maybe, maybe not… let me view explanations from monetary experts
Cbk governor must also be doing something tangible
I like the way you are thinking. Conversely that is why the IMF preaches the gospel that we devalue our currency so the west makes more from us?
Yea right. He’s in a d*ck measuring contest with the USD. Hakuna free market forces hapa ni currency manipulation of the highest order! Meanwhile the common mwananchi can’t compete with UG or TZ because their currency is most conducive for exports.
CBK governor is manipulating our currency
Tuachie pesa yetu please.
I don’t think their is any other person here more qualified and experienced in fiscal and monetary policy as CBK Governor Dr. Njoroge and so far he has guided the Kshs over the years very conservatively and stable. Forex remittance in the country continues to grow especially since CS Rotich introduced a Tax amnesty in financial year 2015. All previous hidden loot can be returned by the culprits without prosecution. You or your lawyers apply for the amnesty at Treasury, DCI and OPP approves. You give details of the amount and what you intend to invest in. Its approved, you can bring it back but not transfer it abroad again. Wazee waliona its better to spend it before they depart this earth rather than it stays in a dormant account. Lastly our exports are increasing and the variety of the exports keeps on increasing.
[SIZE=6]New export orders fastest in four months[/SIZE]
TUESDAY FEBRUARY 5 2019
https://www.nation.co.ke/image/view/-/4968632/medRes/1750090/-/maxw/600/-/exx0wjz/-/jib.jpg
Mr Jibran Qureishi, regional economist for East Africa at Stanbic Bank. FILE PHOTO | NMG
In Summary
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[li]The latest Markit Stanbic Bank Kenya Purchasing Managers’ Index (PMI) covering January shows that increased demand saw businesses clear backlogs at the fastest rate in 14 months.[/li][li]Firms were boosted by the influx of new business and stronger client bases, Stanbic Bank noted, adding that business activity has risen in each month since December 2017 as firms boosted their management teams.[/li][/ul]
https://www.nation.co.ke/image/view/-/3831354/medRes/1576494/-/3j6otqz/-/BDgeneric_logo.jpg[B]By PATRICK ALUSHULA[/B]
![https://www.nation.co.ke/image/view/-/3831354/medRes/1576494/-/3j6otqz/-/BDgeneric_logo.jpg[B]By](https://www.nation.co.ke/image/view/-/3831354/medRes/1576494/-/3j6otqz/-/BDgeneric_logo.jpg%5BB%5DBy){kind=link}
New export orders from Kenyan businesses rose the fastest in four months on higher foreign demand, shrugging off the slow start common with January. The latest Markit Stanbic Bank Kenya Purchasing Managers’ Index (PMI) covering January shows that increased demand saw businesses clear backlogs at the fastest rate in 14 months. Firms were boosted by the influx of new business and stronger client bases, Stanbic Bank noted, adding that business activity has risen in each month since December 2017 as firms boosted their management teams.
“New export orders increased at the sharpest rate since October, with many businesses reporting higher foreign demand. “Business activity at Kenyan companies continued to rise sharply, with the rate of output growth ticking up to a three-month high,” noted Stanbic Bank.
However, the month recorded a drop in the headline PMI to 53.2, from 53.6 in December, partly due to a softer increase in new orders in January. The rate of growth eased to the least marked in four months, although it was still a solid improvement, according to Stanbic. The PMI index is based on data compiled from purchasing executives drawn from diverse sectors such as agriculture, mining, manufacturing, construction, retail and services. Readings above 50.0 signal an improvement in business conditions on the previous month, while readings below 50.0 show a deterioration. The regional economist for East Africa at Stanbic Bank, Mr Jibran Qureishi, however, expects business activities to soften in the coming months.
“Owing to cyclical factors, private sector activity may soften somewhat over the next couple of months as growth broadly in the agriculture sub-sector eases,” said Mr Qureishi. “However, despite these risks, lower international oil prices should help keep costs suppressed for the private sector and thus underpin purchasing activity.”
During the month, firms cut back on purchasing activity growth, with the rise in inputs purchases the weakest in 1Busin
In other words nothing good can happen in Kenya?
Nativity si ni wakati mtu au jeso alizaliwa?
it can, but for the benefit of others
Dr. Njoroge is doing some good work.
Time to start importing merchandise that I have been eyeing for a while pale kwa mchina…
This needs proof: best performing currency against THE USD in the last 3 years.
The Teflon Shilling by Aly Khan Satchu
[SIZE=7]Kenya Shilling third best performing currency[/SIZE]
Aug. 16, 2018, 12:30 am
By ALYKHAN SATCHU
https://www.the-star.co.ke/sites/default/files/styles/new_full_content/public/articles/2018/08/16/1525635.jpg?itok=EL6yOnWlKenyan shillings
The US Dollar remains King and is essentially weaponised and like a remote-controlled drone, it can blow up anyone anytime. Emerging Market assets remain under intolerable selling pressure with the Indian Rupee printing record lows above 70.00. Meanwhile the surprise in the currency Markets in 2018 is the Kenya Shilling which is +2.7% YTD and the 3rd best performing currency world-wide.
kindly explain this vizuri.
1 KSh at this minute is 23.5 to the TSh. It was TSh22.7 about 6 months ago.
What that means is that if 1 kg of meat in the Kenyan side of Namanga was KSh1000 six months ago, all other factors constant and without exchange fees, a Tanzanian would have spent TSh22,700 to buy that 1 kg. Today, they would require TSh23,500 to buy the same. A difference of TSh800, a significant amount if what you are dealing with is goods worth millions of shillings. You can do your maths.
I have read in some places there are some countries who keep their currency weak to encourage exports, so is a stronger shilling actually bad for export based economy, or economy that is in deep foreign debts.
It is imperative to know that while prices of basic commodities keep on changing from month to month in Kenya, the prices in other countries, Tanzania especially, remain the same for very many years. In Arusha they have been buying petrol at around TSh2200 for more than 2 years now, even when we used to buy ours at ksh 114, about TSh2570 at that time. 300ml Coca-Cola soda is KSh30 in the Kenyan side of Namanga. In the other side it is sold in 350ml bottles and the price is TSh500, about KSh23! Mwea pishori rice usually sell at KSh150, about TSh3500, even in Mwea town kwenyewe where it is grown! Tanzanian pishori, even though it’s not as premium as Mwea pishori, but pishori all the same, goes for TSh2000 about KSh90 in towns and that’s when it’s out of season. We can go on and on.
I think as a rule, goods and services in a more developed country generally cost more than in a less developed one
the bigger the economy, the higher the prices. in the US a donut is $0.99, in kenya 30 bob.
Not that Kenya is that more developed than Tanzania. Personally, I don’t think that the difference that exists in our respective GDPs is that big as to justify the huge disparities in consumer commodity prices…