorded a turnover of Rwf 114, 740,300 from 290,300 BK shares and 204,300 BRALIRWA shares traded in 20 deals.

    The RSE market went up as today’s trading session recorded a turnover of Rwf 15,381,100 from 60,000 BK shares and 19,400 Bralirwa shares traded in 8 deals compared to yesterday’s trading session which recorded a turnover of Rwf 91,700 from 700 BK shares traded in one deal.

    BK shares traded at Rwf 130 and Rwf 131 and closed at Rwf 131, unchanged from yesterday’s closing price whereas Bralirwa counter traded between Rwf 390 and Rwf 392 and closed at Rwf 392; registering an increase of Rwf 2 compared to yesterday’s closing price.

    KCB and NMG shares last transacted at Rwf 140 and Rwf 1,200 respectively.

    At the end of formal trading hours, there was an outstanding bid of 1,500,000 BK shares at Rwf 130 and an outstanding offer of 500 shares at Rwf 132.

    On BRALIRWA counter, there were outstanding bids of 94,200 shares between Rwf 376 and Rwf 391 and no outstanding offers.

    This week the RSE market went down in traded volumes and turnover compared to last week’s trading session.

    The total turnover for this week was Rwf 66, 786,200 from 436,100 BK shares and 25,900 Bralirwa shares traded in 22 deals compared to last week’s trading session which recorded a turnover of Rwf 114, 740,300 from 290,300 BK shares and 204,300 BRALIRWA shares traded in 20 deals.

  • A CEO’s Main Job Is To Communicate

    ‘‘Today, we are introducing three revolutionary products. (Pause). The first is a wide-screen iPod with touch controls. The second is a revolutionary phone, and the third is an Internet communications device……

    ‘‘So three things: a wide-screen iPod with touch controls, a revolutionary mobile phone, and a break-through Internet communications device……

    (Pause). An iPod… Are you getting it? There are not three separate devices. This is one device and we are calling it the iPhone. Today, Apple reinvents the phone.”

    Those were the opening words as Steve Jobs introduced the first ever iPhone to the World at San Francisco on January 9, 2007………

    There are many presentations and speeches Steve Jobs gave over his lifetime but in my opinion, none had such corporate historical significance as this particular one.

    For it marked the emergence of the iPhone; a device which in many ways than one entirely changed the paradigm of mobile phone technology and truly catapulted Apple to becoming one the most valuable companies of all time.

    This presentation was a masterpiece both as a sales pitch and as a befitting CEO’s address. I even dare submit that should the very same script have been delivered by another Apple employee with lesser presentation capabilities and rank as Mr Jobs, chances are that the iPhone would have been a huge flop in the market.

    Mr Jobs best exemplified the CEO who understands his first role in the company — as the communicator-in -chief. As much as you may outsource the company’s PR function, and delegate the communication task to a lowly department within the organisation, ultimately, and you can take this to the bank, it is your word as CEO that may make or break your company.

    The buck stops with you. Often, whenever CEOs attend my trainings I am quick to remind them that they are not spectacularly different from the rest of their management team or even employees.

    The only edge they have, besides the title, is that they are expected to have superior communication skills.

    Actually, when asked to define management in the simplest terms, I refer to it is as ‘‘applied communication’’. The value of management and communication are so closely tied that they are synonymous with each other. Hence the importance attached to the CEO’s speech.

    This underpins the importance of having CEOs who understand and practise the art of public speaking and boardroom presentations.

    Kaizen principle

    So as CEO, before you offer your next speech, please take this advice into account:

    Excellence is not a stagnant level; adopt kaizen principle and improve.

    When we come to CEOs, we have a whole spectrum of them; from the amazingly eloquent media darlings to the awful who embarrass the whole organisation whenever they dare speak in public.

    The unfortunate thing is that, many CEOs don’t know where they fall. There are many who are brilliant but who never seem to fully trust themselves.

    Then there are those who are despicably awful, yet delude themselves that they are speech masters.

    It takes a lot of self-awareness and knowledge to tell our strengths and weaknesses. It takes greater self-wisdom and discipline to do something about it.

    The truth is that many a CEO are above average speakers which explains why they rose to the positions they hold today.

    However, it should occur to them that both Usain Bolt and David Rudisha are amazing athletes. Yet despite their mastery of the track, they still have something in common to maintain their mastery —a coach.

    Regardless of how brilliant we are as communicators, it hurts little to go back to class and improve further on your communication techniques.

    As Stephen Covey said, to be effective, you have to continuously sharpen your saw.

