On the Graft Radar...

Hello! It's Brian from The Kenyan Wall Street with the latest edition of our daily newsletter. Below are our stories for the day

Corruption  

On the Graft Radar : Kiambu Governor Wamatangi Arrested

The Ethics and Anti-Corruption Commission (EACC) executed search warrants targeting senior Kiambu County government officials and businesspeople over alleged irregular procurement and fictitious payments amounting to KSh 1.5 billion. The operation, conducted at the residences and offices of nine individuals, including the County Governor Kimani Wamatangi resulted in the recovery of KSh 12 million and US$13,000 in cash from the governor's residence. The EACC has arrested Governor Wamatangi.

The investigation focuses on allegations of conflict of interest, procurement irregularities, abuse of office, and illegal payments, particularly concerning a KSh 230 million ERP system contract awarded to Filtronic International Limited.

More updates to come…

Today's Poll

Capital Markets

Financial Performance: Nation Media Group 

Nation Media Group reported:

♦️ A net loss of KSh 254.4 million in 2024, up 23.6% from the KSh 205.7 million loss in 2023.

♦️Total turnover declined by 12.5% to KSh 6.23 billion due to high inflation and weak consumer demand.

♦️ Digital revenue grew by 11%, and the digital audience expanded to 62.4 million users.

♦️ Operating costs dropped by 17.2%, aided by an 18.9% fall in cost of sales and a one-time restructuring charge of KSh 157.8 million.

♦️Cash and short-term investments fell to KSh 2.38 billion, while shareholder equity declined to KSh 7.3 billion after a KSh 94.4 million share buyback.

Here is the full analysis »»»»»

Market Watch 

Mobility  

Super Metro Faces Renewed Suspension

The Transport Licensing Appeals Board has reinstated a suspension of Super Metro's operations, citing safety violations and ordering the inspection of 39 vehicles and retesting of 42 drivers. The matatu operator must also disengage 269 drivers listed by the NTSA and provide documentation of road safety training. Super Metro announced a three-day service suspension to comply with directives and pledged a swift return pending regulatory approval. A compliance review session is scheduled for April 17. Read more»»»»»

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Also Read : Ride-hailing firm, Bolt, has reported a 46% decline in “offline,” trips in Kenya over the past six months, a shift the company attributes to a suite of new safety measures aimed at preventing unauthorized rides.

Companies  

COMESA Watchdog Caps Heineken’s Anti-Competitive Practices

Heineken has been fined US$900,000 by the COMESA Competition Commission for anti-competitive practices, including restricting distributors from selling other brands and enforcing territorial limits. The Commission found that these actions reduced trade across member states and violated fair market principles. Heineken has committed to auditing and amending its distribution agreements, and will also train staff and distributors on the revised terms. The investigation began in 2021 and concluded with Heineken agreeing to submit compliance reports and cooperate with future oversight. More on this »»»»»

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Also Read: Digital credit provider MyCredit has secured KSh 1.4 billion in funding from global impact leaders Oikocredit and BlueOrchard to lend to private schools in Kenya.

Trade & Commerce  

Kenya - EU Relations

Kenya has appointed a team of Cabinet Secretaries to lead its representation on the newly established Economic Partnership Agreement (EPA) Council with the European Union, a key step in operationalizing a trade deal that offers the country long-term duty- and quota-free market access to 27 member states. Read more here »»»»»

On your watchlist

Yesterday's Poll Results 

Do you think the Supreme Court was fair in its decision?

🟩🟩🟩🟩🟩🟩 Yes (100%)

⬜️⬜️⬜️⬜️⬜️⬜️ No (0%)