The expansion and rehabilitation of Mwanza Airport to international level has increased volume of visitors to over 1,000 per day whereby Fastjet alone carries about 800 passengers per day and the remaining 200 passengers are served by other airlines.
“The Fastjet domination is attributed by several factors including the nature of their business. Fastjet is a low cost airline, so people with different economic levels have a chance to travel at a very low cost, hence a good number of people travel through the airline,” said Ms. Mandale, The Mwanza Airport Manager.
She further said that the increased volume of visitors to over 1,000 per day is an increase of 188 percent of passengers who opt now to travel by air compared to the past when passengers shunned this mode of transport, owing to poor services rendered at that time.
Ms. Mandale told the Mwanza Regional Consultative Committee (RCC) members that the rehabilitation and expansion has attracted many operators and passengers. “The airlines trips have increased from 46 to 56 per day after the completion of cargo apron and cargo shed, and runway”.
According to the Deputy Minister for Transport, Dr Charles Tizeba, the rehabilitation of the passengers lounge at the airport had been completed by 90 per cent. He said that the works would cost 105.9 billion and the government will contribute approximately 88 billion while the remaining 17 billion is a loan from BADEA and OFID.
The Mwanza Regional Commissioner, Engineer Evarist Ndikilo, insisted that it was important to complete the airport as scheduled so as to attract more foreign investors to invest in Mwanza and entire Lake Zone Region and make it a tourism centre for the East African countries.
Tanzania and China have signed an agreement for animal and plant related products during historic visit of President Xi Jinping a move that will see Tanzania's direct leather exports increase. China has been importing leather from Tanzania but through third parties, mostly Italy thus denying the country a substantial amount of revenue.
The Chinese Ambassador to Tanzania, Mr Lu Youqing, said that his country found out Tanzania has top quality leather but failed to tap the potential fully due to lack of a bilateral agreement.
"The agreement would increase the current trade volume that reached 2.5 billion US dollars in 2012. If there is no third party the business volume will increase," said Mr Lu.
Official records show that skin and hides exports earnings last year increased by 23.5 percent to 8.4 billion, a figure indicating that the industry is operating below capacity.
The leather industry has faced severe challenges for a very long time including high taxation and smuggling of raw hides and skins.
However, experts say the country has all the potential of becoming a giant exporter of leather products if a conducive business climate will be guaranteed to the exporters hence attract significant investments.
According to experts, low investments in value addition have denied the nation earnings up to nearly 90 percent of exports which are raw hides and skin.
Tanzania's present capacity is to produce 2.8 million cattle hides, 3.8 million goat skins and one million sheep skin a year, which is nearly 94 million square feet but it is capable of collecting only 62 million square feet. The tanneries capacity is to process 74m square feet of raw hides and skin. There are eight leather processing plants with a total capacity of 73.9 million square feet, but it produces only 34.3 million square feet which is equal to 46.4 per cent of the installed capacity.
The Ministry of Industry, Trade and Marketing officials say the government's target is to enhance the capacity of local industries to process all the skin locally instead of exporting raw materials.
According to the study done by InSites Consulting, television continues to attract more people hunting for news than smartphone, tablets and PCs. People surveyed by it said that television is the most preferred medium for news which consumes their 42 percent of their time while its counterparts- laptops, smartphones and tablets-account for 29%, 18% and 10% respectively.
"There's been speculation for years that mainstream uptake of smartphones, laptops and tablets will have a negative impact on television viewing, but this study has found that the four devices actually work well together, resulting in greater overall consumption rather than having a cannibalising effect," BBC Global News CEO Jim Egan said.
More than 3,600 people who own these devices were surveyed in Australia, Singapore, India, the UAE, South Africa, Poland, Germany, France and the US.
But one key finding of the study is that while smartphones and laptops keep people engaged during the working day, it is the television that attracts more people in the evening, prime time, when its viewership is higher by 50% than other devices.
Experts have advised corporates in Tanzania to make use of TV in terms of adverts for the good of their businesses, saying that the survey has shown a clear picture that it will be the best place to advertise despite the ongoing technological revolution.
The study says that 83% people use laptops while watching television while 43 % of tablets owners said that rely more on television than they did five years back.
According to the study, National and International news get more attention from people (84 per cent and 82 per cent, respectively), than local news (79 per cent), according to the study. In other news categories Financial and business news (61 per cent) are viewed more than sports (56 per cent) and arts/entertainment news (43 per cent).
In case of breaking news people first prefer the television and then turn to internet to gather more facts.
Samsung launched the latest Galaxy Music smart phone in Dar es Salaam in a move to provide users with the ultimate music experience. The phone comes with a slightly bigger screen, a larger battery and a faster processor.
“The phone was developed to ensure music lovers enjoy music to the maximum. Galaxy Music understands the role that music plays in one's life and as such it has been developed to make listening to music a fun and easy,” the Samsung's Retail Manager, Sylvester Manyara said during the press conference held at the Samsung Brand Shop at the Quality Centre in Dar es Salaam.
He said that the phone also performs all the functions that other Samsung phones offers. Samsung Galaxy Music has outstanding features that make it a phone designed for music lovers.
A leader of Tip Top connection, Madee, speaking during the launch of Airtel Yatosha carnival at the company’ headquarters in Dar es Salaam. Different artists including Fid Q, Juma Nature, Ney wa Mitego and Stamina will be performing during the carnivals which are set cover the whole country. Witnessing is Airtel Public Relations Manager, Jackson Mmbando (second right) and Airtel Coastal Zone Sales Manager, David Raphael.
World Bank Board of Executive Directors has approved an International Development Association (IDA) credit of $ 75 million as direct budget support to further strengthen the sound management of public finance and improve investment climate in select strategic areas.
"The continuation of budget support is an acknowledgement of the progress in implementing the first operation in the series which focuses on promotion of the private sector growth and development; and improvement of fiscal policy and management. We are confident that we shall successfully complete the series because our reform agenda has remained on track,” said Ramadhani M. Khijjah, Permanent Secretary - Treasury, Ministry of Finance in Tanzania.
This is the second in a series of three annual programmatic development policy operations (DPOs) in support of Tanzania’s implementation of its poverty reduction strategy, MKUKUTA II, complemented by the Five Year Development Plan I (FYDP I). The PRSC series is well aligned on the harmonized framework for the General Budget Support (GBS) in Tanzania, which the World Bank participated together with 11 other development partners.
The operation supports the Government of Tanzania’s reforms, particularly in enhancing efficiency and transparency in domestic revenue mobilization, sound public investment management including public private partnerships, improving quality of budgets and a stronger public financial management system, effective institutions for promoting and regulating special economic zones and improving investment climate as a regional transit hub.
Through focusing on those areas, the operation supports the Government’s effort to ensure macroeconomic and fiscal sustainability and safeguard benefits from growth by building resilience of the economy in the volatile global economic environment and as the country faces growing demand for investment to fill infrastructure gaps.
The operation also helps the country to build competitiveness for much-needed economic diversification and fostering shared growth in the country by leveraging its geographical advantage as a coastal transit country for the region and facilitating industrial agglomeration.
The five reform areas above will be hinged on the foundation of improved transparency and access to information as an accountability tool in the country.
“Budget transparency is a critical component of government performance, especially in the energy sector. Proactive information sharing, public access to data, and accurate and timely statistics, are policy priorities for the Tanzanian authorities, and we are delighted to support their efforts. These include the all-important transparency in managing revenues from natural resources, especially gas and minerals.” said Marcelo Giugale, Director of Poverty Reduction and Economic Management for the Africa Region.
Tanzania was declared EITI compliant on December 12, 2012. The Tanzania Extractive Industries Transparency Initiative (TEITI) has committed to making public the information on payments and revenues especially related to minerals including natural gas, and possibly oil in the future. TEITI hopes that by this openness, it will build trust between citizens and their Government.
This Poverty Reduction Support Credit (PRSC) series complements a $ 100 million development policy operation in the power and gas sectors. The World Bank’s current portfolio in Tanzania consists of 23 IDA-financed projects with a net commitment of approximately US $ 3.1 billion making it the 3rd largest country program in the Africa region.
Following the ongoing crisis in Cyprus, Bank of Tanzania (BoT) Governor, Professor Benno Ndulu, has affirmed that the Central Bank is following closely developments in Cyprus where FBME Bank has the bulk of its assets.
"Tanzania's activities of FBME are safe," Prof. Ndulu said, adding that, “despite the fact that FBME Bank is part of the Cypriot banking system which is currently in crisis as the country's economy is threatened by bankruptcy, there is no threat to the local assets”.
The bank, which is one of the 10 biggest commercial banks in the country controlling more than 80 per cent assets, over 70 per cent of deposits and 60 per cent of banking staff, has a big clients' presence in the country.
"FBME does not have exposure to the bad debts which Cypriot banks gave to Greek borrowers that have caused the crisis," Prof. Ndulu said.
It said throughout the past week FBME Bank has been actively working to protect its customers' best interests and has regularly communicated with parliament and government of Cyprus, the Central Bank of Cyprus and other relevant parties.
"We are very pleased to inform our customers that under this agreement, there will be no levy imposed on deposits held with FBME Bank Limited. We commit to all our customers that we will continue actively working on your behalf to ensure normal business resumes at the earliest possible opportunity and we thank you for your continuing support and patience during this difficult time,” the statement by FBME Bank said.
In a statement the Bank said following the crisis, restrictive measures on transactions have been imposed through Emergency Law of 2013 passed by the Cyprus parliament on the night of Friday March 22, 2013.
The move confers discretionary powers on the Cyprus Minister of Finance and the Governor of the Central Bank of Cyprus to impose capital controls. "At present, it is not yet clear to what extent capital control measures will impact on FBME Bank customers, bearing in mind the fact that FBME Bank is sound and depositors' funds are protected by the strength of the Bank's well diversified and highly liquid Balance Sheet, which meets European Capital Adequacy and Liquidity Standards," the statement noted.
Coal
Edenville Energy has revealed that a large portion of Rukwa coalfield project in Tanzania inferred resources have now been upgraded into the measured and indicated category. The latest resource upgrade of the coal field in the country has revealed a significant increase in confidence.
The Rukwa coalfield project now has a total resource of 173 million tonnes across three deposits. 57.5 million tonnes of that are estimated in the measured and indicated categories, which is the threshold for consideration in mine development studies.
90 percent of this resource tonnage lies within Mkomolo and Namwele; Muze still to be fully evaluated. Edenville says that a commercial evaluation of Phase 1 mining, from Rukwa’s Namwele deposit, will begin next month.
"The board is extremely encouraged by this upgraded JORC standard resource estimate for our Rukwa Coalfield Project, which further strengthens our belief in the commercial potential of our assets. The work completed by our geological team has resulted in a detailed, robust geological model with the Measured and Indicated coal resource now constrained to discrete coal zones within the overall coal measure sequence,” Chairman Sally Schofield said.
According to Mr. Sally, the 2012 drilling has further confirmed the quality of the coal as suitable, with appropriate processing, for coal fired power generation.
"The board is of the view that the overall project continues to have considerable upside potential. The five holes drilled at Muze during 2012 returned a M&I resource of 5.5 million tonnes and we are confident that this resource could be expanded considerably with further drilling,” he said.
Mr. Sally further added that: "We now have a solid platform from which to progress our stated strategy of evaluating phase I mining at Namwele in parallel with the longer-term goal of establishing a partnership to provide coal to a mine mouth power station."
Samsung is expanding its huge supply chain reach into Africa with plans to develop new assembly facilities in Ethiopia. The plan, agreed with the Ethiopian Government, was announced at a conference in Cape Town last week.
According to Samsung the assembly plant in Ethiopia will assemble laptops and printers that will be distributed to the rest of the continent.
Experts believe that Samsung’s Ethiopian plan could be both good and bad news. Samsung operates in technology markets with rapid growth, which brings almost immediate returns for the countries where it invests. But dependency on Samsung is not far behind.
The electronic giant also has a program to train 10,000 engineers for Africa by 2015, including a year’s internship in Korea. The education program was launched in 2011 at a time when Samsung announced it would quintuple revenues from Africa to $ 10 billion by 2015 (Samsung’s China revenues were $ 10 billion at the time).
Samsung’s footprint globally is huge, not only through its electronics arm but also through construction – in Africa it already has large oil-related operations in Nigeria. But it is in the hugely competitive field of electronics that Samsung is both a high growth and a high dependency partner.
Security experts said on Wednesday that Internet connection worldwide may have been slowed by one of the largest cyber attacks ever seen. The attacks targeted Spamhaus, a Geneva-based volunteer group that publishes spam blacklists which are used by networks to filter out unwanted email, and led to cyberspace congestion which may have affected the overall Internet, according to Matthew Prince of the US security firm CloudFlare.
Johannes Ullrich of US-based SANS Technology Institute said it was "a factor of 10 larger than similar attacks in the recent past. But so far, I can't verify that this affects Internet performance overall."
CloudFlare, which was called for assistance by Spamhaus, said the attackers changed tactics after the first layer of protection was implemented last week.
"Rather than attacking our customers directly, they started going after the network providers CloudFlare uses for bandwidth. Once the attackers realized they couldn't knock CloudFlare itself offline... they went after our direct peers. The so-called denial of service attack, which essentially bombards sites with traffic in an effort to disrupt, was "one of the largest ever reported," Prince said.
According to Spamhaus, the attacks began last week after it placed on its blacklist the Dutch-based Web hosting site Cyberbunker, which claimed it was unfairly labeled as a haven for cybercrime and spam. While the origin of the attacks has not been identified, some experts pointed the finger at Cyberbunker, possibly in coordination with Eastern European cyber-criminals.
Over the last few days, he added, "we've seen congestion across several major networks, primarily in Europe where most of the attacks were concentrated, that would have affected hundreds of millions of people even as they surfed sites unrelated to Spamhaus or CloudFlare."
Prince noted that these attacks used tactics different than the "botnets" -- these came from so-called open resolvers which are typically running on big servers with fat pipes. They are like bazookas and the events of the last week have shown the damage they can cause.. "What's troubling is that, compared with what is possible, this attack may prove to be relatively modest,” he said.
Exim Bank Tanzania Managing Director Anthony Grant
EXIM Bank, Tanzania’s sixth largest bank in terms of total deposits and assets has launched its mobile banking service that will enable the bank’s customers to access their accounts via mobile phones.
“Internet and mobile banking services are the primary gateways for information and support for our customers. This new service reaffirms Exim Bank’s commitment to offer stress-free banking and convenience banking services to our customers,” Exim Bank Tanzania Managing Director, Anthony Grant, said in a statement.
He said that the launch of the bank’s mobile banking service marks the bank’s ongoing commitment to meet the customer’s needs for instant and straightforward access to their finances.
Grant said the mobile banking service will allow customers to access their bank accounts details, make instant transfer of funds between own accounts or to any registered third party beneficiaries and pay registered utility bills and credit card bills.
“Technology is quickly changing the way people do business and manage their needs for financial information and control. With this launch, we are thrilled to enable the benefits of anytime, anywhere banking to our clients,” he said.
He added that the entry into the mobile market marks another milestone in the bank’s integrated e-commerce platform strategy which raises the bar for an enhanced customer experience.
“This is just start of our journey to deliver an e-mobile solution that will really make a difference to our customers,” he added.
He however cautioned the bank’s customers to be cautious with their passwords urging that revelation of their password may lead to theft of their money.
Exim Bank earlier this year announced to open two more branches across the country as part of the bank’s aggressive expansion plan aimed at extending services closer to people and to date, the bank boosts the existing branch network of 25 branches across the country.
Africa’s low-cost airline, Fastjet, has announced the launch of its credit and debit card payment solution in co-operation with Wirecard AG, giving consumers and travel agents from across the globe the ability to access and pay for seats of the rapidly growing fastjet route network.
FastJet has partnered with credit card acquirer Wirecard to facilitate bookings using Visa and MasterCard. This significant enhancement is available today on the fastjet website. With Wirecard’s international footprint, fastjet now has the opportunity to transact across the world with an increasing number of card payment solutions.
“We have been inundated with requests from outside Africa for people looking to purchase seats on the fastjet website, and I am delighted to say that having partnered with Wirecard we are now in the position to be able to facilitate these bookings,” fastjet Chief Commercial Officer Richard Bodin, said.
Whilst credit and debit cards usage is not large in East Africa. Less than 10 percent of the population in East Africa have credit or debit cards. “This coupled with our hugely popular Mobile Money payment facility really means that our customer base has the full suite of payment processes available to them.”
Wirecard Executive Vice President Travel & Transportation, Jörg Möller, added: “We are very pleased to support fastjet in its expansion of payment methods. For us, Africa is a very interesting market as our strength and competence in international payment and risk management solutions are especially valuable here. Our solutions help airlines to operate their business more efficiently and risk-low.”
Fastjet expects up to 15 percent of future bookings to be made using credit and debit cards with Mobile Money payments already accounting for as much as 25 percent of sales.
Last week, Fastjet carried its 100,000th passenger since commencing flights from Dar es Salaam on 29th November 2012.
Vodacom Manager External Affairs, Salum Mwalim withdrawing cash through Diamond Trust Bank’s ATM. Witnessing is the Head of Sales and Marketing for DTB, Sylvester Bahati.
M-Pesa customers are now set to make cash withdrawals through Diamond Trust Bank (DTB) ATMs, following a partnership deal between DTB and Vodacom Tanzania.
The coming of DTB withdrawal-channels on board will be an addition to more than 40,000 existing M-Pesa agents across the country.
“This is yet another milestone that we are marking today. Vodacom is extending its M-Pesa agent network to DTB and by so doing allowing M-pesa customers to withdraw money conveniently from their M-pesa wallets. DTB ATMs will from now on act like any other M-pesa agents which offer 24 hour access to cash,” Vodacom Manager External Affairs, Salum Mwalim said.
He said that Vodacom have been aiming at increasingly accelerating and improving service delivery to its customers, clients and partners and also ensuring expansion of its services and products, including M-Pesa, network accessibility, internet among others. “The coming of DTB on board has proven it all,” Mwalim said.
On his part, the Head of Sales and Marketing for DTB, Sylvester Bahati, said DTB has continued with their innovation strides by introducing new products, services, opening branches and ATM’s countrywide.
“It has been DTB's strategy to improve the service delivery to the existing and potential customers all over Tanzania. This mutual partnership with Vodacom will help us to bring banking closer to people all over the country. It is a service of its kind that enables even more convenient service to M-pesa users,” he said.
He further said that the service will help in facilitating access to banking services along with the improvement of the standard of life and economy for the entire Tanzanians in urban and rural areas.
Director General of Airtel, Sunil Colaso speaking to Airtel Public Relations Manager Jackson Mmbando during the launch of Airtel Yatosha in Mwanza.
AIRTEL Tanzania has embarked on a massive campaign to promote its recent product dubbed ‘Airtel Yatosha,’ to its customers all over the country. Speaking during the launch of the new service, Airtel Yatosha, in Mwanza, Airtel’s Lake Regional Manager, Ally Maswanya said: “We have decided to reduce costs due to the directives by the Tanzania Communication Regulatory Authority (TCRA) which required all mobile phone service providers to reduce the interconnection charges from Tsh 112 to Tsh 34. 92 per minute.
“We have introduced "Airtel Yatosha” to suit our customers' needs and demonstrate our commitment in providing affordable and quality network service in the country. We believe different customers have various needs that go well with their requirements,” he said.
Following the launch of a new service "Airtel Yatosha" customers across the country will now have a chance to make a call to other service providers for as less as 75 percent without changing their SIM Cards. The service demonstrates one nation, one SIM Card, one tariff proposition where customers get a mix of voice, SMS and data in one bundle that can be consumed daily and weekly to suit their needs.
He said that the company has decided to come up with the innovative services for each segment that will make a significant difference and give value for money to the esteemed customers across the country.
According to Airtel, from as low as Tshs 349, Airtel customers will get ten minutes to call to any network anytime, one hundred SMS’s and 25 MB internet bundle for twenty four hours a day. "Airtel Yatosha” service is available in two options daily subscription and week subscription. In weekly subscription, customers will be charged Tshs 1999 and get seventy minutes to call to any network anytime, seven hundred SMS and 175 MB data bundle.
Speaking during the campaign drive in Mwanza, an Airtel customer and a resident of Mwanza, Brighton Maisel, said “for quiet sometime the cost of making calls to other cellular networks has been very high. I am grateful to the government for enacting the legislation to reduce the prices. I also thank Airtel Tanzania for adhering to the regulators proposal.”
After Mwanza, Airtel Yatosha promotion will go to Morogoro, Mbeya, Arusha, Dodoma and other regions.
The banking segment at Dar e Salaam Stock Exchange has moved 94 percent of total market's activity and 64 percent of the total turnover thank to increased support from foreign investors on the CRDB and NMB counters. NMB counter gained by Tshs 40 to trade at Tshs 1, 300 per share compared to previous period.
NMB accounted for 62 percent of the total turnover with 260,234 shares traded on the counter supported by foreign investors' participation which accounted for 66 percent of the turnover. CRDB counter gained Tshs 2.5 to end the week at Tshs 162.5 per share from Tshs 160.
The Banking segment Index settled 1,342.95 points, which is 2.49 percent stronger than previous session on the backdrop of gains made on the CRDB and NMB counters which gained by 0.3 percent and 3.17 percent respectively.
The counter accounted for 38 percent of the total turnover and 83 percent of the banking segment activity. A total of 1,281,786 shares changed hands with foreign contribution on the counter 34 per cent of the turnover.
The week under review saw turnover and volume of shares which changed hands rising significantly to Tshs 844.2 million from Tshs 297.5 million of the previous session, while shares traded rose to 1,640,110 compared to 638,854 of the last market.
According to the Tanzania Securities Limited (TSL) weekly market commentary, TBL counter was the most active counter among the Industrial and Allied sector this week transacting 81,695 shares supported by foreign investors by 73 percent although its share price dropped by Tshs 20.
The Industrial and Allied Index strengthened to 1,886.97 points, a 1.03 percent gain supported by TCC, Twiga and Swissport counters that gained Tshs 240, Tshs 20 and Tshs 80 per share respectively during the week. Twiga maintained its local support to close the week at Tshs 2,620 per share, a rise of Tshs 20 while moving a volume of 9,983 shares.
TCC counter followed with 1,915 shares that gained Tshs.240 per share. Simba counter had 3,441 shares traded at a range of 2400/- per share. Swissport traded 922 shares at Tshs 1900 per share. There were however no activities on TTP, TOL and Precision Air during the week.
Indices continued with the recovery and rally with modest gains for both Dar es Salaam Stock Exchange All Share Index (DSEI) and the Tanzania Share Index (TSI). The DSEI closed 0.37 percent higher at 1,522.15 points while the TSI ended the week at 1,584.88 points, a gain of 1.52 per cent.
More interest income and reversal of provision made against impairment losses on loans and advances has attributed for Bank of Baroda (BoB) to increase its operating profit by over 100 percent. The bank made an operating profit of Tshs 6.17 billion during the year ending last December as compared to Tshs 2.36 billion during the same period of last year. That translated to a net profit of 4.16 billion during the year, compared to 2.26 billion of December 2011 an increase of almost 84 per cent, the BoB report says.
According to Mr. Deba Prasad Gayen, BoB's Managing Director, the interest expenses of the bank during the year ended December shot up to Tshs 3.39 billion from Tshs 2.27 billion due to increase in cost of deposits. Noninterest expenses marginally increased from Tshs 2.54 billion to Tshs 2.21 billion.
“Interest income of the bank increased to Tshs 8.51 billion at the end of last year from Tshs 5.88 billion during the corresponding period last year registering 45 percent increase,” Mr. Gayen said, adding that the bank's advances increased by 19.51 per cent and total assets increased by 17.39 percent to Tshs 125.21 billion.
The Bank is a wholly owned subsidiary of Bank of Baroda, a premier national bank in India having a network in 26 countries in all the continents. The bank's statistics show that it has closed the year when it’s gross NPA, non-performing assets, decreased from 4.83 percent to 0.25 percent.
MultiChoice Africa has revealed that in the week before Easter, DStv rewards will double its prize money – so if the customer pay on time and enjoy unbroken service he/she could win Tshs 10,000,000 in cash.
The dramatic announcement follows five weeks of DStv REWARDS action in which five lucky Tanzanian winners walked away a little bit liquid. “That’s because by simply paying their subscription fee before they were disconnected, they received a Money Drop to remember,” MultiChoice Africa CEO, Nico Meyer said.
According to Meyer, in just five weeks, a whopping Tshs 25,000,000 has been paid to five loyal subscribers who scooped up Tshs 5,000,000 each.
"If you haven’t won yet, you still have a chance because there are still three weeks of cash prizes ahead, including one bonanza week just before Easter when the prize is doubled. And of course, everyone can walk away smiling with our special 10% discount offer, which knocks 10% off the subscription price for those people who pay before they are disconnected and who enjoy unbroken service. So with DStv, you really get so much more,” he said.
The Bank African Development (AfDB) Resident Representative, Tonia Kandiero, has affirmed the Tanzania government that the bank has begun to prepare a major geothermal development support program for the country, with funding from the CIF Program for Scaling up Renewable Energy in Low Income Countries (SREP), for which the AfDB serves as a key implementing agency.
A week ago a wide range of stakeholders gathered in Dar-es-Salaam, Tanzania for a Government-hosted workshop to consider the country’s “Geothermal Legal and Regulatory Framework”. Participants included government officials, private developers, geothermal resource survey specialists, development partners, lawyers and civil society representatives.
To open the workshop, Deputy Minister for Energy and Minerals Stephen Masele spelled out the need for a dedicated framework for geothermal development, stating that with no clear framework in place, the Government has been forced to use the existing Mining Act to license companies interested in geothermal energy development.
The workshop, co-organized by the African Development Bank (AfDB) and British High Commission with support from the Climate Investment Fund (CIF) set out to identify ways to create an effective legal and regulatory framework to support geothermal development in Tanzania.
During the two-day workshop, experts advised the government to explicitly include geothermal energy as a development priority in its updated Energy Policy and the new Renewable Energy Policy. “Geothermal power must be considered as a viable supply source while updating the Power System Master Plan. The Government must prepare a Geothermal Act and associated regulations to guide the development of the sector and attract private investors,” they said.
They also suggested that the geothermal division must be established within the department of energy in the Ministry of Energy and Minerals, to ensure that geothermal development is well integrated with energy development and receives the necessary attention.
They said that there has to be clarity on the roles and responsibilities of the public and private sectors in various aspects and geothermal development, from resource exploration, to power development and the Geothermal Division should be appropriately staffed with competent experts.
According to experts, Tanzanian geothermal development capacities are presently weak with only about eight trained specialists. “If the potential of geothermal energy is to be realized, human capacity in both public and private sectors must be strengthened. Expertise is required in geothermal resource development, planning, power development, project finance, and project management and social and environment safeguards expertise,” experts said.
The Scaling up Renewable Energy in Low Income Countries (SREP) in Tanzania will offer an excellent opportunity to implement some of the proposed recommendations that will be endorsed by the Government.
Complementing the government’s efforts to trim-down unemployment facing many youths in the small Islas of Zanzibar, Vodacom Tanzania through its foundation has donated Tshs 30 million to purchase fishing boats.
According to Vodacom, the said amount will purchase to two fishing vessels in which one will be used for fishing in Makunduchi Village in south Unguja, while the second boat will be transported to Pemba Island for similar purpose.
“Hopefully the two vessels will support a good number of youth in a fight against poverty and unemployment," Yesaya Mwakifulefule, Manager, Vodacom Foundation said.
The giant mobile network provider has also supported sober houses, homes for youths battling to stop use of illicit drugs. “Use of drugs is caused by lack of unemployment. We appeal to the youths who are in sober houses not to return to drug abuse; instead let them find jobs including self-employment in agriculture and fishing. We will continue supporting them," Mr. Mwakifulefule said.
He further said that his company has been empowering women by giving them interest free loans through M-Pesa so that many women can fight poverty by running business.
Minister for Labour, Economical Empowerment and Cooperatives, Mr. Haroun Ali Suleiman thanked Vodacom for their contributions in development specifically in empowering women and youths in the country.
He said that Vodacom has been supporting various development initiatives that are meant to increase employment and spar poverty that still dogging a good number of individuals in the country.
"The government has been taking different steps in making sure that its people live better lives," he said. Mr. Suleiman said that the government welcomes private sector organisations like mobile phone companies to help in job creation so that many youths get employed, a move which will also help minimise crimes in the country.
Making medical practices more mobile, medics in Tanzania have managed to use an iPhone microscope to diagnose intestinal worms in approximately 200 students in Pemba Island off Tanzania's eastern coast.
"To our knowledge, this is the first time the mobile phone microscope had been used in the field to diagnose intestinal parasitic infections" said Isaac Bogoch an internal Medical Specialist at Toronto General Hospital.
The microscope was made using an iPhone, flashlight, camera lens and double-sided adhesive tape, and then used to diagnose intestinal worms in approximately 200 students.
Bogoch said the iPhone microscope had 70 percent accuracy when compared to the results of a conventional laboratory microscope.
"The idea to invent the idea was to have a cheap solution that could be used in remote settings where equipment such as a microscope and electricity are not that easily available," said Benjamin Speich, a corresponding author and scientist at the Swiss Tropical and Public Health Institute.
Scientists say they plan to work with the technology in Tanzania to make it more accurate.
From right, Derek Hudson, President and Asset General Manager, BG East Africa, Alistair Scott, Head of Development BG Tanzania, Professor Idris Kikula and Professor Ntalikwa from the University of Dodoma during the handover of scientific equipment to University of Dodoma at BG Tanzania offices.
The University of Dodoma Department of Petroleum and Energy Engineering has received scientific equipment worth over Tshs 83 million in a donation from BG Tanzania, the fully owned subsidiary of natural gas leader BG Group.
“The University of Dodoma aims to be at the forefront of the emerging oil and gas sector in Tanzania. The donation you have given us will help to make sure that Tanzania benefits in all areas of this industry. The petroleum engineering students of today will be the business leaders of tomorrow,” Professor Idris S. Kikula from the University of Dodoma said.
The consignment includes a distillation unit, a kinematic viscometer and a portable octane analyser system. All these equipments are vital for the development of advanced oil and gas skills and will directly benefit all students currently registered on petroleum and engineering courses at the university.
The donation follows a similar contribution to University of Dar es Salaam earlier this month. BG Tanzania considers it a priority to help build the next generation of oil and gas business leaders, and these donations are just two small parts of a number of areas of commitment for both the academic community and wider Tanzanian society.
“In December 2012 BG Tanzania signed a memorandum of understanding with the University of Dodoma and the University of Dar es Salaam,” said Derek Hudson, President and Asset General Manager, BG East Africa at the ceremony, “in the last month we have made substantial donations to both institutions to build capacity in Tanzania’s oil and gas sector”, he continued.
BG Tanzania is a leading firm in the exploration in deep off-shore areas along Tanzania’s coastline. The company has been operating in Dar es Salaam and Mtwara since July 2010 and has achieved significant positive progress in its activities. The company has invested US$ 800 million in Tanzania to date.
BG Group plc is a world leader in natural gas and oil, with a strategy focused on connecting competitively priced resources to specific, high-value markets.
Active in more than 20 countries on five continents, BG Group has a broad portfolio of exploration and production, Liquefied Natural Gas (LNG) and transmission and distribution business interests. It combines a deep understanding of gas markets with a proven track record in finding and commercialising reserves. BG Tanzania is a wholly owned subsidiary of BG Group.
After de-risking the projects 'significantly', Montero, Montero Mining and Exploration company has a 'strong vision' and a simple strategy to progress its rare earths assets in Tanzania through to production. Currently, the company is working hard to find a strong partner to help fund the projects.
Dr. Tony Harwood, President & CEO Montero Mining , tells Proactive investors that the company remains focussed on the development of the company’s flagship, Wigu Hill Rare Earth Element Project in Tanzania, which is a high-grade, undeveloped Light Rare Earth Element deposit.
“We are currently focusing on achieving early production of fine rare earth chemicals and metals from Wigu Hill. Montero has a fast-track strategy to advance a portion of the Wigu Hill deposit to the mining and production stage in the short-term while further defining a much larger deposit, and that’s why we are anxiously looking for strong partner to help fund the projects.
Montero recently produced samples of saleable Rare Earth products, proving an effective process route, and signed a MoU with Star Earth Minerals.
Montero's main Wigu Hill rare earth element (REE) deposit in Tanzania, which is 81 per cent owned by the company, is a steep hill that is 250 metres above sea level, 550 metres above the surrounding coastal plain, with the highest peak at 796 metres above sea level.
The project is located about 65 kilometres south of Morogoro and 200 kilometres southwest of Dar es Salaam in south-eastern Tanzania. It covers a 142 square kilometre area and grab samples have yielded results as high as 27.25% total rare earth oxides, with up to 16.68% from drilling.
The junior explorer's plan is to fast track a portion of the large deposit to the mining and production stage, but Montero believes that with a more comprehensive drilling program, it can expand mineral resources from the current 3.3 million tonnes to well above 40 million tonnes.
As a result of its fast track strategy and its decision not to focus on expanding resources, Montero has become one of the first juniors to produce samples of individual and mixed oxides.
"With the metallurgy at well-advanced stage, we believe the company is currently in negotiations with funding partners for the development of the Wigu Hill mine and processing facilities. We believe that Montero could emerge as the first junior rare earth company to cross the line to production," noted metals and mining analyst for Euro Pacific, Luisa Moreno.
Samsung Electronics Africa has choosen MITSUMI, one of Africa’s largest IT distributors to official distribute all the Samsung’s IT products, across Sub-Saharan Africa. Through this partnership agreement, MITSUMI will deliver the full suite of Samsung IT consumer and business solutions to more than 19 African countries.
“This partnership agreement is a first of its kind for us and certainly speaks to our continued investment in, and commitment to our African customers. This agreement not only enables us to expend our logistical footprint, but leverage on an established African distributor and support network.” Says Thierry Boulanger, Director for IT Solutions and B2B at Samsung Electronics Africa.
Mr. Boulanger further said that; “We have a Pan Africa distribution vision and strategy that will take IT distribution to the next level and with MITSUMI’s strong track record, solid financial standing and pool of African best practices, this is a strategic business partnership for us that we trust will go far in servicing the growing need for IT solutions across Africa,” concludes Boulanger.
The partnership came into effect from this month, where MITSUMI’s offices in 19 countries with in-country stock points will service Samsung’s African distribution needs.
“As one of the leading African distributors, we understand the broader African continent and hold a viable expertise, having been in operation for 17 years across 19 African countries. We intricately understand how to cost-effectively support the technology needs of end users of all sizes, including small- and medium-sized businesses, large enterprises, educational institutions, government agencies, and consumers and certainly see this partnership with Samsung as an opportunity to continue our growth across the continent,” Mitesh Shah, Managing Director at MITSUMI, says. The deal announced on Tuesday is part of Samsung Africa’s ongoing market development strategy to enhance its product availability.
In an energy infrastructure program focuses on major hydroelectric projects and interconnects the power pools between countries to meet the forecast increase in demand, Africa Development Bank (AfDB) has vowed to offer more support to about five Large-Scale Hydropower Projects Africa . Nine hydropower projects were identified for this phase, amounting to more than 50 GW potential capacity representing 40 per cent of the actual installed capacity of the continent.
“On the African continent, current low energy access rates and limited infrastructure development call for urgent action,” AfDB said in a statement.
Recent studies estimate that 57 per cent of Africans are without electricity.
“In Africa lies a paradox between plentiful untapped hydropower and other renewable energy resources versus very little electricity access. Forty-five per cent of the electricity generation in Sub-Saharan Africa comes from hydropower but only five per cent of the continent hydro-potential has been tapped. By harnessing those resources, we help delivering sustainable energy to many more people.” – Hela Cheikhrouhou, Director of Department of Energy, Environment and Climate Change, African Development Bank said.
In 2012, at the 18th Summit of the African Union, African Heads of State endorsed a set of priority energy projects to be implemented by 2020 as part of the Programme for Infrastructure Development for Africa (PIDA). The energy infrastructure program focuses on major hydroelectric projects and interconnects the power pools between countries to meet the forecast increase in demand.
Nine hydropower projects were identified for this phase, amounting to more than 50 GW potential capacity representing 40 per cent of the actual installed capacity of the continent. To date, the AfDB has been involved in five of them.
According to AfDB, the electricity produced at the Rusumo Falls development will supply Tanzania, Rwanda and Burundi, while the Mphanda-Nkuwa project in Mozambique, which is at the financial closure stage, will contribute to supply energy both to Mozambique and to South Africa. The Inga hydropower projects in the Democratic Republic of Congo (DRC). Grand Inga will have to be built in several phases. When fully built, it will transform Africa by providing electricity to a large part of the continent with transmission lines interconnecting several countries.
The Hydropower components of the Lesotho Highlands water project Phase II, which will supply power to Lesotho and South Africa, while the Ruzizi III project in Rwanda will provide additional electricity capacity in Rwanda , Burundi and the DRC. It is the first regional Public Private Partnership (PPP) power project in Africa and is a model for successful implementation.
Those multinational large-scale renewable projects are essential to ease regional cooperation in Africa and to contribute to universal access to modern, reliable and affordable energy services on the continent.
EAC Secretary General Richard Sezibera
Following the persistent requests for waivers by partner states and the ensuing wrangles over cheap imported goods that hurt local industries, the East African Community will soon slash the Common External Tariffs (CETs) on cement, Wheat, sugar and rice. EAC Secretary General Richard Sezibera said these CETs will be reduced to a standard 25 per cent.
The EAC will announce the new tariffs at the 2013/2014 budget reading in June while consultations continue on similar reductions for other commodities. According to the Customs Union Protocol, sugar attracts 100 per cent CET, rice 75 per cent while that on wheat and cement stands at 35 per cent.
A CET is an agreement between two or more countries to adopt identical tariffs for goods imported from trading partners.
Barbra Musoke Ntambi, spokesperson for Uganda’s Ministry of East African Affairs, said partner states have agreed to reduce the CETs on rice, cement and wheat but that on sugar remains contentious. Sugar shortages remain a challenge in the region with Kenya, Uganda and Rwanda having asked for waivers on taxes in the past four years.
“Every year since 2009, at least one EAC partner state has asked for a waiver on sugar,” said Mr. Sezibera. “Sadly, the industries we have protected through the CET are the ones causing us the most problems.”
Mr. Sezibera was referring to suppliers who abuse the facility, with one recent example occurring a fortnight ago when Ugandan manufacturers passed off imported sugar as a local product and exported it to Kenya at the lower tariffs.
Experts in Tanzania say there is need to address sugar shortage in the region, member countries should waive the CET so as to enable manufacturers to produce more instead of crippling the industries by allowing in cheap imports.
If all goes well, the Dar es Salaam Stock Exchange (DSE) will remove limits on what brokers’ charge their clients on equity trading, The DSE’s Council has already approved and published the new rules for comments from the public and stakeholders. Experts say if the proposal by the regulator becomes law, DSE could become the first stock market in East Africa to adopt the kind of a system.
According to experts, the move to abolish limits will lead to lower fees due to increased competition, forcing brokers to compete on other aspects such as quality of service.
“If you remove the cost, more investors could participate more frequently, but the DSE is not like the Nairobi Securities Exchange, which has 61 listed companies. A cost reduction on the DSE will have to be complemented by more listings and new products. With eleven local counters on the DSE, removing the costs does not make much sense. Some effort has to be made by the private sector and government to increase listings and products,” Moremi Marwa, the chief executive of Tanzania Securities, said.
Under the proposed rules, brokers will be allowed to charge as high a rate as they can negotiate with investors, though fees on bonds trading will not change.
Lauren Malauri, chief executive of Orbit Securities, said while they were not against the proposed rules, the brokerage industry in Tanzania needed time to build capacity.
“We want it to remain as it is for the next three years. We have raised our concerns with the regulator so that we can build capacity; if we go this way now, we could end up destroying each other,” said Mr. Malauri.
Currently, brokers earn 1.7 per cent on trades below Tsh 10 million ($ 6,158), 1.5 per cent on the next Tsh40 million ($ 24,631) and 0.8 per cent on trades whose value is above Tsh 50 million ($ 30,788).
Tanzania’s capital market has seven licensed stockbrokers and 17 listed companies.
Arusha District Commissioner, John Mongella, (fourth from left), listening to the instructions from Head of Vodacom, Northern Zone, Philemon Chacha, on how one can pay water bills through M-pesa service. Witnessing from left is the chairperson, communications and construction committee in Zanzibar, Mr.Makame Mshimba Mbaruk, Chairman of the board AUWSA Mr.Felix Mrema and the Head of AUWSA customer service division Mr. Masoud Katiba.
More than 500,000 residents of Arusha can now settle their water bills through M-Pesa, following the partnership between Vodacom Tanzania and Arusha Urban Water and Sewerage Authority (AUWSA).
"We are now ready to serve our customers in the best way possible. This is a great partnership that we have entered into today and we need to make use of it since the process is easy and accessible to all," AUWSA Managing Director, Eng.Lucy Koya,said.
She said that through this partnership, AUWSA will be able to extend both its payment and collection system and that this in turn would contribute significantly towards improving people's lives and the economy in general.
To make payments through M-Pesa, customers are advised to dial *150*00# then select option four, after which they shall enter the business number (230230). They will then enter the account number, their PIN and press one to confirm or two to decline the transaction.
“M-Pesa is a fast and a secure way of sending and receiving money. I urge the people of Arusha to make use of M-Pesa to pay their water bills because this is the best alternative for saving time, time that can be used for other economic activities for the good of the family and the country at large,” Head of Vodacom, Northern Zone, Philemon Chacha said.
He said that Vodacom's M-Pesa service boast has over 40,000 agents spread out across Tanzania who will provide easy access for all those who want to settle their water bills for as long as they are in the country.
On his part, Arusha District Commissioner, John Mongella, said that the service will go a long way towards serving the people of Arusha in an efficient and effective way.
"This is a great innovation not just for AUWSA but also for the people of Arusha. I commend all the parties involved for coming up with this initiative,” he said.
AUWSA is a legally established entity responsible for the overall operation and management of water supply and sewerage services in Arusha City.
It was established under the Water Works Act CAP 272 and declared a fully autonomous entity in January 1998.
Stanbic Bank Tanzania Home Loan Manager, Ms. Miranda Lutege, making a presentation on how bankers avail opportunities for women to use land as collateral in investment through mortgage, during 2013 Annual General Meeting for Tanzania Women Lawyers Association (TAWLA) and Continuing Legal Education sponsored by Stanbic Bank Tanzania. The meeting was held at Bank of Tanzania hall during the weekend. The meeting had the theme; ‘from being defensive to being proactive: Women, Land and Investment’.
Kenya Pipeline Company (KPC) is set to spend about Ksh 35 billion ($ 411.8 million) to build new Mombasa-Nairobi 14-inch diameter refined fuel pipeline designed to meet petroleum product demand in East Africa for the next 30 years.
The multiproduct pipeline is to be laid alongside the existing 450km line from Mombasa to Nairobi. KPC will construct the new oil pipeline to replace the existing one, which is 35 years old, and enhance operational pumping capacity.
According to the Kenya Ministry of Energy, the project will be completed in 24 months once building work starts. “It will not only reduce shortages of fuel for the domestic and export market, but also the number of tankers on the roads,” a senior official at the Energy Ministry said.
The pipeline transports more than 80 per cent of petroleum products to Uganda, Rwanda and Burundi. Fuel is pumped inland from Kipevu Oil Storage Facility or Kenya Petroleum Refineries Ltd in Mombasa.
Nairobi-based Kurrent Technologies Ltd (KTL) with joint venture partner Sheng Li Engineering & Consulting Company (SLECC) won the tender to design the project. The company will provide the engineering design, environmental impact assessment study and supervision of the actual construction.
In 2010, Line 1 was assessed for corrosion and mechanical damage, leading to the recommendation to replace it. Last year, KPC’s managing director Selest Kilinda said the new Mombasa-Nairobi pipeline will ensure reliable, efficient supply and distribution of refined petroleum products in line with region’s growing demand.
“As a result of regional economic growth and the rise in petroleum products demand, the pipeline traffic experienced a marked increase in the past few years,” he said.
The increased demand for refined fuel is attributable to economic growth in Uganda, Rwanda, Burundi, the Democratic Republic of Congo and South Sudan. Petroleum products account for 21 per cent of Kenya’s primary energy source, including electricity generation in thermal plants.
Tanzania has recorded a slight increase in the value of export of goods and services for the year ending January 2013.
According to Bank of Tanzania (BoT), the value of export of goods and services amounted to $ 8,692.1 million during the year under review compared with $ 7,369.9 million registered a year earlier.
The bank says, the achieved development was due to an increase in receipts from travel, traditional and manufactured exports.
The traditional exports increased by 50.8 percent to $963.9 million in January 2013. “The increase was largely on account of a remarkable increase in the export volumes of coffee, cotton, tobacco and cashew nuts that were associated with good weather conditions,” Professor Benno Ndulu, the governor of the Central Bank of Tanzania said.
He said that during January this year, the value of non-traditional exports increased by 15.8 percent to $ 4,344.7 million. “This outturn was on account of improved performance of manufactured goods, re-exports and other exports. The value of manufactured goods increased by 20.7 percent to $ 1,057.6 million compared to a decline of about 12 percent recorded in the preceding year,” he said.
Likewise, the value of re-exports increased to $ 184.0 million from USD 102.5 million recorded during the year ending January 2012. The value of other exports was $ 562.9 million compared to $ 331.9 million in the preceding year.
In the year under review, the country’s external sector recorded a significant improvement whereby the current account deficit narrowed by 21.9 percent to $ 3,366.7 million compared to a deficit of $ 4,312.6 million recorded in the corresponding period in 2012. The development was largely explained by the increase in export of goods and services that outweighed the impact of the increase in imports.
Gross official reserves were $ 3,883.6 million at the end of January 2013, sufficient to cover 3.7 months of import of goods and services. Gross foreign assets of banks stood at $ 880.1 million in the same period.
Zuku Tanzania has announced that it will sponsor the Zanzibar International Film Festival (ZIFF) to the tune of Tshs 160 million this year. This year's sponsorship cost is part of Zuku 10 years agreement (2012-2022) to sponsor the annual event at a cost of $ 1,000,000.
“Zuku is proud to once again be part of ZIFF a truly local festival and we continue to work closely with the festival to promote local talent in film and music and to develop the film, entertainment and media industry in East Africa. ZIFF has over the last 15 years been instrumental in growing the film industry in East Africa by providing a platform enabling and celebrating film making from our regions,” Ali Muruki, Chairman of Wananchi Group said.
He said that, “we at Zuku believe that there are several African works and stories that need to be shared to inspire, to entertain and to illuminate the world with the unique cultural offerings of the continent. And I encourage all filmmakers to take advantage of this and bring in their films for the world to learn and be entertained”.
This year the category of award will include: Best Short Film, Best Animation, Best Documentary, Best East Africa Film, Best Features Film, Ousamane Sembene Film for Development and the, Verona award. In addition, Zuku sponsorship will also introduce new awards category at the festival. They include Zuku Film Award, Best Actor Award and the Best Actress Award, which will go to new players in the industry.
“The festival aims to showcase African films, and the message from the organizers and sponsors is clear: African institutions must support their own stories in order for them to be told, we therefore urge filmmakers to utilise this platform,” he said.
However, Zuku is encouraging all film makers and producers not to miss the opportunity to bring in their movies before the 31st of March for them to be showcased during the festival.
ZIFF which will take place in Stone Town, Zanzibar from the 29th of June to 7th July seeks to provide opportunity for filmmakers to showcase their films to an international audience. The festival’s official competition has four major categories which include Feature and short films, documentaries or short films, East African films and Short or Animation films.
Entry fee for any of these categories is free and open to all African countries and the countries of the Indian Ocean Rim and Indian Ocean Islands and the deadline for submission is 31st of March.
The festival has also announced that they will give priority to films that depict the festival's theme - Global Images Meet in Zanzibar, which conveys the idea of merging realities in a global village, cultural encounter, engagement and exchange. Films in any genre - features, documentaries, short films, animation and music videos are welcome.
ARM cement Ltd (Athi River Mining Ltd) has recorded an increase in net debt by Ksh 1.96 billion during the year ending 31st December 2012. An increase was mainly caused by convertible debt issued by Africa Finance Corporation (AFC) to complete the funding requirements for the clinker plant in Tanga-Tanzania.
According to the report by the board of directors, the group turnover increased by 39% from Ksh 8.22 billion in 2011 to Ksh 11.4 billion in 2012. Cement sales increased by 64% from increased market share in Kenya and Rwanda, and contribution of 3 months sales from Dar es Salaam plant which become operational in October 2012.
Profit before Tax increased by 31 percent from Ksh 1.36 Billion in year 2011 to Ksh 1.76 billion this year. The report says net profit for the year increased by 8 percent to Ksh 1.24 billion as accumulated investment deductions allowances were fully utilized in Kenya.
The company generated total cash from operation of Ksh 2.65 billion during the year ,and working capital increased by Ksh 1.37 billion to Support increased turnover .As investments in Tanzania plants also continued ,total group Fixed Assets increased by 13% from Ksh1 6.76 in 2011 to Ksh 19.02 billion this year.
At the annual General meeting of Shareholders held on 24th July 2012, shareholders approved a change of name of company from Athi River Mining Ltd to ARM CEMENT LTD .This was to reflect the growing contribution and importance of cement business in the Group .The Company will continue to operate the industrial minerals, lime, sodium silicate and Mavuno fertilizer divisions.
The annual growth of extended broad money supply in Tanzania for the year ending January 2013 recorded a slow down of 12.1 percent from 16.1 percent recorded in January 2012. This development was largely explained by continued contraction of Net Foreign Assets (NFA) of banks and a slowdown in the growth of domestic credit.
The NFA of the banks contracted by 41.0 percent, compared to the contraction of 8.4 percent recorded in the corresponding period of 2012, partly associated with stability in the Shilling against the US Dollar.
However, According to Professor Benno Ndulu, the governor of the Central Bank the volume of transactions in the inter-bank cash market amounted to Tshs 615.8 billion compared to TZS 510.8 billion recorded in December 2012. Overnight transactions accounted for 75.9 percent of the total volume compared to 55.3 percent recorded in the preceding month.
Overall interbank cash market rate increased from 5.80 percent in the preceding month to 8.13 percent. Meanwhile, overnight interbank cash market rate increased from 5.08 percent in December 2012 to 7.85 percent in January this year.
During January 2013, the volume of transactions in the Interbank Foreign Exchange Market (IFEM) was $ 100.0 million compared to $ 94.1 million transacted in December 2012. The Bank sold $ 75.9 million compared to $ 65.1 million recorded in the preceding month. The Shilling depreciated slightly against the US Dollar trading at TZS 1,584.49 per USD from TZS 1,578.41 per USD in December 2012. On an annual basis, the Shilling recorded a slight appreciation of 0.2 percent from TZS 1,588.33 per USD traded in January 2012.
Meanwhile credit growth to Tanzania private sector slowed down to 19.1 percent in January 2013 compared to 25.0 percent in the corresponding period of 2012, Professor Benno Ndulu said in a statement.
He said that the credit extended to economic activities declined substantially in all major activities except for trade.
On the other hand, annual growth of credit to the private sector increased to 19.1 percent in January this year compared with 18.2 percent recorded in December last year. “This increase was driven by credit growth in agriculture, building and construction, and trade,” Professor Ndulu said.
He said that during the period under review, the stock of credit extended to the private sector increased by Tshs 1,449.3 billion, compared to an increase of Tshs 1,515.7 billion recorded in the year ending January 2012. Meanwhile, a large proportion of banks’ credit continued to be held in trade and personal activities.
Following the launch of a new service "Airtel Yatosha" customers across the country will now have a chance to make a call to other service providers for as less as 75 percent without changing their SIM Cards. The service demonstrates one nation, one SIM Card, one tariff proposition where customers get a mix of voice, SMS and data in one bundle that can be consumed daily and weekly to suit their needs.
“We have introduced "Airtel Yatosha” to suit our customers' needs and demonstrate our commitment in providing affordable and quality network service in the country. We believe different customers have various needs that go well with their requirements,” Airtel Managing Director Sunil Colaso said.
He said that the company has decided to come up with the innovative services for each segment that will make a significant difference and give value for money to the esteemed customers across the country.
According to Airtel Communication Director, Beatrice Singano, from as low as Tshs 349, Airtel customers will get ten minutes to call to any network anytime, one hundred SMS’s and 25 MB internet bundle for twenty four hours a day. "Airtel Yatosha” service is available in two options daily subscription and week subscription. In weekly subscription, customers will be charged Tshs1999 and get seventy minutes to call to any network anytime, seven hundred SMS and 175 MB data bundle.
Furthermore, to enroll to "Airtel Yatosha” customer should dial *149*99# and enrollment period will be between 0500hrs to 2359hrs, Once enrolled customer gets voice minutes, SMS and data. The voice minutes given will be used to call across the networks, Usage period will be 24 hours. All calls will be charged per second rate.
The shares of the biggest ground handling firm, Swissport, hit high following a robust performance ever, since it was listed on the Dar es Salaam Stock Exchange (DSE). It has been reported early this week that the company’s share price continued rise, gaining over 10 per cent to reach Tshs 1,900 since the beginning of year.
Zan Securities Chief Executive Officer, Mr Raphael Masumbuko, said that the firm has shown steady growth overtime and share price rally is expected to continue, as investors are confident it will perform well in the near future."
Tuesday this week, Swissport reported a slowdown in profit whereby it recorded Tshs 6.72 billion at the end of last year, compared to Tshs 7.08 billion posted in previous year. Both dividends and EPS sunk by 5 per cent to 149/39 and 186/75 respectively.
"This is attributed to increased fuel and maintenance costs, depreciation, personnel costs, rent and occupancy expenses," Swissport said in a statement.
During the year, total operating revenue grew by 8 percent to Tshs 30.35 billion against the previous year, due to traffic and cargo increase by 4 and 3 percent respectively.
According to the statement, other operating income plummeted by 83 percent to Tshs 53 million. To maximise revenue, Swissport plans to construct a new $ 10 million warehouse at Julius Nyerere International Airport (JNIA) in this year's second quarter. It will take 18 months to be completed.
"A successful completion of this project will help us to continue delivering quality and improved services to our cargo customers,” Swissport Chief Executive officer, Mr. Gaudence Temu said.
The new freight terminal will have 8000 square meters with the storage capacity to accommodate 8000 tons of cargo at a go.
Construction of the warehouse follows the forecasted slight increase in number of the frequencies and volume of cargo in this year. "Several strategies and plans have been put in the place to address future challenges including planned further liberalisation of the ground handling market," the statement said.
A week after Vodacom launched ‘Cheka Nao’ it is now bigger and better with Supa Cheka 500 and Supa Cheka 350 giving customers more value for their money.
“There is a need for Tanzanians to keep in touch without any fear of spending too much, regardless of the network they are calling. We understand this concern...that is why we have expanded our Supa Cheka offers so as to allow our customers to get the most value out of the money that they spend on staying in touch with their businesses, partners, friends and family on a daily basis. This offer lasts a whole day and is twice what it was last week,” Vodacom Tanzania’s Managing Director, Rene Meza said.
With the new Supa Cheka 500, customers now get 20 minutes of talk time to all networks in Tanzania, 150 SMS’s and 60MB to browse, stream and download content on Tanzania’s fastest data network. This is double the airtime, for the same amount of money.
With Supa Cheka 350, customers get 10 minutes talk time to call all networks in Tanzania, 100 SMSes to any network, and 25MB to browse, stream and download content.
According to Mr. Meza, Supa Cheka was first launched in the country six months ago and allowed customers to enjoy the same calling rates but only on the Vodacom network. Now the company have expanded the service to the whole of Tanzania.
“We have enjoyed the support of a vast majority of Tanzanians over the years. Continually responding to their communication needs and patterns is therefore, our own small way of thanking them for their loyalty to us,” says Meza.
To subscribe to Supa Cheka , customers have to dial *149*01# and then select the Supa Cheka 500 or Supa Cheka 350 option, after which they shall be able to choose their preferred package for the day.
All other Supa Cheka products are also featured under *149*01#, allowing customers to choose the product that best meets their daily needs. All Supa Cheka products continue to be billed per second, which enables customers to get the most out of their daily airtime allowance.
Oil and gas exploration company, Solo Oil Plc has confirmed that FirstEnergy Capital LLP, on behalf of Aminex plc, is continuing to hold discussions with a number of parties concerning a farm-out of the company's interests in the Ruvuma PSA in Tanzania.
According to the company, further announcements will be made available in due course. Aminex is the operator of the Ruvuma production sharing agreement with a 75% stake, while Solo holds the remaining 25%.
East Africa emerged last year as one of the most exciting oil and gas exploration regions in the world. The Ruvuma Basin in particular, off the coast of Tanzania and Mozambique, has become a major hub for liquefied natural gas (LNG) and has seen oil and gas giants fight for a stake in the potentially lucrative basin.
Solo and Amine are trying to sell stakes in the Ruvuma Basin prospects, with major oil firms and national oil companies understood to be circling. Shares in both climbed higher on the announcement.
The venture partners confirmed talks are ongoing with a number of parties about a proposed farm-out, but gave no indication as to how long it will take to reach a decision.
Tunu Kavishe, Barclays Bank Tanzania head corporate affairs, addressing a press conference during the launch of the Barclays Internet banking, tabloid banking and mobile banking. On her left is Samuel Mkuyu, head of Products and channels.
Barclays Bank Tanzania has launched three digital solutions for its customers -- Barclays Internet banking, tabloid banking and mobile banking, making it easier for its customers to enjoy banking services wherever they are.
“As part of the Barclays Africa Group, we will continue to play an important role in the country to ensure that the benefits of Africa’s growth story are realised by the people of Tanzania,” Barclays Bank Tanzania Managing Director, Kihara Maina said.
He said that “Barclays Internet Banking is a unique online platform that enables our customers to carry out their everyday banking transactions and pay for their utility bills over the Internet anytime, anywhere conveniently and securely. The Internet Banking can be accessed via the bank's website”.
Mr. Maina further said that for customers who will opt to use Barclays Tabloid Banking (BTB) will enjoy the provision of banking revises via applications supported by Android (Samsung Galaxy tabs) and i-OS (iPads).
He elaborated that, BTB bears the same functionality as Barclays Internet for Retail (BIR) except that it does not allow self registration and, or beneficiaries already added as payees in the users profile.
The Bank also launched the Barclays Mobile Banking (BMB), this is Internet Banking that is provided via Applications supported by Android (Samsung Galaxy phones) and i-OS (iPhones).
BTB bears the same functionality as BIR except, that it does not allow self registration and only supports payments to billers and or beneficiaries already added as payees in the users profile, he added.
Commenting on these new services offered by Barclays Tanzania, Head Corporate Affairs Mrs. Tunu Kavishe said with the features and benefits outlined above, Barclays Internet Banking takes the lead in the market in provision of the most innovative digital banking solutions in Tanzania.
She said that to support Internet banking, Barclays Operation Client (BOC) has been deployed for use at the branches and with customer service. With this in place, Branches can capably attend to all customer queries and complaints and resolve them.
The African Risk and Insurance Services Limited (ARIS) Board Chairman Sir Andy Chande (second left) and the Finance Minister William Mgimwa (second right) displaying signed documents during a function that saw Alexander Forbes Tanzania Limited re-brand to ARIS. Left is the Commissioner of Insurance, Tanzania Insurance Regulatory Authority (TIRA) Israel Kamuzora.
Alexander Forbes Tanzania Limited has rebranded its corporate identity to African Risk and Insurance Services Limited (ARIS) as the company consolidates its position in the insurance industry in Tanzania and beyond.
“The company’s rebranding exercise represents a significant milestone in the company’s history with exceptional phenomenal growth” the ARIS Board Chairman Sir Andy Chande said during the official launch of ARIS in Dar es Salaam on Tuesday evening.
He said that re-branding to ARIS represents so much more than a change in a brand.
According to Sir Chande, the new identity aims at characterizing the company’s dynamic path and reflects its market leading position.
"This new look represents a burst of momentum from our team of experts as we look to leverage ARIS’s core competencies and provide a greater range of products and services to our customers. We look forward to working with our current and new customers under the new brand and further develop our scale within the marketplace," added Chande.
Sir Chande said the company that started with a premium turnover of Tshs 900 million in 2002 now boasts a turnover of over Tshs 53 billion, consolidating its self as a market leader contributing more than one fourth of the industry business for the past several years.
He further added that the company is planning to extend its footprint to neighbouring countries, which include Kenya, Uganda, Mozambique and later Ghana.
The Prime Minister Mizengo Pinda in a speech read by the Finance Minister William Mgimwa said Tanzania’s economy in particular has been flexible to global shocks and is expected to remain on a positive trajectory with GDP growth forecast of 6.8 percent in 2012 and 7.1 percent in 2013- above the regional averages.
“The role of the insurance market in supporting these levels of growth cannot be overemphasized since the sector over the years has played an important role in enhancing the efficient functioning of the financial systems in many African economies including Tanzania,” Mr. Pinda said.
Pinda said that according to the Annual Insurance Performance Report for the year ending 31st December 2011, Tanzania Insurance Industry had a total of 26 Insurance Companies 89 Insurance Brokers, 572 Insurance Agents and 47 loss Assessors and adjusters.
“General Insurance Business showed a growth of 21 Percent in gross premium income from 256 billion in 2010 to 308 billion in 2011. General Insurance Net Loss Ratio slightly improved to 58 Percent in 2011 compared to 59 Percent in 2010,” he added.
He noted that despite of the positive trend of Insurance Business performance, the sector faces various challenges among which include, inadequate paid up capital, delay in adopting new distribution methods such as basic assurance and lack of facilities in the Country for training Insurance Professionals which denies them the opportunity of managing insurance business in the Country.
The Commissioner of Insurance, Tanzania Insurance Regulatory Authority (TIRA) Israel Kamuzora during the event said Tanzania’s Insurance Industry is generally efficient and well developing, notwithstanding the Low Penetration Ratio of one per cent.
“The insurance industry generates Annual Gross Premiums of Tshs 400 billion.The Low Penetration Ratio of Insurance Industry indicates that there are still vast untapped opportunities for players in the industry to expand their business,” he added.
Heidelberg Cement, one among the largest building materials manufacturers worldwide, is set to invest a total of US $ 120 million in three separate projects to increase its cement production capacity in Africa.
According to Heidelberg, investment in Tanzania will involve the construction of a new cement mill with an annual capacity of 700,000 tonnes at its Wazo Hill plant, some 25 km north-west of the coastal metropolis of Dar es Salaam. The investment of US $ 40 million also includes the construction of a new clinker and a new cement silo as well as the installation of new cement bag packing and dispatch facilities.
“The construction of the new cement mill is part of our strategy of expanding our clinker and cement capacities in growth markets. In particular the countries in sub-Saharan Africa feature a very attractive growth potential due to the early stage of industrialization and the raw material deposits”, said Dr. Bernd Scheifele, Chairman of the Managing Board of Heidelberg Cement.
In Burkina Faso the company is targeting a 650,000 tonnes per year cement grinding plant in the capital city of Ouagadougou. The plant will be fed by a 1.5mn tonnes per year clinker production facility in Togo.
In Burkina Faso, Heidelberg Cement and local partners are constructing a new US $ 50 million cement grinding plant with an annual capacity of 650,000 tonnes near the capital city of Ouagadougou.
“The construction of the new cement grinding plant is part of our strategy of expanding our clinker and cement capacities in growth markets. These include, in particular, the countries in sub-Saharan Africa”, Dr. Scheifele said.
In Ghana, Heidelberg Cement is constructing a new cement mill with an annual capacity of 0.8 million tonnes at its grinding plant in the port city of Takoradi. The investment of $ 30 million also includes the construction of a new clinker and a new cement silo as well as the installation of new cement bag packing and dispatch facilities.
“We recently increased the mill capacity at our Tema plant. Together, the two cement grinding plants in Ghana constitute our largest capacities in West Africa. With the new mill, we want to expand our capacities in line with the rapidly growing cement consumption and maintain our dominant position in this key market,” he said.
According to the company, this will take its total cement capacity in Ghana to 4.4mn tonnes per year.
Heidelberg Cement is one of the largest building materials manufacturers worldwide, as the global market leader in aggregates and with leading positions in cement, concrete, and other downstream activities. The Group employs around 52,000 people at 2,500 locations in more than 40 countries.
The company is already operating 13 plants in eight countries in sub-Saharan Africa: Benin, DR of Congo, Gabon, Ghana, Liberia, Sierra Leone, Tanzania, and Togo in addition to the new Greenfield plant under construction in Burkina Faso.
Tigo Tanzania in collaboration with ZARA Charity have launched the sixth edition of the Ngorongoro Half Marathon dubbed the ‘Race against Malaria’ that will be held on 6th, April, 2013 in Karatu, Arusha region.
“Tigo is pleased to be associated with the Ngorongoro Marathon as it presents a great opportunity to raise awareness on Malaria which affects millions of Tanzanians every year,” said Mr. William Mpinga, Tigo Brand Manager.
This year’s race is more unique as it will involve a corporate challenge organized by Tigo. Before the race, corporate companies will compete to win a $20,000 pot to give to a charity of their choice.
The event is expected to attract over 3000 participants with the race guest of honor expected to be Hon. Lazaro Nyalandu, Deputy Minister for Natural Resources and Tourism.
“Our relationship with Zara Tours has been an invaluable one in co-sponsoring this very crucial race since its inception in 2008. We hope to continue with this great partnership so that we can create a healthy-future for the coming generation,” said Mr. Mpinga.
According to the Representative from Zara Charity, Mr. Datuc Joseph, the Ngorongoro marathon, an annual fundraising event, was launched by Zara Charity for a variety of causes like malaria, hospital development and maternal health.
“Our aim and focus has always been to create awareness about Malaria and prompt solutions from different stakeholders through the establishment of medical centers in areas hardly hit by this life threatening disease. We appreciate the support that Tigo Tanzania has shown over the years and hope that this great relationship grows to new heights for the betterment of many Tanzanians,” he said.
Zantel’s prepaid customers in Tanzania now have something to smile about after a launch of a new promotional drive, 'MIMINA', in which subscribers will enjoy free calls for some minutes to all networks, internet access and SMS for 24 hours for just Tshs 3,499.
“The offer will enable customers to access information and stay in touch at affordable cost. Zantel's aim is to ensure that communication in Tanzania is accessible to all regardless of their economic status," Zantel Chief Commercial Officer, Mr Sajid Khan, said.
He explained that subscribers will be provided with 200 minutes of airtime to all networks, 200 SMS and 200MB internet bundle for 5 days. To register for the package subscribers have to dial *149*15#.
“The offer is meant to drive more excitement among customers and increase internet use through mobile phones,” he said.
Subscribers have also a wider room to enjoy the offer at Tshs 200 a day where they will get 10 free minutes talk time, 10 SMS and 10 MB GPRS valid for one day.
