Geza Ulole
JF-Expert Member
- Oct 31, 2009
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So when u r LCD then u can't be rated? Ujuha wako umepitiliza this year Tanzania will be rated n get her Eurobond. U r an idiot n illiterate on theseveral issues.
Infrastructure pushes Kenya debt to Sh3.76 trillion
- Thread starter kilam
- Start date
game over
JF-Expert Member
- Jan 1, 2016
- 10,602
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Always References zenu huwa ni Marekani na nchi za EU, Nadhani uwezo wako wa Kung'amua mambo ni wa chini sana.
Geza Ulole
JF-Expert Member
- Oct 31, 2009
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U laugh at Tanzania's 34% while Kenya’s debt to Gdp ratio is over 51%
Geza Ulole
JF-Expert Member
- Oct 31, 2009
- 63,446
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UchuMi wa Tanzania unakuwa at a fast rate than any other country in EA n 2nd in the whole Africa. We r focused on industrialising the country in this phase n the good thing is all strategic resources r there enmase. So with the exception of the few crucial infrastructural projects that some of them will be financed by MNCs e.g. the $30 bln LNG plant in Lindi n the $ bln East Africa pipeline our future is very bright. We don't need to take debts as Kenya.
Geza Ulole
JF-Expert Member
- Oct 31, 2009
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Huwa huamini wao ni Marekani pia
Quickly
JF-Expert Member
- Jul 14, 2015
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Listen to yourself. You say in the same paragraph, there are MNCs financing those projects, kisha unadhani those arent loans. Do you even understand the world of financing of large projects,ama unadhani wanajenga village biodigester ama vipi. Those things are all financed by multilateral lenders kijana. Its important to be well informed geza, utapata unajiaibisha kila mara. Or you think TZ doesnt borrow on international finance markets?
Jihoji kaka
Quickly
JF-Expert Member
- Jul 14, 2015
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That still doesnt drive growth, so whats the point?
Geza Ulole
JF-Expert Member
- Oct 31, 2009
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Those r investments that Kenya wishes to have so badly stupid. Ati loan umesomea wapi uchumi?
Mhe McAmacy
Senior Member
- Oct 14, 2016
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Sorry about that, nilitaka kutumia Tanganyika na Zanzibar then nikakumbuka.........ama wacha tu.
Kafrican
JF-Expert Member
- Jan 26, 2015
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punguza povu, Ujuha, Idiot, illiterate all in two sentences! Most of the LDCs are not rated with exception of few who paid a certain fee to be rated because they wanted to take some big loan. (Tanzania is doing the same, under normal circumstances, you don't pay to be rated -atleast not directly- because that will lead to favourtism -it will be like a bribe, but there are exception when its allowed) Also it doesnt hurt if you have newly discovered minerals to back you up even if you are technically LDC..
Kenya has been rated since 2010 while a country like Tz has never been rated before because it could live on aid and grants but as you grow to a certain point the money stops comming because these countries that gave you these monies want to concentrate on worse economies, so Tanzania has no choice but to seek the services of credit rating agencies so they can ask for big buck loans .
You have been in negotiations with these credit rating agencies since 2015-16 for them to rate you and thats why your eurobond was delayed........
In 5-7 years time (between 2022-2025) Tanzania will attain her middle income status..... And then you will start to suffer big boys problems like no free exports to EU, loans at higher interest rates....... but even before you achieve middle income... aid will gradually start to drop, you will begin to be expected to start fending for yourself..
Tanzania: Govt Secures Credit Rating Services for Eurobond Issue
The government will sign contracts for credit rating services with two agencies in November before it issues its maiden sovereign bond later in the next financial year.
According to Guidelines for Annual Plan and 2016/17 budget, the government has completed procurement of agencies and contracts for rating services with the two selected agencies are in the final stage.
The government intends to acquire sovereign credit rating from agencies with intention to access funding from International Bond Market for financing priority infrastructure projects.
A positive rating from this exercise will create conducive condition for both the government and private sector to borrow from the international financial market at relatively better terms.
Former Finance Minister, Ms Saada Mkuya Salum said last year that the government had concluded discussion with Fitch Ratings for a sovereign credit rating and was finalising similar discussions with Moody's Investors Service, paving the way for a possible debut Eurobond debt issue.
The government is planning to borrow much as 800 million US dollars through a sovereign Eurobond to fund key infrastructure projects in the wake of declining sources of grants and concessional loans.
According to the guidelines, concessional sources of borrowing are anticipated to decline as the country graduates to a middle income status which will entail a gradual reduction of aid flow.
l
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Tanzania aims for debut Eurobond in 2017/18 - ministry | Reuters
DAR ES SALAAM (Reuters) - Tanzania aims to issue its first Eurobond in fiscal 2017/18 to fund new infrastructure, the Finance and Planning Ministry said on Thursday, after repeated delays in the launch as it sought a credit rating.
It did not say how much the bond would be worth, but said the government wanted to raise $900 million in the financial year starting July 1 to fund infrastructure projects.
Geza Ulole
JF-Expert Member
- Oct 31, 2009
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We ndo mpumbavu haswa, kuchelewa ku-issue Eurobond haitokani na kuwa an LCD bali global economic situation ambapo interest rates zina-fluctuate kila wakati. A smart government can not rush into issuing a Eurobond like what Kenya did! Ask Ghana n Zambia to explain that dundeehead of urs that market situation decides the best moment to go for! For ur info Tanzania will get better credit rates than Kenya as our inflation n foreign reserves r in better shape than Kenya.
kilam
JF-Expert Member
- Aug 5, 2011
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- Thread starter
- #53
Treasury plans more loans to clear maturing debt this year
SUNDAY APRIL 9 2017
The Treasury has signalled it will borrow afresh to retire maturing debt — including an expensive syndicated loan — which fall due in the course of this year.
