Vol ix issue xxiv

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Investment opportunities in Burundi Tourism

EAC to reconvene trade talks with EU

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UNVEILING OPPORTUNITIES

VOL. 9, ISSUE 24 FEBRUARY 10 - 16, 2014

KSH 40; TZSH 1,000; USH 1,500; RWF 600; BIF 1,500; 5 BIRR, SS£ 2.5

Tz iron output for 2016

BY ANDREW ZABLON

nMWANZA, Tanzania – The Iron ore mine at Liganga, Southern Tanzania will start operations next year while production of iron and steel products is slated to start in 2016.

A joint venture company, Tanzania-China International Mineral Resources Limited (TCIMRL), is expected to invest about $2 billion in the project. Studies have already shown that a viable iron and steel complex can be created. Apart from iron and steel products, it will

also produce vanadium pentoxide and titanium dioxide. When contacted last week, Tanzania Minister for Energy and Minerals Prof Sospeter Muhongo referred the matter to the National Development Corporation (NDC). However on the condition of anonymity, senior NDC officials told East African Business

TO PAGE 2

Burundi moots anti-burning campaign

Uganda tax returns plunge

BY MELCHIOR SIMBARUHIJE

BY EMMA ONYANGO nKAMPALA, Uganda-- Uganda’s tax body, Uganda Revenue Authority (URA) will have to grow tax returns by 27% per month if they are to meet the set revenue target for the FY2013/14. This follows the release of the half year revenue performance for the FY2013/14 that showed that the collections have registered the largest ever deficit of Ush 246.93 billion (about $99 million). The huge deficit was a result of a shortfall in domestic taxes of Ush 216.37 billion ($87 million) while International taxes that have always posted huge deficits recorded a small deficit of Ush 26.42 billion ($10.6 million) in the six months leading up to December 2013. A deeper insight into the revenue performance shows tale tell signs

Week there was significant progress. “Almost everything is in place. We are optimistic that production will commence late next year or early 2016,” one of the officials said. A sponge iron plant will also be set up in

DISAPPOINTED: Kagina said many companies that were previously posting profits declared smaller profits or losses, citing a slowdown in the economy and low access to affordable credit. Photo by Emma Onyango

nMUYINGA, Burundi----Burundi Second Vice-President, Dr. Gervais Rufyikiri has asked provincial directors of agriculture and livestock (DPAE) and communal agronomists to dissuade people from the practice of burning. This call was made during a meeting with provincial directors of agriculture and livestock (DPAE) including senior staff of the Ministry and communal agronomists across the country, held in Muyinga province (North-East) on January 31st, 2014. It was a chairing a session on the impact of the practice of burning on soil management and its effects on soil organic matter. In his opening remarks Dr. Rufyikiri repeated the government’s commitment to fight hunger during 2014. He highlighted the promotion of best practices for soil protection namely the awareness to ban the practice of burning. TO PAGE 2

Ethiopia mulls power exports Fitch rates Rwanda Kenya brushes aside railway delays to Yemen at 7.5% growth President Uhuru Kenyatta during a State BY HUMPREY LILOBA nADDIS ABABA, Ethiopia---Ethiopia is TO PAGE 2

nNAIROBI, Kenya--The Kenyan government has brushed aside all further talk that would delay construction of the proposed standard gauge railway launched in November last year. Some controversy had built up surrounding the procurement process. A section of parliament, donor agencies and the civil society are claiming that the $3 billion-plus project is mired in backroom deals that if unchecked could cost the Kenyan taxpayer billions of shillings. The project is currently the subject of a parliamentary probe.

of the Nation address recently said there will be no turning back on the construction of the $3.8 billion standard gauge railway. Kenyatta who was flanked by his entire Cabinet at State House Nairobi said he would not allow the commercial interests of a few businessmen to derail the project. He said he personally visited China last July and pleaded with the government to assist Kenya financially and technically to build the Mombasa to Malaba railway. China is paying 80% of the costs upfront. TO PAGE 2

BY AGNES BATETA nKIGALI, Rwanda—International sovereign credit rating firm, Fitch, has said Rwanda’s GDP growth will be maintained at 7.5 per cent in 2014 and 2015 despite its slowdown from 8 percent in 2012 to 6.6 in the last concluded year 2013. In the Fitch Ratings seen as published in a press release by Ministry of Finance and Economic Planning, Rwanda’s outlook was given a B with a positive outlook. This promotes the country’s long-term foreign TO PAGE 2

thinking about selling electricity to Yemen, says an Ethiopian energy official. “The idea is not yet supported by study. The plan requires to conduct a lot of studies,” Misikir Negash, head of public relations for the Ethiopian Electric Power Corporation said last week. He said that preparations were underway for further studies on the proposal. “A study on technical matters will soon be launched,” Negash said. If the idea is approved by Ethiopian authorities, a cable will be laid to carry TO PAGE 2


2

NEWS

East African Business Week I February 10 - 16, 2014

Kenya brushes aside railway delays FROM PAGE 1 According to the President, those punching holes in the tendering process of the railway project are working at the behest of multinational cartels that did not win the tender to construct what is one of the biggest infrastructure projects in the region. “The standard gauge railway project must and will go ahead for us to achieve our development agenda,” He told a news conference at State House Nairobi recently. He termed it as the single biggest investment in East Africa in the last 50 years. “Too often in our country these days, the very notion of economic progress, such as we are working to achieve, is persistently threatened by conflict sparked and fueled by commercial interest groups, be they local or international,” said Uhuru. The President declined to name the businessmen who want to derail the project as they are well known. “Their commercial interests do not supersede the interests of this country,” he said. The president maintained that due process was followed in awarding the tender to China Roads and Bridges Company.“What we know is that we have followed all laws of our country, we have followed all laws of China,” the President stated. He said all those with

that there could be a major problem in the economy given that Corporation tax accounted for the large deficit experienced in the domestic taxes department, registering a shortfall of Ush 161.19 billion ($64 million). The sectors that registered declines in corporation taxes were the manufacturing, financial intermediation, Transport, Storage and Communication, Electricity, Gas, Water among others. Speaking to the media at a news conference at the Customs Business Center in Nakawa last week, Allen Kagina, the Uganda Revenue Authority Commissioner General said that shortfall in corporation tax was as a result of a slowdown in the economy and low access to credit. “Many companies that were previously posting profits declared smaller profits or losses citing a slowdown in the economy and low access to affordable credit. Some 325 companies that posted profits in FY2011/2012 registered losses in FY 2012/2013 which had an impact

DETERMINED: Kenyatta told a news conference recently, the standard gauge railway is the biggest infrastructure project in East Africa for the past 50 years. information on questionable aspects can go and testify in parliament, or pay him a visit. “There comes an hour when the noise must stop, and the work must begin. We are at that hour,” said Uhuru. He said the project will reduce freight transportation charges from the present $0.20 per tonne-kilometre to about $0.083. It will reduce journey times from 30 hours to 8 hours. For the project, Exim Bank of China is providing a commercial loan of

US$1.6 billion and a concessional loan of $1.63 billion, totalling $3.23 billion dollars, for Phase I that will run from Mombasa to Nairobi. He said the Kenyan government will purchase the land where the railway will pass. The Public Investment Committee, which is probing the tendering procedure for the project is chaired by Mandera MP Adan Keynan, and the Transport committee, is chaired by Maina Kamanda.

on corporation tax performance over the first half of the FY2013/14,” she explained. Kagina also added that there were increased capital investments made by key sectors in the economy worth $17m especially in the beer and steel industries which increased their allowable deductions and thus reduced their profit and corporation tax paid. The international taxes on the other hand posted a slight deficit. It was only a deficit of Ush 53.43 billion on withholding tax on imports as well as a Ush 47.73 billion deficit on excise duty on imports that made the customs department perform at 98.5%. Import duty, VAT on imports as well as petroleum duty registered surpluses. According to the report, domestic taxes performed at 91.15% but the overall revenue performance was at 93.99%. Net revenue collections for the first half of the FY2013/14 were Ush 3.86 trillion against a target of Ush 4.11 trillion. Despite the deficit, revenues grew by 487.17 b (or 14.4%) when compared

to the first half of the FY2012/13. On the regional front, only Kenya and Burundi performed above their set target in the first half of the FY2013/14 returning a 100.1% and 104.24% performance respectively. Rwanda performed at 95.8%, Uganda at 93.99% while Tanzania performed at 88.6% in overall revenue mobilization. However, URA is optimistic that given the improving macroeconomic indicators like the projected 6% GDP growth rate, stable exchange rate and a manageable inflation rate, revenue collections will improve in the second half of the FY2013/14 as investment expenditures trickle down to businesses. “Given the factors that affected corporation tax performance in the first half of the financial year and its relatively longer cycle, we intend to pay close attention to the major industry players in order to arrest the trend. The initiatives being implemented are expected to enable us recover the shortfall within the second half of the FY2013/14,” Kagina said.

Fitch rates Rwanda at 7.5% growth FROM PAGE 1 and local currency Issuer Default Rating (IDR) at B still and short-term foreign currency IDR at B, and such ratings were all made in relation with the current GDP growth of the country. Fitch

FROM PAGE 1 electricity to Yemen via the Red Sea. A delegation of Yemeni officials visited Ethiopia last month to discuss the issue, an official at Yemen’s embassy in Addis Ababa told AA. “Yemen is planning to buy 100 megawatts of electric power via Djibouti,” the embassy official said. “However, the case is still being digested.” Ethiopia currently sells

100 megawatts of electric power to Sudan, 35 megawatts to Djibouti and 400 megawatts to Kenya. Following completion of a massive hydroelectric dam that Addis Ababa is currently building on the Nile River, Ethiopia will be able to export surplus electricity to purchasers in North Africa and the Middle East. The country reportedly has the potential to generate between 15,000 and 30,000 megawatts of electric power.

Burundi moots antiburning campaign

Uganda tax returns plunge

FROM PAGE 1

Ethiopia mulls power exports to Yemen

states that , ‘Rwanda’s rating is supported by rapid GDP growth, averaging 8 per cent over the past decade, in a context of macro and political stability. Large foreign capital inflows have been attracted by high standards of economic governance and successful implementation of structural

reforms. The government debt has remained low (29 per cent of GDP in 2013) and half of it is owed to donors, ensuring debt service remains moderate. ’Rwanda’s international rating is also being lifted by the ability to attract large investments by virtue of being

the second-best place to do business in Africa, according to the latest World Bank’s Doing Business Report. Local companies such as banks, that source for lines of credit to fund their operations also have reason to be happy about the country’s improved credit rating.

FROM PAGE 1 He took the opportunity to remind the government’s efforts in the development of the agricultural sector since 2011, including increased budget allocations. He also spoke of the investment projects under implementation such as the construction of hydro-agricultural dam on Kajeke river , rehabilitation and restocking of livestock of Mahwa farm, the subsidy and the increase in the amount of chemical fertilizers to name but a few. Dr. Rufyikiri asked participants to play an active part in raising awareness of all the provinces and communes in the country about the dangers of the practice of burning.

Prof. Salvator Kaboneka focused on the impact of the practice of burning on water management and soil fertility and its effects on soil organic matter. It was also an opportunity to recall the source the causes of soil degradation in this case burns, loss of vegetation cover, poor farming techniques, deforestation, destruction of microorganisms, soil erosion by wind and water erosion. Prof. Kaboneka recommended to the government a strict observance of the law of restitution (nutrient elements exported by the plant residues) through particular landfill, storage in bands of vegetal residues, erosion control, the compost and litter.

Tanzania iron industry starts 2016 FROM PAGE 1 Ludewa District, Njombe region utilizing iron ore from Maganga Matitu and coal from Katewaka to produce sponge iron. Maganga Matitu is part of Liganga. Maganga Matitu Resources Development Limited (MMRDL) is implementing the project and the shareholders are NDC and MM Steel Resources Public Limited Company (MMSR PLC). When operational, the project would establish 330,000 tons per annum (tpa) of Sponge Iron Plant with 45 MW Captive Power Plant. At 250,000 tpa of steel billet will be produced from sponge iron per year-production is expected to start in 2013/14. Ludewa District is about 850 kilometres Southwest of Dar es salaam. It is the biggest source of iron ore

in Tanzania with estimated reserves of over 1.2 billion tons. The iron ore deposited in Liganga is known as VanadoTitanium Magnetite. Iron ore is a resource for steel manufacturing industries and other ferrous-based industries. The Board Chairman of National Development Corporation, Dr Chrisant Mzindakaya was in the past quoted in a section of the media saying a task force has been set up to check the participation of local people in this integrated project expected to produce 300MW and 500,000 steel products. He said foreigners would be restricted to provide locally available services— this, according to Dr. Mzindakaya, would enable the participation of Tanzanians in the project. The project is expected to add 600MW of electricity to the national grid.


3

NEWS

East African Business Week I February 10 - 16 , 2013

Uganda closes salary holes

Kenya talks on minerals BY HUMPHREY LILOBA

nNAIROBI, Kenya--Kenya’s government plans to move its mineral exploration to the next level through partnerships with other countries and companies. Already, the government is in talks with a Chinese geopolitical institute over geo-mapping plans for the country to determine Kenya’s mineral resources, quantities and location. Mining cabinet secretary Najib Balala said the government is also compiling airborne survey reports that have already been published by various companies in the sector as it embarks on an audit of the country’s mineral resources. A report released on Wednesday by the task-force on mining licences and agreements recommended that the government must conduct a national mapping of these resources. “Kenya must own her own information on the types, locations, qualities and quantities of her minerals,” says the report by the task-force chaired by Mohamed Nyaoga. “The mapping to be undertaken and the determination of who it should be undertaken by must be done on an objective and transparent basis so as to ensure that the information provided is given in entirety to the government and that the exercise was undertaken free of bias or ulterior motive,” the report further says. “After consulting, mapping is likely to take two to three years before the final report is out,” said Balala adding that the government already has a memorandum of understanding in place with the Chinese institute. The report which probed 253 licences which were issued from 2003 showed that there were several expired licences on large tracts of land. “Part of the process of considering a licence should be to lift the veil on the actual owners or sponsors behind an application,” states the report. The Nyaoga led team recommended that the identities of land owners should be confirmed prior to licence issuance so as to ensure validity of consents that will be filed.

BY BAZ WAISWA

CHANGE: Asiimwe (r) hands over to Godfrey Ivudria (l). Below is the new Editor In Chief Walter Isenged

East African Business Week changes bosses BY BAZ WAISWA n KAMPALA, Uganda East Africa leading business newspaper, East African Business week, last week announced officially announced that Godfrey Ivudria will be the new managing director of the publication. Ivudria replaces Stephen Asiimwe who left the publication for a similar role as the Chief Executive Officer at Uganda Tourism Board, a government agency charged with tourism development in the country. Asiimwe who was also the Editor-In-Chief of the regional newspaper was replaced by Walter Isenged who are now both the top managers. Asiimwe over the years

has built a resilient newspaper which has been to grow beyond the Ugandan boundaries now with office in Nairobi, Dar el salaam, Kigali, Bujumbura and Addis Ababa in Ethiopia. The outgoing Managing director was however confident the person replacing him was a punctual, thorough and competent professional who puts attention to details and is hard working. “I have known Godfrey since 1990. He has a lot of experience, understands finances, leadership, and management and is a Godly man. I am confident that he will achieve great things than I have,” Asiimwe said of the new managing director of EABW. Asiimwe described the Isenged as a pas-

Tz closes car inspection sites BY PATRICK KISEMBO nDAR ES SALAAM, Tanzania----the National Institute of Transport (NIT) will soon close down all vehicle inspection centres abroad to enable the modern Vehicle Inspection Centre newly established centre at the institute to start operating effectively end of this month. The revelation was made last week by the NIT Rector, Prof. Zacharia Mganilwa when the Parliamentary Committee on Infrastructure visited the institute to see its operations. Prof Mganilwa said told the committee that they will check whether vehicles are roadworthy before they are used, to ensure safety of road users. “We are going to work closely with

our standard body, the Tanzania Bureau of Standards (TBS) in the inspection of all vehicles that are imported into the country,” he emphasized, adding that they were believing that roadworthiness checks was also important for environmental reasons and to ensure fair competition in the transport sector is maintained. “We will check whether vehicles are roadworthy before they are used, to ensure safety of road users,” NIT Rector Prof Mganilwa added. The move to allow NIT to start carrying inspection on imported vehicles is caused by failure of TBS to remit administration fees collected from the two vehicle inspection firms it entered agreement with. The failure was singled out as the main cause of the recent suspension of

two vehicles inspection firms that earlier inspected cars in Dubai and London before shipment to the country. For his part, the Deputy Minister for Transport, Deputy Minister Dr Charles Tizeba said the government was also planning to open more inspection centres in six zones in the country to easy access of services. He said that will help the government to reduce unnecessary costs. The modern Vehilce inspection centre has been funded by the World Bank and will carry various tasks including verifying whether fittings and fixtures required are present and serviceable. The checkups will include combustion efficiency, suspension, emissions, brakes, steering, electrical systems and assessment of general condition of the vehicles.

sionate and creative writer and editor who also pays a lot of attention to detail, a fast mover, efficient and good with IT. Isenged and Ivudria are director of EABW are both will be in charge of the editorial and managing of the EABW business respectively. The new managing director, Ivudria, congratulated Asiimwe upon his new appointment and thanked him for the job and leadership he rendered to EABW over the years. He vouched to ensure that there is individual productivity and team work which should be the core of the day to day running of the newspaper. He pledged to do his best to ensure that EABW rocks the East Afri-

nKAMPALA, Uganda--The government last week announced it has embarked on an expedition to decentralize its salary payment to civil servants on a pilot basis in 27 institutions that included ministries, parliament and agencies in January.The move takes the responsibility of paying government employee salaries from central government, the ministry of public service and ministry of finance, to local governments with the district Chief Administrative Officers (CAO) as the main custodians. Decentralization of government payroll will be rolled out to all government institutions starting with 36 votes for the month of February and the remaining institutions will be covered by end of June. In February the new policy will capture regional referral hospitals and the local governments of Bushenyi in Western Uganda and Wakiso in the central. Keith Muhakanizi the Permanent Secretary Ministry of Finance, Planning and Economic Development and Secretary to Treasury while making the announcement said that the process is being implemented well without any serious challenges. The decentralization of government payroll is aimed at eliminating ghost workers and delay of salaries, but Muhakanizi, elaborated that for the exercise to succeed there is need for a clean and transparent payroll.


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SPECIAL REPORTS East African Business Week I February 10-16, 2014

New customs system irks agents BY EMMA ONYANGO nKAMPALA, Uganda--Acting in a rather bizarre manner, Julius Okitwi, a clearing agent at Malaba border post in Eastern Uganda together with his seemingly intoxicated scruffy looking colleague proceed to the gate, close it off and threaten to burn trucks crossing into Uganda. Their grievances among other things, the effects of the Single Customs Territory that had effectively rendered them ‘jobless’ since ‘everything was now being done in Mombasa (Port of entry).’ “How can they say everything was done in Mombasa? How do they expect us to survive?” They wondered. Adding, “We shall not allow this…afadhali we burn these trucks and close the gates.” Sanity only prevailed after an official explained to the enraged agents that the system was only being piloted and that it would only be fully operational by July 2014. Once operational, the SCT is expected to speed up the movement of goods along the Northern Corridor to Rwanda and Uganda, and cut the cost of doing business in the three countries. Officials estimate that the SCT will help traders save approximately $45m annually. Under the SCT, the EAC member states will adopt a destination model of clearance of goods where assessment and collection of revenue is done at the first point of entry. It allows free circulation of goods in the single market with variations to accommodate goods exported from one partner state to another. Customs administrations at destination states retain control over assessment of taxes. EAC officials say this will crystallize the gains of integration characterized by minimal internal border controls and a more efficient institutional mechanism in clearing goods. A statement from the Uganda Revenue Authority (URA) obtained by the East African Business Week explains that phase one of the SCT which started with fuel importers is going on smoothly with two fuel dealers Vivo Energy Uganda Limited and Total Uganda. This has carried on since October 24th, 2013. “Effective January 15th, 2014, the system was opened to include other

BUSY: Before the Single Customs Territory system came into existence, clearing agents were the kingpins at the borders. COURTESY PHOTO fuel importers in the country. URA is in touch with her clients directly and each time there is a shipment, URA officers are in Kenya, Mombasa and Eldoret to handle Ugandan destined consignments. So far we have been able to handle the following volumes of fuel; Diesel 9,958,435 litres, Petrol 1.191,744 litres, Jet 1,125,107 litres,” reads the statement in part. According to the revenue body, plans are underway to expand the pilot to include containerized and bulk cargo. The time line from one phase to another will depend on the results/outcome of the earlier one. However, the clearing fraternity is still not sure where the arrangement leaves them as clients do not have to necessarily rely on them as was the

case in the past. Edeet Paul, an agent in Nakawa near Kampala intimated to this newspaper that the situation had become very unbearable especially since the launch of Asycuda World was launched. To add insult to an injury, the SCT has only compounded their misery as clients have now abandoned their services. “We are basically redundant…we have no work,” he summed it up. In an earlier interview with the East African Business Week, Kassim Omar, the National Chairman of the Uganda Clearing Industry and Forwarders’ Association said, “The SCT is in one way

We are basically redundant...... we have no work.

forward in the regional integration agenda. I know there will be some job losses here and there but change has to take place for the better.” An official from URA who preferred anonymity because they are not authorized to speak on behalf of the tax body said, “The main objective here is to ease the process of doing business for the business community. So if they are happy, then we have met our objective.” The Uganda tax body states that the SCT so far has succeeded in reducing clearance time; a consignment that previously took 18 days to reach Uganda from Mombasa now takes an average of one day as earlier envisaged, reduction in business costs as there is reduced clearance documentation, removal of numerous weighbridges that have ensured seamless flow of goods, systems interface (Asycuda World, Simba and KPA) which enables real time data execution.

Uganda tourism industry wants government to get behind them BY PAUL TENTENA

U

ganda tour operators have reiterated the need for government to increase its funding budget to tourism marketing to at least $5 million. The operators say the government has not yet prioritized the sector giving it little attention. The government and the World Bank recently signed a credit financing facility of $25 million to tourism, of which $12 million were allocated to the revamping of the Jinja Tourism Training Institute. About $3million was allotted to building capacity in the Uganda Tourism Board and the tourism ministry. However, the remaining $10million has not been assigned according to Tourism Minister Maria Mutagamba.

It’s this $10million balance what tour operators want the government to avail to tourism marketing this year. “Funding towards tourism marketing is still very low. Kenya provides $34 million to marketing, Tanzania ($12 million), Rwanda ($5 million), Burundi ($1.5 million) and Uganda- only $90,000. Even the new management at UTB will struggle with such kind of funding. The sector should be given minimum $5m if we’re serious with tourism as a business,” said Ms. Kelly McTavish Mungar the Managing Director Pearl of Africa Tours and Travel. “Uganda’s tourism industry has been confined. It’s given limited attention yet it’s a multi-billion generating sector,” added Mr. Cuthbert Baguma the immediate former Executive Director of the

Uganda Tourism Board, the official government tourism marketing agency. This was during a breakfast meeting in Kampala where the Uganda Investment Authority presented a study and findings of the constraints to fast tracking tourism development in Uganda. The study- Building Competitiveness in Tourism as a strategic intervention for attracting quality investment was carried out and presented by Rebecca Wamono of the Uganda Investment Authority. According to her findings, the lack of identity/brand at the international level, inadequate value addition of tourism products and services, the negative media publicity that discourages international travelers and tourists and the insufficient supporting infrastructure and utilities like roads, energy, and air travel

makes it difficult to attract high end international investors and joint ventures in tourism. She said the lack of a national carrier and the very few domestic carriers have affected marketing, flight numbers and visitors to Uganda. “The impact of the construction of the 180MW Isimba Hydro Power Project on water rafting on the Victoria Nile is huge as well as the lack of national mentorship programme for children and the general public about tourism and conservation,” Wamono noted in her findings. Tourism Minister Maria Mutagamba advised the different tourism associations to get united and always compile, and disseminate the right figures for proper planning. “Tourism is currently a disjointed sector. We need to build

competitiveness in the sector by always proving the correct tourism figures and statistics,” she advised the meeting. James Tumusiime, the Chairman of the Uganda Tourism Board, warned the grumbling different associations in tourism not to make his body a rival of other agency organizations “UTB is ready to fly with the new management. Invest in areas that empower Public Private Partnerships,” Tumusiime advised the private sector in tourism. Herbert Byaruhanga, the president of Uganda Tourism association said the government should create an enabling environment for local tourism investors to invest by allowing them tax waivers and holidays. EAC countries are also working towards a single destination marketing plan.