The communications service provider, SEACOM which works across a number of African countries—Tanzania, Djibouti, Kenya, Mozambique and South Africa, is attempting to meet the rising capacity demands of its customers as it plans to roll-out affordable internet access across East Africa.
In a move, the company has announced that it has chosen Ciena Corporation’s 6500 Packet-Optical Platform and OneControl Unified Management System to enhance the performance of its submarine network across the southern and eastern African coastlines.
“Connectivity services in Africa are booming due to the growing needs of business IT users, the rise of cloud-based services, and growing requirements for the processing and storing of personal data,” Claes Segelberg, chief technology officer at SEACOM said, adding that “Ciena’s technology will enable us to cost-effectively scale our capacity to address this growing demand for connectivity throughout the continent.”
According to Ed McCormack, vice president and general manager of submarine systems at Ciena, in the last couple of years, bandwidth penetration in several African countries has increased tenfold with the support of SEACOM’s submarine network. “Ciena’s coherent technology will enable SEACOM to evolve and grow its network cost-effectively," he said.
SEACOM was launched back in July 2009 and has increasingly extended the availability of international bandwidth in Africa.
African Barrick Gold’s Vice President, Corporate Affairs, Deo Mwanyika speaks at the launch of the Maendeleo Fund in Dar es Salaam as Ambassador Juma Mwapachu, an Independent Director of ABG, and Stephen Kisakye, ABG Community Relations Manager, looks on.
Tanzania’s largest gold producer, African Barrick Gold, has set aside $ 10 million that will be used to spearhead ABG’s community investment programmes in the country for the year 2013 through the Maendeleo Fund...launched 18 month ago.
"We are delighted by the impact the ABG Maendeleo Fund has made over the past 18 months. We created the Fund as part of our commitment to promoting sustainable development in Tanzania and have already seen a tangible impact from our investment in over 50 projects to date. We remain focused on ensuring that our host communities benefit from our operations and I am delighted to confirm we have re-affirmed our commitment of $ 10 million to the ABG Maendeleo Fund for 2013,” said Greg Hawkins, CEO of African Barrick Gold.
In keeping with ABG’s objectives for its community investment programmes, projects receiving support are focused on supporting community development and capacity building, access to health, education and water and environment projects within the communities surrounding the company’s operations.
Furthermore, ABG pays all overheads for administering the ABG Maendeleo Fund separately, which means 100 percent of the Fund’s expenditures go directly towards community projects.
To date, the ABG Maendeleo Fund has committed more than $ 2.7 million (Tshs 4.3 billion) to help improve public health in communities near the mines. “Our investments have supported access to healthcare through a wide range of projects, including projects that build and strengthen local healthcare infrastructure, projects that increase maternal and child health care, projects that provide training of health care workers to deliver dental care, and by supporting a range of initiatives aimed at helping to combat core infectious diseases, namely malaria, HIV/AIDs, and tuberculosis,” he said.
He further said that supporting projects that increase access to education is a primary objective of the ABG Maendeleo Fund and thus far the Fund has committed approximately $ 1.9 million (Tshs 3.0 billion). ABG’s core projects focus on increasing educational infrastructure, through the building and renovation of schools, the construction of teachers’ houses, providing core supplies, such as books and equipment, and providing scholarships and training opportunities for students and members of the teaching profession.
The Fund has also committed around $ 1.4 million (Tshs 2.2 billion) towards the provision of clean water and sanitation services. One of the major projects has been around the North Mara mine in Tarime district, where the firm have invested $ 800,000 (Tshs 1.3 billion) in the drilling of water wells to provide nearby communities with access to clean and safe drinking water.
The fund has also invested around $ 1.5 million (Tshs 2.3 billion) in over 10 projects that are aimed at supporting community development in the communities around our mines and the country at large. The projects provide support towards capacity building initiatives and philanthropic donations.
“In 2013, the Fund will continue to work with our local communities to aid them in identifying and prioritising their current needs and objectives to ensure that members of communities themselves lead and own the development process. Broad stakeholder engagement and planning is conducted in accordance with community needs and in line with the government’s development focus,” said Mr. Hawkins.
ABG is Tanzania’s largest gold producer and one of the five largest gold producers in Africa. The Firm has four mines, all located in North West Tanzania (Bulyanhulu, Buzwagi, North Mara and Tulawaka), and several exploration projects at various stages of development in Tanzania and Kenya. With a high quality asset base and solid growth opportunities the firm is executing a clear strategy to optimise, expand and grow in business.
After Statoil made its third gas discovery in the Tanzania in a year, the oil and gas exploration companies, Statoil and BG are going ahead with plans to build a $ 14 billion Liquefied Natural Gas (LNG) terminal in Tanzania, which will transform the impoverished east African country into a major exporter of energy to fast-growing markets in Asia.
"We have enough gas to move forward. We are working with BG to come up with a recommendation for a landing site. We, Statoil and BG expect to deliver our recommendation to Tanzanian authorities in the second quarter of this year" Tim Dodson, Statoil’s head of exploration said.
Mr. Dodson made the announcement after the company confirmed it had made its third big gas discovery in Tanzanian waters. Statoil said it had found 4tn-6tn cubic feet of gas in the Tangawizi-1 well in Block 2, about 100km off the Tanzanian coast. It brings Statoil’s total recoverable reserves in the area to 10-13 tcf.
The energy consultancy, Wood Mackenzie, has said there is enough gas in the region for as many as 20 trains, each of which costs about $ 7 billion. That would give Mozambique and Tanzania a combined production capacity of about 100m tonnes of LNG per annum – much more than the 77 mtpa produced by the world’s biggest LNG exporter, Qatar. But Mr. Dodson warned that it would take years for such facilities to be built. “We’re in an area with no infrastructure,” he said. “Everything will have to be done from scratch.”
On the global energy map, the waters off Mozambique and Tanzania have turned into one of the hottest frontiers in the global gas and oil industry. Wood Mackenzie says the two countries potentially have the same size gas resource as Australia, where some 200 tcf of gas has been found.
The Statoil-BG partnership is similar to one announced last December by ENI of Italy and Anadarko, the US-based oil company, which have both made huge gas discoveries off the coast of Mozambique. The two said they had agreed to jointly construct an LNG in the north of the country, a project that could cost as much as $ 50 billion.
High-Impact Opportunities
Statoil will drill two to four more wells in East Africa this year and still sees opportunities for high-impact discoveries in Tanzania and Mozambique. The “Discoverer Americas” drillship sailing from the Gulf of Mexico is scheduled to arrive in the first week of April in Mozambique, where it will search mainly for oil in Blocks 2 and 5, Dodson said. “These are high-risk opportunities with the potential to be fairly large,” he said.
The ship will then move north to Tanzania to test further potential in Block 2, where Statoil has identified “two to three other prospects” described as “quite sizeable,” although not as big as the three high-impact finds already made, he said. The company is interpreting new 3-D seismic material that may show the presence of further prospects, he said.
The investment environment in Africa continues to looks bright for Chinese investors as more and more Chinese companies are coming to invest in Africa, a continent growing in popularity among those looking for the next big thing.
Chinese investment in Africa has been booming in recent years with trade seeing a tenfold increase in less than a decade.
"Over the years, the relation between China and Tanzania has transferred from traditional government to government context, which has extended from people to people cooperation. More and more Tanzania businessmen are now trading in China. And more Chinese entrepreneurs are making HUGE investment in Tanzania,” Philip Marmo, Tanzanian Ambassador to China, said.
China has been Africa's largest trading partner since 2009, surpassing the United States and Europe. Official figures show that in 2011, China-Africa trade reached a record high of more than 160 billion US dollars, up 28 percent from the previous year. And it's estimated to have surpassed 200 billion in 2012.
Moreover, as of 2011, China's direct investment in Africa reached almost 15 billion US dollars, with more than 2,000 Chinese companies currently investing in Africa.
Meanwhile African countries are working with China, in hopes of learning from China about developing agricultural, manufacturing, science and technology sectors, while building up infrastructure and human resources, as well as addressing major regional and international issues.
Zhai Jun, Vice Minister, Ministry of Foreign Affairs, said, "With more and more Chinese entrepreneurs going to Africa, we see the quantity is growing but quality is not catching up. We see huge room for Chinese enterprises to increase their international management ability and to create a better business environment for both China and Africa."
China and African countries maintained good trade momentum last year against the backdrop of the slow recovery of the world economy and the difficulties caused by the European debt crisis.
Experts say it's important for China and Africa to further expand their economic relationship within the new political realities and achieve healthy and sustainable development.
As foreign investors’ scramble to snap up what remained of Kenya's 46 exploration licenses and the exploration acreage in east Africa region, Kenya has mapped out eight new blocks for onshore and offshore oil and gas exploration, a top Energy Ministry official said on Tuesday.
The new licensing round will introduce an auction-style format to licensing blocks in east Africa's biggest economy.
"We have mapped eight blocks and forwarded them to be included in the official Kenya gazette and we will put them up for auction once we have a new government in place," Permanent Secretary for Energy Patrick Nyoike said.
Previously the country operated more on a first-come, first-served basis. But since it has become established as a known area for hydrocarbon deposits, it has aimed to get investors bidding against each other for licences in the hope of obtaining a higher price.
The Energy ministry said last month it wanted to demarcate some new blocks around the Lokichar Basin, where Tullow made both its oil finds, and the Lamu Basin, where Apache made a gas find.
Exploration interest in Kenya has surged since the country announced a year ago its first oil strike discovery by British explorer Tullow Oil in the country's north, followed by a second find in the same region. The discoveries triggered a rush by international oil and gas companies.
One of the country’s leading providers of ground services to the aviation sector, Swissport Tanzania Ltd, has announced plans to invest about $ 10 million to build a freight terminal at Julius Nyerere International Airport.
“We will start the construction of a new facility at JNIA in the second quarter of 2013 and it will take 18 months to be completed,” Swissport Chief Executive officer, Mr. Gaudence Temu said.
The new freight terminal will have 8000 square meters with the storage capacity to accommodate 8000 tons of cargo at a go.
“The aviation industry has been growing tremendously over the past years. We are positive that the industry will grow as the business environment improves, therefore the construction of the new freight storage facility will add value in accommodating the increasing number of cargo arriving at Julius Nyerere International Airport,” he said.
He told Corporate Digest that investing in the company’s capacity to handle the growing number of passengers and cargo, positions Swissport for the growth.
“This is a strategic step for Swissport, while at the same time it is an investment at a vital point in the value chain, adding capacity to Julius Nyerere International Airport facilities and preparing for increasing volumes of cargo as growth in the Aviation industry picks up,” said Mr. Temu.
Tanzania has been experiencing growth in the aviation industry over the recent years, recording a 6% growth per year.
According to Mr. Temu, growth of the industry is mostly associated with tremendous developments in the economy, business, and tourism industry.
He further said that the growth of the middle income earners in Tanzania has mostly boosted to the increasing number of local passengers.
“We foresee slight increase in number of frequencies and volumes of cargo and passengers in year 2013. Several strategies and plans have been put in place to address future challenges including the planned further liberalization of the ground handling market. Generally we are optimistic that the company’s performance in 2013 will be good,” he noted.
According to the financial results for the year ended December 31, 2012, the total operating revenue for Swissport Tanzania Ltd., grew by 8 per cent to Tsh 30,353 million as compared to 2011.
This was mainly due to traffic and cargo increase by 4 per cent and 3 per cent respectively. The operating profit for the year was Tsh 9,723 million representing a 5 per cent decrease when compared to year 2011. Also this is attributed to increase in fuel and maintenance costs, depreciation, personnel costs, rent and occupancy expenses.
Bank of Tanzania
In the year ending January 2013, the country’s external sector recorded a significant improvement whereby the current account deficit narrowed by 21.9 percent to $ 3,366.7 million compared to a deficit of $ 4,312.6 million recorded in the corresponding period in 2012.
According to the governor of the Central Bank of Tanzania, Professor Benno Ndulu, the development was largely explained by the increase in export of goods and services that outweighed the impact of the increase in imports.
“The value of export of goods and services amounted to $ 8,692.1 million during the year ending January 2013 compared with $ 7,369.9 million registered a year earlier,” he said, adding that the achieved development was due to an increase in receipts from travel, traditional and manufactured exports.
The traditional exports increased by 50.8 percent to $ 963.9 million in the year under review. The increase was largely on account of a remarkable increase in the export volumes of coffee, cotton, tobacco and cashew nuts that were associated with good weather conditions.
During January this year, the value of non-traditional exports increased by 15.8 percent to $ 4,344.7 million. This outturn was on account of improved performance of manufactured goods, re-exports and other exports. The value of manufactured goods increased by 20.7 percent to $ 1,057.6 million compared to a decline of about 12 percent recorded in the preceding year.
Likewise, the value of re-exports increased to $ 184.0 million from USD 102.5 million recorded during the year ending January 2012. The value of other exports was $ 562.9 million compared to $ 331.9 million in the preceding year.
According to the current BoT monthly economic review, the overall balance of payments recorded a surplus of $ 313.8 million, compared with a deficit of $ 371.0 million recorded in the year ending January 2012.
“Net increase in inflows in the form of capital grants, foreign direct investments and foreign borrowing contributed towards the improvement of the overall balance of payments position,” read part of the report.
Gross official reserves were $ 3,883.6 million at the end of January 2013, sufficient to cover 3.7 months of import of goods and services. Gross foreign assets of banks stood at $ 880.1million in the same period.
Oil and gas exploration company, BG Group, has announced that the drill stem test on the Jodari field of Block 1 offshore, the first in deep water off Tanzania, flowed at a maximum rate of 70 million standard cubic feet of natural gas per day, constrained by testing equipment. The results showed better than expected reservoir properties, including high connectivity and demonstrated that development wells could produce at higher rates.
“The completion of a multi-well exploration and appraisal programme on the Jodari field within a year of the original discovery is a significant achievement and a credit to our team and partners including Ophir Energy and the Government of Tanzania. It builds upon our run of exploration success offshore Tanzania and further demonstrates the potential of BG Group’s acreage,” BG Group Chief Executive Chris Finlayson said.
He said that the results from the Jodari-1 test have greatly improved our understanding of the sub-surface, reducing uncertainty as we progress our options for commercializing the resource through a potential liquefied natural gas export project and our domestic market obligations.
The drill stem test was conducted on one of the three successful wells on the Jodari field, in 1150 metres of water and approximately 39 kilometres off the coast of southern Tanzania.
“The successful drill stem test is a significant milestone and illustrates the rapid progress we have made since entering Tanzania in 2010. It also reflects the commitment and the support we have received from all our stakeholders, particularly the Government and the communities in which we operate, and this will help ensure the full benefits of the country’s natural gas resources are realised. While we continue exploration and appraisal offshore, we are also progressing our work on identifying suitable sites for a potential onshore LNG terminal,” BG Group President and Asset General Manager – East Africa, Derek Hudson said.
Following completion of operations at Jodari-1, the drillship Deepsea Metro-1 will relocate 22kilometres to the north to the Mzia-2 well, also in Block 1. Once there it will test an appraisal well drilled earlier this year.
Prior to the Jodari-1 drill stem test, BG Group’s acreage offshore Tanzania had produced seven consecutive natural gas discoveries and two successful appraisal wells.BG Group is currently conducting a 3-D seismic survey to help identify new offshore targets for its Tanzania exploration programme.
BG Group as operator has a 60% interest in Blocks 1, 3 and 4 offshore Tanzania, with Ophir Energy holding 40%.
British explorer Ophir Energy plans to drill 10 to 15 wells this year, targeting about 1.3 billion barrels of oil equivalent of net risked resource. Following the venture, the company joins a list of other oil and gas majors seeking cash to boost their exploration business.
To implement the set target, British explorer is seeking over $ 830 million from shareholders to fund its oil and gas drilling projects in East Africa. Ophir Energy which is backed by Indian steel magnate Mr Lakshmi Mittal, placed 30.5 million shares in April 2012, raising $ 242 million to finance exploration programmes. During the year ended December 31, 2012, Ophir’s net cash position stood at $ 228 million.
Proceeds from the share sale are expected to strengthen Ophir’s drilling capacity in Kenya, Tanzania and Gabon as well as acquisition of new exploration areas.
Ophir’s chief executive officer Nick Cooper said programmes include sinking deep water wells in acreage L9 offshore Kenya while progressing to production of natural gas assets jointly owned with BG Group in Tanzania.
He said Ophir Energy successfully completed acquisition of Dominion Petroleum in February 2012 leading to Ophir’s assets portfolio to expand to exploration area 7 in Tanzania as well as two exploration areas in Kenya.
The Kenyan government has approved 2013 work programme for the Houston based firm to acquire seismic data to identify leads for prospects for oil and gas deposits in 11A acreage.
After failure to meet the increasing demand of electricity in the country, the Tanzania government has licensed about 15 small companies to boost power production in the next two years by pumping in at least 263MW to the national grid.
According to Energy and Water Utilities Regulatory Authority (Ewura), the new plants will be run under the Small Power Projects arrangement, which requires production of electricity from small waterfalls. Two of the firms have been given permanent generation licences while 10 got provisional ones. Three firms were issued with provisional distribution licences.
Ewura said the Kitonga Electric Power Ltd, a hydropower firm, would produce 150MW, from which 140MW would be sold to Tanesco under the Power Purchase Agreement. The remaining 10MW would go to nearby households and businesses.
Other firms licensed by Ewura are Tangulf Express Ltd to generate 9.2MW from Ruvuma River in Songea district, Ngombeni Power Ltd for the production of 0.5 MW power in Mafia Island and Mwenge Hydro Ltd in Mufundi district which will generate and distribute 2.75MW.
Others are Andoya Hydroelectric Power Company in Mbinga, which will generate 0.5MW, and Community Development Corporation Ltd in Kikuletwa in Kilimanjaro, to produce 8MW.
Currently, the East African country generates 800MW against a demand of 825MW. It is anticipated that the electricity demand will reach 3,800MW in the year 2025. The existing plants have the capacity to produce 1,200MW but, due to drought, this has not been achieved. The state power utility (Tanesco) has been struggling to source funds to improve access to electricity.
In January last year, the utility firm raised electricity tariffs by 40.29 percent, citing rising costs of generation by oil-driven turbines. This fuelled inflation and manufacturers complained.
Tanzania’s energy costs, at 11 US cents per kilowatt hour, are the lowest in the region. The cost in Uganda is 13 cents, and in Kenya and Rwanda 16 and 24 cents respectively.
CBA’s head of marketing, Mr. Aron Luhanga (centre) handing over a 46” LED 3D Television to Kizyallah Tossiry, a form IV student at Agape Mbagala high School. Witnessing is a Deputy Head Master of Agape Mbagala High school, Mr. Liberatus Sadala and other student.
Commercial Bank of Africa Tanzania Limited (CBA) one of the fast growing bank in Tanzania has donated an entrepreneurship Lab, a 46” LED 3D Television, white Board and a total of Tsh 1.35 million to Agape Mbagala High School as part of the bank’s Corporate Social Responsibility that aims at promoting education in all aspect of business and entrepreneurship.
The Youth Entrepreneurship Lab aims at bridging the gap that exists in the current education curricula where entrepreneurship is not taught in primary and secondary schools.
“The lab will create an opportunity to strengthen entrepreneurial and management skills to both students and the youth operating micro-businesses in both the formal and informal sectors including agriculture, small scale manufacturing, small scale mining, and trading to mention a few,” CBA’s Head of Marketing and Communications, Mr. Aron Luhanga said.
The shares traded at Dar es Salaam Stock Exchange (DSE) rose to 1,672,075, almost thrice compared to the previous 611,024 which changed hands at the market.
The increase, according to the Tanzania Securities Limited (TSL) weekly market commentary, was mainly attributed to the outstanding performance posted at TBL, NMB, CRDB and Swissport counters.
The turnover at the bourse also rose significantly to Tshs 2.52 trillion, four times more than Tshs 572 million garnered in the previous session.
The Banking segment Index settled 1,296.24 points, a 4.87 per cent stronger than the previous week due to gains made on the NMB counter of 5 per cent increase. The Industrial and Allied Index strengthened to 1,842.89 points, a 0.48 per cent higher buoyed by TBL and TCC counters that gained Tshs 20 and Tshs 40 to Tshs 3,100 and Tshs 5240 per share respectively.
CRDB was a top mover buoyed by foreign investors' participation whereby out of the 709,700 shares the counter moved 87 per cent of the total volume. The segment closed positively during the period under review on the backdrop of a 56 per cent of the total market activity and 11 per cent of the turnover transacted.
The counter closed flat during the week. The NMB ended the week at higher price of Tshs 1,260 from Tshs 1,200 of last week. The counter transacted 116,705 shares. Foreign contribution on the counter was 60 percent of the counter's turnover.
Swissport counter followed with 25,000 shares changing hands at a price range of between Tshs 1,800 and Tshs 1,820 each. Twiga counter had 21,613 shares traded at Tshs 2,600 per share, TCC traded 450 shares at Tshs 5,240 pershare and Simba 600 shares at Tshs 2,400.
"We expect the equities market to continue experiencing enthusiasm as liquidity improves in the economy and more investment flow into the bourse to take advantage of the strengthening fundamentals in the economy and the market," read part of the reports.
TBL was the most active counter among the Industrial and Allied segment during the week with a total of 692,759 shares transacted. TBL had a pre-arranged bulk transaction for 689,999 shares with a turnover of Tshs 2.1 billion.
Dar es Salaam. Coca Cola Tanzania has launched a new drink brand named Coke Zero targeting customers from all walks of life and different lifestyles with emphasis on the youth. Coke Zero which is sugar free but has a similar taste was first launched in Atlanta -- recording a good performance in the US market hence the need to extend it to Tanzania.
Professor Benno Ndulu, the governor of Tanzania Central Bank
During the month of January 2013, the net government borrowing from the banking system was Tshs 474.4 billion, compared to Tshs 957.6 billion recorded in the year ending January 2012.
“This new development is the reflection of improved government efforts in revenue collection for a period under review,” the Central Bank of Tanzania (BoT) said in a statement.
BoT says the domestic revenue collection amounted to Tshs 4,228.0 billion, exceeding the recurrent expenditures of Tshs 4,018.5 billion.
The domestic revenue collected by the Central Government was Tshs 4,124.9 billion or 94.5 percent of the target. Tax revenue accounted for 92.0 percent of total domestic revenue. Grants amounted to Tshs 1,138.6 billion, compared to the projected amount of Tshs 1,076.8 billion.
During December 2012, domestic revenue and grants amounted to Tshs 1,251.5 billion; revenue collected by the Central Government was Tshs 899.4 billion and was in line with the target. Tax revenue amounted to Tshs 864.9 billion, 4.4 percent higher than the target.
According to the governor of Tanzania Central Bank, Professor Benno Ndulu, the overall lending rate for a month of January 2013 rose to an average of 15.57 percent from 14.84 percent in January last year. “The development was partly reflecting developments in the Treasury bills market,” he said in a statement.
The overall time deposit rate averaged to 8.59 percent compared to 8.45 percent recorded in December 2012 and 7.56 percent in January 2012. The spread between 12-month deposit rate and one year lending rate narrowed to 3.90 percentage points in January 2013, from 4.06 percentage points recorded in December 2012 and 4.88 percentage points in January last year.
During the month under review, total expenditure amounted to Tshs 1,207.4 billion, out of which recurrent expenditure was Tshs 608.1 billion and development expenditure was Tshs 599.3 billion.
NMB’s Chief Executive Officer, Mr Mark Wiessing, (right) and Vodacom’s M-Commerce Chief Officer, Mr Jacques Voogt signing the agreement
By Corporate Digest Correspondent
Barely a month since M-Pesa went into partnership with NMB in a deal that allows customers to deposit money into their accounts through M-Pesa agents, the move has received an overwhelming response from users and managed to surpass previously anticipated volumes of customers.
With just 2 weeks since launch, over 35,000 customers have already used the service with the figure expected to rise significantly.
“In this short period we have witnessed a phenomenal response to this unique service, so much that our entire system and staff are continuously occupied providing a quality service. Vodacom is extremely pleased that more and more people are joining the service every day, a development that informs our primary objective to expand the service further across the country.” Vodacom’s Chief Officer: M-Commerce, Jacques Voogt said.
NMB and non-NMB customers can now utilize over 40,000 M-Pesa agents across the country to transfer money from their bank accounts directly into their Vodacom M-Pesa account.
When the service was created, the foremost group that the bank targeted was more than 729,000 NMB customers who are registered on NMB mobile; however the service also provided broad capacity to incorporate hundreds of thousands of other people who are not NMB customers but regularly use Vodacom’s M-Pesa service.
“Eventually, the service will be extended to rural areas where unlike urban customers most people have fewer options as far as financial transactions are concerned,” Mr. Voogt said.
In its entirety, the new capacity that M-Pesa now offers, will revolutionize personal banking by facilitating and increasing access to money available between a personal NMB account and an M-Pesa account at the touch of a button. This service underscores Vodacom’s aim of giving people every where power to surmount everyday hurdles so that they are better able to lead more productive lives.
“This is yet another example of how Vodacom increasingly uses technology to make life better for everyone. We are delighted by the realization that we are succeeding in overcoming challenges that until a few years ago were seen as enormous obstacles, but as this major occurrence shows, our commitment to serve Tanzanians is reaping remarkable rewards for them. We anticipate an equal response once the service reaches more rural areas, thus translating into an achievement for all,” adds Voogt.
The collaboration of Vodacom and NMB in making this service a possibility marks the beginning of more efforts designed to serve the millions of customers who use the services offered by the leading telecommunications network in Tanzania and the nation’s leading bank.
Professor Makenya Maboko, Deputy Vice chancellor for Academics UDSM and Colm Kearney, BG Tanzania Head of Exploration testing three of the 15 Trinocular Ore microscopes BG Tanzania donated.
BG Tanzania, the fully owned subsidiary of natural gas leader BG Group, donated 61 million Tshs worth of scientific and academic equipment to the University of Dar es Salaam Department of Geology. The consignment, including 15 microscopes, 19 global positioning systems (GPS) and 99 geology reference books, will improve teaching and learning capabilities at Tanzania’s oldest university.
Professor Makenya A.H Maboko, Deputy Vice chancellor for Academics of university of Dar es salaam said “We’re delighted to receive these state of the art microscopes and global positioning systems; equipment such as this enables us to give the best possible education to the up and coming geologists of the future,” said the Deputy Vice-Chancellor. “The University of Dar es Salaam would like to thank BG Tanzania for their generosity,” he continued.
Colm Kearney, BG Tanzania Head of Exploration said, “BG Tanzania recognizes that the continued success and long term viability of education institutions, such as this university, are essential to the long term development of Tanzania,” Mr. Kearney stated, “for us to have maximum positive benefits for the country, it is vital that we know the skills which are being developed; that will sustain a long term oil and gas industry that creates prosperity across Tanzania”.
The University of Dar es Salaam has up to 230 undergraduate geology students, who will each benefit significantly from this new equipment. BG Tanzania considers it a priority to support the next generation of oil and gas professionals and this donation is one part of a number of areas of support for both the academic community and wider Tanzanian society.
BG Tanzania is a leading firm in the exploration in deep off-shore areas along Tanzania’s coastline. The company has been operating in Dar es Salaam and Mtwara since July 2010 and has achieved significant positive progress in its activities. The company and its partner have invested over US $ 800 million in Tanzania to date for oil and gas exploration and appraisal activities.
Credit growth to Tanzania private sector slowed down to 19.1 percent in January 2013 compared to 25.0 percent in the corresponding period of 2012, Professor Benno Ndulu said in a statement.
He said that the credit extended to economic activities declined substantially in all major activities except for trade.
On the other hand, annual growth of credit to the private sector increased to 19.1 percent in January this year compared with 18.2 percent recorded in December last year. “This increase was driven by credit growth in agriculture, building and construction, and trade,” Professor Ndulu said.
He said that during the period under review, the stock of credit extended to the private sector increased by Tshs 1,449.3 billion, compared to an increase of Tshs 1,515.7 billion recorded in the year ending January 2012. Meanwhile, a large proportion of banks’ credit continued to be held in trade and personal activities.
Meanwhile the annual growth of extended broad money supply decelerated to 12.1 percent in January this year from 16.1 percent recorded in January 2012. This development was largely explained by continued contraction of Net Foreign Assets (NFA) of banks and a slowdown in the growth of domestic credit.
The NFA of the banks contracted by 41.0 percent, compared to the contraction of 8.4 percent recorded in the corresponding period of 2012, partly associated with stability in the Shilling against the US Dollar.
However, According to Professor Ndulu the volume of transactions in the inter-bank cash market amounted to Tshs 615.8 billion compared to TZS 510.8 billion recorded in December 2012. Overnight transactions accounted for 75.9 percent of the total volume compared to 55.3 percent recorded in the preceding month.
Overall interbank cash market rate increased from 5.80 percent in the preceding month to 8.13 percent. Meanwhile, overnight interbank cash market rate increased from 5.08 percent in December 2012 to 7.85 percent in January this year.
During January 2013, the volume of transactions in the Interbank Foreign Exchange Market (IFEM) was $ 100.0 million compared to $ 94.1 million transacted in December 2012. The Bank sold $ 75.9 million compared to $ 65.1 million recorded in the preceding month. The Shilling depreciated slightly against the US Dollar trading at TZS 1,584.49 per USD from TZS 1,578.41 per USD in December 2012. On an annual basis, the Shilling recorded a slight appreciation of 0.2 percent from TZS 1,588.33 per USD traded in January 2012.
Samsung, a South Korean global IT giant with several international laurels in IT solutions has entered into partnership with Microsoft, Intel, MultiChoice DSTV, Cambridge University, Blue Financial Services and many others with the aim of creating solutions for its long term mission of inspiring the future of Africans.
"Our key focus for the Built for Africa initiative is developing products that suit consumer needs on the continent of Africa. We want to come out with solutions that meet the needs of the people in Africa," Vishwas Saxena, Head of Business, Samsung Electronics, Ghana said during the Samsung's 2013 Africa media forum that took journalists on its "Journey of Wonder" at Cape Town last week.
Samsung's ultimate objective under the Built for Africa initiative is to place the company at the forefront of connecting the African continent through its innovative products development and corporate social responsibility initiatives tailored for the African environment.
In its partnership agreement with Microsoft, Samsung aims to develop Africa specific software solutions in order to have more African contents in the company's products. The two institutions aim to create a strong alliance to help consumer education in Africa.
“We have also entered into a partnership with Intel, seeking to implement our Smart Education Solutions, which aims at providing quality education to consumers in Africa through designing products specific to education in Africa,” CEO of Samsung Electronics Africa, Mr KK Park said.
He said that the company has also signed an agreement with the Cambridge University, one of the world oldest universities in the world to promote its passion for developing and empowering Africans in the area of education.
The 2013 Media Forum also saw Samsung partnering Ekitabu, a platform in Kenya that let people search online for books they want to read, buy, and read them on any PC or Android mobile phone or tablet. Ekitabu offers over 275,000 titles available from international best sellers and great African writers which would only be available on Samsung devices.
In 2016, the population of Africa is projected to reach about 1.2 billion and according Samsung officials, developing the skills and manpower of Africans through education makes it even more vital.
The Exim Bank Tanzania Managing Director Anthony Grant (left) gives a gold medal to Elia Imhoff (centre) who emerged winner in the Under 25 Breast Stroke competition during the National Swimming Championships held at the weekend. Photo by Staff Photographer.
EXIM bank has sponsored this year’s National Swimming Championships as part of the bank’s efforts to develop sports in Tanzania.
The championships which were held during the weekend, intended to pick 16 representatives to represent the country in the African zonal competition (CANA Zone 3 & 4) that will be held in Lusaka-Zambia from April 25-29 this year.
Speaking during the event, the Assistant Director for Sports Development in the Ministry of Information Youth, Culture and Sports Juliana Yassoda called upon Tanzanians to engage fully in swimming as a sport urging that Tanzania has the potential to groom international stars depending on its geographical nature.
“Only 20 percent of the participants today are locals. This is a very big challenge. We should develop love for the sport and participate fully. Development of swimming does need a lot of investment and Tanzania’s geographical location can be a turning point in development of the sport,” she said.
Ms. Yassoda expressed concern over the failure by many corporate companies to support swimming urging that the sport has the potential to produce good ambassadors to represent the country at international competitions.
Earlier, Exim Bank Managing Director Anthony Grant said development of various sports in the country will help nurture sports ambassadors in major international events.
“Our objective is to support growth and development of various sports activities within the country. This is our first foray into swimming and we hope to provide a level of partnership that will ensure that swimming gets the recognition it deserves," he said.
He said the bank earlier this year sponsored rehabilitation of two squash courts at Gymkhana and expressed the bank’s commitment to support more supports activities in the future.
Grant reiterated the bank’s commitment to continue supporting the development of various sports activities across the country so as to help groom players to grow into position to compete for Tanzania at international levels.
“Investment in sports is paramount if the country is to get good ambassadors to represent the country at international competitions. It is for this reason that Exim Bank will continue supporting various sports activities. I urge other companies to follow suit and invest in sports development to benefit the nation,” Grant said.
The Tanzania Swimming Association (TSA) Secretary General Technical Director Marcelino Ngalioma during the event said TSA is planning another National event in August this year to ensure that the local swimmers get as much competition as possible so as to enable them in getting ready for international events.
The competition attracted 20 swimming clubs from across the country that included Morogoro International School, Tallis, Savannah Plains International School, Blue Fins and University of Dar es Salaam Swimming Club among others.
Students at Kyaka Primary School in Kyaka District, Misenyi Region, will from now have an easy time while studying, following the construction and handing over of two classrooms and 90 desks by Vodacom Foundation.
Speaking while handing over the classrooms, Vodacom Foundation Head, Yessaya Mwakifulefule, said that the company will continue with its commitment to support the education sector in the countrywide by helping students to achieve their academic goals.
“Education is a key to development of any society. We will do our best to ensure that our children go to school and also have good environment which will stimulate their desire to pursue their set ambitions,” said Mwakifulefule.
He said that this new development by Vodacom Foundation is expected to go a long way in dealing with hardships like congestion in classrooms and lack of learning equipment experienced in the education sector countrywide.
On his part, Missenyi Regional Commissioner, Issa Njiku, thanked Vodacom Foundation for the great work it has done to develop various sectors of the economy, adding that the construction of the two classrooms will go a long way in developing educational infrastructure in the country.
Crotida Athanas, the head teacher at Kyaka Primary School, also expressed his gratitude to the Foundation, and promised to keep the educational standards of the school high.
The South Korean IT giant, Samsung has unveiled that it will launch the ‘eye tracker’ smartphone, Samsung Galaxy SIV, in Africa by the end of next month.
Experts say the launch of the product will make life richer, simpler and more fun for corporates in Africa, Tanzania inclusive. They said that the new device which has more power and cutting edge features is a real life companion that brings people closer and enable them to capture fun moments.
Mobile phone analysts believe Samsung’s latest device would indeed pose pretty great competition to the likes of the HTC One, Sony Xperia Z and the now aging iPhone 5.
The new smart phone, which, comes with unique things like face/eye tracking and gesture-based controls that other smart phones can only dream of for now. “It is the first phone with smart scroll and smart stay. Smart scroll and smart stay feature enable the user to take the reading and video-watching experience to a whole new level by letting them scroll browsers and emails without touching the screen.
Galaxy SIV, succeeding Galaxy SIII, is believed will make life richer, simpler and more fun for mobile device lovers.
According to Samsung, the phone has the ability to take two different pictures at the same time.
Geita Gold Mine, a subsidiary of AngloGold Ashanti, has announced that its annual production costs increased to 70 percent compared to the same period last year. It also went up 21 per cent in comparison to previous quarter.
"Rising costs are attributed to a combination of factors, including increased amount charged as royalties on gold sales. This was further compounded by the supply chain write down of year end consumables stock," the firm said in a statement.
The Geita mine which is located on the shores of Lake Victoria said its output fell 18 percent during last year's fourth quarter, compared to the previous year as production costs steeply shot up.
The company said it produced 118,000 ounce (oz) gold during the period (September - December 2012), which was also down 7.0 per cent compared to the third quarter of the same year.
According to the firm these results, are consistent with our business planning in which we are stockpiling higher grade material for scheduled replacement of the primary mill in first quarter of this year.
The annual cash costs were $ 653 per oz, a raise of 22 percent on 2011. The firm has also paid up $ 683 million in direct contributions through taxes and royalties since 2000.
In 2012 alone, the company's payments to the authorities reached 213.8 million US dollars, up from 101.1 million US dollars in 2011.
Tanzania Portland Cement Company Limited (TPCC), one among the giant producers of cement in Tanzania has announced plans to venture into a new business line by producing aggregates for the growing construction sector, the firm said in a statement.
“In the mean time the company is completing the upgrade of one of old kilns, which will be positioned to supply the growing demand for high quality cement,” the firm said.
The TPCC board has also approved further expansion project in a new cement mill. The new mill which is expected to be completed mid next year will make the cement factory the biggest producer in the sub region.
Despite intense competition, the Tanzania Portland Cement Company Limited (TPCC) posted a 22 percent increase of net profit to Tshs 61.57 billion for the year ending December 2012, up from Tsh 50.6 billion in 2011.
According to the TPCC statement of audited results, local cement producers were in the period under review exposed to imports as East African Community (EAC) governments decision for the fourth time not to reinstate suspended duties on cement in the common external tariff. "Where the industry is ready to face competition, it is hoped that there will be fair play in the market," read part of the statement.
During the period under review, the company's turnover increased 15 per cent to reach 249.11 billion/- compared to 217.25 billion/- recorded in the year before.
The cost of sales was pushed up by double digit high inflation rates and energy tariffs rising to 126.7 billion/- compared to 117.7 billion/- registered in the year ending 2011.
However, in the year under review, the shilling remained relatively stable compared with the major trading world currencies depreciating by less than 1 per cent particularly against the US dollar.
The Board of Directors proposed a dividend of Tsh 185 per share in the year under review, indicating a 2.8 per cent increase compared to only 180/- offered in the previous period.
Samsung Commercial Director for East Africa, Robert Ngeru, has announced that the company will soon announce a partnership that will see DSTV decoders built into Samsung TV's.
“We, Samsung, always aim at innovating the best product of value to our customer. With the new product in hand, our customer will now enjoy the digital migration with the internal decorders powered TV.
On Wednesday Samsung Electronics Africa officially signed a strategic partnership with Africa’s leading pay TV operator, MultiChoice Africa to deliver world-class entertainment, content and technology to customers.
As part of the strategic deal, Samsung Smart TVs would come with premium TV content via DStv and Samsung laptops, PCs, tablets and smartphones would offer premium content through DStv mobile TV decoder services such as the Drifta.
The deal would see both companies promote co-operation across marketing, Smart TV applications, product development and other areas, with the aim of delivering a combination of content and leading technology products and services to the African market.
While the deal has been signed, it would take a few months before customers begin to experience the benefits of the partnership. Nico Meyer, CEO of MultiChoice Africa, said working with Samsung will significantly increase their continental footprint, giving subscribers easy access to all their products through the co-operation with Samsung dealers and distributors.
Samsung smart TV users won't have to buy an entirely new television set to enable them enjoy the latest features on offer. Electronics manufacturer Samsung is set to unveil a smart TV device by May this year to allow users to upgrade features on their sets.
If Swala Oil and Gas (Tanzania) gets a nod from shareholders, it might become the first company to list at the Dar es Salaam Stock Exchange’s second window, Enterprise Growth Market (EGM). The company - majority owned by Swala Oil and Gas Australia - is currently preparing documents to be presented for approval to shareholders to roll out the listing process.
“Preparations were on top gear but the exact date would be made available after the shareholders' approval. At the moment Swala is preparing to offer documents before seeking shareholders approval. Thereafter the company will file an application for public offering to CMSA and DSE." Tanzania Securities Chief Executive Officer Mr Moremi Marwa said.
The EGM is the alternative equity market that accepts startup companies which have no business track record. The market has lesser stringent condition for raising capital unlike its sister bourse the Dar es Salaam Stock Exchange (DSE).
The original concept of the Enterprise Growth Market Segment was promoted by experts who felt that the current requirements for listing on the primary investment market segment were too strict and should, therefore, be modified in order to attract more startup firms to the bourse.
According to these experts, such a move could help to boost the productivity of the DSE by providing more investment opportunities to interested investors.
Unlike the previous investment market segment, the new Enterprise Growth Market segment would not require a minimum of three years performance before receiving consideration for listing on the DSE; instead, without a track record, the applicant would be required to demonstrate that funding was required in order to support a fully researched and appropriately assessed project.
In addition, the requirements for net tangible according to the main investment market stipulations indicate that the applicant company have at least Tshs 500 million; however, in order to meet the requirements for the Enterprise Growth Market Segment, the company will be required to have at least 50 percent of its nets assets located within Tanzania.
However, since the EGM was launched last December it is yet to list a single firm on its board.
Swala Oil thinks that it has a higher chance of finding oil in Tanzania, given that its blocks share the same geographical features as Kenya's block 10BB and Uganda's Lake Albert region, where Tullow Oil has discovered in excess of 1.2 billion barrels of oil.
Last year, Swala, offered $1.2 million via a private placement in Tanzania. The money collected was expected to be used for data on the best drilling locations along its acquired blocks.
The private placement was opened last August and closes at the end of September 2014, with investors expected to buy a minimum of 80,000 shares at Tsh390 per share.
The company has been awarded a 50 per cent operating interest in the Pangani Block in Tanzania. Swala has a 50 per cent equity interest in Pangani and the Kilosa-Kilombero hydrocarbon exploration licences.
Geothermal plant.
The Tanzanian government is putting in place the required policy, legal and regulatory frameworks for geothermal development as well as mobilizing more funds for detailed geothermal resources assessment and mapping.
"The government through the ministry of energy has already formed a task force to strategize and advise the government on how geothermal resources development efforts could be effectively strengthened, coordinated and streamlined to achieve geothermal energy production in the near future," Deputy Minister for Energy and Mineral Resources, Mr. Stephen Masele revealed the information in Dar es Salaam, while opening a workshop on Geothermal Legal and Regulatory Framework.
According to Mr. Masele, lack of existence of a renewable energy policy, legal and regulatory frameworks are among challenges behind renewable energy production including geothermal. “Other challenges include inadequate awareness to decision makers and land planners, capacity to develop geothermal and high cost of geothermal exploration,” he said.
Mr. Masele mentioned geothermal resource as one of the indigenous power generation source to be developed for expanding power supply.
Supported by the African Development Bank and British High Commission, the AfDB Resident Representative, Ms. Tonia Kandiero said the workshop is aimed at discussing the subject regarding geothermal legal and regulatory framework.
Being one of the East African countries where the Rift Valley system passes by, where geothermal sites are found, Tanzania has a geothermal potential of more than 650 Mw, most of the prospects being located within the East African Rift Valley System.
The Tanzanian government intends to diversify the power generation mix in the national grid system by increasing the proportion of natural renewable energy sources.
Electricity demand in the country is increasing rapidly due to accelerated productive investments and population. The plan in line gives Tanzania confidence that it will increase the electrification status in the country.
Tanzania Civil Aviation Authority (TCAA) plans to introduce a new digital method that will improve provision of information on flights schedules and other related issues at major airports in the country.
The new project which is scheduled begin before the end of this fiscal year-2012/2013 will assist in sending the information using ATS Message Handling System (AMHS) to cut down on time and human costs that were deployed using analogue system of Aeronautical Fixed Telecommunication Network (AFTN).
“The AMHS system will enable stakeholders to easily get information without visiting those centres at the airports,” TCAA Director General, Mr. Fadhili Manongi said.
The AMHS also known as Aeronautical Message Handling System assists in collecting aeronautical ground to ground communications such as the transmission of flight plans or meteorological data.
"This sector plays a great role to the country and is very important, facilitating tourism and other sectors that contribute significantly to the economy," said TCAA boss. Mr. Manongi said that aviation security especially at airports continues to improve through regulation and regular inspections in planes.
The DG noted that authorities responsible for aviation safety have been changing their systems according to changes happening worldwide. Julius Nyerere International Airport (JNIA), Kilimanjaro International Airport (KIA) and Abeid Aman Karume International Airport (AAKIA) continue to fulfill requirements for international airports status by receiving international flights.
In late June this year, the Commodity exchange market is expected to start operations. During the initial operation of the market, Tanzania will at first trade in four commodities, namely cashew nut, coffee, cotton and rice.
Currently, the four crops are being traded under the warehouse receipt system. The exchange is designed, among other things, to include a trading floor, warehouse delivery locations and price tickers.
Experts in agro-business have said that the commodity exchange market is designed to liberate farmers by exposing them to reliable market environments locally and abroad.
A special committee, headed by the Permanent Secretary in the Prime Minister's Office has been set up to fast-track the matter. "The committee will monitor the roadmap for the creation of the commodity market and speed up the process," the Capital Market and Securities Authority (CMSA) Chief Executive Officer, Ms. Nasama Massinda said.
"June 2014, looks as a positive and systematic date for the commodity exchange to go into operation," she explained.
Last year, the Bank of Tanzania (BoT) called for bidders and consultants to provide legal and regulatory framework and design a robust trading system. BoT said bidders have been given the task of "reviewing existing legal and regulatory framework for warehouse receipt system, cooperative and crop bodies and commodity trading.
President Jakaya Kikwete, the pioneer of the commodity market, said recently that the exchange would provide a marketplace where buyers and sellers meet to trade and be assured of quality, delivery and payment. Mid-last year, the president toured the Ethiopian Commodity Exchange (ECX) to get first hand information on how the facility works.
Vodacom Tanzania customers will from today enjoy the best calling rates across all networks in the country following the launch of “SupaCheka 500”, a package that gives customers freedom to stay in touch with each other via voice calls, SMS and emails without changing their SIM cards.
According to Vodacom Tanzania Managing Director, Rene Meza, there is need for Tanzanians to keep in touch without fear of spending too much, regardless of the network they are calling.
“ChekaNao offer enables our customers to get the most value out of the money that they spend on staying in touch with their businesses, partners, friends and family on a daily basis,” he said, adding that this offer lasts a whole day.
Under this new package, the customer will only spend Tshs 500, and he/she can get 10 minutes of talk time billed per second and 150 SMS to use across all networks in Tanzania. This exciting package also comes with 60 MB of data, giving customers the freedom to access any website they choose and enjoy email on Tanzania’s fastest data network.
To subscribe to ChekaNao , customers are advised to dial *149*01# and then select the SupaCheka 500 option, after which they shall be able to choose their preferred package for the day.
“All other SupaCheka products are also featured under *149*01#, allowing our customers to choose the product that best meets their daily needs. All Cheka products continue to be billed per second, which enables customers to get the most out of their daily airtime allowance,” said Mr. Meza.
The offer comes six months after Vodacom Tanzania launched SupaCheka , which enabled customers enjoy the same calling rates but only on the Vodacom network. “Now we want to expand the service to the whole of Tanzania,” he said.
He said that, Vodacom has enjoyed the support of a vast majority of Tanzanians over the years. Responding to their communication needs and patterns is therefore, our own small way of thanking them for their loyalty to us.
The Bank of Tanzania (BoT) has proposed September to be the starting date of using truncation system, a new technology that reduces costs and duration in cheque clearance process from between four and eight working days to 48 hours. In Africa the system is already in use in Kenya, Malawi and Botswana.
Banks solution experts said the new approach has many benefits for banks and customers due to its economic and tactical advantages unlike the manual system which is obsolete and moribund. "The current system involves vast amount of unnecessary labour while cheques are handled for up to eight times and transported for up to four times for each transaction,” they said.
The cheque truncation solution involves replacing the physical paper with the electronic image at the bank’s branch where it was first presented.
“This will be achieved through the ‘teller capture process’ which requires the front or back office clerk to capture cheque details, thus allowing for either holding or truncation at that point,” The Sybrin System Sales Manager, Mr Daniel Parreira said.
Sybrin Cheque Truncation System - provides solution for the encryption and transmission of images and data files from the participating banks to the Automated Clearing House (ACH).
“The images are so clear, there is no need to transport physical cheques for verification thus eliminating the opportunity for theft and fraud,” Mr Parreira, whose company is based in South Africa, said.
The Computech-ICS Limited Managing Director, Mr V. Jayatheerthan said they partnered with Sybrin after a two-month search for the firm that has the best solution that suits the country market’s needs “We are satisfied that the banking application works.”
And this is better for the economy and the banking industry - as it cuts time and unnecessary human costs,” said Mr Jayatheerthan at the sideline of the road show seminar.
Commercial Bank of Africa (CBA), Clearing Officer, Mr Allan Msaki, said they welcome the solution as it takes a number of staff to process a cheque which has now been reduced to a single machine.
“If we have gone digital on our mobile phones, television and so forth why not the cheque clearing system, this is not only good for the bank sector but to the economy as whole,” Ms. Jaffer said.
The world's leading premium drinks business firm, Diageo, yesterday issued the final call for entries to the tenth annual Diageo Africa Business Reporting Awards. The Awards recognise the achievements of business journalists reporting on the continent and provide a prestigious forum for international recognition of their work.
“All journalists, writers, photographers, reporters and media houses are encouraged to apply as soon as possible. In order to provide every opportunity for submissions, we have extended the final date for entries to 22 March 2013,” said.
According to Diageo, Tanzania has registered the lowest applicants with only two applications to date.
Submissions are welcomed for the following categories; Best Information and Communication Technology (ICT) feature, Best Finance feature, Best Infrastructure feature, Best Agribusiness/Environment feature, Best Tourism feature, Best Business News story, Best Business feature, Best Newcomer, Media of the Year, Journalist of the Year.
As a long-term investor in Africa, Diageo believes that improving the quantity and quality of business reporting can play a significant role in generating business interest and increasing inward investment in Africa. As a result, these awards were launched in 2004 as a practical way of raising awareness of economic opportunity in Africa and to celebrate excellent business journalism.
In 2013, ten years on from the Awards’ inception, Africa’s profile as a business and investment destination is higher than ever. This is reflected in the fact that the Awards have continued to grow year on and, in 2012, attracted more than 1000 entries from 27 countries.
The Awards are open to all journalists reporting on Africa, in any medium, and of any nationality. Submissions are accepted in English and in French. Entries will be reviewed by a high-profile judging panel – further details will be announced soon. The shortlisted finalists from each category will be flown to London for the Gala Ceremony in July. Winners will each receive £500 and a specially commissioned sculpture.
Nick Blazquez, President, Diageo Africa, Turkey, Russia & Eastern Europe, commented, “We look forward to celebrating the ten-year anniversary of the Diageo Africa Business Reporting Awards.”
He said that Diageo have seen the Awards grow over the past decade from a relatively small beginning into an international event, which receives more than 1000 entries.
“I am particularly pleased with the number of different countries that are represented at the awards, which demonstrates the increased prominence of African business reporting, both across the continent and around the world. In this celebratory year, our judging panel will be looking for submissions that are insightful, balanced and ground-breaking, and which bring a fresh perspective to bear on business issues,” said Mr. Blazquez.
Paul Walsh, Chief Executive Officer of Diageo plc and chair of the judging panel, said, “Confidence in Africa as an investment destination is growing and the media play a key role in defining the world’s perceptions of the continent as a good place to do business. As a long-term investor in Africa, Diageo continues to be an advocate for economic development, better business environments and greater flows of trade.”
The closing date for entries is Friday 22 March 2013. Finalists will be announced on Tuesday 7 May 2013. The Awards Ceremony will be held in Central London on Thursday 11 July 2012. There are no entry fees.
The Diageo Africa Business Reporting Awards 2013 are already attracting high-quality entries from the best journalists around the world. The Awards celebrate their ten-year anniversary in 2013 and will once again showcase the most influential and innovative journalism from and about Africa.
Barclays Africa Executives have been visiting a number of African countries of presence in Africa where they are meeting with clients, regulators, local boards and employees.
During their visit to Tanzania, the executives have been discussing the bank’s Africa strategies as well as sharing global, regional and country economic insights with key stakeholders.
"Africa growth story has been unprecedented in recent years, with the continent being the fastest in the world after Asia. Seven of the top 10 fast growing economies in the world between 2011 and 2015 will be in Africa,” Barclays Africa Chief Executive and Head of Africa Group Strategy, Kennedy Bungane said.
“Our combined geographical foot print between Absa and Barclays Africa and our long history and unique capabilities across Africa gives us a great opportunity to help facilitate economic growth across the continent,” he added.
He said that Tanzania offers great potential for expansion in Africa and the management of the bank is ready to push the boundaries further across Tanzania and Africa.
“We are committed to continue driving our One Africa strategy as well as to work closely with our customers, clients and other stakeholders to support the sustainability growth of Africa and continue exploring growth opportunities on the continent,” Mr. Bungane said.
Mr. Bungane told Corporate Digest that the technological innovations and experience in the banking industry will make the bank grow. “The branches in place are adequate to make sure that our customers are saved accordingly.”
Barclays bank Tanzania managing Director, Kihara Maina said, “As part of Barclays Africa group, we will continue to play an important role in the country to ensure that the benefits of Africa’s story are realized by the people of Tanzania.
By Corporate Reporter
Global brewer, Heineken which recently recruited a dedicated team to manage operations in Tanzania and East Africa in general, has launched a new campaign aimed at generating more sales in the Tanzanian market.
The three month campaign ridding on the successful UEFA champions league seeks to engage consumers and corporate companies alike to compete for a chance to win an all expense paid trip to Amsterdam where Heineken is brewed.
Consumers from 32 outlets in Dar es Salaam, Mwanza, and Arusha will get a chance to compete for the winning prize and will include the outlet owner plus one lucky journalist.
Speaking during a briefing to Corporate Digest yesterday Heineken country Manager for Tanzania Mr. Uche Unigwe said the purpose is to generate excitement amongst Heineken targeted consumers and that the ultimate purpose is to generate an increase of sales.
The campaign augurs well with the General Manager, Koen Morshuis, Heineken East Africa Operations sentiments in an earlier interview at the beginning of the year with Corporate Digest.
He expressed his optimism towards increasing growth of the premium segment in the Tanzanian market.
Heineken is also betting on its recently launched iconic star bottle to spruce things up in the Tanzanian market which has grown tremendously over the years.
The bottle is a first for Tanzanians and East Africans at large which lights up once confronted with UV light and is specifically used in selected number of outlets in the world. Heineken regards the very recognizable glass bottle star bottle as its main hero.
Franklin Mziray
The Port Management Association of Eastern and Southern Africa (PMAESA) has appointed Franklin Mziray, a long serving corporate communications manager with Tanzania Ports Authority to be the secretary general of the Mombasa-based regional port.
Mziray takes over from Jerome Ntibarekerwa of Burundi, who headed PMAESA for seven years until November 2012.
Mziray, in his acceptance speech, promised to give member states value for their money as he intends to provide the association with new and dynamic management and leadership.
Mr. Mziray was born in December 1952 in Moshi and is married with three children. He went to St. Andrews College Minaki for Cambridge School Certificate, then to Milambo Secondary School for the National Form Six School Certificate.
He later joined University of Dar es Salaam where he attained Bachelor of Arts in 1977. Mr. Mziray has had professional training in several institutions including JICA, Tokyo, Japan between 1974 and 1975 where he did an Intermediate University Diploma in Film Production.
The PMAESA was first established as the Port Management Association of Eastern Africa, in Mombasa, Kenya, on April 1973, under the auspices of the United Nations Economic Commission for Africa (ECA).
Seeking to improve efficiency in cargo handling at the Dar es Salaam Port, The Tanzania Ports Authority (TPA) has opened a new container stuffing yard which has the capacity to handle 3,600 Twenty foot Equivalent Units (TEU’s) every day.
Located at Kurasini along Nelson Mandela Road, the facility will see containers which were previously stuffed at the port getting packed and de-stuffed at the new facility thus reducing overcrowding at the port.
“Due to the availability of this facility stuffing will no longer be carried out in the port premises. The facility licensed number CFS 003 is well equipped so that stuffing and transportation of containers would be well handled smoothly.” says a TPA statement issued to Corporate Digest.
The facility is also equipped with high trucks which are used to transfer the stuffed containers to the port for loading without involvement of the cargo exporter, thus saving time of our customers.
Experts believe that installation of the facility would smoothen doing business in Tanzania and increase capacity of the Dar es Salaam port to save the land locked countries. They advised the business community to take advantage of the facility in hand to boost their businesses.
TPA urged all shipping, clearing and forwarding agents and customers who wish to stuff their goods in containers to make use of this facility. TPA had a total of five stuffing yards located within the port area; the new one brings the total to six stuffing yards under the authority.
One of the fast leading banks in Africa, Ecobank has pledged to increase the number of women in its workforce to more than 50 percent in few years to come believing that their financial inclusion will play a very crucial role in the country’s economic growth.
“Ecobank is one of the best gender equal employers in Tanzania. We believe that women can bring about economic prosperity in the family and the society at large,” the bank’s Managing Director, Enock Osei Safo said during the Women’s Day celebrations at a cocktail event held at New Africa hotel.
He aired some factual data as to the role played by women in Tanzania’s society highlighting that women remain the biggest group of food producers and also form the largest group of emerging small and midsized businesses and record the highest percentage rate in production.
Ecobank is committed to empower the people of Africa and create the necessary change that will empower people and business therefore unlocking the full potential that Africa holds.
According to Ecobank Country Human Resource, Mrs. Maryam Mgeni, the bank has benefited from the knowledge, skills and passion of the female workforce.
“Right from the chairperson’s level women have been able to contribute in a phenomenal way to the growth of our bank,” she said.
She further said that the bank continues to support women in Tanzania and Africa through access to affordable banking solution as well as supporting women’s causes through corporate social responsibility.
On her part, Ms. Mjema acknowledged President Kikwete’s government which has made great strides to integrate women participation in all sectors of decision making processes through the enforcement of gender balanced policies.
“…We must reaffirm our commitment to securing women’s rights in this country…,” asserted the DC and reminded the attendants and the nation at large that the stakes concern all of us; it is each Tanzanians’ responsibility to secure gender parity.
The railway authorities of Tanzania, Zambia and Congo have recently signed a tripartite agreement that will allow collaboration and interaction with each other in terms of conveyance of goods and passengers through each other's railway network without re-marshalling and trans-shipment.
"Importantly, we have come to a mutual understanding on all the technical parameters regarding our respective operations and provided for continuous consultations through regular interchange meetings for the entire period of the agreement," read part of the statement issued by the Tanzania Zambia Railway Authority (TAZARA), Head of Public Relations, Mr. Conrad Simuchile.
According to Dr. Damas Ndumbaro, the Acting Managing Director of TAZARA, with this agreement in place, cargo can now move in either direction and all the way from Dar es Salaam to New Kapiri-Mposhi and Lubumbashi and vice versa without necessarily trans-shipping, re-marshalling or complications of any kind.
Dr. Ndumbaro observed that the agreement had opened the door for a co-operation that would effectively link and serve customers in Lubumbashi, the Copperbelt and central parts of Zambia and Dar es Salaam, by harmonizing the passage of goods between these regions.
He added that the full implementation of the pact would assist the three governments to cut down budgets for roads repairs and maintenance as the bulk of cargo would be transported by rail.
On his part, the Acting Director General of Societe Nationale Des Chemins De Fer Du Congo Sarl (SNCC), Mr. Vincent Tshiongo Ngalula, said that the signing squarely fits in the political aspirations of the African Union as well as regional trade facilitation objectives of the Common Market for Eastern and Southern Africa (Comesa), the Southern African Development Community (Sadc) and the East African Community (EAC).
He further said that it did not make sense for cargo to take so long to reach the port of Dar es Salaam when the infrastructure was available.
Airtel’s Public Relations Manager, Jackson Mmbando (right) handling over a 15 million dummy cheque to a winner of ‘Amka millionea’ promotion for a month of January, Ms. Agnes Hassan Chakame. Ms. Agnes is a farmer and a resident of Rufiji, coastal region. Witnessing is Jane Matinde, the Public Relations Officer of Airtel.
Few months after British Airways announced the seizing of its three times-a-week direct flights to Dar es Salaam, with a reason that the route was not profitable, the airline has recently announced plans to increase the number of flights on the Nairobi-London route from the current seven to eight per week.
According to the airliner the new service to Nairobi would put an additional 266 seats a week on the London-Nairobi route when it increases its schedule to Kenya from daily to eight flights a week. The new service starts May 12.
“Kenya is a growing economy and the additional flight has been scheduled as an overnight service, so our customers, particularly those travelling on business, can make the most of their time,” says Ian Petrie, regional commercial manager for Africa in a statement recently.
There will be a Boeing 777-200 in a four-cabin configuration, offering First, Club World (business), World Traveller Plus (premium economy) and World Traveller (economy).
It will operate as an overnight flight, leaving its Heathrow hub on Sunday evenings and arriving in Nairobi on Monday mornings. The return flight will depart Nairobi on Monday evenings arriving in London on Tuesday mornings.
Despite suspending flights to Tanzania, the airline said it views the African region as essential and has in the recent past added flights to certain routes as well as started flights to new destinations.
Last week, BoT warned that it will be forced to take stern action against commercial and community banks that fails to comply with the new directives to increase their capital base. BoT wants all commercial banks to increase their minimum capital requirements to Tsh 15 billion ($ 9.24 million) from Tsh 5 billion ($ 3.08 million) and community banks to increase theirs to Tsh 2 billion ($ 1.23 million) from Tsh 250 million ($ 154,036).
BoT has given a period of three and five years for existing fully fledged commercial banks and community banks to fully comply with the minimum capital requirements.
Benno Ndulu, the BoT governor, said that the regulator was currently working on plans submitted by the commercial and community banks to assess compliance status before the deadline set in 2015 for commercial and 2017 for community banks.
Prof. Ndulu said that despite the increase in the number of banks in Tanzania, the sector continues to be highly concentrated, with the top four banks accounting for about 55 per cent of both financial assets and deposits of the banking sector.
“This move is expected to promote the entry of large banks and consolidation of small banking institutions,” said Prof. Ndulu adding that the move would also increase the concentration of market share to fewer banks.
Analysts in Dar es Salaam said that the new requirements could trigger a series of mergers and acquisitions as small lenders seek to boost their capital base.
Lapsing deadlines in Kenya and Uganda.
Banks in Uganda face the same requirement after Bank of Uganda (BoU) set the deadline for the beginning of March this year requiring a Ush 25 billion ($ 9.43 million) minimum capital requirement up from Ush 10 billion ($ 3.77 million).
The Central Bank of Kenya had set a deadline at the end of December last year for all commercial banks to increase their core capital to Ksh 1 billion ($ 11.6 million). All banks in Kenya should therefore have complied with the new rule and the banks which have issued their full year results are in compliance with the new capital requirement.
After eight months of negotiations, the Tanzanian government has now become the sole owner of the 50 percent stake in TanzaniteOne.
The firm, which extracts gemstones at Mererani Hills about 40 kilometres southeast of Arusha, said in a statement that, “After long, intense negotiations, we have agreed in principle that TanzaniteOne will offload a 50 per cent stake through the government-run State Mining Corporation (Stamico).”
TanzaniteOne has been locked in a tussle with the government over the amount of shares to offload to the public in accordance with the country’s new Mining Act of 2010. The Mining Act, which took effect last year, requires that foreign-owned companies cede a 50 per cent stake to the public or else lose their mining licence.
The new mining law stipulates that gemstones will be exclusively mined by native Tanzanians, unless the work requires heavy investments and sophisticated technology, which would then allow foreign investors to come in but on condition that they sell a 50 per cent stake to the public.
For existing companies, the Mining Act provides an opportunity for them to offer a 50 per cent stake to the public in order to continue operating in Tanzania.
Last year, Tanzanite one rejected the demand by the government to relinquish a 50 per cent stake to Stamico, setting the stage for a major dispute. The firm offered to offload a 20 per cent stake through an IPO at the Dar es Salaam Stock Exchange. It is understood that parties are currently drafting a sale agreement. “We are currently working on the details,” said Ami Mpungwe, TanzaniteOne executive chairman.
The firm’s licence expired in August 2012 and the State said it would not renew it until the firm surrenders the 50 per cent stake as required by law.
Available records show that TanzaniteOne invested over $100 million, but analysts say the company has provided marginal contributions to the communities surrounding its area of operation.
THE Public Service Pensions Fund (PSPF) has introduced a mobile phone registration system to its members. Under the new system, a new potential client would now be able to register for the fund's services through their mobile phones and later submit the necessary documents to a PSPF branch.
“The use of mobile phone as a registration tool will reduce unnecessary wastage of time and resources. The move will allow a new customer to have ample time to do other productive activities as the practice consumes less time and resources,” PSPF Acting Director General, Mr. Adam Mayingu said in Dar es Salaam over the weekend.
He said that PSPF anticipates that the adoption of mobile phone registration system will also increase the number of new members on board.
However the Labour and Employment Minister, Ms. Gaudentia Kabaka, has announced that the government is in a plan to review regulations on public pensions fund to make it possible for members to move from one fund to another.
"The goal of the review is to guarantee freedom to members to have a choice of membership. The move will allow beneficiaries to enjoy their pension in accordance to their preferences of the public benefits from the pension’s funds," said Ms. Kabaka.
She pointed out that the formal sector comprises of only three percent of the workforce who are members of pension’s funds and that only six per cent of those in the informal sector have joined pension’s funds.
PSPF Board of Trustees Chairman, Mr. George Yambesi said the fund size grew to Tsh1.9 trillion in 2012 from Tsh 36 billion in June 2000, saying the surplus came from contributions, investment incomes and other sources.
"The number of PSPF members has also increased by 58 percent (309,767) in June 2012 from 196,150 members in 1999," he said.
Mr. Yambesi further said that PSPF has already paid Tsh 1.35 trillion to pensioners, noting that it started paying benefits in July 2004. “The fund has helped a total of 8,932 family members’ contributors through Death Gratuity and Survivors' Pension. The fund has also sold a total of 1,530 houses to pensioners with less than five years to retire."
He added that PSPF would soon open its branches in newly established regions of Simiyu, Njombe, Geita and Katavi.
Airtel Public Relations Officer Jane Matinde (right) seconded by the Chairperson of Unit of women Friends, Ms. Esther, issue a dummy cheque to the second runners-up winner of Mwanamakuka awards, Ms. Leila Mwambungu (second left). Witnessing is Vice President’s wife, Asha Bilali.
Kenyan-based insurer, Cannon Assurance, has announced it plans to expand its footprint to Tanzania, Uganda and South Sudan by the end of September this year. The company said it had already registered the company in Tanzania and that it would start operations in the second half of the year, while revealing it was gathering market intelligence in Uganda and South Sudan as it prepares for an entry.
The company said it had commissioned a team to undertake a visibility study in Uganda and Southern Sudan to determine the type of products they would sell in these markets.
The move came even as the company said it plans to re-organise its business to comply with regulatory demands that require insurance companies to separate their general and life business units and increase their capital base. The company’s capital has grown from Ksh 50 million ($ 581,395) to Ksh 450 million ($ 5.2 million).
“We plan to have identified strategic locations for our new branches in Tanzania, Uganda and South Sudan by the end of this year. We may also consider buyouts and mergers then seek for approvals,” said Maina Mukoma, Cannon’s Managing Director.