Treasury Bonds totalling Sh63.1 billion, as well as a two-year $750 million (Sh75 billion) syndicated loan taken in 2015, mature this year.
Principal Secretary Kamau Thugge termed as “normal” the strategy of borrowing to repay dues, and ruled out the possibility of a government cash crunch due to debt servicing pressures amid competing budgetary requirements.
“This is normal. This is how countries operate, you roll over maturing debt. That is how liability management works,” Dr Thugge said at a budget forum. “We don’t see a cash crunch this year.”
Kenya has previously borrowed to settle a syndicated loan that was falling due and some T-Bonds have recently been re-opened to raise cash for redemptions.
The first use of the $2.75 billion (Sh275 billion) raised through a Eurobond floated in 2014 was to retire a costly $604.5 million syndicated loan Kenya had borrowed from commercial banks in 2012.
The other syndicated loan falls due in October and was borrowed at an interest rate of eight per cent per annum. It was taken at the height of a government cash crunch in 2015. The loan was arranged by Citigroup, Standard Bank and StanChart.
The fixed-income securities about to fall due are listed on the Nairobi bourse and are all on fixed coupon rates.
First in the queue is a Sh31.07 billion five-year bond, which matures on May 28, priced at 11.855 per cent.
A two-year Sh18.7 billion T-bond matures on June 26 and has a yield of 12.629 per cent, and an 11-year bond of Sh4 billion with a rate of 13.75 per cent needs to be repaid on September 11. There is also a 10-year Sh9.3 bond with a coupon rate of 10.75 per cent that falls due October 16.
The fiscal deficit in the budget for the fiscal year beginning July 2017 is about Sh523 billion, and the Treasury says this will be equally funded through domestic and external borrowing.
http://www.nation.co.ke/business/Tr...maturing-debt-/996-3884068-wx40mlz/index.html
SUNDAY APRIL 9 2017
The Treasury has signalled it will borrow afresh to retire maturing debt — including an expensive syndicated loan — which fall due in the course of this year.
Treasury Bonds totalling Sh63.1 billion, as well as a two-year $750 million (Sh75 billion) syndicated loan taken in 2015, mature this year.
Principal Secretary Kamau Thugge termed as “normal” the strategy of borrowing to repay dues, and ruled out the possibility of a government cash crunch due to debt servicing pressures amid competing budgetary requirements.
“This is normal. This is how countries operate, you roll over maturing debt. That is how liability management works,” Dr Thugge said at a budget forum. “We don’t see a cash crunch this year.”
Kenya has previously borrowed to settle a syndicated loan that was falling due and some T-Bonds have recently been re-opened to raise cash for redemptions.
The first use of the $2.75 billion (Sh275 billion) raised through a Eurobond floated in 2014 was to retire a costly $604.5 million syndicated loan Kenya had borrowed from commercial banks in 2012.
The other syndicated loan falls due in October and was borrowed at an interest rate of eight per cent per annum. It was taken at the height of a government cash crunch in 2015. The loan was arranged by Citigroup, Standard Bank and StanChart.
The fixed-income securities about to fall due are listed on the Nairobi bourse and are all on fixed coupon rates.
First in the queue is a Sh31.07 billion five-year bond, which matures on May 28, priced at 11.855 per cent.
A two-year Sh18.7 billion T-bond matures on June 26 and has a yield of 12.629 per cent, and an 11-year bond of Sh4 billion with a rate of 13.75 per cent needs to be repaid on September 11. There is also a 10-year Sh9.3 bond with a coupon rate of 10.75 per cent that falls due October 16.
The fiscal deficit in the budget for the fiscal year beginning July 2017 is about Sh523 billion, and the Treasury says this will be equally funded through domestic and external borrowing.
http://www.nation.co.ke/business/Tr...maturing-debt-/996-3884068-wx40mlz/index.html
kilam
JF-Expert Member
- Aug 5, 2011
- 2,092
- 2,128
- Thread starter
- #54
Kenya spent some borrowed money on wages and salaries, says World Bank
By Otiato Guguyu and Dominic Omondi | Updated Sat, April 15th 2017
The World Bank (WB) has fired a warning shot at the Government for using debt to settle recurrent expenditure.
In a new report on the state of the Kenyan economy, the global lender says it has noted with concern that Kenya is borrowing more than it is spending on development projects, meaning that the money is being used on wages and for purchasing goods and services.
“Overall borrowing in 2015/16 outstripped development spending by 0.1 percentage points, suggesting a small part of the borrowing financed part of the recurrent spending,” said the bank in its latest edition of Kenya Economic Update.
Last year, the National Treasury planned to borrow Sh700 billion while the development budget was estimated at Sh682 billion. WB says this is an indication that the Government is going against a legal requirement that debt be used solely for financing investments.
“This is a departure from the fiscal responsibility principles set out in the Public Finance Management Act (PFM Act),” said WB.
The scathing verdict comes just days after President Uhuru Kenyatta assured Kenyans that the Sh4 trillion debt is not going into consumption, dismissing critics who have questioned his administration’s high appetite for debt.
Kenya spent some borrowed money on wages and salaries, says World Bank
MarkHilary
JF-Expert Member
- Feb 8, 2015
- 1,788
- 2,098
Bongo imepanda twenty percent watu wanataka kutoka roho
Hawa WB mbona wanakaza vichwa? Iko wazi hiyo sh18 billion wanayoiongelea imetengewa corruption ili Takukuru ya kenya (anti corruption comission) wapate kazi ya kufanya!!
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