Page 16 - People Daily Newspaper

Monday, September 20, 2021 '*5$) 40-65*0/4

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Farmers want NCPB
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Maize farmers in South and North
Rift want the government to open
National Cereals and Produce Board
(NCPB) depots to buy their produce.
Fitch expects return of year financial programme approved by effects from last year though Covid-19 will ECONOMIC They complained separately yes-
the IMF in April 2021. “As a result, we ex- continue to pose some headwinds to do- RECOVERY terday that brokers and traders were
economy to its regular pect moderate growth in government con- mestic demand in 2021. offering them between Sh2,000 and
growth curve averaging sumption (4 per cent and fixed investment The government tightened lockdown According to Fitch, Sh2,200 for a 90 kg bag which is lower
than the cost of producing the same
(4.6 per cent) in 2022, meaning that pri- restrictions between late March 2021 and the economy will
5pc to be driven by plan vate consumption will be the key driver of early May during the third wave of infec- grow at 4.4 per cent unit. NCPB, they said would stabilise
to vaccinate 26 million stronger GDP growth next year,” the report tions. As a result, Kenya’s Purchasing Man- in 2021 and 5.2 per prices and asked the Treasury to ade-
quately fund it to buy all maize whose
adds. Demand for imports will continue to agers’ Index dipped to a one-year low of cent in 2022 despite
people by end of 2022 strengthen, as domestic economic condi- 41.5 in April before recovering to 52.5 in Covid-19 concerns, harvest is expected to end in late Janu-
tions improve, while exports will continue May and remaining above 50.0 since then. driven by a rebound- ary next year.
by John Otini to lag behind. Given the country’s sluggish vaccine ing private consump- “The board should be opened to
@PeopleDailyKe According to data on rebased national roll-out, (only 3.8 per cent of the popula- tion as government start buying maize from desperate
accounts released on September 9, real tion has been partly or fully vaccinated as spending suffers due farmers who are the mercy of brokers
Kenya’s economy will resume its long- GDP shrank by 0.3 per cent in 2020 against of September 7). Restrictions are expected to high public debt. and traders. There’s little grain in the
term growth curve next year which has a previous Fitch estimate of 0.1 per cent to persist over the remainder of the year, The growth pro- country which should not in the hands
averaged at 5 per cent in the last decade growth. The economy exited recession in weighing on economic recovery. jections are partly of few at the expense of millions of
backed by an ambitious vaccination the last quarter of 2020, expanding by a based on govern- Kenyans who depend on ugali “ said
drive, Fitch Solutions , a leading provider tepid 1.2 per cent year-on-year. Lockdown measures ment’s hopes of Lekina Kameno, an official of Cereal
of credit ratings has said. While sectors such as accommodation, “That said lockdown measures will re- having 26 million Growers Association.– Peter Leshan
According to Fitch, the economy will transport and “other services” continued people vaccinated by
grow at 4.4 per cent in 2021 and 5.2 per to contract, robust growth in the construc- main looser in 2021 compared to the strin- the end of 2022,
cent in 2022 despite Covid-19 concerns, tion 16 per cent, mining 9.2 per cent, infor- gent lockdown in place in 2020, contribut- more than doubling
ing to a moderate recovery in consumer
driven by a rebounding private consump- mation and communication 7.6 per cent, and business activity this year,” the report an initial target of
tion as government spending suffers due and agriculture (5.8 per cent) sectors con- vaccinating 10 mil-
to high public debt. tributed to the economic recovery. says. “We forecast below-trend private lion people by June
consumption growth of 4.9 per cent in
“At Fitch Solutions, we retain our fore- The growth, according to Fitch, is ex- 2021, adding 3.8 percentage points to 2022.
cast that Kenya’s real gross domestic prod- pected to accelerate further over the re- headline growth,” it adds.
uct (GDP) will expand by 4.4 per cent in mainder of 2021, boosted by low-base
2021, after a mild contraction in 2020,” it
says in its latest Kenya economic update. Airline pays staff
The growth projections are partly based
on government’s hopes of having 26 mil- Tourism extra to get jabbed
lion people vaccinated by the end of 2022,
more than doubling an initial target of Southwest Airlines has become the
vaccinating 10 million people by June revival... latest big US airline to try to cajole
2022. “While this target is unlikely to be East African Business Council workers into getting vaccinated as in-
attained due to logistical challenges and (EABC) chief executive John fection rates surge across the US.
vaccine hesitancy, we expect the country’s Kalisa (right) and Silver It said it would pay a bonus to staff
vaccination programme to gather speed Africa Tour and Safaris who got jabbed, but also stop sick pay
in 2022, as developed countries donate Product Manager Odek Fred for unvaccinated workers who had
spare vaccine doses,” the report says. sign a partnership agreement to quarantine with Covid. It said it
Kenya has received 1.2 million doses, to jointly promote tourism was unrelated to Joe Biden’s upcom-
solely from US and UK while other coun- sector in the East African ing vaccine mandate for firms, but it
tries also continue to donate vaccines. Community (EAC) region in plans to comply with the order. Delta,
Fitch believes this will allow a further Nairobi. The tourism sector American and United Airlines have
easing of restrictions, contributing to a contributes about 10 per all made similar moves recently. In
further uptick in private consumption cent to EAC partner States’ a memo to workers, Southwest said
growth to a forecast 5.3 per cent in 2022. those who submit proof of vaccina-
gross domestic product and tion to the company by November 15
accounts for 17 per cent of would get 16 hours of extra pay. “If you
Heavy public debt export earnings and about have not been vaccinated and choose
Government spending will, however, be 7 per cent in terms of jobs, to do so, this timeline gives you
limited due to heavy public debt burden according to official data. PD/ enough time to receive both rounds
as the government continues with fiscal ALICE MBURU of a two-series vaccine or the single-
consolidation efforts as part of a three-
dose vaccine,” the airline wrote.
– BBC
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by Nduta Waweru disabilities which will see a reduction 763,553 for older persons. Although National Drought Emergency Fund
@PeopleDailyKe to Sh814.8 million, Sh1.8 million less the expenditure under the Hunger (NDEF) to assist the families.
than the previous year. Safety Net programme covering Tur- Youths and women looking for
Most government expenditure on Older persons cash transfers pro- kana, Wajir, Mandera and Marsabit grants under the Women Enterprise
marginalised groups in the country, gramme will also see a Sh1 billion de- counties, was set to remain the same, Fund and Uwezo Fund will be dis-
including women, people with dis- crease to Sh18.3 billion, with number President Uhuru Kenyatta’s declara- appointed with the decrease in dis-
abilities and youth, is set to decrease, of women benefiting from the pro- tion of hunger as a national disaster bursement.
the Economic Survey 2021 reveals. gramme increasing by 0.1 per cent have changed things. Already Sh2 The women grants will decrease to
Among the programmes affected and men decreasing by 0.3 per cent. billion is set to be released under the Sh325.2 million, a Sh50 million from
include the Cash Transfers for Or- the previous year while Uwezo fund
phans and Vulnerable Children, Beneficiary households grants are expected to decrease by
which will incur a Sh7 billion expen- The number of beneficiary house- Sh18.3b 67.6 per cent to Sh136 million com-
diture, Sh1 billion less than the pre- holds will reduce to 293,665 for or- Allocation for older persons cash transfers pared to Sh418 million the previous
vious year, and persons with severe year.
phans and vulnerable children and programme, a reduction of Sh1 billion.