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FINANCE

East African Business Week I February 10- 16, 2014

Uganda gets new bank executive

BRIEFLY World Bank to spend billion on map nWASHINGTON - The World Bank wants to launch a $1 billion fund in July to map the mineral resources of Africa, using satellites and airborne surveys to fill geological gaps across the continent where a lack of adequate data hampers mining investments. The World Bank has committed $200 million to the five-year fund, and was meeting with mining companies and governments from sub-Saharan Africa who have expressed interest, a senior bank official told Reuters last week.

FirstRand considers Kenya move nJOHANNESBURG - FirstRand Limited South Africa’s second-biggest financial-services company, is considering expansion in Kenya as demand for banking services increases. “We’ve a representative office in Kenya and we’re doing an analysis to see if we want to be there,” Sizwe Nxasana, chief executive officer of FirstRand, said recently in a presentation in Johannesburg. He highlighted how much M-Pesa has made an impact and they were evaluating the options.

Consolidated Bank gets new CEO nNAIROBI - Consolidated Bank has appointed Geoffrey Ndambuki as the new chief executive, seven months after the post became vacant. Ndambuki will replace Ndegwa Wachira whose contract expired last June and he opted to retire after successfully steering the state owned bank back to profit making after years of losses. Ndambuki previously worked for the Cooperative Bank as the head of corporate banking and has held senior positions in various other banks in over two decades.

BY PAUL TENTENA

NETWORK: The ‘Switch’ promotion is intended to sign up new customers to enjoy Stanbic products.

Stanbic Tanzania set on increasing clients BY LEONARD MAGOMBA nDAR ES SALAAM, Tanzania --Stanbic Bank Tanzania, a member of Standard Bank Group has announced a special campaign aimed at increasing existing customers and grows its book. The six months campaign which aimed to convince the public and existing customers to open current account will also see one lucky winner drive away with a brand new Volkswagen Amarok Highline MT worth Tsh82 million ($50,665) in a draw that will be held in April. The campaign which dubbed as ‘Switch’ aimed to attract high net worth individuals, middle and young professionals, business owners, corporate and salaried employees, the bank’s Head of Personal and Business Banking, Paul Omara said. “We have launched this campaign in order to increase our current account customer base as well as to grow our balance sheet,” Omara

$37,000

Unsecured loan facility

$50,000

Value of car in promotion

$183 billion

Standard Group assets

told East African Business Week in Dar es Salaam last week during the launch. The campaign will also see the bank offers free banking until end of July this year. Other benefits according to Omara include having an opportunity for customer to access unsecured loans of up to Tsh60 million (about $37,072). The customer will also having a chance to access joint income for home loans and motor vehicle, home loans and life insurance at preferential pricing. Stanbic bank that provide full spectrum of financial services is a

personal and business banking unit which offers banking and financial services to individuals and small to medium enterprises. The bank’s unit serves the increasing need among Tanzania’s small business and individual customers for banking products that can meet their shifting expectations and growing wealth. Stanbic Tanzania is part of Standard bank Group which goes with a total assets of $183 billion at 31 December 2012. It’s market capitalization grow to $23 billion. Meanwhile, the government has urged members of business community to obey law or quit their businesses but there is no way which they can do to avoid using Electronic Fiscal Devices (EFDs). The business was recently brought to a standstill at Kariakoo in Dar es Salaam after traders closed their shops protesting against the use of EFDs. They argued that the gadgets are expensive and not convenient due to unreliable power.

n KAMPALA, Uganda-Edward Muwanga Barlow (pictured) has been appointed to a Senior Management role as Country Risk Manager, Standard Chartered Bank Uganda, effective immediately. This is a role he moves into with a wealth of experience having worked for Standard Chartered Bank for the past 25 years. Over the years, he worked in various management capacities serving as; Branch management roles, Finance & Administration, Business money laundering prevention, Head of Credit Operations, Head of Operational Risk, Head of CB Operations, Senior Operational Risk Officer among other roles. Barlow gradually rose through the ranks to become the Country Operational Risk Officer in May 2010, a role he held until this recent appointment. Through his leadership skills he has made tangible contributions towards building a firm Risk management culture and robust governance structures within the Bank. Barlow has also previously undertaken short term assignments in the Standard Chartered Bank subsidiaries in Kenya, Tanzania & Ghana within the Retail Banking division.

Nairobi chosen for remittances HQ BY PATRICK KISEMBO

COSMOPOLITAN: The city hosts many regional headquarters

nDAR ES SALAAM, TanzaniaThe African Union (AU) Executive Council has selected Kenya to host the African Institute for Remittances (AIR). A statement availed to East African Business Week from the World Bank, Dar es Salaam Office last week said that the Council asked the African Union Commission to conclude the Host Agreement with the Republic of Kenya in order to ensure the formal take-off of the Institute this year. The Council also asked the World Bank and other development partners to support the Institute which is sched-

uled to be fully operational by 2015. “I am delighted that the Executive Council has decided that the Republic of Kenya will host the AIR. The establishment of AIR, the first of its kind in the world, is a cornerstone in harnessing Diaspora resources for social and economic development in Africa,” said Dr. Mustapha Kaloko, Commissioner of Social Affairs of the African Union Commission. He also called upon development partners to continue supporting the Institute. Kenya is one of four member countries that had expressed interest in hosting the AIR secretariat. The decision to select Kenya was made during the 24th Ordinary Session

of the AU Executive Council which met between January 27 and 28, 2014 at the AU headquarters in Addis Ababa, Ethiopia. According to the statement, AIR project partners agreed to the need for sustained collaboration and coordination of efforts in support of the Institute to achieve the planned improvement in the market for remittances, and to leverage their impact on development in the continent. The partners are African Union Commission, World Bank, European Commission, African Development Bank, and the International Organization for Migration. The African Union Commission decided to set up an AIR in 2010.


6

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Tanzania rail plan depends on bosses

P

resident Jakaya Kikwete of Tanzania was among the many who turned up at Davos, Switzerland last month for the annual World Economic Forum. He had a chance to talk to Peter Clegg, the British Deputy Prime Minister and requested for UK government assistance in providing Tanzania with used locomotive engines and wagons. The request was valid, but British Railways no longer exists and most likely Clegg will have to talk to the private operators who currently run the railways in the UK. It was Lady Thatcher who set into motion the idea of auctioning off the various BR routes and ancillary services to the highest bidders. Tanzania wants to revive its rail services, which are presently in pretty bad shape. According to transport ministry officials, due to poor conditions of the tracks and ageing rolling stock and locomotives, tonnage freight volumes and passenger numbers have continued to fall every year. From 60% of port cargo in the 1970s and 1980s to just 7% today. The situation was made worse, after an attempt to privatise Tanzania Railways involving RITES of India floundered in bitter recriminations. The need to get the rails back on track is obvious. It has been repeatedly said that our expensively constructed roads cannot take the increasingly heavy traffic that moves all over the East African Community. It is now very costly to haul bulky goods on trailers over long distances. Hence the renewed interest in railways. Kenya is in the final stages of getting the Chinese to build a new standard gauge line, which eventually will reach Kigali in Rwanda. Obviously, Tanzania does not want to left behind. A well managed and rehabilitated Central line can compete favourably with the Northern Corridor logistics. In December last year, the government signed a deal with Canada’s Commercial Corporation to help Tanzania improve its railway system performance. The government has made it quite clear, it wants the national rail network to once dominate overland transport. However, no matter if the rail tracks are repaired or replaced and new locomotives and goods wagons or flatbeds brought in, what will determine a successful recovery of the Tanzania network is simply good management. This where the Canadians come in and their relevant expertise. Although they too have experienced some decline in standards, the Canadians are reckoned to run their railways pretty well. Good management is the cornerstone of reviving Tanzanian Railways. Once you have the right bosses in place and who know what they doing, things will generally work out right. It will not matter if you have the best locomotives and rolling stock. Without qualified management things will unravel very fast. Initial costs of railways are very high and the other handicap about railways, is that they are not sexy. Since the general public has for the most part turned away from railways due to long years of under investment and deteriorating services, having the right mangement will prove to be extremely important.The British example has shown that the private sector is not always better when the service is a monoploy. While public sector management can get complacent. Private managers can also become brutual in cutting away what they perceive to be waste. Hence choosing the right bosses is indeed important for the Tanzanian authorities to consider.

EDITORIAL

East African Business Week I February 10- 16, 2014

Turning waste into cash

BY WINNIE MANDELA

nKAMPALA, Uganda-Almost everything we throw away can be used again or repurposed. It’s all about believing that waste can become wealth and understanding its importance. Many entrepreneurs today have realized that waste is one of the sources they can use to make money. therefore are tapping more into this profit making business. More and more companies are making wealth from waste and, in the process, saving the environment from devastation. As much as they may seem to use it as a venture to create income, they are as well saving the environment from all kinds of waste that used to litter around various places in Kampala thus causing pollution and sicknesses. In Uganda, the villages that sit on mountainous areas such as Elgon are prone to landslides, because of the destruction of the ecological systems that used to shelter the landscape. Turning waste management and recycling into a business has seen the country gain an opportunity in which the unpleasant and toxic landfills, which had dangerous side-effects for people’s health are eliminated at a profit. According to Edward Bagainne a social worker with Living Earth Uganda one of the NGO’s that deals with waste management, there is no better way of dealing with the growing waste problem in the city that is prone due to lack of space for waste BAG IT: Across the region young man have taken up collecting plastic items. disposal. waste is also no solution since people what happens after consumption. He said, “While the Uganda government who live in areas of high air pollution The amount of plastic litter has been tries to woo more investors in a bid to inhave a 20% increased chance of lung increasing by 10% every year for the crease the country’s revenue, there is a lot cancer. past 20 years. Plastic filters harmful of waste in our backyard that is underminSimon Mutabazi a business person chemicals into the soils we farm on ing the economy.” in Katwe, the centre of Kampala’s artiand yet litter and chemicals poisons Bagaine believes that by reducing waste sans, said many people in the suburbs valuable drinking water. Over 1 billion or turning it into wealth, Uganda will be decided to recycle the use of used people lack access to safe drinking riding on the road towards productivity bottle by using them for construction water and environmental sustainability. To him, of houses which according to him are Bagaine adds that burning excess overcoming such waste is part of what strong enough. policy-makers should be thinking about. By feeling them with sand, he is National Environment Management able to erect houses of different sizes Authority (NEMA) introduced the 3R’s thus enabling him to save and at the (Reducing, Re-using and Recycling) in a same time protect the environment bid to curb the too much waste for a better from pollution. With waste becoming environment. a worsening problem in his local area, The consumption patterns by many Mutabazi created a business plan in Ugandans needs rethinking since many which he would manage waste and also people in most cases only mind about the ensure public health. production process and don’t want to know

The 3R’s are reducing, re-using and recycling

Uganda gets $100m for job creation BY PAUL TENTENA

nKAMPALA, Uganda -The World Bank last week signed a credit facility financing agreement worth $100 million with Uganda that is expected to create over 70,000 job opportunities. According Moustapha Ndiaye the World Bank Uganda Country Manager, the loan facility, which will be given through a project, Private Sector Competitiveness and Enterprise Development Project (CEDP) is also aimed

at improving the competitiveness of business enterprises in Uganda by supporting the development of productive and service sectors. It will also support competitiveness in land administration reforms, business registration and tourism. “Uganda has considerable potential to achieve higher growth and create new jobs, but faces serious constraints of access to land, licensing procedures and construction permits, which significantly increase the cost of doing business,” Ndiaye said at the

signing ceremony in Kampala. He said over the next five years, the project will directly benefit over one million people by facilitating the creation of over 70,000 jobs in the tourism sector and enabling Uganda to increase the value of non-traditional exports. “It will also create initiatives for tourism development and a matching grant facility for micro, small and medium enterprises to procure business development services that will benefit

entrepreneurs in priority subsectors,” said Ndiaye. Ndiaye said while there is increased investment in infrastructure that is key to private sector development, it is equally important to improve the business environment for the private sector to thrive. Uganda’s finance minister, Maria Kiwanuka waccessible online.“Land administration reform has the potential to transform Uganda’s economy by easing the presently cumbersome land policies and weak land tenure which frustrate investors.”


7

LETTERS & PERSPECTIVE East African Business Week I February 10- 16, 2014

Support for Rwanda SMEs great for GDP

PERSPECTIVE

Image of the week

ECOWAS beats EAC

Editor, Your recent report that the European Investment Bank through the I & M Bank in Kigali will be lending Rwandan SME owners $10 million, once again confirms the obvious. It is small businesses that knit the national economies together. My only complaint is why this financial assistance was generally not given to African countries decades ago. Small businesses present new employment opportunities and serve as the building blocks of the larger companies. Secondly, youo cannot talk about promoting self-employment without referring to SMEs. It is only recently that regional governments have come to this realisation, but which is well known in the most industrialised countries in the world.

RAIL REPAIRS TO QUICKEN: A ballast tamping machine that Rift Valley Railways (RVR) will use to automate railway track maintenance being offloaded at the Mombasa port last month. The one million US dollar tamping and ballast packing machines can restore a kilometre of track an hour, 20 times the speed of manual crews and will result in improved track stability and lifting of speed restrictions.

Augustine Mugenzi Gatuna, Rwanda

EAC Secretariat budget has to be reviewed upwards Editor, In my opinion, the only way we are going to show genuine support for the East African Community then we must increase the Secretariat’s budget. Presently, we are mostly relying on the generosity of the Development Partners, which is risky. Irrespective of the fact that they are behind us as we integrate, supposing for any reason they pull out enmasse? The Secretariat is the nerve centre of the EAC. Such an event could be cata-

strophic. That is why I hope the regional leaders will soon look into holding a special summit to discuss the Secretariat budget. The $130 million currently budgeted to run the Secretariat this financial year is relatively little compared to the increasing responsibilities involved in pushing the EAC forward. Recently news reports rvealed a supplementary budget had been passed. Directing that a portion of the import taxes go towards running Secretariat operations is a good idea. But these should

be mainly import duties on products from outside the Community and need not hamper intra-regional trade. As of now, the core budget of the EAC’s Secretariat is funded by equal contributions from the Partner States. But it would be better that contributions to the Secretariat budget should be proportional to annual GDP of a member country. In other words, lets have it that every country contributes 1%. Simon Masembe Makerere, Uganda

Let bureaucrats please not mess up ID project again! Editor, I must comment over reports that Ugandans will soon have national IDs. This is great news, but not the first time that Ugandans have had their hopes lifted then dashed by incompetence for a better word. However bearing in mind that IDs will take on a far greater importance as a regional document then it is safe to assume the government cannot afford to fail us again. On the other hand, considering the huge amounts of money involved, one cannot be completely assured, unscrupulous people

will not take advantage of the situation and hoodwink us. My suggestion to the government is place every oversight body onthe process, right from procurement of materials so that the billions earmarked do not go to waste. The IDs will be a very big help in business. It will boost the government’s image if they get it right. Ugandans are tired of seeing their taxes swindled by people with no conscience! Mabel Nasunna Kampala, Uganda

Tanzania move on second hand underwear may fail Editor, I have a bad feeling that the well intentioned move by the Tanzania Bureau of Standards to ban secondhand inner wear my fail. They say supply will always rise to meet the demand, and

there is an obvious demand for these items. Embarrassment or shame does not arise, because many people now resort to buying these articles after dark or inviting hawkers indoors. Authorities can talk forever about the health risks associ-

The views expressed on this page are not the views held by the anagement of East African Business week

ated with buying secondhand underwear, but that does not compare with the attraction of cheapness and quality. That explains why the traders keep importing the stuff. And why an earlier notice banning this business two years ago was ignored.

n Write your letters to The Editor East African Business Week, P.O.Box 71771 Kampala Uganda

n Telephone +256 41 4531345/7 or +256 312 275141 n Fax +256414531346

There is high demand and plenty of profit for the traders. As long as local production does not give us these items at reasonable price and quality, secondhand will always win. James Tambu Dodoma, Tanzania

nBRUSSELS, Belgium--The European Commission is poised to conclude its biggest trade deal in Africa since it began negotiating a new generation of trade agreements a decade ago African sources have confirmed that technical talks in late January resulted in agreement between the Commission and the 16-country Economic Community of West African States (ECOWAS) on an economic partnership agreement (EPA) that covers not only trade in goods, but also in services, investment, enforcement and trade-related aid. Critically, the agreement would include the region’s largest economy, Nigeria. A deal still needs to be formalised by the two sides’ chief negotiators. A meeting between the two has yet to be set, but the aim is to have agreement before a summit of west African leaders in late February. Karel De Gucht, the European trade commissioner, has set himself the target of concluding two or three EPAs by the time African leaders arrive in early April for a summit with the EU. However, De Gucht’s ambition suffered a blow last week when the East African Community (EAC) said that talks in Brussels had failed to resolve two issues. The setback means that De Gucht’s hopes for a swift deal will rest on the next meeting of east African ministers in March. The delay also raises the prospect of some disruption to trade, because the EU has set a deadline of October 1st for the deals to be agreed. Formalities, including translation work, would take months. In October, the EU’s trade relations with African countries that have not agreed EPAs with the EU will be based on bilateral terms, under the EU’s reformed generalised system of preferences. In EAfrica, this could have a particular impact on Kenya, whose flower producers would suffer reduced access to the European market. The politically divisive effect that the EPAs have had in Africa has contributed to the desire to strike agreements before the summit, with fears among European officials and diplomats that festering disputes could disrupt a summit intended for strategic debate rather than bargaining. The EU had originally hoped to settle EPAs with all African trading blocs by 2008 and had assumed that negotiations with the EU would encourage regional integration within Africa. However, in the absence of regional agreements, individual African countries have struck bilateral EPAs with the EU, though only four have signed a full EPA. Sanoussi Bilal of the European Centre for Development Policy Management, a think-tank, said that regional integration was an important consideration in Nigeria’s more recent active engagement in trade talks with the EU and in west Africa. Failure by West Africa to agree an regional EPA with the EU could cause difficulties for ECOWAS in October, as two of its members – Ivory Coast and Ghana – would have had to choose between abandoning partial EPAs struck with the EU or breaking step with the rest of the Ecowas bloc.

Talks with the EAC broke down over two issues

European Voice

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8

TRANSPORT

East African Business Week I February 10 - 16, 2014

Tanzania motorists pay more for fuel

BRIEFLY Fastjet report success with Zamibia flight nDAR ES SALAAM-- Low cost airline, Fastjet has confirmed that its first flight between Dar es Salaam in Tanzania and Lusaka in Zambia was successfully completed at the beginning of February. This marks the launch of the low-cost airline’s second international route in Africa. Sales have been exceedingly strong since the launch of this route in early January, and the first flight from Lusaka was full. Fastjet is based at Julius Nyerere International Airport.

Kenya Airways plan route expansion nNAIROBI -- Delivery of new Boeing Dreamliners, the opening of a new terminal could herald, Kenya’s first direct flights to the United States. Titus Naikuni, the CEO of Kenya Airways (KQ) is predicting an exciting couple of years for African air travel. Management is looking forward to an April delivery of the first of the company’s six Boeing 787 Dreamliners being shipped this year. Kenya Airways-owned low-cost carrier, Jambo Jet, is also set to begin flights early this year.

Ethiopian Airlines in talks for aircraft ADDIS ABABA -- Ethiopian Airlines is in preliminary talks with Boeing that could lead to an order for 10 of the American’ planemaker’s latest model, the 777X, the airline’s chief executive said. “When the 777X comes, as soon as we can get the (production) slots we will be there,” Tewolde Gebremariam told Reuters in a telephone interview. “We are discussing with Boeing for about 10 777X,” he added - a deal potentially worth $3.8 billion at list prices. The comments represent a strengthening of Ethiopian’s interest in the 406seat jet.

BY PATRICK KISEMBO

GLORY DAYS: At its peak, Uganda Airlines had scheduled flights to London, but later scaled back routes.

Bid to revive Uganda Airlines faces hurdles BY PAUL TENTENA nKAMPALA, Uganda--A suggestion to revive the national carrier, Uganda Airlines (UQ), is facing stiff resistance according to Maria Mutagamba the tourism and antiquities minister. Mutagamba told a breakfast meeting of tourism stakeholders last week, officials from the Ministry of Finance and some Cabinet ministers are opposed to the rejuvenation of the airline. “One time, I was asked a question while agitating for the revival. Are there any tourists who are stranded, because there is no national carrier? I failed to answer that question,” Mutagamba said. Mutagamba was responding to a Uganda Investment Authority finding that the lack of a national carrier and the few domestic carriers is affecting tourism marketing, flight numbers and visitors to Uganda. Mid last year, the government

6,000,000

Traffic at Entebbe by 2033

1.9 million

Current passenger traffic

2001

Airline liquidated

was carrying out consultations on reviving Uganda Airlines which was liquidated in 2001. The main reason for its liquidation was the high running costs and a relatively huge debt burden the government could not service quick enough. The State Minister for Transport, Stephen Chebrot, had told a consultative meeting on its revival last year that a Cabinet paper was developed for further consultation with different interested parties to pave a way forward for the return of Uganda’s national carrier. Chebrot said then “We developed a Cabinet paper consulting with other friends in Cabinet for their support towards the revival. It also has a design of what we think the new airline will

look like.” However, according to Mutagamba, the Cabinet consultations are seemingly not yielding any tangible results. Uganda Airlines, under the Uganda Airlines Corporation, was the flag carrier of Uganda. It was established in 1977 amidst strained relations between Kenya, Tanzania and Uganda that made up the former East African Airways. The late Idi Amin made sure the airline got off the ground with Entebbe Airport as its hub. Chebrot said then the revival was not to solely be based on profit maximization, but also as an infrastructure to support air travel. Uganda has had a sharp increase in the number of passengers transiting at Entebbe International Airport. The numbers are projected to hit 1.9 million passengers by the end of this year. By 2033, the numbers could reach 6 million.

n DAR ES SALAAM, Tanzania--The country’s Energy and Water watchdog, EWURA, last week announced new indicative prices for fuel increasing slightly. The fuel prices of various petroleum products has risen due to changes of prices in the world market. EWURA’s acting Director General, Mutaekulwa Mutegeki announced in Dar es Salaam the price change came into effect last week. He said the country has been forced to increase fuel prices due to rise in price of the products in the world market and the depreciation of the Tanzania shilling. The Authority announced that retail prices for petrol , diesel and kerosene has increased by Tsh 19 ($0.01178) per litre equivalent to 0.88%; Tsh. 25 ($0.0155) per litre equivalent to 1.18% and Tsh 18.8 ($o.o11656) per litre equivalent to 0.93% respectively. The new retail prices for petrol for Dar es Salaam, according to Mr. Mutegeki stand at Tsh 2,145 ($1.3299) per litre for Dar es Salaam. The increase is equivalent to 0.88% where diesel price has gone up by Tsh 25 ($0.0155) per litre to Tsh 2,114 ($1.31068)/- for Dar es Salaam. The price for kerosene now stands at Tsh. 2,069 ($1.2828) per litre Wholesale prices for petrol, diesel and kerosene have increased by Tsh .80 ($0.011656) per litre which is 0.98%, Tsh 24.37 ($0.01511) per litre or 1.23% and Tsh 19.92 ($0.0123504)per litre or 1.02 % respectively. Like the rest of the EAC, Tanzania imports most of its fuel.

