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Bankers caught in the domino effect of the falling shilling

Kenyan banks find themselves in a tough spot, akin to a deer ensnared in the piercing glow of headlights. They are burdened by substantial amounts of government debt and defaulted government supplier debt. To compound matters, their ventures into foreign exchange have become a costly gamble, with a staggering 23.8 percent surge in expenses triggered by the falling Kenyan shilling.. In psychology, it is recognized that, like animals, humans tend to freeze in response to acute stress, an instinct aimed at enhancing risk assessment and decision-making abilities. However, this instinct can lead to paralysis, leaving individuals unsure of how to proceed. Kenyan lenders are facing…

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The last of touch and feel readers

Just like dinosaurs such as myself are transitioning from physical newspapers to the digital world, the future of the traditional medium appears as uncertain as the old media. Early this year, the giant US online retailer Amazon ceased offering subscriptions to newspapers and magazines. The giant online retailer did not provide a reason for this sudden action, though it is evident that fewer and fewer individuals are subscribing to these services. Consequently, continuing to support subscribers for Amazon would have been a financially unwise decision. The sale of news subscriptions has historically proven challenging for many medium-sized organizations, including those here in Kenya. Therefore, the…

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Kenya inches closer to full-scale dollarization

The gradual shift towards dollar payments in Kenya, observed across various sectors, has raised concerns about the intensifying trend toward the dollarization of the country’s economy. This movement has been fueled by the persistent weakening of the Kenyan shilling against the US dollar over the past year, showing little to no signs of improvement. Dollarization typically involves the need for a reserve of readily available US dollars to replace the existing monetary base and establish a liquidity cushion denominated in US currency. This cushion often amounts to approximately 20 percent of total bank deposits and serves as a safeguard against potential banking system crises or…

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Black Friday deals end 14 months of price hikes

If we are to believe the large billboards advertising goods at half price ahead of Black Friday, Kenyan businesses will cut product prices for the first time this year, having consistently raised prices every month due to increasing input costs and passing on new taxes to consumers. According to the Stanbic Bank Purchasing Managers Index, companies have been hiking prices each month, reaching a 14-month high in August before beginning to taper down ahead of the Black Friday shopping spree. For over a year now, prices of consumer goods have been soaring, forcing families to budget with their dwindling incomes and cut back on discretionary spending…

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In jail for having a mental health breakdown

It was a cold July morning in 2021 when Waweru Muthumbi found himself at the gates of Mathari National Hospital, seeking help for his mental health. After a failed attempt at suicide, Muthumbi was checking himself at Mathari. It had taken Muthumbi all his fortitude to decide to seek help and he hailed an Uber and headed to Mathari. This is where he sought refuge hoping to get treatment for the nagging feeling of no longer wanting to be alive. At that point, he had been battling this awful mood for close to a decade. Mathari: Kenya’s only referral mental health hospital It was his…

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Will charging Uhuru park have an impact on Nairobi’s mental health

Last week, I was late for an invitation to the Aga Khan Brain and Mind Institute, which included a media briefing ahead of this week’s conference on Healing the Brain in Nairobi. It was one of those late interventions of fate, and I had to cover for a colleague at the last minute. My usual experience with press briefings involves unidirectional sermons, where the newsmaker sits and pontificates their importance, expecting you to relay the message. When you show up late, you can usually crouch at the back and ask a colleague to give you a brief before catching up on the Q and A….

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With the El Niño, all bets are off

Scribe: Otiato Guguyu Behind the lens: Immanuel Kaunga Bytes: Jobic Ojanji Visual Intelligence: Jacob Ayoo Audio storyteller: Leonida Owaga As we stand on the brink of the impending El Niño floods, I’m reminded of a lesson drawn from a community whose very identity is intertwined with this natural phenomenon. Whenever the topic of my community arises, and I mention that I am a Manyala, I often receive quizzical looks that beckon for further explanation. It’s as if I need to clarify that I belong to one of the Bantu-speaking tribes, clustered under the umbrella of Luhyas. However, it becomes infinitely easier to convey my origin…

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