According to Mr. Mukoma, the company will complete the separation exercise by the end of the first half of 2013, after which it will venture into Tanzania and Uganda.
The firm joins a list of other Kenyan insurers venturing into the region. Kenya-based Resolution Insurance Company Ltd, formerly Resolution Health East Africa, said last month it will spend Ksh.500 million ($.6 million) on its expansion project in the East African region in the next one year. Key regional players include Jubilee Insurance, UAP, APA and Britam Insurance.
In a move to improve power reliability in Dar es Salaam which has been experiencing power outage due to the aging of the lines, the government has awarded a $30 million tender to Finnish energy firm Eltel Group to lay an underground electrical transmission line in the city. The project is expected to run for two years.
The scope of project includes an underground cable network, building a new distribution control centre, fibre optic data network and rehabilitation of the telephone network. The project will also involve the construction of a 132/33kV substation in the city centre, extension of the Ilala 13kV substation, and construction of a 132kV underground cable to connect Ilala and the new city centre substations.
According to Tanzania Power Utility, the project will also include the establishment of a distribution system for Dar es Salaam, and reinforcement of the Sokoine and Kariakoo 33/11kV substations.
“The project will be implemented within the framework of development co-operation between the governments of Tanzania and Finland. The objective of the project is to improve reliability of power supply in the area of Dar es Salaam by improving the transmission and distribution systems,” Boniphace Njombe, the acting managing director of Tanzania Electricity Supply Company (Tanesco) said.
Senior project manager of Eltel Group Magnus Bringman said the project will involve a pilot distribution management system to be established in Kinondoni to monitor low voltage lines, and potentially solve the power surge issues that lead to shortages.
“Some existing overhead lines in the city centre will become obsolete after the project is completed; they can be dismantled as there will be an underground cable system,” he said.
Aiming at reducing the cost of obtaining a highly reliable broadband solution in Tanzania, the Al Yah Satellite Communications Company, Yahsat, an Abu Dhabi based satellite operator, has offered YahClick business subscribers free facilities and installation services in the country. The service is designed to help drive regional economic development and empower individuals and communities to achieve their dreams wherever they are.
“We are happy that our products have been received well in Tanzania. My company is now in a position to offer new business users free satellite equipment when they sign up to YahClick,” the Yahsat Chief Commercial Officer, Mr. Shawkat Ahmed said during the presentation of the new offer during the weekend.
He said that as part of the promotion, subscribers will only be charged the monthly subscription fee and not for the equipment or installation, a saving of up to $ 1,100.
The company connects more than 140 countries across the Middle East, Africa, Europe and South West Asia.
In Tanzania YahClick business subscription prices range from $ 154 excluding local tax - for speeds ranging from one Megabit per second, up to 15 Megabits per second, with free equipment and installation on all these business subscription plans.
With the current offer at hand, the subscribers will be benefiting from signing up to any YahClick Business service plan in Tanzania via YahClick Service Partners Infinity.
Yahsat, fully owned by Mubadala, was set up in 2007 to meet the growing demand in the region for government, commercial and consumer satellite communication services and to support Abu Dhabi’s ambition to become a broadcasting and telecommunications hub.
Mubadala is investing in a global portfolio of world-class information and communications technology assets, and providing high-tech employment opportunities in IT, technology, telecoms, and satellite operations.
A woman at work
The latest survey by Regus, one of the world’s largest provider of workplace solutions, suggest that by introducing greater flexibility, near-site crèche facilities, increased use of video-conferencing technology and more job sharing, would make East African businesses get professional women back into the workforce after maternity.
“There is a strong case for the greater inclusion of returning mothers in the workforce: increased GDP, sustained growth, bridging the skills gap and fighting poverty are just some of the benefits. Even on a business level the benefits of re-integrating women after maternity are plenty: access to skilled and trained workers, less staff turnover and even increased productivity as this survey reveals,” Joanne Bushell, Regus Vice President for Africa said.
According to Bushell, this latest survey reveals that workers overwhelmingly identify greater flexibility in terms of working hours and location as the solution to get more women back on board after maternity.
“As working habits globally evolve in favour of greater flexibility, this research suggests that changes in working practices are particularly urgently required for returning mothers whose contribution to the business and the economy is otherwise hampered,” he suggested.
Given that authorities agree that higher participation of women in the workforce is vital to sustaining and driving growth, the tide of professional women still finding that the burden of child care forces them out of employment after maternity needs urgently to be stemmed.
She further aid that hiring returning mothers helps improve productivity, possibly by lowering training and hiring costs.”
Shinyanga Regional Commissioner Ali Lufunga (left) draws cash from an ATM facility at Exim Bank Shinyanga Branch during the official inauguration of the branch last weekend. Looking on is Exim Bank Tanzania Managing Director Anthony Grant and Exim Bank Shinyanga Branch Manager Justus Mkurasi (centre)
Exim Bank, Tanzania’s sixth largest bank in terms of total deposits and assets has accomplished yet another milestone by opening up a new branch in Shinyanga town bringing the bank’s total number of branches across the country to 25.
The new branch, which is strategically located around the Lake Zone region, is set to offer convenient banking services for communities in and around the region as the bank consolidates its position in the country’s banking sector.
Speaking during the inauguration of the new branch in Shinyanga Town, Exim Bank Tanzania Managing Director Anthony Grant said that the opening of the new branch clearly demonstrates the bank’s commitment to take services closer to the people as the bank eyes to be the people’s bank by choice in the near future.
Grant said his bank is currently embarking on an aggressive expansion plan that seeks to ensure that the bank opens five new branches in areas where no other bank has dared to by the end of this year.
“Exim Bank’s expanding branch network highlights the bank’s mission to be the country’s bank of first choice in all parts of the country. We are very excited to open a branch in Shinyanga as it fits in perfectly with our existing service foot print,” he said.
The Shinyanga Branch is simply a confirmation of the bank’s commitment to taking services closer to the people.
“Shinyanga region has a lot of potential and demand for quality banking services; and for this reason will continue to invest in this market," he added.
Grant reiterated his bank’s commitment to support growth and development of Small and Medium Enterprises (SMEs) in Tanzania urging that SMEs are one of the main drivers of sustainable economic growth.
“SMEs remain the engine of the economy for many developing countries including Tanzania. Exim Bank will continue supporting various SMEs through our tailor-made products that suit their interests,” Grant noted.
Earlier, the Shinyanga Regional Commissioner Ali Lufunga during the occasion called upon Shinyanga residents to embrace the opportunities that will come by with the opening of the Exim Bank Shinyanga Branch.
“The decision by Exim Bank to open up a branch in Shinyanga clearly demonstrates how the bank values our region.
“We believe the coming of the bank will help to transform the region both socially and economically. People should now start keeping their money in banks rather than locally made safes,” he said.
Exim Bank Shinyanga Branch Manager Justus Mkurasi said the new branch is set to transform banking in the region pledging to offer unmatched banking services.
“People in Shinyanga should brace themselves for unmatched banking services that are set to offered. Exim Bank believes in innovation and our new branch will offer tailor-made products,” he added.
Community development, Gender and Children deputy minister, Ummy Mwalimu ( 2nd Right) presents cash to Aziza Maiga, a petty trader from Temeke Sterio market in Dar es Salaam, during an event to mark the World Womens Day at Mwembe Yanga in Dar es Salaam last weekend.
A total of 87 women entrepreneurs from Temeke in Dar es Salaam have received interest-free loans worth Tsh5 million through Vodacom Foundation's M-Pesa Women Empowerment Initiative (MWEI).
"Most of these entrepreneurs cannot qualify for loans from many financial institutions; however through MWEI we are able to extend interest-free loans of between Tsh. 50,000 and Tsh. 100,000 to them which are designed to boost their capital. Along with the loans we advise them on how best to utilize the given loans for the good of their economies," Vodacom Foundation's Manager, Grace Lyon said.
She said that Vodacom recognizes the resourcefulness, creativity, and clear objectives that the women of Temeke have in their efforts to improve their economic well-being.
To date MWEI has benefitted more than 7,000 women both on the mainland and isles, who have gone on to improve their incomes and bring about economic revolution through their businesses.
“The aim of MWEI is to uplift women economically particularly in rural areas so that they too can make a meaningful contribution to their families thus drive forward progress within their families and eventually the nation at large,” she said.
Ms. Lyon pointed out that she is impressed with the efficiency that women have been able to settle their loans on time, urging that the same positive record should continue to be emulated and maintained by every woman.
In her remarks at the event, the Guest of Honour, Deputy Minister of Community Development, Gender and Children, Ummy Mwalimu, encouraged women to make sure that they use the loans for the intended purposes only, and settle them in time so that other women can also benefit from the privilege.
“Under ordinary circumstances it is very rare to find an institution ready to provide loans to entrepreneurs of this calibre without interest or conditions that would otherwise make it difficult for them to access such a facility,” she said.
For Vodacom Foundation, this is a remarkable way of recognizing the women's confidence in bringing about development in the society.
"It is evident, Vodacom understands that when you empower a woman you empower a whole community, and even better they extend these loans without any discrimination or biasness regardless of whether a woman is their customer or not. It is clear that the foundation's conscience aims at fostering a culture of working together towards complete economic development for women and the nation," she said.
She called on the wider community to support Vodacom Foundation's efforts which bear testimony to its commitment to social and economic development as seen in various programmes on education, health and clean water, and women entrepreneurship.
Employees of African Barrick Gold (ABG) donate various items, including soap, cooking oil and clothing, to patients at the Ocean Road Cancer Institute (ORCI) in Dar es Salaam at the end of last week as part of commemorating the International Women's Day on March 8.
Mr. Sim Tshabalala, the newly appointed Chief Executive of Standard Bank
Mr. Ben Kruge, the newly appointed Chief Executive of Standard Bank
Standard Bank Group has appointed Sim Tshabalala (45) and Ben Kruger (53) as Chief Executives of the bank with immediate effect, replacing Jacko Maree (57) who is stepping aside as Group Chief Executive of SBG after more than 13 years at the helm of Africa’s largest bank.
A statement from the bank shows that Mr Tshabalala and Mr Kruger will be held accountable and responsible for the management and performance of SBG.
“To take advantage of each of the joint Chief Executives’ skills, knowledge and talent, they will split the main duties as follows: Sim Tshabalala will remain Chief Executive of SBSA and will take charge of the group’s banking businesses outside South Africa on the African continent. He will also take charge of the group’s Wealth businesses, including responsibility for Liberty Holdings. Simon Ridley, the Group Financial Director, will report to him,” reads part of the statement.
According to the bank, Mr. Ben Kruger will remain in charge of Personal & Business Banking (PBB) and Corporate & Investment Banking (CIB). He will remain chairman of Standard Bank Plc and will be responsible for the Group Risk function. “Peter Wharton-Hood, the Chief Operating Officer responsible primarily for IT and Operations, will report to him,” the statement noted.
Sim Tshabalala, Ben Kruger and Peter Wharton-Hood will join the boards of Standard Bank Group.
Marketers all around the world are starting to wrestle with the impact that facebook graph search may have on their brands. The search is now regarded as the most powerful tool to steer people toward products and services on the social networking site.
The Marketers hope the results will help them make more connections with potential customers and become more visible on the site. But there are still a lot of unknowns that need to be addressed, speakers said during a recent panel discussion at South by Southwest Interactive in Austin, Texas.
Graph search allows users to perform searches that let them uncover things their friends have shared with them on Facebook. It can also help them discover things like popular restaurants or shops in their area, based on what their friends have liked or talked about.
“One issue is that users can "like" things for a variety of reasons, such as simply being polite, and can check in at places just because they happen to be there, not necessarily because they like the place. That could mislead marketers and other facebook users about what is truly popular,” marketers said.
They suggested that other metrics, therefore, should be incorporated into Graph Search's results.
"If the results aren't helpful because the only people coming up are the people getting the most Likes, it's not going to be helpful for anything," said Paul DeJarnatt, vice president and search director at Starcom USA, a marketing and branding agency.
Others said it's hard to use Graph Search as a way to assess their level of engagement with fans or customers, because the service is still in beta and at the moment only a small fraction of users have access to it—on the order of hundreds of thousands—and some marketing professionals haven't been able to try it yet either.
"The first thing is we haven't had it, and the fact that it's in beta makes it almost nonexistent," said Natanya Anderson, director of social media at Whole Foods. "We have nothing to play with now."
Strategy in pipeline
Facebook is in fact working on this idea, as engineers look to incorporate metrics such as user comments and status updated to compile and rank results.
Meanwhile, companies that do want to take advantage of how Graph Search works should carve out local identities on Facebook, as opposed to relying on a larger corporate presence, panellists agreed.
"Brands that can reach users as quickly as possible and localize their content as quickly as possible will trump those who spend hundreds of millions of dollars," said Peter Fasano, senior vice president at Social@Ogilvy Atlanta, a technology consulting firm.
"If you're just pushing the same message out on your branded Facebook page that you're pushing on local Facebook pages, you're totally missing the boat," agreed Anderson.
Additionally, being able to see what the top searches are that are performed via Graph Search, in a fashion akin to Google Analytics, will help give businesses the information they need to improve their marketing efforts, speakers said.
Only ten days have remained for Tanzania domestic routes to face a hit up as low-cost flyer, FastJet, embarks on a move to increase its capacity by 50 percent, which will include the launching of two more domestic routes. From March 18 2013, FastJet will operate daily flights between Kilimanjaro and Zanzibar and Kilimanjaro and Mwanza.
According to fastjet’s management both routes have been highly requested by passengers and Tanzanian travellers. “Many of you have requested these routes, and we’re excited to be able to now offer you these new daily flights,” fastjet CEO Ed Winter said in a statement.
“Fastjet is very proud to be expanding our routes further across our first home in Tanzania. We’ve received huge support from all our customers, are committed to employing locally and enabling everyone to fly. We’re positively looking to increase our routes all the time, including introducing new international as well as domestic routes, and want to have a positive impact on low cost air travel in East Africa,” he said.
The firm, which launched operations in Tanzania in late November, said that demand for affordable and reliable air travel in Tanzania has been on the rise, posing a raft of investment opportunities.
The firm flew 26,387 passengers in February alone, recording a load factor — the number of passengers as a percentage of the number of available seats — of 81 percent. Since its launch, the airline had flown 84,716 passengers to February, 2013.
“FastJet’s excellent levels of punctuality and reliability continued through February, with 99.7% of flights arriving within 15 minutes of schedule, an average arrival delay of just 7 minutes, and no cancellations,” Mr. Winter said.
Commenting on the February statistics, FastJet, Mr. Winter said:“FastJet achieved an 81% load factor in February which clearly demonstrates continuing high demand for low cost reliable air travel in Africa.
Professor Makame Mbarawa, Minister for Communication, Science and Technology.
Tanzania government is set to use $ 10 million (Sh 16 billion), to connect more than 152 wards –comprising 1.6 million people in rural areas with mobile phone communication services. Four telecommunication service providers in the country have signed a contract with the Universal Communication Services Access Fund (UCSAF) to implement the project.
“October last year, the UCSAF invited sealed subsidy bids from eligible and qualified bidders for the provision of basic voice telecommunication services in underserved areas in the country –which saw four telecom firms win the tender,” said Prof Makame Mbarawa, the minister for Communication, Science and Technology, during a signing ceremony held in the city.
The winners are: Vodacom Tanzania, Tanzania Telecommunication Company (TTCL), Tigo Tanzania and Airtel Tanzania.
The minister said the government announced tenders for 152 wards –comprising 1.6 million people – worth $ 10 million (Sh 16 billion), of which only 52 wards were won by four communication services, covering only 316 villages worth a total subsidy of $ 5.8 million (Sh 9.3 billion) only.
UCSAF works to improve accessibility and participation in the provision of communication services in the country with a view of promoting social economic development of rural and urban underserved areas.
The initiative came following studies which discovered that more than 2,000 villages in the country lacked access to mobile phone communication services because it was not profitable for telecom service providers to invest there.
Top executives of Etisalat in a group photo with their trophies lifted up.
Zantel’s sister company, Etisalat, has repeated last year’s success at the most important annual gathering of the telecommunications industry by winning a major award for innovation.
The Middle East’s leading telecommunications operator won in the “Best Near Field Communication/Mobile Money Product” category at the GSMA’s Global Mobile Awards 2013 during the Mobile World Congress being held in Barcelona, Spain, from February 25 to 28, adding to three awards from the industry’s most prestigious competition last year.
“It’s wonderful to be recognised in this way at the most important event in the global telecoms calendar,” said Ahmad Abdulkarim Julfar, the Chief Executive Officer at Etisalat Group – who heads a delegation from 15 countries and three continents. “Giving communities the technology that enables their economies – and therefore societies – to progress is one of our core missions and winning this award is a sign that we’re on the right track.”
The winning product, Etisalat Commerce Programme – Flous, is an application for conducting a variety of financial transactions with a mobile device. It was also nominated for a prize in the “Most Innovative Mobile Application” category. “Flous” is Arabic for “money”.
Mr. Julfar added: “This award will motivate us to keep innovating and introduce new products that give entrepreneurs the tools they need to achieve their goals anywhere in the world.”
Flous brings together a wealth of services – varying from market to market – for customers and businessmen who like to take care of their finances on the move. The mix of services available includes utility, merchant and salary payments, domestic and international transfers, online purchasing, cash collection, bank transactions and ticketing.
Flous was developed in partnership with MasterCard and Oberthur Technologies and since 2012, it has been commercially available across a number of Etisalat countries.
“We are extremely proud of Etisalat’s Global Mobile Awards win at the Mobile World Congress”, said Michael Miebach, President, MasterCard Middle East and Africa. “Solid successful partnerships with leading regional telecoms operators in one of the fastest growing regions in the world enable us to quickly take mobile money applications such as this to higher altitudes. This in turn will help us achieve our goals of making everyday payments easier, safer and more convenient for individuals and merchants everywhere.”
Etisalat has operations in 15 international markets and over 139 million customers.
The judges’ criteria were that the product should be different from anything else available, easy to understand, reliable and consistent, and already on the market. The judges also wanted to see evidence that the product is popular with customers and conformity with industry standards.
In 2012, US $ 1.8 billion of financial transactions were completed through Etisalat Commerce. Around $ 18 million of this figure was made up by 5.7 million ticket sales for parking and the metro.
"Through these awards, we are proud to shine the light on the mobile industry’s many innovators and leaders, from all corners of the world,” said John Hoffman, CEO, GSMA Ltd. “This year’s new categories reflected the industry’s reach into many new sectors and we received more than 600 high-quality entries from across the mobile ecosystem. We would like to congratulate all Global Mobile Awards winners and thank the many hundreds of companies and organisations that support these awards by entering each year.”
A member of the judging panel said the product is “a stand-out entry in terms of the scale of deployment and comprehensive suite of m-commerce offerings across so many countries and different verticals. The open-loop system also makes it future-proof”.
He added that Flous is “an excellent mobile money product which has been very well tailored to serve local users”.
Another Etisalat product, Mobile Baby, aimed at helping pregnant women in developing countries, was also nominated in the “Best Mobile Product, Initiative or Service for Emerging Markets” and “GSMA Women Best Mobile Product or Service for Women in Emerging Markets” categories.
GSMA, an association for the world’s mobile operator community and broader industry organises the Mobile World Congress, the world’s biggest annual communications industry event.
On the other news, Etisalat has also joined the M2M (machine-to-machine) Multi-Operator Alliance, a coalition of companies that includes KPN, NTT DOCOMO, Rogers Communications, SingTel, Telefonica, Telstra and VimpelCom.
“Etisalat Group looks forward to working with our global counterparts to help shape M2M policy globally and to ensure enhanced development across the region,” said Khalifa Al Shamsi, Chief Digital Services Officer at Etisalat Group. “We believe this Alliance has great potential to create real value for our business customers, and we look forward to playing an active role alongside other global leaders.”
Later this month, Samsung will unveil its Galaxy S IV, the new smartphone which can tell when you have read to the bottom of a page and scrolls down automatically. Samsung’s latest smartphone, the successor to the best-selling Galaxy S III, will be unveiled at an event in New York on March 14.
According to employees of the company, the new feature will allow the phone to track the movement of your eyes down the screen and then offer you the next paragraph of text without you having to use your fingers to scroll. It is not known exactly what new technology will be used for the feature.
When the S IV is unveiled, it will be the first US launch of Samsung's flagship Galaxy phone in three years, as Samsung looks to step up competition in the crucial US mobile phone market.
The new Galaxy S model is expected to feature a higher-resolution display and camera than its predecessor, as well as a faster quad-core processor, various reports have said.
Eye-tracking systems have been in development for a while, and the S III has a feature called Smart Stay, which uses its camera to tell whether a user is looking at the screen - in which case it keeps the phone lit, rather than allowing the light to dim.
The first Pan-African low cost airline, FastJet, which currently operates only in Tanzania, has filed the suit against Donald Smith, head and partial owner of Five Forty Aviation Ltd. That’s after Smith last month withdrew the right to use the Fly540 brand, saying he was owed $7.7 million in unpaid bills and hadn’t received required safety information.
“FastJet is adamant that Mr Smith has been paid his full consideration and we will now ask the High Court of Justice to rule on this,” Chairman David Lenigas said today. “We sincerely hope that the process will be dealt with speedily so that the unnecessary and apparently contrived confusion surrounding control of the Kenyan operations can finally be put to rest.”
London-based FastJet, which began commercial flights Nov. 27, combined with Five Forty Aviation of Nairobi in June to gain access to rights in Ghana, Kenya, Tanzania and Angola.
The all- share deal was brokered by mining group Lonrho Plc, Five Forty’s majority owner, and backed by Stelios Haji-Ionnou, the founder of EasyJet Plc, Europe’s second-biggest discount airline.
Fastjet is optimistic that by mid March this year, it will add two more routes to its network, lifting capacity by 50 percent, with flights from the Tanzanian tourist hub of Kilimanjaro to the island of Zanzibar and to Mwanza on Lake Victoria. The services will be operated by its fleet of three leased Airbus SAS A319s.
The airline filled 81 percent of seats last month, carrying 26,387 people on its initial two routes from Dar es Salaam to Mwanza and Kilimanjaro.
Standard Chartered bank, which operates in 16 African countries, has finally revealed its commitment to Africa by planning to invest $ 100 million over the next three years, opening 110 branches on the continent and recruiting 950 consumer banking staff. The bank is also relocating its African business to Johannesburg from Dubai as it seeks to take advantage of higher growth rates on the continent.
According to bank’s spokeswoman, Vicki Robinson, traders covering Africa from Dubai would move “in due course”, to Johannesburg. Private equity, transaction banking and project finance teams covering Africa had already moved to Johannesburg, she said.
She said, Standard Chartered’ Sub-Saharan Africa team would be based in Johannesburg while the Middle East and North Africa team would remain in Dubai. The relocation seeks to boost profit on a continent where many of the 1 billion people do not have bank accounts.
Last year, the bank’s income from Africa rose 15 percent to $ 1.59 billion (R14.4 billion), with 10 countries posting profit growth of more than 10 percent, including Kenya, which gained 34 percent, and South Africa, which rose 28 percent. Revenue from Africa made up more than 8 percent of income last year.
The bank said last October that it planned to double revenue from its African business within five years. The lender, which gets a majority of its profit from Asia, has been expanding in Africa, India and China, where economies are outpacing developed nations.
Standard Chartered said on Tuesday that pretax profit inched up to $ 6.88 billion last year. Its stock is up 17 percent this year, making it the second-best performer of Britain’s five biggest lenders, trailing Barclays.
Chief executive Peter Sands is trying to attain revenue growth of at least 10 percent a year, while keeping expenses under control as the bank hires and adds branches in China and Africa.
Standard Chartered has been operating in Africa for more than 150 years and entered the United Arab Emirates (UAE) in 1958. It has more than 2 300 people in the UAE and prior to the relocation had over 200 traders in Dubai.
Following objection from the Tanzania Insurance Brokers Association (TIBA) and stakeholders in the industry, insurers have now agreed to set the motor vehicle premiums rates at between 2 and 7 percent from the proposed 3.5 and 9 per cent.
“These new development makes Tanzania to be the first country in the East African region to have the fair and lowest premium rate,” said the Commissioner of Insurance, Mr Israel Kamuzora.
The new rated premiums for motor vehicles will be operational by July 1, this year. The companies had in November last year made a proposal to the Tanzania Insurance Regulatory Authority (TIRA) to set minimum premiums at between 3.5 and 9 per cent of total value of the insured motor vehicles, which they wanted to be introduced on March 1, this year.
"Besides, since they will be implemented from July 1, 2013, there will be enough time to inform customers of the new premiums," Mr Kamuzora said.
He recently told the Corporate Digest that the local insurance industry has been operating without a baseline and this has been of concern to re-insurers and potential investors. “Apart from ensuring stability of the insurance industry, the new premiums aims at curbing malpractices such as premium undercutting,” he said.
According to Executive Director of the Economic and Social Research Foundation (ESRF), Dr Bohela Lunogelo, the adjustments will have an impact on prices of commodities since transporters will pass on the increased costs to consumers.
The Association of Tanzania Insurers (ATI) and TIBA said in a joint statement that the insurance industry, particularly the motor insurance policy, has experienced negative performance over the past three years.
In the meantime, in an effort to ensure fairness on insuring public and risk carriers, the market players have taken steps to engage services of actuarial firms to undertake a comprehensive study of the market behaviour and trends with a view to coming up with a scientific rating structure in the next ten years.
"The outcome of the actuarial evaluation is expected to bring about a reliably fair rate for all stakeholders and it will be made public once the study is completed," read part of the notice.
Earlier, insurance brokers had challenged insurance companies to justify the proposed hike, stating that they had not been involved in formulation of the new rates.
According to the statement, during 2009/2010 and 2010/2011, the insurance industry has recorded an underwriting loss amounting to 13.148 billion/- out of which motor insurance contributed for 6.243 billion/-, according to the statement.
"The figures for 2012 are projected to reflect a worse performance. However, the insurance industry in the country is still profitable when investment income is added back to the underwriting results," the statement said.
Mr. Jacko Maree
Jacko Maree (57) is stepping aside as Group Chief Executive of Standard Bank Group (SBG) after more than 13 years at the helm of Africa's largest bank.
Following a carefully planned management succession process, Mr. Maree retired yesterday (7th March) as chief executive, and resigned from the board of directors of Standard Bank Group, The Standard Bank of South Africa (SBSA) and Liberty Holdings. He will remain employed by the group as a senior banker focusing on key client relationships while not performing an executive or managerial role.
"The board expresses its deep appreciation to Jacko for his substantial contribution to Standard Bank over a career of more than 32 years, and is delighted that his skills will remain within the group,” said Group Chairman Fred Phaswana in a statement.
He said that under Jacko's leadership, the Standard Bank share price has increased from $ 2.2 (R 21) to $ 12.9 (R 118), the dividend per share is up almost seven times, and the group's market capitalisation has grown from $ 3.2 billion (R 30 billion) to $20.7 billion (R 190 billion).
Sim Tshabalala (45) and Ben Kruger (53) have been appointed joint Chief Executives of Standard Bank Group with immediate effect. Mr. Tshabalala and Mr. Kruger will be held accountable and responsible, both jointly and separately, for the management and performance of SBG.
Taking a step further in implementing its ambition to make mobile HD voice accessible in all its operations across the globe, Airtel, one of the leading telecommunications services provider has announced the launch of the mobile HD voice service for its subscribers in Africa.
"Mobile HD voice offers crystal clear audio quality and will enhance user experience on Airtel mobile networks. Surveys confirm that customers place a high value on HD Voice. Airtel is confident that the new service will enrich end-user experience for Airtel subscribers," said Andre Beyers, the Chief Marketing Officer, Airtel Africa.
He said that with this new development, Airtel, which has operations in 20 countries across Asia and Africa becomes the third operator to launch a mobile HD voice service in the continent. HD voice is the most significant improvement in voice communications in the past two decades.
According to Mr. Beyers, Mobile HD Voice enables high-quality voice calls because it reduces background noise often heard on a regular call. Airtel customers on 3G networks will experience a significant improvement in their voice communications as the new service will enable them to hear better in noisy environments.
To enjoy the maximum benefits of this new technology, both the calling and the called party need an HD-Voice compatible mobile phone. However, improvements in call quality are also perceived when using an HD voice-enabled phone to call a non-HD Voice phone.
The telecommunications company aims to make HD voice a reality on the continent. Further launches will be scheduled in 2013.
Mobile HD Voice based on AMR (Adaptive Multi Rate) Wideband technology (W-AMR) operates with nine different bit rates, providing high-quality voice calls. Compared to the current narrowband speech codec, the W-AMR speech-compression algorithm doubles voice bandwidth and produces better results.
After years of trials, HD Voice services were launched in 2009 and they are now available in 35 countries around the world. According to the results of a recent survey, 96% of customers are satisfied with HD Voice calls, hence the rapid pace of commercialization of the services across the globe.
First National Bank, CEO Dave Aitkens (centre) shares a light moment with Hans Lemm, General Manager, Kilombero Valley Teak company and Deepak Prabhu, Nihilent Technologies during the First National Bank India Africa Trade Meeting held for its customers recently.
Tanzanian Businessmen trading with Indian will no longer have a need for intermediary banks following the introduction of seamless banking by First National Bank Tanzania and FirstRand Bank in Mumbai, India, both subsidiaries of the FirstRand Group which is listed on the Johannesburg Stock Exchange. This was announced during the Afro- India Trade Corridor meeting held for First National bank Customers at the Southern Sun Hotel in Dar es Salaam.
“The Africa – India Trade corridor is an important trading bloc for Tanzania, and we are excited to facilitate the opening up of both markets for our customers and FirstRand Bank of India customers trading with Tanzania. As a bank we are providing a comprehensive solution that will save costs for our customers and also speed up trade between both countries” said Dave Aitken CEO First National Bank. He added, “FNB is continually striving to meet and exceed our customer’s needs by providing simple and competitive solutions to our customers.”
Statistics show that the bilateral trade between India and Africa recorded US$ 5.5 billion in 2001. However, the number doubled between 2005 and 2006 and reached 45 billion dollars in 2010. Over the past seven years, the total trade volume between India and Africa has grown as much as seven times more. They have set a target to take the two-way commerce to 70 billion dollars by 2015 backed by increasing the economic engagement between the two sides.
FirstRand Bank (FRB), based in Mumbai, India is a subsidiary of the FirstRand Group. The bank’s primary focus is to bank clients in the African trade corridor and is able to offer Investment and Transactional banking solutions. First National Bank Tanzania customers will benefit from utilising the various products and services with imports and exports to and from India through FirstRand bank in India.
The FirstRand Group has been operating for more than 170 years in providing innovative solutions in the banking sector. FNB has a vision of becoming Africa’s preferred financial services group of choice; Currently, FNB has subsidiaries in Zambia, Mozambique, Lesotho, Swaziland, Botswana and Namibia.
The bank offers a diverse set of financial products and services to the retail, commercial and corporate market segments ranging from the consumer, small business (SME), commercial and corporate inclusive of financial institutions, parastatals and government entities.
Few days after Tanesco’s acting managing director Felchesmi Mramba declared that the country will continue to experience intermittent power cuts for the next 18 months mainly on account of its running costs outstripping its revenue by far, India’s Kumar Group of Companies has expressed keen interest in investing in the installation of a 250-megawatt gas power plant in the Bagamoyo Special Economic Zone.
“One of my official responsibilities is to strengthen economic and other relations between Tanzania and India. I have been working hard to make members of India’s business community appreciate the importance of investing in Tanzania. At this time there is Kumar Group, which intends to build a 250- megawatt plant in the Bagamoyo Special Economic Zone,” The India’s High Commissioner to Tanzania, Mr. Debnath Shaw said recently in Dar es Salaam.
Mr. Shaw also revealed that there is another Indian company which has shown interest to invest in Tanzania’s energy sector, adding: “However, they need assurance of the availability of enough supply of gas that will be used to generate power for injection into the national grid to mitigate the shortage of electricity.”
Although the East African country has vast deposits of natural gas, it has been plagued by frequent power outages, which led to a slowdown in economic growth in 2011/12.
The state owned power utility, TANESCO, expects to break even in 2015 after the completion of a $1.22 billion natural gas pipeline, which is expected to boost generation of cheaper power.
It is anticipated that the gas pipeline will give a major relief not only to power generation but to the entire economy of Tanzania.
Currently, TANESCO spends 5.4 billion shillings a day on fuel to produce 365 megawatts of electricity from emergency power plants. Only 130 megawatts are currently generated from Kidatu, Pangani and Kihansi hydroelectricity sources. The prolonged drought could make the situation worse.
The country's average power demand stands at 750 megawatts per day and peaks at around 850 megawatts.
African Barrick Gold LPC announced on Wednesday that Kevin Jennings, Chief Financial Officer and Executive Director, is leaving the company to take up a similar role at a mining company in Canada.
The current Vice President of Finance, Jaco Maritz, will assume the day-to-day responsibilities of the CFO. Jennings will remain with ABG as part of the team overseeing the completion of the initial stages of the operational review.
"It has been a difficult decision to leave ABG, a company with both great assets and people. I have taken real pleasure over the past three years in seeing the business develop and believe ABG will continue to build on the strong platform we have established." said Kevin Jennings.
Greg Hawkins, Chief Executive Officer, added that "I have thoroughly enjoyed working with Kevin over the past few years as we have progressed ABG. Whilst we are naturally disappointed to see Kevin leave us, we understand his wish to pursue this new opportunity in his native Canada and wish him all of the best in his new venture."
Mr Jennings resignation comes only seven days after the mining firm appointed Kelvin Dushnisky as chairman of it’s the board of directors replacing Derek Pannell who served as acting chairman since June 2012.
Simon Martin, Vodacom’s customer department officer, handing some of the renewable pads, together with other sanitary wear to Getrude Boniphace a student at Barazani Primary School, Mbulu District, Manyara Region.
Tanzania School-going girls will now have a comfort-line during their academic undertaking following Vodacom foundation strategy to distribute renewable pads, together with other sanitary wear for free. In the undertaking, Vodacom foundation has also partnered with TMARC to implement the strategy which aims to cover a good number of teenage girls in the country.
This partnership aims at boosting self esteem to these girls, and also keeping them in school all year round. It is so sad to see some of the girls involve themselves in prostitution in order to get money for pads...we shall do our best to address this problem," Moris Shirimi, Public Relations Officer at TMARC said.
According to the recent research conducted by TMARC, it is estimated that school-going girls skip more than 80 schooling days per year due to lack of sanitary pads during their menstrual circles monthly periods.
Speaking in Barazani Primary School, Mbulu District, Manyara Region, where Vodacom Foundation donated renewable pads worth Tsh 7 million, Head of Vodacom Foundation, Yessaya Mwakifulefule, said that with this latest development, school-going girls will now have the comfort line that they require, hence perform well in academics.
"We shall continue doing so in other areas across the country to make sure that our girls go to school without failure," said Mr. Mwakifulefule.
Ms. Grace Lyon, Vodacom Foundation Manager, also said that, "We want these girls to know that having menstrual circles is not being sick at all. This is something natural and the way we handle it is what matters. We are grateful to all that we have worked with to make sure this initiative becomes a success”.
At the same time, Vodacom Foundation offered to build classrooms in the same school, following a request by Maghay Location Education Coordinator, Festo Sule.
Minister of Health and Social Welfare Doctor Hussein Mwinyi (left) receives a dummy cheque worth TShs 10 million from the Managing Director of Sayed Corporation Limited Sayed Masoud.
Sayed Corporation Limited have donated Tshs10million and 30 bicycles to Geita headquartered foundation, Victoria Foundation, aimed at supplementing the governments efforts in taking care of vulnerable children and the elderly since the government’s resources and facilities are overwhelmed.
Speaking during a short ceremony to witness the handing over of the donation, Dr Mwinyi said that the needs of these vulnerable children are far outstripping the existing infrastructure and financial capacity that the government currently has, therefore a helping hand is urgently required.
“Tanzania is very huge with a population close to 45 million people. There is no way that the government can take care of all the needy children on its own. This is where organizations, be it Non Governmental Organizations (NGOs), faith-based organizations, private organizations of individuals should come up and give the government a helping hand,” he said.
He further said; “On behalf of the Government, I am greatly delighted to see organizations like Victoria Foundation voluntarily taking a bold step of providing for this special group, giving them hope and joy of living as other children.”
During the occasion, Dr Mwinyi also contributed 1m/- to the foundation.
On his part, the Managing Director of Sayed Corporation Limited, Mr. Sayed Masoud said that the donation is the first step towards future support to the foundation. “I urge Victoria Foundation management to observe honesty and diligence when handling the aid extended to the foundation by ensuring that it reaches the targeted groups,” he said.
Ms. Vicky Kamata, the founder and Chairperson to the Foundation, expressed her gratitude to Sayed Corporation for the support, assuring the donors that the aid would help the foundation attain its objectives.
According to Vicky, the Geita Based Foundation which currently takes care of 32 children, strives to improve the quality of life and advance the rights of the children and the youth by promoting lifelong learning principles among the youth for sustainable development, as well as create an environment around the children and the youth that promotes self-reliance and long-term sustainable development.
The foundation also strives to promote School-Health Program among the children and the youth.
“The Foundation has a dream and expectations of putting a smile in the faces of needy children, giving them hope of a better life and seeing that they live a decent life thereafter. This support from Sayed Corporation will go a long way in supporting the realization of this dream,” she said.
While some computer users may actively seek pirated software in hopes of saving money, their chances of infection by unexpected malware are one in three for consumers and three in ten for businesses, according to a new study commissioned by Microsoft Corp and conducted by the International Data Corporation.
As a result of these infections, the research shows that consumers will spend 1.5 billion hours and $ 22 billion identifying, repairing and recovering from the impact of malware, while global enterprises will spend $ 114 billion to deal with the impact of a malware-induced cyber-attack.
Africa, Tanzania inclusive, is by no means exempt from the issue of counterfeit goods. “According to the 2011 BSA Global Software Piracy Study, the commercial value of unlicensed software installed on personal computers in Eastern and Southern Africa (ESA), which excludes South Africa, reached $ 108 million in 2011 as 83 percent of software deployed was pirated,” says Eric Odipo, General Manager at Microsoft East and Southern Africa.
He further said that; “Aside from the economic impact of piracy, these violations could also have serious health and safety implications to the public, particularly when it comes to purchasing fake medicines, cosmetics, surgical equipment, food, cigarettes, alcoholic drinks, vehicle and aircraft parts, to name a few.”
The global IDC study analyzed 270 websites and Peer-to-Peer (P2P) networks, 108 software downloads and 155 CD/DVDs, and interviewed 2,077 consumers and 258 IT managers or CIOs in Brazil, China, Germany India, Mexico, Poland, Russia, Thailand, the United Kingdom and the United States.
Researchers found that of counterfeit software that does not come with the computer, 45 percent comes from the Internet, and 80 percent of this software downloaded from Web sites or P2P networks included some type of spyware, while 36 percent contained Trojans and adware.
According to David Finn, Associate General Counsel of the Microsoft Cybercrime Center, the cybercrime reality is that counterfeiters are tampering with the genuine software code and lacing it with malware.
“Some of this malware records a person’s every keystroke -- allowing cybercriminals to steal a victim’s personal and financial information -- or remotely switches on an infected computer’s microphone and video camera, giving cybercriminals eyes and ears in board rooms and bedrooms. The best way to avoid this toxic malware threat when you buy a computer: demand genuine software,” he said.
The IDC study, titled “The Dangerous World of Counterfeit and Pirated Software,” was released yesterday (Wednesday, 6th March as part of Play Fair Day, Microsoft’s global initiative to bring awareness to issues related to software piracy.
“Our research is unequivocal: inherent dangers lurk for consumers and businesses that take a chance on counterfeit software,” said John Gantz, chief researcher at IDC. “Some people choose counterfeit to save money, but this ‘ride-along’ malware ends up putting a financial and emotional strain on both the enterprise and casual computer users alike.”
Among the highlights from the consumer survey:
64% of respondents’ acquaintances who had used counterfeit software experienced security issues;
- 45% of the time counterfeit software slowed their PCs were slowed and the software had to be uninstalled.
- 48% of respondents noted that their greatest concern with using counterfeit software was data loss;
- 29% were most concerned with identity theft.
Embedding counterfeit software with dangerous malware is a new method for criminals to prey on computer users that are unaware of the potential danger.
The IDC white paper also explored the surprising level of end-user software installations made on corporate computers, exposing another method for the introduction of unsecure software into the workplace ecosystem. While 38% of IT managers acknowledge that it happens, 57% of workers admit that they install personal software onto employer-owned computers.
Alarmingly, respondents told IDC that only 30% of the software they installed on their work computers was problem-free. Sixty-five percent of IT managers agree that user-installed software increases an organization’s security risks. For many in the enterprise, user-installed software may be a blind spot in ensuring a secure network.
As from the end of March, Apple stores around the world will be filled with a smartphone app that uses a phone's camera to analyse urine and check for a range of medical conditions.
The smartphone app which has been unveiled at the TED (Technology, Education and Design) conference in Los Angeles can tests for 25 different health issues and could help diagnose and treat diseases in the developing world, Tanzania inclusive. Increasingly mobile health is being considered for use as a lifesaver in these areas.
"The idea is to get people closer to their own information. I want people to better understand what is going on with their bodies." Medical entrepreneur, Myshkin Ingawale, the Pioneer of the app said.
The app will be sold at $ 20. The cost will include the cost of the mat and five dipsticks.
During diagnosis process, urine can be tested for the presence of 10 elements - including glucose, proteins and nitrites. These can be used to pinpoint a range of conditions including diabetes, urinary tract infects, cancers, liver problems as well as being used to keep track of general health.
Users need to collect their urine and dip a standard test strip into it. The strip is placed on a mat - supplied with the app and intended to normalize the colors on the stick regardless of lighting conditions where the photo is taken.
Once the photo is taken the app will analyze which, if any, condition, the color applies to.
The President and Asset General Manager for Barrick Gold East Africa, Mr. Derek Hudson has recently said that Tanzania has a great opportunity in oil and gas than other East African countries due to the availability of underground deep water. “We are very encouraged with the resent and the ongoing discoveries in oil and gas. My company is well set to continue investing in Tanzania especially in oil and gas exploration activities.”
So far around $ 2 billion has been invested by BG East Africa in oil and gas exploration activities in Tanzania. According to Mr. Hudson, the current investment his company was making will be able to produce oil and gas between 2021 and 2022. “The East African country stands at a better chance of growing in the oil and gas industry in few years to come,” he said.
Mr. Hudson however pointed out that the public need to be patient in the development of oil and gas due to the fact that these investments take time to benefit countries.
He further aid that BG East Africa will as well focus much on training and offering scholarships to Tanzanians with the aim of equipping indigenous relevant expertise in the oil and gas sector.
So far the company has spent around $ 40 million on vocational training of Tanzanians in Lindi and Mtwara located on the Southcoast of Tanzania equipping the locals with skills which will later make them have access to jobs in the gas and oil sectors.
“Both oil and gas sectors needed well trained personnel and it is important for locals to be empowered with such trainings in order to make them access jobs in oil and gas sector in the country,” Dr. Antony Wyatt, a Geologist with Robert Gordon University in the UK said.
Dr. Wyatt said that for oil and gas industry to develop in the country it has to start with foreign expertise who will later train and transfer such expertise to locals. "Oil and gas companies invest for years and short term gains are not good for both the government and oil companies" he said, adding that BG East Africa is willing to build business with government in conjunction with the public that would aim at growing the country's economy.
If all goes well, Tanzania will spend between $ 700 and $ 1,000 million to finance infrastructure projects, being mainly roads. The country is just waiting for credit rating anytime from now prior to the issuance of a Eurobond of the said amount. The consultant--Citigroup--is now arranging for the rating from two out of three renowned credit rating agencies in the world.
“Through Citigroup consultation, the country looks ahead to the credit rating and hopes to launch the sovereign bond,” Bank of Tanzania (BoT) Governor Prof. Benno Ndulu said in Dar es Salaam.
According to Professor Ndulu, the country will be rated by two firms out of three reputable in the world. The big three credit rating agencies are Standard & Poor's (S&P), Moody's, and Fitch Group. S&P and Moody's are US-based while Fitch is dual-headquartered in New York City and London, and is controlled by the France-based FIMALAC.
Professor Ndulu's clarification follows international media report that the country has shelved her plan to launch the Eurobond and instead plans to issue a 600 million US dollars international bond--under private placement. The placement was arranged by Standard Bank--locally known as Stanbic Bank.
“The country's rate of 600 basic points plus Libor totalled to 6.46 per cent per year was the best compared to other Africa's Eurobonds terms of between seven and eight percent. So I don't know what comparison they (critics) are using to gauge our interest rates that are expensive," Prof Ndulu said.
The country’s private placement was received by international critics who said the bond failed to trade relatively good as the country is not rated terming it as a disaster and cheap. The bond, according to global money analysts, was priced at 600bp over Libor, meaning that Tanzania ended up paying up to 200bp more.
The amount was high compared to issue liquid fixed-rate five-year bullet transaction based on where peers like Zambia and Ghana are trading. Tanzania has swatted international capital market critics saying its 600 million US dollars bond under private placement was not an about-turn to issue a debut Eurobond as these are two separate issuances.
By Corporate Digest Correspondent.
STREET vendor, Adam Ramadhani, was shocked to learn he had emerged one of two Tsh5 million winners, taking home the large sum courtesy of Vodacom Tanzania’s ongoing countrywide “Mahela” promotion. Ramadhani, 20, a resident of Gongo la Mboto in Dar es Salaam, had until his big win been selling shoes in the city’s streets.
Speaking to reporters in excitement following the announcement of his big scoop in Dar es Salaam yesterday, the young vendor said that compared to his win he had invested only Tsh. 300,000 as capital for his business.
“To be able to run a business in the current market situation you need substantial capital, and for people in our type of business you have to be mobile to reach customers, and there are times when you go home empty-handed. My dream has now come true; I will acquire a business licence, rent space, and be able to order sufficient stock to strengthen my business.”
He thanked Vodacom Tanzania for running the promotion which is clearly turning around personal fortunes of many individuals, boosting their finances, and ultimately improving their lives, urging more Tanzanians to take part.
“I have spent a long time trying to build up capital without success. I’m grateful to Vodacom Tanzania for this promotion; I will now be able to establish a more stable business. I encourage other youths to participate in the promotion; I have proven that when you take part, winning is assured.”
Another Tsh. 5 million winner in the same promotion was Rashid Kagombora of Bukoba rural in Kagera. Other nine winners took home Tsh. 1 million each. The nine winners from this week’s pool are Msimbano Laurian (Mtwara), Deograsia Mrutu (Morogoro), Emmanuel Ndunguru (Ruvuma-Mbinga), Rose John (Mwanza), Queenbesta Bitesigirwe (Bagamoyo), and Athanasio Nghambi (Dodoma). Others are Khalid Mashauri (Dar es Salaam), Fikirini Msumi (Dodoma), and George Tano (Dar es Salaam).
In his remarks, Vodacom Tanzania’s Head of Brand, Marketing and Communication, Kelvin Twissa, in addition to congratulating Adam urged other customers to participate in the promotion which is nearing its end, saying everyone has a chance of winning.
To participate, a customer needs to send the word “Mahela” to 15544.
One of the world leading providers of communications and technology services, ERICSSON, through its annual programme of assisting the community, with emphasis to marginalised rural areas has donated computers worth Tsh 30 million to KADEA Secondary School in Kagera Region.
"Better communication facilities promote dissemination of information and make people aware of what is happening in their environment and beyond. "As for students, modern communication facilities help them to make use of the internet based communication outlets and get some vital information needed in their studies," Mr. Echezana Ozumbe, Ericsson's Project Manager in Tanzania said.
He noted that since the company specializes in providing communications and technology services, its priority has been in assisting the community in this sector, guided by the belief that improving communications is a catalyst of development in other sectors, whose impact is likely to lead to improved lives of the people.
‘This is part of the company's corporate social responsibility (CSR) programme for 2013,” he said.
The Headmaster of KADEA secondary school, Mr. Salim Mbazile, thanked Ericsson for donating the computers to the school and assured the company that they will be used effectively to ensure the students gain competence in the use of the technology.
Commissioner General of Tanzania Authority (TRA) Harry Kitilya (left) and Director General Customs Services of the Democratic Republic of Congo (DRC) Deo Rugiza Magera sign a memorandum of understanding (MoU) in Dar es Salaam last year to enhance smooth flow of transit goods through the Dar es Salaam port with the ultimate goal of cutting down cost of doing business.
The government of Democratic Republic of Congo (DRC) has invested about $ 21,000 (Tsh 33.6 million) in putting up the customs office in Tanzania that will be responsible for monitoring transportation of all cargos that are destined to the land locked country.
The eastern part of DRC mostly imports goods such as fuel, manufactured goods and garments through the port of Dar es Salaam and at the same time use the port for export of its minerals to China and Europe.
“The office would effectively keep an eye on the flow of goods between the two countries. The office is connected through the Asycuda system of the TRA which will enable us to trace cargo once cleared at the Dar port to the time it arrives in DRC," said the DRC Ambassador in Tanzania, Mr. Juma Mpango. He added that the customs office is to act as the agent of the DRC's Customs Department. This is among several efforts by the country to facilitate customs procedures for cargo transported through the port of Dar es Salaam.
Over the past few years, traders from DRC have been complaining over theft of cargo at the port of Dar es Salaam while at the same time traders have also been accused of dumping goods in Tanzania that were originally meant for transit to DRC.
"The custom office that we are opening will enable us to trace goods changing hands between the two countries and it will also help us to check substandard goods from entering any of the two countries", Mr. Mpango said during the ceremony.
He further said that traders for instance, have been channelling fuel meant for transit to the DRC in the local market and thus causing loss of revenue to Tanzania. The envoy said opening of the office is a good gesture towards proving excellent relations in trade between the two countries.
Opening of the customs office follows an agreement reached between the TRA and DRC's Customs Department and inked in August, last year. The DRC's Commercial Attaché and Customs Representative, Mr. Peter Molisho Bolinde, said the office will go a long way in promoting cooperation between the Tanzania Revenue Authority (TRA) and DRC's Customs Department.
"Through this office, custom officials from DRC will also get an opportunity to be trained at the Tanzania Tax Institute. In the past we have been training our officials in Germany," Mr. Bolinde said.
He further said that the customs office will also be responsible for securing transit cargo to DRC through the transport chain from the port of Dar es Salaam.
The port of Dar es Salaam is very crucial for the economy of DRC, particularly the Eastern part of the country, accounting for almost 60 per cent of cargo. Durban port and Walvis Bay of South Africa and Namibia, respectively, also serve DRC to some extent.
Mr. Sunil Colaso, the newly appointed Managing Director (MD) of Airtel Tanzania
Bharti Airtel, a leading telecommunications services provider with operations in 20 countries across Asia and Africa, announced the appointment of Sunil Colaso as the Managing Director (MD) of Airtel Tanzania with effect from March, 04, 2013.
“Tanzania is a key market for us and our ambitious long term plans will be realized through great leadership as well as best-in-class execution. I am therefore pleased to see Sunil Colaso coming in to take this business to the next level of success,” Jayant Khosla, CEO - Airtel Africa Anglophone Region said.
He said that, Mr. Sunil is not just an excellent individual but brings along deep and broad experience in driving growth across Africa. His dynamism, passion, energy and focus make him the right person to meet the expectations of millions of discerning consumers in Tanzania.
In his new role, Mr. Colaso will be responsible for strengthening Airtel Tanzania’s leadership in both network availability and quality.
His mandate consists of further strengthening data and Value added service provision in line with global benchmarks and ensuring that Airtel Money becomes the preferred M-Commerce platform in the country.
Mr. Colaso, who holds an MBA in Marketing from the University of Mumbai, has over 22 years of experience in marketing, distribution and sales. Prior to this appointment, he has been the Director for Marketing and Distribution across 17 countries in Africa. Before joining Airtel Africa, Sunil acted as Managing Director for Warid in Uganda.
Mr. Colaso takes over from Sam Elangalloor, who has successfully led the operations at Airtel Tanzania for the past couple of years.
Mr. Sam, who joined Airtel Tanzania in July 2010, has built a strong team in Tanzania which has put in place systems and processes for driving sustainable, profitable growth.
He will be returning to India to take up another assignment at the end of April 2013 after a smooth hand-over.
“I wish to thank Sam for his great contribution to the Tanzanian business; he has laid a solid foundation for the long term growth of the business and will be remembered by the team in Tanzania for his inspiring leadership.” Mr. Khosla said.
Mr. Sam’s key achievements include building the best network in Tanzania, building significant traction with Airtel Money within a very short time and a very successful 3.75G launch.
During his tenure, Mr. Sam has been instrumental in fostering cordial relationships between Airtel, its stakeholders and the Government of the United Republic of Tanzania.
Bharti Airtel Limited is a leading global telecommunications company with operations in 20 countries across Asia and Africa. Headquartered in New Delhi, India, the company ranks amongst the top 4 mobile service providers globally in terms of subscribers.
The company's product offerings include 2G, 3G and 4G wireless services, mobile commerce, fixed line services, high speed DSL broadband, IPTV, DTH, enterprise services including national & international long distance services to carriers. In the rest of the geographies, it offers 2G, 3G wireless services and mobile commerce.
The company has over 264 million customers across its operations as at the end of January 2013.
The Exim Bank Assistant Marketing Manager Anita Goshashy (right) handing over Exim Bank - Tumaini account details to the wife of the Prime Minister Mama Tunu Pinda (left) during the 2013 Women celebrations sponsored by Exim Bank at the weekend.
One of the fast growing banks in the country, EXIM Bank Tanzania, has pledged its continued support for women empowerment in a various parts of the country, in a bid to support long-term economic growth.
“Economic empowerment for women is crucial if the country is to achieve sustainable economic development. Exim Bank has got tailor-made banking products specifically designed to cater for women empowerment,” Exim Bank Assistant Marketing Manager Anita Goshashy said during the Women Celebrations 2013 in Dar es Salaam.
Ms. Goshashy said economic empowerment of women helps to enhance their contribution to the growth of the country’s economy urging that increased opportunities for women leads to better outcomes for families, societies and the country at large.
She said that, Exim bank had until December last year spent over Tsh 21 billion to support women through its Women Entrepreneurs Financing Programme (WEF). “We chose to empower women because we believe women have a role to play in the country’s economic development. If a woman is economically empowered, the nation is assured of healthy households which would contribute to the socio-economic development processes.” she added.
According to Mr. Goshashy the bank has also empowered women engaging in small and medium enterprises with basic skills on creating sustainable and profit making businesses.
Earlier, the Prime Minister’s Wife Mama Tunu Pinda who officiated as Guest of Honor for the event challenged women to invest in agriculture since the sector has ready market.
“Women should invest in agriculture because market for agricultural products is always there. Time to invest is now. Don’t wait until you retire. Invest now,” she said.
Old Mutual, the Anglo-South African insurer, which last year bought the life insurance unit of Nigeria's Oceanic Bank, plans to buy minority and majority stakes in businesses in East and West Africa over the next three to five years. The company wishes to spend about $551, 2 million (R5billion) in its expansion drive.
“We want to cash in on growing demand for insurance across the region as rapid economic growth, fuelled in part by the natural resources boom and increases consumer spending,” Old Mutual’s Chief Executive, Julian Roberts said.
The company, which reported higher-than-expected profit, believes that the prospects for growth in Africa are underpinned by sustainable, structural factors. “The continent's economic output is forecast to have quadrupled to $2 trillion between 2000 and 2012,” said Roberts.
Old Mutual, which owns insurance, banking and fund management businesses across four continents, said adjusted operating profit for 2012 rose 18 percent to 1.6 billion pounds, narrowly beating the 1.57 billion pounds expected by analysts in a company poll.
According the to the company, the improvement was driven by a strong performance from Nedbank Old Mutual's majority-owned banking business, where profit rose by nearly a quarter to 828 million pounds, and good growth at its emerging markets businesses.
In the year ending December 2012, the company ‘s asset management unit in the United States took in 900 million pounds of client money compared with an outflow of 3 billion in 2011, its first positive annual inflow since 2007.
The company, which last year deferred plans to float the U.S. asset management business, said the unit was not yet ready to go public.
The disposals partly reversed an international acquisition spree Old Mutual began in 1999 to reduce its dependence on its historic home of South Africa.
The giant social network, facebook Inc has sealed a deal with Microsoft to buy Microsoft’s ad network Atlas for something under $ 100 million.
Facebook relies on ads as a large source of revenue and it makes sense that it would want to expand its outreach when it comes to ads. Microsoft itself hasn’t been making large profits on its ad network and posted losses for it recently so the deal was a good one as far as Microsoft is concerned.
Experts says, with the Atlas Solutions in hand, facebook will now be able to increase the effectiveness and accuracy of its ads but it also means that the information will be used (in aggregated form) on much wider scale.
“Online activity when signed into Facebook will have a broader impact. Security and privacy is likely going to be questioned and Facebook is going to have to deal with it head on,” experts say.
Google Adsense is one of the most common and widespread ad networks online. Facebook’s current plan is to go head-to-head against Google.
Facebook had limited to showing ads on its own website only. These ads were targeted based on a user’s likes and their activity. The company had only its own data to use when showing ads.
To expand to a larger audience facebook needed good metrics that are already in place. The metrics provided by Atlas coupled with the user specific information that Facebook has on users will make for some great ad placement.
Finish cell phone giant, Nokia, has partnered with Bharti Airtel in order to customize Nokia Xpress Browser for Airtel customers on compatible Nokia handsets.
Nokia Xpress Browser is a cloud assisted proxy browser that supports mobile form factors such as QWERTY, touch screen, non-touch, and touch-and-type devices.
Nokia said in a statement that its Xpress Browser is and will be included on all its existing and future Nokia Series 40 devices.
The finish cell phone giant is offering the browser in 87 languages in more than 200 countries.
The Nokia-Airtel customers will be upgraded to the latest version automatically. The browser will be launched during the next week.
Before introducing its Xpress Browser, the Finnish cell phone giant was offering Opera Mini browser on its selected handsets in India.
Airtel had already made similar agreements with Opera Software to provide a customized Opera Mini web browser to its mobile subscribers in India. Opera has also made agreements with Tata Indicom, Idea, and MTS in India, as well as with Vodafone in South Africa, Egypt, India, Turkey and Tanzania, to push its browser.
Trading activity at the Dar es Salaam Stock Exchange (DSE) has improved significantly where 611,024 shares were transacted during the week, a 3.56 percent per cent rise in comparison to 590,745 shares traded in the preceding market.
The Tanzania Securities Limited (TSL) weekly market commentary shows all Indices closing in green where the Tanzania Share Index (TSI) settled at 1,515.57 points, a 1.77 up while the Dar es Salaam Stock Exchange All Share Index (DSEI) had 1,505.76 points, equivalent to 0.42 per cent gain
The turnover at the bourse also improved to Tsh 572 million, a 102.12 percent gain, compared to the previous session's performance that recorded Tsh 283 million.
The Banking segment Index settled 1,236.06 points, a 4.64 per cent stronger than previous week due to gains made on CRDB and NMB counters with 1.69 percent and 10.71 percent gains respectively.
The Industrial and Allied Index strengthened to 1, 834.11 points, a 0.69 increase buoyed by TCC counter that gained Tsh 200 to Tsh 5,200. However, TBL and Swissport lost Tsh 20 and Tsh 40 to close the week at Tsh 3,080 and Tsh 1,820 per share respectively.
According to the bourse about 69 percent of total turnover and 88 percent of the market activity by the banking sector was moved during the week. CRDB counter had 236,388 shares transacted during the week at an average price of Tsh 155 million. NMB ended the week at higher price than last week's Tsh 1,200 from Tsh 1,180 of last week.
"We anticipate some liquidity shift to enhance support for stocks in the short run. Banks notably NMB and CRDB are set to record more support following recently issued 2012 financial results," stated the report.
Foreigners will continue to hold solid positions on NMB and CRDB as these counters still have room for them to participate.
Foreign contribution on the counter was 27 per cent of the counter's turnover. During the week, Twiga traded 29,459 shares at 2,600/- per share. The counter was the most active counter among the Industrial segment. The counter transacted 298,265 shares.
A total of 15,065 Swissport shares exchanged hands at a price range of between Tsh 1,800 and Tsh 1,820 per share. Simba counter had 2,400 shares traded at Tsh 2,400 per share.
TBL counter transacted 29,430 shares at price range of between Tsh 3, 100 and Tsh 3,080 per share. TCC traded 450 shares at Tsh 5,200 per share.
Following the poor performance of Tanzania Zambia Railway Authority over the recent years, the board of directors has firmly decided to re-organise the management as well as re-capitalize the company by dishing out a sum of $ 64 million.
"We are aware that the company is in dire need of re-capitalization and to this effect, the Zambian government will immediately release $ 32 million dollars towards urgent rehabilitation work and working capital required," the board chairman of TAZARA, Dr Muyenga Atanga said, adding that the Tanzanian government will match the amount in the next budget commencing on April 1, 2013.
To make the reorganization work, the board has also appointed three watchdog sub-committees to seek for new ways of re-invigorating the operations of the company.
According to Dr. Atanga, the move is aimed at seeing to it that TAZARA's performance which has dwindled drastically over the years from carrying 1.2 million metric tonnes of cargo and over one million passengers in 1986/87 to less that 340,000 metric tonnes of cargo and around 900,000 passengers in 2011/12 financial year, regains its lost glory.
Following the signing of the pacts between Muhimbili National Hospital (MNH) and National Microfinance Bank (NMB) the present system of paying cash directly to the hospital cashier will be discarded. The new medical billing system will now require a patient to make payment deposits at an NMB pay point, get a receipt and present the same as evidence before being attended to.
According to MNH executive director, Dr Marina Njelekela, an agreement between the bank and her hospital were reached earlier in January this year after which the preliminary trials were successfully carried out leading to the approval for the launch on March 11, this year.
“This new system of payment is more specifically expected to increase the financial capacity of the hospital over the recurrent budget from 58 percent to 72 percent in the 2013/2014 fiscal year,” she said.
The patients, under the new payment system, will now be required to obtain a ‘medical bill note’ issued by the MNH staff indicating the cost of the required service and then they are to make the payment at the new NMB payment stations and secure a payment receipt before they are entitled for treatment.
She explained that, three NMB pay stations will be strategically placed in and around the hospital. Two will be located in the newly constructed outpatient block and the other in the X-ray building.
The NMB sponsored service will be provided from 8am up to 4:30pm - Monday to Friday and 8.30am to 2.30pm on Saturdays. When these stations are closed, then the hospital will resume its former payment system, she said.
The Muhimbili National Hospital was recently upgraded to a Super Specialist Scale Hospital in accordance to the World Health Organisation set standard ratio of 1:10,000 that is a specialised doctor for every 10,000 patients.
The Zonal Manager for NMB Dar es salaam, Salie Mlay, clarified that the system would allow patients to pay their medical bills at any NMB branch countrywide provided the patient has the hospital issued bill note. In other words, one may get checked and diagnosed in one place and a third party may make the payment for the patient from a remote location.
With the rapid increase of mobile banking in Tanzania, central bank, (BoT) has been looking at new ways of streamlining and making the process better for users and telecom operators, as well as ensuring the banking sector is not lost in the process.
In a move, the central bank has recently introduced the guideline that tightens control over mobile money in the country. “The lack of supervision in the sector leaves room for the possibility of illicit activities such as money laundering or the financing of terrorism,” says the central bank in a statement.
According to the central bank, the new regulations which were drafted last year in a bid to enhance the sector’s stability and security would take effect in June this year.
BoT says the financial services regulations will eventually improve the oversight of mobile payments and the service providers that facilitate them.
Tanzania has witnessed an increase in the number of users engaging mobile money platforms and the central bank said it was time to create better systems for the operators and customers that will allow smooth business undertaking.
The Tanzania mineral and developing company, Kibo Mining plc, has appointed XCAP Securities plc as the Company’s new joint Corporate Broker, with immediate effect. XCAP will not only fulfil the role as joint broker but will also act lead broker for as long as Kibo maintains a joint broker status.
“We are pleased to engage with XCAP as our new lead Corporate Broker. We are particularly impressed with XCAP’s insight and understanding of Kibo’s short, medium and longer term funding requirements and we are looking forward to working with XCAP in this regard” Louis Coetzee, Chief Executive Officer of the Company said.
Kibo was established in early 2008 to explore and develop mineral deposits in Tanzania, East Africa. The mineral assets of the Company now comprise five projects in Tanzania - Haneti (nickel, PGE and gold), Morogoro (Gold), Lake Victoria (Gold), Rukwa (Coal) and Pinewood (Coal & Uranium) which give Kibo access to 38,000 km2 of early stage exploration licences in Tanzania's premier gold mining region, the Lake Victoria Goldfield, within the emerging gold exploration regions in eastern Tanzania and uranium and coal regions in south-western Tanzania.
The Rukwa and Pinewood projects will provide Kibo shareholders with exposure to an attractive portfolio of strategic energy assets in Tanzania. Importantly, they are situated within and close to the Mtwara Corridor, an area where the Tanzanian Government has committed to significant infrastructure development and which has seen recent multi-million dollar investment in coal and coal-fired power stations and uranium exploration.
The Rukwa project is substantially more advanced than Kibo’s existing exploration projects, with a significant Mineral Resource of thermal coal already defined. This provides nearer term development and commercialisation potential, complementing the earlier stage existing projects held by Kibo. This is further supported by the memorandum of understanding that has already been entered into with a major Asian conglomerate for the development of a coal mine and mine-mouth coal-fired power plant based on the Rukwa project.
In addition, the Pinewood project encompasses a significant ground holding of prospective Karoo sequence sedimentary rocks. These sediments are attracting considerable interest from international companies exploring for uranium and coal mineralisation following some notable discoveries in recent years.
Kibo's objective is to build shareholder value in a sustainable manner. This objective will be pursued primarily through active exploration of its own projects and by using the Company's experience in Tanzania to acquire attractive exploration and development assets on competitive terms that can be moved swiftly up the value curve by using the Company’s own skills base whilst also seeking to benefit from strategic collaborative relationships with industry leaders who have special skills and competencies within their chosen fields of focus.
Kibo will undertake continual risk assessment of its projects and take whatever actions it believes are necessary to ensure that these risks are mitigated.
President to the Institution of Engineers Tanzania (IET), Eng. Dr. Malima Bundara speaks during engineers’ public meeting held at the weekend in Dar es Salaam. From his immediate right are former IET president Eng. Ladislaus Salema, seconded by IET Treasure Eng. Rizwan Qadri and Secretary to the institute Eng. Swaleh Kassera.
TANZANIA’S economic growth will still hangs in balance if Government does not take stern measures to build capacity for local engineers, the Institution of Engineers Tanzania (IET) has warned.
“The backbone of every country’s economic growth is pegged on availability of a strong and well elaborate infrastructure. Infrastructural development and industrial growth lie in the hands of engineers. If the Government and its institutions make good use of competent local engineers, a quick transformation on the country’s economic landscape will be felt,” the IET President Eng. Dr. Malima Bundara said.