Kenya beefs up airport security BY HUMPHREY LILOBA nNAIROBI, Kenya--Kenya has moved to tighten security at its airports in the wake of rising cases of terrorism activity targeting such high density facilities. Recently, there was an explosion at the Jomo Kenyatta International Airport (JKIA), which although did not cause any harm, left travelers in a panic. This has prompted the government security agencies to intervene. The explosion comes months after a fire razed a section of East Africa’s busiest airport seriously disrupting both local and international travel.

The Kenya Airports Authority (KAA) has deployed more officers at JKIA to help with the increased vehicle screening which has caused long queues at all entry points. However, KAA managing director, Lucy Mbugua said they are also widening entry lanes into the airport to clear more cars simultaneously. “This will refine the current security screening process and considerably shorten vehicle-waiting time that is currently about an hour,” she said. All vehicles are now undergoing screening at the entry to the airport, leading to delays of up to one hour. The authorities have advised travel-

ers to go to the airport an hour ahead of the normal check-in times. At the same time, Mbugua has said that extra screening equipment are being delivered to the National Police Service and other security agencies at the JKIA entrances. “We would like to assure travelers and other airport users that that the security processing time on entry to JKIA will reduce as the process is refined,” she said in a statement. These new security measures are being replicated in all airports across the country. According to official sources, the fire at JKIA in August 2013 was caused by an electrical fault.

GOOD OLD DAYS: Before the August fire destroyed this block.


9

TENDERS

East African Business Week I Febrauary 10 - 16 , 2014 MINISTRY OF ENERGY AND MINERAL DEVELOPMENT RURAL ELECTRIFICATION AGENCY

Titre du Marché: LOUER LES SERVICES DE MEDIA LOCAUX, REGIONAUX ET CONTINENTAUX POUR UNE PERIODE D’UNE ANNEE Numéro de Référence du Marché:1792/S/ICB/PR/RDB/GoR/14 1. RDB (ci-après dénommé ‘’Client”) sous le financement du Gouvernement Rwandais pour financer LOUER LES SERVICES DE MEDIA LOCAUX, REGIONAUX ET CONTINENTAUX POUR UNE PERIODE D’UNE ANNEE; le Client a l’intention d’utiliser une partie de ce financement pour effectuer des paiements au titre du Marché LOUER LES SERVICES DE MEDIA LOCAUX, REGIONAUX ET CONTINENTAUX POUR UNE PERIODE D’UNE ANNEE pour lequel cet Avis d’Appel d’Offres est publié. 2. RDB sollicite des offres de la part des soumissionnaires éligibles et répondant aux qualifications requises pour fournir les medias remplissant les spécifications exigées. 3. Les Dossiers d’Appel d’Offres peuvent être obtenus gratuitement pendant les jours ouvrables au Bureau de Passation des Marchés situé au 4ième Etage ; dans le bâtiment RDB à partir du 17/02/2014 4. Le marché est composé de 5 lots pour les media locaux et 4 lots pour les media régionaux et en dehors de la Communauté Est africaine. Les soumissionnaires potentiels peuvent soumissionner pour tous les quatre lots et en être attribué. 5. Les offres doivent comprendre une garantie pour un montant de 300 000 (Trois cent mille) pour chaque lot en monnaie nationale (Rwf), ou un montant équivalent dans une monnaie librement convertible

6. Toute demande d’information relative au présent appel d’offres doit être adressée à : Chief Financial Officer A l’attention: Bureau de Passation des Marchés RWANDA DEVELOPMENT BOARD 4th Floor, RDB Building NYARUTARAMA Road B.P. 6239, KIGALI, RWANDA E-mail: procurement@rdb.rw 7. Les offres bien dactylographiées, doivent être remises sous plis scellés et présentés en 4 copies dont un original à l’adresse mentionnée ci-dessus au plus tard le 03/04/2014 à 15 heures précises, heure locale. Les offres remises en retard seront rejetées. 8. L’ouverture des offres aura lieu le même jour en présence des soumissionnaires ou de leurs représentants souhaitant y assister au bureau de passation des Marchés situé au 4ième Etage à 15 heures 30 minutes précise, heure locale. 9. Le titre du marché doit être clairement mentionné sur l’enveloppe extérieure. 10.L’appel d’offres sera régi par la Loi N0 05/2013 du 13/02/2013 modifiant et complétant la loi N0 12/2007 du 27/03/2007 relative aux Marchés Publics. Fait à Kigali, le 3/Février/ 2014 Mark NKURUNZIZA Chief Financial Officer

TITLE OF THE TENDER: HIRING OF LOCAL, REGIONAL AND CONTINENTAL MEDIA SERVICES FOR A PERIOD OF ONE YEAR TENDER NUMBER: 1792/G/ICB/PR/RDB/GoR/14 1. RDB (hereinafter called ‘’Client”) funded by the Government of Rwanda towards the cost of HIRING OF LOCAL, REGIONAL AND CONTINENTAL MEDIA SERVICES FOR A PERIOD OF ONE YEAR. The Client intends to apply a portion of the funds to eligible payments under the contract for which this Bidding Document is issued. 2. RDB invites qualified bidders to submit bids for HIRING OF LOCAL, REGIONAL AND CONTINENTAL MEDIA SERVICES FOR A PERIOD OF ONE YEAR as indicated in detail in the statement of requirements. 3. Tender Documents in both French and English may be obtained free of charge on any working day in the Procurement Office located 4th Floor, RDB Building from 17/02/2014. 4. The tender is composed of 5 lots for local media houses and 4 lots for regional & beyond EAC. Prospective bidders can bid and be awarded all those four lots. 5. All bids shall be accompanied by a Bid Security of 300 000 Rwf for each lot or the equivalent in a freely convertible currency. 6. Enquiries regarding this tender may be addressed to: The Chief Financial Officer

Attn: Procurement Office RWANDA DEVELOPMENT BOARD 4th Floor, RDB Building NYARUTARAMA Road B.P. 6239, KIGALI, RWANDA E-mail: procurement@rdb.rw 7. Well printed bids, properly bound and presented in four copies one of which is the original must be submitted at the address mentioned above not later than 03/04/2014 at 3:00 pm, local time or 1:00 pm GMT. Late bids will be rejected. 8. Bids will be opened the same day in the presence of bidders or their representatives who choose to attend at RDB Procurement Office, 4th Floor, RDB Building on 03/04/2014 at 3:30 pm, local time or 1:30 pm GMT. 9. The Outer envelope should clearly indicate the tender name and title 10.Bidding will be conducted in accordance with the Law N° 05/2013 of 13/02/2013 modifying and completing the law N° 12/2007 of 27/03/2007 on Public Procurement Done at Kigali, on 3rd February, 2014 Mark NKURUNZIZA Chief Financial Officer

BID NOTICE UNDER OPEN DOMESTIC BIDDING

RURAL ELECTRIFICATION AGENCY Consultancy Services for the Design and Construction Supervision of REA Headquarters Procurement Reference Number: REA/SRVCS/13-14/00127 1. The Rural Electrification Agency (REA) of the Ministry of Energy and Mineral Development has allocated funds to be used for the acquisition of Consultancy Services for the Design and Construction Supervision of REA Headquarters. 2. The Rural Electrification Agency (REA) of the Ministry of Energy and Mineral Development invites sealed bids from eligible bidders for the provision of Consultancy Services for the Design and Construction Supervision of REA Headquarters. 3. Bidding will be conducted in accordance with the Open Domestic Bidding procedures contained in the Government of Uganda’s Public Procurement and Disposal of Public Assets Act, 2003, and is open to all bidders from eligible source countries. 4. Interested eligible bidders may obtain further information from REA Offices and inspect the bidding documents at the address given below in 8(a) from 9:00 a.m. to 4:00 p.m. (local time), Monday to Friday. 5. The Employer shall hold a pre-bid meeting for all bidders. The pre-bid meeting shall be held at 10:00 a.m. (local time) on Wednesday February 19, 2014 at the address below in 8 (a). Bidders are encouraged to attend. 6. A complete set of Bidding Documents in English may be purchased by interested bidders on the submission of a Written Application to the address below in 8(b) and upon payment of a non-refundable fee of UGX 200,000 (Uganda Shillings Two Hundred Thousand) only. The method of payment will be by cash to the REA cash office and an official receipt issued. 7. Bids must be delivered to the address below in 8(c) at or before 11:00 a.m. (local time) on Friday March 7, 2014. All bids must be accompanied by a bid security in form of Unconditional Bank Guarantee of UGX 7,000,000 (Uganda

Shillings Seven Million) only. Late bids shall be rejected. Bids will be opened in the presence of the bidders’ representatives who choose to attend at the address below at 8(d) at 11:15 a.m. (local time) on Friday March 7, 2014.

8. (a) Address documents may be inspected at: Rural Electrification Agency Procurement & Disposal Unit Plot 10 Windsor Loop, Kololo 2nd Floor House of Hope (b)Address documents will be issued from: [as in 8 (a) above] (c)Address Bids must be delivered to: [as in 8 (a) above] (d)Address of Bid Opening: Rural Electrification Agency, Boardroom 9. The planned procurement schedule (subject to changes) is as follows:Publish Bid Notice

January 30, 2014

Bid Closing Date

March 7, 2014

Evaluation Process

Within 14 Working Days from bid closing date

Display and Communication of Best Evaluated Bidder Notice

Within 5 Working Days from Contracts Committee approval of the evaluation report

Contract Award and Signature

After expiry of the Best Evaluated Bidder Notice and SG’s approval

The Rural Electrification Agency (REA) is not bound to accept any bid. EXECUTIVE DIRECTOR

Addendum to the International Tender notice N0 051/S/2013 - 2014/RSSB/OB published in INVAHO NSHYA No 2893 of 25th December 2013 (page 19) and our website www.rssb.rw

TITLE: Consultancy Service to conduct technology system audit of Rwanda Social Security

The Rwanda Social Security Board (RSSB) hereby informs all the potential bidders for the International Tender N0 051/S/2013 - 2014/ RSSB/OB that the opening date for “Consultancy Service to conduct technology system audit of Rwanda Social Security” have changed.

been changed from 18th February 2014 to 27th March 2014 at 2:00, the tender opening will take place at 2:30pm the same day at RSSB meeting room 10th Floor.

The Rwanda Social Security Board (RSSB) is pleased to inform all potential bidders that the tender document in English may be obtained from RSSB Headquarters starting from 11th February 2014 on any working day from 7.00am to 17:00 at the office of procurement Officers, 7th floor.

Done at Kigali, on 05/ 02 / 2014

You don’t have to purchase the tender document in case you already did; the terms of reference are still the same.

The deadline for bids submission has Plot 103 Ubumwe Cell, African Union Boulevard, • Kiyovu, Nyarugenge • P.O Box 250/6655, Kigali Tel: +598400 Fax:+250 584445 • E-mail: info@rssb.rw • web: www.rssb.rw


10

NEWS

East African Business Week I February 10 - 16, 2014

Teething problems for Single Customs nThe tripartite Single Customs Territory came into force this month together with other East African Community projects like use of National Identification Cards to cross borders and the single tourist visa. However, according to Gerald Mukubu, head of advocacy at the Private Sector Federation, there are still a number of technical glitches affecting both the Rwandan and Ugandan clearing agents at the Mombasa port. East African Business Week caught up with him and below are the excerpts from the interview. Question: What are some of the challenges being faced in implementing the Single Customs Territory along the northern corridor? Answer: It has been a very crucial period for our freight forwarders whereby the three heads of state of Kenya, Uganda and Rwanda agreed to have all Non-Tariff Barriers eliminated. However, the clearing agents have been facing some small technical challenges which has led to them having delays and cash flow problems. In fact, there have been delays in getting port clearance passes for the Rwandan clearing agents from the Kenya Ports Authority which means that very few have opened offices at the port but after the meeting we had with them last week, the authorities said they would look into the matter and very soon the agents would be ready to start since they all fulfilled the requirements. That aside, there is a Rwandan clearing agent there I know who has also been experiencing challenges of paying container deposits of $2,500 per container to the shipping lines, container cleaning charges of $80 and transit charges which are just too much for him. He paid $20,000 in container deposits in November last year and up to last week when he was refunded, he had cash flow problems.

As for the transit charge, the agents were complaining why they have to pay for it as we are in a single territory. At the end of the day, the agent loses out when being refunded as the charges are first deducted and the balance refunded in Kenya shillings which also makes them lose out on foreign exchange. Why do the shipping lines charge the high container deposit and is it only charged it to Rwandan and Ugandan freight forwarders? The container charges are there, because some importers sometimes don’t bring back the containers or bring them when they are very dirty. The charges were there even before the implementation of the Single Customs Territory and the clearing agents normally pass the fee onto the importers. The Kenyan agents also pay the fees, but those who don’t pay were found to own some of the shipping lines and at the same time are clearing agents. However, according to the European Union regulation, one is not allowed to be a shipper at the same time a clearing agent which has made others not to pay the charges on amicable grounds since they have worked together for a long time and know each other. So what needs to be done to solve these challenges? We sent a delegation to Mombasa of clearing agents to Mombasa to join their Ugandan and Burundian counter-parts last week and they met the Kenya Ports Authority officials and some of the shipping lines. The agreement was that there should be harmonization of the practices so that the agents can all compete favorably. However, the shipping lines said reduction of the container deposits will take some time. The forums with the various stakeholders

Rwandan border to Uganda at Gatuna. (INSET) Gerald Mukubu head of advocacy at the Private Sector Federation. are going to continue where we shall discuss more on how to remove these barriers. In spite of the challenges, what are the benefits that importers have got from the project? The reaction from the traders has been positive, because the weighbridges and the number of stops have been reduced. I am sure we are seeing an increase in trade volumes and revenue along the northern corridor. When do you think the Single Customs Territory will be fully implemented?

Since this is a good initiative for us, we are looking at also engaging Burundi and Tanzania more since they have been complaining of exclusion from the agreements. It’s not only supposed to be implemented along the northern corridor but also along the central corridor but the two countries have been very slow in coming for the discussions thus the exclusion. Once every country in the East African Community is on board, we will be able to talk about the fully fledged Single Customs Territory.

Tanzania opens counterfeit offices BY JAMILAH KHAJI

nDAR ES SALAAM, Tanzania – In a bid to crackdown counterfeit all over the country, Tanzania Bureau of Standard (TBS) has decided to open zonal offices so as to easy its countrywide operation. “If the budget allows, we are expecting to open zonal offices in Mwanza and Arusha so as to easy our operation aimed at curbing counterfeits and substandard goods,” the TBS’s Information Officer, Ms Royda Andusamile said. She added that the idea has come up due

to the increase of fake items in the Tanzania market which is negatively affecting local people especially middle and low class who are the big consumers of these goods. “We want to reach more people who, want to access our services, they will not have to travel from their regions all the way to Dar es Salaam, she said, adding that everything will be done in the nearby offices.” According to her, they are also planning to open other offices in the borders of Tunduma in Mbeya, Kasumulo and Mtuikula in Kagera region. “Most of our borders do not have offices and this has been creating room for dishonest traders to cross easily and enter into market

their illegal items,” she noted. She noted TBS aimed to ensure that substandard products are not crossing Tanzanian boarders and enter into local market. TBS has also announced a plan to make sure that all imported goods bears Tanzania standards. She said all goods that have been imported for the Tanzanian market have to be marked by TBS before they enter into the market. “We are in the final process to ensure that all the imported goods bears an import standardization mark from TBS regardless the standard mark from the country of its origin,” she insisted.

Tanzania has been reported to be a dumping area of the counterfeit items such mobile phones, second hand clothes, shoes, home utensils and sometime food commodities. She added, this has been creating confusion and fear among consumers, host traders and local producers. The standard board was established as part of the government efforts to strength war against sub standard and counterfeits products into the Tanzanian local market. TBS is mandated to undertake measures for quality control of products of all description and promote standardization in the industry and commerce.


11

TENDERS

East African Business Week I February 10 - 16, 2014

Households dominate loans BY EMMA ONYANGO nKAMPALA, UGANDA – Although consumer loans are growing at an average of 38%, overall credit extension to the private sector by the banking system has continued to be subdued , as reflected by its twelvemonth growth rate of 6.3% as of December 2013, Bank of Uganda has said. Credit extension to households rose at a fast rate of 38% in contrast to a decline of 13% at the corresponding time in 2012. On the other hand, the subdued credit extension to the private sector has been attributed to the continued low credit extension to the major sectors like manufacturing and construction. According to Dr. Adam Mugume, the Executive Director Research at Bank of Uganda, the subdued credit extension to these sectors could be as a result of the high percentage of NonPerforming Loans (NPLs) in the sector. Speaking to journalists at a press briefing to announce the February Monetary Policy in Kampala last week, Dr. Louis Kasekende, the Deputy Governor Bank of Uganda said that buoyant credit to households is expected to support economic growth going forward and that the GDP growth for the FY2013/14 is projected at between 6 – 6.5%. “Domestic household demand is slowly gaining traction and is expected to continue rising. In addition, the improving global economic environment and the increased fiscal stimulus, including public investment on infrastructure will be growth supporting,” he said. He however noted that the Central Bank was very concerned about the levels of growth in Private Sector credit given that they are still below the Policy Support Instrument (PSI) target. “Finally we can see some light at the end of the tunnel but we are not yet at the levels of the PSI target.” The IMF’s framework for PSIs is designed

for low-income countries that may not need, or want, IMF financial assistance, but still seek IMF advice, monitoring and endorsement of their policies. Muhammed Ssempijjja, a Tax partner with Ernst and Young said that despite the availability of credit, the high lending rates make it too expensive and unaffordable to the private sector. “The macroeconomic policies that BoU is undertaking are commendable but they have a downside effect. If you are controlling liquidity by increasing interest rates, then it also makes credit costly. At 19% the cost is too huge… that is why even if the credit is there, it is not affordable.” He also argued that current indicators show that the economy has not yet fully bounced significantly from the effects of FY2011/12. “What we are reading out there is that the economy is not really doing very well. It could be doing better than 2012 but the U-Turn is yet significant enough to make anybody excited,” he noted. To back his argument further, Ssempijja refers to the half year results released by Uganda Revenue Authority (URA) towards the close of last week that showed that there was a Ush161.19b shortfall in corporation tax. “This means that local entities are not really making profits,” he explained. The revenue performance report from URA shows that the banking sector was affected by a reduction in the industry loan book and the interest earned which translates into taxable income. “The reduction was due to less demand for new loans and higher default rates on existing ones,” reads the report in part. Allen Kagina, the Commissioner General URA while releasing the revenue performance at the Customs Business Center in Kampala noted that many companies that were previously posting profits declared smaller profits or losses citing a slowdown in the economy.

SHOPPING: Uganda said that buoyant credit to households is expected to support economic growth going forward and that the GDP growth for the FY2013/14 is projected at between 6 – 6.5%. Photo by Emma Onyango

“325 companies that posted profits in the FY2011/12 registered losses in FY2012/13 which had an impact on corporation tax performance over the first half of the FY2013/14,” she explained. However, despite all these, Bank of Uganda maintains that the economic outlook of the country is brighter and that the balance of risks remained virtually unchanged from the January 2014 Monetary Policy Statement. “Therefore, the Bank of Uganda will maintain the Central Bank Rate at 11.5% in February 2014,” BoU Deputy Governor announced last week. “The Bank of Uganda keeps its bank rate on hold, in line with our expectation. Although core inflation has decelerated, helped by recent appreciation of the shilling, food prices – which have risen strongly in recent months, are still a concern. Food prices accelerated to 11.1% in Jan from 9.2% y/y in Dec, although core inflation decelerated to 4.6%, from a previous 5.7%. For the BoU, the likelihood of a spillover of food price pressures into generalised inflationary pressure, will be key to the assessment of inflation risks. Growth is forecast at a robust 6-6.5% in FY 14, despite concerns over the potential impact if the conflict in South Sudan – a key trading partner – is sustained. For now, with core inflation expected to continue to decelerate, and with the BoU deciding on interest rates on a monthly basis, there is admittedly some risk that the rest of the 100 bps

hike seen in Sept is reversed. (Rates were cut only 50 bps in Dec – a partial reversal). However, our main scenario is that concern over the likely impact of strong food-related pressures will keep the BoU on hold for now. Only further UGX appreciation, well beyond what we forecast, would change this assessment.”

“325 companies that posted profits in the FY2011/12 registered losses in FY2012/13 which had an impact on corporation tax performance over the first half of the FY2013/14,” she explained.

