Kenyan Economy shedding jobs like nonsense

[Kadudu]

Frankly speaking, I know not even one person in Kenya whose business is thriving more than it was in 2013. Pundit can give us all the statistics in this world, but reality on ground is totally a different story.

Kenya is relatively doing well despite all the propaganda

[RV Pundit]

Frankly speaking, I know not even one person in Kenya whose business is thriving more than it was in 2013. Pundit can give us all the statistics in this world, but reality on ground is totally a different story.

Kenya is relatively doing well despite all the propaganda

[Kadudu]

Pundit, here lies the answer to your assumption, that Kenya is not in recession.
Government is the biggest spender and when government does not spend, the private sector feels the pinch.

In the Financial Year ending June 2019, for every Sh100 that the country earned from taxes, non-tax revenues and grants, Sh57 went into servicing debt.
This compares to only Sh25 Treasury paid six years ago.

https://www.standardmedia.co.ke/business/article/2001344778/treasury-panics-as-expensive-loans-push-country-to-the-cliff

Frankly speaking I go by KNBS - economic surveys. The economy is not doing as good as last year - but just slightly

Otherwise if you read this - you'll think Kenya is under a recession

[RV Pundit]

That is a lie. Treasury borrows 600B and use it to repay 600B - or around this year. We are doing what we call DEBT REFINANCING. The taxes and other non-tax revenues are then left to pay salaries, counties and fund development.

Pundit, here lies the answer to your assumption, that Kenya is not in recession.
Government is the biggest spender and when government does not spend, the private sector feels the pinch.

[Nefertiti]

GDP is turnover. If your duka sold 10million or 1billion - is of little significance until you account for the costs and liabilities. Your GDP is 1B - but you could infact be bankrupt.  Turnover is sales ledger - ignoring P&L, balance sheet, etx.

High unemployment shows high income inequality.

[RV Pundit]

Try GNI. The point is GDP for the economy - has both or all sides - both the income and expenditure of the entire country. When you start arguing that GDP doesn't capture the economy - then you're just a moron - who want to argue about everything. When Moi era was bad - GDP was equally bad. When we had PEV - GDP contracted from 7% to 2%. When things are really bad - GDP figures will show - but for now - we have 2 or 3 sick sectors - but because our economy is so well diversified - the economy doesn't really feel the effect and is growing at 5.6%.

I warned Uhuru that bringing Raila to Jubilee mean machine will eventually see the economy tank to 4% - but let see if he will kick out Raila and let Ruto drive the gov as he should. Yeye akunywe pombe.

GDP is turnover. If your duka sold 10million or 1billion - is of little significance until you account for the costs and liabilities. Your GDP is 1B - but you could infact be bankrupt.  Turnover is sales ledger - ignoring P&L, balance sheet, etx.

[Kadudu]

Does not make sense. If Treasury borrows 600B today it has to pay interest to the 600B. That alone means Treasury has to borrow more than 600B to finance its debts. Also it is said the Eurobond II was used to finance local budget. So your assumption that alone the collected taxes finace the local expenses is wrong.

That is a lie. Treasury borrows 600B and use it to repay 600B - or around this year. We are doing what we call DEBT REFINANCING. The taxes and other non-tax revenues are then left to pay salaries, counties and fund development.

[Nefertiti]

Pundit what does rising unemployment mean or show about the economy?

[Nefertiti]

Let igore Ruto vs Babu for now.

As a GDP - sales volume or turnover shows the SIZE of your business but not its health. If you have big sales but dismal profits and credit rating - una kibarua ngumu. KQ is such a company. You can "go big" and buy many dreamliners - fly many routes - while your stock plummet and crediors bay for your blood. SGR, last-miles and the infrastructure binge are analogous to flashy dreamliners and new routes that mint losses.

Try GNI. The point is GDP for the economy - has both or all sides - both the income and expenditure of the entire country. When you start arguing that GDP doesn't capture the economy - then you're just a moron - who want to argue about everything. When Moi era was bad - GDP was equally bad. When we had PEV - GDP contracted from 7% to 2%. When things are really bad - GDP figures will show - but for now - we have 2 or 3 sick sectors - but because our economy is so well diversified - the economy doesn't really feel the effect and is growing at 5.6%.

I warned Uhuru that bringing Raila to Jubilee mean machine will eventually see the economy tank to 4% - but let see if he will kick out Raila and let Ruto drive the gov as he should. Yeye akunywe pombe.

[RV Pundit]

Refinancing is borrowing to repay the other loan. So we borrow from Peter to pay John. We pay John interest + principals. I am not talking about debt roll-over.

We are not LEVERAGING - that is adding new debts -- whatever you're calling new debt is actually used to pay old debt.

Does not make sense. If Treasury borrows 600B today it has to pay interest to the 600B. That alone means Treasury has to borrow more than 600B to finance its debts. Also it is said the Eurobond II was used to finance local budget. So your assumption that alone the collected taxes finace the local expenses is wrong.

[RV Pundit]

It shows the sectors that are growing are not the employing type. Mass employment happens in sectors like constructions & industry.  It's hard to automate building and construction for example. But look at Banking - banks are shedding jobs - while their income is rising - and they are doing this because of technology - they are replacing brink & mortar (now accounting for 2% for example in Equity) - while digital payments are 98%.

Pundit what does rising unemployment mean or show about the economy?

