There are an estimated 3.5 billion internet users worldwide with 39 percent in Africa. In Africa, Nigeria has 111.6 million internet users, Egypt 49.23 million and Kenya 51.1 million. The global average internet speed stands at 6.1 Mbps. The web traffic is largely generated through smartphones perhaps due to infrastructure development and convenience. Millennial internet users spend an average of 185 minutes on mobile internet services every day. This demonstrates the potential in the sector whether email, social networking, online search, online videos, online shopping or instant messaging. There is no doubt that internet connectivity has resulted in new business models and tremendously changed existing businesses, spurring growth and improving overall value creation. There is also no doubt that innovative use of technology translates to business transformation providing solutions for enterprises to achieve their desired outcomes. Research has shown that e-commerce has what it takes to help deliver development agenda creating new economic and social landscapes. It is now widely accepted by policymakers that e-commerce is at the centre of economic transformation. However, there are many drivers and barriers to the adoption of e-commerce. There is need to have integrated and capable infrastructural architecture to allow quality interfacing, e-readiness at national and county levels as well as digital literacy. This should be coupled with data standards because as government transfer data into information and ultimately knowledge for sustainable development, there is a possibility for misinterpretation and misuse. Appropriate security models should be implemented to ensure user confidence and healthy outcomes....

Trade among the interstate EAC members is still very low despite the various protocols that allow free movement of people and goods in the region. The East African Business Council says the volumes in trade among member states are as low 2%. Peter Mathuki, the CEO East African Business Council spoke at a meeting with private sector players at Busia border. Source: NTV

President Paul Kagame on Tuesday said that Africa is ready to play her role in addressing global challenges such as global inequality and others which affect the continent directly, which can only be addressed by working together. President Kagame made the remarks while addressing the United Nations General Assembly (UNGA) as global leaders gather in New York to galvanize multilateral efforts for poverty eradication, quality education, climate action, and inclusion. In his speech, President said the international community stands at a crossroads because the next decade could be remembered in history as a turning point, or as the moment when multilateralism lost its way, highlighting some of the key milestones that will set the momentum ahead. “Fortunately, the path forward is clear. Never before have we had such well-defined road-maps for joint action on development, climate change, and global health,” President Kagame said, citing the Universal Health Care and Climate Action declarations adopted this week as key steps. “The transformational potential of Universal Health Coverage is now at the top of the global health agenda. This is thanks to the outstanding leadership of the World Health Organisation and many other stakeholders,” “In Rwanda, more than 90 percent of the population has insurance coverage. This has contributed to significant improvement in health outcomes. It shows that it is possible for countries at every income level to make health care affordable and accessible for all,” President Kagame said. The Head of State called on global leaders to commit to replenishing the Global...

Cargo dwell-time has reduced by 73 percent barely four months after the exit of 24 state agencies from the port of Mombasa, according to Kenya Ports Authority. The kicked out agencies delayed the clearing of goods through duplication of processes, multiple interventions and personal interests of state officers. Since June, graft loopholes have been sealed while clearance has been speeded up as the government works towards making Mombasa and other ports competitive. The biggest beneficiaries are Mombasa Port and Nairobi's Inland Container Depot, where average dwell-time has reduced from between 11 and 23 days last year to less than six days. KPA managing director Daniel Manduku said on Tuesday that improved efficiency has helped the port reach one million TEUs (twenty-foot equivalent units) with possibilities of surpassing this year's 1.4 million TEUs target. “We are at a high-efficiency level. Today 80 percent of all cargo leaves before expiry of the four days free storage period, our dwell time average has gone below six days,” Manduku said. Both the government and private sector work to ensure that business is seamless, smooth and efficient, he said. “This year we are not having a lot of demurrage because of efficiency at the port and ICD, where we are able to evacuate cargo speedily." The Revenue Authority and Kenya Bureau of Standards play the lead roles in the inspection and clearance of cargo. The agencies kicked out were Pharmacy and Poisons Board, AFA Horticultural Crop Directorate, Directorate of Veterinary Services, Kenya Dairy Board, Radiation...

The Port of Mombasa has recorded increased cargo volumes attributed to a set of reforms and heavy investment along Northern Corridor which have significantly reduced cost of transport to landlocked countries. Cross-border trade facilitation at One Stop Border Post (OSBP) has also been key in attracting landlocked countries to trade with the Kenyan port, resulting to increase of cargo throughput. On Wednesday last week, the Port of Mombasa crossed its one million mark, with the Kenya Ports Authority (KPA) managing director Daniel Manduku saying the low cost of operations, among other gains, has attracted regional countries to use the facility more. “This year we crossed the one million mark three months before the close of the year and it’s a good indicator as we aim to beat the 1.3 million Twenty Foot Equivalent Units (TEUs) target compared to 1.2 million TEUs last year,” said Mr Manduku during a media tour last week. He said South Sudan, Uganda and DR Congo are the main users of the port. According to a latest report by the Japan International Cooperation Agency (JICA), cost of transport in landlocked countries in East African reduced by more than 16 percent due to infrastructure investments and cross-border trade facilitations along the corridor. “Port usage share for Mombasa Port is expected to change due to the (Northern) Corridor and OSBP development and it would contribute to broadening its hinterland to Tanzania border, eastern part of South Sudan, and Burundi,” read part of the report. Some of the reforms...