He said that engineering sector is facing many challenges but such challenges will only be solved if local engineers are incorporated in the problem solving equation.
“We should not deceive ourselves that foreign engineers will find lasting solutions to our problems. They come to make money and take it back with them. The only thing to do is build capacity of our local engineers,” he said.
Bundara cautioned the Government against neglecting local engineers in trying to look for solutions to the current and looming development setbacks facing the country. And engineers on the other hand should abstain from complaining without taking pro active direction in the improvement of the national economy.
The warning was made by a cross-section of engineers who attended the engineers’ public meeting on re-engineering IET and role of engineers in Tanzania’s current challenges as far as employment, education, abuse of engineering profession and natural resources are concern.
Currently, IET is embarking on building capacity for local engineers phase 2 so as to be enable them give professional solutions to issues associated to their professional fields, which also have direct effect to the country’s economy.
Eng. Ladislaus Salema, former IET President, wondered why a country like Tanzania endowed with abundant minerals and natural resources in varying intensities, is still struggling to create jobs and is ranked among the developing countries.
He wanted the Government to work closely with local engineers in unlocking unemployment challenges in the country.
Eng. Shabbir Khataw (IET member) on the other hand warned his fellow engineers against laziness, saying that some of graduated University engineers like to sit in offices instead of practising to gain skills, a habit that he said would not give them room to improve on their expertise.
Similarly, IET has expressed concern over this year’s massive form four failures and that these results will have a direct impact on the universities output in general within a few years to come.
The engineers pointed out that the poor results will greatly affect the number of students going for higher education as the poor exams results will create a vacuum that will greatly affected growth in all sectors. It was also remarked that selfishness among Tanzanians was undermining collaborative initiatives.
THE board of directors of National Bank of Commerce (NBC) has appointed the former Chief Executive officer of Standard Chartered Bank Zambia, Ms. Mizinga Melu, to be the new Managing Director of the bank with effect from May 20.
"I am delighted to have the opportunity to lead this great bank at this point in time and I am looking forward to working with every colleague as we continue on our journey in making NBC the world’s upper brand.
Ms. Melu fills the post following the resignation of the former MD, Mr. Lawrence Mafuru who left the office since December last year.
"The appointment of Ms Mizinga reiterates the importance of NBC to our 'One Africa Strategy' and we are excited that she is joining us at a time when we are making steady progress towards our goal of becoming the go-to bank in Africa." NBC Bank Board of Directors Chairman, Dr Mussa Juma Assad, said.
Ms. Melu is a seasoned banker, joining the institution since 2007. He has a record of holding several banking and business management; formerly served in different senior positions at the Standard Chartered Bank including Global Head of Development Organisations in the UK.
She was also an Africa Regional Head of Financial Institutions in Kenya and South Africa, as well as Head of Treasury at Standard Chartered Bank (Tanzania) between 2000 and 2003 and also a Barclays Africa Chief Executive Officer and Head of Africa Group Strategy.
More than 40,000 M-Pesa agents across the country will from now work as the NMB Bank branches across the country following the signing of an agency agreement between the financial institution and Vodacom Tanzania Limited. This comes after two years of an intensive study and creation of software that enables the two companies to embark in business.
"Through this partnership of strength, NMB will be able to extend its distribution and in turn contribute significantly to improving the lives and economy of our customers all around the country,” NMB's Chief Executive Officer, Mr Mark Wiessing said.
He further said that over 1.8 million NMB customers will be able to transfer money from their bank account directly into a Vodacom M-Pesa - mobile wallet - so long as they are registered by the latter.
NMB, the biggest bank in term of deposits and network, said this would add value to their logo "close to our customers" where depositors have a wide choice of using either 500 ATMs or 40,000 M-Pesa agents on top of branches.
NMB Head of Marketing and Communications, Mr Iman Kajula, said a customer would be charged 1,500/- for a maximum transaction that would not exceed 500,000/- withdrawal a day. The amount for withdrawal will be increased to 1m/- in the near future.
"This is not a huge fees compared to the other costs a customer incurred for moving around to deposit money at the branch. The most important fact is time saved," Mr Kajula said.
Regarding safety and security, he said, this is one of the safest money transfer mode as a customer needs two password - for bank account and M-Pesa - before completing a transaction.
The extension of deposit channels would enable the bank's customers and non-customers to utilise over 40,000 Mpesa agents to make deposits directly into their bank accounts.
Vodacom's M-Commerce Chief Officer, Mr Jacques Voogt, said the partnership marks yet another milestone by extending M-Pesa agents network to NMB.
Vodacom M-Pesa is another addition to the broad self service offerings NMB provide to its customers including NMB mobile, Pesa- Fasta, ATMs, Fast Track, Customer Service Centre, PoS and Internet Banking.
Corporates and business owners in Tanzania are set to face the big blow following the recent report that the country will face a long drought season.
An independent Business Monitor International (BMI) in its Tanzania Business Forecast Report says that drought will inevitably slow down the economy--which depends on rain for food and power production.
“Poor rains would not only exacerbate tight food supplies but would also once again hamper hydroelectricity production, raising costs for businesses and, by extension, consumers,” read part of the report.
BMI is an international risk assessment organisation that provides data, analysis, ratings, rankings and forecasts in 175 countries and 22 industry sectors.
What should be done?
Following the situation in hand, Tanzania government well have to boost allocations of fund for irrigation projects in the next budget. The BMI report also exerts pressure on Tanesco to look for alternative ways to generate electricity.
Hydro-electricity still accounts for more than half of Tanesco’s supply despite efforts to raise thermal production from heavy furnace oil and natural gas.
The installed capacity is currently at 1095 megawatts, including 180mw from temporary sources. The hydro-plants operated by Tanesco, which are all interconnected with the national grid system, have an installed capacity totalling to 561 mw. They include Kidatu (204mw), Kihansi (180mw), Mtera (80mw), Pangani (68mw), Hale (21mw), and Nyumba ya Mungu (8mw).
Tanzania suffered drought-induced power crises in 2006 and 2011 that dealt a major blow to the economy. Thousands of workers lost their jobs as factories closed shop. The government has since initiated several gas-powered power plants to reduce dependency on hydro-electricity.
A Sh1 trillion gas pipeline was recently commissioned to bring natural gas to Dar from Mtwara to fuel a 2,780MW electricity plant. Mtwara residents objected to the construction of the pipeline, however, demanding that the power plant be constructed right where they were.
Government efforts to produce power from natural gas have convinced BMI that Tanzania’s overall power generation will grow by an annual average of 5.93 per cent between 2013 and 2017 to reach 6.73 terawatt hours (TWh).This includes a 2.99 annual average increase in hydropower generation, while thermal power generation is expected to grow by an average of 7.69 per cent annually over the period. The BMI report also downgraded the 2013 growth forecast for Tanzania to 7.1 per cent from 7.4 per cent because of a likely drop in gold production.
The GSMA's Mobile Money for the Unbanked (MMU) programme has released the findings of its second annual Global Mobile Money Adoption Survey that the number of people opting mobile money transaction have been growing tremendously than those adopting banking transaction.
According to the survey, there are now more mobile money accounts than bank accounts in Kenya, Madagascar, Tanzania and Uganda, and more mobile money agent outlets than bank branches in at least 28 countries.
With over 520,000 registered agent outlets, there are now as many mobile money outlets as Western Union points of sale. Further, in some countries, the total value of mobile money transactions is equivalent to a significant proportion of the country's overall GDP; in June 2012, it was equivalent to more than 60% of GDP in Kenya, more than 30% of GDP in Tanzania, and more than 20% of GDP in Uganda.
The research shows the number of active mobile money users grew impressively; more than 30 million people undertook 224.2 million transactions totalling USD4.6 billion during the month of June 2012 alone. This exceeds the 196.3 million transactions performed by PayPal customers on average each month during Q3 2012.
The study demonstrates that the mobile money industry continues to expand at an unparalleled rate, with 150 live mobile money services for the unbanked, 41 of which were launched in 2012.
The report counted 81.8 million registered customers globally and with the total number of deployments on a global basis growing by almost 38%, an increasing number of deployments are also achieving significant scale. The report identified six services with more than 1 million active customer accounts and in the last 12 months, three of these services have crossed the 1 million active customer threshold.
The number of active customer accounts is now growing rapidly which is a positive sign indicating that customers are realising the benefits from mobile money services.
There are 56.9 million registered customers in sub-Saharan Africa and in June 2012, there were twice as many mobile money users as Facebook users in the region.
In terms of geographical spread, more than half of all countries in sub-Saharan Africa have live deployments and 37% of the 166 mobile networks operators in the region have already launched mobile money.
Mobile money services are available in 34 of the 47 countries in the region and penetration will continue to grow in the region, since the majority of planned deployments are also in sub-Saharan Africa.
"As the mobile money industry is maturing, we can expect to see both the social and financial benefits of mobile money increase and will continue to track this fantastic progress." Read part of the report.
As a new gas pipeline connecting the Wentworth’s Mnazi Bay gas field with Tanzania’s capital Dar es Salaam is expected to be complete by mid-2014, the Company, its partners in the Mnazi Bay Concession and the government of Tanzania are working diligently to conclude a gas sales agreement which will set the foundation for the next phase in the Company's growth strategy.
“At present, one of the Wentworth’s main goals is to conclude talks to agree a gas sales agreement. The signature of a gas sale agreement is likely to be transformational for the company,” said managing director Geoff Bury.
He said it signals a turning point with an anticipated revenue of US$ 27 million a year based on sales on 80,000 million standard cubic feet a day.
In the meantime the company is also exploring its acreage in Tanzania to find additional gas to potentially feed into the pipeline in the future.
The managing Director has told investors that a recently completed seismic programme will provide the basis for active exploration and drilling in 2013 and 2014.
In terms of its financials Wentworth revealed that revenues, from its limited sales to a nearby gas fired power plant, increased by 10% last year to $ 820,000. After selling assets it reported a net profit of $ 24.94 million, versus a $ 6.25 million loss in the previous year.
The company ended the year with $ 9.35 million in cash, with $8.84million of working capital. At midday the stock was up 7% at 51.48 pence.
The company ended the 2012 in a strong financial position and it continues to assess attractive opportunities to grow its portfolio. This is the result of a series of corporate deals with its current and former partners.
"Last year was a transitional one for Wentworth during which exploration and development operations in Tanzania and Mozambique were financed through strategic asset transactions netting the company in excess of $ 30 million,” Mr. Bury said.
The chairperson of Mpinga Cup preparation committee showing a sample of a football jersey which will be used during the Mpinga cup competition that will involve Bodaboda drivers in Dar es Salaam. The tournament is being sponsored by Airtel, Rotary club, Mr.Price, Home Shopping Center and National Road Safety Council. The competition aims at providing education for motorcycle operators on various safety rules strengthen their understanding of the use of the road in order to reduce road accidents
Cambium Networks, formerly part of Motorola Solutions, has announced plans to open an office in Kenya and Nigeria, claiming that there are exciting opportunities for growth in Sub-Saharan Africa with Kenya expanding in the Internet Service Provider (ISP) and power utility market in addition to Nigeria venturing into the ISP space (WISP) market, with both countries experiencing good general growth.
“Our immediate aim is to build our reseller and channel network to increase availability of our products across the continent. The Cambium Networks point-to-point (PTP) and point-to-multi-point (PMP) solutions offer the bandwidth, flexibility, ease of installation and the cost effectiveness that will ensure high-speed access to users,” Tony Rodrigues, Regional Sales Manager at Cambium Networks said.
He said that the company will continue to channel efforts into growing its footprint into Sub-Saharan Africa during 2013 with key focus areas including countries such as Nigeria, Kenya, Zambia, Angola and Mozambique.
The Board of Directors of the African Development Bank (AfDB) approved has approved an unfunded $ 200 million Risk Participation Agreement (RPA) with Standard Chartered Bank (SCB). The facility will help address critical market demand for trade finance in Africa by providing support for trade in vital economic sectors such as agribusiness and manufacturing.
The facility will also foster financial sector development, regional integration, and contribute to government revenue generation. The Risk Participation Agreement will be for a period of three years.
The RPA between the two banks will allow them to share the default risk on a portfolio of qualifying trade transactions originated by issuing banks in Africa and confirmed by SCB.
As a 50/50 risk sharing arrangement, SCB will match AfDB’s undertaking in every transaction, thereby creating a maximum portfolio of up to $ 400 million.
According to the bank, the majority of African banks have small capital bases which constrain their ability to obtain adequate trade limits from international confirming banks and to undertake sizeable transactions that have significant development impact. Secondly, despite the growth in trade risk distribution globally, local banks in Africa have not significantly benefitted from this growth.
The AfDB’s value added lies in the use of its “AAA” rating to share trade risk and expand the trade finance capacity of banks in Africa, thereby expanding trade and strengthening regional integration. This facility will result in the provision of significant support to African banks and SMEs. Counting roll-overs, it will facilitate approximately $ 2.4 billion of trade in intermediate and finished goods, raw materials and equipment to support economic growth.
The facility is in line with AfDB’s Regional Member Countries’ priorities to promote trade and in accordance with the African political objectives as reaffirmed during the 18th African Union Ordinary Session held in January 2012. It also aligns with the Bank’s Regional Integration Strategy, which seeks to consolidate the Bank’s engagement in trade finance in Africa.
The central bank of Tanzania has finally granted Finca Tanzania Limited a licence to offer banking services in the country, starting from this week.
The move makes Finca to be the first micro-finance institution in the country to be granted a banking licence by BoT.
The turn of events will see the previously non-regulated seed money creditor -- popular for its flagship collateral-free village banking services and group loans -- being regulated by BoT. The licence was issued in January and the banking services would commence this week.
According to Finca Tanzania chief executive officer Tom Kocsis, the new banking services will start in its Dar es Salaam-based branches of Magomeni, Ilala and Temeke, and later spread gradually to other branches across the country.
“Having been in business in Tanzania for only 15 years, this achievement is historic,” Mr Kocsis said. He added: “It is an important step towards financial inclusion as Finca brings over 73,000 clients mainly from rural areas.”
He said that the development has come as a result of the institution’s growth strategy and a response to demand demonstrated for years by their clients, adding that banking products were expected to increase the firm’s clientele base tremendously.
“We’re very well prepared for change; we have in place state-of-the-art banking system that will enable us to give the established banks a run for their money,” he boasted. He added: “We are launching savings products that are easy to access and operate at no fees at all; the clients only need to carry identification cards to our branches.”
The Board of Directors of the African Development Bank (AfDB) has approved a Trade Finance package of $200 million comprising of an unfunded risk-sharing facility and a trade facilitation loan, to support Ecobank Transnational Incorporated’s (ETI) trade finance activities in Africa.
The AfDB’s support will enable Ecobank to enhance its trade finance confirmation capabilities, avail medium-term liquidity support to ETI’s subsidiaries to provide appropriate trade finance to African small and medium enterprises (SMEs) and local corporates, and demonstrate appetite for Africa risk.
The first facility is a three-year unfunded Risk Participation Agreement (RPA) of US $100 million where the AfDB will share with Ecobank, through its subsidiary EBI S.A based in Paris, France, the default risk on a portfolio of qualifying trade transactions originated by issuing banks in Africa and confirmed by EBI S.A.
“As a 50/50 risk-sharing arrangement, ETI will match AfDB’s undertaking in every transaction, thereby creating a maximum portfolio of up to US $200 million,” AfDB said in a statement.
According to AfDB, the second facility is a 3.5-year trade facilitation loan of US $100 million, which will be used by ETI subsidiaries to provide trade finance support to local corporates and SMEs in Africa.
The majority of African banks have small capital bases which constrain their ability to obtain adequate trade limits from international confirming banks and to undertake sizeable transactions that have significant development impact. The project will help address critical market demand for trade finance in Africa by providing support for trade in vital economic sectors such as agribusiness and manufacturing.
“It will foster financial-sector development and regional integration, and contribute to government revenue generation. It will also result in the provision of significant support to financial institutions and SMEs in Africa,” AfDB said.
Counting roll-overs, the project will facilitate approximately US $1.8 billion of trade in intermediate and finished goods, raw materials and equipment to support economic growth.
This facility is in line with AfDB’s Regional Member Countries’ priorities to promote trade and in accordance with the African political objectives as reaffirmed during the 18th African Union Ordinary Session held in January 2012. It also aligns with the Bank’s Regional Integration Strategy, which seeks to consolidate the Bank’s engagement in trade finance in Africa.
After being satisfied with smooth operation of the first phase, the first Pan-African low cost airline, FastJet, will now concentrate on the implementation of the second phase of their business plan, which will involve spreading wings to more local detonations.
“Starting this week, the no-frill airline sales two new destinations tickets - Kilimanjaro-Zanzibar and Kilimanjaro-Mwanza - on daily basis and flight will be introduced on March 18, this year. This is second phase of our business plan; the third phase is international destinations," FastJet's General Manager in Africa, Kyle Haywood said.
Fastjet has achieved a milestone in just few months of it first business plan since its inaugural flight to register its 75,000th passenger. To celebrate the achievement, the airline has named one of its aircraft after a customer, Veronica Chuwa.
Her name will appear in one of the three Airbus 319s for the duration of the coming year. Mrs Chuwa, who travelled last month, was also presented with two complementary tickets to mark the 75,000 travellers.
According to Mr. Haywood, the number of passengers booking flights with FastJet has been consistently high, with an average load factor of over 70 per cent."This is testament of the genuine demand for low-cost air travel among Tanzanians.
“The airline has a long vision in the country of hooking many non-airline travellers to fly by minimizing distribution costs in favour of passengers. We are happy to keep and see to it that the same passengers are coming back,” he said.
Mr Haywood further said that the company developed sales of tickets using M-Pesa to ease as much as possible distribution costs. The M-Pesa ticketing totalled eight per cent of total sales.
Tanzania Investment Bank (TIB) Managing Director Peter Noni (left) exchanges documents of a Memorandum of Understanding with Small Industries Development Organization (SIDO) Director General Michael Laizer, which will see development of industrial areas for Small and Medium Entrepreneurs (SMEs).
Tanzania Investment Bank (TIB) has signed a Memorandum of Understanding with Small Industries Development Organization (SIDO) which will see development of industrial areas and putting required infrastructure in support of small and medium entrepreneurs (SMEs).
"As an investment bank, we have seen the hardships that SMEs are facing whenever they try to start up an investment for the purpose of production. We will only succeed in fighting against poverty if we will increase production, and for an SME to do that, he/she must be empowered to be able to access loan facilities from the banks,” TIB’s Managing Director Peter Noni said during the signing ceremony held at the bank's headquarters in Dar es Salaam.
He said that the aim of the partnership is to help SMEs to find conducive and affordable areas for production.
"Our bank, TIB, has been trying to reach entrepreneurs across the country in order to provide loans aimed at supporting their businesses, but many of them fail to meet the criteria. This is because many SMEs are considered not to be credit worthy because of lack of traceability and other requirements needed as an equilateral,” he said.
In understanding this condition, the bank in collaboration with SIDO has come up with a strategy to enable SMEs to overcome the challenge in hand. The agreement opens a chapter of improving and developing industrial areas in various parts of the country, beginning with Dar es Salaam region before expanding to other regions.
The two parties have agreed to start working together to find areas which will be allocated for the construction of an industrial area and improve the already existing ones by providing required infrastructure which will enable small scale producers to find a cheaper conducive place to hire according to his/her need. “We believe this will greatly cut down on their cost of production,” Mr. Noni said.
Mr Noni said after having a reliable area for production, SMEs who will be in this program will graduate to become credit worthy, hence accessing loans with easy.
On his part, SIDO Director General Michael Laizer raised concerns on the interest rates charged by commercial banks in the country, which he says were posing challenges for SMEs in trying to grow their business.
"Interest rates charged by commercial banks on loans taken by SMEs, are too high for someone who is starting a business and in small scale for that matter. These high interest rates thwart SMEs’ efforts of growing, “he said.
Mr. Edmund Mkwawa, Managing Director of DCB
Managing Director, of Dar es Salaam Community Bank Limited (DCB), Mr. Edmund Mkwawa, has announced that his bank targets to double its net profit to Tsh 4 billion compared to Tsh 2.1 billion recorded last year.
The announcement has come at a time when DCB intends to start the implementation of its operations as a fully fledged commercial bank after being able to increase its capital from sh 15 billion to sh 28.2 billion in accordance to the Bank of Tanzania (BoT) regulations.
According to the Bank's Board Chairman, Ambassador Paul Rupia, the performance in mobilising the bank's capital has also enhanced the shareholding structure of the Anchor Shareholders to 37.1 percent compared to the previous 32.6 per cent.
The bank raised the funds through the rights issue that commenced in October, last year and was concluded last month.
Out of 38.5 million shares issued under the programme, a total of 29.2 million shares were subscribed and allotted to respective shareholders fetching into the share capital a total Tsh 11.1 billion compared to the intended collection of Tsh 14.6 billion.
The bank is also planning to open other two more branches by the end of this year, one in the city centre and another in Tabata Makuburi in Kinondoni Municipality. The addition of the two branches will make the total to eight branches in Dar es Salaam alone.
"Last year we managed to serve our customers well despite stiff competition and dished out loans amounting to sh69 billion, 40 percent of them going to salaried staff," he said.
Saudi Arabia’s Prince Amr Al Faisal (left) explains a point to the Exim Bank Tanzania Chief Executive Officer Dinesh Arora (right) during a visit to the bank’s headquarters in Dar es Salaam yesterday. Looking on at the centre is the Exim Bank Tanzania Managing Director, Mr. Anthony Grant.
Some of Msasani primary school student in a group photo after receiving books from Airtel.
Airtel staff have donated books and other teaching tools worth Tsh 3 million to students with special needs at Msasani primary school in Dar es Salaam.
The donation will change book sharing ratio of three students per one book to one student per book. “We believe that this contribution will ultimately improve the performance of students in their studies,” Airtel Talent and development Officer Doris Kibassa said.
Children with special needs require special consideration in making sure that they have access to all the necessities that would allow them to excel in their educational endeavors.
She urged the general public to respond positively towards educational needs for the deaf students; “the country will make tremendous steps in allowing student with special needs access to better education,” Ms. Kibassa said.
On his part Msasani Primary school Head Master Lessly Nyambo said that his school still faces a lot of challenges which have to be addressed. “We call upon other private sector and government to join hands in supporting special needs schools,” he said.
Airtel, through Shule yetu program continues to facilitate various secondary schools in the country with teaching aid. Recently Airtel donated school uniforms and shoes to Kiromo primary school in Bagamoyo worth Tsh50 million.
Following the immense need of electricity in Mtwara region influenced by the recent influx of commercial industries in the region, the government has now embarked in a move to increase electricity capacity that will go along with the increasing demand.
In a way, the state run power utility, TANESCO and Symbion Power recently have signed a memorandum of understanding to build a 400mw plant in Mtwara, which will include a 650km transmission backbone from Mtwara to Songea in Ruvuma Region.
Tanesco Board of Directors Chairman, General (retired) Robert Mboma, said the 400mw of power will be connected to the Tanesco national grid through a line that will be built from Makambako in Njombe Region to Songea.
According to General Mboma, majority of the 400mw will be sold to industries within the southern region, others will be for domestic consumption and the remaining will be sold to the neighbouring countries.
"The cement factory which is due to be constructed in Mtwara will demand 30mw while the fertilizer factory will demand 20mw and the Mtwara Airport is expected to demand 6mw, while the Uranium mine in Namtumbo (Ruvuma Region) will demand 30mw," he said.
He said the project comes amid increased demand of power in Mtwara Region following commercial gas exploration.
Gen. Mboma added that there were also requests from the government of Mozambique asking Tanzania to sell power to the country's northern regions and that Malawi was also expected to demand power from Tanzania.
“We are in the initial talk with thee two countries to see that e can do to support one another in this,” he said.
Available data shows that the national electricity connectivity in the country is about 14 percent now though, it is expected that electricity demand will triple by 2020.
The move to develop the southern regions' electric potential is not only going to connect the residents and industries but also to increase connectivity and play a significant role in the government's target of ensuring that the country will move into the middle income status by 2025 and ensure that 30 per cent of Tanzanians have access to electricity by 2015.
Superbrands, the independent authority and arbiter of branding, hosted their second ever tribute event to honour Tanzania’s strongest consumer brands. . The event was held recently at Hyatt Regency hotel in Dar es Salaam.
The Project Director Superbrands East Africa, Mr. Jawad Jaffer handing over a certificate to the ITV’s Managing Director, Ms. Joyce Mhavile, as the firm emerged the overall winner for Tanzania Consumer Superbrands for 2013
The Project Director Superbrands East Africa, Mr. Jawad Jaffer handing over a certificate to Azam's Business Development Manager, Mr. Daniel Hill, as the firm emerged in the top 20 Tanzania Consumer Superbrands for 2013. The event was held recently at Hyatt Regency hotel in Dar es Salaam.
The Minister of State in the Prime Minister’s Office - Investment and Empowerment, Dr Mary Nagu (Center) together with the Project Director for Superbrands East Africa, Mr. Jawad Jaffer handing over certificate to the Clouds Media Group’s Managing Director, Mr. Joseph Kusaga as Clouds Fm radio emerged as the second top Tanzania’s Superbrands.
Furniture Centre Limited’s Managing Director, Mr. Shafik Bhatia receiving a certificate from the Project Director Superbrands East Africa, Mr. Jawad Jaffer as the firm emerged in the top 20 Tanzania Consumer Superbrands for 2013.
Project Director, Superbrands East Africa, Mr. Jawad Jaffer, handing over certificate to CRDB Bank ’s representative, as the firm emerged among the winner in Tanzania Consumer Superbrands for 2013.
Project Director, Superbrands East Africa, Mr. Jawad Jaffer, handing over a certificate to the CHAI BORA Limited’s Brand Assistant, Ms. Laura Lyabandi, as the firm emerged fourth in the Tanzania Consumer Superbrands for 2013.
Minister for Industry and Trade, Dr Abdallah Kigoda (Centre ) signing on a billboard to officiate the launch of the Tanzania Portland Cement expansion project 2013-2014 for company’s cement mill number 5. Witnessing from left to right is TPCC Managing Director, Pascal Lesoinne and TPCC Board Chairman, Jean Marc Junon.
By Corporate Digest Correspondent
Tanzania Portland Cement Company (TPCC) has set aside $30.2 million that will be invested in the expansion of cement kiln number five during the year 2013-2014.
The new kiln which will be constructed for 18 months would help to meet cement demand in the country as it will have the capacity of producing 700,000 tons of cement per year. The plant will be situated at Wazo Hill site in the outstretch of Dar es Salaam.
The installation of the kiln five which is set to be completed by September 2014 will boost up the company’s cement production capacity to 2,000,000 tons.
“With this new record in production, the company would become the number one cement maker in the country, and the biggest cement production site in East Africa,” TPCC Chairman of Board of Directors, Mr. Jean-Marc Junon said.
“The successful implementation of the project will help us to continue satisfying the domestic demand for high quality products as well as looking for export opportunities to the regional and other potential markets out there,” he said.
TPCC is trading under Twiga Cement and is one of the leading cement producers in Tanzania. Less than month, the company launched Kiln Number Three at Wazo Hill.
According to TPCC Director General, Mr. Pascal Lesoinne, in recent years the cement industry has been experiencing stability of price of the product due to different factors in cement production, giving Tanzanians an opportunity to achieve their development goals.
“For about 10 years cement prices have remained stable, and due to the availability, supplemented by the increasing production, there is a possibility of lowering down these prices.” he said.
Speaking in Dar es Salaam during a brief ceremony to unveil the company’s future expansion of Cement Kiln Number Five, the Minister for Industry and Trade, Dk. Abdallah Kigoda said the government will do everything possible to create a good and attractive environment that will attract more investment in the country.
Dk. Kigoda said that it is the will of the government to change and transform the country from an agricultural dependency economy to an industrialized country. “The government is well committed to increasing industrial portfolio of the country aiming to be an industrialized country in the near future.”
By Corporate Digest Correspondent
Superbrands, the independent authority and arbiter of branding, has recently hosted their second ever tribute event to honour Tanzania’s strongest consumer brands.
The Minister of State in the Prime Minister’s Office - Investment and Empowerment, Dr Mary Nagu officially graced the event awarding Tanzania’s Superbrands.
The Overall Tanzania number 1 Superbrand 2013-14 was ITV followed by Clouds FM Radio and Kilimanjaro Drinking Water. Precision Air was the only airline awarded, while Mwananchi was voted the country’s top media house. Vodacom received three Superbrand recognitions covering Vodacom (the brand), M-Pesa and Vodacom Premier League (VPL).
Speaking at the event, Dr Nagu expressed deep pride in recognizing Tanzania’s best brands and that this was an opportunity for the Government to expressly demonstrate its commitment to the captains of business. She further outlined that economic empowerment and investment was the key cornerstone of the government’s agenda.
Honourable Nagu highlighted that as corporates evolved by creating strong brands across the region, were the true brand ambassadors of and for Tanzania.
Superbrands is the world's largest independent arbiter of branding. It identifies and pays tribute to exceptional brands by recognising, rewarding and reinforcing leading brands from all over the world. Superbrand status strengthens a brand’s position, adds prestige and sets the brand apart from its competitors.
Superbrands have launched programmes in over 88 countries including all the key global markets. Superbrands East Africa was launched in the region four years ago.
Speaking on receiving the Superbrands Tanzania, Joyce Mhaville, MD of ITV, commended Superbrands for their commitment to recognizing the best of global brands. ITV, she added, was truly a superior brand in all aspects.
Mr. Jawad Jaffer, Project Director, Superbrands East Africa, said it was indeed a truly momentous occasion to announce the 'Oscars of Branding,’ the tribute event for Tanzania’s strongest brands.
He highlighted that this was an exciting time to identity and celebrate the country’s leading brands.
Mr. Jawad added that these brands were not only voted for by distinguished brand council members but also by 2,500 consumers, who voted through a face to face poll.
The brand which scores the highest points is awarded the accolade of 'Superbrand'. Brands have an ever increasing importance in our day to day lives and as consumers we have never been more engaged.
According to Mr.Jawad, the new edition Volume III of the Superbrands East Africa Book will be launched as part of East Africa’s finest brands from more than 500 leading East African brands scored by the Superbrands Council and consumers across East Africa.
The region’s best brands, which range from FMCG brands to local family owned businesses, will be featured later this year in this year’s Superbrands book. Many new local brands such as Foma, Korie and Furniture Centre made an entry this year along with globally recognized brands.
According to a recent study by Tanzania Truck Owners' Association (TATOA) the transportation of cargo in the country has recorded a growth of 400% in the last five years.
The study shows that the sector has also managed to transport 95% of both domestic and transit cargo despite existing shortcomings.
Last year, TATOA was able to transport 43 million tonnes to different destination in and outside Tanzania.
However, Dr Harrison Mwakyembe, the Transport Minister cautioned TATOA to procure and install modern technologies into trucks especially those carrying fuel to avoid regular leakages of oil that can be dangerous to lives and environment.
He said that the government is doing everything possible to address the issues of congestion at Tunduma border point, road barriers and dual. According to Dr. Mwakyembe, the government is also considering the possibility of handing over the Morogoro based Kihonda Driving College to the Association as per request.
Minister for Finance and Economic Affairs, Dr William Mgimwa said that TATOA and its stakeholders should strive to provide professional services in order to contribute more to the country's Gross Domestic Product (GDP).
According to Dr. Mgimwa, the sector has created over one million employment opportunities so far. “The government is in a process of improving infrastructure so as to create mutual environment for the sector to perform better for the good of the country.
"We will make sure cargo transportation is given the security it deserves, but we will also review and improve policies touching the sector to see it grows faster than it is doing now," he said.
Stanbic Bank Tanzania Board Chairman Hatibu Senkoro (front left) presents a farewell gift to outgoing Board Member Hon. Abdulrahman Kinana (front right) at the bank’s Head Office in Dar es Salaam at the weekend. Others in the picture from left to right are, Board Member - Dr. Hamisi Kibola, Stanbic’s Head of Legal Sioi Solomon, Stanbic’s Managing Director Bashir Awale, Nada Margwe and George Alliy.
Kitonga Electric Power Company Limited, the independent power producer (IPP), has applied for a licence to construct and operate a hydroelectric power plant from the Energy and Water Utilities Regulatory Authority (EWURA).
The 150MW hydro-power production licence is for a period of 15 years and the power plant will be utilizing water from Lukosi River in the Kitonga valley situated at Kitonga Valley in Iringa region.
The industry regulator said in a statement that 140MW of the electricity will be sold to the Tanzania Electric Supply Company (Tanesco) through power purchase agreement. The remaining 10MW will be distributed to nearby villages of Image, Lyasa, Ibumu, Ikokoto, Mlafu and Iyai.
"Any person who wishes to make any representations or objections with respect to the application should do so in writing to EWURA not later than March 8, 2013," read part of the statement which was signed by the Director General of EWURA.
At present, Tanzania generates its power using hydropower plants located in Mtera, Kidatu, Kihansi, Pangani, Hale and Nyumba ya Mungu in addition to heavy fuel-powered Independent Power Tanzania Limited (IPTL) at Tegeta area in Dar es Salaam.
The country also produces power at three gas-fired plants using natural gas from Songo Songo Island in Lindi region. Two of the gas plants are located at Ubungo and one in Tegeta area.
Total installed capacity is currently at 1,095MW including 180MW from temporary sources. Private capacity account for 480MW including the temporary sources while peak demand is close to 900MW.
Power generation set to be intensified in few years to come after a completion of a mega pipeline to transport natural gas from Mnazi Bay in Mtwara region to Dar es Salaam.
St. Joseph University will invest more than Tsh 8 billion this year to establish a modern referral hospital that would treat complicated diseases in Tanzania. The project aims at boosting health sector in the country.
According to the St. Joseph University, the establishment of the hospital in Dar es Salaam would go hand in hand with having in place a university that would specifically train medical staff to be deployed at the facility and other hospitals in the country.
“The installation of the facilities will be a solution for many Tanzanian who are seeking health service abroad, including treatment of heart diseases. Dr. Thomson Ananth, director for international operations of the university said.
He said the hospital would provide high quality services that match international standards.
The decision by the University to establish the hospital came in the wake of big challenges facing the health services sector in the country.
The hospital is expected to attract patients from the neighbour countries, thus building the country’s image in health services provision.
Super brand Precision Air Services (Precision Plc) has exhibited consistent growth in both operations and financial performance. The Airline, recorded a significant 13 per cent growth in passenger numbers between April 2012 and end January 2013 even as the Tanzania air travel market continues to become more competitive with the coming of new players in the likes of low cost airlines.
Precision Air uplifted 750,762 passengers during the period, which is 13 per cent above the number of passengers recorded the previous year. The airline recorded 663,636 passengers in the year 2011-2012.
Speaking to press yesterday at the Airline’s Headquarters in Dar es Salaam, Precision Air’s Acting MD & CEO, Allen Sharra, revealed that from November 2012 to January 2013, his company airlifted 222,654 passengers, a growth of 6 per cent compared to the previous year, in which 209,696 passengers travelled by PW.
“The Tanzania air travel market has become more competitive with the introduction of new airlines. However Precision air’s performance in terms of passenger uplift has continued to grow impressively.
“We have managed to achieve this due to the unmatched services we offer our customers, convenience destination frequencies of our schedules and our true Tanzanian hospitality we offer to our customers,” said Sharra.
He noted that the company’s overall, passenger numbers has to-date grown close to a million through a double digit annual percentage growth.
Mr. Sharra pointed that the Airline has since increased its frequencies to various routes to the likes of Mbeya, a route only launched early January.
“This penetration in the Southern region was received with thumbs up and only a month after its inauguration became necessary for Precision to review its operations and implement daily flights with only 90minutes travel time.” he added.
He noted that further introduction of an early riser route from Arusha at 0730hrs and return 1630hrs facilitates business and individuals to return home the same day has also helped uplift the company’s passenger numbers.
“The recent introduction of the evening flights to Mtwara departing Dar es Salaam 1600hrs has provided traffic relief and convenience opportunities to passenger moving to and from the region moves to 11 frequencies to Mtwara than the previous 7 per week,” he said.
Latest regional penetration saw Precision Air reinstating its daily Kigoma flights which resumed at the end of January 2013.
The Airline is the first in the World to take delivery of the ATR 42-600 model November last year and has since received two (2) of its kind.
Currently the Airline has a total of 9 ATRs and 2 Boeing 737-300 aircrafts operating in 18 Precision Air’s destinations.
James Mworia, the CEO of Centum Investment Company Limited
The 45 percent shareholding in Platinum credit – an East African emergency micro lender which currently serves more than 80,000 customers across the region are set to be acquired by Centum . Centum has already deployed the funds through its private equity business.
“With Africa emerging as the newest frontier for economic activity, it is paramount that we invest our capital in our projects so that we are the ones in a prime position to reap the rewards,” Centum’s Chairman James Muguiyi said.
The move to acquire shares has come few day after Centum announced the listing and trading of its Ksh4.19 billion bond at the Nairobi Securities Exchange (NSE).
He said that the firm was on course to become Africa’s foremost investment channel by positioning itself at the heart of mobilising local capital for the region’s projects.
“In our 40 years of operation, we have maintained a track record of asset growth from Ksh6 billion to Ksh19 billion thanks to diversification of business lines to multiply our revenue streams,” he said.
He assured investors of continued exploration of the continent for more investment opportunities.
NSE chairman Eddy Njoroge said that Centum is again setting trends in Kenya’s capital markets and cementing its relationship with the Exchange by being the first company in East Africa to list equity linked notes.
The funds raised will be used to increase private equity investments through acquisition of controlling equity stakes in unlisted companies, fund existing real estate projects and pay existing bank debt.
“We applaud the innovations that the board and management of Centum Investment Company Ltd, continue to set and for continually using the capital markets to raise long term capital to grow their investment portfolio in Kenya and the region,” he said.
The five year bond issue provides investors with the option of investing in fixed rate notes at a fixed interest rate of 13.5 percent per annum or in equity linked notes at a fixed interest rate of 12.75 percent per annum plus an equity upside linked to the growth of the Company’s Net Asset Value subject to a maximum of 15 percent of the par value of the notes.
The interest rate for both notes are payable semi-annually and will be redeemed in one instalment on September 11 2017.
Centum is targeting a Ksh30 billion worth of assets under his management during the current strategic period ending in March 2014.
Kelvin Dushnisky the newly appointed chairperson of Barrick Gold (ABG)
The giant gold producer, Barrick Gold (ABG), has appointed Kelvin Dushnisky to be chairperson of the company with immediate effect.
The new appointment came immediately after the former chair person, Mr. Derek Pannell, informed the company that he did not plan to seek re-election at the mining company’s annual general meeting in April.
The ABG board thanked Pannell for his significant contribution in helping shape ABG as an independently listed company.
The new boss, Mr. Dushnisky, joined the ABG board in June 2012. He was currently senior executive Vice President of parent company Barrick Gold Corporation and a key member of Barrick's senior management team.
He has more than 25 years of experience in broad-ranging roles across the mining industry.
Prior to joining Barrick in 2002, he was a member of management at Sutton Resources, which owned the Bulyanhulu and Kabanga properties in Tanzania before they were acquired by Barrick.
Kenya's third largest cement producer, East Africa Portland Cement Company (EAPCC), has announced plans to expand to Tanzania after returning to profit during the six months ending 31 December 2012.
The company which also has operation in Uganda and South Sudan, has posted a half year net profit of $4.3million (Ksh327 million) ending December 2012 compared to a net loss of $2.82million (Ksh376 million) in the same period of 2011. The new development was attributed by cost reduction and improved cement sales.
Managing Director Kephar Tande said the profit gains were due to stringent cost effective management efforts leading to an improvement in gross margins from 18 percent to 29.6 percent.
“One of the main things we were able to achieve during this half year is efficiency in our factory, producing clinker non-stop and being able to reach our targets. This meant that we did not need to buy any clinker and that meant that we saved a lot of money; Sh850million. This is where most of our profits have come from,” Tande said.
Plans are also underway to implementing a five-year strategic plan (2013-2016), which includes upgrading its kiln to boost production by 150,000 tonnes per annum, a new packaging line to improve turnaround of trucks, acquiring more reserves in Kitui and Kajiado as well as purchasing a new clinker and construction of a new grinding mill. This is expected to boost its market to 37 percent by 2016.
Tande said the company has recovered its market share from 19 percent in July last year to the current 21 percent and targets to hit its pre-crisis level of 25 percent by the end of the current financial year.
“We have said we are going to become more competitive in terms of pricing strategies, distribute our products more effectively, go to all the counties in our depot structure and considering the improvement of infrastructural development in our country, we will get our market share targets very quick,” the MD added.
According to the company, revenue declined by 8 percent to $Sh4.5 billion as a result of challenges experienced by the company last year which took longer to resolve, especially staff unrest in January 2012, which eventually lead to the shutdown of operations.
The government holds a 25.3 percent stake in EAPCC while National Social Security Fund (NSSF) shareholding stands at 27 percent. French conglomerate, Lafarge, holds a 41.7 percent stake while the remainder is held by the public through listing on the Nairobi Securities Exchange.
First Lady, Mama Salma Kikwete (centre) together with Haruna Mhina, Chief Medical Officer, Nyamisati Medical Centre, Rufiji District, Pwani Region, receive medicines from Head of Vodacom Foundation, Yessaya Mwakifulefule.
Vodacom Foundation has donated medicines worth Tsh20 million to Nyamisati Medical Center, Rufiji District, Coast Region, a move that will help the centre cub the looming deficit of medicine.
"I am grateful to Vodacom Foundation for the great work it has done in Tanzania. These medicines we have received today will go a long way in keeping citizens of this region healthy and productive. I am sure we shall continue working together to take this country into another prospective level," First Lady, Mama Salma Kikwete said.
Head of Vodacom Foundation, Yessaya Mwakifulefule, assured that the Foundation will continue with its commitment, not only in the health sector, but various other developmental projects.
"We are grateful to the government for its support to develop the economy of this country. We shall do our best to support these projects," he said. "The Foundation is supporting other projects among others, education, entrepreneurship, and tourism," he said.
The Nyamisati Medical Centre serves more than 2000 patients every month. "We have had challenging situations whereby we often run out of drugs. With this donation, the problem is now sorted and from now we shall be able to serve our patients effectively," Haruna Mhina, the center's Chief Medical Officer, said.
Mr. Charles Ireland the newly appointed CEO of East African Breweries Ltd
Diageo, the 50.3 percent shareholder of East African Breweries Ltd (EABL) has appointed Charles Ireland, to be the new Chief Executive Officer following the resignation of Devlin Hainsworth.
“Mr Devlin Hainsworth will be leaving the position of group managing director of EABL effective March 31 in order to pursue other interests outside EABL and Diageo,” said Diageo in the statement.
Mr Hainsworth was appointed managing director in July last year, replacing Seni Adetu who took over as the chief executive officer at Guinness Nigeria plc, which is also majority owned by Diageo.
Incoming Ireland has been the managing director of Guinness Anchor Berhad (GAB) in Malaysia, a joint venture between Diageo plc and Asia Pacific Breweries for five years that is listed on the Malaysian stock exchange. Before that he was the general manger of Diageo Philippines
Gas processing plants
Tanzania’s National Environmental Management Council has approved the $1.2 billion, in a project that will involve construction of a gas pipeline that will connect almost all natural gas reserves discovered in Tanzania –both on shore and offshore-as well as building four gas processing plants with a capacity for 280 cubic feet of gas.
The project entails building of three expandable gas plants each with a capacity of 70 million standard cubic feet a day at Madimba, Mtwara and two expandable plants of similar capacity at Songo Songo Islands.
According to the Tanzania Petroleum Development Corporation (TPDC), a right of way for the project has also been acquired and the geotechnical survey and testing for the sites is 95 per cent complete.
Faced with an energy demand that is growing at between 11 per cent and 13 per cent per year, Tanzania has embarked on plans rack up its power output with the country keen on tapping some of the estimated 40 trillion cubic feet of natural gas discovered on its territory.
While Apple and Samsung are focusing on grabbing the market share by producing more innovative and expensive smartphones, Nokia wants to regain its power position within the cellphone business by flooding the developing world with cheap phones.
The new models are due to be unveiled at the Mobile World Congress industry convention in Barcelona next week.
The move suggests that Nokia is expanding its focus after concentrating in the past two years on catching up with Apple and Samsung in more expensive smartphones, the Telegraph reports.
Nokia faces stiff competition to all of its products from dominant players like Apple and Samsung at the high end to lesser-known but still formidable Chinese firms like Huawei and ZTE on the low end. Taiwanese chipmaker Mediatek, for example, has its eyes squarely on the cheap smartphone market in Asia, India and Africa, where it plans to sell unsubsidized smartphones that will cost less than $200.
Nokia could introduce cut-price basic phones aimed at competing with the likes of Huawei and ZTE, as well as a new, lower-price model of its Lumia smartphones running on Windows Phone 8 software.
Its Lumia smartphone range was widely been seen as a make-or-break product line for Nokia due to its high margins. The company has been soundly thrashed by Apple and Samsung in the smartphone space and sold just 4.4 million Lumia smartphones last quarter, compared to 79.6 million feature phones. It’s clear where Nokia is making most of its money, and it plans to capitalize on that.
Making sure that it has the budget devices that appeal to emerging markets will be crucial to Nokia’s future business. But the company will also need to continue pushing its Windows Phone 8 Lumia lineup to catch up in more smartphone-penetrated markets like the U.S. and Europe. Whether it will all be enough to ensure Nokia its leading mobile phone maker position anytime soon is unlikely, but at least the company won’t need to slip further into the abyss.
The Azania Bank Principal Business Development Officer Othman Jibrea (left) hands over a dummy cheque to the Mahege Secondary School Head Teacher Faulu Maeda (right) being part of the bank’s contribution to the school’s dining construction project.
AZANIA Bank Limited has handed over Tsh10million to Mahege Secondary School in Rufiji district, Coast region, to boost the school’s dining construction project started a few years ago.
More funds are needed to finalize construction of the project,” Mahege Secondary school Head Teacher, Mr. Faulu Maeda said, thus calling upon other companies and people of good-will to offer support.
He called for other corporate companies to offer support, both material and monetary to enable the completion the project.
Azania Bank Principal Business Development Officer, Othman Jibrea said, “It is the tradition of Azania Bank to give back to the society part of the profit we have made through our Corporate Social Responsibility (CSR) program. The Bank understands the trouble students go through during meals time because of lack of dining facilities at the school. We believe our donation will go a long way in creating a good studying environment at the school.”
He noted that his bank will continue supporting community projects across the country in various sectors, including health and education.
More than 7,000 flood victim in Mtwara Minicipal will now breathe a sigh of relief following a Tsh 13.2 million donation by an oil and gas exploration company, Ophir Energy plc.
“The company was moved and felt that it had a duty to support government relief efforts to the victims and decide to make a donation of maize flour and cement all worth Sh13.2 million,” Public Relations manager of Ophir Energy, Fidelis Lekule said.
The donation comprised 280 bags of maize flour, which would help reduce food shortage. It also donated 300 bags of cement to help in the rehabilitation of the destroyed schools and infrastructure including culverts and drainage systems.
Mtwara Municipality experienced floods in mid-January caused by heavy rains which affected about 7,000 people, 210 houses were completely destroyed whereas 385 others were affected in one way or the other.
The local firm, Gapco, which was declared winner of the ninth bulk procurement tender, is to deliver 311,038 metric tonnes of petroleum products for the month of April. The first ship of the ninth tender is expected to dock at the port on March 18.
According to the Petroleum Importation Coordinator (PIC) General Manager, Mr Michael Mjinja, eight companies collected tender documents, but only six managed to return them. The documents of three firms with more competitive bids were dismissed due to errors.
Gapco offered the most competitive importation price of $46.506 per metric tonne compared to the other six bidders. “The lowest premium price was $46.506, while the highest was $56.034 per metric tonne,” he explained.
Currently, the country’s oil consumption per day is two million litres of petrol, 3.9 million litres of diesel, 550,000 litres of jet oil and 190,000 litres of kerosene.
Head of Huawei's consumer business group, Richard Yu holding up the new 4.7-Inch Ascend p2
Huawei, a Chinese company that recently became the world's third-largest maker of smartphones, has released the new 4.7-Inch Ascend p2 "the fastest smartphone in the world" and wants to use it to expand global awareness of its brand.
“It's the ‘fastest’ because it supports faster download speeds than other phones. However, today's wireless networks aren't equipped to supply those speeds,” Head of Huawei's consumer business group, Richard Yu said.
The new phone can be programmed to display more than 100 different "themes," or looks. This is important because "ladies like flowers, colourful things," Yu said.
Yu also said Huawei is learning from Apple how to make Google's Android software easier to use, a lawsuit-friendly utterance considering that Apple is on a global campaign to sue makers of Android phones for copying from the iPhone.ccording to Yu, the new phone, the Ascend P2, will have a 4.7 inch screen and will be sold at about $525 without a contract. Between April and June, the product will be available in the market.
Huawei Technologies was the world's third largest seller of smartphones, after Samsung and Apple, in the fourth quarter of last year, according to research firm IDC. That's despite selling very few phones in the US, where the big phone companies mostly ignore it. It has a much better position in Europe, where cellphone companies have embraced its network equipment, and France's Orange is committed to selling the phone.
Tonnes of maize from Zambia to exported to Tanzania
Zambia Food Reserve Agency (FRA) is to supply 20, 000 metric tonnes of white maize to Tanzania following a recent signing of a $7 million pact with Tanzania National Food Reserve Agency (NFRA).
The transaction is meant to assist Tanzania to mitigate any chances of a shortage of white maize that is imminent in that country.
FRA Executive Director, Chola Kafwabulula, signed the maize export contract on behalf of FRA while the Tanzania National Food Reserve Agency Chief Executive Officer, Charles Walwa, signed on before of his agency.
Speaking during the signing ceremony at the FRA Head Office in Lusaka, Ministry of Agriculture and Fisheries Permanent Secretary, Siazongo Siakalenge, congratulated the two food reserve agencies for successfully signing the agreement.
He thanked the Tanzanian Government for looking up to Zambia for the supply of maize, saying this shows the confidence that that country has in Zambia’s capacity to feed the Southern African region in particular and the continent in general.
Speaking earlier, representative of Tanzania’s High Commissioner in Zambia, Justa Nyange, thanked the FRA for coming to the aid of NFRA to balance the maize stock in Tanzania.
Mr. Gratian Mkoba, President of Tanzania Teachers Union (TTU)
Tanzania Teachers' Union (TTU) President, Mr. Gratian Mkoba, has told Corporate Digest that the union is searching for about Tsh10 billion to boost their core capital that would allow them to establish a bank by June this year.
“To the moment we have mobilized bout Tsh12.5 billion through contributions from teachers. We are in a process to issue shares to our members to raise enough funds to boost our capital,” he said.
According to the requirement by the Bank of Tanzania, the minimum core capital requirement for establishment of commercial banks is Tsh15 billion. “The union is focussing to attain the requirements...and by June this year teachers in Tanzania will have their own bank. The facility would be officially opened by President Jakaya Kikwete.
Currently, TTU has more than 180,000 members as a special group. “After the bank starts its operations the door would be open for teachers from the private sector to join in.”
According to UTT president, after commencing operations, the union will negotiate with government to deposit teachers' salaries in their own bank, to increase its deposits which could enhance the financial facility's lending capacity.
An expert in Dar es Salaam has praised the move saying that the facility would help teachers to get services that sweets their interest for the good of their development.
“The bank will now allow teachers not to take loans from other financial institutions, they will now borrow from their bank with a reasonable interest...suitable for them,” said an expert.
The African Development Bank (AfDB) will finalize the development and installation of data portals in 54 African countries and 16 sub-regional and regional agencies by the end of July 2013 in a move to significantly improve data management and dissemination in Africa.
The ultimate goal of the program is to facilitate wider public access to official statistics and to support countries in their efforts to improve data quality and dissemination for better policy formulation, monitoring and evaluation.
According to the bank statement, successful completion of the program will establish live data links between the Bank and National Statistical Agencies, Central Banks and Line Ministries in African countries, on one hand, and linking the countries with each other and with other external development partners, on the other.
“This will facilitate easy data exchange, validation, analysis and dissemination using common international standards and guidelines,” read part of the bank’s statement.
The bank says the approach will not only ease access to statistical data and metadata in African countries, it will also help to improve the quality of the country data by making it more internationally comparable, harmonized, meaningful, and ultimately more usable.
Experts have praised the AfDB initiative saying that it will provides a unique opportunity for African countries to take the lead in implementing statistical standards at a regional level and make their data easily accessible through a common platform.
“The move will also revolutionize data management and dissemination in Africa, and reposition the continent for more effective participation in the global information economy,” experts said.
In a move, AfDB Statistics Department has teamed up with the IMF Statistics Department to help countries prepare National Summary Data Pages, as part of the preparation for subscribing to the enhanced IMF Special Data Dissemination Standards (SDDS-Plus).The Bank has also partnered with the European Union to provide easy access to agricultural data and to tools for simulating various agricultural policy alternatives.
The data submission facility will position the AfDB as the key depository for development data in Africa and the hub for data-sharing with other international development partners. This will also significantly reduce the data reporting burden of African countries since data will now only need to be uploaded once into the AfDB system and then shared with various development partners.
A delegation of BP senior officers led by their Vice- President in charge of Global Business Development Exploration and Access, Dr Jonathan Evans, presented the request to the Minister for Energy and Minerals, Prof Sospeter Muhongo, expressing interest to invest in natural gas exploration and drilling in the country.
“Tanzania is a potential country with good prospects in oil and gas. Several discoveries made by eligible companies have given us confidence to come and invest in the East African country believing that in the very near future we will be making a history in oil finding,” said Dr. Evans.
The company, according to the Minister for Energy and Minerals, Professor Sospeter Muhongo, should be ready to compete openly with several others which have already presented their requests. "Our ministry intends to seriously run all of its activities in a fair and transparent manner in a way that anyone who appears to engage in corruption, even though it is just a rumour, will expel himself from the business," he said.
However, Prof Muhongo has commended the firm for its good record, saying it is among few companies with no complaints on selling contaminated oil.
“Such behaviour adds credits for the company to be given a chance of competing with other companies for the opportunity to have a licence for oil and gas exploration in the country,” said Professor Muhongo.
One of the world's largest investor in insurance for emerging consumers, LeapFrog Investments, has announced a $4.25 million investment in mobile-based insurer BIMA, which has operations in Tanzania, Ghana, Senegal, Mauritius, Bangladesh and Sri Lanka, , reaching and protecting nearly 4 million people.
"LeapFrog provides us with world-leading expertise in product design and distribution, plus access to its portfolio of insurance companies. This distinctive support will enable us to innovate and scale in current markets and roll out in many new markets in the coming two years," explains Gustaf Agartsson, CEO of BIMA.
The new investment makes the total equity investment to be $7million of which $2.75 million comes from the existing shareholders, BIMA and the remaining is the new investment.
Both investment firms are backing BIMA to lead a second wave of mobile financial services. The first wave saw a cascade of mobile payments and banking across emerging markets. "Just as banks ultimately embraced mobile money, insurers will become rapid adopters of mobile technology," Mr. Agartsson explained.
This is new investment makes the LeapFrog's seventh insurance investment, with the fund's portfolio companies now spanning 10 markets in East, West and South Africa as well as South Asia.
"BIMA has harnessed the mobile revolution to dramatically reduce the price of premiums. Products such as life, accident and health insurance are provided on a commercial basis for as little as $0.20 to $6.00 a month," said LeapFrog partner, Stewart Langdon.
This radical affordability puts the safety net of insurance within reach of millions of low-income customers in emerging markets for the first time.
"BIMA is leading the way with a disruptive, profitable and high-impact innovation. It reaches customers who have been excluded from the economy for far too long, whether because of their income, rural location or lack of a bank account," explains LeapFrog's founder, Dr. Andrew Kuper. Adding that, the company is a perfect embodiment of our profit-with-purpose approach to investing.
The resulting partnership, connecting two very different industries, means the insurer is able to access a vast new customer base while the mobile operator bolsters its revenue and performance.
According to Dr. Kuper, BIMA does not replace traditional insurance companies or mobile network operators. Instead, the business uses technology to bridge the two, and provides further support on distribution, product development and daily management.
Launched in 2010 by Kinnevik, a leading emerging markets investor, BIMA was built on the simple idea of bringing more affordable insurance to people in emerging markets via their mobile phones. 18 months later, the firm become one of the largest mobile insurance platforms in the world, reaching and protecting nearly 4 million people in Ghana, Tanzania, Senegal, Mauritius,Bangladesh and Sri Lanka.
Director General of National Health Insurance Fund (NHIF), Dr Emmanuel Humba, have revealed that his management and other stake holders are contemplating on the introduction of a universal health insurance cover tha will be inclusive to all Tanzanias.
"The new cover will enable all Tanzanians, ranging from high to low income earners to befit from health insurance. Under this new cover we will make an arrangement to ensure that no one is left out” he said.
The decision to mull over the establishment of the new cover follows a research conducted in 26 district councils countrywide by journalists from various media outlets on how the councils could make use of health insurance funds to improve health services in the respective districts.
Dr. Humba further said that, to the moment NHIF is considering starting fresh registration of its members and beneficiaries in collaboration with the National Identification Authority (NIDA).
He said through the agreement, the health insurance fund will be able to reduce costs of producing new cards as it will engage NIDA to have some of the information such as finger prints to be shared amongst them.
"With six million beneficiaries of NHIF and Community Health Fund (CHF) countrywide, it would have cost us a lot if we produced the cards on our own, but through collaboration with NIDA, we will save funds that should have been used for the exercise," he explained.
According to Regus’ second Global Survey report on export business, canvassed opinion from more than 20,000 senior business managers in over 90 countries shows that 50 percent of global firms that export say they’ve increased profits over the last 12 months compared with 38 percent of companies that only trade domestically.
59 percent of companies that export said their revenues had grown compared with 37 percent of firms focused domestically.
According to the report, the most profitable areas for export are emerging markets, China and Europe. “Tanzanian companies with links to China and other emerging markets are particularly well positioned,” says the report.
The report says China is the most popular market with 48% market share ahead of Europe which has (41%), North America (36%), India (31%) and South America (31%).
China-Tanzania trade has been increasing steadily in recent years. In 2011, the total trade volume between the two countries reached US$2.15 billion, a 30 percent increase when compared to 2010.
The Bank of Tanzania (BoT) has recently said that an increase in receipts from travel, manufactured goods and traditional exports has improved performance for the country. The value of traditional exports amounted to $907.7m, compared to $684.3m exported during the year ending November 2011. "This development was mainly attributed to an increase in export volumes and unit prices.
Mr. Peter Vieira, Regus’ Area Director East Africa & Zambia commented that “Our report not only spotlights the advantages of export orientation for Tanzanian companies, it also highlights exporter concerns”.
He said that 63 percent of business persons in East Africa are hesitating from setting up a presence in the new markets out there due to the risk available in the market which includes political risk and the possibilities of natural disaster such as earthquakes, typhoons or flooding.
Mr. Vieira further said that, most business persons in East Africa are refraining from export oriented business due to worries about property and paperwork, an issue raised by 44 percent of respondents and the challenge of building an image abroad, a concern for 42 percent of respondents.
Over 24,000 business respondents from over 90 countries were interviewed during September 2012. These were sourced from Regus’ global contacts database of over 1 million business-people worldwide which is highly representative of senior managers and owners in business across the globe.
Respondents were asked what they felt were the biggest challenges to productivity when working from the home. The survey was managed and administered by the independent organisation, MindMetre.
In few weeks to come, Kenya will start exporting locally produced trucks and buses following the commencement of production at Toyota Kenya, a move expected to wage war of competition in the local commercial segment of vehicles.
“We are coming into the market at the very opportune moment; a lot of work has been done to prepare Kenya to be the country to watch in the near future. Hino wants to be part of that journey in trucks and buses segment especially to complement Toyota’s leadership in the passenger car and pick up segment,” said Hino’s managing director Mr Kazuhiko Watanabe.
The Kenyan plant is targeting to produce an estimated monthly production of 40 units with a projection of 1,200 units in sales annually by 2015.
The 9.9 tonnes Hino FC 500 Series, the first in line of production, will be retailing at Ksh 4.9 million (Tsh 88.6 million) while its 51-seater bus will be sold at Ksh 5.9 million (Tsh 106.7 million).
Toyota has partnered with South African firm Busmark for supply of bus body parts. The Hino trucks and buses will be assembled at the Mombasa’s Association Vehicles Assemblers (AVA).
Experts say the local assembly plant fits perfectly in the country’s developmental plans, especially by addressing our current rate of employment. Additionally the plant stands to grow all other complimentary industries in the country.
Toyota was relegated to the second position in automotive market share by General Motors in 2011 following a government plan to phase out 14-seater matatus which resulted in strong demand for new buses in the public transport sector.
Sales of commercial and public transport vehicles such as pick-ups, trucks and buses accounts for 40 per cent of industry deals, buoyed by increased demand in sectors such public transport, haulage and agriculture.
The buses and trucks business in Kenya is dominated by established players such as CMC, General Motors, Simba Colt and DT Dobie.
Local vehicle assemblers benefit from tax incentives on import of completely knocked down units (CKD) — the parts needed to assemble a vehicle — which are zero-rated in Kenya as opposed to a 25 per cent import duty on vehicle imports.
Hino Motors Limited first retailed in the Kenyan market more than two decades ago under Lonrho. It retrieved its businesses after Lonrho wound up.
The firm, which is largely known for its salon cars, will join the fray largely capitalised by General Motors (GMEA) to roll out the Hino line of commercial vehicles.
Hino is a subsidiary of global automaker Toyota Motor Corporation, and Kenya will be the third market in Africa after Morocco and South Africa.
GMEA currently commands the largest share in the commercial segment with its Isuzu trucks and buses. Last week the firm announced that it had done a complete overhaul of its Isuzu buses in tandem with changing consumer needs.
Mwanza Regional Education Officer (REO) Mr. Hamis Maulid receiving science text books from, Ms. Hawa Bayumi, Airtel’s CSR Manager.
Airtel Tanzania have donated science text books to 3 secondary schools in Mwanza region, a move praised by many as it adds value to the education sector in Tanzania.
“Airtel recognizes the many challenges facing education sector in Tanzania which leads to poor performance particularly in science subjects. We believe that this donation will play a great role in challenging students to learn more, do better and improve the examinations results,” Airtel’s CSR Manager, Ms. Hawa Bayumi said.
She said that, the mobile phone service provider remain committed to continue working with the government through the Ministry of Education in improving education through provision of learning materials. “Today Airtel is proud to be part of bringing positive change in education by providing text books to Kalebezo, Buhongwa, and Kabuhoro secondary school in Mwanza region.”
Expressing appreciation, the Head Teacher of Kebelezo Secondary School in Sengerema District, Mr. Thomas Muswaga thanked Airtel for recognizing their challenges saying that lack of adequate text books has been one of the most pressing challenges and Airtel’s donation is welcomed with great appreciation.
This year, Airtel under its “Our school” program is set to provide text books to 93 secondary schools across the country. To date over 900 schools in Tanzania have benefited through the program.
Taking advantage of the rapidly growing markets of eastern Africa, Canon Middle East, a marketer of printers, cartridges and toners, has now decided established a subsidiary in Kenya, joining a raft of multinationals setting up regional bases in Nairobi.
“Canon Kenya will provide marketing and channel development services in Kenya, Ethiopia, Tanzania, Uganda, Somalia, Eritrea, Rwanda and Burundi,” Mr Anurag Agrawal, the managing director of Canon Middle East, said.
The regional arm of Japanese firm Canon Inc that is banking on new office to oversee seven African countries will strengthen its position across the rapidly growing markets of eastern Africa.
The Canon entry in Kenya is expected to test the dominance of HP especially in the Kenyan and other East African markets.
Customers of First National Bank are in for as swell time with the successful introduction of cellphone banking as an additional channel from which customers can access their bank accounts.
“We are committed to continually releasing new products and services to improve the banking experience for our customers, and cellphone banking is an additional service to our bouquet of banking services,” said Mr. Dave Aitken, CEO First National Bank.
The bank which has been committed to providing world class banking services in Tanzania is now pleased to see customers benefiting from a wider choice of banking channels and allowing them to select the most convenient way to access their accounts. This is an addition to ATM’s, Branch and Online Banking.
“Now our customers can transact with us wherever they may be, as this solution provides 24hr banking convenience at their fingertips. All you need is to send an SMS and we will keep you updated on your account,” he said.
He noted, that the bank will continue to invest in Tanzania and work to exceed customer’s expectations.
Cellphone banking is available to consumers and SME’s and provides 24hr banking convenience and is available on all types of mobile phones and across all mobile networks in Tanzania.
The service is also available to roaming customers who have travelled outside the country using local and registered numbers with the bank. Customers can purchase Vodacom airtime, view balances, make payments to beneficiaries and transfer funds between accounts with their mobile phones and receive real time confirmation via inContact.
First National bank, as a group was voted as the Most Innovative Bank of the Year for 2012, in the BAI-Finacle Global Banking Innovation Awards. First National Bank in Tanzania recently celebrated its first anniversary and remains committed to providing efficient and innovative solutions to its customers.
A 45 years-old-bank, National Bank of Commerce (NBC), has announced that its assets for the year ending December grew from negative 0.36 percent to 4.33 percent, translating to Tsh1.508 trillion at the close of the year while deposits also increased from negative 1.77 percent to 3.49 percent or Tsh1.266 trillion.
The bank has also posted a net profit of Tsh 6.41 billion last year, thanks to reduction in bad debts written off. The bank suffered 5.68 billion loss in 2011 due to bad debts that were written off at the tune of Tsh 56.55 billion and a substantial amount set aside for impairment losses of Tsh 55.81 billion.
In last year's second quarter, bad debts chocked the bank to post a huge loss of Tshs 20.2billion which was the highest since the privatization of NBC and liberalization of the banking sector.
According to the bank, development in its profit for the last year is attributed net interest revenue that increased to Tshs 93.3 billion compared to Tshs 85.94 billion of the previous year while non-interest and other revenues contributed Tshs 55.13 billion and Tshs 52.64 billion, respectively.
Last year, however, NBC’s non performing loans (NPLs) stood at Tshs 117.4 billion being 16.8 percent of total gross loans issued up to the end of last December.
“Due to NPLs, the bank restricted its loaning out slightly from 56.9 percent to 54 percent equals to Tshs 653.01 billion,” read part of bank’s report.
The bank also managed to cut down expenditure to Tshs 128.06 billion from Tshs 137.41 billion of 2011, after closing a branch to reduce its workforce by 101 to 1,340. “This managed to amplify the bank’s profitability level,” NBC said in a report.
The bank however attributed the midyear losses to corporate impairment losses amounting to 13.9 billion and provisions of 13.7 billion raised for cost and under accruals from 2008 to June 2012, relating to technical assistance provided by a parent company abroad.
