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Showing posts from 2017

Why can't Kenyan banks voluntary lower their lending rates?

In one of those episodes where history is doomed to repeat itself, September 2016 saw Kenya implement interest rate caps, which had been done away with in 1991.

Many Kenyans rejoiced, mistakenly thinking that it would result in easy and affordable loans. The result, however, was a distorted market. It is safe to claim that most Kenyans have never borrowed from a bank. Cheaper loans weren’t going to see them rushing to borrow from banks.

Capped interest rates also saw banks become more careful with whom they lend to. Many small businesses will naturally fail - business is hard, for those who have attempted their hands at one. It therefore makes no sense for a bank to lend to many of these businesses - you simply won’t get your money back.

The other thing with this country is that it’s very hard to tell who will repay a loan and who will not. Those who have lent to their friends and family can attest to this. There are also fewer ways to make those who have borrowed repay loans. Given b…

How much Nairobi Residents Pay in Rent

In my last post, I explained how difficult for people looking for housing in Nairobi. The main challenge is lack of information. On this front, I began a project that will collect some information, which will provide some start for those looking for housing in different areas in the city.

In the last one month, 33 people have given their responses.




Interesting enough, majority of the respondents, 16 to be exact, live in 2 bedrooms. This may mean that either 2 bedrooms are the most popular rentals in the city, or the most available. Only one way to find out - if you live in a 2 bedroom rental, here’s another survey.

10 of those who filled in the survey live in self contained 1 bedrooms.

5 people have 3 bedrooms, including 2 in Kikuyu, 1 in Ngong and Lower Kabete each, and another around Langata/National Park.

1 respondent has a 4 bedroom, while another one has a self contained bedsitter.
Pricing




Turning to pricing, the price of 1 bedrooms ranges from Kshs. 10,000 in Rongai to Kshs…

Why moving houses in Nairobi is hard

Moving in Nairobi is hard. The hardest bit about moving isn’t even finding houses or finding a mover, but getting the courage to move.

Most of us are already used to our current neighbourhoods and know its insides outs- where to get the mbogas, the butcher with the meanest cut, neighbourhood crushes, where all the potholes are, water and power outage schedules, what time we can come in at night.

Having to move to a new neighbourhood, relearn all these and the fear that something may not fit into our established lifestyles makes us baulk at the prospect of moving. Change, after all, has never been easy.

Should you, however, get the courage to move, one then needs to audition different neighbourhoods to find one that fits their expectations in security, location, utility reliability, price, schools and much more. 
The next challenge with moving is finding a house. There’s a mismatch of information between landlords seeking tenants and tenants seeking landlord. We all wish there were a T…

Fuzu - Banks were second highest employers in 2016 after NGOs

The good guys over at Fuzu shared a report that they prepared based on data gathered on their platform. In case you have not heard of them, they are an internet firm that connects job seekers to jobs, and of course employers to job seekers.

The data they shared covered the period between September 2015 and November 2016, where the platform handled about 4,000 open positions, with job seekers making 140,000 applications for these positions.

Of these open positions, the most, 1 in every 5 vacancies (5 in every 25), were in the NGO and social world, followed by banking and insurance which fielded 16%, or about 4 for every 25% vacancies.

What Kenyan media houses can do to survive the internet

The first time I read a newspaper was about 25 years ago; I wasn’t even literate. But there’s that photo of me as a cute,  plump baby holding a newspaper almost my height. It was the Daily Nation, my father’s paper of choice and Kenya’s leading daily to date.

A lot has changed since that photo. I still enjoy reading the news. Thanks to the internet, it,  however, not only comes from the Daily Nation but The Standard, The New York Times, The Washington Post, The Economist, Reuters, Economic Times, Techweez and much more.

The internet has changed the media in many countries and is only beginning to make its mark in Kenya.

In the US, advertising revenues peaked in 2000 as news reading moved to the internet. In print, newspapers are paid to show adverts to readers. Online, Google is paid to show adverts to newspaper readers.

Google not only serves adverts to online newspaper readers, but to Gmail and YouTube users, and to people visiting millions of other sites - virtually the entire int…