Tender Notice (TN) TITLE: SUPPLY AND DELIVERY OF LABORATORY COMMODITIES No 003/IOCB/2013-2014/WORLD BANK, CDC, GoR, SSF/NRL/MOH/MPPD T h e Rwanda Biomedical Centre/Medical Procurement and Production Division (RBC/MPPD ( h e r e i n a f t e r c a l l e d ‘ ’ C l i e n t ” ) f u n d e d b y RBC-NRL Division: World Bank, Governement and CDC budget for PART 1 and SSF budget for PART 2 t o w a r d s t h e c o s t o f l a b o r a t o r y c o m m o d i t i e s . T h e C lie n t in te n d s to a p p ly a p o r tio n o f th e fu n d s to e lig ib le p a y m e n ts u n d e r th e c o n tr a c t fo r w h ic h th is B id d in g D o c u m e n t is is s u e d . 1 . T h e Rwanda Biomedical Centre/Medical Procurement and Production Division (RBC/MPPD) invites qualifi ed bidders to submit bids for the SUPPLY AND DELI ERY OF LABORATORY COMMODITIES for a period of 3 years as indicated in detail in the statement of Requirements. 2. Bidding Documents in both French and English may be obtained from the reception of RBC/MPPD, Gasabo District, Kigali City, P.O. Box 640 Kigali Rwanda. Tel. ( 250) 252 580156/580157 Fax. 0250 252 582725; Email: camerwa gmail.com; upon p r e s e n t a t i o n o f p r o o f p a y m e n t o f a n o n -r e f u n d a b l e f e e o f Ten thousand Rwandan francs (10,000.00 RWF) o r i t s equivalent in freely convertible currency to Account N° 010-0025133-01-31/RWF (Name of A/C: RBC/MPDD) or at Account number 010-0025133-03-25/USD (Name of A/C: CAMERWA) opened at I&M Bank (Rwanda) Limited (Ex-Rwanda Commercial Bank), P.O. Box 354 Kigali, RWANDA, Tel.: 575591 Fax 573395 Email: bcr rwanda1.com/ customerservice bcr. c o .r w . 3. Bidding Documents may be obtained on any working day from the RBC/MPPD secretariat at the above address from 08:00 to 16:30 hours, Monday to Friday, except on public holidays, up to 5 days p r io r b id s u b m is s io n d a te .T h e s o ftc o p y o f p r ic e s c h e d u le m a y b e availaed upon request, but please note that the hard copy is the offi cial one. 4. All bids shall be accompanied by a Bid Security of: USD 8600 for PART 1 (World Bank, Governement and CDC budget ) and USD 8400 for PART 2 ( SSF budget) Or their equivalent in a freely convertible currency, issued by a bank. Foreign banks should have correspondent bank in Rwanda. 5. Enquiries regarding this tender may be addressed to Head of Division, RBC/MPPD, Gasabo District, Kigali City, P.O. Box 640 Kigali Rwanda. Tel. ( 250) 252 580156/580157 Fax. 0250 252 582725; Email: camerwa gmail.com no less than 21 days prior the

b id s s u b m is s io n d e a d lin e . 6. Well printed bids in English or French, properly bound and p r e s e n te d in tw o ( 2 ) c o p ie s a n d o n e ( 1 ) m a n d a to r y s o ftc o p y o f p r ic e s c h e d u l e i n 2 CDs recordable, a n d o n e o r i g i n a l m u s t r e a c h t h e reception of MPPD at the address mentioned above Not later than 03/04/2014 at 9:00 am, local time (7 am GMT). Late bids will be r e je c te d . Bids will be opened the same day at 10:00 am, local time (8 am GMT), in the presence of bidders or their representatives who choose to attend, in the conference room of MEDICAL PROCUREMENT AND PRODUCTION DI ISION (MPPD) at the above mentioned address. A pre-bidding meeting is scheduled on 06/03/2014 at 10:00 am, local time. 7. The Outer envelope should clearly indicate the tender number and title . 8. Bidding will be conducted in accordance with the Law No05/2013 of 13/02/2013 modifying and completing the Law N° 12/2007 of 27/03/2007 on Public Procurement. 9. Requirement for compliance are: bid submission form, price schedule, bid security and proof of purchase of the bidding document for evaluation. Post qualifi cation requirements for award: confi rmation of requirement of the bidder started in ITB 11. 10. The Framework Contract(s) shall be for duration of 3 years. 11. For suppliers not registered in Rwanda, a withholding tax of fi fteen percent (15 ) shall be levied on the sum of invoice payment. For suppliers registered in Rwanda, a withholding tax of three percent (3 ) shall be retained on the payment. NB: This requirement doesn’t apply on the SSF funded budget (PART 2) 12. The Framework Contract(s) shall be executed by way of individual purchase orders, issued in writing by Medical Procurement and Production Division during the duration of the contract. Done at Kigali on 03-02-2014


12

ENERGY

East African Business Week I February 10 - 16, 2014

Tanzania asks for Canadian financing

BRIEFLY Canadian oil firm in talks with Kenya nNAIROBI -- Canada’s Vanoil wants to raise its profile in Kenya’s exploration sector after releasing a statement spelling out their intentions. ‘These talks are now at a key stage and the company expects them to conclude imminently. At such time, Vanoil will provide an immediate information update to the market.’ Sources say Vanoil wants to join Dominion in search of commercial amounts in the Anza Basin.

Jockeying for Congo Inga dam underway nLONDON -- The United States is reportedly considering financing some of the Democratic Republic of Congo’s $12 billion bill for the giant Inga III project. According to a recent interview with Bloomberg, Rajiv Shah, head of the USAID said Inga may be added to the $7 billion Power Africa program launched in Tanzania last year. The giant Grand Inga III project has already attracted interest from China Three Gorges and Sinohydro, Posco and Daewoo in partnership with SNC-Lavalin.

2017 date for regional electricity connections nNAIROBI --In 2017 members of the Eastern African Power Pool (EAPP) expect to be connected. Liberat Mpfumukeko, the EAPP Chairman of the steering committee was recently speaking at the launch of a two-day meeting. The members are Burundi, Kenya, Rwanda, Tanzania, Uganda, the Democratic Republic of Congo, Sudan, Egypt, Ethiopia and Libya. “With a lot of efforts being deployed in the energy sector in all the Eastern African Power Pool, we hope that all EAPP member states will be interconnected in terms of energy by 2017,” he said.

BY KENAN KALAGHO

FALSE CALM: Malawi carried out an impact assessment on a proposal to explore the lake for oil.

Tz unhappy with Malawi over lake bid $761,017

BY ANDREW ZABLON nMWANZA, Tanzania--The decision by the Malawi government to proceed with oil exploration on the disputed Lake Nyasa (Malawi) has caught Tanzania by surprise. Last month, the Malawi government invited the general public to provide feedback on the Environmental and Social Impact Assessment (ESIA) over oil exploration on Lake Nyasa (Malawi). The Ministry of Environment and Climate Change Management (Environmental Affairs Department) is overseeing the hearings across Malawi. The 500-page ESIA study is based on a proposed survey to be done by British-based company, Surestream Petroleum Company on the lake. Tanzania, through the Ministry of Foreign Affairs and International Cooperation spokesman, Mkumbwa Ally told East African Business Week Tanzania was surprised to

Initial mediation budget

$387,337

Tanzania contribution

$50,000

Malawi share

hear what Malawi is planning. “We are studying the situation, but I am of the opinion that our neighbours are going against the mediation process,” he said. He added that Malawi’s intentions would frustrate the mediation process. On February 2, 2014 during the 37th CCM Anniversary in Mbeya, Southern Tanzania, President Jakaya Kikwete touched on the dispute. “Those living along Lake Nyasa need not to worry about their security. The dispute will be solved because it is being mediated by very respected elders,” he said.

“If there is any politician who is still talking about this dispute he’s just looking for cheap publicity. Chissano’s mediation team will tell us the truth,” Kikwete said. In December last year, the mediation team requested for $761,017 to carry out the work. Tanzania contributed $387,337 while Malawi contributed $50,000. Tanzania and Malawi have been in an open boundary dispute since 2012. Malawi claims that the entire Lake Nyasa belongs to Malawi under the 1890 Heligoland Treaty while Tanzania argues that according to international law, the border between the two is in the middle of the lake. Already, the mediation team had warned the two countries to be cautious when commenting about the dispute and obviously not to proceed with new projects on the disputed lake until the matter is concluded. Surestream Petroleum has offices in Reading.

n DAR ES SALAAM, Tanzania- The government needs about $300million to improve power connectivity to the rural areas and has asked for Canada’s help . The move would mean increasing the rural connectivity to at least 30% from the current 7%. During the talks on a cooperation deal on natural resources between Canada and Tanzania, the Minister for Energy and Minerals, Prof Sospeter Muhongo, requested for Canada’s help in rural electrification. Prof Muhongo said Tanzania was willing to accept a loan or grants from the government of Canada.The objective is to have widespread rural connectivity by 2025. “There is need for us to make sure that we intensify rural connectivity and seek for international support with the population of Tanzania projected expecting to reach 70 million by 2025,” Prof Muhongo said. “Tanzania’s total consumption currently stands at 900 megawatts. Since the country’s population is expected to increase the demand for power will also increase,” Prof Muhongo said. Tanzania’s recent move to open Economic Processing Zones in Dar es Ssalaam, Bagamoyo and other regions in the last two years, has led to a surge in the demand for electricity. Earlier this year, the government had similar talks with the Algerian government to help it connect its rural population. Algeria has connected at least 97% of its rural population.

Oil firms accept Uganda blueprint BY SAMUEL NABWIISO

NEW DAWN: The oil firms have bought into government’s dream.

nKAMPALA, Uganda--The government of Uganda has sighed a memorandum of understanding with oil companies to support sustainable Development of the Discovered Petroleum Resources in the Albertine Graben The MOU, which was signed by energy minister, Irene Muloni and the four licensed oil companies operating in the country, is aimed at providing a framework for harmonising the commercialization plan for the development of the discovered oil and gas resources in western Uganda.

“This MOU will help Government in planning for the use of the petroleum for power generation, supply of crude oil to the refinery to be developed in Uganda by Government and export of crude oil through an export pipeline or any other viable options to be developed by the oil companies,” she told a news conference last week. CNOOC Uganda Limited, Total E& P Uganda B., Tullow Uganda Operation Pty Limited and Tullow Uganda Limited are required to support the government in developing the new refinery including public endorsement of the project. The oil companies had preferred a

pipeline to the coast. However in return, the government now has to provide support to the oil companies in acquiring approvals for studies and surveys for an export pipeline and initiate discussion talks with neighbouring countries in relation to the cross-border framework for the pipeline Muloni said the signing of the MOU is a vital step towards the commercial production of Uganda’s discovered oil and gas resources. Production is expected to start within four years, after a production licence was issued to China’s CNOOC late last year.


BUSINESS

A REFLECTIVE PROCESS TO ACHIEVE PROGRESS

DIGEST

TOPAGE 14

BUSINESS WEEK, February 10-16, 2014

Coaching; what is all the fuss about?

n I enjoy talking to new people and inevitably they ask me what I do. When I tell them I am a business and professional development consultant all goes well, as soon I take a short cut and say I am a coach, a slightly quizzical look comes over their faces. Typically I am asked what sort of a coach, life coaching? Basketball? Then begins my explanation, since I assume most of the professionals I speak to, to be well informed and intelligent, it occurred to me that it might be of some use to write an article or two on the benefits of coaching. Then hopefully people will say, ah yes I read your article, tell me more

about coaching. Coaching as an industry is relatively young in Uganda and a recent study by coach Africa shows there is some way to go before it becomes as established as it is in Europe and America. Part of the way forward is to sensitize people as to what it all boils down to. For many of us in Uganda coaching raises images of school children needing extra support with their school work to pass public examinations, or keep ahead in schools where class sizes are so big children lack the individual attention they may need. Whereas in the business and professional sense it is a way to improve effectiveness, employee engagement

and customer satisfaction. Jenny Rogers in her book coaching skills give a simple definition that encompasses the complexity of the practice. “Coaching is a partnership of equals whose aim is to achieve speedy increased and sustainable effectiveness through focused learning in every aspect of the clients life. Coaching raises self awareness and identifies choices. Working to the clients agenda, the coach and client have the sole aim of closing the gaps between potential and performance,� Rogers 2012:7. Perhaps it is useful to examine what coaching is not. There is a common assumption that counseling and mentoring are

coaching, however there is a fundamental difference, which is that coaching does not offer advice. Rather through skillful questioning, building trust and rapport a coach enables the coachee to find the answers for themselves. The origins of coaching come from a variety of different disciplines including psychology, psychiatry medicine organization development training and management development to name a few. The synthesis is that coaching is about change and action, from where we are now to where we would like to be in any given scenario. TO PAGE 14

The answers are on the inside and the role of the coach is to unlock them from the outside.


14

BUSINESS DIGEST

East African Business Week I February 10-16, 2014

Coaching does not offer advice. Rather through skilful questioning, building trust and rapport a coach enables the coachee to find the answers for themselves

Why Work with a Coach?

BALANCE: A mentor helping children improve their balance and coordination skills by navigating across a beam FROM PAGE 13 Andy Gilbert makes a good point when he states “the answers are on the inside and the role of the coach is to unlock them from the outside.” So now we have an idea about coaching what is the fuss about? How could this be helpful? And who is it most useful for? The benefits of coaching are many fold, for business it will encourage employee engagement and motivation. Believing, as part of the culture of an organization that staff are resourceful and bring many talents and unique experience to a team, fosters creative thinking and prudent risk taking in decision making processes. This in turn creates people who work harder to achieve the company objectives which have to be good news for the

bottom line. Jenny Rogers explains it when she says: “Coaching works because it is based on acknowledging deep seated universal human needs for autonomy, competence and relatedness.” Now we feel comfortable with the idea of coaching and some of its benefits the conversation may well turn to how to find or try out coaching, and this is where we ask what makes a good coach? Somebody who listens more than they talk that’s for sure but also someone who is naturally curious about people and maintains an integrity within the relationship that allows the c onversation to be all about the coachee. There are other principles which I believe give a coach a good recipe for success. Six of my favorite are

also the basic principles adhered to in the text which forms the basis of my coaching practice, coaching skills a hand book. The person being coached is resourceful’ This clearly communicates the key belief that through coaching the client is reminded about their experiences, their skills their learning and the fact that they have the answer to any issue. Great resources lie untapped inside people and it is the challenge of the coach to open these up and release the potential of individuals in managing themselves and their resources to maximum affect. This principle relates directly to the tender outcome of encouraging significant personal growth and

development. The coach’s role is to develop the clients resourcefulness through skillful questioning, challenge and support. Building on the idea that everyone has untapped potential the coach poses powerful questions and genuinely listens to responses that open up and slow thinking down in order to stimulate greater neural activity so that even the most tiresome and insolvable issues can be challenged and motivation found to rework solutions. Research shows that our brains make sense of data through our feelings and therefore coaching does operate at a feelings level too. The support offered by the coach is both constructive and challenging maintaining rapport despite difficult and

sometimes challenging feedback. Coaching provides a thinking opportunity to develop greater self awareness and insight. Questions that can be difficult to respond to can be the ones that trigger greater reflection activity,leading to new insight and potentially more realistic and determined motivation to resolve entrenched or difficult issues. Rogers 2012:7-9 ConsultEast materials In a nut shell coaching and a coaching culture within an organization,makes a difference as it increases motivation. Three key areas identified by research such as Ryan and Deci 2000 are autonomy, relatedness and competence. Once people have the belief that they can control their lives, and feel a positive connection with those they work with,coupled with the confidence in their skills and abilities, they will perform to the highest level of their potential. Motivated and engaged employees have a dramatic impact on any organizations bottom line and that’s what all the fuss is about.

A reflective process to achieve progress n Professionals in every field use coaches to remain at the top of their game, enjoying a confidential 1-to-1 relationship a coach who is experienced, has their best interest at heart, and challenges them to do their best. You can experience the same benefits too, receiving encouragement where needed such as help getting out of the starting gate, a lift to get over a hump, or a nudge across the finish line. Training increases productivity 22%, when paired with coaching it increases productivity 88% to 400%. Companies who provide leadership coaching consistently out perform those who don’t.

Along the way, you can expect constructive feedback as you apply your unique leadership style and you move your career forward. Leadership Coaching Overcome mental obstacles. You can learn to lead Gain confidence by developing new and better skills Reevaluate your perspective and transform your potential Communication Coaching Breakdown barriers by conveying intent Create common understanding thru clear vision and practiced values Establish accountability and achieve goals via focus on a shared

mission Teamwork Coaching Develop winners by transforming your corporate culture Motivate others to be part of something greater Cultivate relationships by promoting strong internal bonds Employee Motivation Coaching Motivate and inspire by demonstrating concerned leadership Build loyalty and trust by coaching, mentoring, and training Transform conflict into positive development Performance Coaching Transform the appraisal process into a valuable learning experience

Plan for success by defining clear goals Achieve success by providing critical feedback Time Management Coaching Understand principles and plan the best use of your time Learn tips and techniques to increase efficiency Learn the secret of effective meetings Self Improvement Coaching Design your personal growth plan Partner with a personal coach and get individualized feedback Take control of YOUR career. Agency

Professionals in every field use coaches to remain at the top of their game


BUSINESS KNOW-HOW East African Business Week I February 10 - 16, 2014

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How to dodge the stress bullet Hope Wilson MARKETING MOXIE n KAMPALA, UGANDA-“To be honest, the greatest pressure I feel is not reduced financial resources but personnel resources,” a worn CPSM (Certified Professional in Supply Management) shared in a discussion group. “Our firm had to let my marketing coordinator go during the recession, and now I’m expected to handle both of our workloads. They just don’t get how hard it is—how much work goes into proposals and marketing campaigns. I’m burned out, and I’m thinking of leaving the industry altogether.” Others at the table nodded in agreement. Our group was participating in a roundtable discussion on WORKLOAD: Handling alot of tasks at your work place can be a cause of fatigue and high stress levels “Doing More with Fewer Resources Available” during CPSM Day in taking charge of your thoughts, But there is hope. Marketers August 2011. your emotions, your schedule, your can take several steps to mitigate There seemed to be consensus environment, and the way you deal that what we needed most was more their stress levels, maintain balance with problems,” states Helpguide. within their lives, and prevent burnmarketing personnel…or more org. Clearly identify what you need out for themselves and their teams. hours in a day. to effectively accomplish your work The Great Recession may be over, tasks while maintaining balance in Recognize Symptoms but many marketing departments the other areas of your life. Assert The first step is to recognize the continue to feel pressure to produce these needs in a calm, friendly, and symptoms of overload. In their the same winning proposals and firm manner. report “Evaluation of Stress Levels campaigns that they had before the surge of layoffs began five years ago. of Professionals,” Janet K. Schnorr Manage Your Time and Jettie M. McWilliams noted For many who remain in the indusIn a deadline-driven profession like three prevalent symptoms of stress try, the increased workloads have ours, strong time management is among the 800 professionals they resulted in high levels of stress, and essential to career sustainability. studied: even burnout. Procrastination can spike stress Fatigue (83%), nervousness Research indicates that jobs levels and result in feelings of being (75%), and irritability (72.4%). centered on creative- and communiout of control. At the onset of any Other signs to look for include use cations-related tasks are among the project, implement a schedule with of tobacco, alcohol, or other moodmost stressful careers today. A rewell-defined milestones. cent article in Forbes includes event altering substances; forgetfulness; Block out sections of time on your inability to concentrate; headaches, coordinator and public relations calendar on a regular basis to focus stomachaches, or other muscle executive among the top 10 most on project tasks. If asked to take on aches and tension; grinding teeth; stressful careers (“The Most Stressan additional work project, ask for high blood pressure; excessive ful Jobs of 2012 Aren’t for Girls,” guidance in prioritizing the related perspiration; anxiety; depression; January 2012). Develop magazine tasks. changes in eating or sleeping habits; studied creative professionals in the like the ones above, it can be helpful difficulty communicating; negative games industry, noting that “crunch Manage Expectations to keep a personal log of stress levbehavior towards others; and social seems to just be accepted as ‘the In an informal survey of marketing els. Throughout the day, track your withdrawal. norm in creative industries,’” and professionals, a common frustration stress levels on an hourly basis, usthat these uncompensated overtime ing a scale of 1 (no stress) to 5 (very was that their firms’ principals failed hours often resulted in burnout to realize the amount of time and efhigh stress). Note what you are Identify Stressors (“Industry Comes Clean on Crunch,” fort required to effectively complete doing, the place you are located, and Recognizing the signs and sources May 2009). marketing tasks. the people you are with. Also, note of stress can be difficult, as focus The Centers for Disease Con“[The project managers] just your thoughts and feelings. Identify and self-awareness may be comprotrol’s National Institute for Occupadon’t understand how much time any specific circumstances that are mised. There are many self-tests tional Safety and Health notes that, affecting your level of stress. Repeat and effort goes into marketing proj“In a tight economy, overtime is not online to help identify issues that ects,” one CPSM noted. this on a daily basis for at least may be causing stress. While they only increasing but also becomes “They think I can just snap my a week to recognize the people, are not meant to replace an assessless optional.” fingers and it will happen.” To places, events, internal dialogue, ment from a qualified healthcare This stress is augmented by the and times of day or days of the week overcome this hurdle, think like a practitioner, they can provide a way in which overtime is assigned: project manager. When you create that are affecting your stress levels. framework for the initial discusAbout 75% of the facilities studied your project schedule and establish sions. There are also smartphone by the CDC used “hold-overs,” milestones, be sure to incorporate Take Control applications available to track heart which means that employees show descriptions of the required tasks To successfully manage stress and up at work then are expected to stay rates and stress levels. and subtasks, as well as the number prevent burnout, a key step is to relate, with limited notice or ability of hours required to complete each gain control over your life. “ManagTrack Your Stress Levels to make the appropriate personal task. ing stress is all about taking charge: In addition to general assessments preparations.

Managing stress is all about taking charge: taking charge of your thoughts, your emotions, your schedule, your environment, and the way you deal with problems

(For added emphasis, consider tracking ongoing marketing projects on a Gantt chart.) By calmly communicating your workload in an objective format that is familiar to your audience, you can help them understand the effort required to effectively complete your work responsibilities. Infuse Your Day with Joy Even on-the-go marketers can take steps to increase the joy and pleasure in their lives. As you move throughout your day, identify little things that you can do to make each location and task more enjoyable. Listen to uplifting music or a favorite comedian during your morning commute. Place fresh flowers and photos of family vacations in your office. Hire a cleaning service to make your home an oasis at the end of a stressful day. Keep a journal of all the things for which you’re grateful, and read it when circumstances have you down. Participate in enjoyable exercise with an optimistic friend. Nurture your body, mind, and spirit as much as possible to infuse your day with a sense of joy. With awareness, management of time and expectations, and added elements of joy, it is possible to experience a rich, fulfilling career in marketing professional services. Hope Wilson, CPSM, is president of Wilson Business Growth Consultants, a firm that provides international business strategy and communications services. Specializing in infrastructure development, Hope has received 12 international awards for her work. Have a question about marketing? Email: hope@wilsonbgc.com


16

PICTORIAL

East African Business Week I February 10 - 16, 2014

The week in pictures WHAT WE DO: An official from Uganda Clays Ltd demonstrates to Allen Kagina (L) the Commissioner General of Uganda Revenue Authority (URA) and other officials how clay interlocking blocks can be used for building. PHOTO BY EMMA ONYANGO.

HUGE TASK AHEAD: Mr. Steven Assimwe the new Chief Executive Officer of the Uganda Tourism Board (UTB) speaking during the handover ceremony. Assimwe, who was until recently the Managing Director and Editor in Chief of East African Business Week, took over from Cuthbert Baguma as the new CEO of the government tourism marketing agency. Seated middle is UTB Chairman Mr. James Tumusiime. TOURISM AND INVESTMENT: The Chairman Uganda Hotel Owners Association Ibrahim Kibirige (L) listening to a study that was presented by the Uganda Investment Authority on building competitiveness in Uganda’s Tourism sector.

INNOVATE: Eng. Godfrey Mutabazi, the Executive Director of Uganda Communications Commission addressing journalists during the launch of the 2014 Annual Communications Innovations Awards (ACIA) in Kampala last week. PHOTO BY EMMA ONYANGO.

EMPOWERMENT: (Left to Right) Former Uganda Investment Authority ED Margaret Kigozi , Trade minister Amelia Kyambadde, Allen Asiimwe of TradeMark EA and Deborah Serwadda Regional Director ICON Enterprise Foundation during a consultative meeting on how women in business can enhance their participation in EA integration process.

DISASTROUS: Uganda Wildlife Authority Executive Director Dr. Andrew Seguya showing the British High Commissioner to Uganda Alison Blackburne (L) some of the confiscated illegal wildlife products that are increasing on the market as a result of poaching of wild animals. The British Government was donating 5,000 pounds to the authority to intensify the fight against poaching. PHOTO BY SAM NABWIISO

TOGETHER AS ONE: (L to R) Juliet Kairuki, CEO, Tanzania Investment Centre, Peniel Lyimo, Deputy CEO, Presidential Delivery Bureau, Sophia Kaduma and Christopher Chiza, Tanzania Agriculture Minister, Pierre Luigi Sigismund, Head of Global Supply Chain Unilever, Dr. Ramadhaan Mwinjika, PS Ministry of Transport and Modest Mero Tanzania UN Permanent Representative in Geneva pose for a group photo.