Some of St. Theresa secondary school students receiving one of the computers from Head of Vodacom Foundation, Yessaya Mwakifulefule donated by Vodacom recently.
In a move aiming to equip students with ICT skills, Vodacom Foundation has donated ten computers at a cost of $4,260.45 (Tsh 7 million) to students at St. Theresa Secondary School, Kahama District, Shinyanga Region.
“Vodacom believes that provision of the best education brings light of success to an individual and later to the society at large. Our dream is to make sure that a good number of Tanzanians get access to the best education that will in the future help them to grow and bring about development to their families and to the nation,” Head of Vodacom Foundation, Yessaya Mwakifulefule said.
He further said that through the foundation, the mobile service provider has pledged to dish out more funds and more equipment to as many schools as possible in each and every corner of the country in a way to supplement the government effort to bring about quality education for all.
Joyce Martin, the Principal St. Theresa Secondary School was certain that with the Vodacom donation in hand, students would be able to go along with the fast developing world and face the technological challenges out there.
“This world needs one to be well knowledgeable with the new developments in science and technology, I believe that with the new devices from Vodacom, we will be able to impart ICT knowledge to our students who will in the future bring about prosperity in the society, thanks to Vodacom foundation,” she said.
Magdalena Patrick, a St. Theresa student said, “Vodacom has paved a way for us to realize our dreams. With these computers we believe to make a different in our studies and to the society in the very near future.
Few weeks after facebook was attacked by hackers, Apple Inc has announced that it was recently attacked by hackers who infected Macintosh computers of some employees.
The company said that the unknown hackers infected the computers of some Apple workers when they visited a website for software developers that had been infected with malicious software.
"This is the first really big attack on Macs," Charlie Miller, a prominent expert on Apple security who is co-author of the Mac Hacker's Handbook, said.
He said that the attacks show that criminal hackers are investing more time studying the Mac OS X operating system so they can attack Apple computers.
For example, he noted, hackers recently figured out a fairly sophisticated way to attack Macs by exploiting a flaw in Adobe Systems Inc's Flash software.
"The only thing that was making it safe before is that nobody bothered to attack it. That goes away if somebody bothers to attack it," Miller said.
The same software, which infected Macs by exploiting a flaw in a version of Oracle Corp's Java software used as a plug-in on Web browsers, was used to launch attacks against Facebook, which the social network disclosed on Friday.
The malware was also employed in attacks against Mac computers used by "other companies," Apple said, without elaborating on the scale of the assault.
Twitter, which disclosed that it had been breached on February 1st and that hackers might give accessed some information on about 250,000 users, was hit in the same campaign.
Investigations into the breaches are ongoing. It was not immediately clear when the attacks had begun, the extent to which the hackers had succeeded in stealing data from targeted systems, or whether all infected machines have been identified.
Security firm F-Secure wrote that the attackers might have been trying to get access to the code for apps on smartphones, seeking a way to infect millions of end-users. It urged developers to check their source code for unintended changes.
Apple disclosed the breach as tensions are heating up over U.S. allegations that the Chinese military engages in cyber espionage on U.S. companies.
U.S. cyber security firm Mandiant reported over the weekend that it has uncovered evidence that the Chinese military is behind a slew of cyber attacks on U.S. businesses. The White House said it has repeatedly raised concerns about Chinese cyber theft with Beijing.
The breaches described by Apple mark the highest-profile cyber attacks to date on businesses running Mac computers. Hackers have traditionally focused on attacking machines running the Windows operating system, though they have gradually turned their attention to Apple products over the past couple of years as the company gained market share over Microsoft Corp.
Cyber security attacks have been on the rise. In last week's State of the Union address, U.S. President Barack Obama issued an executive order seeking better protection of the country's critical infrastructure from cyber attacks.
The outgoing Managing Director and CEO for Precision Air, Mr. Alfonse Kioko, (Center) introducing the new Managing Director and CEO, Ms. Sauda Rajab, (Right) to the Managing Director of Total Tanzania Limited, Mr. Stephan Gay, during the welcome party for the new MD.
Months after the encouraging results from airborne surveys conducted in 2012 at the East African rift valley, Otto Energy and Swala Oil and Gas Company have announced commitment for a second exploration year at their two Tanzanian production sharing agreements, Kilosa and Pangani basins.
"Our participation in the Kilosa-Kilombero and Pangani is a valuable entry point into the emerging East African oil and gas province where recent exploration successes have highlighted significant hydrocarbon potential. Interpretation of new gravity and magnetic surveys has confirmed the likely presence of Tertiary rift basins with a geological setting that may be similar to the recent Tullow Oil discoveries in Kenya’s Lokichar Basin, said Otto's Chief Executive Officer, Gregor McNab.
He further said, “Our position in Tanzania is consistent with Otto’s focus on South East Asia and onshore East Africa, and with our strategy of developing a pipeline of opportunities within the portfolio."
The two companies will now be required to acquire up to 500 line kilometres of 2D seismic across both the Kilosa Kilombero and Pangani PSAs to improve their understanding.
Results from the seismic program will be available before the end of 2013 when the joint venture will decide whether to drill a well in both exploration licence areas.
Otto entered the highly prospective East African Rift Valley in February 2012. The region is historically under-explored but is widely accredited as having significant exploration potential.
Tanzania government is set to use $ 243.4 million in the next ten years to cover the third phase of the Tanzania Social Action Trust Fund (TASAF) project.
Under TASAF III, the vulnerable poor people in all districts of the Mainland and Zanzibar will be covered by the fund. “Local authority leaders including councillors and village executive officers will be used to identify the beneficiaries,” TASAF Executive Director Ladislaus Mwamanga said.
“We will make sure that we avoid mistakes learnt during the implementation of the past two phases. In this new phase, my management has vowed to delivering at full capacity for the good of our fellow Tanzanians out there,” he said.
According to Mr. Mwamanga, lack of coordination at regional and district level contributed to underperformance of the past two phases.
Under TASAF III, the World Bank has provided $ 183 million (Tsh 300 billion) grant to support the project which will focus on health and education. Other donors supporting the initiative include Britain $ 14.6 million (Tsh 24 billion), Spain $5.4 million (Tsh 9 billion) and The United States $ 852,089 (Tsh 1.4 billion) while the government will contribute $ 27.3 million (Tsh 45 billion).
Tigo Tanzania is the only telecom company from Central, Eastern and Southern Africa in the ranking among some of the world's biggest socially devoted brands on social networks.
The study by SocialBakers shows that among the world's top 10 socially devoted brands on Facebook in the last quarter of 2012, Tigo Tanzania prestigiously ranked 8th globally on the chart because of its never ending commitment to customer satisfaction.
The company is ranked with an 87.30% response rate and 28 minutes response time. “Tigo Tanzania is not only responding to its customer's queries effectively, but it is also doing it with improved efficiency each time. Recognising the need and importance of timely feedback is what has earned us this great honor,” said Mr. Diego Gutierrez, Tigo’s General Manager.
He said that Tigo is continuously working on innovative ways to improve products and services and understand that in order to deliver successfully customer engagement is key at all levels of product delivery.
“We are where we are today because of our dedication to give immeasurable value to our subscribers, and with this honor we pledge to continue providing solutions that will make everybody smile,” Mr. Gutierrez said.
According to SocialBakers' Socially Devoted Study for October to December 2012, brands on Facebook are responding faster to questions from their fans. What previously took brands an average of 21 hours to respond to fans toward the end of June 2012, decreased to 19.5 hours during the end of 2012.
With the growth in digital technology there is more and more conversation in social networks, and Tigo being thought leaders and innovation pioneers in Telecom products saw this as an opportunity to engage with customers and interact.
“Everything we do at Tigo revolves around our subscribers, therefore there concerns, queries and comments are extremely important making this global recognition a great honor for us." said Mr William Mpinga, Tigo's Brand Manager.
Social networks are becoming popular gateways for customers seeking help or updates in crisis situations and as a result of this, brands that are committed to their customers and have the capabilities are tapping into them.
These social networks such as the worldly renowned Facebook, provide a better alternative to busy call centers and may inadvertently, through one post, respond to multiple customers sharing the same problem.
Previous reports include the December 2012 Global Social Media Report, where an extensive study was carried out on the number of Facebook Pages and users globally in countries such as the United States, Kingdom and Brazil, Azerbaijan, Serbia, Mexico, Poland and El Salvador just to name a few.
Socialbakers is the leading global social media analytics company that provides social media network statistics and analysis from Facebook, Twitter, Google+, LinkedIn and YouTube, helping companies monitor the effectiveness of their social media campaigns.
The Human Resource Manager of African Barrick Gold's (ABG) North Mara Gold Mine, Elias Kasitila (left), poses with an award from the National Social Security Fund (NSSF) for compliance and timely payment of members' contributions. Looking on from right are Zanzibar Second Vice President Seif Iddi, Labour Minister Gaudensia Kabaka and NSSF Director General Dr Ramadhani Dau.
Tanzanians have yet another reason to be proud of Vodacom’s M-Pesa service, after being listed among top 20 Superbrands in the country for 2013-2014, by the Centre for Brand Analysis (TCBA).
“It is an honour to be awarded such prestigious international award for being best service provider of M-Pesa in the country. The service has made significant progress and met the needs of financial service to many Tanzanians.” Rene Meza, Managing Director, Vodacom Tanzania, said.
Launched in 2008, the M-Pesa service has continued to grow and serve the needs of the Tanzanian market as an affordable and reliable form of money transfer both locally and internationally. M-Pesa is a credible payment/transaction solution for many Tanzanians who do not have bank accounts.
M-Pesa has significantly changed many Tanzanian lives through different programs. MWEI is among the programs that have changed a lot of women by giving them interest free loans to support their businesses hence developing their families.
In the same call, M-Pesa has supported the Transport my patient program through the Vodacom Foundation. Via M-Pesa, Fistula patients from all over Tanzania receive fare to CCBRT for treatment. This initiative aimed at changing the lives of 31,000 women in Tanzania by 2016.
So far, the service boasts of more than 4 million customers transacting more than Tsh40 billion per day. M-Pesa also has over 30,000 agents across the country, hence making it easy for customers to access its services.
M-Pesa takes pride in its partnerships with over 200 companies and institutions. Today, Tanzanians can settle electricity, water, insurance, and school fees bills, among others, through M-Pesa.
Through M-pesa services, customers in the country can also perform banking activities, such as withdrawals and deposits without necessarily going to the bank. Barely two weeks ago, M-Pesa partnered with NSSF in a deal that see individuals pay NSSF contributions through the service.
“All these and many other partnerships we have in the country give us courage to provide the best services desired by our clients. We anticipate on registering many others partnerships for the better good of our company and clients at large. Our aim is to make the lives of Tanzanians as comfortable as possible,” says Meza.
Superbrands, the largest independent arbiter on branding currently identifies and pays tribute to exceptional brands in over 90 countries globally.
Although a brand maybe intangible it is one of the most valuable assets a company owns.
The event’s approach coupled with the judgment of the Independent Council of Marketing experts makes this year’s exercise very exciting once again.
According to Jawad Jaffer, Project Director for Superbrands East Africa, a Superbrand is a brand that represents high quality, reliability and distinction. Superbrands are deemed to have established the finest reputation in their field, they offer customers significant emotional and/or tangible advantages over other brands, which (consciously or sub-consciously) customers want and recognize.
“In difficult global economic times a strong brand provides businesses with a powerful advantage over rivals. As such all the brands rated highly by both the experts and consumer we surveyed should be delighted that their reputation might provide them with a vital foundation in which to outperform the market,” says Jaffer.
Few months after failure of talks that could have made China National Gold Group Corporation buy a controlling stake in the Tanzania's largest gold miner, African Barrick Gold PLC, (ABG) operations; the gold miner is once again seeking to sell Barrick Energy Inc and Kabanga stakes, its 50 percent-owned nickel project.
“We continue to actively pursue opportunities to optimise our existing portfolio. We’re open to anything that will increase shareholder value,” Barrick Chief Executive Officer Jamie Sokalsky said.
The company announced that it is open to anything to boost its shareholder value, including selling its stakes at Kabanga Nickel Project in Kagera Region. The project is 130 km south west of Lake Victoria near the border with Burundi and owned by Barrick Gold and Xstrata Nickel.
To the moment, the world’s largest producer of the metal, have been approached by many buyers interested in its assets. “When I started talking about portfolio optimisation, the phone actually started ringing off the wall a bit, with a lot of buyers, and many of those buyers are serious buyers that are willing to look at paying a fair price for assets,” Sokalsky said.
Barrick Gold’s sale of Kabanga nickel mine will be the second in the line up of the company’s mines earmarked for sale in Tanzania.
In August last year, the company announced that its African arm, African Barrick Gold (ABG) may pull out of Tanzania and the continent if the deal to sell its 74 percent stakes to a Chinese owned mining giant sails through.
With about 17million ounces in reserves, the sheer size of Barrick’s resource base could be appealing to possible buyers, as could the miner’s sizeable position in Tanzania to other African miners seeking diversification.
According to its half-year report for the six months ended 30 June 2012, ABG produced 297,742 ounces of gold down by 14 percent compared to similar period last year—attributing the low production with lower grade material mined at Buzwagi, waste stripping at North Mara and batch processing at Tulawaka.
ABG’s revenue was US$534m, down by 8 percent compared to similar period in 2011.
Early this month, the company announced plans to begin an operational review of its business, which aims to reduce operating cost, and review capital discipline, organizational restructure and mine planning deliverability.
“As we progress through 2013, we are focused on reducing our cost base from current levels to ensure the business returns to delivering appropriate levels of free cash flow,” the firm said in a statement.
Dr. Kazaura, TTCL’s new Chief Executive Officer.
Dr. Kamugisha Kazaura have been appointed by the Tanzania Telecommunication Company Limited (TTCL) Board of Directors to be a new CEO of the company.
“In this new mission, my biggest ambition is to ensure prosperity of the company by increasing revenue and cut unnecessary expenditure as well as creating industrial harmony among workers,” said Dr. Kazaura.
He stressed that he will do everything possible to make sure that TTCL becomes the giant in telecommunication industry in Africa in few years to come.
“I believe that in few months to come the company will be among the profit making giants in the country, and in Africa in few years. Cooperation, creativity, transparency and commitment are the tools that will make this dream come true,” he said.
Before his appointment Dr. Kazaura was TTCL’s Chief Technical Officer (CTO). He holds PhD of Science in Information and Telecommunications studies from the University of Waseda, Tokyo-Japan.
Prior to TTCL, Dr. Kazaura was a visiting researcher and a lecturer at Waseda University in Tokyo since 1999- 2010 where he joined TTCL as a Chief Technical Officer.
In efforts to promote local technology, innovation and development, KINU Hub, a Tanzanian non-profit ICT innovation hub, has partnered with Samsung to provide local mobile application developers a mobile testing environment for local ICT entrepreneurs.
“Local ICT entrepreneurs now have the chance to formulate the software designed to cater for Tanzanian market. Thanks to the new innovation space launched,” KINU’s Co-founder Luca Neghesti said.
“Our Innovation Space is open for ICT collaboration, workshops and activities as well as space for pre-incubators for small teams who have an idea and want to move towards a viable concept,’” said Mr. Neghesti.
According to Mr. Neghest, the centre will assists young ICT entrepreneurs to access a very fast internet connection meant for working on their studies, ideas and projects, accessing information as well as downloading materials that assist them to create software.
He pointed out that it is high time for Tanzania as a country to develop her own solutions that truly meet the needs of people hence move from being importers of technology to exporters.
“The Tanzanian tech scene needs to be brought together to form a community; develop a culture of co-creation and innovation which will become the catalyst for growth and capacity building,” he said.
The Old Tanga Port.
In a move to create good environment for doing business in Tanzania and save hundreds of traders in landlocked countries, the National Social Security Fund has show interest to build new port along deepest shores of the Indian Ocean in Muheza, Tanga region.
“The harbour is expected to serve as a gateway to landlocked countries of Democratic Republic of Congo (DRC), Uganda, Rwanda and Burundi,” Yakubu Kitula, the NSSF Director of Projects and Investments said.
He said that the completion of the project in time would improve transport across the regions as it will reduce congestion at the key regional ports of Mombasa and Dar es Salaam.
According to Mr. Kitula, the new project will be located in an area which is adjacent to Muheza District which has the deepest natural harbours in the world.
The NSSF proposal makes the planned Tanga-Arusha-Musoma-Kampala railway line a real phenomenon rather than a dream.
“We believe that NSSF investment’s will create job opportunities in and out of Tanzania while the scope of revenue collections will also be expanded, however the fund’s members will enjoy sustainable income growth,” he said.
Mr. Kitula further said that NSSF is also planning to upgrade country’s unplanned settlements in the major cities in Tanzania in order to give people better life by demolishing houses set up in unplanned areas and come up with better buildings.
The NSSF envisions becoming a leading provider of social security services in Africa whereby it committed to promptly meet members’ evolving social security needs using competent, innovative, results-oriented and dynamic human resources and state-of-the-art technology.
Tanzania off-grid mobile users to embrace potable mobile chargers which can be powered by a bicycle dynamo or a solar panel.
Off-grid mobile phone users in Tanzania now have something to smile about following the move by the mobile phone giant, Vodafone, to launch portable mobile chargers across the country, which can be powered by a bicycle dynamo or a solar panel.
According to Vodafone, the ReadySet chargers are to be made available in the country this month. Experts say the move is likely to boost Vodafone’s profits in the rapidly growing market.
Tanzania is already one of Vodafone’s fastest-growing markets, as millions of people who have never had a landline telephone opt straight for mobiles instead – effectively “skipping” a stage of development.
“In a pilot scheme done in 2012, customers with access to a ReadySet charger spent an average of 14 percent more on their mobile phones than previously,” says Vodafone in a statement.
The ReadySet chargers used in the pilot scheme had a handle which vendors could use to carry the devices. However, so many sales people transported the portable chargers on their heads that Vodafone has now redesigned them with a comfortable curved base instead.
“The portable chargers will be sold, through the shops and sales people who already sell mobile phone credit and sim cards,” read part of the statement.
Tens of millions of people in rural - Africal have mobile phone handsets, but are effectively barred from using them because they have nowhere handy to charge them. Around 600m mobile phone users in Sub-Saharan Africa living “off-grid” spend $10billion (£6.45bn) a year travelling to somewhere so they can charge them, or powering their handsets with car batteries.
In another development, the UK based defense contractor, BAE Systems has signed a deal to resell Vodafone services in all its markets outside the USA. The company will also migrate its own mobile communications to Vodafone networks and will develop new products for Vodafone to offer to its customers.
The formation of the partnership is part of BAE Systems' aim to grow its cyber and security arm, BAE Systems Detica, in areas such as the communications technology market.
Once the Vodafone Mobile Threat Manager is appointed, Vodafone will provide services to BAE Systems' 35,000 UK employees from July 2013, with a view to expanding these services across its global workforce over the term of the five year contract. Vodafone is additionally discussing the supply of Unified Communications to BAE Systems in the UK.
The partnership also provides a framework for both companies to explore a broader range of joint security products for other business areas including interconnected devices using machine to machine (M2M) technology.
Deputy Minister in the Prime Minister's Office (Regional Administrative and Local Government) Aggrey Mwanri, receiving a Community Health Funds (CHF) membership card from Dr Rehema Nchimbi, the Dodoma Regional Commissioner.
By Lulu Ramole
The Re-designed Community Health Funds (CHF) in Dodoma will from now on operate electronically following the launch of a new Insurance Management Information System (IMIS) powered by Vodacom.
The new Insurance Management Information System (IMIS) which will be using up to date mobile data communication technology and electronic records, will allow easy and comprehensive solution for data management, including membership enrolment, contribution management, claims processing and payment, as well as member feedback collection.
Powered by Vodacom Tanzania, the new system will also allow health facilities to store and access claims submitted after treating CHF patients.
“Improved health services are the right of every citizen and the launch of IMIS would give prompt and accurate health services to members. The government appreciate what local and foreign stakeholder do in supporting social well being of Tanzanians’,” Deputy Minister of State Prime Minister’s Office Regional Administrative and Local government Aggrey Mwanri said during the launch in Dodoma over the weekend.
Vodacom Tanzania supports the project as the key communications partner. The company will be developing a pilot phase of the project up to January 2015 by providing free internet and text message communication between the central database and the health facilities.
The mobile service provider will also help in enrolling officers attached to the CHF network.
“Vodacom is proud to once again pioneer best practices in the medical field. We are committed to continue investing in the requisite technology that will enable professionals to better perform their functions. This is what connecting people and changing lives is all about for us at Vodacom,” said Vodacom’s Tanzania Head of Corporate Communications & PR Joseline Kamuhanda.
The development and introduction of the IMIS system, provides the CHF with a comprehensive solution for data management, including membership enrolment through mobile phone technology, contribution management, claims processing and payment, as well as member feedback collection.
“These changes are part of a broader initiative known as the Health Promotion and System Strengthening (HPSS) or Tuimarishe Afya Project, which is part of the development cooperation between Tanzania and Switzerland.” Said Manfred Stoemer; Project Manager of the Health Promotion and System Strengthening Project (HPSS)
According to Mr. Manfred, the introduced IT system will allow each insured individuals to access health care at any health facility across Dodoma Region. Each health facility attached to CHF network has been given a smart phone that will be connected to the database for easy enrolment and identification.
“In the new system, enrolment is now quick, easy and accessible. The facility can work in rural areas with limited internet access through backup provisions for offline data management.
The project is founded by the Swiss Agency for Development and Cooperation (SDC) and implemented by the Swiss Tropical and Public Health Institute (Swiss TPH), Switzerland, and her partner organization the Micro Insurance Academy (MIA), Germany, in cooperation with the Ifakara Health Institute, Tanzania.
A two and a half years old Tanzania Women Bank (TWB), has set aside about $1.23 million (Tsh 2 billion) soft loans for Mwanza residents.
“Women and residents of Mwanza should take advantage of the available opportunities to ensure they make meaningful contribution to their families, communities and to the national development as well,” Minister for Community Development, Gender and Children, Sophia Simba said during the official opening of the Tanzania Women's Bank branch in Mwanza.
She said that TWB believes that empowering women by enhancing their economic opportunities will significantly bring about social and economic development in the country.
The set loans will target individuals and small and medium entreprises that are available in the city.
“Up to the moment, about $ 185,300 (Tsh 300 million) soft loans have already been issued to residents. Hopefully by the end of this year, thousand will have benefited,” said TWB's Executive Director, Ms Margreth Chacha.
The bank was officially inaugurated on September 4, 2009 by President Jakaya Kikwete and has issued over $18.5 million (Tsh 30 billion) soft loans to the people in need since its inception.
To the moment TWB has provided credits to a total of two million entrepreneurs, and plans to see the number reaching 10 million people in the near future.
Dr. Judith Rodin, the president of the Rockefeller Foundation (pictured) said the 2013 competition seeks to award grants to innovators who are transforming the livelihoods of informal workers.
The 100 years-old, Rockefeller Foundation, has announced a new competition in search of solutions that will improve livelihoods for poor or vulnerable workers in the world’s informal economies.
“The Rockefeller Foundation is looking to tap the ingenuity and dedication of today’s social innovators to address the world’s most urgent challenges and ensure that informal workers can achieve equitable growth, all while building resilience in an increasingly volatile world,” said Dr. Judith Rodin, president of The Rockefeller Foundation.
Launched in celebration of The Rockefeller Foundation’s centennial anniversary, the Centennial Innovation Challenge will consider as many as 10 of the finalists for the opportunity to apply for a grant of up to $100,000 and win support in proposal-writing to enable the further development of submitted ideas.
“Together we can chart new paths that will transform the lives of the billions working in informal economies across the globe,” she said.
It is often out of necessity that 1.8 billion people find their livelihoods in the informal economy – the business enterprises and jobs that exist partially or completely outside of government regulation.
Informal workers lack basic safety nets like pensions and health insurance, and are typically without recourse if they are denied pay or are compelled to work in unsafe conditions.
“Improving working conditions, legal rights, and social benefits for informal workers would open new pathways to economic and social empowerment for millions of poor or vulnerable people worldwide,” Ms. Rodin said.
Informal employment is a significant and growing part of the world’s economy; it accounts for around 50% of employment in North Africa and in Latin America, 65% of employment in Asia, and 72% in Sub- Saharan Africa.
“Given the vast number of informal workers, it is important to spur new innovations that improve worker’s livelihoods in the informal economy,” said Ms. Rodin.
She further elaborated that the ideas for the 2013 Centennial Innovation Challenge will be accepted online at challenge.rockefellerfoundation.org until the deadline on April 1, 2013. This competition is subject to eligibility requirements, official rules, and is void where restricted or prohibited by law.
The Rockefeller Foundation aims to achieve equitable growth by expanding opportunity for more people in more places worldwide, and to build resilience by helping them prepare for, withstand, and emerge stronger from acute shocks and chronic stresses.
Throughout its 100 year history, The Rockefeller Foundation has enhanced the impact of innovative thinkers and actors working to change the world by providing the resources, networks, convening power, and technologies to move them from idea to impact.
In today’s dynamic and interconnected world, The Rockefeller Foundation has a unique ability to address the emerging challenges facing humankind through innovation, intervention and influence in order to shape agendas and inform decision-making.
While the transition from analogue to digital broadcasting services in Tanzania has started to accrue benefits since the country decided to enter the new system in phases from last December,
Communications Commission of Kenya (CCK) has now agreed to switch off analogue broadcasting signals in September 15 following the meeting between the telecommunications industry regulator and the Consumer Federation of Kenya (Cofek).
The move gives time to users in Kenya to acquire the decoders that will enable them receive digital signals on their television sets once the analogue signal is plugged off.
According to CCK, the digital migration would be implemented in phases. Nairobi City has been sighted as among the regions where the analogue signal will be switched off first.
The meeting agreed that CCK, Cofek and other stakeholders would explore modalities to lower costs of decoders that could easily be afforded by every citizen.
“We agreed that mechanisms to lower the cost of Set Top Boxes (STB’s) will be explored further in order to bring the price comes down significantly. The number of licensed vendors of the STB’s should also be increased from the current 22 to highest possible, said Stephen Mutoro, Cofek secretary-general.
He further said that the import and VAT waivers as well as subsidies should also be worked out to the extent possible. The pricing be left to market forces of supply and demand.
CCK will come up with a strategy to ensure a cost-effective consumer information, education and communication on all matters related to digital migration. “CCK will also draw lessons from the Tanzania experience,” he said.
So far, it is only Tanzania that has successfully managed to migrate to digital system in the East African community.
Zambia delegation is in Tanzania to learn from its counterparts and take the experience back home for implementation.
Deputy Minister for Information and Broadcasting in Zambia, Mwansa Kapeya affirmed that by 2015, Zambia will be in the digital system according to the Southern Africa Development Cooperation (SADC) countries agreement.
The digital migration deadline is in line with an International Telecommunications Union — a UN body’s global deadline of 2015.
Geita Gold Mine (GGM) urges potential job seekers in the Kahama, Mwanza and Geita areas not to be fooled by a scam that is requesting cash payment in order for applicants to be considered for several vacancies on its Mine site.
“We encourage job hunters to be cautious of any requests for cash payment for GGM vacancies. Any formal recruitment for GGM positions will always take place through an approved recruitment agency or directly. GGM does not require any form of payment during the application and hiring process”. GGM Managing Director Gary Davies said.
According to Mr. Davies, a letter using the AngloGold Ashanti’s logo promoting vacancies for cleaners, drivers, cooks, technicians and safety personnel has been in circulation since last week. The letter also features a mobile phone number as well as a rocket mail e-mail address.
He said that, GGM does not require any payment to lodge a job application nor does the Company require applicants to pay for medical screening or safety equipment up front.
The matter has been referred to the Tanzania Police Service for investigation.
Samsung Electronics is due to face stiff competition in months to come as its counterpart, LG Display Co announced plan to invest $656.7 million by June next year to install the production line that will mass produce thinner and more energy efficient displays for televisions.
Despite the fact that heavy investment shows LG's ambitious attempt to gain more ground in the production of next-generation displays, analysts don't expect organic light emitting diode (OLED) TVs to contribute to companies' bottom-lines any time soon given the difficulties in manufacturing them and low production yields.
Sony Corp, was one of the pioneers of OLED TVs but hasn't been successful in commercializing them.
“LG would have to see a significant jump in its yield to around 80% by next year“, analysts said.
OLED TVs are known to have more vivid displays than existing liquid crystal display models and enable companies to produce TVs with super thin screens. But TV makers in and outside of Korea, including Japanese firms, have been struggling to mass produce larger models because of technology constraints.
"In addition to technical and large-volume manufacturing challenges, OLED TVs also already face an uphill task of competing on prices with lower-priced, higher-resolution 4K LCD and even Full-HD LCD TVs," research firm IHS iSuppli said in a recent research note.
LG Electronics, which holds a 38% stake in LG Display, beat Samsung in launching a 55-inch OLED TV in January. The TVs were introduced with a price tag of more than $10,000, two or three times the price of equivalent size LCD TVs. Samsung Electronics has yet to show off its planned launch of 55-inch OLED TVs.
According to LG, the company’s production line for OLED panels will have a capacity to process 26,000 motherglass sheets a month that are big enough to make six 55-inch screens per sheet. OLED screens are also used in many mobile phones though bigger displays typically mean fatter profits for screen makers.
By the time OLED TV production achieves efficiencies in large-scale production, LCD TVs would have had an opportunity to become even more competitive in price and performance.
The Standard Chartered Bank (Tanzania) Limited has posted a climb of interest income to Tsh 85.62 billion for the year ending December compared to Tsh 58.15 billion recorded in the corresponding period of the year earlier.
However, the non interest income made a slight decline to Tsh 50.19 billion from Tsh 54.05 billion registered in the year before which could have been contributed by about 17.23 percent fall of fees and commission.
According to the Bank's Financial Statement, the bank has recorded Tsh 50.74 billion pre-tax profit in the year ending December 2012, up from Tsh 47.79 billion recorded in 2011.
Net profit jumped to Tsh 35.52 billion in the period ending December last year compared to Tsh 33.45 billion registered in 2011.
According to the financial statement, a total of Tsh 886.16 billion was collected as customer deposits while the registering a sum of Tsh 902 billion in the previous period. Likewise, the bank's nonperforming loans to total gross loans are 5.5 percent which is above industry benchmark of 5 percent.
The total assets value of the bank edged up to Tsh 1.36 trillion in the period under review compared to Tsh 1.34 trillion of the previous year. During the period, the bank recorded loans, advances and overdrafts worth Tsh 438.58billion compared to Tsh 576.71billion of the year before.
The introduction of solar powered internet school will provides opportunities to learn and connect for students.
In a strategy to reach out to some five million students in Africa by 2015 with its Solar Powered Internet School initiative, Samsung Electronics is now in talks with Tanzanian authorities to roll out its solar powered internet school concept in the country.
“Education is a big part of Samsung’s overall direct investment of around $10 million a year into Africa,” George Ferreira Vice President & COO at Samsung Africa said. Adding that “our smart education initiatives which are part of the smart government initiatives, have seen solar powered internet schools, E-Learning Centres and Smart Schools proliferating.”
The solar-powered internet schools are shipping containers converted to smart classrooms, run on solar power. They have now been rolled out in South Africa, Nigeria, Ivory Coast, Lesotho, Rwanda, Botswana and Angola, with the Botswana Government and UNESCO now having placed orders to scale the program in Botswana and Lesotho, respectively. By the end of this year, Samsung aims to have rolled-out around 150 solar powered internet schools across Africa.
“We have initiated talks with the Tanzanian government on ways to roll out the project in Tanzania too,” said Mr. Ferreira.
The company is also planning to introduce Samsung Electronics Engineering Academy in the country, which gives school-age students hands on electronics engineering skills.
“With six academies now operational in South Africa, Kenya, Nigeria, Ethiopia, Senegal and Ivory Coast, Samsung aims to expand the project to Angola and Tanzania and increase the number of academies in some of the countries where they are already present, said Mr. Ferreira, adding that by 2015, we want 10,000 electrical engineers to have gone through the training and be placed in employment in the ecosystem.
There is still room for growth in the company’s home appliance division, says Ferreira, but he believes new products coming to market in line with the built for Africa programme will boost uptake of the company’s home appliances.
Overall, he sees Samsung on an upward growth path in Africa. “We are very excited that the African consumer continues to believe in what Samsung has to offer them,” he says.
January Makamba, the Deputy Minister for Communications, Science and Technology.
In a move meant to give the State-owned Tanzania Telecommunication Company Ltd (TTCL) the much needed financial and management muscle to meet the increasing demands in the sector, Tanzania government is now in a plan to purchase the 35 percent stake currently held by Airtel Tanzania as part of a turnaround process. The government currently owns 65 per cent of TTCL.
January Makamba, the Deputy Minister for Communications, Science and Technology said the firm is facing challenges such as lack of capacity to embrace modern technology,” said Mr Makamba.
“TTCL has a wide network in the country and should have been among the best in the country…but due to lack of financial muscles the company is now underperforming and it is less competitive in the market. We need to do something as we are heading to be the ICT hub for East, Central and Southern African countries,” he added.
The government is now in talks with its counterparts on the aim to buy back the 35 percent shares. “This is one of the steps to improve things at one of the oldest companies in this country,” Mr. Makamba said.
He explained that with all the challenges the company has managed to do better in some areas like linking ministries, agencies and departments through the national fibre optic cable network.
In a five year plan that seeks to drive citizen adoption of the Vision 2030 priorities through ICT policies and initiatives, the recently launched first National ICT Master Plan projects that by 2017 Kenya’s ICT industry will be contributing an estimated $2 billion (some 25% of Kenya’s GDP) and create around 500 new tier ICT companies and over 50,000 jobs.
“Indeed, the plan is ambitious and it is an attempt to infuse ICT and knowledge into the Vision 2030 by enhancing citizen value. This will be attained though availing channels that will stimulate the set-up of ICT related businesses and therefore employment creation” said Paul Kukubo, ICT Board CEO.
The Kenya government has already introduced guidelines that will ensure attainment of full benefits of ICT in the near future.
“As a step towards its realization of the plan in hand, the government is working on standardizing business processes and developing sub-plans that will allow the delivery of innovative public services within government” said Information and Communication PS, Dr.Bitange Ndemo.
According to Ndemo, the strong governance and increasing engagement between the government and private sector will help to remove barriers that would impede execution in order to deliver a society based on knowledge.
The launch of the National ICT Master Plan comes just two days after a draft National Cyber Security Master Plan round table, a final review session for the country’s first document that seeks to establish a regulatory and policy framework in information security. The Strategy and Plan play a fundamental role in managing risks to government processes through securing the information assets
The BlackBerry Z10 consumers who will want to buy the device in two years contract have something to smile about as they will get the device at a cheapest price of about $154 per unit. If you want it off contract, it’ll cost $400 – 600, a competitive amount against BlackBerry’s rivals.
“We are seeing strong sales in UK and Germany, but other countries like Canada don’t seem too hot for the BlackBerry Z10. Shops are reporting about 250,000 unit sales in the UK, a great amount for what was a failing company a year ago,” says BlackBerry.
BlackBerry still does a better job at pricing than Apple, with the iPhone 5. The BlackBerry Z10 costs more to make per unit than the iPhone 5, although this could be due to Apple’s cheap deals with their components and manufacturing partners.
Slashgear has the information on their website, which they sourced from CNN money “The 4.2-inch display for the Z10 costs around $26.50. The 1.5GHz dual-core Qualcomm processor costs about $23.50. The 8MP rear-facing camera and 2MP front-facing camera totals about $15. The 16GB internal storage costs around $9.00. The other components, including the battery, communication chips, and RAM total $21.00. Finally, the casing, as well as the other small electronics included in the Z10 total around $59.00. All of this adds up to $154.”
The BlackBerry Z10 is about to be launched in the US, after a month of waiting for the device to ship. Trouble with carriers has left BlackBerry waiting for the approval, before they can ship to the US.
The attackers were able to access the tech giant's computer network after employees visited a mobile developer's website which downloaded malware - software often used to steal information onto employees' laptops.
"As soon as we discovered the presence of the malware, we remediated all infected machines, informed law enforcement, and began a significant investigation that continues to this day." The company wrote in its blog post.
The staffers whose laptops were infected were found to be running up-to-date anti-virus software. But the attackers used what is known as a "zero-day" exploit, software that exploits previously unknown flaws in computer software, making it almost impossible for anti-virus software to detect.
The flaw was found in a piece of Java software, and Facebook said it has reported the vulnerability to Oracle, the company that makes the software. Java has been the centre of a global security scare.
Last month the US Department of Homeland Security urged people to disable Java software after hackers figured out how to install software that enabled them to steal users' identity, credit card and banking information and attack other websites.
Facebook said it was not alone in the attack and said "others were attacked and infiltrated recently as well", though it did not name the affected companies.
"We plan to continue collaborating on this incident through an informal working group and other means," the company said. The social network is adamant that no user data was compromised.
The president of the Rockefeller Foundation Dr. Judith Rodin has announced the appointment of Mamadou Biteye as managing director for the Foundation’s Africa Regional Office, effective April 29. In this role, Biteye will oversee the Foundation’s work across Africa.
“I am delighted to welcome Mamadou to The Rockefeller Foundation,” said Dr. Rodin. “He brings with him decades of experience, and expertise in the development sector in Africa, which will strengthen the Foundation’s impact as we enter our centennial year. I am thrilled to bring on new leadership in Africa that will steer our grant making and partnerships into the future.
Biteye joins the Foundation’s Nairobi-based Regional Office from Oxfam Great Britain, West Africa Regional Center, where he is currently the regional director responsible for strategic program leadership and overall management of the West Africa region, including eight country offices.
“The Rockefeller Foundation’s legacy of building resilience and fostering growth with equity, particularly through its longstanding leadership in agriculture and health across Africa, is one that I am honored to carry forward,” remarked Biteye.
“I am excited to join the Foundation’s team of innovators, and to lead an expansion of its efforts to secure livelihoods and transform cities as Africa adapts to globalization. Through strong partnerships, we will find new ways to improve the well-being of millions of people from Durban to Dar es Salaam to Dakar,” he said.
Prior to Oxfam, Mamadou was the Executive Director of the Association for the Development at the Grassroots (Senegal). An agricultural economist by training, he has over twenty years of experience in strategic leadership, human resources management, financial management, program development and implementation, public policy analysis, advocacy and campaigning and community participatory development.
Earlier in his career Mamadou was Financial Officer at the African Development Foundation (Senegal Country Liaison Office), Coordinator of “Sustainable Use of Wild Species Program” at The World Conservation Union, IUCN, Branch Manager and Coordinator of the “Small Rural Operations Program” under an IFAD/World Bank Development Loan Program for Women at the National Agricultural Credit, Bank of Senegal, and was a Program Officer at Sahel, Etudes Assistance, Conseil Agency, SEAC.
A native of Senegal in West Africa, Biteye holds a Master’s degree in Agricultural Economics with specialization in Microfinance/ Microcredit and Management of Financial Institutions from Ohio State University in the U.S. He also earned a Master’s degree and Bachelor of Science degree in Agricultural Economics from The Crimean Agricultural Institute in the Ukraine.
The Rockefeller Foundation aims to achieve equitable growth by expanding opportunity for more people in more places worldwide, and to build resilience by helping them prepare for, withstand, and emerge stronger from acute shocks and chronic stresses.
Throughout its 100 year history, The Rockefeller Foundation has enhanced the impact of innovative thinkers and actors working to change the world by providing the resources, networks, convening power, and technologies to move them from idea to impact.
In today’s dynamic and interconnected world, The Rockefeller Foundation has a unique ability to address the emerging challenges facing humankind through innovation, intervention and influence in order to shape agendas and inform decision making.
2012 was a good year for banking industry in Tanzania. Recent records show that more banks have been reporting more profit increase than the year before.
According to experts, the new developments have been attributed by improved environment for doing business.
The impressive words come after the Bank of Baroda (BoB) reported an increase in operating profit. The Bank’s operating profit increased by 124 percent to Tsh 3.35 billion at the quarter ending last December compared to Tsh 1.49 billion realised during a similar period in 2011.
The bank attributed the good profit in the last year's fourth quarter to increased interest income and reversal of provision made against impairment losses on loans and advances.
During the period, earned a net profit of Tsh 2.43 billion in three months ending December 2012 as against Tsh 1.83billion December 2011. According to a financial statement published, Bank's interest income increased to Tsh2.82 billion by last December, from Tsh 1.99 billion during the corresponding period last year.
BoB's interest expenses doubled during the quarter under review up to Tsh 1.03 billion from Tsh 573 million due to increase in cost of deposits. Noninterest expenses, on other hand, marginally increased from Tsh 609 million to Tsh 696 million. At the close of the year, its gross non-performing loans decreased from 4.83 percent to 0.25 percent, below the industrial benchmark of 5 percent.
NMB performance.
However the National Microfinance Bank (NMB), the country's largest bank in terms of profitability has posted a staggering net profit of almost Tsh 100 billion for its operations last year, mainly pushed up by net interest income.
The pro-poor bank, which has the widest network coverage of branches and ATMs, posted a net profit of Tsh 97.59 billion at the end of December 2012, up from Tsh 71.84 billion in 2011. The profit, which is the highest in the history of the bank, was mainly attributed to net interest income that generated Tsh 278.45 billion last year against Tsh 185.17 billion in 2011.
The revenue from loans proceeds was driven up by expansion of the loan portfolio, which grew to Tsh 1.35 trillion from Tsh 1.24 trillion of the previous year to push up loan to deposit ratio by almost 2.0 percent to 60.52 percent. The bank assets grew by 6.86 percent to Tsh 2.79 trillion while customer deposits reached Tsh 2.27 trillion at the end of last year.
CRDB performance.
According CRDB Bank, the country's biggest bank in term of assets has doubled its profits last year, thanks to the net income and foreign exchange dealings that pushed up its performance.
The bank, CRDB, which last quarter opened a branch in Burundi, posted a net profit of Tsh 75.64 billion at the end of last year compared to Tsh 37.71billion realised the previous year.
The results published on Thursday by CRDB attributed the superb profit since the aftermath of global financial crisis three years ago, to net income interest that increased by 31 percent to Tsh 206.22 billion.
Also, non-interest income (mostly fees, administrative charges and commissions) rose by 59 percent to Tsh 97.97 billion pushed mainly by earnings from foreign currency dealings that generated Tsh 22.39 billion compared to Tsh 1.55 billion in 2011.
CRDB this time around wrote off no bad debts, but set aside Tsh 29.66billion for impairment losses on loans down, from Tsh 31.22billion of previous year.
William Zelothe Stephen the first Tanzanian Maasai to be certified to fly an Airbus A319
William Zelothe Stephen is the first Tanzanian Maasai to be certified to fly an Airbus A319, following his training to become a pilot for fastjet. He recently undertook his two-month training in the UK, sponsored by fastjet, returning this week to Tanzania. William is originally from Olosipe, near Arusha.
William likens his experience of flying the Airbus A319 to being in a “state-of-the-art house”, and describes the plane as a very stable aircraft with multiple protection systems. ‘’The Airbus aircraft really looks after you, if you know the ins and outs of it,’’ he said.
William has a background in wildlife management, and first trained as a pilot at Florida Aviation Academy in the USA back in 2006, where he obtained his Airline Transport Pilot Licence. Despite his young age, he has already clocked up 3,053 flying hours.
Hiring this 28-year old Tanzanian pilot is part of fastjet’s efforts to ensure the airline hires the best, locally trained staff. Their recruitment strategy is also part of their wider social responsibility plans to invest in Tanzania. Each pilot training cost approximately 49,546,400 TZS which is equivalent to $ 31,027.
Fastjet is a new low-cost African airline that recently acquired Fly540 and launched the continent’s first true budget carrier.
The airline which, is backed by Lonrho and easyGroup founder Sir Stelios Haji Ioannou, has introduced competitive fares of as low as Tsh 32,000 before taxes in order to enable millions of people who have previously been locked out of air travel to fly for the first time and to fly more often.Since the airline’s launch in November 2012, the low cost airline has flown over 70,000 people with 99.7% of flights on time.
African Barrick Gold operations in Tanzania.
Tanzania's largest gold miner, African Barrick Gold PLC, (ABG) has announced plans to begin an operational review of its business, which aims to reduce operating cost, and review capital discipline, organizational restructure and mine planning deliverability.
“As we progress through 2013, we are focused on reducing our cost base from current levels to ensure the business returns to delivering appropriate levels of free cash flow,” African Barrick chief executive officer Greg Hawkins said in a statement.
“Cash flow generation and improving returns from our assets form a key part of our operational review and we will update on our progress throughout the course of the year,” he added.
The gold miner said it expects to produce between 540,000 and 600,000 ounces of the precious metal this year at total cash costs, including royalties, of between $ 925 and $ 975 per ounce sold.
Gold production in 2012 was 626,212 ounces at a cash cost of $ 949 per ounce sold.
On Wednesday ABG posted a fourth quarter loss driven by heavy write-downs and a warning of a further fall in output.
The company, says the net loss in the three months ended December 31 was merely below $ 46 million or 8.5 cents per share.
The gold producer posted profit of $ 55.1 million or 12.8 cents per share a year earlier. However, African Barrick said revenue rose to almost $ 288 million from $ 285 million.
The firm reported its cost of sales rose to $ 217.8-million in the quarter compared with $ 177.5-million in the 2011 period. It also took a $ 44.5-million impairment charge, versus none in the year-earlier period.
On an adjusted basis, net earnings were $ 11.3-million or 2.8 cents per share in the quarter, down from $ 52.7-million or 12.8 cents per share.
Precision Air Chairman Mr. Michael Shirima (centre) welcoming the new CEO Ms. Sauda Said Rajab during a press conference in Dar es Salaam. Shaking hands is outgoing CEO, Mr. Alfonse Kioko.
Precision Air (PW) has yesterday announced its new CEO Ms. Sauda Said Rajab, who is joining the Airline as of March 1st 2013.
Ms. Rajab will be joining the company from Kenya Airways where she has served in different capacities for the last 23years and the most recent being the General Manager Cargo.
Ms. Rajab has had a tremendous experience in both Sales and Operations in the airline industry; the new appointment makes her the first lady CEO in Tanzania’s Airline Industry.
“Ms. Rajab is a seasoned airline executive with a proven track record of performance, milestones and integrity She will bring in a new vision and management style to grow the airline amid competition to much greater heights. She has the potential to build on the strong foundation that Mr. Kioko’s team established,” Precision Air Chairman Mr. Michael Shirima said.
He further added “Sauda has testified to the huge potential of the airline after a preliminary look around and has committed herself to creating a good shareholder value and dividends.”
Ms. Rajab will be taking over from Mr. Alphonce Kioko who is retiring voluntarily.
Mr. Kioko leaves after 10 years at the helm of the Airline in which he steered Precision Air to almost incredible growth and achievements.
“When he joined in 2003 the fleet consisted of two old ATR 42’s and a few smaller aircrafts but now the airline has 9 new ATR aircrafts (1ATR 42-300, 7ATRs 42-500, 2ATRs 42-600) and 2 Boeings 737-300 bring total fleet currently to 12 which has given leverage to Precision Air being the only Airline in Tanzania to operate the most frequencies and routes regionally.” Said Mr. Shirima.
Passenger numbers grew from 200,000 in 2004 to about a million as expected this year through the double digit annual percentage growth and Revenue growth of Tshs.20billion in 2004 to now Tshs.163billion in 2011/2.
The outgoing CEO has worked inexhaustibly and selflessly, and has catapulted the Airline to great heights in the Aviation Industry.
“The success this Airline enjoys to date is a testimony in itself. We are proud of Kioko for what he has accomplished for us at PW. His decade commitment has been most prolific and we are sorry to see him retire,” says Shirima.
Speaking to the member of press in Dar es Salaam, the retired CEO, Mr. Alfonse Kioko said “The Success of Precision Air has not been a personal effort but that of the Precision Air Customers and Staff who I like to call the Precision Air family, all along they have been resourceful and supportive, I hope they will extend the same to Sauda.” adding that he want to be associated with Precision even in years to come.
On her part, Ms. Rajab said she is excited to be joining a successful homegrown Airline such as PW and is ready to steer forward the way to keep the legacy that her predecessors have laid for her. “I am excited for this opportunity; I look forward to good times in this Airline.” She said.
Her forte has been that of a change agent, and has brought positive changes in all the areas she has worked with the previous employer.
London Stock Exchange-listed firm, Tullow Oil Plc, has announced plans to drill 40 wells in Africa in 2013, notably, Kenya and Ethiopia. The announcement comes few days after it had strucked Kenya first-ever commercially-viable quantities of crude oil from its oil wells in northern Kenya.
The Ngamia-1 and Twiga South-1 wells in Turkana, northern Kenya, had shown confirmed ability to produce 2,351 barrels daily. The firm said tests were still ongoing.
“Major basin-opening discovery in Kenya with the Ngamia-1 and Twiga South-1 wells; Twiga South-1 well flow-tested at a combined rate of 2,351 barrels of 37 degree API oil from two zones with the final test ongoing,” British exploration firm said in a statement.
Tullow Chief Executive, Aidan Heavey, said 2012 was a year of major progress for Tullow, “We materially enhanced the business with a basin-opening oil discovery in Kenya, by adding highly prospective new licences in Africa and the Atlantic Margins,” he said.
The Kenyan government announced the first discovery of oil in the country in 2012, but the quantities were not immediately confirmed as commercially viable.
“Our financial position underpins our highly ambitious 2013 exploration programme which has high-impact wells planned in Kenya, Ethiopia, Norway, Mauritania, Mozambique, Côte d'Ivoire and French Guiana,” Mr. Heavey said.
Following an acute need for a stable power supply, and the fact that the demand for electricity continues to grow at a fast rate, Tanzania government has called for Kibo Mining firm to present its Rukwa coal-to-power project proposal to the Tanzania Ministry of Energy and Minerals on February 22 this year.
“We received a formal invitation to present details of the project at a meeting that would also be attended by the Tanzanian Electricity Supply Commission,” Kibo Mining CEO Louis Coetzee said in a statement.
Through a subsidiary of its majority-owned Mzuri Energy, Kibo signed a memorandum of understanding in 2012 with an Asian conglomerate to develop a 250 MW to 350 MW power station alongside the Rukwa coal project, which is located near Mbeya in south-west Tanzania.
Mzuri Coal aimed to enter into a long-term coal offtake agreement with the coal-fired plant developer.
American Airlines and US Airways have announced plans to merge, in a deal that would form the world's biggest airline.
The merger will bring American Airlines closer in value to rival Delta Airlines, with an estimated market valuation of $11bn (£7bn). This marks the conclusion of talks that started back in August 2012.
The carrier will be run under the American Airlines brand, but the chief executive will be the current US Airways boss, Doug Parker.
"The combined airline will have the scale, breadth and capabilities to compete more effectively and profitably in the global marketplace,'' US Airways boss, Doug Parker said in a statement.
He said, "Our combined network will provide a significantly more attractive offering to customers, ensuring that we are always able to take them where they want to go."
The lion's share of the new company will be owned by American Airlines' bankruptcy creditors, who will have 72% of the company. The companies said they expected savings of more than $1bn a year.
Not including affiliates, it will have around 900 aircraft and run more than 3,000 flights, employing 100,000 people. The deal will need approval from competition regulators and a US bankruptcy court before going ahead.
The move follows a period of intense consolidation for the US airline sector, with Delta hooking up with Northwest and Continental with United. It reduces the number of US airlines to four.
Could this be good news for customers?
Some analysts see benefits for customers, particularly corporate clients that prefer airlines with larger domestic and international networks.
Furthermore, "the wave of big mergers in the industry has created healthier and more profitable airlines that are now better able to invest in new planes and products, including Wi-Fi, individual entertainment screens, and more comfortable seats for business passengers," said Jad Mouawad at The New York Times.
However, most independent analysts agree that further consolidation in the industry will likely lead to higher prices. The new American will have far more pricing power, and the Big Four have fewer competitors to contend with.
The fare for a domestic roundtrip ticket has risen by more than 11 percent since 2009, according to the Bureau of Transportation Statistics. The latest merger may present opportunities for discount airlines like Spirit, but such carriers don't have the footprint of an American or United.
With a history stretching back 80 years, five years' ago, American had grown to be the world's biggest airline. It was a pioneer of the loyalty programme for frequent fliers and also brought in the system of sliding prices according to demand.
But deep losses pushed the company into bankruptcy, with the company blaming labour costs and the unions blaming poor management. More than a year ago American Airlines' parent company filed for bankruptcy protection.
Moving along with growing customer needs, Gulf based Qatar Airways has launched a new mobile application for BlackBerry, Android, and iPhone handsets, and has introduced a new mobile website.
The new application will allow customers to search for, and book flights, check their flight status and follow travel alerts. In addition, members of the airline’s Privilege Card frequent flyer programme can fast track their booking by logging in with their membership number.
“We are continually looking for ways to bring new and exciting services to our customers. Mobility is high on the list of our customers to have access to important travel and flight information when and where they want it, so we have now given them a new service that meets that demand” Qatar Airways chief executive, Akbar Al Baker said in a statement.
The move by Qatar to introduce the application has come few weeks after British airways launched use of Ipads to connect between its clientele and staff.
“As our customers’ needs evolve, so will the services and products that we offer,” said Mr. Al Baker.
According to Mr. Al Baker, the mobile website can be accessed by entering qatarairways.com directly into the browser of any smartphone or tablet. “Customers can also download the application at qatarairways.com/mobile and follow the links to the iPhone, BlackBerry or Android smartphone app store.
The new line of services being offered is part of the Doha-based carrier’s commitment to continue providing customers with a Five Star service with added value benefits.
One of the world’s fastest growing airlines, Qatar Airways has seen rapid growth in just 16 years of operations. The airline currently operates a modern fleet of 119 aircraft to 124 key business and leisure destinations across Europe, Middle East, Africa, Asia Pacific and The Americas.
Miners working in the Tanzanite One's Block C mine.
Tanzanite producer, Richland Resources, has announced the evaluation of proposed resumption of graphite production at its existing Merelani tanzanite licensed area, in Tanzania, which had been operational from 1996 to 1998 before being converted to a tanzanite mining operation.
“With a significant non-Joint Ore Reserves Committee - compliant resource and reserves determined at the Merelani graphite mine, coupled with increased global demand for graphite flakes, the company is confident that this low-cost and near-term revenue diversification strategy will greatly contribute in helping to realise shareholder value moving forward,” Richland CEO Bernard Olivier said in a statement.
Historically, 8,000 t of graphite concentrate had been produced, with current work focusing on historic data to verify the historic production, resource, grade and quality.
Further, Richland restarted bulk sampling of its tsavorite project, located 20 km from its tanzanite mine, which saw some 666 t collected and processed from six different sites within the deposit area.
TanzaniteOne Mining, a subsidiary of Richland Resources, said in a statement that negotiations with the government of Tanzania regarding a potential shareholding by the State on the ownership structure of the mining licence covering Block C at Merelani is going well and it is at advanced stage.
“The company is confident that once the negotiations have been completed with government, the subsequent joint venture (JV) agreement will greatly assist the company in realising even further value from its tanzanite operations,” Richland CEO Bernard Olivier said in a statement.
On Monday, the mining firm reported a lower-than-expected fourth-quarter revenue of some $ 3.9-million, following the theft of $ 1.46-million worth of tanzanite from its Tanzania-based sorting house, in December last year.
About 89 066 g of material was stolen during the break-in at the company’s sorting house.
Richland told shareholders on Monday that the insurance claim and police investigation were progressing well and that it would update the market shortly.
According Richland’s statement, income for the quarter ended December 2012 was substantially less than the $ 5.9-million revenue posted by the gemstone producer in the fourth-quarter of the previous year.
Meanwhile, the company’s tanzanite production increased to 795,162 ct from the processing of 7,812 t of material at an average grade of 102 ct/t for the period, up 43.5% on the 554,060 ct produced in the fourth quarter of 2011.
The headquarters of Toyota, located in Toyota, Aichi Japan.
The EAC common market is becoming increasingly important to investors around the global, offering access to a market of 130-million people with free movement of factors of production.
The region, in recent years, has been witnessing a health flow of potential investor’s comming and injects their capital by opening subsidiaries in some of the countries.
In the new development, the Japanese conglomerate, Toyota Tsusho Corporation, chose to establish a regional headquarters in Nairobi, setting the stage for big-ticket investments in Kenya and its neighbouring states.
“The new office will search for investment opportunities in the energy, oil, agricultural, and health sectors as the company ramps up its local portfolio of investments. The establishment of a hub in East Africa will provide access to countries surrounding the EAC and new business opportunities in those countries too,” said Toyota Tsusho Corporation in a statement.
Toyota said, the new office will be in charge of the conglomerate’s business in Kenya, Uganda, Tanzania, Burundi, and Rwanda. “The East African office will in the long term have significant interests in the automotive, logistics, chemical, farm mechanisation, and geothermal sectors,” read part of the statement.
The firm’s existing local investments include a new vehicle dealership (Toyota Kenya), used car sales (Toyotsu Auto Mart), and its contract to build KenGen’s Olkaria I and IV geothermal plants that will produce 280 megawatts of power.
Toyota says the restructuring is aimed at taking advantage of more investment opportunities created under the East African Community, an economic integration of five regional states.
The firm’s regional headquarters in Nairobi further boosts the capital’s profile as a regional investment hub, joining other multinationals such as General Electric, PepsiCo, and Beiqi Foton that have set up similar operations.
An influx of foreign direct investment is seen as critical in creating new jobs and boosting exports that in turn earn foreign exchange.
US-based restaurant chain Subway which opened its sixth Subway restaurants in Tanzania last week, has announced plans to open its first Kenyan outlet in August this year to tap into growing demand for eating joints by an expanding middle class.
Subway Company which fashions itself as a restaurant for working-class consumers seeking fresh, healthy quick foods has franchised about 39,000 stores worldwide.
“The first restaurant is expected to open by August of this year. We then expect to open at least two more this year with a goal of 20 stores over seven years,” said Mr. CJ Bak, director of Liberty Eagle — the franchise holder for Subway restaurants in Kenya.
According to Mr. Bak, Kenya’s emerging middle class will have something to smile about as the franchise will be operating in a model that would be offering food at a pocket-friendly price for all.
He further said that food prices of international restaurant operators in the in Kenya and in other East African countries are charging higher price than in their home markets due to expensive raw materials. He cited an example of Tanzania which has some of the highest food costs than any anywhere in the world, particularly for meats.
Mr. Bak further said that it would not be cost-effective to use global suppliers for the East Africa market. “We will seal deal with potential suppliers available in the region as well as signing partnership deals with local farmers.
Describing Subway as one of the largest buyers of turkey and tuna globally, Mr Bak said it would not be cost-effective to use their global suppliers for the East Africa market, adding that they would have to sign partnership deals with local farmers.
He said that the company recently launched a promotional campaign in Dar es Salaam, where the restaurants are selling a different sandwich each day of the week for less than an equivalent of Sh 250. The chain opened its sixth Tanzania outlet last weekend.
Subway will have to contend with competition from local sandwich shops such as Subzone, which has outlets at Westgate Mall and Lavington.
Available data shows that, hotels and restaurants sector in Kenya has grown at an average rate of 5.9 per cent in the past three years to a total value of Sh 20.79 billion in 2011, from Sh 18.99 billion in 2009, as per the latest Economic Survey data.
In 2008, when the economy was hit by post-election violence, the sector contracted by 38.6 per cent, Kenya National Bureau of Statistics data shows.
The Tanzanian authorities have informed the International Monetary Fund (IMF) that they have decided to draw the equivalent of about US$114.2 million (SDR 74.6 million) available to them under the Standby Credit Facility (SCF) arrangement approved on July 6, 2012.
The first review under the SCF arrangement for Tanzania was completed by the IFM Executive Board on January 9, 2013.
The authorities consider this decision to be an integral part of their response to heightened external sector vulnerabilities and emerging balance of payments pressures, and expect this step to boost market confidence.
“The Tanzanian authorities are to be commended for their prudent policy management and progress in stabilizing the economy. The overall macroeconomic outlook remains favorable, with buoyant growth and declining inflation. Continued tight fiscal and monetary policies are crucial for securing sustainability,” said Mr. Naoyuki Shinohara, IMF Deputy Managing Director and Acting Chair said in a statement following the Executive Board’s discussion on Tanzania.
He said that planned tightening of monetary policy is appropriate in view of the remaining inflationary pressures. The authorities are committed to taking additional measures if needed to attain the targeted decline in inflation.
“The budget for 2012/13 appropriately balances the country’s development and social spending needs with the debt-stabilizing objective. To preserve the fiscal consolidation path and avoid a build-up of arrears, any revenue shortfalls would be offset by cutbacks in recurrent and non-priority capital expenditures while safeguarding critical social spending,” said Mr. Shinohara.
He further said that any financial support to the energy sector would be accommodated within the existing fiscal framework. An action plan is being finalized to address the financial challenges facing the power utility, preventing costly power outages and large quasi-fiscal losses.
“Structural reforms under the program aim to secure fiscal sustainability and support a strong economic expansion in the medium term. Priorities include modernizing the VAT regime, strengthening public financial management, and improving debt management,” he said.
According to Mr. Shinohara, Tanzania’s large current account deficit and related vulnerabilities call for readiness to adjust policies in the event of external shocks, with a view to preserving macroeconomic stability and keeping the program on track. “The floating exchange regime would continue to provide helpful flexibility in this regard,” he said.
Tanzania government is calling for local and international eligible research firms to conduct survey on financial access among Tanzanians, with the aim of measuring changes in financial access since the first one which was done in 2006.
The survey which is to be conducted later this year will be funded and coordinated Financial Sector Deepening Trust of Tanzania (FSDT) in closer collaboration with the Bank of Tanzania (BoT), National Bureau of Statistics (NBS) and other key stakeholders.
According to the statement issued by FSDT a robust sampling process will be needed to ensure the validity of data. It is intended that the data will be representative at provincial as well as national levels.
“FSDT has learnt from the previous Finscope survey done in 2009, with the aim of improving targeted dissemination and analyses of the results. This year FSDT aims to carry out the third survey using electronic data capture. This in turn should improve the use of surveys by private and public stakeholder alike,” read part of the statement.
The FSDT was established by five government donors: Canada, the UK, Sweden, The Netherlands and Denmark, in close collaboration with the Bank of Tanzania and the government.
The overall aim of the trust is to provide greater access for more people to engage with the financial sector throughout the country.
According to the survey conducted in 2009, rural areas getting financial services are far less compared to those in urban areas.
“Demand is high, so it’s better for the government to improve the policy of providing financial institutions in all areas,” said the report.
In Tanzania the second Finscope survey was done in 2009, which had a total of 7,680 sampled points covering all districts.
Korogwe District Commissioner, Mrisho Gambo (second from left) giving loan a to Hadija Tengeza during the loan giving ceremony. Witnessing are Vodacom Public Relations Officer Salum Mwalim, Vodacom Foundation officer Ally Mbuyu and the Vodacom Foundation Manager, Grace Lyon (right).
Women entrepreneurs have been urged to adhere to all the terms and conditions after receiving interest-free loans through the M-Pesa Women Empowerment Initiative (MWEI).
Speaking in Tanga Region, where more than 250 women received interest-free loans through the project, Korogwe District Commissioner, Mrisho Gambo, said that this will increase credibility and enable women to get more loans in future, hence boost their businesses.
“It is not that easy to have access to loans in financial institutions. The MWEI project has however been of great help in this country and I urge all the women to take it up to benefit themselves and their families,” says Gambo.
Mr. Gambo further said that women should wisely use the loan for the intended entrepreneurial purposes so that they could be able to support themselves economically and socially while struggling to end poverty in their families and to the society around them.
“I applaud Vodacom Foundation for the endless efforts it has put to alleviate poverty in this country, and I hope the same spirit continues in days to come,” he said.
The women received interest-free loans ranging from Tshs50,000 to Tshs100,000, barely a month after another 250 woman benefited from the same initiative in Morogoro.
“It is clear that Vodacom cares for the welfare of its customers and Tanzanians at large. It is the responsibility of all of us to respect and be truthful in order to strengthen this relationship. I urge all those that have benefited from this project to always remember this,” he said.
Vodacom Foundation Manager, Grace Lyon, explained that the MWEI project will continue with its commitment in supporting women across the country.
“Since this project was initiated in 2007, over 7,000 women in Tanzania have benefited from it. We are proud of its successes so far and we shall continue to support women through MWEI,” manager of Vodacom Foundation, Ms. Grace Lyon said.
Fastjet, the African low-cost airline has announced robust business result for the month of January, by recording a total of 26,414 passengers, with a load factor of 66.0% during the month. The load factor represents the number of passengers expressed as a percentage of seats available.
According to Ed Winter, Chief Executive Officer of Fastjet, passenger numbers in January picked up after an expected post-Christmas lull, while bookings for February are ahead of expectations.
"Load factors and forward bookings for February are well ahead of expectations. Having established our reputation for total reliability on Tanzanian domestic routes, we will soon be looking to offer flights to international destinations such as Johannesburg and Entebbe," Mr. Winter said.
Fastjet said that there were no cancellations in January and punctuality was an eye-catching 99.7%. Since it started operating in late November, Fastjet Tanzania service has carried more than 58,329 passengers.
With the group’s Fly540 operations in Kenya, Angola and Ghana included, the number of passengers carried in January was 84,645, with a load factor of 63.1%.
In the 12 months to the end of January, the number of passengers carried on all operations was 734,373, up 53.6% on the 478,110 carried in the preceding 12 months.
"This is a great performance for just our second month of operations, particularly given the seasonal lack of activity following Christmas, which, as expected extended into the month before business activity returned to normal,” Winter said.
Corporates and Managers of Barclays all around the world, Tanzania inclusive, will now have to get set to look for other greener pastures following the bank’s move to slash atleast 3,700 jobs.
According to the Barclays’s statement issued yesterday (Tuesday), at least 1,800 positions will be slashed in the Corporate and investment bank unit and about 1,900 retail and business banking jobs outside the United Kingdom.
The bank's new CEO, Antony Jenkins, has warned his staff that making money won't be the only thing on which they'll be judged. Ethics count — and matter more in the long run than what happens in the fourth quarter.
The move to cut at atleast 3,700 jobs come after the British institution was forced to pay a $ 453 million fine for manipulating a key market interest rate that serves as the basis for trillions in mortgage loans.
A slew of executives, including chief executive, Bob Diamond, were forced to resign. It also faced criticism for mis-selling of insurance and interest rate products to consumers and small businesses.
"It's not complicated," he said. "It's about recognizing that we're in business to serve our customers and clients, to deliver return for our shareholders. But also to be good for the societies where we do business, particularly Britain, where we are a major bank."
He said, the bank has already taken steps to back his words. Barclays has closed the structured capital markets business — which sought ways for its customers to pay less tax on their investments — as well as cutting bonuses and removing branch sales incentives. Even so, he said it would take years before "people changed their impression of us."
"Believe me, I understand the cynics and the skeptics out there, but cynics and skeptics never built anything. This is about fundamentally changing Barclays. And we will be judged by our actions not our words." He said.