    Secondly, seek services of an expert speech writer or consultant. There are times when as a CEO, you have to give a speech whose significance is too important to be taken lightly.

    It could be the launch of a new product as it was the case with Mr Jobs. It could be an address to the AGM of a public listed company. Whenever such events arise, we seek the communication department to draft remarks for us. This is where we err.

    It should be noted that most times the communication office has some other core functions of which writing the CEO’s speech does not really rank that highly.

    As a result, what these departments do is whip out a few historical speeches, change a few tenses and facts — and hooray, they have a speech for you.

    Those who have attended corporate forums are overly tired of these ‘‘renovated speeches.’’ You might realise that even after attending speech classes and ending up a master speaker, speech writing may still not be a piece of cake. It takes a bit of time, talent, and professional input.

    Cardinal rule

    The cardinal rule; if the speech is too important get the services of a consultant. Let’s learn from Barack Obama, himself a wonderful speaker, yet he maintains the services of a full time speech writer.

    Having a brilliant and preferably consistent speech writer or consultant on contract is an investment worth taking.

    A good speech writer doesn’t create thoughts for you. He models your thoughts and assists you to shape them to fit your audience.

    A good speech writer does sufficient research on the subject matter and goes out of his way to ‘‘get’’ your speaking personality. He helps to structure your communication and harmonise your personality.

    A good speech writer is not your junior who you command on meeting deadlines, but a professional peer with the sense of what makes a good speech.

    It is a good idea to listen to what your speech consultant may have to say about what you want to say, for ultimately it could determine what everyone else will say about you.

    In the end, all CEOs should heed the timeless words of former US Secretary of State Madeleine Albright. That a good speech should make us laugh, think, cry, and cheer — preferably in that order.

    Mr Sissey, the CEO of Business Insider Africa, is also the Author of ‘Speech Recipe: A guide to Public Speaking and Boardroom Presentations’’. E-mail: [email protected]. Twitter @marvinsissey.

  • Kigali Hosts EAC Monetary Union Protocol Negotiations

    Kigali is hosting talks aimed at establishment of a central bank and other institutions in the East African region.

    Rwanda’s chief negotiator, Dr Frank Kigabo also Chief Economist at the National Bank of Rwanda, noted that deliberations are focused on remaining articles promising that these would be finalised by the end of the meeting this Saturday.

    “We have to establish various institutions like a regional central bank, enforce mechanisms, monetary institutions and a statistics bureau before the single currency comes into force,” he told The New Times.

    The meeting will negotiate draft provisions 68 – 81 of the draft EAMU Protocol covering Part M on General Provisions.

    The above provisions touch on among others: Harmonization of Policies, Laws and Systems; Law(s) Governing the Monetary Union; Business Continuity Mechanism; Safeguard Measures; Instruments to Support Partner States with Macroeconomic and Structural Imbalances; Admission, Suspension, Expulsion and Withdrawal and Inter linkages with other Areas of Cooperation.

    Addressing the delegates this morning, the Deputy Secretary General in charge of Planning and Infrastructure Dr. Enos Bukuku said the meeting marked another bold testimony to the collective resolve to deliver a Protocol on Monetary Union for the people of East Africa and in many respects lower the cost of doing business in the region.

    He said the provisions to be negotiated during the Kigali meeting were critical to any monetary union because they underpin any integration initiative in this sector.

    He therefore urged all Partner State delegates to do their utmost to build consensus quickly. “We can ill afford brackets at this advanced stage of our negotiations” cautioned Dr. Bukuku.

    “Our people, energized by the benefits out of the Customs Union and the Common Market, the challenges associated with the same notwithstanding, are more than ready to embark on reducing the cost of doing business by attaining a Monetary Union” said the Deputy Secretary General.

    He reminded the Negotiators that many East Africans within and beyond the region were anxiously awaiting any insights from the meeting on what needs to be done right to make monetary integration work for the EAC.

    The High Level Task Force meeting is preceding the 2nd Meeting of the Sectoral Council on Monetary Union to take place 14-15 September 2012 at the same venue. The HLTF will be briefing the Sectoral Council on the progress so far made in the negotiations.

  • Rwandair Showcases Rwanda as Business, Leisure Destination

    At a function organised by the Serena Hotel Group in Sandton, Johannesburg on the 31st August 2012, Rwandair showcased Rwanda as a tourism destination for East African travel.

    H.E Mr. Vincent Karega, the High Commissioner and Rwandair, worked together to make this themed event “Airline and Country” an outstanding success amongst all who attended.