SUPPLEMENT

East African Business Week I February 10 - 16, 2014

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SUPPLEMENT

East African Business Week I February 10 - 16, 2014


19

FEATURE

East African Business Week I February 10 - 16, 2014

Sights

LAKE OF BIRDS

BIRD WATCHING DRUMMERS CULTURE

KARERA WATERFALLS Carmen Nibigira the new Director General

Destinations, culture and sites a tourist should expect on a visit to Burundi

New face of Burundi tourism nBUJUMBURA, BURUNDIBurundi has appointed new leadership for its tourism board. Carmen Nibigira, a tourism and hospitality scholar and practitioner, has been at the heart of the renaissance of this landlocked country that is fondly referred too as the ‘Heart of Africa’. Below are excerpts of an exclussive interview she had with East African Business Week recently. Qn: You are taking over operations at an organization that has already done great things. What is new about this team? Answer: This is a new structure. The way the national tourism board will be organized is different. There are five directors, including one in charge of infrastructure and all the tourism sites, parks protected areas, and so on. There is also, a director in charge of statistics, research and projects. Another is in charge of finance and admin, then one is in charge of marketing and communications. The new team is from outside the tourism ministry. Only two are from within tourism. Others are from other institutions. This emphasizes the involvement of the private sector.

Qn: Is this then a clean sweep? Are you getting rid of the old team? Answer: The new team is here to strengthen the capacity of the tourism sector. One finance director is from the old team. The rest will be allocated within the new departments. The old team is integrated. There will be no sackings. Qn: How and when was this new team appointed? Answer: It was appointed by the government, based on credentials, experience and exposure. They also worked in the region and have an understanding of the regional dynamics. This includes tour operators, in the hospitality industry, from the private sector. Also they have the academic background to be able to grasp the research to move and make tourism more sustainable. The board was appointed on January 14 by the President of Burundi as a department under the Ministry of Tourism with four-year renewable mandates. Qn: What do you think about being appointed in this capacity and what are your plans? Answer: This is a golden opportunity to serve my country. This is a very

rewarding and challenging job. This is the engine behind the tourism sector and we have a mission as a government institution to facilitate their work. We are promoting tourism for those who are working in the tourism sector. We need to be a strong ally. There are existing incentives and we help to access them. Close collaboration with other ministries, especially the Ministry of Environment will be emphasized. Trade and tourism also work together. We also have to work with the environment pwople without which there is no foundation. We lack the skills to work in the industry. There are poorly trained people, with an education system lacking in service industry training to create market relevant education and we also have to work on the culture of service. To make the culture professional, this degree of professionalism is lacking. Tourism is based on customer service and competitiveness is what you deliver. Capacity building and reinforcing the foundation of the tourism sector is embedded in the skills. Human capital is worth investing in. Qn: Where will you find the funds to support all these plans? Answer: We have support from the

UNDP (United Nations Development Program), Trademark East Africa and government agencies like API. We have to work together. We would love investors who wish to do so for the long term. We wish to have new investments and increased human resource capacity. Qn? You speak of investment. What are the opportunities available in Burundi? Answer: There are several available opportunities as put forward by the Ministry of Tourism. The first is a project for the construction of Bujumbura International Conference centre, to host many meetings and conventions. Burundi is a member of 51 international organizations and the East African Community (EAC). The second, is for a camping Lodge on Nyanza Lac, an idyllic spot on the shores of Lake Tanganyika. The government of Burundi will agree a 30-year memorandum for developing and managing the facility. The third, is the acquisition of a tourist boat to ply Lake Tanganyika. The fourth project is the development of a fully fledged golf course in Kirundo, in the North Eastern Burundi province, near the picturesque lake of birds.

All the above will be on a privatepublic partnership basis. Qn: What is the broader outlook of your work term? Answer: Because I understand the EAC network is vital, Burundi cannot work in isolation. We are counting on our counterparts to lead us and we want to learn the best practices and investors in RUVUBU National Park, and Lake Tanganyika.

The board was appointed on January 14 by the President of Burundi as a department under the Ministry of Tourism with four-year renewable mandates. .. Capacity building and reinforcing the foundation of the tourism sector is embedded in the skills.


20

ENTERTAINMENT

East African Business Week I February 10 - 16, 2014

My kid is a superstar ON GOTV talent search set for may THIS WEEK

BY BAZ WAISWA

n THE TRACKER : A native Australian man is accused of murdering a white woman and goes on the run. Four men travel across the outback in search of the accused, but their own prejudices threaten to ruin them. Watch it on Saturday February 15 at 19:30 CAT.

nSINGLE FIGHTER :A Chinese martial arts specialist is chosen to search for traitors who aided the Japanese during the Second World War. A test of both this lone fighter’s martial arts skills and intelligence, this mission proves to be incredibly challenging, as the traitors he must uncover are both great martial artists and experienced mercenaries, adept at hiding their identities. It will air on February 14 at 16:30 CAT.

nKAMPALA- UGANDA -Performing arts and sports are fast becoming recrutive professional careers for youngsters the world over. This trend now requires that parents should help their children to discover their children’s best talents which should complement their formal education. In Uganda MY Kid is A Superstar franchise is providing that avenue to tap into kids capabilities by carrying out a countrywide search for youngsters with outstanding talents in various forms. The competition is looking at discoveries new fashion designers, dancers, comedians, singers, writers/literature, models, and instrumentalists among other talents. The second season of My Kid Is a Superstar talent search is on with regional auditions set for March in northern, Southern and Western. The central Uganda auditions

will be held in in Kampala on 4 May before a grand final on 11th May at Hotel Africana. Samuel Ssemakula one of the promoters of competition said they are targeting toddlers with exceptional talents and abilities. He said the talent search aims at exposing and exploring the various talents possessed by kids across the country. “Imagine your kid being driven to school in a limousine, received on the red carpet in school with a guard of honour by fellow kids from her or his school all because she or he took the bold move to try and showcase his or her talent,” Ssemakula wondered. This event, after a successful talent search last year, gives parents and guardians a chance to discover A kid plays a piano in last year’s competition their kid’s talents. “This is your time to make a kid coz of just showcasing any last year’s event, a singer, shine. Who knows you may make talent u have,” Ssemakula speller, model and pianist a child’s dream come true. Aside explained. where taken to Disney land from the limousine, we also have The outstanding kids from in Paris. Disney land trips to be won all

National Theater to re-stage old acts BY BAZ WAISWA nKampala, Uganda –In a gesture of honour, respect and promoting of theater activities, Uganda National Culture Center which is also known

Brick n’ Lace Nyanda for Kampala BY WINNIE MANDELA nKAMPALA, UGANDA--Nyanda from musical duo Brick & Lace has been appointed ambassador for The Reach A Hand Uganda (RAHU) campaign to address the key issues that leave Ugandan youth vulnerable to health outcomes like, HIV, Sexual Transmittable Infections (STIs), and unintended pregnancy. Many may remember her from the reggae dance hall duo Brick ‘n’ Lace of the Love Is Wicked fame in Kampala. Nyanda was the rough rude girl doing most of the rap verses on their songs. Well, long after their concert in Kampala, the duo embarked on solo projects, which saw Nyanda hit up the charts across the world. Her dancehall remix of Taylor Swift’s Trouble spent six weeks on UK’s Urban Club Chart and she is not showing any signs of slowing down! Not only does she cover songs, she writes her own as well. Her recent hits “Slippery When Wet” and “Boom and Rave” (featuring Mr. Vegas) are blazing the dancehalls in the city currently. Nyanda, who is set to return to Uganda in weeks, has also been named an ambassador for the Reach A Hand Uganda (RAHU) campaign to address the key issues that leave Ugandan youth vulnerable to health outcomes like, HIV, sexually-transmitted infections (STIs), and unintended pregnancy. She has already recorded the official RAHU theme song, Your Ways, which features local artistes; GNL, Ray Signature, Irene Ntale, Big Tril and Maurice Hasa. The song advocates for safe sex in addition to helping young people make informed

choices. “I’m honoured to be a part of this great movement. People need to be reminded that Aids still exists and many are still dying from it. We all do this for the love of the music but when you get the opportunity to make a difference and touch hearts, you become purposeful, that’s what this means to me,” she said in an email mail. Later in March, Nyanda will be heading to Uganda for a concert on March 08, with our dancehall princess Cindy, hip hop queen Keko and Lillian Mbabazi.

as National Theatre will this month bring back on stage old plays that rocked back in the day. These will be plays written by prominent Uganda playwrights who cut a niche then and promoted theater with their mastery of performing arts that formed a strong foundation on which today’s crop of theatricals are thriving. To start with, Wycliffe Kiyinji’s Muduuma Kwe Kwafe will be premiered first on 14 February (on Valentine’s Day) ahead of other notable big stage plays like Ndiwulira and other stage plays that are credited with shaping the direction of theater in the country. Muduuma Kwe Kwafe rotates around residents of Mudduma village who sell their cotton only to Murji, an exploitative Indian trader in the area. The play explores the synergies, plots and courage the farmers undertook to gain their financial dependence bringing an end to Murji’s exploitation. The story of Kiyingi’s plays tells of how World War II veterans return influenced Muduuma residents into pushing for their own independence so as to manage their own finances like in the western countries they had fought in. The play will run from Valentine’s Day to 17th this mont Meanwhile performing artists, writers and artists have

expressed their displeasure towards government’s continued use of their materials without giving them credit and financial benefits. Kiyinji, 90 years old now, possibly one of Uganda’s best playwrights, says has never earned a penny from his popular books that have been adopted ministry of education into the national teaching and examination syllabus. Bakayimbira’s Benon Kibuuka who is still active in theater works says neither Uganda National Examination Board nor the Ministry of Education has provided any form of support for authors of the material they adopt for the syllabus. “The ministry doesn’t have an arrangement of compensating authors for their

creations,” he says. The unhappy artists cite the example of Prof. George William Kakoma, the man credit with composing Uganda National Anthem who lived a miserable life despite his antique stature in the country’s history. Francis Peter Ojede, the Executive Director, Uganda National Cultural Centre, said that they are going to work on the fact that this exploitation stops immediately. “We want to talk with the ministry responsible to see to it that they start respecting Copyright,” he says adding that writing a book takes time and money thus can’t just be adopted without any sort of arrangement.

Students performing at Uganda National theater


EAC

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East African Business Week I February 10 -16, 2014

We must deepen trade amongst each other. this way our private sectors will develop the strength, resilience and stature needed to take on the world President Kenyatta

DOING IT TOGETHER: Some members of the East African Legislative Assembly during a tree planting ceremony at the Arusha headquarters.

Sticking together will not be easy

P

assport-free travel, a common market, and a single currency. Sound like the EU? It’s Kenya, Tanzania, Uganda, Rwanda and Burundi, and they’re being warned to take things slowly. Traveling without a passport or visa, which is a right within the European Union, may soon be possible for around 135 million people in East Africa. Since January 1, Kenya, Rwanda and Uganda have allowed their citizens to travel freely across the three countries. At border control stations, an identity card, whether for work, school or voting, is all that’s required. Travelers no longer suffer high visa costs and nerve-wracking administrative processes. That’s because Kenya, Rwanda and Uganda are members of the

East African Community (EAC). Their goal: more inter-African trade through a common market with unified immigration and custom laws. “We must deepen trade amongst each other,” said Kenya’s President Uhuru Kenyatta, current EAC chair. “This way our private sectors will develop the strength, resilience and stature needed to take on the world.” Burundi and Tanzania also belong to the EAC. At this point, both countries have kept their borders closed due to fears of terrorist attacks by members of the Somali al-Shabaab militia. Tanzania is the only country bordering all four EAC countries, says Samuel Sitta, Tanzania’s minister for East African Cooperation. Sitta criticizes that technical requirements for free travel have not yet been mastered: As before, border control machines cannot read all passports. “Fragile arrangements

are a security threat,” he said. “Our region has no peace, and as we speak, there is war in South Sudan.” Tanzanian security forces believe members and sympathizers of al-Shabaab would be able to obtain identity cards and travel within EAC countries. Some are even thought to be current EAC citizens. With new freedom to travel comes an increased risk of attacks and assassinations. Security concerns are also rife in Kenya, Rwanda and Uganda. There, however, the fears are trumped by potential trade benefits. Freedom of movement for workers, goods, services and capital have awoken hope for more investments in the region: streets, rail lines and power grids. “The infrastructure has been a challenge obviously,” economist Martin Otieno told DW from Nairobi. “But what we’ve seen in recent years is that governments have renewed

their commitment to making the free movement of goods, people, commerce, trade and investment much easier.” Otieno added that it’s the private sector which is the chief driver of regional integration and which is now pressing governments to hold to their promises. The fve states of the EAC are now working on their next large-scale project: they want to establish a currency union like the eurozone, with the hope that it would strengthen the economies and make East Africa more attractive to foreign investors. Governments signed a framework agreement in December 2013 in Uganda’s capital, Kampala, with the currency zone to be implemented within ten years. However, each country must meet specific criteria, such as inflation targets. Countries will have to establish independent institutions to manage

the currency. A look toward Europe is helpful - but only to an extent. On a trip to Kenya in January, the managing director of the International Monetary Fund (IMF), Christine Lagarde, advised countries to look at Europe’s experience - but to “hasten slowly” and “not rush.” “Make sure you learn from our mistakes,” she said, adding that East Africans can even teach Europeans how to do things correctly. Stumbling blocks on the road to integration, the IMF chief said, include non-tariff trade barriers such as import quotas or export restrictions. But differences in member economies can also pose a problem. The extent of the strain a currency zone can be forced to endure is something Europe learned only recently during its - still lingering - debt crisis. DW

East Africans to reconvene trade talks with Europeans in March BY JOHN SAMBO ARUSHA, Tanzania

T

rade talks between the East African Community (EAC) and the European Union (EU) to liberalise trade between the two economic blocs have stalled. Both Parties therefore agreed

that another Ministerial Meeting, to be preceded by Technical and Senior Officials meetings, be held in March 2014 in the EAC region to work towards the conclusion of the Economic Partnership Agreement (EPA) negotiation process. According to a press release from the EAC Secretariat in Arusha, ministers from EAC Partner States and the European Commissioner for Trade met in Brussels on 30th

January 2014 to conclude three days of negotiations on the Economic Partnership Agreement (EPA). The ministerial meeting considered outstanding issues in the EACEU EPA negotiations as discussed by the EAC-EU technical and Senior Officials from 28th to 30th January 2014. Both Parties noted that further discussions on Rules of Origin and Agriculture need to be held at the Technical and Senior Officials level

to iron out the outstanding issues. Agreements were however reached on the outstanding issues on the Chapter on Institutional Arrangements, Dispute Settlement and Final Provisions with the exception of the article on the Relations with the Cotonou Agreement (non- execution clause). Consensus was also not reached on Duties and Taxes on exports and on Article 16 (Most Favoured Nation).

Both Parties therefore agreed that another metting, to be preceded by Technical and Senior Officials meetings, be held in March 2014 in the EAC region to work towards the conclusion of the EPA negotiation process. The EAC delegation was led by Phyllis Kandie, Chair of the EAC Council of Ministers, and the EU delegation was led by the Trade Commissioner Mr. Karel De Gucht.


22

AGRICULTURE

East African Business Week I February 10 - 16, 2014

HARVESTING: Several districts have been selected to specialize in potato production.

IFAD lifts Rwanda post-harvesting BY AGNES BATETA.

nKIGALI, Rwanda—The government and Rome-based International Fund for Agricultural Development (IFAD) have signed a $33.9 million financing agreement which is meant to help Rwanda improve on the post-harvest and pay for the Agribusiness Support Project (PASP). The project is under the Ministry of Agriculture and Animal Husbandry (MINAGRI). Rwanda continues to develop different strategies that can help improve

agriculture, which involves 90% of the country’s population, and has continued to get technical and financial assistance from several development partners. To date, IFAD has funded over 14 rural development programs and projects. According to Ministry of Finance and Economic Planning, the money will help PSAP guide small holders and rural laborers’, helping them increase on their income and becoming notable contributors to the economic development of Rwanda. IFAD has injected a total of $ 205.2 million since 1981. The latest agree-

ment is a 50% grant while the rest is a loan and will therefore support the rural farmers for covering the next five years. This project mainly deals with people involved in market production. Specific areas include the dairy businesses and crop intensification for farmers, all aimed at increasing productivity. For the crop intensification program (CIP), Janvier Gasasira the SPIU/ Coordinator at MINAGRI said they are looking at land consolidation, inputs, such as fertilizers plus other extension services, plus market sup-

port where storage facilities and postharvest handling. “Farmers used to waste a lot during harvest where about 30% was wasted but now with the new project, about 10% to 15% is wasted, and we believe the number will continue to go down with the support offered by the project,” Gasasira said. This project will look at specific crops which include cassava, maize, potatoes plus milk production. According to Gasasira in terms of potato production, districts like Musanze, Nyabihu, and Rubavu will be supported, while Ruhango, Muhanga,

and Nyanza are to be supported for cassava growing. Ngoma, Kayonza, Gatsibo, Nyagatare and Kirehe are earmarked for maize growing. About 40.000 to 45.000 rural farmers are estimated to be under the small holders’ and rural labourers project. These are expected to benefit from this project.They are to be coached on agri-business to be able to create capacity, learn more about post- harvest climate resilient agribusiness investment support, and project management. This will help create value addition and improve small land holders incomes.

Unilever to expand Tanzania tea output BY PATRICK KISEMBO nDAR ES SALAAM, Tanzania--Unilever, a leading global supplier of fast moving consumer goods, has chosen the Southern Agricultural Growth Corridor of Tanzania (SAGCOT) to expand its tea production. The move comes barely five months after Unilever and the Tanzania government went into an ambitious partnership to reinvigorate the Tanzanian tea industry. The planned investment will triple Unilever’s tea output from smallholders by way of out-growers schemes, according to the Tanzania Investment Centre, CEO Ms. Juliet Kairuki. She said 2014 has kicked off with a positive start in respect to investment in the agriculture sector in Tanzania. Kairuki confirmed Unilever had applied and was granted National Strategic Investor Status in December 2013 at a National Investment Steering Committee (NISC) meeting convened by the Prime Minister Mizengo Peter Pinda in Dodoma.

REFRESHING: The joint tea venture is expected to earn Tanzania $148 million in exports. Unilever’s move is said to a signal of their strong confidence in the Tanzanian investment climate and the country’s future economic prospects. The project is expected to not only generate significant export

revenue $148.68 million (projected at 110 million Euro), but also position Tanzania’s tea as an original tea of international repute. As a partner of Tanzania’s SAGCOT initiative, Unilever has expressed its full commitment to

ensure that its investment also addresses social economic and environmental goals. Smallholders will be accredited according to the rain forest alliance certification. The Unilever investment will catalyze significant socio-economic

development in the Iringa and Njombe regions by creating 10,000 more jobs, enhancing the livelihoods of another 2000 to 3000 tea small holders, and in total, touching the lives of an estimated 50,000 people. During the recent World Economic Forum Annual Meeting in Davos, Switzerland, Christopher Chiza, the Minister of Agriculture met with top Unilever officials who repeated their commitment to investing in Tanzania. Sophia Kaduma, Permanent Secretary in the Ministry of Agriculture, revealed recently that Unilever has signed a MoU with the Ministry, the Tanzania Tea Board and the Tanzania Smallholder Tea Development Agency, to push the project in line with the social and economic aspirations of the Tanzania government. According to the MoU signed last year in Dodoma, the partnership is aimed to create 5,000 jobs linked to the Unilever Mufindi tea estates, improve incomes on 6,000 hectares of smallholder tea farms and increase the value of tea exports by over $ 94.61million equivalent to 70 million Euro a year.


23

INSURANCE

East African Business Week I February 10 - 16, 2014

Uganda med-insurers gear up BY BAZ WAISWA

A

healthy life is not a guarantee. So, it makes good sense to make arrangements for appropriate care when you happen to fall

sick. Like with other risks, your well-being can be insured by getting a health or medical insurance cover from a company or broker. A number of Ugandan insurance firms, although not very many, offer policies that cover health care payments. This is a very competitive area of insurance and explains why it so sensitive. In more developed countries, health insurance is a lucrative business. Just before Christmas, Nakasero Hospital in Kampala found itself mired in controversy over claims that its rates are far too high. This is an accusation the hospital management vigorously denied. In a recent interview, Miriam Magala, the Chief Executive Officer of Uganda Insurance Association (UIA), said medical insurance provides a peace of mind for the insured that in the unforeseen eventuality of ill health, their medical bills will be taken care of by an insurer. She said although this is a key insurance product as one of the social safety nets of a population, it is still largely perceived as unaffordable to the wider population. “There is a general appreciation of medical insurance, although one of the major challenges that still remains, is that the premiums are still considered quite high for the average Ugandan,” Magala told East African Business Week. Uganda for the last few years has been plotting to bring on board the National Health Insurance Scheme (NHIS) which will bridge the gap left behind by private insurance companies and health services providers. In an interview last year, Grace Ssali Kiwanuka, the Assistant General Manager at AAR, one of the pioneer companies offering health insurance, said there is a progressive evolution in the range of medical insurance products available on the market. She said they have worked with government through the Ministry of Health to provide certain drugs, including ARVs and vaccinations to the general public including also distribution of condoms. Such initiatives have been ongoing for over five years now. Ssali Kiwanuka said, “The biggest risk to Ugandans is the unplanned financial burden of dealing with the unpredictability of illness or accidents that affect their health. She said health insurance can be bought by anyone and everyone “because every human being at the end of the day only has their health to carry them from one day to the next” The public quarrel between Uganda Insurance Association (UIA) and Nakesero Hospital exposed one of the challenges the industry is facing. For starters, UIA accused the hospital for

CARE: The government wants to bridge the gap between nsurance firms and health service providers. highly pricing the drugs, increasing user charges by 25%, increasing fees for surgical procedures and carrying out numerous ‘unnecessary’ tests to hike the total bill. UIA threatened to take Nakesero off the list of recognized service providers before later a compromised was reached. This was not the first time UIA was having wrangles with hospitals. It is widely agreed that medical insurance has failed to take off quickly in Uganda due the costs that drive employers, beneficiaries and insurance companies away. But one of the biggest challenges for the industry is the general skepticism towards insurance in Uganda. “Most Ugandans what to see the benefit they are getting instantaneously, and yet because insurance is for the unknown future event, there is a natural inclination toward the sentiment of ‘will not happen to me, so I do not need insurance’,” Ssali Kiwanuka said Secondly there is a myth that health insurance isn’t affordable. The Uganda insurance industry estimates

that medical insurance stands at approximately 17% of gross non-life premium written. The other problem is that Uganda is a relatively young nation when it comes to insurance in general, meaning that we have young insurance experts who are now cutting their teeth in this industry. Magala said a lack of standardization of medical care in Uganda also does not help, for example pricing in relation to service provision. This generally means that situations arise where a range of prices may apply for the same procedure, making it harder to cost medical insurance packages. There are also several cases of patients and service providers either knowingly or unknowingly creating situations to defraud the insurance companies. For example, ordering too many unnecessary tests for a patient with insurance, or letting someone else use your medical card to access

Members will pay a monthly contribution of 4%

treatment. Some clients tend to think that having medical insurance gives then free license to use their cover for anything from a simple flu or headache to a major procedure. However, every time one gets treatment, their benefit reduces by the cost of that treatment, thus increasing their utilisation and subsequently increasing premium in the following year. Commenting on the upcoming National health Insurance Scheme, Ssali Kiwanuka believes it would widen the competition gap “Meaning that we would simply have another player in the market competing to have consumers utilizes their services,” she said. Magala is hopeful the scheme will make medical insurance available for all residents, and stipulate a minimum level of benefits that each insured can expect to get. “Essentially, the client can decide to go with the ‘government’ or use a private provider,” Magala said. “The issue then becomes ensuring that the environment remains favorable to allow those who wish to access higher benefits than stipulated in the bill from private medical

insurance schemes to do so,” she said. Ugandans have been waiting for government to set up a government managed scheme to offer health mediations. This however has not been the case as the litigation journey to establish a law that will pave way for the scheme has been a long one. In an interview in November last year, Fracis Runumi, Commissioner, Health Services and Planning at Ministry of Health was optimistic the scheme will be rolled out this year of the Cabinet and Parliament speeds up the passing of The National Health Insurance Bill, 2012, into an Act. National health insurance is a form of health care financing where specific population groups are mandated to enroll and pay a contribution to a fund. The National Health Insurance Bill, 2012, when passed into a law, will pave way for the establishment of The National Health Insurance Scheme. This includes putting in place a fully-fledged board, staff and procedure to accredit service providers. In turn, enrollees are entitled to a set of health care benefits. It can insure against financial risks of sickness, disability, retirement, death etc. for either the whole population or part of it. It facilitates the provision of accessible, affordable and quality health care services to its membership. The contributions will be pooled and therefore, healthy members will subsidize for the less health. The scheme’s members would include public servants, employees’ resident in Uganda working for firms with more than five workers, and these members will be entitled to register with the scheme four dependents who will be beneficiaries. In the draft Bill, every person who is a resident, but not a member or a beneficiary shall be registered as a member of a private commercial health insurance scheme or community health insurance scheme. The bill also provides special attention for indigent or poor people. Every resident of Uganda and who is not an indigent person, shall be registered as a member or beneficiary of the scheme or as a member of a community health insurance scheme. Members will pay a monthly contribution of 4% deducted from their salary and an equivalent contribution by the employer of the member to the scheme. In case of an indigent person, government will use funds appropriated by parliament to the scheme for the purpose.