Barclays recorded a loss of 236 million pounds ($ 368 million) for 2012 against a net profit of 3.9 billion pounds for 2011. It made 2.45 billion pounds in provisions in 2012 for compensating clients for the mis-sold products.
Nigeria-based conglomerate Dangote is installing a $ 420 million state-of-art cement factory in Mtwara region, southern Tanzania, which is expected to produce three million metric tonnes per annum. Dangote hopes that the new cement plant will supply countries in the East African Community market as well as Malawi and DR Congo.
“We are looking at getting a good chunk of the market share in East and Central Africa. We hope to push our production capacity to 50 million metric tonnes per annum within the next five years, based on its ongoing projects, which are at various stages of completion,” said Devakumar Edwin, Dangote’s, group executive director in charge of business development.
The region is currently undergoing a massive infrastructure upgrade, which has pushed up demand for cement as governments invest in the construction of roads, ports and bridges, railways and energy projects.
According to Dangote head of communication, Tony Chiejina, the factory will be completed in the second quarter of 2015. “The construction, in conjunction with Chinese firm Sinoma International Engineering Company Ltd, has already commenced,” he said.
Currently, Tanzania has an estimated production capacity of three million metric tonnes per annum against a demand of 2.2 million tonnes per annum. With the new plant in hand; Tanzania is set to more than double its cement production capacity upon reaching 2015.
The price of cement per tonne remains relatively high in Tanzania, averaging between $ 90 and $ 105 due to high energy costs and dependence on imported clinker.
In Tanzania, a 50kg bag of imported cement retails at Tsh 12,500 ($ 7.8) while locally produced brands are selling at between Tsh 13,000 ($ 8) and Tsh 15,000 ($ 9.3).
In Kenya, current prices range between Ksh 700 ($ 8) and Ksh 750 ($ 8.5) per 50kg bag while in Uganda, the average price is Ush 32,000 ($ 12) as at December 2012.
Vodacom Tanzania in partnership with the Ministry of Health & Social Welfare and Switchboard International has introduced a health network program that will allow more than 9000 medical practitioners from all around the country to be connected. The move has been praised by many as it will strengthen health systems and improve patient care in the country.
“We have introduced this kind of program so that medics will have the privilege to communicate and share information among them free of charge. This will allow them to exchange ideas, views and experience towards providing quality services to Tanzanians .They will be making free calls and send about 50 free SMS per month,” Head of Vodacom Foundation, Yessaya Mwakifulefule said.
According to Mr. Mwakifulefule, beneficiaries of this program will include doctors, assistant medical officers, medical specialists, clinical officers, assistant clinical officers, dental officers, assistant dental officers, dental therapists, and dental specialists in the country.
He further said that the programme will support health professionals in their line work to seek guidance and advice by being in contact with other practitioners from the other side of the country. Practitioners can freely and immediately access critical information and support.
Basic intervention like sending best practices and disease outbreak alerts and collecting data in real-time can have profound health impacts.
“We are happy to be part of this initiative as we will be participating in supporting needy Tanzanians who require immediate attention,” said Mwakifulefule.
The Health Network Programme is designed to support the Tanzanian health workforce in conducting their jobs and improving patient care nationwide. It is our hope in the future to expand the Programme to other cadres throughout Tanzania.
According to Mwakifulefule, the selected practitioners will register and join by dialing *149*24#. For registration, the practitioners are advised to provide a government cheque number or Medical Council of Tanganyika Registration. Those without the requirements can still register and get verified by their District Medical Officer (DMO).
A section of passengers, who boarded the first ATCL flight to Mtwara, walk to the Mtwara Airport passengers lodge shortly after the National airline re-introduced its Dar es Salaam - Mtwara direct flights which will fly four times a week.
The abundant oil and gas available in Mtwara region, southern Tanzania, complemented by the ongoing investments has boosted to the growth of the aviation industry in the region in which the number of passengers has been growing tremendously.
Day to day increase of passengers has in the recent months attracted a good number of airlines to venture in doing business in the area.
This weekend, Tanzania flag carrier, AIR Tanzania Company Limited (ATCL), re-launched its Dar es Salaam- Mtwara direct flights with a promise to increase flight frequencies as well as offer affordable fares.
The airline used its Dash 8-300 plane with a capacity of carrying 50 passengers, during the introduction, but the management mentioned that once the number of passengers increase exceeds capacity of Dash 8, they will deploy the Boeing.
According to Ms. Ngocho, the recommencement of the national airline services in Mtwara will transform air transport in the region by ensuring competitive and quality services offered to passengers.
“I want to assure Mtwara residents that the national airline has come to serve the people of this region. We will fly to Mtwara four times in a week; that is on Mondays, Wednesdays, Fridays and Sundays, but adjustments will be made depending on demand. Passengers to this destination should expect from ATCL airline services which are safe and cost effective,” she said.
Mwanamvua also mentioned that the airline will charge from Tsh199,000 for a return ticket, and promised that the airline will work on cutting down the traveling cost further to enable travellers to and from Mtwara realize the commercial benefits of using air transport.
On his part, Mayor for Mtwara Mkindani, Selemani Mtalika Shilingi, who was the guest of honour, said now that the National airline has resumed its services to Mtwara, the era of monopoly enjoyed by one airline to that region which was forcing passengers to pay high fares, has now ended.
“I am happy to see the National airline resuming its services to Mtwara. For a very long time, Mtwara had been monopolized by one airline. For sure, where there is no competition, the issue of prices always becomes a challenge to consumers. Passengers from and to Mtwara had been paying relatively higher fares. Now that ATCL is here, and the Acting Commercial Director has just assured us, Mtwara residents and our visitors will now enjoy a safe and affordable air transport service,” said Mr. Shilingi.
The Mayor said the rate of passengers traveling to Mtwara region has increased tremendously in the recent past, because of the commercial face that Mtwara has acquired after the discovery of large volumes of natural gas and being rich in cashew nut production.
“Many investors are coming in, and soon Mtwara will have a very different outlook. This attraction to invest in Mtwara has increased the number of passengers traveling by air. I am sure that ATCL will soon realize an increase in passengers demanding to use their services and therefore will drive the airline to increase flight frequencies soon,” he said.
Reintroduction of Mtwara flights comes barely a month after the airline resumed the Kigoma flights after renovation of the Kigoma airport was completed.
By Corporate Digest Correspondent.
InReturn Capital, a Nairobi based private equity company that invests in small-to-medium sized enterprises (SMEs) across East Africa, has rebranded to Jacana following its merger.
The rebranding is in the first phase of a legal merger between InReturn and Jacana, that is expected to close in the first quarter of 2013. The merger will create an SME private equity group with Pan-African coverage that will manage a new $75 million SME fund expected to close later this year.
“The merger of InReturn Capital with Jacana Partners represents a big step forward in private equity investment for SMEs in East Africa,” Anthony Gichini, Partner at InReturn Capital said.
According to Mr. Gichini, Jacana’s unique model combines international private equity experts with highly-experienced local teams, “meaning our entrepreneurs will benefit from strategic advice from international business experts as well as dedicated African investment managers on-the-ground who can add-value and provide hands-on management support. This combination is our winning formula which helps us build strong businesses and deliver superior returns,” he said.
The move marks a significant boost for East African entrepreneurs seeking value-add expertise and growth capital for their SMEs. By partnering with Jacana, entrepreneurs will receive: increased access to private equity investment; dedicated on-the-ground investment teams; international private equity expertise and larger deal sizes of between $1-5 million (up from InReturn’s current transaction size of $ 0.5-1.3 million).
The rebranding and subsequent merger is the rational next step for a partnership that has been running successfully for three years and follows the rebranding of Jacana’s West African operations (previously Fidelity Capital Partners) in August last year.
Jacana has invested over $ 20 million to date in 20 portfolio companies employing over 1,300 people. In East Africa, five investments have been made to date, a stone quarry, an eye care centre, a supplier of tarpaulins to the relief sector, a serviced office provider and a logistics company and several other transactions are contemplated in the next few months.
“By merging our African and European operations, we are consolidating our business into a single fund manager, operating under the Jacana brand. As well as investing the remaining capital from our existing funds, the new Jacana will deploy a new $75 million SME fund that we are currently in the processing of raising from international investors,” Simon Merchant, CEO of Jacana said.
He said that the new fund will allow Jacana to significantly increase the scale and geographic reach of its operations and will be invested in SMEs in up to eight countries in East and West Africa.
“We firmly believe that a unified Jacana operating under the unique Jacana identity is the optimal platform upon which we can fulfill our mission of building the best SME private equity team in Africa, creating sustainable jobs and supporting long-term economic growth,” said Mr. Merchant.
Jacana currently operates in six markets in East and West Africa (Ghana, Kenya, Liberia, Sierra Leone, Tanzania and Uganda) and intends to move into two new countries with the new fund, such as Ethiopia, Nigeria and/or Francophone West Africa.
Jacana is the only Pan-African private equity company with a permanent commitment to the SME sector.
Airtel Public Relations manager Jackson Mmbando (left) presenting school uniforms and shoes to one of the students of the Kiromo primary school which were provided by Airtel Tanzania at the end of this week. Witnessing the handover is Airtel Social and Responsibility manager Hawa Bayumi (second left) and by Kiromo Primary school head master Nasib Pangahela.
Airtel Tanzania has donated school uniforms and shoes to Kiromo primary school in Bagamoyo as part of its corporate social responsibility program to the community.
“Through our programme, ‘shule yetu’ we aim at complementing the government efforts by ensuring that academic performance growth and availability of books to students in most secondary school are mutually and timely attained,” Airtel Social corporate responsibility Manager Hawa Bayumi said.
Showing its commitment, the mobile phone service provider, has donated 600 shorts, 600 skirts, 1193 shirts and 728 shoes to Kiromo primary school. The donation is worth Tsh 50 million.
Airtel Tanzania is in the frontline to support the education sector in the country. More than 900 schools in the country have so far received teaching aids, books and benefited from Airtel shule yetu project.
Kiromo Primary school is one amongst schools in the country that are benefitting from ‘Airtel shule yetu project’. In the course of the project, Airtel has been reconstructing classrooms, changing school environment, as well as giving teaching aids and computers.
Wentworth, the East Africa and Rovuma Basin-focused oil & Gas Company, announces the appointment of Gerold Fong as Vice President Exploration.
Mr. Fong is an Exploration Geophysicist with over 30 years of international and frontier experience in many basins worldwide. He will lead the Company`s geology and geophysics ("G&G") reviews, analyses, and interpretations.
"We are delighted to welcome Gerold to our management team as he brings extensive international and East Africa-specific upstream expertise and more than 30 years of industry experience to the Company. Gerold is a successful explorationist and leader, and this combination will serve us well. Under Gerold`s guidance we will realise the potential of our Rovuma Basin portfolio and we will deliver on our commitment to maximize gas production and discover additional hydrocarbon resources for future production," Geoff Bury, Managing Director of Wentworth said.
Most recently Mr. Fong was Vice President Caribbean region for Niko Resources where he directed a multi-disciplinary team responsible for all of the company`s operations in Trinidad.
As a co-founder and CEO of Voyager Energy, Mr. Fong was responsible for assembling an impressive exploration portfolio in Trinidad. This success led to the eventual sale of Voyager to Niko Resources in 2010.
His regional exploration experience spans the globe and he has been involved in the evaluation and management of projects in the Caribbean, South America, Southeast Asia and Africa.
In Africa he has previous experience in the evaluation of projects in Tanzania, Kenya and Mozambique.
Mr. Fong started his career in 1982 and throughout his career has held technical and management positions with a number of large and mid size international exploration companies. Mr. Fong has also served as an International Exploration consultant and has advised many independent Canadian oil and gas companies on their international exploration strategy.
Mr. Fong holds a B.sc. in Geophysics from the University of Calgary and is a member of the Association of Professional Engineers and Geoscientist of Alberta.
He will represent Wentworth at concession operating and technical committee meetings as well as provide operating and technical support during exploration and development drilling. Mr Fong will help develop and implement the Company`s overall upstream growth strategy and will report directly to Managing Director, Geoff Bury.
This appointment comes in response to:
The need for development drilling of the Mnazi Bay and Msimbati Gas Fields in Tanzania;
the need for accelerated exploration of the entire Mnazi Bay concession in order to address future local and regional demand for natural gas;
increased G&G and drilling programmes recently approved for the Onshore Rovuma concession in Mozambique; and
M&A and other corporate transaction opportunities the Company reviews on a regular basis.
French giant Total SA in few months will acquire a licence to explore oil and gas in Lake Tanganyika.
Total SA, Europe’s third-biggest oil company, is set to be given an opportunity to explore oil and gas in Lake Tanganyika. The permits will be issued to the oil firm in the next few months.
“After some several talks with the Paris based firm, Total SA, we have now decided to award it a license to explore oil and gas in Lake Tanganyika, on the border with Democratic Republic of Congo,” Energy and Minerals Minister, Sospeter Muhongo told Corporate Digest.
He said that the government is confident the giant firm has the potential to undertake the activities and will able to comply with the minimum work commitment. “The firm has superior technical as well as a financial capability to successful undertake exploration activities in the area,” Minister for Energy and Minerals, Professor. Sospeter Muhongo told Corporate Digest.
Interest in East Africa as a new hydrocarbon region has been heating up in recent years after major discoveries of oil in Uganda and natural gas in Tanzania and Mozambique.
Lake Tanganyika is shared between Tanzania, Democratic Republic of Congo (DRC), Burundi and Zambia.
A state-run petroleum agency, Tanzania Petroleum Development Corporation (TPDC) has divided the Tanzanian side of Lake Tanganyika into two blocks, with the southern portion having been awarded to Australia's Beach Energy in 2008. The exploration block has the potential to contain 200 million barrels of oil, according to the firm.
Early August last year, Beach Energy revealed in a statement that the lake has the potential for large discoveries and there are clear signs of a working petroleum system on the Congolese side.
“There is an oil slick, a natural oil seep that sits on the lake on the DRC side. I think it’s the largest natural oil seep in the world. What that indicates is there is a working petroleum system underneath the lake.” Read part of the report.
Wealth management
According to Professor Muhongo, Tanzania plans to create a sovereign wealth fund that will use growing oil and gas revenue to finance development projects in East Africa’s second-biggest economy.
The government has just completed a second draft of a policy document for the gas industry that’s aimed at improving revenue management. “After feedback from the general public and companies has been incorporated, parliament is expected to vote on the policy, which hasn’t been updated since 1980, before the end of the year” he said.
Early September last year, Professor Muhongo ordered the Tanzania Petroleum Development Corp to delay the country’s fourth international licensing round for offshore oil and gas blocks until after the policy is ratified. Nine blocks were to have been auctioned on Sept. 13.
“We have emphasized in this document that natural gas has to be of benefit to the citizens of this country,” Muhongo said. “Secondly, that the resources will be used wisely for today and for future generations and that the gas economy will be integrated in the national economy.”
Among the benefits Tanzania hopes to draw from its natural gas wealth is to more than double electricity production to 3,000 megawatts by 2015.
The Azania Bank Director in the Managing Director's office (Treasury Management and Business Development) Godwin Seiya (left) hands over a Tsh5million dummy cheque to the Aga Khan Hospital Medical Director Dr. Jaffer Dharsee (right) being support for the 2013 Breast Cancer Awareness Campaign organized by the hospital.
In a bid to create public awareness on the fatal disease, breast cancer, Azania Bank Limited has donated 5 million shillings to Aga Khan Health Services that will be used boost this year’s breast cancer awareness drive.
“The bank is committed to support various social programs as part of our Corporate Social Responsibility (CSR) and in the course of giving back a certain percentage of the Bank earnings to the society we work with,” Godwin Seiya, the Azania Bank Director said.
Mr. Seiya noted that his bank has decided to support the campaign to sensitize women and the public in general to make routine tests at least once a year, with the view of minimizing risks for many women who are potential future victims.
Records indicate that up to 1.5 million women have breast cancer problems. Tanzania accounts for 1,307 of the breast cancer victims. “We at Azania Bank believe that the only way to minimize the risk is through public sensitization. With proper information dissemination, breast cancer victims can seek early medication thus increasing their chances of living," he said.
According to Aghakhan Hospital Medical Director Dr. Jaffer Dharsee during the event said the campaign targets to screen up to 5000 women throughout the country this year.
He said last year’s campaign that was held in Dar es Salaam, Mtwara, Dodoma and Lindi cost upto $ 100,000 (Tsh 160m) and reached 3000 women in the four regions.
“We will continue with the campaign this year and our target is screening 5000 women across the country this year. We will also bring on board cervical cancer screening this year. We call upon various corporate companies to render support to the campaign,” he said.
Vodacom Tanzania has pledged to take hold of East Africa’s mobile money industry with its M-Pesa service by attracting more than 600 small and medium companies and over 6million individuals by the end of this year. Pictured is Vodacom Tanzania Head of Communications and Marketing, Kelvin Twissa explaining something during the recent partnership between Vodacom Tanzania and NSSF.
More than 6000 members of National Social Security Fund (NSSF) from the informal sector can now settle their contributions through M-Pesa, following the recent partnership between Vodacom Tanzania and NSSF.
“The new development is initially aimed at simplifying payments to our clients from the informal sector. NSSF boasts of more than 6000 members registered from the informal sector who will benefit from the partnership,” NSSF Managing Director Dr. Ramadhan Dau said.
The contribution for Informal Sector members starts at Tsh20,000 and above per month.
“We are proud to enter into this partnership with NSSF. We believe that this will go a long way in serving Tanzanians in the best way possible,” Vodacom Tanzania Head of Communications and Marketing, Kelvin Twissa said.
He further said that the issue of lining up to make contributions at NSSF branches has now been addressed. “Time is very essential to all of us and we believe that all these individuals will save that time for something else…to do this, members are advised to dial *150*00# … the NSSF business number is (770770),” said Mr. Twissa.
Currently, the company has more than 160 organizations which have accepted bill payment via M-Pesa. The authorities are confident that the number of organizations will hike as days goes by.
Vodacom Tanzania has pledged to take hold of East Africa’s mobile money industry with its M-Pesa service by attracting more than 600 small and medium companies and over 6million individuals by the end of this year.
“We have upgraded our M-Pesa platform to allow it to cater for more than 10 million active customers, a move that will see even more Tanzanians opting to use it as a payment solution,” he said.
The company has also reported a 48% overall increase in its customer base. This is a big leap compared to 4 years ago, when M-Pesa was first launched in the country, and there was a slow growth recorded in terms of service subscriptions.
“The increase in our mobile money service uptake is a result of providing customers a safe and consistent way of sending money across the country,” said Mr. Twissa.
According to Mr. Twissa, the company prides itself on creating solutions for its customers through innovative services. As the growth trend shows, we are confident that by the end of this year, we will be able to create a strong customer database ever.
M-Pesa is a total payment solution which does not require users to have a bank account - an important consideration in Tanzania where millions of people do not operate bank accounts and can barely meet the minimum qualifications to open account.
The jointly owned Tanzania Zambia Railway Authority (TAZARA) projects its revenue to reach $6,935,128.00 per month as it is planning operate 18 trains per week over the next six months.
Operating 18 trains per week would mean one freight train departing from both New Kapiri Mposhi and Dar es Salaam, in addition to the already established two passenger trains per week from each of the two main stations.
“Achieving the set target, the management from the two countries, Tanzania and Zambia, should make sure that they improve operations by focusing on customers through a service plan,” TAZARA Managing Director, Akashambatwa Mbikusita-Lewanika said.
With the service plan, transparency will be assured and each smart partnership customer will know when their train will depart and when freight is scheduled to be delivered to destinations and when passengers can expect to arrive at their destination, on a targeted, predictable, efficient and attractive basis.
“They should also make significant contribution to funding rehabilitation of infrastructure that has been ill-maintained on account of delayed and inadequate recapitalisation over the years due to the Authority’s long lasting financial weakness. They should also support management efforts to raise working capital, including by contributing some of the necessary operating finance towards attaining the medium term goal,” Mr Mbikusita-Lewanika said.
He advised tha once they have played the above significant part, shareholders should scout for and facilitate the procurement of the rest of the investment capital towards expanding capacity and technologically upgrading TAZARA as a long term goal.
“This is to be accompanied by revision of the legal framework and restructuring of corporate organisation and mode of operation,” he said.
A business strategy and vision through smart partnership have been presented by the TAZARA management recently, where management outlined several strategies to revamp the once vibrant firm.
“Revitalisation of Tazara requires investment for increasing freight and passenger service capacity, enhancing financial structures and upgrading operations on a sustainable and profitable basis,” said Mr Mbikusita-Lewanika.
The MD said the way forward for Tazara demands a twin strategy of investment capital and working capital. The investment capital is for reconstruction, re-equipping, upgrading and capacity building by the two shareholding governments in partnership with other state and non-state financiers.
Mohammed Enterprises Company Ltd (MeTL), a giant agriculture commodities dealer in Tanzania, is planning to enter the Kenyan, Ugandan and Rwandan markets in a near future, questing to boost trade in agricultural products by farmers in the region.
The move has come few days after the firm acquired about a $100 million loan from Rand Merchant Bank of South Africa to expand its business.
The loan is being provided in conjunction with other the Rand Merchant Bank partners; China Construction Bank.
“The loan will support small African farmers’ access to markets and create jobs especially in the East African trading bloc. “The deal is sending positive signals about the potential of African agribusiness” said Mohammed Dewji, MeTL’s chief executive officer.
He said that MeTL is one of the largest agricultural supply chain companies in Africa, and will use the funds to finance trade in commodities such as palm oil, wheat, sesame, sugar, rice, cocoa and cotton.
“The funding will enable my company to import and export products in East Africa and beyond,” he said. Most of the commodities that the company trades in are used by the company to manufacture a range of retail-related products.
With the projected increase in commodity trading, MeTL expects its total revenues to increase to $1 billion in 2013 and $5 billion by the year 2017 from continent-wide business.
MeTL general trading products portfolio consists of more than 200 products, with trading subsidiaries in Dubai, Mozambique, Zambia, South Africa and Malawi. It also imports significant quantities of consumer goods such as toilet soaps, safety matches, dry cell batteries, bubble gum, hurricane lanterns, sewing machines, air conditioners and second-hand clothing among other things.
Prices of commodities in Tanzania are set to face a hike following the move by Insurance companies to change current rates.
Through the Association of Tanzania Insurers (ATI), Insurance companies have proposed new rates to the Tanzania Insurance Regulatory Authority (TIRA), which is to be implemented from March 1, 2013. The new rates range between 3.5 and 9 percent of the total cost of the respective vehicles.
An expert says the increase will not only affect owners of motor vehicles alone given the importance of the transportation sector in the economy.
"Any slight increase on the premiums will automatically affect prices of commodities in the country due to the fact that transporters will pass on the increased costs to consumers. It is also obvious that transportation costs will increase.” Executive Director of the Economic and Social Research Foundation, Dr. Bohela Lunogelo said.
He stated that the premiums will have impact in the economy but on the other hand they could be welcomed to avoid losses in the economy through closure of business when insurers fail to compensate their customers.
Tanzania Truck Owners' Association (TATOA) has threatened to stop transporting goods if the new rates are implemented claiming that the new rates are not economical viable to them.
Mr. Zacharia Poppe, the TATOA's Treasurer and Spokesperson said that, “We will be forced to dig deep into our pockets, because with the new rate we will be paying between four to five times compared to what we pay now. We urge TIRA to think twice before enacting the new rates."
The Commissioner of Insurance, Mr. Israel Kamuzora, argues that the proposed premiums aim at creating stability in the industry by curbing abuses such as premium undercutting by some companies.
"It should be understood that the industry has been operating without a baseline and this has been of concern to re-insurers and potential investors. Introduction of the new premium is at par with other member states of the East African Community (EAC) such as Kenya and Uganda.
"The new rates will bring sanity and stability in the local insurance industry. They will also enable insurers to make prompt compensation after an accident has occurred," Mr. Kamuzora explained.
AIRTEL Tanzania has launched a new Airtel Money promotion to its users, through which subscribers' costs will be offset with airtime.
“For any cost incurred by our subscribers in transactions through Airtel Money will be refunded. Airtel will pay twice the amount incurred during through airtime. This is to encourage our clients to adopt and enjoy the benefits that comes along with Airtel Money," The Airtel Public Relations Manager, Mr. Jackson Mmbando, said.
Mr. Mmbando however clarified that, the airtime bonus would be applicable to call from Airtel to Airtel. The additional airtime would be availed for sending and receiving cash through Airtel Money, he said.
In a move that aims at increasing people's access to financial services and bridge the un-bankable gap, the central Bank of Tanzania (BoT) has licensed Tanzania Postal Bank (TPB) to introduce banking agents to the peripheral to offer banking services.
Among other things, the bank agents would combine bank transaction and mobile money payment facilities for 'cash-in and out' process.
The banking agent, rather than a branch teller, is the owner or an employee of the retail outlet which conducts the transaction and lets clients deposit, withdraw and transfer funds, pay their bills, inquire about an account balance, or receive government benefits or a direct deposit from their employer.
“The bank would rollout the service next month after scrutinising 32 agents who have forwarded their applications. Apart from normal business licences, the agents are required to deposit only Tsh 500,000 ($ 302.8) which will act as transaction amount,” TBP Chief Manager e-Banking, Mr. Mshamma Mshamma said.
According to Mr. Mshamma, there are no additional deposits or guarantee required. The Tsh 500,000 ($ 302.8) will be deducted or added when a transaction is carried. “At the moment TPB maximum withdrawal has been restricted to Tsh 500,000 ($ 302.8) but will later be uplifted once the tempo picks up,” he said.
Last month, TBP conducted trial banking agents using their staff in Kilwa District and in two days, 147 people opened savings accounts. “This demonstrated to us that there is a need of such services in rural areas,” said Mr. Mshamma.
He further said that the opening process takes about one hour and the customer is given his or her transaction card immediately after finalisation of the process. The card enables one to withdraw money from ATMs as well. "Banking agency is a pro-poor service that targets the rural dwellers that are mostly outside the financial system brackets," Mr Mshamma said.
Reaching poor clients in rural areas is often prohibitively expensive for financial institutions since transaction numbers and volumes do not cover the cost of a branch. Analysts also said that low-income clients often feel more comfortable banking at their local store than walking into a marble branch.
Official records show that hardly 14 per cent of Tanzanians are currently having access to formal banking services.
A dream for Tanzania to be an IT hub in the East, Central and Southern of Africa is now coming true as more countries are applying to be connected with the National Information Communications Technology Broadband Backbone infrastructure (NICTBB).
The Tanzania’s state-owned telecommunication firm, TTCL has currently signed multibillion pacts with mobile telecommunication companies from Mozambique, Burundi, Malawi, Uganda and Zambia for internet bandwidth.
“The companies that have applied to be connected in our NICTBB are both private and National companies,” Prof. Makame Mbarawa, Minister of Communication, Science & Technology, Tanzania, told Corporate Digest.
Some of the companies that have applied for connections include a private South Africa Company, MNT, which operates in Zambia and Zambia Electricity Supply Corporation Limited (ZESCO. The connections will b e done through Tunduma boarder.
Malawi has also applied for connections. A national company, Malawi Telecommunication Limited (MTL), and Airtel Malawi have also applied for NICTBB. We will connect Malawi through Kasumulo boarder.
Burundi will also be connected via Kabanga boarder. The largest mobile phone operator UCOM and ECONET Burundi, part of ECONET wireless group providing service in Burundi has applied.
On the side of Rwanda the bandwidth will be connected through Rusumo boarder, “Uganda and Mozambique are still finalization process to be connected while in Kenya negotiations are still on table,” said Professor Mbarawa.
Prof Mbarawa further said that within a country about four big telecommunications companies including Airtel, Vodacom Tigo and TTCL are connected to NICTBB.
According TTCL’s Marketing Manager Mr. Nicodemus Mngutu, the NICTBB has reached all border points of the country. “We have already illustrated capability by getting the $ 6.7 million contract to supply 1.244GB of internet bandwidth to Rwanda for ten years.
“We are eyeing more markets of the inland countries which can take advantage of our complete network”, he said.
The landlocked neighbours in particular have faced an uphill challenge in securing access to low cost international connectivity. ‘This purchase of bulk international capacity on regional and international networks will significantly boost our vision to make bandwidth available to such markets,’ he added.
Stanbic Bank Tanzania which is part of the Standard Bank Group was ranked 103 amongst the world’s top 500 global banks.
Stanbic Bank’s brand is now worth $1.5 billion and consolidates its position for the third consecutive year as the leading banking brand on the African continent, The 2013 global Top 500 Banking Brands report has said.
Stanbic Bank Tanzania Managing Director Bashir Awale said that the milestone is a testimony to the group’s strategic commitment to doing business in Africa and building a world class franchise on the African continent.
“We are delighted that our brand continues to be recognised as the most valuable in Africa. This recognition is the result of many factors, the most important of which is the dedicated focus of our people and the service that they provide to our customers and clients in Tanzania and the rest of Africa. This ranking is a reflection of the value created in delivering what is important to our customers in different segments and markets, as we strongly believe that is what ultimately differentiates banks and builds value in a brand,” Mr. Awale said.
As a South African headquartered bank with subsidiaries in 17 African countries, Standard Bank also trading as Stanbic Bank Tanzania is uniquely positioned to service clients doing business on the continent.
According to the 2013 global top 500 Banking Brands report, Stanbic Bank Tanzania which is part of the Standard Bank Group was ranked 103 amongst the world’s top 500 global banks.
The Top 500 Banking Brands is compiled by valuation consultancy and asset manager Brand Finance Banking, and is published in the leading global banking magazine The Banker. The Top 500 Banking Brands, now in its eighth year, is the only direct comparison of brand value in the global banking industry.
In response to recent misleading press reports, the Board of fastjet plc has clarified its position relating to false and damaging statements made by Don Smith, CEO of Fly 540 Kenya, the Group’s Kenyan subsidiary.
The Company categorically refutes claims made by Don Smith regarding any unpaid consideration for the purchase of its interest in Fly 540 Kenya and numerous other unsubstantiated claims made through the press in recent weeks. Fastjet, following consultation with its senior legal advisors in East Africa, is preparing to take legal action against him should he not cease and desist.
“Fastjet is committed to conducting its business in an open, transparent and entirely legal manner through the proper channels. The Company does not intend to continue rebutting false allegations through the press but will take legal action over any further such claims. Fastjet Chairman David Lenigas said.
According to Mr. Lenigas, fastjet has paid Don Smith and his partners well in excess of $ 6 million for their interest in Fly 540 and associated brands and we will now aggressively seek to have our purchase contracts enforced.
“The Company will not tolerate coercive and underhand practises. Issues created by Don Smith in Kenya have not and will not affect fastjet’s overall plan of becoming Africa’s first pan-continental low-cost carrier. “He said.
He further said, “The Company’s position in Kenya, just one small part of our overall expansion plan, has already been secured through its MoU with Jetlink, announced last week. We feel that Jetlink, which already has IOSA accreditation, is a far better Kenyan partner for fastjet given our standards of safety, security and reliability. Following an extensive review, we concluded that Jetlink would provide a better long term launch-pad for fastjet due to its superior infrastructure and accreditations to service and manage a fleet of modern large jet aircraft.”
“Africa carries nearly 4% of global passenger air traffic but unfortunately today accounts for nearly 25% of the world’s aviation accidents. Our mission to bring safe air travel to the people of Africa requires high standards and constant vigilance that these are being met.”Mr. Lenigas commented.
FastJet CEO Ed Winter further said; Where previously undisclosed historic debts accumulated by Don Smith and Fly 540 have come to light post-acquisition, fastjet is working closely with creditors to reach a satisfactory conclusion for all parties involved.
“We do not agree with the amounts mentioned in recent press articles are and where amounts are recognised as owing do not deem them significant in relation to the business as a whole. These isolated issues are not affecting the day to day operations of fastjet or any of our operations in Angola or Ghana that fly under a separate Fly 540 Africa brand,” he said.
The CEO further said that fastjet will seek to recover these undisclosed debts and any other amounts due under the warranties given by Don Smith and his partners in their agreement to sell their interest in Fly 540 Kenya to fastjet in June last year.
“The fastjet management team remains steadfastly committed to the Company’s development, building on our success in Tanzania and continued growth towards democratising African air travel and becoming the first pan-continental low-cost carrier,” he added.
In the meantime, fastjet continues to work with the relevant authorities in other countries in Africa to expand the fastjet network.
CRDB Bank has announced plans to transform savings and credit cooperative societies (SACCOS) into micro-banks.
“In principle, SACCOS are a part of the banking system. Our future plan is to transform the ones we have strengthened to become micro-banks and observe banking management procedures, this will help people progress from one stage to the next,” CRDB Bank Empowerment Manager, Mr. Godwin Maimu said during the one day training for members of 15 Saccos management committees in Tanga Region.
According to Mr. Maimu, People use SACCOS to hasten their development through fighting poverty, urging them to increase their savings in a bid to strengthen the economic positions of their societies.
As a bank, we will do everything possible to enable these SACCOS to mostly depend on their own funds instead of funds from other sources.
He however elated that lack of accounts books as one of the main challenges that has stagnated SACCOS’ progress.
“What causes SACCOSs to perform poorly is lack of account books for documentation of their day to day activities; this is the one area we want to focus on and improve,” he said.
Mr. Maimu said that so far they have managed to prepare business plans for SACCOS that will be used as guidelines in the implementation of their day to day activities.
For his part, the CRDB Microfinance Public Relations Manager for Tanga Region, Godwin Alphonce, said the participants in the training were drawn from SACCOS that work with the bank and that among topics to be covered in the training would include; cooperative law, risk management and auditing SACCOS finances.
Alphonce said CRDB has been running the programme of training to members, leaders, management committees and society executives of the society.
“Trough training the SACCOS leaders will be equipped with knowledge that will help them in managing societies, build their legal understanding, auditing and internal monitoring,” said the Manager.
Ice TV live onboard
Emirates, one of the world’s fastest growing airlines, has launched ‘ice TV Live’ as part of its on-going efforts to provide the latest in on-board entertainment.
Ice TV Live, offers passengers four TV channels to select from: BBC World News in English, BBC Arabic, Euronews and, for sports fans, Sport24 - a channel dedicated to major sports events around the world.
“Installing the type of satellite communication that allows live TV on an aircraft is no easy feat,” explained Adel Al Redha, Emirates Executive Vice-President of Engineering and Operations. “Emirates continue to enhance the features of its inflight entertainment system with its partner Panasonic.”
A major sponsor of renowned global sporting events, Emirates recognizes the power of sport and its ability to connect people from around the world. A dedicated channel which provides coverage of major sporting events is a key part of the TV channel line-up.
The ice TV Live channels will also complement the full range of Emirates entertainment and communications options. Emirates was the first airline to introduce usage of GSM telephone on its aircraft and expanded this to the use of Wi-Fi and now live TV channels.
With this latest addition, Emirates now offers Wi-Fi on 32 aircraft including all A380s, plus mobile phone use on 98 Boeing 777, Airbus A330-200, A340-300/500 and A380 aircraft.
“Emirates is committed to providing the most connectivity, maximum comfort and most engaging in-flight entertainment in the skies,” said Al Redha.
The ice TV Live news channels enhance Emirates existing live BBC text news headlines introduced in 2003 - which made Emirates the first airline in the world to offer such live news updates.
The new ice TV Live follows an incredible year of Emirates ‘firsts’ for inflight entertainment and communications. In 2012 alone, Emirates introduced touch TV screens similar to that found on tablets, bigger personal TV screens (27-inch in First Class, 20-inch in Business Class and 12.1 inch in Economy Class – with high definition (HD) resolution), and the introduction of mobile phone use for the first time on A380 aircraft.
2013 will build upon Emirates’ reputation for equipment and content innovation. In addition to ice TV Live, mobile phone use and Wi-Fi to Boeing 777s, the entire ice-equipped fleet will see improvements in the first few months of the year that include more music and more types of music than ever before, more Arabic TV and films on-board, the introduction of African movies, and a dedicated CBeebies channel for younger flyers.
Emirates, one of the fastest growing international airlines, have received more than 500 global awards for excellence. Serving 129 destinations in 75 countries, the airline reported a net profit of US $ 409 million for the 2011/12 fiscal year.
Emirates operates 197 wide-body Airbus and Boeing aircraft including the world’s largest fleet of A380 and has orders for an additional 202 aircraft, worth more than US $ 73 billion.
In an effort to connect and share the football experience with its customers, Stanbic bank Tanzania is taking ten of its customers to South Africa to watch the finals of the Orange Africa Cup of Nations, SOUTH AFRICA 2013.
“We see this as a major opportunity to connect with our customers, football fans and our employees through our shared passion for Africa and African football. It will allow them an opportunity to become part of the South Africa 2013 tournament and share their love for the game.” Bank’s Head of Marketing and Corporate Affairs, Mr. Abdallah Singano.
The Stanbic customers will travel to South Africa for a three day all expense paid trip where they will watch the finals live on February 10th in Johannesburg.
Standard Bank which trades as Stanbic in Tanzania is the official financial services sponsor of the Orange Africa Cup of Nations, SOUTH AFRICA 2013 and also the exclusive sponsor of the Trophy Tour and partner to the tournament’s Player Escort Programme.
The Trophy Tour is a successfully established initiative by CAF and the bank to present “Africa’s Cup” to fans in the run-up to the event. The 2008 tournament in Ghana and the 2010 event in Angola were also supported by Standard Bank Trophy Tours.
Standard Bank took the Orange Africa Cup of Nations, SOUTH AFRICA 2013 Trophy Tour, to 11 African cities: Kitwe, Ndola and Lusaka in Zambia; Mbabane and Piggs Peak in Swaziland; Walvis Bay and Swakopmund in Namibia in addition to the South African leg of the Tour.
Standard Bank has once again sponsored the Official Player Escorts during the Orange Africa Cup of Nations, SOUTH AFRICA 2013. This is a continuation of the Standard Bank Player Escorts Programme initiated during the Angolan tournament in 2010, more than 700 children from across Africa will participate in a unique and once-in-a-lifetime opportunity to be part of the game lead-up in each of the five stadiums during the event’s 32 matches.
“Children participating in the Player Escort Programme have been selected from South Africa, Botswana, Lesotho, Malawi, Mozambique, Namibia and Ghana, with a large proportion drawn from Standard Bank’s employee network, as we believe that the game’s biggest supporters, fans and ambassadors come from within our Standard Bank family,” explained Singano.
As part of Standard Bank’s long-standing support of United against Malaria (UAM) – a social awareness project that is also officially supported and endorsed by CAF – each Player Escort’s shirt carries the UAM branding on a sleeve.
Minelab’s gold detectors designed to support artisanal small scale gold miners and prospectors.
Minelab, the global leader in gold detection technology and hand-held metal detector devices has announced the establishment of a Gold Mining division to support artisanal small scale gold miners and prospectors in Tanzania.
The announcement was made at the Mining Indaba conference in Cape Town, South Africa, early this week.
“The new Gold Mining division consists of a specialized portfolio of products, accessories and support services which include on and off field training allowing us to provide expert advice on the best use of Minelab’s gold detectors. The miners will be able to produce results in the toughest of mineralized soil conditions, in a cost effective way and with minimal disruption to the environment,” said, Peter Charlesworth, General Manager, Minelab.
He said that in areas where traditional subsistence mining has taken place for generations, Minelab has introduced cutting edge technology and provided training and support to enable communities to transform their gold mining activities and their lives for the better.
Across the globe Minelab’s technology is making a difference to artisanal small scale gold miners by increasing efficiency, productivity and safety.
Prospectors across Africa have tasted success with the Minelab GPX 5000 hand-held gold detector. Recently a prospector in Mali discovered a 1.2kg gold nugget and in the past few months there were finds in Zimbabwe (1118g), Kenya (550g) and Guinea (276g) using Minelab’s gold detecting technology.
“We are very excited about our new Gold Mining division and believe that with our dedicated products and training programmes, safe, effective and profitable gold mining is only a step away for any serious prospector,” said Mr. Charlesworth.
Minelab launched its first hand-held gold detector in Australia in 1985 and over the past 28 years has been at the forefront of metal detector design and innovation.
Sheila Kelleher, General Manager of Minelab’s Gold Mining Division, commented that the Minelab’s Gold Mining contribution will continue to build the connections between Prospecting, Community and the Environment by advancing the usage of Minelab’s hand-held gold metal detector technology and in turn make a difference to the lives of the businesses and communities they work with.
The introductory schedule shows that ATCL will fly to Mtwara on Mondays, Wednesdays, Fridays and Sundays.
By Correspondent.
Tanzania flag carrier, AIR Tanzania Company Limited (ATCL) will resume its Dar Es Salaam- Mtwara flights starting tomorrow, 8th February 2013. The airline will fly four times a week to Mtwara using its Dash 8-300 plane with a capacity of carrying 50 passengers.
“I am pleased to announce the reintroduction of our Dar Es Salaam- Mtwara direct flights which will resume starting this Friday. Resumption of the Mtwara flights is part of our promise to work hard towards implementing our aggressive expansion plans which will see us flying to other destinations not covered by ATCL at the moment,” said ATCL Acting Chief Executive Officer, Captain Milton.
The introductory schedule shows that ATCL will fly to Mtwara on Mondays, Wednesdays, Fridays and Sundays. “We will be able to make some adjustments on a schedule depending on the demand trend of our customers,” said Captain Lazaro.
According to Captain Lazaro, the Tanzania flag carrier will charge about $ 122.2 (Tsh 199,000) for a return ticket.
Passengers can book wherever they are by calling the customer care number, 0782737730. “We have made it easy for our passengers to make reservations at their convenience by calling the mentioned number and or agent,” he said.
Reintroduction of Mtwara flights comes barely a month after the airline resumed the Kigoma flights after renovation of the Kigoma airport was completed.
“I want to assure our clients that we will continue to offer the best services at very competitive prices.” he said.
Captain Lazaro said ATCL has plans to add planes before the end of this year, which will be much bigger, faster and with modern advanced technology.
The former Dar es Salaam Stock Exchange (DSE) Chief Executive Officer, Mr. Gabriel Kitua
The DSE governing Council has posted a statement on the exchange’s website stating that the DSE is seeking to recruit ‘a dynamic, experienced and qualified individual to fill the CEO position.’ This has come a week after the contract for the former Dar es Salaam Stock Exchange (DSE) chief executive officer Mr Gabiel Kitua expired.
Part of the posted statement says, the successful applicant will be appointed on a three years contract period, which may be renewed subject to good performance.
Mr Kitua’s three year contract with DSE ended on 31st January 2013. Without disclosing where he plans to go, Mr Kitua said he was not renewing the contract even as chances to do so are high.
“I’m quitting the DSE to face other challenges as well. I believe we’ve created a good basis for another person to take over the reins of the bourse and lead it to the next level,” he said.
Mr Kitua holds a Bachelor degree in Commerce (Hons) and Master’s degree in Business Administration (Finance) from the University of Dar es Salaam.
He joined DSE as CEO on 1st February, 2010 shifting from the Capital Markets and Securities Authority (CMSA) where he was director of research, policy, planning, and information technology for seven (7) years.
In this role he focused on products development initiatives, Strategic planning, ICT development and Capital market capacity building programmes.
Other previous positions he had held before include deputy chief operating officer for one (1) year at the National Microfinance Bank (NMB), manager research and market development at the CMSA for two years, Senior Consultant with Presidential Parastatal Sector Reform Commission (PSRC) for 2 years, as well as having spent six (6) years with the Bank of Tanzania (BoT) as Bank Examiner. Mr Kitua also taught corporate governance for the MBA programmes at the Open University of Tanzania.
Slight depreciation of a shilling, coupled by the changes in the World market prices for all oil products have hiked the price of petrol by 0.6 percent reflecting Tsh12 per litter, a new monthly cap price for the local market has indicated.
“Oil marketing companies are free to sell their products at a price that gives them competitive advantage, provided that such price does not exceed the price cap for the relevant product,” Energy and Water Utilities Regulatory Authority Director General Haruna Masebu said.
Pump prices for diesel and Kerosene at filling stations have slightly decreased by 0.13 per cent and 1.0 per cent respectively.
According to a statement by EWURA, retail price for Diesel has gone down by Tsh 3 per Litre while that for Kerosene has decreased by Tsh 20 per Litre.
Ewura attributes the changes in retail and wholesale prices that became effective early this week, to changes in the World market prices for all products and a slight depreciation of the shilling.
However Mr. Masebu cautioned all petrol stations to publish petroleum product prices on clearly visible boards, “the price boards should be clearly visible and should clearly show prices charges, discounts offered as well as any trade incentives or promotions on offer."
Under the new prices Dar es Salaam will have the cheapest prices of Tsh2005 per Litre, Tsh 1,964.00 per Litre, and Tsh 1,953.00 per litre of Petrol, Diesel and Kerosene respectively. Uvinza (Lugufu) will have the most expensive prices of Tsh 2,248.00 per Litre, Tsh 2,207.00 per Litre and Tsh 2,196.00 per litre of Petrol, Diesel and Kerosene respectively.
“I would advise customers to make sure that they get receipts, which show the name of the petrol station, date and the kind of fuel he purchased together with the price, this will be used as an evidence whenever a problem arises,” said Mr Masebu.
Ms. Irene Kiwia TWAA President, explaining something to member of press during the official launch of the 2013 Tanzania Women of Achievement Awards (TWAA). Witnessing are Ms. Sadaka Gandi TWAA Committee Chairperson (centre) and Ester Shayo TWAA Coordinator.
A non-governmental, voluntary and independent women empowerment umbrella, Tanzania Women of Achievement (TWA) has launched the 2013 Tanzania Women of Achievement Awards (TWAA) scheduled to take place on this year’s international women’s day 8th of March 2013.
“TWAA seeks to recognize women, currently working in the geographical boundaries of Tanzania, paying tribute to the most exceptional and achieving women in the country who have not only achieved success in their own respective fields but who through their work and initiatives have made a significant difference in their communities and society as a whole,” TWA President, Irene Kiwia said.
These bi-annual awards were first launched in 2009 to honor women in different sectors across the country who through their work have contributed significantly to the development of their communities in one way or the other.
She said, “The awards now on its 3 season, provides a wonderful opportunity to recognize and applaud women who are helping to reshape Tanzania for the better. For many of the women this will be the first time that their achievement will receive public accolade that is rewarding.”
The Categories for this year’s awards are Arts and Culture, Business Entrepreneur, Information and Communication, Sports, Professional, Education, Health, Social Welfare, Science and Technology, Public Sector, Young Achiever, Agriculture, Lifetime Achievement and the overall Woman of the Year Award.
“We encourage organizations, associations, women and men across Tanzania to nominate women achievers in these categories and play a role in women empowerment. There are thousands of deserving women out there who are agents of change in their communities. We want to sing the praises of these unsung heroes and inspire millions of other Tanzanian women to take charge and make a change. We received a lot of nominations in the past previous awards but expect much more this time.” Mrs. Sadaka Gandi, the TWAA Committee Chair said.
TWA is a non-governmental, voluntary and independent women empowerment umbrella established in 2009. The main goal of TWA is to consolidate women's roles and capabilities in the Tanzanian community through enhancing their social, political, economic and cultural participation.
TWA conducts awareness campaigns, trainings, seminars, conferences and workshops that foster an exchange of information and mentorship to Tanzanian women and young girls.
Women’s and human rights, gender equity, economic engagement and socio-political participation are promoted.
Airtel Tanzania Public Relations Manager, Mr. Jackson Mmbando (left) elaborates a point during revealing the winners who participated in the ‘amka millionea promotion’ for the month of February. Over 40 winners were announced to have won. Looking on is Airtel Public Relations, Ms. Jane Matinde.
The Pan African Bank, Ecobank has announced plans to start trading in the Chinese currency in the next quarter, a move expected to enable the local and international businesspersons to save millions in purchasing Yuan Renminbi (RMB) directly from Tanzania.
“With Africa being the biggest trading partner, we simply cannot ignore the impact that trade with China is having on Africa. Looking on that perspective Ecobank is striving to create a mutual environment for doing business between Tanzania and China, by providing affordable, convenient financial solutions.,” said Ecobank’s Tanzania Managing Director, Mr Enoch Osei-Safo.
Over the last decade, China has been able to invest over $868 billion (Tsh1.4trillion)in Tanzania. Everyday a good number of traders are going to China for business and other activities.
The current trend shows a huge increase in import and export activities between the two countries. “Ecobank seeks to fill the gap in providing targeted financial solutions to support this trend" Mr Osei-Safo said.
In relation to the deployment of the Ecobank in Tanzania, the bank is planning to start Mobile Money Transfer services in Tanzania within the first half of 2013.
Ecobank Tanzania is currently partnering with 3 telecom companies to enable customers’ access funds from their bank accounts using the mobile handset.
Mobile Money Transfer in Tanzania estimates that 10 Million additional subscribers will be achieved in the near future, particularly by reaching the rural population which accounts for 72% of Tanzania’s 45 Million inhabitants.
Swala Oil and Gas (Tanzania) Limited had started the process of listing on the Enterprise Growth Market of the Dar es Salaam Stock Exchange.
If everything goes as planned, Swala will become the first oil and gas company to pursue a listing on an East African stock exchange.
“We are excited to take this next step in the Company’s development. By listing on the Dar es Salaam Stock Exchange, Swala is making available to all Tanzanians the ability to participate at an early stage in an oil and gas company developing the hydrocarbon potential of Tanzania,” Mr. Ernest Massawe, Charmain of Swala, said.
Swala was established in Dar es Salaam in July 2011 and is currently owned 35% by and on behalf of Tanzanian shareholders. Its main shareholder, with 65%, is Swala Energy Limited, an Australian company with assets in Sub-Saharan Africa and which is currently in the process of listing on the Australian Stock Exchange.
“As a major shareholder, we are fully supportive of Swala’s intention to list on the Dar es Salaam stock exchange. We firmly believe in meaningful and transparent local ownership within the context of a regulated market and business environment. We look forward to Swala’s continued growth and to the development of a shareholder base that is representative of Tanzania,” Mr. Ken Russell, Chairman of Swala Energy Limited, said.
Swala was awarded a 50% operated interest in the Kilosa-Kilombero and Pangani licences in Tanzania on the 20th February 2012. Its first year work commitments on both licences were completed some four months ahead of schedule and provided technical encouragement for the joint venture to continue in to the second year seismic activity.
In another development, Swala Energy has revealed plans to raise up to $ 13 million in an initial public offering (IPO) to fund a drilling campaign in there two blocks in Tanzania.
On completion of the raising, Swala Energy will be likely to have a market value of around $ 30 million.
With East Africa becoming a new frontier in global energy markets, several have picked up acreage in the lightly-explored East Africa region in the hope of finding new reserves.
Tanzania government is in advanced stage to establish a youth bank geared to address economic hardships to the youth. Ground works on the bank including picking a consultant for the proposed bank are at an advanced stage.
“Up to now, we have been able to source about $ 9.2 million (Tsh 15 billion) as a start-up capital, which is one of the important requirement for the establishment of the bank,” Minister of Information, Culture, Sports and Youth, Dr. Fenella Mukangara told the national assembly.
If everything goes well, by early June this year, the modality of the bank will be released to the public. “We will do everything we can to make sure that bank starts its operations in a few years to come, so as to address key challenges facing youth in the country”.
According Dr. Mukangara, it was an excellent idea to come up with a youth bank as it should be known that there is a good number of unemployed youth in the country. “This bank will be a stepping stone for the youth towards self employment and entrepreneurship among youth.
Available statistics shows that current unemployment among youth is 12 percent. “It is important for Tanzanian youth to change their mindsets and grab every opportunity that would enable them earn a living…. they need to be aggressive when it comes to employment,” she said.
By Correspondent, Geneva
The Addax and Oryx Group on Monday launched a repositioning to better reflect its evolution, 25 years after it was founded.
From its original unique focus on energy, the privately-owned group has diversified into real estate and other capital investments. It is now called simply AOG, which leverages its Addax and Oryx heritage, while creating an identity that encompasses its current business areas.
“We are pursuing our long-standing commitment to respond to the energy needs of Sub-Saharan Africa and marking, at the same time, our diversification into other areas of investment in recent years”, said AOG founder and Chairman, Jean Claude Gandur.
“With a broader circle of partners and stakeholders, this called for a repositioning in order to better reflect the evolution of our business and better express the culture and values that are at the heart of our success”, he added.
The 25th anniversary also marks the merger of AOG’s traditional trading and downstream businesses, amongst the longest-standing independent players in Africa, into a single brand Oryx Energies. This integrated model aims to ensure one of the most reliable and extensive downstream platforms on the continent.
Oryx Energies has been in Tanzania since 1999, where it is a market leader in fuels, lubricants and LPG distribution.
The size of the country and its strategic port in Dar es Salaam make Tanzania an important market and point of access to East Africa, including the landlocked Great Lakes countries. Over the years, we have continued to invest and expand in the country and in East Africa.
Oryx Energies offers an integrated supply, storage and distribution model, providing a full range of products and services to domestic and industrial customers.
The company is represented in Tanzania through three different entities, namely Oryx Oil Company Ltd specialized in the storage and distribution of fuels and lubricants, with a very strong presence in the retail segment and, above all, as a supplier of choice to the industrial and mining sectors. Oryx Oil Company Ltd is also the owner and operator of the Dar es Salaam lubricant oils blending plant.
Others are Oryx Gas Tanzania Ltd: specialized in the storage, filling and distribution of LPG in cylinders and bulk. Oryx Gas Tanzania Ltd is the undisputed market leader in LPG with a market share in excess of 70% and Tiper (Tanzania International Petroleum Reserves Ltd), a 50/50 joint venture with the Government of Tanzania. Tiper is a former refinery that has been turned into a modern tank farm providing mass storage to all trading and marketing companies looking for storage capacity.
“We are convinced that this new integrated trading and downstream platform will benefit all our clients as we broaden our offering and provide a seamless service across the value chain. Oryx Energies in Tanzania is proud to continue the proven track record of AOG in bringing world-class expertise to the development of energy resources and infrastructure across Africa,” commented Nick McAleer and Hamisi Ramadhani, Managing Directors of Oryx Energies in Tanzania.
Two new surveys show that Tanzania’s economic growth for the year 2013-2014 will be spurred by the services and construction sectors, and increasing global demand for gold.
According to the survey by the World Bank and investment firm PineBridge, Tanzania’s economy is set to record the highest growth this year out of those of the other East African Community countries.
PineBridge analysts said Tanzania’s economy showed resilience to shocks in 2012 and is expected to remain buoyant, with its GDP projected to grow at seven per cent.
The Kenyan and Ugandan economies are projected to grow at 6.5 per cent and 5.5 per cent respectively. Rwanda will grow at six per cent while Burundi is expected to grow at 4.5 percent.
According to the World Bank’s latest assessment, Kenya’s economy has the potential to achieve a five per cent growth rate this year if the political stability will strongly be assured.
“Peaceful elections in Kenya will guarantee safe and uninterrupted passage of goods, services and people within the EAC. Regional economies can achieve an average growth rate of six per cent if there is political stability and if conducive macro economic conditions prevail,” said Edward Gitahi, an analyst at PineBridge.
According to the data from international monetary Fund (IFM), Kenya’s economic growth is among the lowest in East Africa, behind that of Tanzania, Uganda, and Rwanda all who have GDP growth rates of above five per cent.
Commercial banks in Tanzania can now increase their outreach without incurring additional costs of setting up and operating branches.
The Tanzania government has passed a new law that would allow the banking sector in the country to adopt a retail approach, designed to help banks increase their outreach without incurring additional costs of setting up and operating branches.
Experts says the law enactment, which took effect early February, will allow investors in banking sector to offer their services through third-party businesses by the use of subcontract agents to offer services like account opening, deposits, withdrawals and loan applications on their behalf.
“Full utilization of the law will accelerate into more a competitive environment hence improved banking services in the country. With this law, the sector will be positioned into liquidity, and could also see lending costs decrease while increasing banking penetration in the heart of the country,” Dr. Honest Ngowi a senior lecturer, researcher and consultant in economics and business an Mzumbe University told Corporate Digest.
According to Ngowi, the move will increase competition in the sector hence more growth and development will be achieved.
What are the benefits?
For shopkeepers and small business owners, who will be acting as bank’s agents, there is an added incentive of earning extra income as they will be paid on commission for each transaction.
This promises to lower the cost of banking, as it would mean that banks would not need to establish conventional brick and mortar branches, which have many fixed costs, to access customers.
Investors in the banking industry would have a chance to increase their net earnings as they will be assured of reduction in operational costs that offers a chance for them to reduce their cost to income ratio.
According to analysts there is uncertainty for banks to record a significant reduction in their expenses due to the fact that a good number of them will be upgrading their existing IT infrastructure to enable the roll out of the agency platform.
Precision Air will still deploy its ATR-72 aircraft with a cabin capacity of 70 passengers at Songwe airport for the mean time, but the ongoing business trend is likely to force the airliner to use bigger planes.
Tanzanias leading domestic airline, Precision air services (PW), has experienced a tremendous increase in the of number of customers flying the Dar es Salaam to Mbeya route, a situation that has forced the airline to increase the number of flights from four days a week to seven days (daily flights).
“The daily flights will begin later his month, after experiencing full-board per every flight in either way since the launch of the service few weeks ago,” the airline Head of Marketing and Branding, Ms Linda Chiza said.
“At the moment we will still stick on increasing the number of flights from four days a week to daily, to cater for the demand while we are looking on the possibility of changing or increasing the number of airplane to serve our customers.”
“The airport has the capacity to handle bigger planes, but it is still under construction. We will continue deploying the ATR-72 aircraft with a cabin capacity of 70 passengers at Songwe airport for the mean time, but the ongoing business trend will need us to use bigger airplanes.”
The decision to increase the number of flight has come few weeks after the Airline commenced the commercial flights to Mbeya, through Songwe International Airport which was recently renovated to accommodate international flights.
Songwe becomes the 18th destination for Precision Air, which has grown from a very humble background of starting as a crop spraying company with a single aircraft in 1987 to becoming the only Tanzanian regional airline.
The wings of Precision Air have soared the skies within and outside Tanzania, the likes of the Indian Ocean islands of Zanzibar, Kilimanjaro, Mwanza and Lake Tanganyika port town of Kigoma, Mtwara.
The Dar es Salaam Gymkhana Club squash captain Alkil Hirji (centre) hands over an award to the Exim Bank Tanzania Managing Director Anthony Grant (second left) in appreciation of the bank’s efforts of giving a face-lift to two squash courts at the club.
By Corporate Digest Reporter
Exim Bank, one of the fast growing banks in Tanzania has ventured into sports development in the country by supporting squash development at the Dar es Salaam Gymkhana Club by giving a face-lift to two squash courts at the club.
“Exim Bank understands the importance of sports in people’s daily lives. That is why we have ventured into refurbishing two squash courts at Gymkhana Club in order to create a conducive playing environment for players. We applaud the national vision of the Gymkhana Club and especially its efforts to create awareness among the wider youth,” Exim Bank Managing Director Mr. Anthony Grant said.
He said that the bank’s effort is meant to improve awareness and playing standards at the courts that will in turn help to develop sports in the country.
Grant reiterated the bank’s commitment to continue supporting the development of various sports activities across the country so as to help groom players to grow into a position to compete for Tanzania at international levels.
“Investment in sports is paramount if the country is to get good ambassadors to represent the country at international competitions. It is for this reason that Exim Bank decided to support rehabilitation of the squash courts at Gymkhana. I urge other companies to follow suit and invest in sports development to benefit the nation,” Grant said.
The Dar es Salaam Gymkhana Club squash captain Alkil Hirji during the event said renovation of the two squash clubs is a major boost to development of the sport urging that the club will make good use of the refurbished structures.
“I thank Exim Bank for the timely support and I believe this will go a long way in the development of squash. With these modern courts, players will be in position to compete both regionally and internationally,” he said.
Journalists around Africa including Tanzania will once again compete in this years’ Africa business award reporting being sponsored by Diageo, the world’s leading premium drinks business.
This year marks the ten-year anniversary of the Awards, which were initiated by Diageo to recognise journalists and editors who provide high quality coverage of the business environment in Africa.
Nick Blazquez, President, Diageo Africa, Turkey, Russia & Eastern Europe, said that journalists from around the continent willing to apply can obtain forms online where no fee entry is required in filling the online forms.
“As we celebrate the ten-year anniversary of the Diageo Africa Business Reporting Awards, I am proud to look back over a decade of strong, original and insightful journalism on business in Africa. I am pleased to say that both the quantity and quality of the entries we receive has increased significantly every years, and I am also encouraged by the greater standards of media coverage within Africa which is reflective of the improving business environment in many African countries, he said.
Following commissioned research, Diageo launched the Awards in order to raise awareness of the need for reliable, objective and comprehensive reporting on African business. Such reporting plays an important part in increasing investment flows to the continent by improving investors’ perceptions and challenging negative stereotypes.
“This has undoubtedly played a crucial part in raising awareness of the many opportunities the continent offers to businesses and investors. We hope that this year’s Awards will once again prove that there are many more stories to be told about Africa,” he explained.
Entries are welcome in ten categories and are open to reporters and editors working on all media platforms. All entries are assessed and judged by an independent panel.
The awards ceremony will be held on Thursday, 11 July 2013 in central London. The closing date for entry is Friday, 15 March, 2013. Entries can be submitted online.
Diageo is one of the world's leading premium drinks business with an outstanding collection of beverage alcohol brands across spirits, wines, and beer categories. The company is trading in more than 180 countries around the world. The company is listed on both the New York Stock Exchange (DEO) and the London Stock Exchange (DGE).
Diageo Africa is primarily a beer and spirits company whose brands are sold in more than 40 countries in Africa. Diageo has a long established presence in Africa with the first recorded exports of Guinness to Sierra Leone in 1827.
FastJet operates two domestic routes from Dar es Salaam and it is planning to add international services soon.
After few months of successful operations in the Tanzania domestic market, The Pan African low cast carrier, Fastjet, has now partnered with Kenya airline’s Jetlink Express. This is one of its strategies to spread its wings across the East African region.
The joint venture would give a platform for the launch of the Fastjet brand in Kenya. “With this MoU, we are confident that in few months to come our aircrafts will enter the Kenyan market. This is a dream come true for Fastjet,” Chief Executive, Fastjet, Ed Winter said.
According to the MoU signed, Fastjet and Jetlink would be working together to create a joint venture, which will give a platform for the FastJet to use the Jetlink traffic rights for all Kenyan domestic flights and a number of regional destinations. Jetlink operations were temporarily suspended late last year due to financial difficulties.
“We believe the partnership will be mutually beneficial and will go a long way in meeting the current demand for capacity on Kenya’s domestic and regional routes.” Jetlink Chief Executive Elly Aluvale said.
Fastjet which launched its operation in November 2012 in Tanzania already has a Kenyan air operator’s certificate through its acquisition of Kenyan regional carrier Fly540, along with its sister companies in Angola, Ghana and Tanzania.
FastJet operates two domestic routes from Dar es Salaam and it is planning to add international services soon. It wants to acquire more African AOCs and has already inked a provisional deal to acquire South African low-cost carrier, 1 time, which went into liquidation last year in the month of November.
The management of the proposed Cooperative Bank is seeking a sum of Tsh15billion to commence it operation in Tanzania.
Top officials from the bank are certain that if everything goes well, the bank will be in its initial operation by early July this year.
“The bank will have its headquarters in Dar es Salaam and we will begin with opening four branches which will be located in Dar es Salaam, Mtwara, Mbeya and Mwanza regions,” said Mr. Ahadiel Mbughu, Cooperative Banking marketing and research officer.
He added that the management is doing everything possible to make sure that we get the required funds as soon as possible so that we commence our operations under the set laws and regulation of the country,”
According to Mr. Mbughu, the management of the bank have been able to collect a reasonable amount of capital, adding that, we will soon be able to make a total of Tsh15billion as proposed by Tanzania Central bank.
According to Bank of Tanzania (BoT) regulations, any fully fledged financial institution must deposit such an amount of money as a guarantee for unforeseen events before starting operations.
“If cooperative members will be willing to buy as many shares as possible before and after launching of the new bank, it would be very simple to upkeep the financial institution to live up to its vision and ideals of serving its clients.
He also urged non-cooperative members to join the bank by buying shares which would enable them to access loan facilities.
According to Mr. Mbughu, the price for each share is Tsh1000 and individual members of Saccos are encouraged to purchase at least ten of them.
The minimum shares to be bought by a saving and cooperative society is 5,000, equivalent to Tsh 5 million, while that for unions or federations 25,000 shares, equivalent to Tsh 25 million.
Following the rise on mobile and card payment, an American multinational financial services corporation, MasterCard Inc, has recently said that it is now focusing on tie-ups with banks in Africa and Brazil.
The corporation signed a deal with Equity Bank of Kenya earlier this month to issue five million debit and prepaid cards over the next 18-months. The deal will also be extended to Tanzania, Uganda, Rwanda and South Sudan later.
The company has also partnered with TIM, the second-largest mobile network operator in Brazil, to launch a mobile money program for its subscribers.
"I'm trying to put my bets in multiple places in mobile," Mastercard Chief Executive Ajay Banga said, adding that the move will allow Mastercard to offer all kinds of mobile payments, including tap-and-go transactions, transferring money via short messaging services and mobile wallets.
MasterCard and larger rival Visa Inc run debit and credit card networks and have been working to spread card payments in parts of the world dominated by cash transactions.
For both companies, business in Africa, Asia and the Middle East has been growing faster than the United States of the last few quarters.
MasterCard customers made $727 billion of purchases worldwide on a local currency basis, up 13 percent.
Purchase volumes in Asia-Pacific, the Middle East and Africa grew at 19.5 percent, far outpacing the 7.1 percent rise in the United States.
Tanzania government is calling for public submissions on the transaction’s impact to help it review an application by a Japanese company, Toyota Tshusho Corporation (TTC), to acquire a controlling stake in CFAO Motors Tanzania.
If all goes well, the sole trading company of the Toyota group will acquire Laborex Tanzania Limited, Alliance Auto Limited and CFA Motors Tanzania limited –all subsidiaries of CFAO.
The only thing left is a nod from the Fair Competition Commission (FCC) of Tanzania. The Commission has issued a notice to the public about the acquisition seeking to collect views from the public about the impacts of the merger to the stakeholders.
“FCC invites written submission from any persons (legal or natural) who have reasons to believe that if the merger is allowed it will have or is likely to have material effects on their interests,” says the notice.
To what seem like taking the CFAO market in the African continent, the company, Toyota Tsusho, has approached several African countries for the same purpose.
Early December last year, the company paid $2.9billion (Sh265.4 billion) to acquire 97.81 percent stake in French firm CFAO which fully owns Kenya’s DT Dobie and CICA Motors.
Who cares?
“If the auto dealers are merged then there will definitely be issues of business concentration that will hurt competition,” said Adil Popat, the CEO of Kenya’s Simba Corporation that sells BMW cars, Mitsubishi trucks, and Mahindra pick-ups.
The new entity would control about 40 per cent of the new vehicle market in Kenya, potentially giving it muscle to influence policy and price out other dealers.