For many African economies, promoting trade is a priority. Rightfully so, considering its potential snowball effect. When trade flourishes, it sets off a virtuous circle, a country’s goods enjoy ready market, producers and the entire value chain benefit and growth spreads out. However, turning this vision into a reality is a challenge. Trade remains depressed below optimum levels despite sustained investment in smoothening movement of goods. Over the years, billions of dollars have gone into interconnecting the continent by expanding existing roads, railways, air and waterways while building new ones. The rollout of infrastructure has been backed by sustained diplomatic efforts under the auspices of regional trade blocs to ease movement of goods and people, as well as free trade protocols, such as the East African Community common market. These recently climaxed with the proposed African Continental Free Trade Area (ACFTA) that is being ratified and is expected to be a game-changer in unlocking intra-African trade. All these notwithstanding, the higher cost of goods made in Africa has rendered them uncompetitive on the global market. Source: Business Daily

The Kenya Airports Authority (KAA) has attributed the top global ranking of the Jomo Kenyatta International Airport to increased air cargo traffic to and from Europe, Asia, America, China and Australia. KAA said in a statement the increase in cargo passing through JKIA is making the facility a global force. "This is what has culminated in JKIA being an emerging force and destination in the air cargo industry," KAA director Jonny Andersen said in the statement. He said the airport had registered steady transformation because of how air cargo is managed through “deliberate planning” and embracing of public and private sector participation. JKIA was ranked the second fastest growing cargo airport in the world, with USA based Rockford Airport ranked at the top position. At the third position was Belgium Liege Airport, followed by Xi'An Airport in China and Philadelphia Airport in USA. According to Airports Council International (ACI) latest World Airport Traffic Report, JKIA came second after handling over 342,000 metric tonnes of air cargo in 2018, a 25 percent growth from what was reported in 2017. The report highlights top airports for passengers, cargo and aircraft movements and showcases the world’s fastest growing airports for 2018. Mr Andersen said in the last few years the JKIA increased its annual overall cargo to 1.2 million tonnes. This, he said was as a result of the entry of several modern transit sheds at the facility. Astral Aviation, a cargo airline operating from JKIA has in the last year acquired three...

Kenya improved marginally as one of the top countries in Africa to invest in, according to the Where to Invest in Africa 2020 report. Having placed fifth in the survey during the previous edition of the report, Kenya moved up one place to fourth on the study undertaken by South Africa’s Rand Merchant Bank. “The above 5 percent expected growth rates, helped by favourable weather and political reconciliation after 2017’s disputed elections, has propelled Kenya one spot higher than 2019,” the report reads in part. Kenya’s movement saw it go ahead of Ethiopia, who had placed fourth in the Where to Invest in Africa 2019 report. Ethiopia underwent a huge tumble, falling to ninth on the ranking. Recently, Ethiopia was reported to have pipped Kenya as the top destination for foreign direct investment in East Africa, reigning in Ksh700 billion last year. For Kenya, the Where to Invest in Africa 2020 report continued to say, “The economy benefits from diversity as well as a sustained expansion in consumer demand, urbanisation, East African Community (EAC) integration, structural reforms and investment in infrastructure, including an oil pipeline, railways, ports and power generation.” Egypt continued to top the ranking of African countries to invest in for the fourth consecutive year. The report said that enhanced government programmes, as well as improved investment from the private sector, have continued to push the North African nation’s attractiveness. “The enormity of the market paired with a sophisticated business sector relative to other countries makes Egypt the...

NAIROBI, Sept. 23 (Xinhua) -- A key Kenyan dry port which was expanded using Chinese funding is boosting the east African nation's international trade, a port official said. Kenya Ports Authority (KPA), which owns the Nairobi Inland Container Depot (ICD), said that the dry port has enabled bulk cargo from the port of Mombasa to be transported efficiently through the Standard Gauge Railway (SGR) to the hinterland. With Chinese funding, the dry port has expanded the container traffic of the ICD to reduce congestion at the port of Mombasa, ICD principal operations officer Nicholas Tendwa told Xinhua in a recent interview. The freight lines of the 472 km Mombasa to Nairobi SGR project terminates at the ICD and has modern equipment from China that has improved the efficiency of the operations of the facility. The dry port was established in 1984 in Nairobi as the key destination of most imported goods and its role was enhanced in May 2017 after the completion of the SGR in order to reduce congestion at the port of Mombasa and bring freight services closer to clients. The state-of-the-art inland cargo handling facility that was upgraded by China Communications Construction Company (CCCC) was expected to decongest the port of Mombasa while lowering the cost of transporting goods. Tendwa noted that international traders now prefer to collect their cargo from the inland dry port rather than from the Mombasa seaport. Tendwa revealed that the inland port is also an ideal pickup point for transit goods headed...

Despite the current pessimism surrounding the future of Kenya Airways, the International Air Transport Association forecasts more than double growth for the country’s air transport sector in the next 20 years. According to IATA, the sector will grow by 249 percent over the period if the current trends are maintained, contributing $11.3 billion annually to Kenya’s GDP and supporting an estimated 859,000 jobs by 2037. BUSY ROUTE The findings were made in the Value of Aviation Report for Kenya that was launched during IATA’s Regional Aviation Forum hosted by Kenya Airways on September 17. The report looked at the total contribution of jobs and spending generated by airlines and their supply chain; trade and tourism flows; investments by users of all airlines serving a particular country as well as the city pair connections that make these flows possible. According to IATA, the air transport sector contributed $3.2 billion to the economy, amounting to 4.6 percent of the country’s GDP in 2017. Source: The East African