Kenya’s Safaricom adds medical insurance app in joint deal

NAIROBI, Kenya--Safaricom Limited, Britam and Changamka Micro-insurance have jointly launched an affordable microinsurance health cover which will widen the bracket of the Kenya population with access to medical insurance. The health insurance product known as Linda Jamii is an afford-

able and comprehensive medical cover that will provide a family premium cover at an annual subscription of Ksh12,000 (about $140) for a cover valued at Ksh 290,000 (nearly $3,300). The cover will cater for in and out patient, maternity, dental, optical, a hospitalisation income replacement benefit of Ksh500

per day to take care of lost income while in hospital and in the case of death, funeral expenses. Linda Jamii has adopted a micro-saving model which will use M-PESA as the premium collection platform. Through M-PESA, one can pay premiums in installments and can access partial benefits after accumulating KES

6,000 in contributions. “Kenya has for a long time been accused of lacking a culture of adopting insurance. However we believe that the real reason that 97% of the population caters for their medical expenses out of pocket, is because of the cost of insurance premiums. Therefore, Linda Jamii is to medi-

cal insurance what M-PESA is to financial services. They both promote inclusion,” said Safaricom CEO Bob Collymore. Statistics indicate that only three percent of the Kenyan population has health insurance. BizTech


24

FINANCE

East African Business Week I February 10 - 16, 2014

Invited guests having a good time at the DSTV Eutelsat Star Awards in Tulip hotel Ghana.

Angel succeeds in DStv competition

I

n response to a growing need to popularise science and to create excitement about space technology in young people, MultiChoice and Eutelsat have been collaborating over three years on a unique panAfrican student competition called the DStv Eutelsat Star Awards. In Accra, Ghana recently , the broadcasting industry and high-profile government members convened at the Golden Tulip Hotel for the announcement of the final winners of this year’s edition. Stakeholders unanimously expressed their commitment to investing in the future of education and to instilling a passion for technology and the sciences in the younger generation. In her address, the Minister of Education, the Honourable Nana Opoku-Agyeman applauded the organizers for generating awareness of the importance of education in science and technology: “With the fast-changing digital landscape, we have an obligation to Africa’s youth to ensure that they are empowered to adapt and to use their educational system to make meaningful change to their country and the continent’s development agenda. The government recognizes that it cannot single handedly tackle the challenges faced by the sector and that public-private partnerships can also accelerate progress.” Of 1000 entries from 19 countries, this year’s DStv Eutelsat Star Awards winner Francine Mazala (Zambia) stood out as the winner of the essay category and has won a trip to Paris and onwards to a launch site to witness a rocket launch into space and runner up in the essay category was Eshlin Vedan (South Africa) who wins a trip for two to visit MultiChoice facilities and the South African Space Agency near Johannesburg, South Africa. In the poster category, first place is Lloyd Ossei Baffour (Ghana) who will visit Eutelsat in Paris and runner up in the same category is Angel Gabriella (Uganda). The four winning schools attended by the overall award winners and runners-up respectively were also rewarded with a DStv installation, including dish, television, state-of-the-art PVR decoder and free

access to the DStv Education Bouquet. The DStv Eutelsat Star Awards comprises national and international adjudication. The first assessment of entries is at country level with a panel of local judges selecting country winners and runners-up who go through a round of preliminary judging which culminates in the selection of the final winners. A regional panel selects the top four entries. This year the panel was chaired by the inspirational European Space Agency astronaut, Paolo Nespoli, assisted by a panel of industry experts who commended the standard of the competition. “Congratulations to the winners for their understanding of Africa’s challenges and their knowledge of how satellite technology can change the course of development on the continent. Francine’s impeccable command of the language and technical ability was impressive. ” Nespoli also urged young people to be tenacious in their quest for success. “Your future is in your hands to dream big and to achieve the impossible. Follow your dreams with determination and never give up - because dreams do come true. At one point going to space looked

“The quality of entrants was once again a strong sign that space and satellite communications resonate significantly in the hearts and minds of the younger generation.

DStv Eutelsat Star Awards Country Winners of 2013 unachievable but here I am today living my purpose and living my dream as an astronaut with two flights into space as one of my life’s biggest achievements.” Nico Meyer, CEO of MultiChoice Africa added his congratulatory message to the occasion. “These Awards have afforded young people the opportunity to not only grow their confidence levels but to represent the continent on the global stage. MultiChoice Africa is encouraged every year by the success of these awards to plough more resources into this initiative as it becomes more evident that the future and development of this continent lies in

the hands of young people.” Michel de Rosen, Eutelsat’s Chairman and CEO highlighted the growing value of space for technological advancement, social inclusion and economic growth and encouraged young people to follow their dreams. “The quality of entrants was once again a strong sign that space and satellite communications resonate significantly in the hearts and minds of the younger generation. We are immensely proud to partner with MultiChoice on this initiative and to have the opportunity to meet some of Africa’s future great minds.”


25

BUSINESS INFO

East African Business Week I February 10 - 16, 2014

DAR ES SALAAM - DSE Market Foreign Turnover Number Outstanding Outstanding No of Date Company Opening Closing High Low Capital holding (Tshs) of Deals share bids share offers shares price price traded (Tsh) bln) % age (Tshs) (Tshs) 0 310 0 0 0 0 0 72900 0 11.54 2.63% Feb 7, 2014 TOL 0 8100 0 0 0 0 20800 30400 0 2388.92 64.71 Feb 7, 2014 TBL 0 650 0 0 0 0 100 6900 0 11.61 47.60 Feb 7, 2014 TTP 8600 8600 8600 8600 13760000 5 8600 0 1600 860.00 75.00 Feb 7, 2014 TCC 0 2420 0 0 0 0 14500 0 0 154.08 62.50 Feb 7, 2014 SIMBA 2700 2700 2700 2700 1633500 8 0 45600 605 97.20 60.00 Feb 7, 2014 SWISS 0 2620 0 0 0 0 0 61900 0 471.40 69.25 Feb 7, 2014 TWIGA 490 490 490 490 20580 1 20000 29200 42 33.24 0.07% Feb 7, 2014 DCB 2660 2660 2660 2660 60778340 12 22600 66100 22849 1330.00 38.57 Feb 7, 2014 NMB 0 230 0 0 0 0 0 0 0 344.19 N/A Feb 7, 2014 KA 0 4920 0 0 0 0 0 0 0 3890.61 N/A Feb 7, 2014 EABL 0 5680 0 0 0 0 0 0 0 340.20 N/A Feb 7, 2014 JHL 0 820 0 0 0 0 0 0 0 2435.68 N/A Feb 7, 2014 KCB 300 300 300 300 297780000 20 535100 42200 992600 652.96 16.46 Feb 7, 2014 CRDB 0 5750 0 0 0 0 0 0 0 1084.12 N/A Feb 7, 2014 NMG 0 5870 0 0 0 0 0 0 0 2407.20 N/A Feb 7, 2014 ABG 0 470 0 0 0 0 0 31600 0 75.42 34.13 Feb 7, 2014 PAL 0 600 0 0 0 0 0 9800 0 5.44 0.00% Feb 7, 2014 MBP KAMPALA - USE COMPANY Date DEALS SHARES VOLUME High (UGX) Low (UGX) Closing (UGX) TURNOVER (UGX) 0 0 0 0 1,444 0 Feb 6, 2014 ALSI 0 0 0 0 4,050 0 Feb 6, 2014 BATU 0 0 0 0 115 0 Feb 6, 2014 BOBU 0 0 0 0 1,012 0 Feb 6, 2014 CENT 0 0 0 0 1,190 0 Feb 6, 2014 DFCU 0 0 0 0 7,723 0 Feb 6, 2014 EABL 0 0 0 0 904 0 Jan 31 2014 EBL 0 0 0 0 8,843 0 Feb 6, 2014 JHL 0 0 0 0 343 0 Feb 6, 2014 KA 0 0 0 0 1,263 0 Feb 6, 2014 KCB 0 0 0 0 35 0 Feb 6, 2014 NIC 0 0 0 0 8,699 0 Feb 6, 2014 NMG 1 10,055 620 620 620 6,234,100 Feb 6, 2014 NVL 2 407,150 35 30 30 12,250,250 Feb 6, 2014 SBU 0 0 0 0 523 0 Feb 6, 2014 UCHM 3 27,808 25 25 25 695,200 Feb 6, 2014 UCL 6 32,200 365 365 365 11,753,000 Feb 6, 2014 UMEME 0 0 0 0 261 0 Feb 6, 2014 USE LCI 12 477,213 30,932,550 TOTALS KIGALI - RSE Date Security Last 12 Today’s Prices Total Shares Equity Turnover (Rwf) Total Deals Change Months (Rwf) Traded in Rwf High Low High Low Closing Previous Today Previous Today Previous Today Previous Today Feb 3, 2014 BOK 270 129 270 250 270 255 1,258,700 107,000 314,930,500 26,253,000 14 4 +15 Feb 3, 2014 BLR 900 630 840 838 840 838 282,500 900 236,888,000 747,800 10 2 +2 Feb 3, 2014 KCB 185 135 185 185 100 18,500 1 Feb 3, 2014 NMG 1,200 1,200 1,200 1,200 1,000 - 1,200,000 5 Feb 3, 2014 USL 175 165 165 165 500 82,500 1 -

Weekly Trends (EA Stock Exchanges) DSE ALL SHARE INDEX

USE ALLSHARE INDEX

1,895.00

1,885.00

1,450

1,880.00

1,440

140

137

139

1,870.00

1,420

138

1,865.00

27-Jan-14

6-Feb-14

3-Feb-14

7-Feb-14

6-Feb-14

5-Feb-14

4-Feb-14

3-Feb-14

Financial markets Nairobi (NSE)

SECURITY

5-Feb-14

1,400

1,855.00

6-Feb-14

5-Feb-14

4-Feb-14

3-Feb-14

137.5

1,410

1,860.00

133

4-Feb-14

134 133.5

RSE ALL SHARE INDEX

138.5

USE ALLSHAR E INDEX

PRICES AS AT

3-Feb-14

Series1

1,430

2-Feb-14

135 134.5

DSE ALL SHARE INDEX

1-Feb-14

1,875.00

31-Jan-14

136 135.5

139.5

30-Jan-14

136.5

29-Jan-14

138 137.5

RSE ALL SHARE INDEX 140.5

1,460

1,890.00

28-Jan-14

NSE ALL SHARE INDEX

PREVIOUS PRICE

% CHANGE

27.50 120.00 160.00 620.00 27.50 17.95 296.00

27.50 120.00 160.00 620.00 27.50 18.20 313.00

0.00 0.00 0.00 0.00 0.00 -1.37 -5.43

43.25 13.50 11.95 6.20

42.00 13.50 11.95 6.20

+2.98 0.00 0.00 0.00

16.60 90.00 220.00 31.75 32.00 131.00 43.75 34.00 58.50 298.00 17.50

16.95 88.00 220.00 31.50 31.75 125.00 44.00 34.50 57.50 300.00 17.40

-2.06 +2.27 0.00 +0.79 +0.79 +4.80 -0.57 -1.45 +1.74 -0.67 +0.57

4.55 20.25 11.95 13.90 306.00 49.25 27.25 43.50 18.00

4.25 20.25 11.95 14.25 303.00 51.00 27.25 43.25 18.20

+7.06 0.00 0.00 -2.46 +0.99 -3.43 0.00 +0.58 -1.10

87.00 205.00 82.00 16.15 70.00

87.50 204.00 82.00 16.00 71.00

-0.57 +0.49 0.00 +0.94 -1.41

11.90 9.10 14.35 23.00 13.00

11.95 9.10 14.80 23.50 13.00

-0.42 0.00 -3.04 -2.13 0.00

February 6, 2014 (KSH)

AGRICULTURAL Eaagads Ltd Ord 125 Kakuzi Ord 500 Kapchorwa Tea Co Ltd Ord 500 Limuru Tea Co Ltd Ord 2000 Rea Vipingo Plantations Ltd Ord 500 Sasini Ltd Ord 100 Williamson Tea Kenya Ltd Ord 500 AUTOMOBILES AND ACCESSORIES Car and General (K) Ltd Ord 500 CMC Holdings Ltd Ord 500 Marshalls (EA) Ltd Ord 500 Sameer Africa Ltd Ord 500 BANKING Barclays Bank Ltd Ord 050 CFC Stanbic Holdings Ltd Ord 500 Diamond Trust Bank Kenya Ltd Ord 400 Equity Bank Ltd Ord 050 Housing Finance Co Ltd Ord 500 I&M Holdings Ltd Ord 100 Kenya Commercial Bank Ltd Ord 100 National Bank of Kenya Ltd Ord 500 NIC Bank Ltd Ord 500 Standard Chartered Bank Ltd Ord 500 The Co-operative Bank of Kenya Ltd Ord 100 COMMERCIAL AND SERVICES Express Ltd Ord 500 Hutchings Biemer Ltd Ord 500 Kenya Airways Ltd Ord 500 Longhorn Kenya Ltd Nation Media Group Ord 250 Scangroup Ltd Ord 100 Standard Group Ltd Ord 500 TPS Eastern Africa (Serena) Ltd Ord 100 Uchumi Supermarket Ltd Ord 500 CONSTRUCTION AND ALLIED Athi River Mining Ord 500 Bamburi Cement Ltd Ord 500 Crown Berger Ltd 0rd Ord 500 EACables Ltd Ord 500 EAPortland Cement Ltd Ord 500 ENERGY AND PETROLEUM KenGen Ltd Ord 250 KenolKobil Ltd Ord 005 Kenya Power & Lighting Co Ltd Total Kenya Ltd Ord 500 Umeme Ltd Ord 050 GROWTH ENTERPRISE MARKET SEGMENT Home Africa Ltd Ord 100 INSURANCE British-American Investments Company ( Kenya) Ltd Ord 010 Liberty Kenya Holdings Ltd CIC Insurance Group Ltd Ord 100 Jubilee Holdings Ltd Ord 500 Kenya Re-Insurance Corporation Ltd Ord 250 Pan Africa Insurance Holdings Ltd Ord 500 INVESTMENT Centum Investment Co Ltd Ord 500 Olympia Capital Holdings ltd Ord 500 Trans-Century Ltd Ord 500 MANUFACTURING AND ALLIED ABaumann CO Ltd Ord 500 BOC Kenya Ltd Ord 500 British American Tobacco Kenya Ltd Ord 1000 Carbacid Investments Ltd Ord 500 East African Breweries Ltd Ord 200 Eveready East Africa Ltd Ord 100 Kenya Orchards Ltd Ord 500 Mumias Sugar Co Ltd Ord 200 Unga Group Ltd Ord 500 TELECOMMUNICATION AND TECHNOLOGY AccessKenya Group Ltd Ord 100 Safaricom Ltd Ord 050 PREFERENCE SHARES Kenya Power & Lighting Ltd 4% Pref 2000 Kenya Power & Lighting Ltd 7% Pref 2000

6.10

6.15

-0.81

18.60 16.00 6.40 302.00 18.50 94.50

18.40 15.90 6.40 308.00 18.45 91.50

+1.09 +0.63 0.00 -1.95 +0.27 +3.28

35.50 4.65 29.50

35.25 4.80 29.50

+0.71 -3.13 0.00

11.10 169.00 540.00 39.25 262.00 3.15 3.00 3.00 20.00

11.10 170.00 551.00 40.00 269.00 3.10 3.00 3.00 20.50

0.00 -0.59 -2.00 -1.88 -2.60 +1.61 0.00 0.00 -2.44

9.55 11.95

9.55 11.45

0.00 +4.37

8.00 5.50

8.00 5.50

0.00 0.00

Forex (Central Bank rates) US Dollar Pound Sterling J Yen Indian Rupee Kenyan Shilling US Dollar Pound Sterling Euro SA Rand KShs/UShs KShs/TShs KShs/RwF KShs/BiF UAE Dirham J Yen Indian Rupee Saudi Riyal Chinese Yuan US Dollar Pound Sterling Euro J Yen Indian Rupee SA Rand UAE Dirham Saudi Riyal Kenyan Shilling Uganda Shilling Rwanda Franc Burundi Franc US Dollar Pound Sterling J Yen Euro Kenyan Shilling Ethiopian Birr Rwanda Franc Burundi Franc Tanzania Shilling Sudanese Dinar SA Rand

SOURCE - Nairobi Stock Exchange

Food market prices (wholesale) US$ Commodity

Package

Kenya

Nairobi Beans (Rosecoco)

- 90kg

Fish (Tilapia)

- 1 kg

Ground Nuts

Uganda

Eldoret

Kampala

Lira

Tanzania

Rwanda

Burundi

Dar-es-salaam

Kigali

Bujumbura

69.77

94.19

24.90

-

-

-

-

-

8.36

2.52

-

-

-

-

- 110kg

127.91

136.05

151.74

-

-

-

-

Irish Potatoes (White)

- 110kg

37.21

19.44

35.65

-

-

-

-

Maize Grain

- 90kg

34.88

32.56

20.99

-

-

-

-

Millet Grain

- 90kg

69.77

88.95

44.47

-

-

-

-

Rice

- 90kg

-

-

102.45

-

-

-

-

Sorghum Grain

- 90kg

41.86

83.72

25.97

-

-

-

-

Soy Beans

- 100kg

-

-

52.96

-

-

-

-

Sweet potatoes

- 98kg

37.21

11.63

-

-

-

US Dollar Chinese Yuan Euro Pound Sterling J Yen Burundi Franc Ethiopian Birr Kenyan Shilling Tanzania Shilling Uganda Shilling UAE Dirham Indian Rupee Saudi Riyal SA Rand J Yen US Dollar Pound Sterling Euro Kenyan Shilling SA Rand Tanzania Shilling Uganda Shilling Rwanda Franc

ADDIS ABABA (Birr) Mean 19.3507 31.5261 0.1849 0.3098 0.2251 NAIROBI (Ksh) 85.9806 140.3111 116.8272 7.7528 28.4415 18.7830 7.8359 17.9263 23.4082 0.8418 1.3791 22.9239 14.1791 DAR ES SALAAM (Tsh) 1,616.3286 2,633.8090 2,182.2060 15.9299 25.9110 145.1963 440.0508 430.9807 18.7999 0.6516 2.3755 1.5457 KAMPALA (Ush) 2,527.9550 4,177.4450 24.0700 3,491.6100 29.2350 132.6300 3.7340 1.6290 1.5890 12.6070 241.7950 KIGALI (RwF) 667.8237 110.1783 902.7640 1,089.2204 6.5802 0.4358 35.6270 0.4214 0.2740 0.2727 179.7961 10.5640 176.0802 59.3735 BUJUMBURA (FBu) 15.1217 1,543.7000 2,520.8621 2,098.0427 17.9396 1404641 0.9517 0.6288 2.2685

Buying 19.1591 31.2140 0.1831 0.3067 0.2229

Selling 19.5423 31.8383 0.1868 0.3128 0.2274

86.1417 140.6094 117.0706 7.7978 28.6111 18.9345 7.9785 18.1925 23.4527 0.8429 1.3816 22.9699 14.2103

86.0611 140.4600 116.9490 7.7753 28.5263 18.8588 7.9072 18.0594 23.4304 0.8424 1.3803 22.9469 14.1947

1,608.2871 2,620.3822 2,171.1876 15.8514 25.7862 145.1261 437.8674 428.8423 18.7228 0.6464 2.3444 1.5398

1,624.3700 2,647.2358 2,193.2244 16.0084 26.0357 145.2665 442.2341 433.1191 18.8770 0.6568 2.4065 1.5515

2,522.9800 4,169.2200 24.0200 3,484.7400 29.1800 132.3700 3.7270 1.6260 1.5860 12.5820 241.3200

2,532.9300 4,185.6700 24.1200 3,498.4800 29.2900 132.8900 3.7410 1.6320 1.5920 12.6320 242.2700

674.2288 111.2350 911.4226 1,099.6672 6.6433 0.4400 35.9687 0.4255 0.2767 0.2701 181.5206 10.6654 177.7690 59.9430

680.6340 112.2918 920.0811 1,110.1141 6.7064 0.4442 36.3104 0.4295 0.2793 0.2753 183.2450 10.7667 179.4578 60.5124

15.0007 1,531.3504 2,500.6952 2,081.2583 17.7961 139.3403 0.9441 0.6238 2.2503

15.2427 1,556.0496 2,541.0290 2,114.8270 18.0831 141.5878 0.9593 0.6338 2.2866


26

EAST AFRICAN BUSINESS WEEK

26

FEB 10 - 16, 2014

TENDERS

East African Business Week I February 10 - 16, 2014

TENDERS, JOBS & CONSULTANCIES UGANDA

RWANDA

TANZANIA

TENDERS

TENDERS

TENDERS

Tanzania Port Authority invites sealed bids from eligible service providers for provision of maintenance services for radios and radar equipment. Deadline: Feb 27, 2014.

The Rwanda Biomedical Centre/Medical Procurement and Production Division invites qualified bidders to submit bids for the SUPPLY OF PHARMACEUTICALS AND HEALTH PRODUCTS for a period of 3 years. Well printed bids in English or French, properly bound and presented in two (2) copies and one (1) mandatory softcopy of price schedule in 2 DVDs recordable, and one original must reach the reception of MPPD not later than 03/April./2014 at 9:00 am, local time (7 am GMT).

Uganda National Roads Authority invites bids for the supply, delivery and commissioning of Ro-Ro Ferry for Wanseko-Panyimur Crossing. Contact: Procurement and Disposal Unit, UNRA, Ground Floor, Room No. GA3, Plot 5, Lourdel Road, Nakasero, Kampala, Uganda. email:procurement@unra.go.ug. Deadline: March 21, 2014.