Recently, Zambia rejected an application by the multinationals to merge their operations, saying it would have stifled competition by controlling 75 percent of that market.
The Japanese conglomerate acquired in 2010 all the shares of Subaru Southern Africa, giving it control of the firm’s dealership in Subaru cars in South Africa and six neighbouring nations.
Its acquisition of CFAO is set to firm Toyota Tshusho’s grip on the local new vehicle market.
Early January, the Japanese auto giant Toyota started assembling trucks and buses in Kenya, a move set to accelerate price wars in the new vehicles market segment dominated by commercial cars.
The firm will take on rival General Motors East Africa, which currently commands the biggest portion of the market helped by its flagship Isuzu trucks and buses.
World Bank: Tanzania would be able to boost its exports by as much as $3 billion a year.
Tanzania is set to export about 84 percent of its locally processed natural gas to the world market in the near future; a move praised by many as it will bring maximum benefits to the country and local people in the southern region.
According to the government, over the next 20 years, only 16 percent of the gas extracted will be transported to Dar es Salaam for domestic and industrial use.
“There is sufficient gas for the current market demand and to satisfy the market for many years to come,” said President Jakaya Kikwete, during the end of month address to the nation in Dar es Salaam.
He further said that the reasonable amount of gas will also be used to produce electricity so as to spar power shortage and bring about economic development in the country.
“The government is well set to make sure that the resource benefits the country and its people. I believe that if we will prudently use the available gas we will position our country into development,” he said.
The World Bank has recently said that once the gas comes on stream, Tanzania would be able to boost its exports by as much as $3 billion a year.
It is estimated that Tanzania has 15 - 28.9 trillion cubic feet (TCF) of recoverable natural gas.
On the other hand the availability of cheap gas could bring additional economic benefits such as boosting power generation and addressing the long-time deficit.
Tanzania has started putting up the infrastructure for commercial distribution of natural gas, including signing of $1.2 billion loan agreement with China for construction of a 532km pipeline from Mtwara Region.
Dar es Salaam, the most competitive city in Africa.
Tanzania’s commercial city, Dar es Salaam, has been named among the most competitive cities in Africa, according to MasterCard African Cities Growth Index. The Capital came fourth after Accra, Lusaka and Luanda, but beat powerhouse Johannesburg.
Johannesburg – although already a strong economic powerhouse city in Africa – achieved lower scores in certain categories as a result of lower growth expectations due to its relative maturity when compared to other African cities.
According to MasterCard African Cities Growth Index, in East Africa, Nairobi was also beaten by Dar es Salaam, which came in fourth. Addis Ababa took the fifth position.
“The entire African continent which is the home of over one billion people is going through a fundamental transformation. This new index puts a spotlight on the economic and human factors driving urban growth over the next five years,” a statement accompanying the index reads in part.
Upholding its position, Dar es Salaam has been quested to adequately use the discovered natural gas and attract new investors, by creating robust environment for investment as well as maintaining peace and tranquility.
Dar es Salaam, Accra, Lusaka, and Luanda, the capital cities of Ghana, Zambia and Angola were identified as the Sub-Saharan African cities that have the highest potential for growth.
Growth potential in five years to come (2012- 2017)
“Of the 19 researched cities, Accra, the capital city of Ghana, was ranked as having the highest growth potential, followed by Lusaka, Luanda, and Tanzania that were both identified as having medium-high growth potential,” the brief noted.
The index notes that whereas many of these larger and more established cities offer the expected potential for growth, other less prominent ones are quietly establishing themselves as those with even higher growth potential.
“This is primarily due to high scores on accelerated growth factors that include health, education, governance, infrastructure development, and the ease of doing business in those cities,” the report added.
Tanzania government has initiated talks with one of the biggest airline companies in Britain Virgin Atlantic, to come and take over the route left by the British Airways (BA).
British Airways decided to close shop in the country claiming that the route was not economically viable.
“We are still confident with the Dar es Salaam route. The market is now more profitable than ever before. The abundant discoveries of oil and gas and the ongoing explorations offer a big market for Virgin Atlanta and other airlines that will be willing to capture the market,” Director of Tourism, Mr. Ibrahim Mussa, said.
He further said that, there is a tremendous increase of number of tourist comming to Tanzania.
“We dont want to stay idle and lose the opportunity, that’s way we are doing all that we can to make sure we get an eligible investor to offer a direct flight to London,” said Mr. Mussa.
The Ministry of Tourism and Natural Resources in collaboration with the Ministry of Transport had initiated preliminary talks with the UK carrier, Virgin Atlantic, with hopes of reaching an agreement to take over the route left by the BA.
According to Mr. Mussa, Virgin Atlantic, the biggest UK private airline closed the five-time weekly route to Nairobi in September 2012, after operating for the last five years.
More loses after BA closure
The closure of BA business is a big blow to the country due to the fact that it will not only cause loss of revenues and other social benefits but also inconvenience to some travellers who were taking direct flights to Heathrow Airport in London from Dar es Salaam.
Although assessment on how the withdrawal of BA business in the country will affect the tourism industry has not been done, the preliminary survey shows that large number of tourists from UK was already using other airlines like Emirates, Qatar and Ethiopian which have daily flights to Tanzania.
The BA statement issued recently states that customers booked to fly with British Airways after March 31, the official day of closure of business, will be offered a full refund or be re-booked onto flights to or from Nairobi, Entebbe or Lusaka.
Swissport Tanzania Limited Chief Executive Officer Gaudence Temu said that his company will suffer from the airline's decision to stop flights to Dar es Salaam because they have been providing cargo handling services since 1985 when the firm was incorporated.
"We will definitely lose considerable revenue not only for the nation but also for Swissport (T) Limited that has been handling all BA cargoes for many years,” he said.
After Kigoma, Precision Air will concentrate to soar through the skies of Lilongwe in Malawi and Harare in Zimbabwe
By Corporate Digest Correspondent
Super brand Precision Air Services (PW), recently announced its re-instatement of its daily commercial flights to Kigoma via Kigoma Airport. PW kicked off its launch two days ago.
The airline is using an ATR 42 for the service, which now operates 5 times a week, originating from Dar es Salaam and routing via Mwanza every Monday, Wednesday, Friday, Saturday, and Sunday.
“We are absolutely delighted with the launch of this route. For Precision, it is a comeback,” Precision Air Head of Marketing & Branding, Ms. Linda Chiza said.
Flying time from Mwanza, a city located on the shores of Lake Victoria, to Kigoma, the main municipality on Lake Tanganyika, is approximately 1 hour and 10 minutes.
The new scheduled service is considered to be of crucial importance to the business community in Kigoma but also expected to help in opening up Lake Tanganyika for tourists in a part of Western Tanzania which sees only a fraction of the overall tourists visiting the country’s traditional heavy weight national parks and attractions.
The Airline which used to previously operate the Kigoma route had to halt the services mid last year to pave way for the Government’s renovation exercise.
According to Ms Chiza, the fare for Dar es Salaam to Kigoma return ticket will only cost as little as $ 213.8(Tsh349, 000) while one way ticket will cost $121.9(Tsh199, 000) all charges inclusive.
“Passengers will continue to benefit from the variety of payment modes as they will be free to book online via the Airline’s website and pay with Visa and MasterCard or Mpesa”.
She further said, “We desire to give the hassle free experiential travel. I assure our customers that they will get high standard services with the best experience as ever before,” she said.
The wings of Precision Air will in the very near future soar through the skies of Lilongwe in Malawi and Harare in Zimbabwe before the end of 2013.
National Microfinance Bank (NMB) has embarked on a drive to open more than 20 new branches across the country before the end of this year.
“The financial details are at advanced stage and hopefully early this February they will be completed to pave the way for establishment of these branches that will be spread all over the country,” Deputy Finance Minister, Ms. Saada Mkuya said during the parliamentary session.
She further said that with this kind of plan, the wings of NMB will in the very near future be spread all over the country.
Some of the new proposed branches to be established in Dar es Salaam between January and April, according to Minister Saada, include; Airport, Kariakoo, Ubungo Plaza, Tabata (along Nelson Mandela highway), Sinza, Buguruni, Mbezi (along Morogoro road) and Tandika while one more branch will be established in Zanzibar.
Other branches to be established include Buzurugwa in Mwanza, Himo in Kilimanjaro region, Kaliua in Tabora, Kishapu in Shinyanga, Iringa, Dodoma, Kakonko in Kigoma, and five more branches will be established in the newly established districts in Bariadi, Geita, Mpanda and Njombe as they will be uplifted to meet regional status.
With 139 branches NMB is located in more than 80% of Tanzania's districts. This broad branch network distinguishes NMB from other financial institutions in Tanzania.
Tanzania, South Africa and Ghana have been named by the World Bank as the most expensive countries to send remittance in Africa, due to several factors including limited competition in the market for cross-border payments.
“Governments should implement policies to open the remittances market up to competition,” said Massimo Cirasino, Manager of the Financial Infrastructure and Remittances Service Line at the World Bank. “Increased competition, as well as better informed consumers, can help bring down remittance prices,” he recommended.
Bringing remittance prices down to five percent from the current 12.4 percent average cost would put $4 billion more in the pockets of Africa's migrants and their families who rely on remittances for survival. Last year Africa's overseas workers, sent close to $60 billion in remittances.
According to the World Bank's Send Money Africa database, Sub-Saharan Africa is the most expensive region to send money, with the average remittance costs reaching 12.4 percent in 2012, which is higher than global average of 8.96 percent, and almost double the cost of sending money to South Asia, which has the world's lowest prices (6.54 percent).
The bank shows that, South Africa is on top list with an average of 20.7 percent, seconded by Tanzania with 19.7 percent and Ghana with an average of 19.0 percent.
The G8 and the G20 established five percent as the target average remittance price to reach.
“High transaction costs are cutting into remittances, which are a lifeline for millions of Africans,” said Gaiv Tata, Director of the World Bank's Africa Region and Financial Inclusion and Infrastructure Global Practice.
He explained that remittances play a critical role in helping households address immediate needs and also invest in the future, so bringing down remittance prices will have a significant impact on poverty reduction.
Lower cost remittances also advance financial inclusion, since they are often the first financial service used by recipients, who are then more likely to use other financial services including bank accounts.
It has also been found that banks, which are the most expensive remittance service providers, are often the only channel available to African migrants. A regulatory environment that encourages competition among remittance service providers can help bring down remittance prices. Migrant workers can also benefit from more transparent information on remittance services.
Thorsten Heins, CEO of Research in Motion, introduces the BlackBerry 10
After numerous delays and development hiccups, Research in Motion(RIM) has finally unveiled its next generation BlackBerrys on Wednesday, a new line-up of smartphones that could make or break the company.
'A good browser, apps, good camera, and fast networking in your smartphone is just expected today,' said BlackBerry president and CEO Thorsten Heins.
Heins showed off two new phones at simultaneous events across cities around the world including New York, Toronto, London, Paris, Johannesburg, Jakarta and Dubai.
"BlackBerry 10 goes beyond that with secure communications, and a real-time platform," he explained.
The Z10 resembles the smartphones most of us have become accustomed to since the dawn of the iPhone with a large 4.2-inch screen with 356 pixels-per-inch (ppi), along with a textured backing that makes it comfortable to hold.
The Q10 maintains the company's iconic physical keyboard, an addition that will surely appeal to the BlackBerry faithful. It comes with a glass-weave cover, making it thinner and lighter, but also stronger than plastic. Both run the company's next generation operating system, BlackBerry 10.
Both devices come with a 1.5Ghz dual core processors with 2GB RAM, 16GB of internal storage, and an expandable memory card slot. Also included is a micro-HDMI output port on each device and near-field communications (NFC).
U.S. carriers will announce pre-registration today. Although there are no concrete release dates, the new phones are expected to ship in mid-March. The Z10 is expected to cost $199 with a contract and will be available on Verizon, AT&T, T-Mobile and Sprint.
Of emphasis was "BlackBerry Balance," the platform's ability to seamlessly merge both work and play in a single unified experience. For corporate users, it could mean finally ditching the practice of carrying around two phones.
The new BlackBerry World is the company's answer to the iTunes Store and Google Play and already includes over 70,000 apps and support from eight movie studios and all major music labels.
BlackBerry 10 launches with support for Facebook, LinkedIn, Foursquare, the NHL, Major League Baseball and much more. Skype, Angry Birds and WhatsApp among others have all pledged their support for the platform.
Competition is on
Whether or not the new releases can put up a serious challenge against Apple and Android remains to be seen.
"This year we will see multiple attempts to fight the Samsung/Apple smartphone duopoly in smartphone hardware—along with the twin Google/Apple duopoly in smartphone operating systems,” said Ian Fogg, senior principal analyst at IHS.
According to Fogg, because of the fast-rising adoption of smartphones, 2013 represents the last, best hope for RIM's BlackBerry 10—along with endangered specimens like Microsoft's Windows Phone, Nokia's Lumia and Mozilla's Firefox—to create a viable third smartphone competitor in the market.
"One brand, one promise"
The company also dropped its Research in Motion name in favour of the BlackBerry brand.
"From today on, we are BlackBerry everywhere in the world," Heins said.
For BlackBerry, the realization that this could be the company's last chance saloon has culminated in an unprecedented marketing push. Heins revealed that singer-songwriter Alicia Keys would be the company's new Global Creative Director. And next week, the new BlackBerry will be featured in its first ever Super Bowl ad.
By Lulu Ramole
Vodacom Tanzania, one of the Tanzania leading cellular network recently launched a 4G (LTE - long term evolution) trial in Dar Es Salaam using Nokia Siemens Networks’ Single RAN (radio access network) and Liquid Core technology. In addition, the trial used Nokia Siemens Networks’ Circuit Switched FallBack (CSFB voice call system enabling LTE mobile phones to fallback to GSM and 3G networks for voice calls. With this successful trial, Vodacom Tanzania is now in a perfect position to launch super fast 4G mobile broadbandservices in Tanzania.
“Vodacom is committed to bringing world-class LTE technology to Tanzania. This technology will contribute to the development of the country’s information and communication technology (ICT) industry. It will also provide ultra-fast data services on par with leading LTE services around the world technology and it will be enjoyed by Vodacom customers all over the country,” said Rene Meza, Managing Director of Vodacom Tanzania.
LTE is regarded as one of the fast internet service which support up to 1000 times more traffic, rock solid ubiquitous connectivity, peek speed and millisecond latency for a true local feel.
“LTE users will have access to seamless communication services as they move from various parts of the country using various mobile phones available in the market with their Vodacom sim card,” he said.
Vodacom is currently in discussion with the TCRA about the location of a spectrum that would allow LTE to be commercially deployed countrywide.
Currently the spectrum for LTE has been fully allocated to licensees but Tanzania is yet to enjoy fast super internet speed countrywide. “Vodacom Tanzania is hoping that the government will be able to provide them with guidance on the way forward,” Meza said.
Vodacom selected Nokia Siemens Network for the trial of LTE because of its proven capability in reframing 1800MHz spectrum for LTE. Its advanced radio and core platforms made the trial possible and the excellent result convinced us that we could roll out a reliable and high quality LTE network.
Vodacom is uniquely positioned to deploy LTE all over Tanzania because of its connectivity to the National information communication technology broadband as well as its connectivity to the international submarine cables.
The company has for nearly 50 years transformed the hospitality industry in different parts of the world.
A Canadian-based hospitality company, Four Seasons Hotels and Resorts is set to cast its nets in the East African region by building a $50 million state-of-the art hotel in Zanzibar to cater the growing number of tourists visiting the Island.
The property will be situated at Pongwe coastal village in central Unguja and the construction will start soon after final talks with Zanzibar authorities.
The resort will target equal mix of leisure and business guests, with a distinct leaning towards a residential style product while offering business guests the personalized support and service synonymous with Four Seasons across the globe.
“Being East African's biggest tourism hub with a highly mature hospitality industry, it is important for us to be in Zanzibar with a strong product that can serve as one of the company flagships in this region,” said Kathleen Taylor, president and CEO, Four Seasons Hotels and Resorts.
As with all markets across the globe in which Four Seasons operates, the company took time to find a favourable niche as well as identify a partner that first and foremost shares the companies service and business values.
“We are confident that we not only have a potential location, but also an excellent development partner - two key factors that will allow us to offer what guests travelling to Zanzibar on tourism or business desire have come to expect from Four Seasons," she added.
Ms. Taylor believes that the company's investment in the hospitality sector will further open up opportunities for continued growth and contribute to Tanzania’s status as a major luxury tourist destination.
Four Seasons Hotels and Resorts, which opened its first hotel in 1961, is a tale of continual innovation, remarkable expansion and a single-minded dedication to the highest of standards.
The company has, for nearly 50 years, transformed the hospitality industry by combining friendliness and efficiency with the finest traditions of international hotel keeping.
“The government will offer full support to Four Seasons Hotels and Resorts so that they could enjoy doing business in Tanzania,” Minister for Finance, Economic Affairs and Development Planning, Omar Yussuf Mzee said.
He said that the comming of the facility in the Island will not only offer hospitality services and bring about tourism prosperity but also offer job opportunities to the indigenous people.
A junior mining exploration and development company MDN Inc, has pledged to focus all of its exploration efforts on Tanzania, primarily the Ikungu gold project.
According to Mr. Serge Savard, Chairman of the Board of MDN Inc, the Crevier niobium-tantalum project will be developed through Crevier Minerals Inc. (CMI), a private company 72.5% owned by MDN and 27.5% by Niobec Inc.
“This will allow us to better allocate our current human and financial resources while reducing overall administrative expenses significantly.
We will very carefully use a portion of our cash to continue exploring in Tanzania, but MDN will no longer provide funding for the Crevier project development, which will now come from other sources,” Mr. Payroll said.
According to Mr. Payroll, compensation has been cut by about 40% at the beginning of the third quarter of the year 2012.
As of December 31, 2012, MDN had approximately $3.5 million in cash and no debt.
Corporate restructuring
The MDN management team will be restructured to support the business plan.
Serge Bureau, who currently acts as President and Chief Executive Officer for both MDN and CMI, will relinquish the presidency of MDN on February 1, 2013, but retains the presidency of CMI and will focus solely on CMI’s development.
As of February 1, 2013, Marc Boisvert, currently Vice President, Exploration of MDN, will become the President and Chief Executive Officer and a director of MDN.
Marc has over 25 years experience in mineral exploration, 12 of which spent in Tanzania, and he has an excellent understanding of the country’s geological and operational setting.
Before joining MDN, Marc gained solid experience with major international mining companies like Barrick Gold, Noranda and Inmet.
“He will focus his efforts on the Ikungu, Ikungu East, Nikonga and Isambara projects, which we consider to be our best gold assets in Tanzania
Mango Boeing 737-800 wills soon start operations in Zanzibar
Tourism prosperity and the growing number of visitors to the Island of Zanzibar have attracted a good variety of local and international airlines to set their eye to this virgin market.
Early this month, a South Africa's freshest low cost airline, Mango, announced her plans to start her first international destination flights to Zanzibar, early next month.
The airliner started operating some charter flights to the Tanzanian island destination since December last year.
Mango seems to be planning to offer a weekly B737-800 service on the route from February 26 this year and has already published schedules accordingly but has not yet started taking reservations.
Aviation experts are looking forward to seeing smooth growth in the airline business. A recent report by World Bank says Tanzanian air business grew as a result of the country’s policy of allowing competition in its domestic air transport market.
Tanzania has also made a significant progress with institutional reforms in the sector by establishing an independent regulatory body, the Civil Aviation Authority (CAA) and allowing private air companies to compete with the state funded Air Tanzania Company Limited.
Growth of the domestic air transport has been stimulated by the growth of tourism as well as poor road and rail infrastructure that make air transport necessary.
TWB to equip women with arable land so that they can fight poverty and bring about development within their families and to the society
Rural women in the country now have something to smile about following the Tanzania Women’s Bank (TWB) move to equip them with arable land for irrigation schemes, a venture praised by many as it will supplement the government’s efforts to spar poverty among rural women in the country.
“We are aiming to go to rural areas and acquire land for irrigation schemes, and give it to women as loans so that they can grow more than one crop without waiting for seasonal rains. It is our belief that with this initiative, Women will now have means to fight poverty and bring about development within their families and to the society at large” TWB Managing Director, Ms. Margareth Chacha told Corporate digest in Dar es salaam.
According to Ms. Chacha, the utmost goal of the initiative is to help women farmers to improve agricultural production as a way of stimulating economic growth and improving their lives.
“Giving a hand to rural women to realise higher incomes contributes to improved social welfare. TWB believes that empowering women by enhancing their economic opportunities will significantly bring about social and economic development in the country.
Under the Agriculture window, a total of about 225 people in rural areas were given soft loans, of whom, 159 are women and 66 are men. “According to the bank records, this year there is a possibility for the number to double,” she said.
To the moment TWB has provided credits to a total of two million entrepreneurs, and plans to see the number reaching 10 million people in the near future.
Oil and gas exploration company, Aminex has decided to extend the bidding period for its proposed farm-out of an interest in the onshore Ruvuma Basin in Tanzania following the request of several interested parties which have already visited the data room.
"We are very pleased with the strong interest shown in our Ruvuma PSA and have decided to keep the farm-out process open for longer than originally anticipated to accommodate a number of interested parties. I look forward to updating the market in due course," Aminex Chairman, Mr. Brian Hall said.
He elaborated that “several companies have asked for the deadline to be extended in order to allow them to complete their evaluation and we have therefore agreed with Solo oil PLC and FirstEnergy Capital LLP to accept bids up,” he said.
According to Mr. Hall, the bidding process is now likely to be completed in March this year and the market will be updated in due course.
Aminex has a 75% interest in the Ruvuma production sharing contract and the remaining 25% is held by Solo Oil.
Early this month, the Oil and gas firm, Aminex said it has agreed an $8 million loan facility to provide working capital for its Tanzanian operations.
The money is being provided by a fund managed by Argo Capital Management (Cyprus) Ltd, and is set to be repaid with the proceeds of the proposed sale of its US assets before the end of the year.
The process to sell the assets has already begun.
"We are very pleased to have completed this financing which will provide valuable working capital for the company's significant projects in Tanzania," said Aminex chairman Brian Hall. "These include gas discoveries at Ntorya in the onshore Ruvuma Basin and at Kiliwani North, both of which are close to Tanzania's proposed new gas trunk line, due on-stream in late 2014. A farm-out process is currently under way to introduce new partners into our Ruvuma Basin joint venture in order to accelerate activity and do justice to this large concession."
Tanzania, which is slowly becoming a regional gas hub after a flurry of discoveries, has around a dozen deep sea blocks that are yet to be explored.
The U.S. Geological Survey estimates that East Africa's coastal region holds up to 441 trillion cubic feet of natural gas.
KCB Bank board chairman DR Edmund Mndolwa, handing over the donated hospital materials as part of his bank Social Community Responsibility
As part of its Social Community Responsibility, KCB has donated school and hospital materials worth $ 10,669.9 (Ths 17.4 million) in Dar es Salaam. Hospital materials worth $ 4,292 (Tsh 7.4 million) were given to Sinza Hospital at a function which was held at the hospital premises.
The donated materials include four state of the art delivery beds, four delivery sets, four Screens and four drip stands.
“We thank KCB Bank for this donation; it has come at the right time when we face a lot of challenges. Am asking other companies and organizations to emulate the good gesture set by the bank," Chief physician of the hospital DR Benedict Luwoga said.
He said his hospital had only two delivery beds which were not enough considering the number of women who deliver at the hospital.
The bank has also donated different materials to two schools worth $ 6,132 (Tsh 10 million).
Kibamba Primary School in Kinondoni District which was facing a number of shortages has received 25 desks, 3 tables and 6 chairs for teachers, 235 exercise books and 200 pens worth $ 3,006 (Tsh 5 million) from KCB Bank. While Makumbusho Primary School received 64 desks worth $ 3,006 (Ths 5 million).
On his remarks, DR. Mndolwa said the donation is part of his bank’s Social Community Responsibility (SCR) and his bank is committed to help improve the level of education in the country.
M-Pesa by Vodacom Tanzania has now reached over 4.4 million subscribers
Vodacom Tanzania Limited, one of the leading cellular networks in Tanzania has pledged to take hold of East Africa’s mobile money industry with its M-Pesa service by attracting more than 600 small and medium companies and over 6million individuals by the end of this year.
“We have upgraded our M-Pesa platform to allow it to cater for more than 10 million active customers, a move that will see even more Tanzanians opting to use it as a payment solution,” Kelvin Twissa, Head of Brand and Communication for Vodacom Tanzania told Corporate Digest.
Currently, the company has more than 160 organizations which have accepted bill payment via M-Pesa. The authorities are confident that the number of organizations will hike as days goes by.
The company has also reported a 48% overall increase in its customer base. This is a big leap compared to 4 years ago, when M-Pesa was first launched in the country, and there was a slow growth recorded in terms of service subscriptions.
“The increase in our mobile money service uptake is a result of providing customers a safe and consistent way of sending money across the country,” said Mr. Twissa.
According to Mr. Twissa, the company prides itself on creating solutions for its customers through innovative services. As the growth trend shows, we are confident that by the end of this year, we will be able to create a strong customer database ever.
M-Pesa is a total payment solution which does not require users to have a bank account - an important consideration in Tanzania where millions of people do not operate bank accounts and can barely meet the minimum qualifications to open account.
With M-PESA, Vodacom customers can deposit up to $3,073.71 (Tsh 5million) for free, send and receive money and withdraw cash from any agent in the country. They can also access their CRDB bank accounts and receive money from Western Union.
Since its launch in 2008, Vodacom M-Pesa has more than 4.5 million active customers. Over one trillion shillings is transferred through this service every month, making it the prefered way of sending and receiving money for numerous Tanzanians.
Tanzania's economy has noted positive growing each quarter as mobile usage and vast services thrives in the Tanzanian market. It is without doubt that customers, taking advantage of the different mobile services, are creating positive effect on the country's economy.
The East African country, Tanzania is considered one of the most dynamic countries in the African continent, as it adapts easily to the technology trends.
To the moment, Vodacom’s M-Pesa service has a base of over 40,000 agents spread across the country, something that has eased sending and receiving of money, as well as payment of goods and services among Tanzanians.
Africa is now the second-largest mobile market in the world, with more than 620 mobile users. Over the past 10 years, the number of mobile connections in Africa has grown an average of 30 percent per year and it forecast to reach 735 million by the end of 2012.
The Kilimanjaro Regional Commissioner (RC) Leonidas Gama (left) cuts a ribbon to open Exim Bank Tanzania’s new branch in Moshi Town, Kilimanjaro region on Monday. Looking on at the right is the Exim Bank Managing Director, Mr. Anthony Grant.
Exim Bank, the sixth largest bank in terms of total deposits and assets in Tanzania is now set to open five more new branches this year, aiming at bringing the services closer to the people at grass roots level.
“Implementation of our expansion plan is now in full swing. We are planning for more branches in Shinyanga, Tabora, Arusha and Dar es Salaam before the closure of the year,” Mr. Anthony Grant, Exim Bank Tanzania Managing Director, said during the inauguration of the new branch in Moshi town.
Mr. Grant said the bank is embarking on an aggressive expansion plan that seeks to ensure that the bank opens new branches in areas where no other bank has dared to.
“We have a positive outlook on Tanzania’s development and we will continue to partner with the Government in its development agenda where possible, as we strive to open up in other areas of the country for increased economic activity and productivity,” Grant added.
Early this week, the bank opened a second branch in Kilimanjaro region, bringing the total to 25 branches across the country.
The new branch, which is strategically located in Moshi town, is set to offer convenient banking services for communities in and around the region as the bank consolidates its position in the country’s banking sector.
According to Mr. Grant, opening of the new branch clearly demonstrates the bank’s commitment to ensure that many Tanzanians get access to affordable banking services.
“Apart from the ongoing investment in the development of the country's micro and macro economy, the bank will not give up in its efforts to ensuring the growth of Small and Medium Enterprises (SMEs),” he said.
The Exim Bank (Moshi) Branch Manager, Paul Mbanga, during the event noted that his bank is committed to making a meaningful contribution in developing an effective, efficient and sustainable financial sector.
“It is my hope that our newly launched branch will help in striking a balance between the bank’s profitability on one hand and provision of good banking services to communities within Kilimanjaro Region,” he said.
The Kilimanjaro Regional Commissioner (RC) Leonidas Gama encouraged communities in Kilimanjaro to embrace the inauguration of the new branch and make use of it to the maximum benefit.
“I advise you to put your money in our bank’s safe custody and earn a good rate of return so that the value of your money can increase. At a broader level, developing a savings culture will not only help increase your livelihood but development of the economy as well,” Gama said.
TPB Managing Director, Mr. Sabasaba Moshingi(Left), said over the weekend that listing at the stock market has multiple benefits to both the bank and the general public in terms of raising low cost capital through sale of shares.
Tanzania Postal Bank (TPB) says it is in advanced plans to list on the Dar es Salaam stock Exchange (DSE), as well as seeking to increase the bank's capital in the next five years, a move that will give it an extra boost on executing its services, mostly to SMEs.
“The bank needs to change its status and obtain a new licence before going public to raise the required capital to become a fully commercial bank. The process towards listing has reached an advanced stage,” TPB Chief Executive Officer, Mr Sabasaba Moshingi, said.
TPB is one of the banks with the widest network in the country, but inadequate capital has been one of the reasons hindering the expansion and modernization plans.
The Bank of Tanzania (BoT) raised the minimum capital requirement for commercial banks from $3.0million (Ths5billion) to $9.2million (Tsh15billion).
Listing at the stock market has multiple benefits to both the bank and the general public in terms of raising low cost capital through sale of shares.
The low cost capital would thus allow the bank to re-invest by expanding and modernizing its services. “We are very determined list on the DSE, if everthing goes well by the end of this year will hopefully go public. There are few technical issues that are to undertaken so as we could be in a good position to float the initial public offer (IPO),” said Mr. Moshingi.
The bank has about 28 branches, five agencies and some 115 Tanzania Postal cooperation agencies and is linked to the Umoja switch, which enables the bank to serve its clients wherever they are.
With other projections, the bank is striving to be the most affordable and convenient bank that is determined to increase its lending portfolio from $ 39.9 million (Tsh 65 billion) to $ 122.9 million (Tsh 200 billion) by 2015.
Transfer of natural gas and oil products through pipelines has been identified as the key element in building energy security in the East African bloc.
In a move said to bring about energy security in the bloc, East African Community (EAC) needs about $1 million to begin a feasibility study for an extension of the EAC- gas- pipeline.
Giving a helping-hand in implementing the project, the African Development Bank (AfDB) has granted the EAC a sum of $500,000 to undertake a study on the oil pipeline between Kigali and Bujumbura, bringing closer the construction of the key link.
“The bloc is again in talk with the AfDB to see the possibility of getting another $500,000 for the Kampala-Kigali portion,” the EAC director for productive sectors, Nyamajeje Weggoro said.
EAC member countries are also working on the possibility of constructing a gas pipeline from Dar es Salaam in Tanzania to Kenya’s Mombasa before channelling it to Uganda, Burundi and Rwanda.
Recent discoveries of natural gas in deep sea have raised the total gas reserves in Tanzania to over 7.5 trillion cubic feet, volumes sufficient to allow Tanzania to export both natural gas and electricity throughout the EAC Region and beyond and still remain with enough reserves.
The feasibility study for the Natural Gas Pipeline Dar es Salaam – Tanga – Mombasa was initiated back in July 2010 under the execution of the Danish consulting firm, COWI in association with COWI Tanzania and Runji and Partners Consulting Engineers Limited of Kenya.
The African Development Bank supported the EAC by financing the study through a grant of $561,700 under the New Partnership for African Development Infrastructure Project Preparatory Facility (NEPAD-IPPF).
Such initiative is the EAC Power Master Plan meant to tackle the energy constraints to business operations and households in a more holistic manner and one of the strategies being employed in the plan is the diversification of energy sources and supply.
It is reported that the inadequate, unreliable and expensive energy in the region has been a major constraint since it hampered economic growth through increased costs of doing business and as a result, the competitiveness of local firms is lower compared with those from Asia and the Far East.
Tanzania is now targeting to sell extra electricity to be produced byStiegler’s Gorge hydro power project to East African member countries at a low price of about $4 per kilowatt per hour when the project commence production.
The $2billion Stiegler’s Gorge hydro power project in Tanzania, which is due for production of about 2100MW of electricity when in full operation, is now targeting the East African market by selling extra electricity to the member countries at a low price of about $4 per kilowatt per hour, levy inclusive.
“The tariff we are targeting to offer to these markets is the cheapest when compared to tariffs offered by other power utilities in the bloc. The Tanzania power utility, TANESCO for example charges $10 per kilowatt per hour,” Rufiji Basin Development Authority (RUBADA) Director General, Dr. Aloyce Masanja said.
He further said that the Authorities from RUBADA are still in talks with the regional utilities to see how the transactions can be made.
Dr Masanja said that the project is expected to be constructed into two phases. The first phase is expected to produce over 1000MW while the second one will produce 1100MW.
Stiegler’s Gorge hydro power project which is expected to create direct and indirect to about 420,000 people is estimated to cost over $2bn once completed.
The Brazilian dam construction firm, Odebrecht International has already submitted a proposal for the project to RUBADA last week followed a Memorandum of Understanding (MoU) between the authority and the Brazilian firm six months ago.
According to Mr Masanja, the proposal will now give a clear picture on the implementation of the project.
The proposal touches mainly on Power Market Overview, Engineering Studies and Technical Proposal, Preliminary Social-Environmental Evaluation, Key Stakeholders, Stage One Risk Analysis and Financial Structure and Proposed Business Plan
Huawei Technologies Tanzania Company Limited PR Manager Peter Jiang (second right) hands over five computers to the Matimbwa Secondary School Head Teacher Hamza Msagule (second left) being part of the company’s ‘ICT Star Program for Tanzania Education’. Looking on at the right is the Huawei General Director Kennth Luo Channel.
HUAWEI Technologies Tanzania Company Limited has pledged to render more support to mould the learning environment for ICT in Tanzanian schools. A move praised by many as it will enable Tanzanian students to adopt and go along with the globalizing world.
Under the ‘Huawei ICT Star Program for Tanzania Education’ which was launched last November, the company is considering bringing on board sponsorship of ICT students at university level to enrich their potentials for further development of the country and that of the individual at large.
“If ICT is well utilized it can not only help in stimulating social and economic development but is also a powerful tool for extending educational opportunities, both formal and informal. HAUWEI is well committed to improving more schools’ infrastructure and studying environment gradually through our ICT program” Huawei PR Manager, Mr. Peter Jiang said during the official handover of 15 computers in Dar es Salaam.
According to Mr. Jiang, to compete in this modern world, one must be computer literate. “Our donation to schools will be a breakthrough and new beginnings in ensuring that school going children are computer literate, from the very beginning. It is our hope that this will help to disseminate computer and ICT basic knowledge to Tanzanian students."
While receiving the computers on behalf of his school, Mr. Hamza Msagule, Head Teacher of Matimbwa Secondary School located in Bagamoyo, pledged to make good use of the computers so as to benefit future generations.
Huawei Technologies towards the end of last year donated a total of USD 30,000 to three schools in Tanzania two in Mainland Tanzania and one in Pemba.
Tanzania will soon start to construct modern flyovers in Dar es Salaam city in a move to ease traffic congestion.
Tanzania is set to develop its infrastructure and ease traffic congestion in the Dar es Salaam city following the signing of $17.02 million pact with the government of Japan.
According to the Exchange Note signed early this week between the government of Tanzania and Japan, about 12.2million (Tsh20billion) will be spent on expansion of Kilwa Road and Harbour Road intersection at Gerezani area, while a sum of $4.2 (Tsh6.92billion) will be used for improvement of TAZARA intersection road.
"We hope that the Exchange of Notes on these projects will bring significant impact to infrastructure improvement in Dar es Salaam and it will increase the average travelling speed at peak hours in the mornings and evenings, from the current 0.7 km per hour, to 40km per hour," said Mr Masaki Okada, the Ambassador of Japan to Tanzania.
According to Mr Okada construction of flyovers at the TAZARA crossroads will have modern double lane flyovers with walkways and service roads and will cut the time used for travelling between the city centre and Julius Nyerere International Airport, a distance of 11 kilometres.
Under the 1.3km Gerezani road widening project JICA will enhance the coordination mechanism among transport related organizations namely, Ministries, LGAs, TANROADS, Traffic Police and others.
Oil and Gas exploration sector opens doors for economic growth in Tanzania
According to a recent survey done by Reuters, Tanzania, the second biggest economic power in the East African region could see its economy expand around 7.0 percent this year from an estimated 6.6 percent in 2012.
"We are forecasting Tanzania to continue to outperform the region in terms of economic growth in 2013 on the back of continued investment in the energy sector and infrastructure," said Mark Bohlund, economist at IHS Global Insight.
Experts are also confident that the continued exploration and investment in the natural resource sector, oil and gas, should more than counterbalance the effect of the ongoing aid freeze by the reliable donors.
Analysts do not expect power outages in Tanzania to discourage further investment into East Africa's untapped energy deposits.
A drought in 2011 prompted an inflation surge through East Africa, but better rains and tighter monetary policy stance by the central banks are subduing inflation, albeit slowly.
Tanzanian inflation should also fall into single digits this year after averaging an estimated 16 percent in 2012. The poll showed it easing to 9.6 percent this year, and then to 7.8 percent next year.
"We are forecasting inflationary pressures to be relatively contained in 2013 on the back of sluggish economic activity, but the country remain vulnerable to increasing food and energy prices as well as a weaker shilling." added Bohlund from IHS Global Insight.
According to Reuters pull, Uganda, the third biggest economic power in the region, could see growth of 5.6 percent this year from 4.2 percent last year, with a further acceleration to 6.5 percent in 2014. That's a fairly similar outlook to Kenya, East Africa's largest economy.
Ugandan inflation should ease from an average 14.6 percent last year to around 6.8 percent in 2013, and reaching 7.9 percent in 2014.
Ms. Katia Geuts (Standing left), a co-ordinator of the Fistula Project at CCBRT Hospital in Dar es Salaam, explaining activities of the centre to Vodacom Foundation officials who visited the centre during the weekend to witness the training activities to fistula survivals.
Giving a helping-hand to fistula survivors to fight poverty, Vodacom Foundation together with CCBRT are supporting about 62 women to undergo entrepreneurial training sessions aimed at helping them to start businesses under the program dubbed 'Mabinti Centre,' which started in 2007 where women are trained on knitting clothes, bags, and mats.
“Women are the backbone of their families and the society at large...we shall not get tired of supporting them in every way possible. Vodacom will always be there to give them a helping-hand so that they can be able to create a better future for their families and of the country at large,” Vodacom Foundation Manager, Ms. Grace Lyon said.
According to Ms. Lyon, most of fistula survivors come from poor backgrounds, hence they need every support possible so that they could be able to sustain a living.
Speaking in Dar es Salaam, Ms. Katia Geurts, Mabinti Centre Coordinator, mentioned that these women have had a hard time in the past since dealing with this condition is traumatizing. That is why we are committed to support them and also ensure that once they go back home they have something beneficial to do for themselves and also their families.
She further said that once they complete these entrepreneurial trainings, they are presented with certificates which in turn enable them get employment. "With these certificates, they can easily get employment at a place of their choice, since this is enough proof that they have qualifications on the particular field," she said.
On her part, Jane Rugalabamu, the program's trainer and a fistula survivor, said that men across the country should not shy away from supporting women who have fistula problem.
"There is need for all men to show support to their wives who are suffering from fistula. This is something real and not witchcraft or curse as many think it is. Those of us who have been treated are well and ready to face life," she said.
More than 80% of the banks in Tanzania recorded increases in revenue for the year ending December 30 2011, with Njombe Community Bank recording a highest revenue increase.
The bank increased its revenue by 2,610% from just $ 10,405.3(Ths 17 million) to $ 283,392(Tsh 463 million). The development was a result of the increase in interest income of the bank.
“NMB and CRDB maintained the top two positions while FBME replaced NBC in third position, pushing the latter down one spot to fourth,” says the Tanzania Banking Survey 2012.
In the year 2011, total banking sector revenues increased by $459.1million (Tsh 260 billion). Most of this 22% increase was a result of the increase in interest income that is commensurate with the 28% expansion in lending during the year.
According to the report, the top ten revenue earners accounted for 80% of the industry’s total revenue in 2011.
Small banks also witnessed revenue increase in the year under review. Small bank like Efatha Bank saw its revenues increase by 124% while those of Tanzania Women Bank increased by 147%. Ecobank’s revenues grew by 104% while Mkombozi recorded a 103% revenue expansion.
Other banks that attained significant increases in revenue were Tandahimba (80%), Mbinga Community Bank (73%), Access Bank (62%), TIB (55%) and Bank M (46%).
The report highlights that only six banks saw their revenues slide, including Mwanga Rural (by 34%), Kagera Farmers (13%), People’s Bank of Zanzibar (11%), NBC (9%), Barclays (4%) and ICB (0.3%).
On the other hand, Tanzania’s banking industry increased its total capital by 17% from $1.0billion (Tsh 1.7 trillion) in 2010 to $1.2billion (Tsh 2.0 trillion) in 2011.
NMB replaced CRDB Bank at the top of the rankings to become the largest bank by total capital in 2011. NMB’s total capital expanded by 23% compared to CRDB’s 14.3% during 2011.
Further down the top ten lists, Standard Chartered Bank swapped places with Citibank by expanding its total capital by 19% and moving up two places from seventh to fifth.
There was plenty of jostling among the banks occupying the next 10 positions below the top ten banks. Bank M surged up seven places from 20th in 2010 to 13th in December 2011 as its total capital grew by 98%. Bank of Africa also leapt five places from 19th to 14th after expanding its total capital by 54%. Other climbers were Azania Bank and Diamond Trust Bank.
The banks that lost their 2010 positions were I&M Bank, BancABC, Bank of Baroda and the People’s Bank of Zanzibar
Samsung and Apple have been able to tighten their grip on the smartphone industry due to large marketing budgets, extensive distribution channels and attractive product portfolios.
Global smartphone shipments;grew by 43% to 700 million units in last year, with South Korea's Samsung capturing more than 30% of the market and extending its lead over; Apple and others, Research firm, Strategy Analytics said.
The report showed Apple holding 19.4% of the global smartphone market, trailing Samsung at 30.4%.
"Samsung and Apple together accounted for half of all smartphones shipped worldwide in 2012," said Linda Sui at Strategy Analytics.
With all phones combined, the market grew just 2%, according to the report highlighting a shift to smartphones.
According to the survey, Nokia has been able to retain its position as the third largest smartphone vendor for the year 2012 but that its market share fell sharply from 16 per cent to five per cent.
The report showed smartphone accounted for close to half of the 1.6 billion mobiles sold last year. Global smartphone sales soar in 2012, taking a huge slice of a mobile market that was otherwise flat, survey data showed.
Samsung and Apple have been able to tighten their grip on the smartphone industry due to large marketing budgets, extensive distribution channels and attractive product portfolios.
ABI Research said in a separate report that 653 million smartphones were shipped during the year, more than 40 per cent of the 1.6 billion handsets.
That survey showed Samsung with 31 per cent of total smartphone shipments to 21 per cent for Apple.
"It is clear that the iPhone's hyper growth has ended, and ABI Research believes that Apple's market share will peak in 2013 at 22 per cent," said analyst Michael Morgan.
Apple appears to be facing tougher competition. "Unless Apple is willing to trade iPhone margins for low cost iPhone shipments, Apple's handset market share will become dependent on customer loyalty."
More disappointments to Apple Inc as iPhone sales came in below expectations
There is a looming fear that Apple Inc dominance of consumer electronics is slipping. The iPhone maker has missed the Wall Street's revenue forecast for the third straight quarter after iPhone sales came in below expectations.
In the current second fiscal quarter, Apple is forecasting revenue of $41 billion to $43 billion, lagging the average Wall Street forecast of more than $45 billion.
“The world's largest tech company, Apple Inc, also undershot revenue targets in the previous two quarters, and these results will prompt more questions on what Apple has in its product pipeline, and what it can do to attract new sales and maintain its growth trajectory,” analysts said.
Net income of $13.07 billion was virtually flat with $13.06 billion a year earlier on higher manufacturing costs. The year-ago quarter also had an extra week compared to this year.
On Wednesday, Apple said it shipped a record of 47.8 million iPhones in the December quarter, up 29% from a year earlier. But that lagged the 50 million that analysts on average had projected.
Taking into account the drop in shares in Wednesday's after-hours trading, Apple's stock is now down 34 percent from its September record high and the company has lost about $227 billion in market value.
Shares of the world's largest tech company fell 10% to $463 in after-hours trade, wiping out some $50 billion of its market value - nearly equivalent to that of Hewlett-Packard and Dell combined.
Expectations heading into the results had been subdued by news of possible production cutbacks by some component suppliers in Asia, triggering fears that demand for the iPhone, which accounts for half of Apple's revenue, and the iPad could be slowing.
According to analysts, some investors clung to hopes for a repeat of years of historical outperformance. “Still, Apple is one of the strong players in the market, investors should hope for the best in the near future.”
Vodacom customers in Tanzania can now enjoy faster data speeds following the company’s continued investment in its 3G networks and connection to the National Information Communication Technology Broadband Backbone (NICTBB.)
The company has invested over $ 489,788(Tsh 800 million) in the NITCBB project and the northern optic fibre ring, Dar-Arusha- Dodoma has already been connected to the NICTBB since November last year.
“Connection to the NICTBB coupled with our investment in 3 G will allow our customers to enjoy even faster data speeds compared to what they had in the past,” Vodacom Tanzania’s Managing Director, Mr. Rene Meza said.
He stressed that “our corporate clients who have a presence in the regions and rely on us for data services are now able to have easier access to their branches and subsidiaries through a more reliable Wimax experience. “
Wimax is one of the technologies which Vodacom has deployed in the market to enable internet and data connectivity to it’s corporate clients.
According to Mr. Meza, the move to connect Vodacom to the NICTBB has already yielded tremendous results amongst Vodacom subscribers in Morogoro, Tanga, Moshi, Arusha, Babati, Singida, Dodoma and Iringa.
The move has also boosted efficiencies in data transmission from Mwanza and Mbeya which are also linked through Dodoma which is the point of intersection for most of Vodacom’s traffic in the country.
“I praise the government efforts to ensure that many Tanzanians have access to improve to ICT services,” Mr. Meza commented.
Further connections
Phase two of the connection to the NICTBB project will see the closing of the Dodoma-Mwanza-Mbeya ring as well as the Dodoma-Mbeya-Dar. This is expected to start in April this year.
Vodacom’s information highway is modeled along all the Tanzanian Highway Road Network like the Northern corridor, Western and southern rings and is geared towards ensuring that all the major towns and cities in the countries have access to ICT services.
Airtel Tanzania, one of the most affordable telecommunications service providers in the country has launched a new tariff that will enable Airtel customer to call any Airtel number at 10cents per second after first two minutes of their call.
“we have lowed our call rates by 70% to continue to offer innovative, flexible and affordable value that meet the growing demands and needs of all our customers so as they can communicate with their family and friends,” Airtel Managing Director, Mr. Sam Elangalloor said during the launch.
He added that “We, Airtel, will continue with our efforts to provide efficient communication while fulfilling our commitment to enhance quality and affordable services and provide unique experiences to our customers across Tanzania.”
The Airtel’s tariff adjustment has come few days after the Tanzania Communications Regulatory Authority (TCRA) announced earlier this month that it may cut interconnection rates, the fee charged by operators for cross-network calls, by as much as 69 per cent, to 34.92 cents ($ 0.02).
According to TCRA, the decision will be made by the end of January, with the changes to be implemented as of March 1st.
The proposed drop in interconnection rates in Tanzania may deter investors from the telecommunications sector, according to Vodacom’s unit in the country.
Vodacom – which is currently the biggest mobile operator in Tanzania with 9.2 million subscribers – is arguing that the cut to interconnection fees proposed by the country’s regulator will serve to deter investment in telecoms infrastructure by industry players, insisting that the fees must properly reflect operators’ overall costs.
Experts says it is important that interconnect charges are designed to reflect the actual costs of mobile operators and the impact that the reduction will have on investment plans.
After the failure of talks that could have seen China National Gold Group Corporation buy a controlling stake in African Barrick Gold operations in Tanzania, the gold miner is now planning to spend about $142 million to expand its Bulyanhulu process plant.
The plant has the capacity to process an average of 3,300 tonnes of ore per day, which equates to around 1.1m tonnes per year.
“while the company had sufficient cash on the balance sheet to fund the expansion, it decided to exploit a cost-effective form of project financing to ensure it maintained maximum flexibility as it looked to drive improved returns from the company’s asset base,” the ABG Chief Executive Officer, Greg Hawkins said in a statement.
The gold miner, ABG, concluded negotiations with a syndicate of commercial banks, led by Standard Bank, for the provision of an export credit-backed term loan facility which is to be put in place to fund the bulk of the construction of a new carbon-in-leach circuit at the process plant at Bulyanhulu, one of the company’s key growth projects.
"The debt financing of this expansion is a clear example of the focus we have placed on efficient capital allocation,” he said.
For three consecutive years, Tanzania’s largest gold miner, ABG has suffered a decline in gold production. This year, the miner posted a 9% drop in annual production despite a pick-up in mining in the fourth-quarter.
Fourth-quarter output rose 13% year-on-year and 22% quarter-on-quarter. The good results wewe boosted by improved throughput at the group’s Buzwagi operation and increased head grade at the North Mara and Buzwagi mines.
Full-year sales of gold fell 13% to 609 252 oz., compared with the 699,539 oz. sold in 2011. The company also reported gold production of 180,684 ounces and sales of 159,585 ounces in the three months to the end of December 2012.
Full-year cash costs per ounce sold were expected to be in line with guidance of between $900/oz. to $950/oz.
According to Mr. Hawkins the year 2012 was a good base to work from. “If you look at our core assets Bulyanhulu, Buzwagi and North Mara, they produced 600,000oz in 2012 and we’re using that as a base for 2013 at the moment,” he said.
AGB expects to turn around its operations after launching an operational evaluation this year, aimed at creating an organizational structure more suited to its asset base.
Mwenga Hydro Limited, a subsidiary of Mufindi Tea and Coffee is now set to use an innovative cell phone based pre-paid metering system, similar to the cell phones airtime scratch card system to sell its electricity.
“We decided to use this vending approach for the fact that it will make it easier for our customers not to travel long distances to pay their bills,” the Hydro Project Manager, Mike Gratwicke said.
According to Mr. Gratwicke, the company brand is ‘M-Luku’ in reflection to the mobile phone vending system.
Since the completion of the 4MW hydropower plant, about four villages out of 14 have been connected with the service and about 240 connections has been made.
“We are still connecting our customers. It is our belief that by the end of June all 14 villages will be connected with electricity. We expect our rural network to grow to absorb at least 50 percent of our generated power within 5 years,” he said.
In these early stages, the project has specifically targeted facilities such as schools, clinics, institutions, shops and a range of Small Medium Entrepreneurs (SMEs) to maximize the benefit reach.
The $10m hydropower project is aiming at improving the welfare of the villagers by accessing sustainable energy sources.
According to Mr. Gratwicke, about 80 percent of the electricity generated by the project has been fed into the national grid under a Small Power Purchase Agreement (SPPA) with Tanesco.
Nickel exploration and development company, African Eagle is planning to undertake a mini pilot plant test programme at its flagship Dutwa nickel project, in Tanzania, before embarking on the construction of the main mining plant.
The company is optimistic that implementation of the pilot plant test programme would model the full process flow sheet at a small scale and derisk the main pilot plant.
“Undertaking the project will provide early confirmation of the process performance predicted by the beneficiation and leach test programmes,” African Eagle Chief Executive Officer, Mr. Trevor Moss said in a statement.
According to Mr. Moss, the integrated test will enable the production of limited quantities of nickel product, which the company will use in its development activities and in support of the search for a strategic partner.
Smoothing the implementation of the ongoing plans at its flagship, African Eagle had also determined that rail transport to and from the project was a viable option.
The company had held early stage discussions with potential strategic partners and said it would shortly expand its efforts in this regard.
“Efforts had been made to secure agreements with the governments of Tanzania and the surrounding States on the method and structure of rail operations in support of the operation,” Mr. Moss explained.
Early this week, the company reported that it had made substantial advances at its flagship
The company, which was working towards completing a bankable feasibility study for the project, noted that it had advanced its efforts regarding the environmental- and social-impact assessment, which was being performed in accordance with Tanzanian government regulations and the industry-standard Equator Principles.
Further, the resource estimate for Dutwa had been upgraded and extended, with more than 100-million tons occurring in the indicated category, grading at 0.92% nickel.
The Managing Director of Stanbic Tanzania, Bashir Awale (front right) and UNICEF Country Representative Dr. Jama Gulaid signing a $150,000 Memorandum of Understanding to support the government School WASH program for three years. Witnessing are Bank’s Chairman Board of Directors, Mr. Hatibu Senkoro(right back), Deputy Minister of health and Social Warefare, DR. Seif Rashid (Centre) and Abdallah Singano, the Bank’s Head of Marketing and Corporate Affairs.
Stanbic Bank Tanzania one of the leading international banks in the country, has signed a $150,000 pact with UNICEF in a fight to end water shortage, sanitation and hygiene problems in schools.
Under the partnership, Stanbic Bank will work closely with UNICEF and the government to improve the current situation of water, sanitation and Hygiene in schools under the School WASH programme.
“We are delighted to enter into this partnership with UNICEF and the government. The partnership will shape the future behaviour of our children and significantly help to reduce the occurrence of hygiene-related diseases,”said Mr. Hatibu Senkoro who is the Chairman of the board of Directors of Stanbic.
Mr. Senkoro further said that as a bank we are continuously looking for initiatives that are life changing in the communities in which we operate. In this case, the WASH programme fits perfectly into such initiatives.
“By partnering with UNICEF, our expectation is that this program will increase student attendance, performance results, completion of school, dignity and gender equality in the schools. This program will also significantly reduce hygiene related diseases and influence the practices of the next generation",” he said.
The programme is aimed at improving water sanitation and hygiene in selected schools in Tanzania and supporting UNICEF’s goal to provide every child in school with right of safe water, hygiene and sanitation.
The bank will support UNICEF’s school WASH programme, in line with the Government of Tanzania/UNICEF country programme and will support the advocacy programme with the government to leverage resources for school WASH and establish a national funding mechanism for channelling funds for school WASH.
The money will go towards scaling up affordable, good quality, girl and child friendly, sustained school water, sanitation and hygiene (SWASH) and an average of 2,400 primary school children stand to benefit from the programme.
Stanbic’s support will help to prop up the scaling of affordable, good quality, girl and child friendly, sustainable school water, sanitation and hygiene facilities in the three schools in Temeke district in Dar es Salaam.
According to School WASH mapping report of May 2011, only 11% of schools surveyed met the national ‘minimum’ standards of 20 girls and 25 boys per drop hole. Twenty percent (20%) of schools have more than 100 pupils per drop hole and 6% have no latrines at all.
The presence of functional hand washing facilities and provision of soap is another area of concern. Only 1% provides soap and only 8% have sufficient water for hand washing. Further, only 4% of schools have WASH facilities that are suitable for children with disability. These alarming numbers call for need of efforts in ensuring WASH in schools is improved.
Available statistics shows that Tanzania experiences about 1.7million Out Patient Department (OPD) cases of diarrhoea annually of which children below age of five years being the most affected innocently.
“It is surprisingly that preventable diarrhoea deceases rank number four among top ten causes of both morbidity and mortality especially to the under fives whereby 552 of these die every year,” the UNICEF Country Representative in Tanzania, Dr. Jama Gulaid said.
He stressed that Stanbic is setting an excellent example for the private sector in Tanzania by contributing to social development. “By investing in children, Stanbic is investing in the next generation of leaders, investors, traders and farmers.”
One of the fast growing banks in the country, Tanzania Women’s Bank (TWB) is expecting to increase its consumer deposits from $9.8million (Tsh 16 billion) posted in December last year to $20.8million (Tsh34 billion) financial year 2013/2014.
The bank is certain that the introduction of a new product, rural-urban entrepreneurs product, will be of benefit to the bank as it will raise consumer deposit by 112.5% in 2012/2014. According to the bank, the new product will be launched early this year.
“This is a kind of product that the rural-urban entrepreneurs were waiting for a very long time. As we are working on the product, it is our belief that the introduction of the product to the community will add value to the general public and to the bank as well. With this product in hand, the bank will stand in a good position to reap more benefits from depositors,” Ms. Margareth Chacha, TWB Managing Director said.
According to Ms. Chacha, the bank is also planning to focus on product-driven retail mobilisation to supplement the rural-urban entrepreneur product in boosting consumer deposits.
When all these plans are in full operation, the bank will be doing some development changes that will go hand in hand. “To accommodate the rising number of deposits, we will also upgrade the banks technology by adopting new systems and working facilities that will go along with different consumer demands,” she said.
Last year, the bank capital rose to $4.1million (Tsh6.8billion) from $1.7million (Tsh2.8billion) registered 2009, which was a 143 % increase. Following the capital increase, the bank will this year open branches at Kariakoo, Mwanza and Dodoma in a move to expand its wings to the rest of the country.
Before the end of this financial year, the bank will join the Umoja Switch network of ATMs so as to give its customer’s a broader platform for them to enjoy TWB’s services.
Since its inauguration in 2009, TWB has registered a total of 30,000 clients, of whom 77% are women and 23 per cent are men with total deposits of about $ 9.92million (Tsh16.2 billion).
Rare earth element used for everything from smartphone to guide missiles
The Toronto based mining and exploration firm, Montero, is set to use about $1.4million for exploration and general working capital. The money was raised through a non-brokered private placement financing in which 11.2 million units were sold at a price of 12.5 cents each.
“We are pleased to report that the private placement was oversubscribed by 40% which is testimony to investor confidence in our strategy. I would like to thank existing shareholders, Board of Directors and new subscribers for their support," said president and CEO, Dr. Tony Harwood, in a statement.
According to Montero, a reasonable amount of money will be used at its Tanzania Rare Earth flagship for exploration and general working capital.
Montero believes that with a more comprehensive drilling program, it can expand mineral resources from the current 3.3 million tonnes to well above 40 million tonnes.
The company contracted Mintek in South Africa, a firm that specializes in mineral processing and extractive metallurgy, to conduct the preliminary metallurgical research and test work on the 100-kilogram sample from its Wigu Hill project, from where the samples were produced.
The junior explorer's plan is to fast track a portion of the large deposit to the mining and production stage.
As a result of its fast track strategy and its decision not to focus on expanding resources, Montero has become one of the first juniors to produce samples of individual and mixed oxides.
Experts believe that Montero could emerge as the first junior Rare Earth company to cross the line to production.
Montero's main Wigu Hill Rare Earth element (REE) deposit in Tanzania, which is 81 per cent owned by the company, is a steep hill that is 250 metres above sea level, 550 metres above the surrounding coastal plain, with the highest peak at 796 metres above sea level.
The project is located about 65 kilometres south of Morogoro and 200 kilometres southwest of Dar es Salaam in south-eastern Tanzania. It covers a 142 square kilometre area and grab samples have yielded results as high as 27.25% total rare earth oxides, with up to 16.68% from drilling.
In November last year, Montero said it had signed an arm's length, non-binding term sheet with a strategic investor, for project equity funding for the mineral explorer's Wigu Hill REE mine and refinery complex.
The International Monetary Fund (IMF) headquarters in Washington
Tanzanians can now breathe a sigh of relief as the county’s headline inflation rate is projected to drop to a single digit, below 10% in June this year, thanks to the ongoing structure reforms in fiscal area.
A statement issued by the International Monetary Fund (IMF) stated that the ongoing structural reforms in the fiscal sector will play a crucial role towards medium-term fiscal adjustment, thus a slight reduction in the growth of monetary aggregates is expected to bring inflation below 10% by the end of June this year.
The structural challenges include the energy sector that is envisaged to be tackled to remain consistent with the current fiscal frameworks.
"The authorities have indicated that their strategy to deal with challenges in the energy sector is consistent with the current fiscal framework.
On the other hand, Tanzania government has been working seriously on the inflation issues as the prices of staple foods are expected to continue declining in the coming months.
Reduction in production coupled by stability in power supply, continued stability in the world market oil prices and stabilization of the Tanzanian shilling against US dollar observed since last January are the other factors that are expected to ease inflationary pressure in the coming months.
Effective from 1st February 2013 Emirates will add more than 1400 seats a week to Dar es Salaam route following the introduction of 777-300ER aircraft.
Few days after British Airways declared Tanzania route unprofitable, another world’s fastest growing international airlines, Emirates, has shown more interest to invest in the East African country.
The airline will add more than 1400 seats a week on its Dar es Salaam – Dubai route by replacing Airbus 340-500 with Boeing 777-300ER aircraft effective from 1st February 2013.
“Dar es Salaam is one of East Africa’s most popular destinations and the introduction of the new Boeing 777 is a direct response to increasing passenger demand on this route,” said Emirates Country Manager for Tanzania Abdul-Aziz Al Hai.
The new aircraft has 360 seats in a three-class configuration offering eight luxurious First Class suits, 42 seats in Business Class and generous space for 310 passengers in Economy Class.
For the year ending December 2012, Emirates carried a total of about 148,000 passengers on flights to and from Dar es Salaam.
“With the new Boeing 777 service we expect this to noticeably grow as our customers continue to explore the opportunities Emirates’ global network has to offer,” said Mr. Al Hai.
In addition to carrying more passengers, the operation of the new aircraft will also have a positive impact on Tanzania’s import and export industry.
Emirates SkyCargo, using the Airbus 340-500, had a belly-hold capacity of 30 tonnes in both directions. The Boeing 777-300ER has a capacity of up to 46 tonnes, which means businesses will benefit from an additional 112 tonnes of weekly capacity on the route. Commodities carried include spare parts, telecommunications, mining equipment, machinery flowers, meat and fish.
Throughout the aircraft, passengers will be able to experience the airline’s award-winning ice in-flight entertainment system with a choice of over 1,400 channels on-demand as well as meals prepared by gourmet chefs.
Emirates is also known for its award-winning service from its international cabin crew recruited from over 130 nationalities, speaking over 55 languages.
To mark the service upgrade, Emirates has developed some exciting special fares to certain destinations when travelling in Economy Class or Business Class. The offer is valid for sales between 18th January and 28th February 2013 and for outbound travel from 1st February to10th December 2013.
The special fares start from as low as US$630 return in Economy Class to Dubai and US$2,266 return in Business Class for fights to Bombay. Some of the destinations included in the Emirates offer include; Bangkok, New York, Kuala Lumpur, Hong Kong, London Heathrow, Singapore, Beijing and Guangzhou.
Amongst its 195 aircraft in operation, and with an outstanding aircraft order for an additional 200 aircraft including 75 more Boeing 777’s. Emirates first Boeing 777 was introduced in 1996, and today, as the world's largest 777 operator and the only airline in the world to operate every model in the Boeing 777 family, including the 777 Freighter, Emirates’ Boeings provide the reliability, performance and operating economics Emirates requires to support strategic growth plans.
Emirates established operations in Tanzania in 1997 and flies daily from Julius Nyerere International Airport (JNIA) in Dar es Salaam to Dubai, connecting passengers to 117 destinations in 74 countries across six continents.
Dr. Adelhelm Meru, Export Processing Zones Authority (EPZA) Managing Director
The ongoing oil and gas exploration activities in Tanzania have attracted local and multinational service companies to locate their investment in an oil and gas abundant country.
Export Processing Zones Authority (EPZA) Managing Director, Dr. Adelhelm Meru told Corporate Digest that about 12 oil and gas service companies have shown interest to invest at Mtwara Free Port Zone and they will be offering different services to oil and gas exploration firms available in the area.
Dr. Meru stressed that companies are well set and they are waiting for the government to finish building the necessary infrastructures that will support these new investments.
According to Dr. Meru, a state run port authority, TPA, has been given the mandate to build the infrastructures required to smoothen the whole investment environment and make the investors comfortable.
EPZA has already set aside ten hectares to accommodate all 12 companies. About 100 hectares will also be developed in advance to accommodate other investors who will be interested to invest in Mtwara free port zone.
“We will do all we can to make sure that these 12 companies ( Schlumberger, Cameron, Drilco, Weatherford, Halliburton, Algoa, FMC, Wood group, Baker Hughes, Ocean Rig, Odfsell, and Transocean) are able to offer their services in Mtwara and bring about industrial revolution in the region and the country at large,” said Dr Meru.
He further stated that, “Apart from these service companies, other firms dealing with fertilizer, petrochemical and cement have shown interest in investing at the Mtwara free port zone and in Special Economic Zones (SEZ).
Tanzania has a vision of becoming a middle income country upon reaching 2025. The government believes that the dream will be attained through industrial reforms.
“We need to woo more investors to come and invest in our country and ensure abundant employment and government earnings,” said Dr.Meru.
The coming of the 12 companies and others, who have shown interest, will automatically increase the country’s industrial portfolio.
Currently EPZA has a total of about 61 operating companies with $867m capital invested. Export turnover of these investments is about $450m and a total of about 17,000 direct employments have been created since EPZ schemes became operational about six year ago.
Mss. Mariam Lugoha,(left) showing the loan she has received from Vodacom Tanzania during the loan giving ceremony in Morogoro. From right are Vodacom Foundation Manager, Ms Grace Lyon and Kilosa District Commissioner Mr. Elias Tarimo.
Vodacom Tanzania, one of the fast growing mobile operators in the country has used about 5,511.94 ($9 million) to support more than 150 women entrepreneurs in Luhembe village, Kilosa District, Morogoro Region by giving them interest-free loans.
"Women are the face of the family and supporting them is assisting the entire family and also the society at large, I urge all those that have received loans to make good use of them in order to repay them in time and without any struggles." said Vodacom Foundation Manager, Ms Grace Lyon.
Through Vodacom foundation via m-Pesa Woman Empowerment Initiative (MWEI), for the first time women in four villages received the loans which ranged from $ 3.06 (5,000) to $61.24 (100,000) to boost their businesses.
According to Ms. Lyon, since the kitty was launched in 2010, a total of 42 villages have benefited from the project.
In Morogoro Region, four villages have so far benefited from MWEI, among them Luhembe, Mkuyuni, Kimamba and Mkamba.
The Exim Bank Managing Director Anthony Grant gives a speech during the launch of Uhuru Heights building in Dar es Salaam at the weekend. The bank is set to offer mortage facilities to facilitate buying of space in the new building.
Swissport (T) Limited to begin operations at Songwe and Mtwara international Airports
Swissport (T) Limited, the leading provider in ground handling services to the aviation sector in Tanzania, is planning to open offices in Songwe and Mtwara international airports as part of its expansion drive for the year 2013.
“We are in advanced discussions with the government and hopefully in a few months to come we will acquire licenses to operate in those two markets,” Swissport's Chief Executive Officer, Mr. Gaudence Temu said.