[KenyanPlato]

Wow how many jobs have been added in construction?

[RV Pundit]

Check labour reports - I think about 800K informal jobs are created annually. The banks are firing - but lots of people are finding jobs as banking agents - I think M-pesa and bank agents - are nearly 200K jobs now. They are found in every corner. There are lots of jobs for house maids , watchmen and etc. Before you left for US - there were no Boda Boda - those jobs now employed at least 1M people

Few minutes ago I used Bolt Boda boda (digital taxi) from Kilimani to Kirinyanga road where I needed to buy a fuel pump. I paid 110shs.

These are the kind of jobs nobody want to talk about - boda boda, m-pesa ladies, banking agents.

Wow how many jobs have been added in construction?

[Nefertiti]

Which shows what about GDP?

It shows the sectors that are growing are not the employing type. Mass employment happens in sectors like constructions & industry.  It's hard to automate building and construction for example. But look at Banking - banks are shedding jobs - while their income is rising - and they are doing this because of technology - they are replacing brink & mortar (now accounting for 2% for example in Equity) - while digital payments are 98%.

Pundit what does rising unemployment mean or show about the economy?

[RV Pundit]

You can be less cryptic. The real estate here is not restricted like twitter to 140 characters. Express yourself clearly madam Robina

Which shows what about GDP?

[RV Pundit]

https://www.the-star.co.ke/business/2019-10-08-m-pesa-among-top-10-most-influential-finance-projects-in-last-50-years/

[KenyanPlato]

Check labour reports - I think about 800K informal jobs are created annually. The banks are firing - but lots of people are finding jobs as banking agents - I think M-pesa and bank agents - are nearly 200K jobs now. They are found in every corner. There are lots of jobs for house maids , watchmen and etc. Before you left for US - there were no Boda Boda - those jobs now employed at least 1M people

Few minutes ago I used Bolt Boda boda (digital taxi) from Kilimani to Kirinyanga road where I needed to buy a fuel pump. I paid 110shs.

These are the kind of jobs nobody want to talk about - boda boda, m-pesa ladies, banking agents.

Wow how many jobs have been added in construction?

Construction is dead. Even cement companies can use excess capacity in their mills to bake mandazi. I told you that economics is not mazematic but where science meets political science. Uhuru is a panicked man because he is about to leave behind a very bad economic record. Why you see young mothers reversing into Indian ocean you know that the situation is desperate. You are lucky to work in a industry that is recession proof. The lords of poverty industry you are in i. A rent seeking one.

I told you real estate was burst. I saved many investor by advising them to clear their  debts before they were caught in cash flow crunch. Right now economics ya mawe is not even returning 10 percent. If you're unlucky investor that hit the shylocks you are dead.

Kenya economy is 90 percent informal. As long as it is raining 70 percent of the population can survive ...only urbanites feel the fill heat of failure of formal economy.

The fact that tea prices dropped by 34 percent last year we will see a lot of economic pressure in county towns. How is milk doing?
Anyway suraya...just saw a report by Centrum or cytonn and looks economics ya mawe died like rutos mou with uhunye

How many jobs d8d the economy great this month?

[KenyanPlato]

Safaricpm is not a kenyan company ...majority of profits end in Europe and elsewhere

[RV Pundit]

Kenya economy is diversified enough to survive those. Real estate and construction have had issues since 2016 - after interest rate capping - and Uhuru compounded it by promising 500K units of cheaper housing that aren't happening fast enough. Tea issues are global issues...and farmers will be fine as soon as Pakistani and others are good.

Check labour reports - I think about 800K informal jobs are created annually. The banks are firing - but lots of people are finding jobs as banking agents - I think M-pesa and bank agents - are nearly 200K jobs now. They are found in every corner. There are lots of jobs for house maids , watchmen and etc. Before you left for US - there were no Boda Boda - those jobs now employed at least 1M people

Few minutes ago I used Bolt Boda boda (digital taxi) from Kilimani to Kirinyanga road where I needed to buy a fuel pump. I paid 110shs.

These are the kind of jobs nobody want to talk about - boda boda, m-pesa ladies, banking agents.

Wow how many jobs have been added in construction?

Construction is dead. Even cement companies can use excess capacity in their mills to bake mandazi. I told you that economics is not mazematic but where science meets political science. Uhuru is a panicked man because he is about to leave behind a very bad economic record. Why you see young mothers reversing into Indian ocean you know that the situation is desperate. You are lucky to work in a industry that is recession proof. The lords of poverty industry you are in i. A rent seeking one.

I told you real estate was burst. I saved many investor by advising them to clear their  debts before they were caught in cash flow crunch. Right now economics ya mawe is not even returning 10 percent. If you're unlucky investor that hit the shylocks you are dead.

Kenya economy is 90 percent informal. As long as it is raining 70 percent of the population can survive ...only urbanites feel the fill heat of failure of formal economy.

The fact that tea prices dropped by 34 percent last year we will see a lot of economic pressure in county towns. How is milk doing?
Anyway suraya...just saw a report by Centrum or cytonn and looks economics ya mawe died like rutos mou with uhunye

How many jobs d8d the economy great this month?

[KenyanPlato]

So where are your construction jobs and bora boda. Jobs? Kibaki created boda boda jobs and a maid earning 40 dollars is not a job but servitude.

https://mobile.twitter.com/citizentvkenya/status/1181659302018392065

Stop passing myths here as facts.