    This close cooperation furthered both economic diplomacy and Rwandair as the preferred airline for tourism, promoting Rwanda’s tourism sector and its economy.

    More than 200 travel industry personnel who attended the event, were provided with Rwanda’s premier coffee brands such as Amaraba coffee and Kinunu coffee.

    Attendees included members of major hotel groups, travel agencies, airlines and car rental companies.

    Rwandair is receiving two new CRJ-900 aircraft, manufactured by bombardier – Canada’s leading aircraft manufacturer, known for its safety and performance characteristics.

    This addition to the Rwandair fleet will permit additional destinations and more frequent flights to the existing Rwandair network.

    “I commend Rwandair team led by Mrs Kanana Kau in South Africa for the demonstrated passion and the quality work they perform therefore giving Rwandair high visibility in South Africa” says the High Commissioner.

    When commenting on the event, Rwandair CEO John Mirenge said “the addition of these new aircraft means additional destinations and convenience for the travellers who expect modern aircraft and the best service, making Rwandair the airline of choice for each and every travel occasion where Rwandair flies.”

  • Rwanda 63rd on Global Competitiveness List

    Rwanda is ranked 63rd among 144 countries assessed in the 2012-2013 Global competitiveness Report.

    This proves there has been a great improvement by Rwanda which was ranked 70th in the 2011-2012 similar Rankings.

    This year’s Report features a record number of 144 economies is the most comprehensive assessment of its kind.

    The report contains a detailed profile for each of the economies included in the study as well as an extensive section of data tables with global rankings covering over 100 indicators.

    According to the report, Global growth remains historically low for the second year running with major centers of economic activity—particularly large emerging economies and key advanced economies—expected to slow in 2012–13, confirming the belief that the global economy is troubled by a slow and weak recovery.

    As in previous years, growth remains unequally distributed. Emerging and developing countries are growing faster than advanced economies, steadily closing the income gap.

    The International Monetary Fund (IMF) estimates that, in 2012, the euro zone will have contracted by 0.3% , while the United States is experiencing a weak recovery with an uncertain future.

    Large emerging economies such as Brazil, the Russian Federation, India, China, and South Africa are growing somewhat less than they did in 2011.

    At the same time, other emerging markets—such as developing Asia—will continue to show robust growth rates, while the Middle East and North Africa as well as sub-Saharan African countries are gaining momentum.

    The best ten economies include; Switizerland(1st), Singapore(2nd),finiland (3rd),Sweden(4th), Netherlands(5th), Germany(6th), USA(7th), UK(8th),Hong Kong(9th), Japan(10th)..

    In East Africa,Rwandan emerged top at position 63rd meanwhile Kenya scooped (106th) position,Tanzania(120th),Uganda(123rd) and Burundi also the last on the global rankings list at (144th).

  • Frw7 Billion Deposited in Agaciro Development Fund

    Frw 7 Billion has been already deposited into the Agaciro Development Fund, the Minister of Finance, John Rwangombwa has announced.

    This mentioned during a press conference at PrimeHoldings which was aimed at explaining the resolutions of a recent cabinet meeting.

    Rwangombwa has noted that contributions to the Fund are voluntary and that no public official should force citizens to contribute to the fund.

    The minister praised Huye, and Kicukiro districts for making the largest contributions to the Fund.

    The Diaspora is collaboration with Rwanda’s embassies abroad are studying a way they will make their contributions to the Fund.

    The Agaciro Development Fund (AgDF) was set up to raise more domestic resources to help accelerate economic development.

    President Paul Kagame previously noted that the Fund would not replace traditional sources of state revenues, including donor aid, but will supplement them.

    “Aid is never enough, we need to complement it with home-grown schemes,” He said, urging Rwandans and Africans, in general, to work harder with a view to sustain themselves.

    “We are not changing our relations with our partners, but rather adding value. More dignity can only help.”

  • Youth to acquire Essential ICT, Business SKills

    Digital Opportunity Trust Rwanda DOT is slated to train 11,000 youth in essential ICT and Business Skills.

    DOT will deploy a fourth team of 108 Interns who will reach out to over 11,000 youth and women in the next 9 months under the ReachUp! Program.

    The DOT Interns are fresh graduates recruited from local universities and colleges then offered the opportunity to empower their communities.

    Speaking at the Intern Learning Experience closing ceremony, on Friday August 31st 2012, the Head of the Human Capacity and Institutional Development Department at the Rwanda Development Board, Appollo Munanura, stated, “DOT is a unique organization because it is changing youth to go out and change others.”

