The Ethiopian weight sags Safcom's profit

Hello 👋 

The business scene today was dominated by Safaricom PLC. The Telco announced its half-year financials and a partnership with a ride-hailing app…

Here are some of the highlights we have selected for you in today's newsletter…

📉 Safaricom profits drop by 18% on Ethiopia’s currency depreciation

The largest Telco in Kenya, with an almost monopolistic market share in many of its services, always announces a profit.

🔻This half-year it is KSh 28.1 billion. A 17.7% dip from the preceding period. Safaricom attributes this not-so-happy news to the depreciation of the Ethiopian Birr. When the company decided to forge a future in the second-most populous country in Africa, it was a financial gamble that rattled shareholders. The nation is on a liberalisation drive and its currency adjustments will probably supplant more costs to Safaricom in the subsequent financial period.

🔺In Kenya, its revenues across different ventures (M-Pesa, Mobile Data, Voice and messaging) shot up by 14.1%.

Here is how each service performed during the period…

📱 Safaricom to Provide Free Mobile Data for Uber Users

Customers and riders of the online cab service, Uber, will now enjoy free mobile data when requesting rides or ordering deliveries using the Uber and Uber Eats apps.

🟢 Thanks to (drum rolls 🥁)... Safaricom PLC! The two companies are now partnering together to bring down the cost of accessing the internet.

🔴 To access free data though, customers are advised to switch off VPN blockers.

And as we all know, Safaricom is in a bit of a twist with privacy concerns over the last few weeks…👀

🏭 State Revives Kenya Sugar Board to Revitalize Ailing Industry

Kenyans pine for the days when sugar was a major produce of the Nyanza and Western belts. Numerous mismanagement scandals, however, scuttled this thriving industry and sugarcane farmers have been oscillating between nostalgia and years of promises from rivalling political candidates.

💡 The government thinks it may have found an answer : The Kenya Sugar Board.

This is after the government enacted the Sugar Bill 2022. The board has a lofty task ahead. From addressing the increased costs of sugar production to controlling imports and exports of sugar.

How is this board going to help revive the sugar industry?

Other top stories today

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Have a lovely evening 😊