The Ministry of Health and Social Welfare Tender Board invites eligible firms/consultants to express their interest in providing the services: Logistics Management of the long lasting insecticide treated net (LLIN) Replacement campaign in Tanzania.Contact: Permanent Secretary, Ministry of Health and Social Welfare, Plot 36/37 Samora Avenue, P. O. Box 9083, Dar es Salaam, Tel: +255 22 2120261-6, Fax No. 255 22 2137591. Deadline: February 14, 2014. Temeke Municipal Council invites expression of interest for the development of plots within Temeke Municiapl Council Dar es Salaam, Tanznaia. Applicants may obtain information from the office of the Tender Board Secretary, Temeke Municipal Council at the Municipal Headquarter located along Mandela Road opposite National Stadium P. O. Box 46343 Dar es Salaam. Deadline: Feb 14, 2014. Ministry of Works invites sealed bids from eligible and qualified bidders for the supply, installation and commissioning operated CCTV cameras for Mikese, Mkuranga and Msata weighbridge Stations and being monitored at TANROADS Regional Manger Officer, TANROADS HQ, Road Fund Board and Ministry of Works. Contact: The Secretary, Ministerial Tender Board, Ministry of Works, 1st Floor No. 102, Holland House Samora Avenua, Dar es Salaam. Deadline: February 13, 2014. Government Procurement Services Agency invites sealed bids from eligible suppliers of stationery, office and school supplies. Contact: The Secretary, Government Procurement Services Agency Tender Board, P. O. Box 9150, Dar es Salaam, Tanznaia. Deadline: February 12, 2014. National Examination Council of Tanzania invites bids from eligible suppliers for bids mentioned below: Supply and Installation of Auxillary parts for the web offset printing machine (24/2/2014) Supply of forklift (10/2/2014) Supply of printing materials for offset machine (10/2/2014) Contact: Executive Secretary, National Examinations Council of Tanzania, P. O. Box 2624, Dar es Salaam. Tel: +255 22 27000493-6, Fax: +255 22 2775966, email: esnecta@necta.go.tz The Government of the Republic of Tanzania through Temeke Municipal Council, Dar es Salaam invites expression of interest for the development of plots within Temeke Municipal Council. Contact: Office of the Tender Board Secretary, Temeke Municipal Council at the Municipal Head Quarters located along Mandela Road opposite to National stadium P. O. Box 46343 Dar es Salaam. Deadline: Febuary 12,2014. Tanzania Building Agency is now issuing General Procurement Notice in accordance with requirement of the Public Procurement Act No. 21 of 2004 and its regulation, 2005 for the purpose of informing the reputable suppliers, contractors, service providers, consultants and General public tender opportunities during the financial year 2013/2014. Interested suppliers, contractors, service providers and consultants requiring additional information should contact the Procurement Management Unit (PMU) at Tanzania Buildings Agency Headquarters, Sokoine Drive No. 2 opposite Karimjee Hall from 7.30 am -3.30 p.m Monday to Friday inclusive except Saturdays, Sundays and Public Holidays. The Ilala Municipal Council is issuing a general procurement notice. Contractors, suppliers consultants and Non consultants may obtain further information from the office of the secretary of the tender board, Iiala Municipal Council Depot along Nyerere Road, P. O. Box 20950 Dar es Salaam.

The Ministry of Defence invites qualified bidders to submit bids for the following tender: a. Tender for the supply of medical supplies. b. Tender for the supply of construction materials. c. Re-launch of the tender for the supply of generator spare parts. d. Re-launch of the tender for maintenance of laundry equipment. 2. Bidding document may be obtained from the Ministry of Defence’s Procurement Office PO Box: 23 Kigali-Rwanda; Tel: 0788478908; E-mail: pu@minadef.gov.rw, emmanuel.rutebuka@minadef.gov.rw upon presentation of proof of payment of a non refundable fee of Ten thousand Rwandan Francs (10,000 Rwf) for each tender on Account Number 120 00 46 (NFRA) in BNR.Well printed bids properly bound must be submitted in 04 copies. The submission of bids in sealed envelopes must be addressed to the Ministry of Defence’s Procurement office before 14h00 pm local time on 5/3/2014. The Rwanda Biomedical Centre/Medical Procurement and Production Division invites qualified bidders to submit bids for the supply of SUPPLY AND DELIVERY OF LABORATORY REAGENTS AND CONSUMABLES .Enquiries regarding this tender may be addressed to Head of Division, RBC/MPPD, Gasabo District, Kigali City, P.O. Box 640 – Kigali – Rwanda. Tel. (+250) 252 580156/580157 – Fax. 0250 252 582725; Email: camerwa@gmail.com no less than 21 days prior the day of submission and opening. Well printed bids, properly bound and presented in two (2) copies and one (1) softcopy of price schedule in 2 CDs recordable, and one original must reach the reception of MPPD at the address mentioned above Not later than 13/03./2014 at 9 am o’clock (7 am GMT). The Rwanda National Police invites qualified bidders to submit bids for the Supply of different vehicles for traffic police and their accessories (re-launch) as indicated in detail in the statement of requirements. The lots of this tender were arranged as follows: Lot 1: Police patrol car, Lot 2: Police escort car, Lot 3: Mobile Traffic Police Station Vans, Lot 4: Off-road Vehicle- Hardtop type, Lot 5: Ambulances and accessories and Lot 6: Motorcycles. Tender Documents in English or French may be obtained from the Office of Procurement Unit, Tel 255103353/ 0788311803, at the Rwanda National Police General Headquarters Kacyiru, on any working day from 05/12/2013 from 07:00 am to 05:30 pm, upon presentation of proof payment of a nonrefundable fee of eleven thousand six hundred Rwandan Francs (11,600 Rwf) to Account N°120.00.46 opened at National Bank of Rwanda (BNR); the bank slip must bear the name of the bidder, the number and the title of the tender.All bids shall be accompanied by a Bid Security of 2% of the price offered for each lot or an equivalent in a freely convertible currency.Enquiries regarding this tender may be addressed to the Procurement Office, at the mentioned address. Well printed bids, properly bound and presented in four copies one of which is the original must reach the Office of Procurement Unit at the address mentioned above not later than 11/02/2014 at 9:30 am. RwandAir invites bids for the supply of brand new saloon cars for RwandAir. For more information about this tender contact RwandAir website @ http://www.rwandair.com/tenders. Deadline Feb 12,2014.

National Bureau of Statistics requests for expression of interest to provide consultancy services: For civil registration system adjustment and service level agreement in Tanzania. Contact: National Bureau of Statistics, Secretary, NBS Tender Board, P. O. Box 796, Dar es Salaam, Tanznaia, Fax: +255 22 2130852, email: dg@nbs.go.tz Deadline: Feb 14, 2014.

Rwanda Utilities Regulatory Authority invites sealed bids from eligible consultant firms to provide the following consulting services: Consultancy to elaborate and implement the balance scorecard in RURA. 5. Request for Proposals Documents may be obtained on any working day (Monday to Friday) in working hours i.e. (7:00am5:00pm) local time or (5:00am-3:00pm) GMT from: 6/1/2014 at: RURA Headquarters,Ex. Fair Building, Kiyovu , P.O. Box 7289 Kigali - Rwanda, Website: www.rura.rw, Attention: Procurement Office The document will be issued upon presentation of proof of payment of a non-refundable fee of Ten thousand Rwandan francs (Rwf 10,000) or its equivalent in foreign currencies to the Account N° 1201127 opened at National Bank of Rwanda.Enquiries regarding this tender may be addressed to the Procurement Office of RURA, P.O. Box 7289 Kigali, Tel. (+250) 252 584562, Fax. (+250) 252 584563. Deadline: 26/02/2014.

Source: East African Business Week

Source: East African Business Week and The EastAfrican

CONSULTANCIES Tanzania Port Authority invites sealed bids from eligible service providers of insurance brokerage service. Contact: The Secretary, Central Tender Board, Tanznaia Ports Authority, P. O. Box 9184, Dar es Salaam. Deadline: February 27, 2014.

Uganda National Roads Authority invites bids for the upgrading of Kyenjojo-Kabwoya Road (100km) from gravel to paved (bituminous) standard. Contact: Procurement and Disposal Unit, Uganda National Roads Authority, Ground Floor, Room No. GA3, Plot 5, Lourdel Road, Nakasero, Kampala, Uganda. email:procurement@unra.go.ug. Deadline: March 24, 2014. Uganda National Roads Authority invites bids for the provision of periodic maintenance of 44 selected national roads. Contact: Procurement and Disposal Unit, Uganda National Roads Authority, Ground Floor, Room No. GA3, Plot 5, Lourdel Road, Nakasero, Kampala, Uganda. email:procurement@unra.go.ug. Deadline: March 10, 2014. Uganda National Roads Authority invites bids for the supply, delivery and commissioning of a landing craft ferry for Sigulu Islands. Contact: Procurement and Disposal Unit, UNRA, Ground Floor, Room No. GA3, Plot 5, Lourdel Road, Nakasero, Kampala, Uganda. email:procurement@unra.go.ug. Deadline: March 21, 2014. Uganda National Roads Authority invites bids for the supply and delivery of protective wear for three years LOT1 &2. Contact: Procurement and Disposal Unit, Uganda National Roads Authority, Ground Floor, Room No. GA3, Plot 5, Lourdel Road, Nakasero, Kampala, Uganda. email:procurement@unra.go.ug. Deadline: Feb 21, 2014. Uganda National Roads Authority invites bids for the design and build for the upgrading of Mubende-Kakumiro Kagadi Road (107km). Contact: Procurement and Disposal Unit, Uganda National Roads Authority, Ground Floor, Room No. GA3, Plot 5, Lourdel Road, Nakasero, Kampala, Uganda. email:procurement@unra.go.ug. Deadline: March 12, 2014. Uganda National Roads Authority invites bids for the upgrading of the Tirinyi-Palisa-Kumi/Palisa-Kamonkoli Road. Contact: Procurement and Disposal Unit, Uganda National Roads Authority, Ground Floor, Room No. GA3, Plot 5, Lourdel Road, Nakasero, Kampala, Uganda. email:procurement@unra.go.ug. Deadline: March 12, 2014. Uganda National Roads Authority invites bids for the supply, delivery of compact panel bailey bridges. Contact: Procurement and Disposal Unit, UNRA, Ground Floor, Room No. GA3, Plot 5, Lourdel Road Nakasero, Kampala, Uganda. email: procurement@unra.go.ug. Deadline: Feb 19, 2014. Uganda National Roads Authority invites bids for the supply, delivery and commissioning of a roll on roll off ferry and a slip way for Zengebe-Namasale crossing. Contact: Procurement and Disposal Unit, UNRA, Ground Floor, Room No. GA3, Plot 5, Lourdel Road Nakasero, Kampala, Uganda. email: procurement@unra.go.ug. Deadline: Feb 26,2014. Uganda Revenue Authority invites sealed bids from eligible bidders for the provision of the following: Supply of compactor & mobile shelves-Re tender Supply of tobacco revenue stamps under framework contract. Acquisition of Ka Band, Internet Sevices, Data, Wireless Access and VSAT Installations under framework contract Supply, installation, commissioning and maintenance of a web based call management solution. Supply and installation of a 1000KVA Generator and 1000A switch Gear for Nakawa Headquarters Supply of document examination equipment. Contact: The Manager, Procurement and Disposal Unit, Uganda Revenue Authority Headquarters, Plot M193/M194, Nakawa Industrial Area, NIP Building, Room 2.5, P. O. Box 7279, Kampala, Telephone: 256 417 442155/6/7/8/9 The Uganda Electricity Transmission Company Ltd invites bids from eligible bidders for the supply of tele protection interfaces. Contact: UETCL, Plot 10 Hannington Road, Opposite Serena Hotel, Procurement Office-Ground Floor, Tel: +256 414 233433/4, Fax: +256 414 341789, email: procurement@uetcl.com Deadline: March 12, 2014. Source: East African Business Week and New Vision


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East African Business Week I February 10 - 16, 2014

Uganda startup wins Microsoft cash BY PAUL TENTENA nKAMPALA, Uganda- Access Mobile, a local startup focusing on agriculture and health care industries, has been awarded a Microsoft 4Afrika Initiative grant. Microsoft Corporation announced the five winners last week, who will get innovation grants designed to provide the financial support needed to cross borders and empower the next generation of developers and entrepreneurs in Africa. The grant is part of the company’s 4Afrika Initiative, which was launched in February 2013 to facilitate the company’s active engagement in Africa’s economic development to improve its global competitiveness. “As part of the 4Afrika initiative, we are excited to be supporting startups that have developed innovative solutions that address key issues in Africa,” said Amrote Abdella, director of startup engagement and Partnerships for 4Afrika. “Our support is aimed to showcase the importance of local innovation, but, more important, it highlights the great potential that African innovators have in competing with world-class developers and entrepreneurs.” Last year, Microsoft 4Afrika extended the Microsoft Ventures partnership program to Africa, with startup accelerator 88mph as its first

PRESTIGIOUS: 4Afrika Initiative was launched in February 2013 to boost Microsoft’s active engagement in Africa’s economic development. partner. Through the 4Afrika Initiative, Microsoft is now extending its support to include grants to startups, selecting five startups as the first set of recipients. The startups were selected based on the uniqueness and scalability of

Airtel Tz upgrades money platform BY PATRICK KISEMBO nDAR ES SALAAM, Tanzania-- Airtel Tanzania, who consider themselves the most innovative and quality service provider in the country, last week started upgrading its Airtel Money platform with new state of art technology to make the service more efficient. The process which started on February 7 is expected to enable customers to have more utilities on the mobile money platform but also is set to boost Airtel money services uptake in Tanzania Airtel Corporate Communications Director, Beatrice Singano Mallya told East African Business Week in interview that the new Airtel money platform will now allow customers to access multiple functionalities that the new upgrade will support in addition to the already existing functions. According to the new process will support previous function such as buying Airtime, sending money, payment of key services, withdrawal of money, increased options in management of individual customer accounts and bank transactions right from the phone. Mallya added that the upgrade of the mobile money payment platform is part of the company’s goal to provide its valued customers the power to make safe, secure, fast, seamless cashless transactions from anywhere at any time from the comfort of their phones. “We are confident the upgrade of our Airtel Money service will bring with it added flexibility and boost customer experience,” she said. She said during the upgrade, Airtel Money will be unavailable from Saturday night starting at 9pm to Sunday morning. “We do not anticipate any glitches during the upgrade period and we request patience from our customers as go through this upgrade to enhance their experience. We are working towards better customer experience for individual users, corporate organizations, government, banks and other stakeholders,” she said. The boss said: “Our customer service and help desk will be available 24 hours 7 days a week to support our customers in case of any query. We will also be reachable via our social media pages on Facebook and Twitter.”

their solutions, their business models and the relevance of the key problems they are addressing. The solutions and Apps developed by the startups are relevant to consumers and the African market, ranging from agriculture, education and consumer (gaming).

In addition to grants, Microsoft will provide technical support and mentorship to help these startups develop their businesses through the company’s Center of Expertise. This group of Microsoft technology enthusiasts focuses on using Microsoft tools and technologies to

solve business problems. The 4Afrika Initiative aims to help startups break through barriers and reach new heights with the help of Microsoft’s data platform solutions, unified communications, optimized desktops and enterprise project management. Abiola Olaniran, CEO of Gamsole, which has already developed some of the most popular Windows Phone games in Africa, said, “The Microsoft 4Afrika innovation grant provides a great support as it helps entrepreneurs to further bootstrap their companies without giving up equity or control. It allows us to not miss out on the kind of fast growth that only major cash infusion can provide.” “A critical success factor in driving the economic success of entrepreneurs in Africa is access to capital together with a solid incubation foundation. Microsoft 4Afrika is partnering with local organizations in creating opportunities for ‘smart capital’ to be available to our young innovators,” said Fernando de Sousa, general manager for Microsoft 4Afrika. “Smart capital combines access to finance, technical skills development, business mentoring, sharing of global best practices and access to markets with the infrastructure provided by local partners to enable world-class companies to emerge from Africa.”

Mixed feelings over Rwanda switch BY AGNES BATETA nKIGALI, Rwanda---Mixed feelings have merged over the switch to digital broadcasting in Rwanda at the beginning of this month. “I think the new digital system is very good but they should have introduced it, sparing the analogue system also hence give people a chance of what to take on, but most especially to people who cannot afford the digital system,” said one viewer, but who preferred anonymity. The switch from the analogue broadcast signal comes as GOtv, a pay-TV service under South Africa’s MultiChoice name, has entered Rwanda’s TV market. “Rwanda has a very good business environment and therefore this is why we decided to bring such a business in the country,” Stephen Isoboke, the MultiChoice Africa Regional Director said recently. He said digital is affordable, while also providing good quality broadcasting to the population. The TV market in Rwanda has been mainly taken on by the Chinese company StarTimes, plus DStv (another MultiChoice brand). Critics say this has not offered enough competitiveness in the television industry. This new digital system is again aimed at creating more entertainment for the Rwandan people hence improve on service delivery. Rwanda wants to increase on capacity enabling people to get about 24 television channels compared to the present eight. “We want to upgrade infrastructure bringing in more television channels for people to enjoy,” Isoboke said.

A digital setop box, Rwandan people need to have such in order to enjoy the benefits of digital migration. pay from Rwf6500 as subscription. “For every business to succeed, it This new television GOtv operates in needs competitors and therefore we nine countries of Africa, which include believe that GOtv will bring in this comRwanda, Kenya, South Africa plus Uganda petition hence help improve on service among others. delivery to the Rwandan population”, said Digital television use was initiated by CEO Tele 10 Group Eugene Nyagahene. the International Telecommunications After continuous call to Rwandans on Unit (ITU) and Rwanda happens to be a such an activity, on the January 31, 2014, member therefore this is why such an Rwanda Broadcasting Authority switched activity had to be done in the country. off the analogue transmitter between 7pm-8pm still giving a chance to most people to prepare for such a huge shift across the three districts of Kigali city, plus in districts of Muhanga, Rulindo, Kayonza, Rwamagana, Kamonyi plus “We want to upgrade Bugesera.About 30.000 television sets infrastructure bringing were affected in that switch off, yet the distributors had about 35.000 sets to be in more television sold out to the entire population in the affected areas. channels for people to To get such a TV service, one has to pay Rwf29.000, which takes them on for enjoy,” Isoboke said. two months no subscription and later can


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HEALTH

East African Business Week I February 10-16, 2014

EXCITED: One of the flying doctors planes in the field, a service that has defined the success of AMREF across the region

Philips joins AMREF for Africa health BY PATRICK KISEMBO nDAR ES SALAAM, Tanzania-Royal Philips and the African Medical and Research Foundation (AMREF) announced that they will work closely together in an innovative shared-value partnership model designed to bring about a structural improvement in the healthcare infrastructure and healthcare provision on the African continent. In a statement availed to East African Business Week , it said the long-term strategic partnership aims to support AMREF in achieving its social goals and will help Philips in its ambition to improve the lives of

people in Africa, while at the same time realizing growth across the fastevolving African healthcare market. “This partnership comes at a time when most countries in Africa continue to contend with existing and emerging healthcare challenges: a high incidence of infant and maternal mortality (from largely preventable causes), a sharp increase in the number of people suffering from non-communicable diseases (cancer, diabetes and heart disease); inadequately equipped medical facilities; and inadequately trained clinical staff. For example, a woman in sub-Saharan Africa is a hundred times more likely to die of a preventable complication related to pregnancy or childbirth than a woman in Western countries,” it

stated. The report said further that in order to compliment local government efforts in tackling the problems, AMREF and Philips will connect their networks and bring to market new education and training programs designed specifically for healthcare professionals in Africa. The two big organization promised to closely cooperate with local stakeholders and that both parties will strive to develop and implement large-scale projects to improve healthcare infrastructure and make healthcare more accessible to the local population. Dr. Teguest Guerma, AMREF’s Director General expressed her delight at this partnership: “This is

a very unique partnership. Philips is part of AMREF’s heritage and we are happy to embark on the next step of working together in formulating programmes that will utilise innovation to combat the shortage of health professionals and adopting contemporary solutions that will enable Africans to get proper health services.” “To provide innovative solutions that can deal with the complexity of healthcare in Africa, Philips is taking a long-term approach aimed at close collaboration with local and international parties that have strong engagement in the issues. By teaming up with AMREF, an internationally respected African healthcare organisation, we are convinced that we can work toward our

goals of making a significant contribution to improving healthcare in Africa, expanding our activities for providing clinical and technical training to people, and growing Philips as an organisation on the African continent,” said Roelof Assies, General Manager, Philips East Africa. Many African countries have under-developed infrastructure (roads, telecommunications, electricity and water) and it is difficult to find well-trained and motivated personnel who are prepared to work in remote rural areas. Philips and AMREF will jointly seek ways of developing largescale innovation projects in order to modernize the infrastructure, improve healthcare, and make it accessible in a region as a whole.

United Nations bears down on FGM BY PATRICK KISEMBO nDAR ES SALAAM, TANZANIA-The United Nations Population Fund (UNFPA) in Tanzania has called on the government and communities to step up efforts to end Female Genital Mutilation that has cost more than 125 million girls and women in Africa and Middle East. The UNFPA Tanzania Representative Ms. Mariam Khan said this last week when marking the World’s International Day for Zero Tolerance to Female Genital Mutilation and Cutting (FGM/C). “FGM/C is a harmful traditional practice that results too often in significant health problems for women and girls and violates their human

rights,” said Ms. Khan. According to her, FGM/C is deeply entrenched in the cultural practices of the community and often protected by local leaders. She called on local leaders, the community and the government to make efforts for its eradication, stressing that efforts should be directed on and led by the communities to effect change. FGM/C is illegal in Tanzania, and since 1998 prevalence is stable at 15%. Accordingly research shows that women who have been cut in Tanzania are up to 31% more likely to require a caesarean section in delivery, and babies born to women who have been cut are up to 55% more likely to be stillborn.

The UNFPA Country Representative said here office in the context of delivering as One with partners in Tanzania is working to eliminate FGM/C interventions by educating communities through media and community meetings, raising awareness of the health repercussions for the girls and of the human rights violations resulting in lost potential. “The organization engages duty bears, decision makers, and community members, including religious leaders, to change attitudes and identify alternative rites of passage,” she explained. Khan said ending the practice depends on how the global and local communities respond. “UNFPA and UNICEF are jointly implementing a programme to accelerate the aban-

donment of FGM/C. Every young girl, regardless of where she lives, or her economic circumstances, has the right to fulfill her human potential, free from coercion, harm or violence. We can ensure that she does, and we must. The sustainable, equitable, inclusive future we all want depends on the actions we take today to ensure the dignity, health and well-being of every girl,” she said. FGM/C is being practiced variably in Tanzania and it is mostly predominant in Manyara 71%, Dodoma 64%, Arusha 57%, Singida 51% and Mara 40%. “Nothing justifies the continued practice of FGM/C it is an obstacle to attainment of the health, development and human rights goal not only

for girls and women but also for all members of society; In the 21st century, no woman or girl should suffer or die due to FGM/C. Addressing the persistent inequalities that negatively affect women’s and girl’s health and well-being is our unfinished business,” concluded UNFPA Representative Khan. Millions of girls around the world are under threat of FGM/C, despite a century of efforts to put an end to it. In the 29 countries in Africa and the Middle East where the practice is concentrated, more than 125 million girls and women have been cut. UNFPA projects that a further 86 million young girls worldwide are likely to experience some form of the practice by 2030, if current trends continue.