    He added, “These young people recruited as Interns are going to bring about social economic change in their communities, and in the process identify opportunities from themselves.”

    “The interns have completed 3 weeks online learning experience and 10 days face to face where they have acquired skills in facilitation, coaching, project management, and advocacy.”

    “Throughout this learning experience the Interns have demonstrated great commitment to be lifelong learners and develop practices related to that in order to become leaders in their communities,” noted Ndekezi Maarifa, DOT’s Regional Learning Coordinator.

    The Intern Learning Experience (ILE) took place at the Kicukiro Integrated Polytechnic Regional Centre.

    Interns were introduced to the ReachUp! curriculum and equipped with facilitation techniques and approaches that they can model when empowering their peers in their communities.

    Violette Uwamutara, Country Director DOT Rwanda explains, “Technology is an asset to bridge the skills and information gap in developing communities.”

    She adds that technology gives people easy access to information, a voice to reach others, facility to create solutions for their own challenges and serves as a bridge between communities, which would have otherwise not been able to connect.

    Uwamutara said that DOT’s ReachUp! Program helps people adopt technology to their daily life needs and learn essential business skills.

  • Dr.Kaberuka: Intra-African Trade Significant

    The potential to grow intra-African trade is significant and, while it has more than doubled over the past five years, it remains a disappointing figure, says Dr. Donald Kaberuka, President of the African Development Bank.

    He was addressing the annual Conference of Speakers of African Parliaments in Johannesburg last week.

    The theme of this year’s conference, held at the Pan African Parliament in Johannesburg, South Africa, was on the role parliaments in promoting intra-African trade to achieve development and employment in Africa.

    Dr. Kaberuka said that trade still held tremendous unrealized potential as a driver of growth on the African continent, but that the opportunities for regional integration had not been fully exploited.

    In fact, he noted, intra-African trade accounts for only 20% of the continent’s overall trade.

    “The benefits of increased regional trade are not in any doubt,” he said. “They include improved food security, increased potential for regional value chains to drive exports, including to global markets and new opportunities through the growth of trade in services.”

    However, Dr. Kaberuka pointed to three pervasive challenges: “Firstly, Africa’s lack of adequate hard infrastructure, in particular transport; secondly, problems with the ‘soft’ infrastructure – the institutions and regulations to facilitate trade links which includes the overall business environment; and thirdly, a myriad of firm level challenges that affect our private sector, as well as the emergence and sustainability of exports such as quality, meeting standards, access to finance.”

    Dr. Kaberuka emphasized that while all aspects of infrastructure development across the continent needed attention, an aging railway network dating back to the colonial era and maritime ports with limited capacity were in urgent need of expansion and upgrades.

    The question Dr. Kaberuka posed to delegates was how legislatures could facilitate the process of economic integration. He said that Africa’s founders had laid the basis with political liberation. They had achieved much, including the epic struggle to free Africa of the last vestiges of colonialism and apartheid.

    “As we embark on a new era, there can be no question, there is much unfinished business politically: building peace, security and rule of law. However most people would now agree the struggle in Africa must be that of economic liberation through integration,”He stated.

    But training is just one part of the story, Dr Kaberuka told the conference. “What we need is the free movement of talent, to match up skills with opportunities.

    At present, movement of skilled Africans is limited from moving to those places where their skills are most needed and best rewarded. As a result, promising industrialization projects are unable to find the managers and technical specialists that they need.”

    He acknowledged the global competition for talent means African professionals, including doctors, engineers and accountants, are lured elsewhere, and steps must be taken to reverse this brain drain.

    “Our immigration laws and policies – at the regional and national levels – have to contain incentives to attract and retain the best and the brightest. This includes looking at ways to entice home our professionals in the diaspora”.

    Dr. Kaberuka reiterated his proposal for an Africa Infrastructure Bond that would ensure both security and high returns, while channeling resources into high impact investments that would dramatically impact African growth:

    “Let each Central Bank invest only 5 percent of its reserves in an Africa Infrastructure Bond. Managed by the African Development Bank, such an investment would in the first year total $22 billion – sufficient to make a major impact on some of the key very profitable projects.”

    He noted that the African Development Bank is willing to design such an instrument and to provide its expertise. “There is a whole range of technical issues around this proposal which I will discuss with Finance Ministers and Central Bank Governors next month,” he said, adding:

    “But I want to count on African Parliaments to give full support to this proposal”.