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LIVING

East African Business Week I February 10 -16, 2014

Iron bar thugs target corporates

Wilber Wangi shows the head injury the sustained BY BAZ WAISWA n KAMPALA, UGANDA–Wilber Wangi a member of the circulation team at East African Business Week recently faced the wrath of Kampala night thugs when he was attacked on a Saturday night as he returned from work at about midnight. He was lucky to escape with only a critical head injury inflicted on him when a stone wielding thug struck his head from behind before taking off with his backpack bag that had his valuables including money as he waited for a taxi in Wandegeya a city suburb in Kampala. Thomas Pere a local journalist lost his life late last year when a group of thugs struck him with iron bars incidentally cutting his youthful life short. Over the years many lives have been ended the way Pere’s was terminated by the gruesome people who find ending another’s life a child play and as a way of life. In fact walking late at night in Kampala especially in the suburbs and dark isolated alleys has become risky as unemployed and sadist youth have made such places their hunting grounds. In the past these robbers armed with metallic objects targeted commercial motorcyclists (boda boda) and their customers who they would waylay people in dark corners or isolated places. They will make off with belongings leaving the victim for dead or terribly injured. Now they are targeting those who work late especially those who use public transport late in the night when there are few people on the road. Some of these thugs have

Police officer Andrew Sorowen displays a hammer used by iron bar hit men in Kampala. COURTESY PHOTO

People should avoid moving in isolation and should avoid dark places. When you are moving with other people the probability of being attacked is less because you outnumber the thugs and can fight back or make an alarm

made investments into their sinister acts by either hiring commuter taxis or buying their own cars or motorbikes to trap the unsuspecting tired customers returning home after a long day’s work or a night out at a pub. These thugs equip their vehicles with iron bars, sticks and stones as weapons they use to inflict pain or kill. In Kampala the most affected places are Wandegeya area near Makerere University (targeting students), Kalerwe, Kawempe, Bwaise, Nateete and Nakulabye and the alleys that are not used in the night in city centre. The iron bar hit men expanded their bad practice to other areas neighboring Kampala like Kireka, Bweyogere, Gayaza, Nabweru, Nansana and the northern by pass road in Wakiso district. Mukono district was not spared just like other major towns upcountry. In an interview with the Uganda Police PRO Judith Nabakoba

she said there has been a reduction in the number of people that are attacked but media reports continue to indicate that the thugs are still out their baying for innocent blood. Nabakoba was however quick to advise that people moving in the night should shun dark places and to move in company of other people. Also avoid moving with luggage. Luggage is a magnetic attraction to these thugs who are likely to imagine you are carrying money, a laptop let alone something that could earn them some money. “People should avoid moving in isolation and should avoid dark places. When you are moving with other people the probability of being attacked is less because you outnumber the thugs and can fight back or make an alarm to defend yourselves. These thugs also fear to attack people moving in big numbers,” Nabakoba advised. She added that when moving alone one should watch out for approaching people them or following them. In such scenarios give distance, cross the road or move the opposite direction. “Go to busy places if you sense that there is someone or a car following you. Usually these people are waiting for to go to a dark or lonely place so they can hit you,” added. The police publicist explained that these kind of acts are caused by many factors which include indiscipline and looking for survival. Some of these people are habitual criminals and former prison inmates who are not rehabilitated enough,” she said explaining the sometimes it’s a behavioral issue.

How to defend yourself At some point in your life, you may be in the situation of encountering an abusive person and be in the position of having to fight off one or more opponents. A street fight won’t follow rules or niceties; if you find yourself in this situation, you need to do as much as possible to defend yourself and to avoid getting seriously hurt. Be prepared Your initial reaction and good mental control are essential for facing an attacker in a street context. As with any form of self-defense, prevention is the best policy. Use the usual common sense guidelines for avoiding meeting thugs in the street, such as not walking down dark streets at night, not going to unfamiliar places without being accompanied by another person, not going to places you know are dangerous at certain times of day or night, etc. Stay alert at all times, as being alert can often give you enough warning to clear out before walking into a provocative situation, and being alert is essential for protecting yourself once you’re involved in a fight. Self defence Learn what you can about selfdefense regardless how likely or unlikely you think it is that you might end up being attacked someday. Make and keep yourself strong by going to the gym or exercising. Do regular workouts to keep up your strength and confidence. This is especially important if you are fearful of something happening to you; stop worrying and start taking control of those fears by knowing you can

respond if needed. Faceoff with the attacker Walk or run away and hide, if possible. Not having to engage the assailant is your best defense. In the event that you can’t get away and you to have to respond to protect yourself, knowing self-defense is crucial. Be aware that the rules of martial arts techniques might not help you, as sometimes even Black Belt Martial Artists can get severely injured on a tough street fight with no rules. Try to stay calm. The calmer you are, the better you will be able to find the gaps to escape through and to know to seize the moment to get away. Remember that the idea that size has absolutely no connection with strength is a myth. Size does actually matter. Don’t fool yourself into thinking that you can beat someone twice your size just because you have learnt how to defend yourself or because you have been visiting the gym. If you’re not a good fighter, put your back to a wall as it will keep you from being surrounded, and you will be able to go left or right to fight your way out through one attacker rather than a surrounding group of attackers. Expect to be able to take severe punishment in a fight without panic or giving up in the face of danger. Mental effort is required be able to maintain a physical good effort, so be prepared to psych yourself into affirming that you can survive this, all while it is happening. www.wikihow.com


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East African Business Week I February 10 - 16, 2014

Suitable education equals opportunities

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SKILL DEVELOPMENT: Providing prospects like vocational education will improve the labor force in the region BY BAZ WAISWA n KAMPALA, UGANDA– Quality education and good attitude have been singled out as the main drivers of ensuring that there is social inclusion in society, World Bank experts, government officials and human rights activist said last week. The experts made the remarks during the launch of a World Bank’s report “Inclusion Matters: The Foundation for Shared Prosperity” in Kampala. The world over, certain groups of people are barred from fully or partially taking part in their country’s or community political, economic and social life. World Bank Country Director for Tanzania, Uganda and Burundi, Philippe Dongier, said there is need to make radical effort to improve quality of education. He said the school learning process is one of the means to good social inclusion. “There is need for basic education to enable young people to have skills which today is not happening. Education is relevant to the economy. Vocational education and higher education have the capacity to make the labor force more competitive,” he said. He said the issue of social inclusion is a challenge in East Africa. This includes the poor quality. “The country (Uganda) has made tremendous achievements under the Universal Primary Education (UPE) project compared to what it was in the past years but there are still challenges that need improvement. The glass is half full and

We need a clear research agenda. We need better tools to measure the costs of exclusion and for diagnosing its root causes

half empty,” Dongier said. While contributing to the plenary discussion Rt Rev. Zac Nirigiye, an activist said government should be able to implement basic ideas like UPE and increase its funding to education. “We have to implement basic ideas, for example, making UPE work is not rocket science,” Nirigiye said. He urged the Government to invest in schools, teachers and children if UPE is to be effective in Uganda. He also advised parliament to review the Education Act to make it mandatory for parents to pay for children’s lunch. He said: “Poverty is not the problem, the problem is greed. Instead of World Bank trying to end extreme poverty why doesn’t World Bank try to end extreme greed?” He said the numerous scandals that have rocked the nation simply imply that the Government is incapable of fighting corruption on its own. Empowering the civil society and educating Ugandans will play a vital role in the fight against corruption.

World Bank Uganda Country Manager, Mr. Ahmadou Moustapha said the profound transitions like the changing population structure, urbanization, climate change, information revolution and natural resource driven growth are creating new opportunities but also risks for inclusion. “Uganda’s youth bulge, for instance, will become a key policy issue just as the country moves into middle income status,” he said. Dongier said a focus on poverty alone will not take us to the next stage of development. We also have to focus on shared prosperity. He said: “We also cannot address social inclusion unless we learn from each other and a global report like “Inclusion Matters” makes an invaluable contribution to that learning agenda.” Maitreyi Bordia Das, lead author of the report, said Uganda has many opportunities that can enhance social inclusion, provided it anchors its vision of a middle income country in the significant transitions it is witnessing. “Will this growth be equitable? Yes, it can, if the right policy environment exists and if people’s aspirations are kept at the center,” Das said. “Our report underscores the point that policies that address social inclusion are those that don’t necessarily do more, but those that do things differently.” She added. In the forward of the report, the World Bank

Group President, Jim Yong Kim explains that excluded groups of people are confronted with barriers that prevent them from fully participating in their nation’s political, economic, and social life. “At the World Bank, we have realized that confronting the need for social inclusion will prove vital if we are to meet our goal for building prosperity for all people. While great strides have been made in reducing extreme poverty, in country after country, groups remain excluded from development gains. A rising tide does not necessarily lift all boats.” He notes that segregated groups exist in all countries, rich or poor, democratic or not and they are always hidden from public censuses, made invisible by their fear for reprisal. Kim explain that excluded groups are denied opportunities and less likely to receive the benefits of development investments making exclusion costly. He said: “Segregation can restrict free movement of talent and resources, resulting in productivity losses to an entire economy.” The president and his team has found abundant evidence that inclusion can be planned and achieved with education acting as an unparalleled agent for stimulating inclusion. Kim believes that solving the problem of social exclusion is urgent and requires time and unwavering commitment. “To move forward we need

1. President of Uganda (8) 8. People of Middle East (5) 9. Continue despite opposition (7) 10. Annoyance/Causes trouble (8) 11. Get better (4) 12. Symphathy/Sadness (4) 13. Act (6) 15. Unpleasant noise (3) 16. Sell to highest bidder (7) 21. Legally controls (7) 23. Steady (6) 24. Persuade or trick into action (4) 26. Poison, bitter feeling (6) 27. Property given before marriage (5)

DOWN 1. Was replaced by Kikwete in Tanzania (5) 2. Information in numbers (10) 3. Storeroom in church (6) 4. Raise doubts about a public figure (7) 6. Measurement of how tall (6) 7. Circumstances and happenings at the same time (9) 14. Give particular work/task to someone (8) 18. Reassess/Re-examine (6) 19. Strangely amusing situation way (5) 20. Head of a monastery/ Abbey (5) 22. Cut off (5) 25. Unidentified Flying Object (3)

SOLUTION TO BUSIWEEK PUZZLE

O U T H S 4U D O M R 10 P L E GA L 11 12 Y E I E 15 C R E C N E 16 T P L E A 19 T I D ND I S P OS S S O 24 S C O P E 25 Y S A T B 26 O L A B E L 27 R I N E Y 28 G T E N 1

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a clear research agenda. We need better tools to measure the costs of exclusion and for diagnosing its root causes,” he said. Among the most common groups identities resulting in exclusion are gender, race, caste, ethnicity, religion and disability status.

6

6 A N M 7 E L D E S 8T D U UG 13 E A R U A S T S L 17 18 E R A S E D T A 21 E 22D T 23 Y E V E R Y P N O I L E D N O D B R I A T E D R E 5

Social exclusion based on such group attributes can lead to lower social standing, often accompanied by lower outcomes in terms of income, human capital endowments, access to employment and services and a voice in decision making.


31

SPORTS

East African Business Week I February 10 - 16, 2014

FIFA at ease with FUFA

LIVE TV GAMES ENGLISH FOOTBALL – PREMIER LEAGUE

BY BAZ WAISWA

nKAMPALA, UGANDA-

Federation of International Football Association (FIFA) development officials of East and Southern Africa Patrick Onyango and Gorviden Thondoo have expressed their satisfaction with the development being undertaken by the local football governing body. The officials who were in Kampala last week while addressing sport journalists at Federation of Uganda Football Association (FUFA) said the progress achieved by the technical department and expressed interest to continue supporting the country. “The grass root football is key to the development of football. But we also need to help the referees and coaches who equally play an important role,” Thondoo the FIFA Technical Development officer for the region said. Thondoo revealed that a report on their findings will be made to see where support can be extended. On the football structures, Onyango, the FIFA regional Deputy FIFA Development officer, is optimistic that the fruits will be there for all to see in future with

West Brom vs. Chelsea

21h30

Tues, 11 Feb

Hull City vs. Southampton

21h35

Tues, 11 Feb

Cardiff City vs. Aston Villa

21h35

Wed, 12 Feb

Arsenal vs. Manchester United

21h15

Wed, 12 Feb

Manchester City vs. Sunderland

21h35

Wed, 12 Feb

Newcastle vs. Tottenham Hotspur

21h35

Wed, 12 Feb

Fulham vs. Liverpool

21h50

SS3/SS3N SS5N/Maximo2 SS7/SS7N SS3HD/SS3 SS5/SS5N SS9 SS7/SS7N

SPANISH FOOTBALL – LA LIGA

Thondoo (L) and Onyango (R) in a meeting with FUFA officials PHOTO BY FUFA the senior football teams. “The next 10-15 years will see countries like Uganda, Kenya and Tanzania competing with each other to see who has the best football structures,” Onyango said. In late 2013, the FIFA team met with the FUFA executive committee in Entebbe and discussed on five key areas-Technical, management, Governance, competitions, communication and

marketing. The international governing body recommendations have come at a time the federation under the stewardship of new federation president is being criticized for doing little to develop grassroots football and running a low quality league. This comes on the background of the national team’s failure to get passed the group stages of the recent CHAN competitions.

Uganda to get second Artificial Turf BY BAZ WAISWA nKAMPALA, UGANDAUganda is poised to get another football artificial turf according to FIFA Development Officer for Eastern and Southern Africa Ashford Mamelodi who was in Kampala recently. The artificial turf will be laid at KCCA stadium the home to KCC FC in Lugogo. This will be the second in the country after the one at Njeru technical Centre in Jinja.

Tues, 11 Feb

Mamelodi believes the turf will improve football infrastructure in Uganda. Mamelodi together with FUFA President Moses Magogo, FUFA officials and KCC FC officials toured the site where the turf is going to be laid “We are excited about this project because we feel the players will enjoy playing on this turf and football standards will improve as well,” said Mamelodi.

“Our preference would have been for such projects to be laid on the federation’s property but other stakeholders can accept them too,” added Mamelodi. Mamelodi revealed that the FIFA development Committee will meet in March for the approval of the project which has already seen initial stages go on without any hindrances. An excited FUFA President Magogo stated that infrastructure is needed for

football development in the country. “We are moving in an era where Kampala will be hosting international matches on the artificial turf” the federation president said. Lugogo has already hosted international matches involving the CECAFA Senior Challenge Cup in 2012 while last year the fans witnessed the Uganda women U-20 side thrash Sudan 13-0 at the same venue.

Winter Olympics on DSTV

Mon, 10 Feb

Celta Vigo vs. Athletic Bilbao

22h55

Maximo/Select2

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Atletico Madrid vs. Valladolid

16h55

SS5N/Maximo

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Barcelona vs. Rayo Vallecano

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Getafe vs. Real Madrid

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ITALIAN SERIE A Fri, 14 Feb

Milan vs. Bologna

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Fiorentina vs. Inter

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Catania vs. Lazio

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Juventus vs. Chievo

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Sassuolo vs. Napoli

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Roma vs. Sampdoria

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GERMAN FOOTBALL – BUNDESLIGA Fri, 14 Feb

Mainz vs. Hannover

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Bayern Munich vs. Freiburg

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Bayer Leverkusen vs. Schalke

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Maximo360

Sun, 16 Feb

Hertha Berlin vs. Wolfsburg

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FA CUP Sat, 15 Feb

Sunderland vs. Southampton

Sat, 15 Feb

Cardiff City vs. Wigan Athletic

Sat, 15 Feb

Manchester City vs. Chelsea

Sun, 16 Feb

Everton vs. Swansea City

Sun, 16 Feb

Arsenal vs. Liverpool

14h35 SS3N/Maximo 16h50 SS3HD/SS3 19h00 SS3N/Maximo2 15h15 SS3/SS3N 17h45 SS3/SS3N

Schedule Date

Series

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W in te r O ly m p ic s N e w s

E p is o d e 5

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1 0 -F e b -1 4

A lp in e S k iin g

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L iv e

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L iv e

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W o m e n -S u p e r C o m b in e d F in a l W o m e n -S u p e r C o m b in e d F in a l

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W in te r O ly m p ic s N e w s

E p is o d e 6

1 4 :4 0

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P r e m ie r e

Thur, 13 Feb

Golden S.Warriors vs. Miami Heat

L iv e

Sat, 15 Feb

All-Star Weekend: R.Star Challenge

05h20 SS9/Maximo 04h00 SS5/SS5N

Sun, 16 Feb

All-Star Weekend: All-Star Sat Night

03h30 SS5N/SS9

S p e e d S k a tin g

M e n -5 0 0 m In d iv id u a l

1 4 :5 5

1 0 -F e b -1 4

B ia th lo n

M e n -1 2 ,5 k m P u r s u it

1 8 :3 0

As seen on DStv

AFRICA RED 45009

1 0 -F e b -1 4

S S 6 ’s

AFRICAN LEAGUES Sat, 15 Feb

Kenya: Ulinzi S vs. Chemelil Sugar

Sat, 15 Feb

Ghana: Ashgold vs. Bechem United

Sun, 16 Feb

Kenya: Thika United vs. Tusker

Sun, 16 Feb

Ghana: Aduana vs. Hearts of Oak

13h30 SS9E 17h00 Select1 13h30 SS9E/Select1 17h00 SS9

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32

BUSINESS DIGEST

East African Business Week I February 10 - 16, 2014

Coaching; What is the fuss about? PAGE 13-14

How to dodge the stress bullet PAGE 15

Famine fears hit northern Kenya BY HUMPHREY LILOBA nNAIROBI, KENYA–Kenya is at crossroads on what to do with over 1.4 million people facing starvation in the Northern Kenya region. The government was by late last week holed up in meetings aimed at mitigating the crisis. Kenya has already declared the situation a national disaster with appeals to the public to help in alleviating the problem. The Cabinet last week annouced the approval of some US $23.5 million for the purchase of maize from farmers. The funds, approved during a meeting chaired by President Uhuru Kenyatta recently, will enable the National Cereals and Produce Board (NCPD) improve the stocks in the strategic grain reserve. Though not sufficient to a go round the famine hit communities, the move was lauded as a timely intervention. The Cabinet also directed NCPB to promptly pay the farmers upon delivery of the maize. Most farmers in Kenya have been reluctant to sell their produce directly to government for fear of low prices and delayed payments. “The NCPB will continue to pur-

A child lies next to vegetable oil tins at a refugeee camp in Kenya chase maize from farmers to boost the available stocks for the strategic grain reserves. Adequate funds have been provided by the National Treasury for this purpose,” a statement released after the meeting said. Maize is a staple food in Kenya, feeding over 90 per cent of the population. The government plans to double annual maize output in the next

Hotel grading delayed BY PAUL TENTENA nKAMPALA, UGANDA–Hotel owners are delaying the government plan of grading and classifying hotels in Uganda.According to Maria Mutagamba, the Uganda Tourism Minister, the process was expected soon. Though, the top management of the Uganda Hotel Owners Association seems ready for grading, upcountry hotels are crying foul of their inability to restructure/remodel their hotels to meet the required star status is still hampering the process. “We’re asking the government to fast track hotel grading and classification. We wanted to do it ourselves but we were stopped because it looked unethical to do it ourselves,” said the Uganda Hotel Owners Association Chairman Ibrahim Muwanga Kibirige. However, the Executive Director of the Uganda Hotel Owners Association said the delay is due to the reason that a number of hotel owners especially in upcountry Uganda have not been updated with the new developments regarding hotel classification and grading. “The challenge is still in remodel-

ing of these hotels. It’s costly,” he said. It was reported last month the government had secured funds for hotel grading to start this month. The major impediment to hotel grading was lack of funds with the concerned organization Uganda Tourism Board decrying its inability to carry out the exercise without money. Under the Tourism Act 2012, the Uganda Tourism Board is empowered to carry out hotel grading and enforce the required and acceptable standards in Uganda’s hotels. Classification The classification ranges from one to five stars. In this case, Five Star will denote top of the range. The East African Community arrangement has a classification model that covers physical and tangible characteristics of accommodation. They comprise; location, dimension of rooms, supplies in the bathrooms, frequency of change of linen and elegance,” she added. Failure by UTB to classify Uganda’s accommodation facilities was cited as one of the bottlenecks that affect the tourism industry.

five years to help curb food deficit. Annual consumption is about 42 million bags. Data from the agriculture ministry indicates that between two and three million bags are imported from neighboring countries, while another 10 million bags are sourced from the international market. Agriculture Cabinet Secretary Felix Koskei recently said the country’s

current production of the staple stands at 32 million bags per annum. “We are planning to put 500,000 acres of irrigated land under maize production in the next five years,” she said. The Kenyan government last week allayed any hope that the scandalridden standard gauge railway project launched in November last year would be shelved to pave way for investigation into its tendering procedures. A section of parliament, donor agencies and the civil society are claiming that the multibillion project is mired in an intricate corruption mesh that if unchecked could cost the kenyan taxpayer billions of shillings. President Uhuru Kenyatta at a State of the Nation address last week said there will be no turning back on the construction of the $3.8 billion standard gauge railway. Kenyatta who was flanked by his entire cabinet at state house nairobi said he would not allow the commercial interests of a few businessmen to derail the project. He said he personally visited China last July and pleaded with the government to assist Kenya financially and technically to build the Mombasa to Malaba railway. According to the president, those

punching holes in the tendering process of the railway project are working at the behest of multinational cartels that did not win the tender to construct one of the biggest infrastructure projects in the region. “The standard gauge railway project must and will go ahead for us to achieve our development agenda,” he said. He termed it as the single biggest investment in East Africa in the last 50 years. The president maintained that due process was followed in awarding the tender to China Roads and Bridges Company. “What we know is that we have followed all laws of our country, we have followed all laws of China,” the President stated. He said the project will reduce freight transportation charges from the present $0.20 per tonne-kilometre to about $0.083. It will reduce journey times from 30 hours to 8 hours. Exim Bank of China is providing a commercial loan of US$1.6 billion and a concessional loan of $1.63 billion, totalling $3.23 billion dollars, for Phase I that will run from Mombasa to Nairobi. He said the Kenyan government will purchase the land where the railway will pass.

Symbion embarks on independent 600MW power project in Tanzania BY LEONARD MAGOMBA nDAR ES SALAAM, TANZANIA–The southern part of Tanzania will soon start enjoying reliable power. This follows a move by Symbion Power Services to introduce its independent power project. The minister for energy Sospeter Muhongo told East African Business Week that the Washington DC based, power firm, Symbion will embark on an independent power project in 2014. This was revealed during the Powering Africa meet in Dar es Salaam recently. Muhongo said Symbion will undertake the project as a Public Private Partnership with the state owned power utility, Tanzania Electricity Supply Company (Tanesco). He said: “That project will be able to generate 600MW of power. We shall build a 650kms 400kV transmission line from Mtwara to Songea, all located in the southern part of

Symbion CEO, Paul Hinks Tanzania.” According to Minister Muhongo, once the project completed, Tanzania will be able to export power to Malawi, Zambia and parts of DRC. He praised the American power company Symbion Power describing it as a “key player” in the country’s electricity private sector. The

225MW the firm delivers to Tanesco are vital especially with the drought lowering the output of hydro-electric power systems. Symbion Power’s Chief Executive Officer, Paul Hinks said this is perhaps the first investment in the power sector that falls under the Public Private Partnership Act of 2010. This law requires Tanesco and Symbion to adhere to a strict legal roadmap. It has taken us longer than we had both anticipated but we are now at an advanced stage, he said. Hinks said his firm is currently fast-tracking the installation of 20MW of gas power generation to Mtwara by mid 2014. He said until this year, there has been insufficient demand in the area, making it uneconomic for Tanesco to install a new plant in the area. However this year, with oil and gas infrastructure, port operations and new industries the demand for power is up.

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