He further said that the two destinations are economically viable due to the fact that more airline service providers and other companies are now focusing their business interests in these areas.
“it should be regarded that the ongoing oil and gas exploration coupled with the recent discovery of Gas in Mtwara and business opportunities available in Mbeya have attracted more companies to set up their business in the two markets, therefore it is our obligation to offer our services in a way to sooth their investments,” he said.
He further said that swissport is already in partnership with some of the airlines that are operating or are planning to operate in the two destinations. Therefore through these agreements, Swissport will supply a variety of airport services, be responsible for service delivery and support supply chain growth to the airlines network.
“Our presence will create an economical boost platform for Mbeya and Mtwara region and its neighbor’s in business and development opportunities that come along with availability of air transport and cargo handling services,” he said.
"This is a strategic step for Swissport, while at the same time it is an investment at a vital point in the value chain, adding capacity to the airport facilities and preparing for the increasing volumes of cargos as growth in the aviation industry picks up," Temu explained.
Tanzania has been experiencing growth in the aviation industry over the recent years, recording a 6% growth per year.
According to Mr. Temu, the growth of the industry is mostly associated with tremendous developments in the economy, business, and tourism industry. He further said that the growth of the middle income earners in Tanzania has mostly boosted to the increasing number of local passengers.
Precision Air Board Chairman, Michael Shirima
Precision air services (PW), Tanzanias leading domestic airline, have announced that they will launch flights to Kigoma towards the end of January this year.
Kigoma will boost the number of Precision Air destinations to 19. “After Kigoma, the Airline’s plan will now concentrate to soar through the skies of Lilongwe in Malawi and Harare in Zimbabwe,” said. Precision Air Board Chairman, Michael Shirima
Precision Air has grown from a very humble background of starting as a crop spraying company with a single aircraft in 1987 to becoming the only Tanzanian region airline.
Last week, Precision Air commenced its first commercial flights to Mbeya, through Songwe International Airport which was recently renovated to accommodate international flights. This is a comeback for the Airline which used to previously operate the Mbeya route between the years 1997 to 2000 using the strip in the Mbeya town.
Middle East and Africa — mobile advertising growth will be aligned with technology adoption and the stabilization of emerging economies.
A research firm has forecasted worldwide mobile revenue to reach $24.5 billion in 2016 with mobile advertising revenue creating new opportunities for app developers, ad networks, mobile platform providers, specialty agencies and even communications service providers in certain regions.
"The mobile advertising market took off even faster than we expected due to an increased uptake in smartphones and tablets, as well as the merger of consumer behaviors on computers and mobile devices," said Stephanie Baghdassarian, research director at Gartner.
The Worldwide mobile advertising revenue is also forecasted to reach $11.4 billion this year, up from USD9.6 billion in 2012, according to Gartner.
“Local news papers face much lower ad yields as a result of mobile publishing initiatives. Growth in mobile advertising comes in part at the expense of print formats.
According to Gartner, smartphones and media tablets extend the addressable market for mobile advertising in more and more geographies as an increasing population of users spends an increasing share of its time with these devices.
"This market will therefore become easier to segment and target, driving the growth of mobile advertising spend for brands and advertisers. Mobile advertising should be integrated into advertisers' overall marketing campaigns in order to connect with their audience in very specific, actionable ways through their smartphones and/or tablets," said Andrew Frank, research vice president at Gartner.
In the rest of the world — Latin America, Eastern Europe, and the Middle East and Africa — mobile advertising growth will be aligned with technology adoption and the stabilization of emerging economies, but will mostly be driven by large markets such as Russia, Brazil and Mexico.
The rapidly growing share of time that consumers spend on mobile devices is generating ad inventory at a pace considerably faster than most advertisers can shift their spending to the medium. This creates a surplus condition that is driving down unit ad prices which in turn has led to a situation in which a significant portion of mobile ad inventory is taken up by app developers paying for ads to promote their apps and get them more downloads, a category known as "paid discovery."
Vice President Dr. Mohamed Gharib Bilal (Right) presents Superbrands 2011 Award to Said Salim Bakhresa & Co. Ltd Executive Director Abubakar Bakhresa (Left) as Superbrands Project Director for East Africa applauds. The confectionery maker under its brand Azam was Tanzania’s best recognizable Consumer brand in 2011 and Volume 11 edition of Superbrands Coffee Table Book.
A London based firm, the Centre for Brand Analysis (TCBA) has named 20 leading super brands in Tanzania following the intensive research done for several months.
The list was also dominated by other Tanzania’s home-grown companies. The lists reveal Tanzania’s strongest consumer brands 2012 as voted by over 600 consumers and include views of an expert council.
The survey conducted by TCBA and Africa’s research firm TNS RMS, sought to identify nation’s strongest brand.
Superbrands are running its programme for the third time in East Africa, and this year, ITV one of the leading television broadcasting companies in Africa, took top most position followed by Clouds FM which is a highly popular radio channel especially amongst youths.
In third position in the survey was Kilimanjaro Drinking Water, followed by Chai Bora and global brand Panadol in fourth and fifth respectively and Azam, which had topped the previous pan-East African, was at number 12, in the latest research.
Other firms that emerged top in the list include, Vodacom, Milimani Shopping Centre, Kilimanjaro Music Award, Coca-Cola, Safari Lager and Precision Air.
“ITV in particular should be delighted that among the large number of brands we researched they came out on top. This is testament to their hard work in building consumer trust, it is notable and pleasing that although many international brands, such as Coca-Cola, have performed well in the study that the top end of the rankings is not dominated just by multinational brands,” Stephen Cheliotis, Chairman of The Centre for Brand Analysis said.
“In difficult global economic times a strong brand provides businesses with a powerful advantage over rivals. As such all the brands rated highly by both the experts and consumer we surveyed should be delighted that their reputation might provide them with a vital foundation in which to outperform the market,” Stephen added.
Mr. Cheliotis further said that although a brand maybe intangible it is one of the most valuable assets a company owns.
Superbrands, the largest independent arbiter on branding currently identifies and pays tribute to exceptional brands in over 90 countries globally.
Affirmed by the strengthened financial position coupled with improved mining facilities, the emerging gold miner, Shanta Gold Limited, has provided a sound base to meet the 2013 production target of 70,000oz+.
“It might sound too early to say, but the commissioning of the recently upgraded three-stage crushing circuit has gone satisfactorily and will result in a more consistent feed to the mills. And this will allow the company to build up a stockpile of crushed ore which will assist in alleviating potential downstream plant outages,” Shanta Gold Chief executive, Mike Houston said in a statement.
Shanta Gold told investors that the recent improvement of the plant will add capacity of the company to achieve its production target for the year 2013, adding that the initial processing plant recovery issues are now largely resolved and a consistent mill feed will enhance efficiencies further.
The initial crushing circuit did not have the capacity to handle the run-of-mine ore, which resulted in poor plant availability and low volumes of tons milled in the quarter ended December 2012.
During the fourth quarter of production at New Luika mine in Tanzania, the company reported production of 5,748 ounces and a further 1,917 ounces of gold on carbon. “We are making tremendous improvement towards archiving our operational and commercial goals,” said Mr. Houston.
Last week, Shanta Gold signed $30-million medium-term facility with First National Bank (FNB). The facility has been secured over the shares and business assets of Shanta Gold's Tanzanian subsidiary.
According to the agreement, Shanta Gold would bear interest at a rate of Libor plus 8% a year, with a 2% arrangement fee.
The facility is repayable over two years with a capital holiday for the first six months and repayment occurring over 18 equal monthly installments thereafter.
The new financing, together with $35-million equity finance raised in October last year provides Shanta Gold with the required cash headroom during the ramp-up phase of its New Luika mine, in Tanzania, which saw its first gold pour in August 2012.
The existing New Luika mine plant which was drawn up in 2011, estimates production of 450,000 oz over a Life of Mine of 11 years. Currently the plant is being revised in light of the Resource Assessment increase announced in July 2012 and an increased Life of Mine of 20 years.
Shanta Gold Limited is an exciting gold exploration and development company, engaged in advanced and greenfields exploration in highly prospective under-explored areas in Tanzania. Shanta boasts a strong board and an experienced mining and exploration management team, combined with influential Tanzanian shareholders and partners.
The World Bank is responsible for monitoring international economic development
The World Bank has revised its forecast for Sub-Saharan Africa economic growth, estimating it is to expand at its pre-crisis, ‘global financial crisis’, at the average of 5% during 2013-15.
“The Developing countries, where growth is 1-2% points below what it was during the pre-crisis period, have been affected by the weakness in high-income countries. To regain pre-crisis growth rates, they will need to focus on productivity-enhancing domestic policies rather than demand stimulus,” says the World Bank report
The latest version of the Global Economic Prospects report describes a "dramatic" easing of financial conditions around the world, stemming in part from policy changes to soothe the regaining of pre-crisis growth rate especially for Sub-Saharan Africa. Still, the report cautioned that global growth would continue to be sluggish for years to come.
Although the major risks to the global economy are similar to those of a year ago, the likelihood that they will materialize has diminished. Major downside risks include the loss of access to capital markets by vulnerable Euro Area countries, lack of agreement on U.S. fiscal policy and the debt ceiling, and commodity price shocks.
“In an environment of slow growth and continued volatility, a steady hand is required in developing countries to avoid pro-cyclical policy and to rebuild macroeconomic buffers so that authorities can react in the case of new external or domestic shocks,” says the report.
Developing countries were responsible for more than half of global growth in 2012, the report said, and they will continue to be an engine of growth. The report estimates that developing countries grew 5.1% in 2012, and that the pace of growth will accelerate to 5.8% in 2015
In the report, the World Bank explained that the growth in Sub-Saharan Africa remained robust at 4.6 percent in 2012.
Excluding South Africa, the region’s largest economy, GDP output expanded 5.8% in 2012, with a third of countries in the region growing by at least 6%.
Robust domestic demand, still high commodity prices, increased export volumes (due to new capacity in the natural resource sector) and steady remittance flows supported growth in 2012. However, the expansion was curtailed by domestic factors, including earlier monetary policy tightening, protracted labor disputes, and political unrest.
The report says, while diminished, downside risks to the global economy persist and include a stalling of progress on the Euro Area crisis, debt and fiscal issues in the United States, the possibility of a sharp slowing of investment in China, and a disruption in global oil supplies.
“In this weak external environment, growth for developing countries will need to come from within, by strengthening governance and investing in infrastructure, education, and health care, says the report.
Regional Highlights
Growth in the East Asia and Pacific region slowed to an estimated 7.5% in 2012, from 8.3% in 2011, largely due to weak external demand and policy actions in China to contain inflation. Regional GDP growth is projected to pick up to 7.9% in 2013 before stabilizing at around 7.5% by 2015.
GDP growth in Europe and Central Asia is estimated to have slowed sharply to 3% in 2012 from 5.5% in 2011 as the region faced significant headwinds, including weak external demand, deleveraging by European banks, summer drought and commodity-price induced inflationary pressures. Growth in the region is projected to rebound to 3.6% in 2013 and 4.3% by 2015.
In the Latin America and the Caribbean region GDP growth declined to an estimated 3% in 2012 because of a marked slowdown in domestic demand in some of the largest economies in the region and a weak external environment. Accommodative policy environment, stronger capital flows and more robust external demand are expected to lift regional growth over 2013-2015 to an average of 3.8%.
Growth in the Middle East and North Africa region continues to be affected by political uncertainty and unrest in several countries. Regional GDP is estimated to have grown by 3.8% in 2012. Regional output is projected to slow to 3.4% in 2013, rising to 4.3% by 2015
In South Asia, growth weakened to an estimated 5.4% in 2012, mainly due to a sharp slowdown in India, where GDP growth is forecast at 5.4% in the fiscal year ending March 2013. Regional GDP is projected to grow by 5.7% in the 2013 calendar year, and by 6.4% and 6.7% in 2014 and 2015, respectively.
In a move that aims at taking hold of SME market, First National Bank is planning to open a fourth branch in Dar es Salaam-Kariakoo during the first quarter of 2013.
“We are excited about opening the Kariakoo branch. This will be our first SME focused branch. This unique SME focused product offering is a result of our day to day interactions with our customers. Their valuable insights and views have given us a chance to offer valuable services,” said First National Bank CEO, Richard Hudson said.
Mr. Hudson further said, “the Kariakoo branch will also house the Banks SME suite which makes it a multi-functional service point that caters for our usual customer base, but more importantly allows for the SME market to be serviced.”
With the Kariakoo branch, the bank will have a chance to offer a vast experience on SME banking solutions from other subsidiaries in Sub Saharan Africa.
FNB Group has operated in Sub Saharan Africa for over 174 years and has been a leader in providing innovative banking solutions to the SME market.
The group, which is headquartered in Johannesburg, South Africa, has a vision to become Africa’s preferred financial services leader and is committed to providing access to financial services and innovative financial solutions to all their customers.
Currently FNB has full branch banking operations in Zambia, Mozambique, Lesotho, Swaziland, Botswana and Namibia.
The bank offers a diverse set of financial products and services to the retail and corporate market segments ranging from the consumer, small business, commercial and corporate inclusive of financial institutions, parastatals and government entities.
Fastjet airplane at JK Nyerere International Airport
By Lulu Ramole
In its freshest bid to stimulate air travel in Tanzania, Fastjet, which styles itself as “Africa’s first pan-African low-cost carrier has introduced payments via the mobile money platform owned by Vodacom, M-pesa.
“We can now tell you that as of the 16th of January, we concluded functionality checks in the mobile payments system and people can pay for their tickets via M-pesa,” said FastJet’s Chief operating officer, Richard Bodin in his response to questions asked by Corporate Digest.
“We are in talks with two other mobile operators (Airtel and another) to commence ticket payments via their mobile money platforms and also are in the middle of talks with debit, credit card suppliers to allow customers to pay through their respective bank cards,” he added.
Mr. Richard gave a tentative month as the duration that mobile payments option on the company’s website to be fully operational.
Operations in December
In December Fastjet had a record 30,000 passengers who flew on the airline most of whom have never flown before. In terms of maintaining flight schedule he said they achieved 99.6 % on time flights. While atleast 40 % of all passengers enjoyed the low fare of Tsh32,000.
Outlook for 2013?
New routes will be announced in the 2 -3 weeks to come.
According to Mr. Bodin, the Fastjet management is in talk with the governments of the East African countries to introducing new routes in the region. These routes will announced after we receive all the regulatory approvals from the relevant authorities,” he explained.
The low cost airline, Fastjet has also announces a summer thirteen campaign which starts from April to October this year, in which there will be more $20 seats available for customers who plan and book for their tickets earlier. “The earlier you book the lower the fare. The service will be online as from next week,” he explained.
Meanwhile, FastJet’s buyout of low-cost airline 1Time has hit a snag after South African authorities said it might take longer to close the takeover.
Negotiations are still ongoing with 1Time and we have to wait until these talks are concluded added Bodin in response to our questions.
Director of Transport Services from the Ministry of Transport, Peter Lupatu, cuts a ribbon to inaugurate official launch of the first commercial flight of Precision Air Services (PW) to Mbeya, through Songwe International Airport. Left is PW Board Chairman, Michael Shirima.
By Corporate Reporter
PRECISION Air Services (PW) has commenced its first commercial flights to Mbeya, through Songwe International Airport which was recently renovated to accommodate international flights.
This is a comeback for the Airline which used to previously operate the Mbeya route between the years 1997 to 2000 using the strip in the Mbeya town. The historical inauguration took place at Songwe airport.
Speaking during the launch, Mr. Peter Lupatu, the Director of Transport Services said the move made by Precision Air creates an economical boost platform for Mbeya region and its neighbor’s in business and development opportunities which come along with availability of air transport in a given area.
The airliner will use its ATR-72 aircraft with a cabin capacity of 70 passengers to flag its services in this new route. The introductory flight schedule shows that the ATR-72 aircraft will fly to Mbeya four times in a week (Monday, Wednesday, Friday and Sunday) at an introductory fare of 249,000/= for return ticket and 165,000/= for one way, tax and other charges inclusive
“I am calling upon Mbeya residents and its neighbors to fully use this opportunity provided by Precision Air after starting its commercial flights to this region. This is one huge step for the region and the aviation sector in the country, said Mr. Lupatu.
He further said that the presence of a sure air transport we are introducing today shows that Mbeya and its neighboring regions are now opened up for great business opportunities as connectivity to major commercial cities and the rest of the world is made possible.
“The introduction of this new route will be a catalyst to the fast growth of various economic activities carried in this region which include horticulture, because farmers can now be sure to transport their produce timely and more safely to the targeted markets,” he said.
On his part, Precision Air Board Chairman, Michael Shirima, asked the government to look for an investor who will have aviation fuel at Songwe Airport in order to help the investors in the aviation sector to cut operation costs.
“My plea to the government is to ensure that aviation fuel is available at Songwe International Airport. This will greatly help to cut down operation costs incurred by operators in this business. At the moment, we are forced to carry reserve fuel which increases load to the aircraft; hence we are forced to carry few passengers to leave room for the reserve fuel,” said Mr Shirima.
The Precision Air founder also asked the government to ensure that navigation aid is installed at Songwe International Airport because of its location and for the safety of the airplanes and its passengers. He also encouraged the government to install radar at the airport, just as it is in other international airports.
He assured Mbeya residents that the airline will in future increase its flight frequencies to Songwe if passengers to and from that destination will increase.
The Acting Mbeya Regional Commissioner Norman Sigala on his welcoming remarks said he was happy with Precision Air’s decision to fly to Mbeya because it will reduce transport challengers Mbeya residents have been facing when they wanted to travel to Dar es Salaam and to connect to other cities in the world.
“The inauguration we are witnessing today is a blessing to Mbeya region and its neighbors. I want to assure Mbeya residents that Mbeya of yesterday is not the same as Mbeya of today and the future is bright. Precision Air has flagged commercial flights to this region; you will see many other airline companies coming here. The existence of air transport will now make our dreams of developing horticulture in this region become a reality. More economic activities will now be seen in the region and hence uplifting economic and social status of our people,” he said.
Songwe becomes the 18th destination for Precision Air, which has grown from a very humble background of starting as a crop spraying company with a single aircraft in 1987 but has gradually grown to the only Tanzanian region airline.
The wings of Precision Air have soared the skies within and outside Tanzania, the likes of the Indian Ocean islands of Zanzibar, Kilimanjaro, Mwanza and Lake Tanganyika port town of Kigoma, Mtwara and now here at Songwe in Mbeya Region to mention a few.
The Airline’s plan is now geared up to soar through the skies of Lilongwe in Malawi and Harare in Zimbabwe and towards the end of January, Precision Air will touchdown the soils of Kigoma.
The CEO of Bharti Airtel's Indian operations, Sanjay Kapoor (pictured) have tendered his resignation from the company. Sanjay will however continue his association with the Bharti Group and be on the Board of Indus Towers and Bharti Global.
He is due to leave at the end of next month and will be replaced by the company's group director of special projects, Gopal Vittal.
"After almost 15 years of illustrious innings at Bharti Group, Sanjay Kapoor, CEO - India & South Asia, Bharti Airtel, has decided to pursue his future aspirations outside of Bharti," the company said in a statement to the Bombay stock exchange.
The announcement is particularly unusual as it comes during the company's normal quiet period before it releases its annual financial results, which are due in a couple of weeks time.
Country Manager of Resolution Insurance, Mr. Oscar Osir speaking at a recent event
The fast growing health Insurance company in Tanzania, Resolution Insurance Limited, has launched an educational health awareness campaign that aims at educating people on healthy living and lifestyle.
“Our ‘Healthy Living Campaign’ is an effort to educate the public on how to proactively consider healthier habits that have overall effect on good health. With lifestyle and dietary changes, the occurrence of diseases in East Africa such as obesity, hypertension and diabetes to name a few are increasing at an alarming rate,” said Country Manager of Resolution Insurance, Mr. Oscar Osir.
“These conditions which can be prevented or easily managed when diagnosed early have costly treatments and can force a family undue financial stress. With our campaign, we educate people on steps they can take for healthier lifestyles and the advantages of having a health insurance when such conditions occur.”
Educational health awareness campaign which started end of last year, took place around different malls in Dar es Salaam.The Resolution Insurance Healthy Living campaign components are inclusive of BMI testing, nutrition education, and counseling services.
“Most people do not even know their weight let alone if they are overweight or not and therefore cannot establish whether they are living healthily or not. The BMI scale enables us to derive the weight categories, that is under weight, normal weight or obese. It is from these findings that we advise clients on the most appropriate measures,” a consultant nutritionist with the Resolution team, Sweet Betty said.
Resolution Insurance is the leading medical insurance provider in the region. The company caters for both corporate and individual. It has over 120 medical service providers all over the country, a strong network of hospitals, clinics and doctors in Tanzania, and a network of over 500 medical providers in East Africa.
Stanbic bank staff Herry Magava gets a health check up from a Sanitas employee at the bank's Head Office in Dar Es Salaam yesterday. Stanbic is conducting a health check up and medical education for its staff throughout the country. The bank conducts the checks annually as part of its broader staff welfare activities.
The Board of Directors of the African Development Bank (AfDB) has approved an equity investment of US $24 million which is equivalent to a whooping Tsh 38.4 trillion in the East African Development Bank (EADB) to strengthen its balance sheet and contribute to improve its international credit rating.
According to a statement seen by Corporate Digest the transaction which will mobilize significant financial resources in the East African Community (EAC), will support capital market development, government revenue generation and foreign exchange, ultimately stimulating economic development and employment opportunities in the region.
“In particular, US $10 million will be "paid in" with the balance in the form of callable (repayable on demand) capital,” read the statement in part.
By partnering with EADB, AfDB will exploit synergies stemming from complementary sources of comparative advantage.
EADB, with its field presence and local knowledge of the EAC market, provides a logical conduit for AfDB to reach out to end-customers, including SMEs, by efficiently leveraging its scale.
From this perspective, the project is aligned with AfDB's East African Integration Strategy, with its focus on sub-regional development finance institutions, as well as with the key pillars of AfDB's forthcoming Long-Term Strategy, particularly private sector development and regional integration.
The project will help EADB consolidate the gains of its successful restructuring program. It will assist the current business strategy of the bank by strengthening its capital base. This is a crucial condition for mobilizing financial resources from capital markets at more affordable terms and meeting the growing demand for investment in the EAC.
In particular, in addition to providing fresh resources to EADB, the project is expected to contribute to improve the quality of the callable capital of the bank, which is a major factor driving its credit rating. A technical assistance package, financed by the Fund for African Private Sector Assistance (FAPA), to reinforce institutional capacity at EADB would complement the proposed equity investment.
Established in 1967 under the terms of the Treaty for East African Cooperation, EADB is a sub-regional multilateral lender based in Kampala, Uganda, and operating in the EAC. Its member states include Kenya, Rwanda, Uganda and Tanzania. EADB's interventions mainly take the form of loans, leases and equity participations.
Your passwords are not safe
By Corporate Reporter
If you think your scores of valuable company data, personal confidential reports are safely protected by un-hackable password you might have to get craftier...says a new report by Global consulting firm Deloitte.
The report alarmingly predicts that more than 90% of user-generated passwords will be vulnerable to hacking, even those passwords traditionally considered strong — with eight characters and a combination of numbers, letters and symbols — are at risk.
The research comes at a time consumer confidence in online banking, shopping, social networking and shopping sites is gaining traction in the country. In this modern tech-savvy world, it has now become common to hear a company report that its site was hacked in some way...or somebody accessed a facebook, yahoo, and Linkedin account by hacking.
The utilization of online banking and e-commerce continues to increase, even though these incidents of fraud and hacking are publicized,” says Peter Beardmore, senior director of product marketing at Kaspersky, an IT security firm.
In June networking site LinkedIn confirmed that a major security breach corresponding to LinkedIn accounts compromised users’ passwords. About 400,000 Yahoo email addresses and passwords were hacked last July. (Yahoo! Finance is owned by Yahoo!.) And in 2011, 77 million passwords were stolen from Sony’s PlayStation Network. And that's just to name a few examples.
Almost all corporates in Tanzania and elsewhere around the world have passwords to multiple accounts including personal email accounts.
Is an eight character password enough?
Most of us have been told that a strong eight-character password — with a number or two and a random symbol — is sufficiently secure for even relatively high-value financial transactions. Such a password chosen from all 94 characters available on a standard keyboard is one of 6.1 quadrillion possible combinations. It would take about a year for a relatively fast 2011 desktop computer to try every variation, Deloitte says.
And because the longer and more @, * and % symbols are in our passwords, the harder they are to remember. So we end up using a very small subset of those possible combinations — which makes user-generated passwords susceptible to getting cracked.
“Most people put a capital letter at the beginning, and if you use a symbol, you probably use an exclamation mark,” says Richard Lee, national managing partner in Deloitte’s Technology, Media & Telecom group.
The bigger problem, however, is password re-use. A study by credit-checking firm Experian last year found that the average user has 26 password-protected online accounts but uses only five different passwords.
Therefore, if you use the same password for your bank account online as you do your PlayStation account, a security breach at the gaming site could expose the password that protects your bank account.
Deloitte notes advances in the hardware used to crack passwords that have made sensitive information increasingly vulnerable. One of these includes so-called brute-force attacks, which applies each of the 6.1 quadrillion combinations for an eight-character password until one works.
“A dedicated password-cracking machine employing readily available virtualization software and high-powered graphics processing units can crack any eight-character password in 5.5 hours,” the Deloitte report said. Such a machine costs about $30,000 in 2012.
Popular solution
Consumers are now aware that they must go through an extra layer or two of protection to access some of their valuable accounts. Many of these have been implemented in response to the increasing threat of hacks.
"Multi-layer authentication" is one popular solution. Instead of requiring only a name and password to gain access to an account, multiple identification factors would be needed. For instance, you log onto your credit-card issuer’s site, type in your username and password, and another code or password is sent to your smartphone, which you then input online. It’s another layer of security “that will work, but it’s not terribly convenient,” experts says.
Consumers can also use password vaults or password safes so as they could be in a safe side. The tools (which usually carry monthly fees) provide a consumer with a central place to store all the passwords, encrypted and protected. While not totally hack-proof, password managers let you create secure passwords so they’re not easily cracked.
Boosting Tanzania initiative to save billions of shillings lost daily in traffic jams and provide relief to at least 300,000 commuters, the World Bank Board of Executive Directors has approved $100 million as additional financing for completion of the Bus Rapid Transit (BRT) system in Dar es Salaam.
“Dar es Salaam is growing rapidly”, said Philippe Dongier, World Bank’s Country Director for Tanzania, Uganda and Burundi. “Traffic jams are a significant problem for the economy. They reduce productivity by wasting the time of road users; they threaten future growth prospects for the city and the country, and they pollute the environment.”
The additional $100 million from the Bank’s International Development Association will bring the total cost of the Second Central Transport Corridor Project (CTCP2 to $290 million).
The four companies, M/S Strabag International GmbH from Germany, Beijing construction Engineering Group (BCEG), China Civil Engineering Construction Corporation and M/S Spencon Services Ltd of Tanzania are implementing the project in 36 months.
According to National Road Agency (TANROADS), the project entails implementation of seven (7) work packages.
Package one involves the construction of roads which covers a length of 20.9 kilometers. The 20.9km is now being constructed by the Germany firm, M/S Strabag International GmbH at a cost of US$ 150.7 million (Tsh240.8 billion) for 36 months duration.
The works will also include the construction of 29 ordinary bus stations within the roadway, five bus terminals, two bus deposits along the project corridor and the building of three pedestrian bridges. The utility power relocation will provide some 80,000 jobs by completion in 2015.
The long awaited multibillion project is implemented by the Dar es Salaam Rapid Transport (DART) agency and is aligned to Tanzania’s development strategy which underscores the need for improved transport infrastructure to achieve social and economic objectives.
The BRT system will be operated by a US$40.9 million public private partnership (PPP) arrangement with two private bus operators, one fare collector and a fund manager. The modern system will provide rapid boarding and dedicated right of way for 148 buses with a capacity of 140 passengers each, providing both normal and express services.
Additionally, another 100 buses with a capacity of 60 passengers will transport passengers to the trunk system through feeder stations. The entire 20.9 kilometers will be provided with tree-shaded bicycle and pedestrian ways on both sides of the road with an average distance of 500 meters between bus stops.
“We are happy with the momentum of implementation of the BRT infrastructure as all works contracts have been awarded and the construction is proceeding,” said Yonas Mchomvu, the World Bank’s Transport Specialist in Tanzania.
DART in collaboration with the Surface and Marine Transport Authority (SUMATRA) and the Daladala Owners Association (DARCOBOA) are currently mobilizing local transport operators to form companies that are expected to participate in the bidding for the BRT bus operation through joint venture agreements and/or operation contracts with experienced international operators.
Further, preferential access to shares in the BRT bus operation will be given to the 1,800 commuter mini-buses that are expected to be displaced by the BRT operation.
There is a tremendous increase of number of schools in Tanzania showing interest to partner with one of the leading cellular networks in the country, Vodacom, to use M-Pesa services to pay school fees.
“Over 10,000 schools are making use of M-Pesa to pay school fees in Kenya. We need not to be left behind. This is a perfect way of saving on time and other valuable resources,” said Mr. Jackson Kiswaga, a Vodacom Head of M-Commerce: Business Development.
Currently about four schools are enjoying the benefit of the service and about three other schools have shown interest to partner with Vodacom Tanzania for the same purpose.
He further urged companies, organizations and other schools to make use of technology, noting that it is safe, reliable and fast to use.
Mr. Kiswaga explained that Vodacom will give training opportunities to schools and colleges countrywide, as a means of familiarizing them on how to use the service to pay fee.
“We believe that education is the only touch that will give our customers confidence in using M-Pesa. Our neighboring countries like Kenya are now enjoying the technology more than ever before,” he said.
Equity Bank CEO James Mwangi
By Corporate Reporter
Global payments and Technology Company MasterCard and Equity Bank have penned a partnership as part of their freshest bid to introduce the benefits of electronic payments to unbanked and under-banked population in the East African region.
“Through this partnership the bank’s customers in the region will be issued with new debit and prepaid cards that will be accepted at any MasterCard point of sale globally enabling them to become part of a more secure, convenient cashless economy,” Equity Bank CEO James Mwangi said during the signing of the agreement.
The cards will also introduce the MasterCard Pay Pass feature, which is a contactless payment attribute that provides cardholders with a simpler way to make payments without swiping or giving the cards to cashiers.
However the cards will only be issued to new customers and those renewing their current cards.
The collaboration will see five million ‘Equity Bank MasterCard’ debit cards introduced in the Kenyan market in the next one year before extending to the other four East African countries including Uganda, Tanzania, Rwanda and South Sudan where the bank has its footprint.
Master card president and CEO Ajay Banga said the new cards will enable the customers to have access to one million ATMs and 34.7 million locations worldwide.
“Unlike the current debit cards, which are only acceptable at Equity Bank ATMs and merchants, the new cards will be accepted globally. They will also have the EMV (Europay-MasterCard-VISA) technology, for high security, unlike the current magnetic stripe card, which is prone to fraud,” Banga said.
The bank is currently working with the company to also obtain access and license to operate in five other countries within the central African region.
Facebook Chief Executive Officer Mark Zuckerberg
In an effort to make the content and preferences of its 1 billion users more discoverable, Facebook has announced a new feature called Graph Search—a long-awaited effort to improve its previously underachieving search engine.
The tool, if is an hit with users, could put the world's largest online social network more squarely in competition with archrival Google and other rivals such as LinkedIn.
Graph Search, offers a different experience than the kind of Web searches enabled by Google, which can be open-ended and return a range of links. The new feature, at first, will take more precise queries related to four topics—people, places, photos, and interests—and return answers that are constrained by the content and preferences specified by the searcher’s community on the social network says Facebook Chief Executive Officer Mark Zuckerberg.
It lets users quickly sift through their social connections for information about people, interests, photos and places. It'll help users who, for instance, want to scroll through all the photos their friends have taken in Nairobi or search for the favorite TV shows of all their friends who happen to be lawyers.
Users can navigate through the 240 billion photos on the network, the trillions of user “likes,” and the connections between users. But they can only see content that users have specified as either public and/or viewable to others in their network. Users “want a search tool that can help you get access to things that people have just shared with you,” Zuckerberg said.
Graph Search could allow Facebook to build some new businesses. When a user types in “music my friends like,” “TV shows my friends like,” or “restaurants liked by my friends from India,” the site returns a range of related media content and local businesses, and each listing includes ratings from friends.
"This could be another reason not to use Google and another reason to stay on Facebook for longer periods," said Gartner analyst Brian Blau. "I don't think Google is going to lose its search business, but it could have an impact on Google by changing the nature of search in the future."
Facebook's foray into search marks one of its boldest steps since its initial public offering of stock flopped eight months ago amid concerns about the company's ability to produce the same kind of robust earnings growth that Google delivered after it went public in 2004.
Zuckerberg however clarified that the company is not currently thinking about making money from Graph Search: “This potentially could be a business over time, but for now we’ve been focused on building out this user experience. We first need to build something high quality. That is mission No. 1.”
The Twin towers of Bank of Tanzania
By Corporate Reporter
Cutthroat competition among commercial banks operating in the country coupled with deposits mobilization efforts has influenced an increase of the overall time deposit rate for the year ending November 2012.
According to the latest Bank of Tanzania (BoT) Monthly Economic Review, overall time deposit rate for the year ending November 2012 increased to 8.40 per cent, from 8.29 per cent in October 2012 and 6.74 percent registered in November 2011.
The spread between 12-month deposit rate and one year lending rate narrowed to 5.08 percent in November 2012 from 5.47 percent recorded in November 2011.
According to BoT, the overall weighted average lending rate was 16.05 percent in November 2012, compared to 16.44 percent in October 2012 and 14.13 percent recorded in the corresponding period in 2011.
On the other hand, the total volume of transactions in the inter-bank cash market in November 2012 amounted to $343.1 million (Tsh552.5billion), compared to $416million (Tsh669.9billionn) registered in October 2012, with overnight transactions accounting for 57.3% of the total transactions.
The overall interbank cash market rate decreased to 4.56% from 8.42% recorded in the preceding month. Overnight interbank cash market rate decreased from 7.85% in October 2012 to 4.15% in November 2012. "These developments, reflects improved liquidity condition among banks during the month under review," BoT said.
Inter-bank Foreign Exchange Market Developments
In November 2012, total transactions in the inter-bank foreign exchange market (IFEM) amounted to USD 135.5 million, out of which USD 105.9 million was sold by the Bank of Tanzania for liquidity management.
In October 2012, total transactions were USD 87.3 million, with the Bank selling USD 45.9 million. The shilling depreciated slightly to an average rate of TZS 1,580.51 per USD in November 2012 from an average rate of TZS 1,577.6 per USD in October 2012
Standard Chartered Bank has appointed Liz Lloyd (pictured) as Chief Executive Officer for Tanzania operations replacing Jeremy Awori whose tenure ended last year.
A statement issued to Corporate Digest by the bank said Liz was transferred to Dar es Salaam from her previous role as Group Head of Public Affairs, based in London, and assumed her new role as of January 2013.
Liz Lloyd has previously held senior roles in Group Corporate Affairs and Group Regulatory Risk and, prior to joining Standard Chartered in 2008, spent over a decade working for the former British Prime Minister, Tony Blair, including as Senior Adviser on Africa and latterly as Deputy Chief of Staff. She has worked closely over a number of years with a wide range of African governments.
Diana Layfield, Chief Executive Officer for Africa, Standard Chartered in response to the appointment said, “In addition to exporting talent from Africa into the Group, the region is proving to be an attractive location for some of our best international staff as we increase our investment in our businesses across the continent.
“I am delighted to welcome Liz to our team in Africa, following her successes in her high profile role in London, shaping the global regulatory environment for international banks. We continue to place some of our best people in Africa as we strive to make the strongest possible social and economic contribution to the countries we operate in.” She added.
Liz Lloyd upon taking up the new role as the Chief Executive Officer for the Bank in Tanzania noted that Tanzania holds so many opportunities and I’m excited to be leading Standard Chartered Bank Tanzania in a year of growth.
“Standard Chartered has important expansion and investment plans in 2013 and will play its part in the growth and development of Tanzania.” She added.
The statement added that Tanzania remains core to the Bank’s regional and East African strategy, given the market has seen sustained, strong growth for over a decade. The economy is a member of Standard Chartered’s ‘7% Club’ – a list of economies which have growth rates high enough to double the size of the economy in the next 10 years.
Richard Etemesi, CEO for Kenya and Area General Manager for East Africa added, “We look forward to Liz bringing a wealth of additional expertise to our East Africa region.
“Tanzania is playing an increasingly important role in our East African strategy, given the broad-based nature of its economic growth. Tanzania’s discovery of 15trillion cubic feet of gas reserves off its shores is also expected to drive developments in the near-term.”
China’s premier search provider Baidu has signed an exclusive partnership with France-based mobile operator Orange to bring a mobile web browser to customers in Africa and also the Middle East.
Orange said that the forthcoming browser is much faster and more data efficient compared to other browsers, and will reduce the amount of data consumed by 30 to 90 per cent depending on the types of services and files accessed.
The partnership marks the first time Baidu has signed such an agreement with a global operator and Orange voiced its hope that the partnership will help drive mobile data adoption in emerging markets.
The operator also explained that mobile internet usage is increasing rapidly in Africa, where it is currently deploying 3G networks and making more low-cost smartphones available. The firm has a mobile customer base in AMEA of nearly 80 million customers, and said that customers have been steadily moving from basic feature phones towards low-cost Android smartphones.
The browser offers a customisable but simple interface for customers in the region, enabling them to access web-based apps and internet services specifically developed for Baidu and Orange, as well as services such as Wikipedia, Facebook and Twitter.
Orange and Baidu have already developed an Arabic and English version of the browser which was launched on the 14th January 2013 for Mobinil customers and both companies are now working to launch French versions of the browser for countries in the region.
“The telecoms sector in Africa over the next five years will be one of the most dynamic industries in the world,” said Élie Girard, senior executive VP for group strategy and development.
He added that with an overall market value of $100bn, according to the operator’s research, Africa’s telecoms market is currently the smallest of all the continents in the world. However, its compound annual growth rate of 6.3 per cent surpasses any other, with Latin America’s standing at 5.2 per cent and Asia Pacific’s at 5.0 per cent, which means there is a lot of space to grow.
Girard also reiterated the operator’s pledge to become the number one or number two operator in all of the markets it operates in across the region, adding that it would be difficult in the long term to turn a profit if it remains the number three or number four operators in most markets.
Lucky winners of a sweepstake which was done during the launch of the first showroom in East Africa which will stock and distribute BEKO products which is housed at KIDA Plaza in Mikocheni B, Dar es Salaam, poses for a group photo with some BEKO officials. Shop it stands for Modern Holdings (EA) Limited becomes the first in the East African region. The showroom is the first in East Africa is managed by Modern Holdings (EA) Limited.
In a move to expand its footprint to the rest of East African countries, Turkish based manufacturing company, BEKO, in collaboration with Modern Holdings (EA) Ltd, has selected Tanzania to be its first base by opening a first showroom in Dar es Salaam.
“We are targeting to become permanent in Tanzania and East Africa. We as BEKO & Grundig will be searching for opportunities of added value investments to Tanzania,” said Mr. Murat Buyukerk, BEKO Sales Director for Middle East, Africa and Turkic Republic.
The decision to open showroom in the country is a clear sign of booming and constantly flourishing economy and standard of living in Tanzania, the move will enable more Tanzanians and neighbouring countries to afford its products.
“It is our aim to establish an electronic appliances manufacturing plant in Tanzania, whose products will be exported to the neighbouring countries, hence making the products affordable to many consumers,” Chairman of Modern Holdings East Africa Limited and a sole distributor of BEKO products in the region, Mr. Anselm Minja said.
Having the production plants in Turkey, Romania, Rusia and South Africa, BEKO is active in more than 100 countries and become a choice of over 280 million people worldwide.
While inaugurating the launch of BEKO showroom at KIDA Plaza in Mikocheni B, Dar es Salaam over the weekend, Tanzania’s Prime Minister Mizengo Pinda, stressed the need for Turkish companies to open more showrooms in the country for their products in diverse cities like Arusha, Mwanza, Dodoma and Mbeya, a move that will promote and strengthen the good bilateral relations between Tanzania and Turkey.
Available data indicates that Turkey’s exports to Tanzania in 2011 were $170.7 million compared to $89.3 million posted in 2010. The top export categories were iron and steel ($63.1 million), petroleum products and related materials ($36.1 million), manufactures of metals ($11.1 million), commodities and transactions not classified elsewhere in the United States Standard International Trade Classification (SITC) ($8.2 million), paper or paperboard and articles of paper pulp ($7.1 million).
Tanzania’s exports to Turkey were $21.7 million in 2011, an increase of 52 per cent compared to $14.3 million in 2010. The top five export categories for 2011 were tobacco and tobacco manufactures ($13.2 million), transport equipment ($4.9 million), crude animal and vegetable materials ($1.2 million), textile yarn, fabrics, made-up articles and related products ($1 million), fish (not marine mammals, crustaceans, mollusc and aquatic invertebrates ($269,000).
The trade surplus of goods with Turkey was $148.9 million in 2011, 50 per cent increase from $75.3 million in the previous year 2010.
Turkish ambassador to Tanzania, Mr. Ali Davutoglu said there is enormous potential for greater bilateral cooperation between Tanzania and Turkey in areas such as trade, investments, joint business ventures and tourism, and Turkey is keen to further expand cooperation for the mutual benefit of the two countries.
The envoy said the exchange of business and government delegations will go a long way in strengthening economic ties and promoting trade investment between the two countries.
A Toyota logo on a car
Toyota has yet again dethroned General Motors as the world's top-selling automaker.
The Japanese company sold 9.7 million cars and trucks worldwide in 2012, although it's still counting. GM sold 9.29 million.
Both companies saw higher sales, but Toyota's growth was far larger as it rolled out new versions of popular models like the Camry. GM executives promised sales growth this year, especially in the U.S. Both companies say publicly that they don't care about who wins, but concede that the crown is an important morale booster for employees.
GM was the top-selling carmaker for more than seven decades before losing the title to Toyota in 2008. But GM retook the sales crown in 2011 when Toyota's factories were slowed by an earthquake and tsunami in Japan. The disaster left Toyota dealers with few cars to sell. The company has since recovered.
Toyota's comeback from the earthquake, and flooding in Thailand, is only part of the story, says Jeff Schuster, senior vice president of forecasting for LMC Automotive, a Detroit-area industry forecasting firm. The company also has freshened up its stale midsize sedan, the Camry, the top-selling car in the United States.
GM's global sales rose 2.9 percent last year, it announced Monday at the North American International Auto Show in Detroit. Toyota sales rose 22 percent.
Schuster expects Toyota to keep the lead over GM this year as it launches a new Corolla compact later this year.
"I think that's going to be enough to keep them in their position," he says.
Toyota builds 70 percent of the cars it sells in the U.S. in North America, including the Corolla.
GM is also contending with a stronger Volkswagen. It narrowly edged out the fast-growing German company for second place in 2012. VW sold a record 9.1 million vehicles.
Volkswagen, with big sellers like the Passat midsize sedan and Jetta compact, closed in on GM with an 11 percent sales increase across the globe. The United States, where VW brand sales rose 31 percent, led the way.
Schuster expects GM to hold off Volkswagen in 2013. That's because VW has more of a presence in Europe, where sales are falling as the region struggles with high unemployment and weak economies.
GM isn't ignoring the global sales race, but it's more focused on rolling out new products and driving profitable growth, said Mary Barra, the company's global product development chief.
She expects the company to gain sales and market share in the U.S. this year because many new vehicles were rolled out late last year or are coming this year, such as new full-size pickup trucks and the Cadillac ATS small luxury sports sedan. GM plans to revamp 70 percent of its North American models by the end of next year, shifting its model lineup from the oldest in the industry to the newest.
"It all starts and ends with great products," she said. "You get the products right and the other will come with time."
Shanta Gold has reported that its fourth-quarter output from its Tanzania-based New Luika gold mine, which started production in August, totalled 5 748 oz, with a further 1 917 oz of gold absorbed on carbon.
The original two-stage crushing circuit was upgraded to a tertiary crushing circuit in early January to increase the throughput capacity from 390 t/d in the last quarter to the 870 t/d level required to meet the 2013 production target of 70 000 oz.
The initial crushing circuit did not have the capacity to handle the run-of-mine ore, which resulted in poor plant availability and low volumes of tons milled in the quarter ended December 2012.
Shanta Gold CEO Mike Houston said initial processing plant recovery issues were largely resolved and that a consistent mill feed would further enhance efficiencies.
“Commissioning of the recently upgraded three-stage crushing circuit will result in a more consistent feed to the mills and enable the company to build up a stockpile of crushed ore, which will assist in alleviating potential downstream plant outages,” he said in a statement on Monday.
The company expected to remain in a ramp-up period during the first quarter of this year.
Work on the revised medium-term New Luika mine plan, incorporating the higher-grade Bauhinia Creek resource, was continuing and was expected to be published in the second quarter, following completion of additional in-pit geotechnical drilling.
iPad tablets
Worldwide PC shipments totaled 90.3 million units in the fourth quarter of 2012, a 4.9 percent decline from the fourth quarter of 2011, according to results by Gartner.
"Tablets have dramatically changed the device landscape for PCs, not so much by 'cannibalizing' PC sales, but by causing PC users to shift consumption to tablets rather than replacing older PCs," said Mikako Kitagawa, principal analyst at Gartner.
"Whereas as once we imagined a world in which individual users would have both a PC and a tablet as personal devices, we increasingly suspect that most individuals will shift consumption activity to a personal tablet, and perform creative and administrative tasks on a shared PC.
There will be some individuals who retain both, but we believe they will be exception and not the norm. Therefore, we hypothesize that buyers will not replace secondary PCs in the household, instead allowing them to age out and shifting consumption to a tablet."
"This transformation was triggered by the availability of compelling low-cost tablets in 2012, and will continue until the installed base of PCs declines to accommodate tablets as the primary consumption device," Ms. Kitagawa said.
During the holiday season, consumers no longer viewed PCs as the number one gift item. Given a burgeoning variety of increasingly more attractive devices and services, consumers directed their attention elsewhere. Analysts said there was uptake of very low priced notebooks as a part of mega holiday deals, but this uptake did little to boost holiday PC sales.
The launch of Microsoft's Windows 8 did not have a significant impact on PC shipments in the fourth quarter. Analysts said some PC vendors offered somewhat lackluster form factors in their Windows 8 offerings and missed the excitement of touch. New products are coming to market, and this could drive churn within the installed base.
PC shipments in EMEA totaled 28.1 million units in the fourth quarter of 2012, a 9.6 percent decrease from the fourth quarter of 2011 (see Table 3). Western Europe remained the weak point across EMEA, as Central and Eastern Europe and the Middle East and Africa saw growth quarter-on-quarter.
"The PC market continues to face many headwinds. The launch of Windows 8 had no impact on PC demand, especially as Ultramobile products were both limited in supply, as well as being priced too high," said Ranjit Atwal, research director at Gartner.
"The holiday season mostly saw retailers clearing Windows 7 notebook inventory or driving volume of low-end notebooks. Furthermore, the increasing choice of tablets at decreasing price points no doubt became a favorite Christmas present ahead of PCs."
"In the fourth quarter of 2012, mobile PC shipments decreased 11 percent while desktop PC shipments declined 6 percent year-on-year," said Isabelle Durand, principal research analyst at Gartner. "However, all-in-one form factor models from Asus, Lenovo and HP look like a promising platform for the future."
For the year, PC shipments were 352.7 million units, a 3.5 percent decline from 2011. HP retained the top spot in the global PC market, accounting for 16 percent of the market. Lenovo was the No. 2 vendor with 14.8 percent market share. Asus showed the strongest growth among the top five vendors, with shipments increasing 17.1 percent.
Millward Brown, a global research agency, expert in helping companies grow great brands, has released its annual top 10 digital and media predictions, highlighting growing trends in the media sector.
"We expect 2013 to be another dynamic year for online display, mobile and social media. Consumers have ever higher expectations of intelligent digital advertising approaches, and marketers will need to deliver more sophisticated campaigns to keep pace with what works," said Duncan Southgate, global brand director for digital at Millward Brown.
Among other trends, Millward Brown's Futures Group believes that the emergence of "mobile as remote" will make it a central pillar of smart communication plans; that omnichannel marketing will help brands build on meaningful moments of engagement, and that social TV will grow up and become part of the narrative rather than a conversation about the narrative.
The emergence of "mobile remote"
With increased power and capabilities, our mobile devices become the remote controls of our lives allowing not only active control of electronics, but seamless integration of the world around us.
The new functionality of our mobile "remotes" utilises advanced technology to simplify our lives. Anything that needs a processor to operate can use a smartphone as the "brains." Brands need to start developing communication plans that adapt to this world. With mobile as the hub, information gathering becomes more centralised as consumers trade personal information for convenience and access to events, offers and premium content.
Omnichannel marketing and brand building
Omnichannel marketing is about being present or available across the consumer's behavioural path: each potential contact point integrated with all others. The digital arena will represent the first stage of more brands adopting an omnichannel mindset as social and mobile data sources are blended with offline brand experiences.
In 2013 the green shoots of omnichannel strategies will involve companies turning existing datasets into active targeting engines. As mobile ad-serving platforms mature this will transition from social apps into ads running across any mobile content.
As well as receiving location data, mobiles have the potential to inform nearby digital screens - Minority Report-style tailored out of home ad content may not be so far away.
The implication for marketers?
Start building the infrastructure to deliver an integrated experience in the omnichannel world or face being left behind.
Social TV grows up
Contrary to predictions that the digital age would drag people away from television, we are watching more TV than ever and people's viewing experience is being enriched rather than eroded by social networks.
Increasingly, the assumption that a laptop, and a tablet or mobile are the "second" and "third" screens will be eroded. It will not be enough to simply broadcast a hashtag and flag a few tweets on the television screen. Telling stories through multiple screens (and elsewhere) will begin to supplant the notion of broadcasting something on the first screen and people reacting and responding to it on disconnected supplementary screens. What does this mean for brand owners? Read the full report (see link at foot of article) to find out.
Other predictions for 2013 include:
•In Africa, brands will take advantage of huge mobile marketing opportunities
•Social media listening will evolve from monitoring to insight generation as brands give more weight to social data in business decisions
•Wider availability of high impact Facebook advertising will provide richer opportunities for brands
•Real-time planning will become an essential feature of digital campaign delivery and evaluation
•Better alignment of online display formats with objectives
•More paywalls on premium sites will lead to a scarcity of 'premium eyeballs'
•In-app advertising spend will be driven by greater use of rich media
BlackBerry smartphone customers on Vodafone Group Plc (VOD)’s networks have been hit by connection problems caused by the wireless carrier’s systems which the carrier has said it is working to fix.
“Vodafone can confirm that some BlackBerry customers experienced issues with their data services this morning in Europe, Middle East and Africa,” Newbury, England-based Vodafone said in a statement recently. “The issue was caused by a router error. Services are in the process of being restored.”
Although previous wide-scale failures have been caused by problems with the BlackBerry servers, its being suggested that this issue is isolated to a Vodafone component.
“All BlackBerry services are operating normally but we are aware that a wider Vodafone service issue is impacting some of our BlackBerry customers in Europe, Middle East and Africa,” RIM also said in a statement.
The incident follows two disruptions in BlackBerry maker Research in Motion Ltd.’s operations in the past 16 months and comes as the company prepares to release its BlackBerry 10 phones on Jan. 30.
More than 60 Fortune 500 companies are testing the new phones that RIM is counting on to claw back market share lost to Apple Inc. (AAPL)’s iPhone and devices running Google Inc. (GOOG)’s Android software.
Vodacom's Head of Brand Communication and Marketing, Kelvin Twissa (left) elaborates a point during revealing the winners who participated over the festive season in the 'Shinda na Nokia Promotion. Over 70 winners were announced to have won prizes including among them Nokia Lumia 800, 900 and Nokia 808.Looking on is Nokia’s Marketing Manager Ellen Lupilli.
Mazen Mroué, MTN Uganda Chief Executive Officer
MTN Uganda has announced plans to deploy Long Term Evolution (LTE) a 4G network for mobile phones and data terminals that provides mobile ultra broadband internet access in the coming months.
The announcement is in line with MTN’s network infrastructure upgrade that aims at providing customers with world class data access with speeds of up to 100 mbps and will allow them enjoy faster internet access, superior quality live streaming and video chatting.
Over the last two years, MTN Uganda has made major investments in its network upgrade having introduced 3G+ and recently increased its data speeds to 21.6 mbps while expanding its infrastructure technology.
“MTN remains committed to development of the ICT sector and the Ugandan economy. LTE becomes the new standard determining the level of Technology development and offering substantially faster data speeds than other technologies” said Mazen Mroué, MTN Uganda Chief Executive Officer.
According to Mroue MTN 3G+ has to date given more Ugandans internet access for the first time with widest network coverage, wide range of devices, affordable tariffs and the introduction of the 4G network aims at growing the numbers.
“The continuous CAPEX investment by MTN is aimed at providing our customers with the best possible user experience across the country. We would like to ensure consistently reliable network quality for all existing customers and also to enable many more new subscribers to enjoy the Mobile Technology.” said Rami Farah, MTN Uganda Chief Technical Officer.
The company has deployed close to 2,800km of fibre backbone to protect customer experience across the country and rolled out 81 new Base Transmission Sites over the last 6 months to new coverage areas while commissioning another batch of capacity sites to enhance the quality of network services bringing its total number of sites to 1100 as at close of 2012.
Over the past couple of years MTN has also made back haul links expansion and enhancements to the Mombasa submarine cables (EASSY and TEAMS) which have enabled connectivity with the rest of the world while providing better connectivity and high level redundancy for voice and data services.
MTN Uganda plans to invest US$ 70 million in 2013 mainly in expanding the network infrastructure to support mobile subscriber growth as well as roll out new innovative products and digital solutions.
East Africa-focused gold-mining company Shanta Gold on Thursday said it had signed and drawn down a $30-million medium-term facility with First National Bank (FNB).
"We are pleased to have finalised and drawn down sufficient funds to provide the necessary headroom during the early stages in the production growth curve and to enter into this new phase in our banking relationship with FNB, which continues to show a strong commitment to the New Luika project," CEO Mike Houston stated.
The facility, which is secured over the shares and business assets of Shanta Gold's Tanzanian subsidiary, Shanta Mining Company, would bear interest at a rate of Libor plus 8% a year, with a 2% arrangement fee.
The facility is repayable over two years with a capital holiday for the first six months and repayment occurring over 18 equal monthly instalments thereafter.
The Aim-listed company announced in December that proceeds from the new facility would be partially used to cover the remaining monthly principal repayments of the outstanding loans that included $10-million with FNB and $5.3-million with US-based investment manager YA Global Master SPV.
The new financing, together with $35-million equity finance raised from the October placing of about 128-million Shanta new ordinary shares by London-based mining analysts Liberum Capital and the company's cash flow generated by its gold sales, provided it with the required cash headroom during the ramp-up phase of its New Luika mine, in Tanzania, which saw its first gold pour in August.
As Tanzania moves towards a digital future and switches off its analogue signals, MultiChoice has issued a statement reassuring its subscribers that there will be no interruption during the digital migration process as DStv is already digital.
MultiChoice Africa Regional Director for East Africa, Mr Stephen Isaboke said, Tanzanians who are already subscribing to DStv will not need to migrate.
“DStv is already digital, and as the pioneering Digital (satellite) TV offering, we have been providing digital television to Tanzanians and the rest of Africa for the past 17 years. Through our DStv offering we have been providing subscribers with more channels to choose from, better picture and sound quality plus exciting additional features like on screen TV guides. Through the different DStv bouquets, we also offer our subscribers flexibility in pricing and choice.”
In certain countries, where feasible, MultiChoice Africa has agreements with the national broadcaster to carry their channels. In Tanzania MultiChoice has an agreement with The Tanzanian Broadcasting Corporation to carry TBC on the DStv platform where it is available on Free View basis. The addition of other free to air channels on the DStv platform is dependent satellite capacity and agreements reached with the owners of the channels.
As Africa’s leading pay television company, MultiChoice Africa is constantly researching new technologies in order to keep Africa at the cutting edge of new television technology, thus allowing access to information and entertainment.
Mr Isaboke concluded by saying that. “The current switchover from analogue to digital television has brought immense opportunies and challenges. An exciting recent innovation was the launch of GOtv on the new digital terrestrial platform.”
As Africa’s first commercial operator using the most advanced DVB-T2 digital standard in the world, GOtv offers no less than 21 exciting tv channels (on one analogue frequency making it the most efficient in spectrum utilization) ranging from news, sport, entertainment and children programs.
The GOtv service is currently available in Kenya, Uganda, Zambia, Namibia, Nigeria. MultiChoice is currently exploring opportunities to expand the GOtv footprint to other countries, including Tanzania in the near future.
The Nokia Lumia 820
Nokia said strong sales of Lumia smartphones helped its mobile phone business achieve underlying profitability in the fourth quarter, raising hopes the struggling handset maker may be past the worst.
The Finnish company, which has been losing market share to Samsung and Apple, said the better-than-expected result was also helped by cost cuts, a stronger-than-expected performance from its Nokia Siemens Networks unit and 50 million euros ($65.2 million) in patent royalties.
The surprise announcement lifted the shares to nine-month highs and eased pressure on Chief Executive Stephen Elop, who has been trying to prove his February 2011 decision to switch to Microsoft Windows software was the right one.
Elop was seen to be running out of time after saying that the transition would take two years. Success of the high-end Lumia smartphones has been considered crucial for the company's survival, and investors had said Elop would need to quit or change strategy if sales did not pick up by early 2013.
"We're very pleased with the Lumia response," Elop told analysts, although he added that sales of the latest 920 models, which use the new Windows Phone 8 software, had been constrained by a shortage of supplies.
Nokia estimated fourth-quarter operating margin in its mobile phone business was between break-even to 2 percent. It previously forecast the margin to be around minus 6 percent.
Official results, including more details on its profit and cash position, are due on January 24.
Fourth-quarter net sales in devices and services were about 3.9 billion euros ($5.09 billion), Nokia said. It sold a total of 86.3 million devices. Smartphones accounted for 6.6 million units, of which 4.4 million were the Windows-based Lumia handsets.
The company said that conditions remained tough despite the stronger-than-expected fourth quarter, and forecast its margin to be around minus 2 percent in the first quarter of this year.
"We continue to operate in a competitive environment with limited visibility," Elop said.
Some analysts were skeptical about the success of the Lumia strategy. Nokia would not say how many of the Lumias it sold were the newest models rather than the heavily discounted ones launched earlier.
Many also noted Lumias sold in the fourth quarter still make up a small portion of global smartphone sales in the same period, estimated at over 200 million.
"4.4 million Lumias sold is not yet a promise of a turnaround," said Inderes analyst Mikael Rautanen, who had just downgraded the shares to "sell" on Tuesday.
Bernstein analyst Pierre Ferragu said he was still negative about the shares, rating them "underperform".
"Last year, in order to sustain Lumia volumes, Nokia had to cut prices very rapidly, driving gross margins close to zero. We believe this will repeat this year," he said.
Redeye analyst Greger Johansson said it was too early to call it a turnaround.
"They will have to prove a lot more until you can say that," he said. "I'm not still convinced that they are going to manage to succeed with those new smartphones. They have to sell a lot more in volumes until you can say that."
Exim Bank Tanzania Managing Director Mr. Anthony Grant (2nd left) listens keenly to Tanzania Standards (Newspapers) (TSN) Acting Managing Editor, Mr Gabriel Nderumaki (2nd right) as he elaborates a point on printing procedures, during the bank’s visit to the TSN’s Office in Dar es Salaam. Listening are, TSN’s Manager of Standard Printers Mr. John Mcharo (1st left), Exim Bank Customer Service Manager Frank Matoro (3rd left),Exim Bank Marketing Executive Fatma Kilinda (4th left) and Exim Bank Marketing Executive Mr Oscar Ruhasha (1st right).
The Samsung Galaxy III manufactured by Samsung Electronics
Samsung Electronics, the global leader in consumer smartphones, is planning two major thrusts in 2013: bulking up mobile content and moving faster into the corporate market dominated by Research in Motion.
The South Korean electronics company is investing in devices that enterprise users like corporations will endorse, with a higher level of security and reliability than general users need. In doing so, Samsung is capitalizing on doubts about the longevity of the BlackBerry as its Canadian maker struggles to revive growth.
Samsung's corporate market ambitions have advanced as the Galaxy SIII, its popular flagship smartphone, won the requisite security certifications from companies, said Kevin Packingham, chief product officer for Samsung Mobile USA.
As RIM prepares to launch its next-generation BlackBerry 10 this quarter, the company's future remains shaky. Corporate technology officers have begun to explore other smartphones, such as those by Apple Inc or Samsung.
"The enterprise space has suddenly become wide open. The RIM problems certainly fueled a lot of what the CIOs are going through, which is they want to get away from a lot of the proprietary solutions," Packingham said in an interview at the Consumer Electronics Show in Las Vegas. "They want something that integrates what they are doing with their IT systems. Samsung is investing in that area."
"It's been a focus for a long time but the products have evolved now that we can really take advantage of that," he added. "We knew we had to build more tech devices to successfully enter the enterprise market. What really turned that needle was that we had the power of the GS3."
Samsung in 2012 overtook Apple as the world's largest maker of smartphones, with a vastly larger selection of cellphones that attacked different price points and proved popular in emerging markets.
German business software maker SAP provides employees with Samsung's Galaxy S III, the larger Galaxy Note and the Galaxy Tab, SAP Chief Information Officer Oliver Bussmann said in an interview.
"The one clear trend in enterprise is the shift away from one device to multiple devices," said Bussman, who makes 10 devices available to SAP employees for official use. The list includes Apple's iPhone and iPad, Nokia Lumia and RIM's Blackberry.
"Because of the fragmentation of the Android software, we decided to go with just one Android company and we went with Samsung," he added.
Now, the Korean hardware specialist is beefing up its software - an area in which it has lagged arch-enemy Apple, which revolutionized the mobile phone from 2007 with its content-rich, developer-led iPhone ecosystem.
Packingham sees an area ripe for innovation - combining the mobile phone with Samsung's strength, the TV, which has barely evolved in the past decade.
Still, the U.S.-based executive remained cagey about Samsung's plans for content and enterprise.
"You are going to see from content services, we'll start to integrate what's happening on the big screen, what's happening on the tablet," he said.
"We know now that people like to explore content that they are watching on TV while they have a tablet in their lap, and that's going to be a big theme for this year."
Tanzania-focused exploration and development company Kibo Mining has announced raising £725 000 of working capital which is equivalent to Sh1.84 billion for its Tanzania-focused activities.
The funds would be distributed between general working capital, exploration programmes and investigations into further joint venture opportunities.
The group, which stated in December that it had experienced difficulties securing further exploration and development programme funding, placed almost 121-million ordinary shares at 0.6p.
The company entered into an agreement with major shareholder Mzuri Capital Group (MCG) to settle the placing using the shares currently held by MCG, after Kibo placed the price of the shares below the current par value of €0.01.
Following the placement, MCG’s shares would be replaced and its shareholding fully restored through the issuing of new ordinary shares.
The settlement was expected to be completed by the end of this month.
Kibo also stated that it would seek shareholder approval to reduce the par value of its ordinary shares.
In October, Kibo completed the acquisition of South Africa-based Mayborn Resource Investments and Canada-based Mzuri Energy, adding significant coal and uranium assets to Kibo’s commodity portfolio in Tanzania.
Bank-M deputy CEO (Commercial) Jacqueline Woiso (center) addresses reporters in Dar es Salaam
Bank M (Tanzania) has made a stout performance by increasing its total loan book by more than Sh100 billion during 2012.
The bank extended loans amounting to Sh319.81 billion by December 2102 if compared to a total loan book of Sh197.91 billion as at the end of 2011.
“The bank’s business continued to grow smartly during the quarter with the loan book crossing the Sh300 billion mark and touching Sh319.81 billion as at the end of December, 2012,” reads a statement seen by Corporate Digest released by the bank’s management.
The level of deposits crossed over the Sh300 billion threshold to stand at Sh349.68 billion as at the end of December, 2012, says the statement in part.
Ms Jacqueline Woiso, Bank M’s deputy CEO (Commercial), attributed the performance to the highest level of banking services and adoption of best practices which makes the entity to be the preferred one by corporate clients in Tanzania.
“We constantly put our clients at the heart of our strategies and the clients have responded positively by reposing their faith in our ability to deliver the same consistently,” said Ms Woiso.
Backed by the robust growth in the loan book and deposits, the bank’s net interest income grew from Sh15.07 billion as at the end of the previous year to Sh19.69 billion during the current year, 2012, a growth of 31 per cent, according to the statement.
Head of VETA kipawa, Eng. Lucius Luteganya, (right) speaks to reporters on their fees payment deal with Vodacom
Vodacom’s M-Pesa service continues spread its wings across various sectors in the country, with the latest development being education.
From today, students, parents and guardians in Kipawa Vocational Education and Training Authority (VETA) in Dar es Salaam will be able to pay school fees through the service, after Vodacom entered into an M-Pesa agreement with the college.
Speaking while launching the new partnership at the college,, Jackson Kiswaga, Vodacom Head of M-Commerce: Business Development, has said that VETA Kipawa is among several schools and universities that will be able to use M-Pesa to pay school fees in the country, adding that the institution is the first to start using the service.
“We are proud of this partnership. We believe that this is yet another technological development and will go a long way in changing our lives. We also aim to reach all VETA institutions across the country, something that we believe will be a big success,” says Kiswaga, adding that the service continues to be safe, fast and reliable.
On his part, Lucius Luteganya, the institution’s principal, says that they welcome the new development, saying that the service will enable parents and guardians to pay fees from as far as their homes.
“We have had incidences where students misuse school fees for personal interests. This service will now address this problem, something that will make the lives of parents and guardians easy,” says Luteganya, adding that the service will also address the problem of queuing hence save time in paying school fees.
Luteganya also adds that all VETA institutions in the country are technologically advanced; hence the M-Pesa service is no doubt an added advantage.
Vodacom’s M-Pesa service boasts of over 40,000 agents spread across the country, something that has eased sending and receiving of money, as well as payment of goods and services among Tanzanians.
Through the service, Tanzanians can now purchase and pay for airline tickets, pay their utility bills including water and electricity (LUKU) as well as pay for goods in supermarkets.
Coffee berries ready for processing
Prorustica, advisors on agribusiness partnerships, and Africapractice, a Pan-African strategic advisory and communications consultancy have signed a Memorandum of Understanding (MoU) to facilitate and foster agricultural partnerships in Africa.
The firms have pooled their experience and their services to assist companies and investors to identify and develop opportunities throughout the agricultural value chain in Africa.
“The Prorustica-Africapractice partnership provides platforms for private-public sector engagement, which are critical in the development of sustainable inclusive agribusiness models,” said Patrick Guyver, the Managing Director of Prorustica.
Engaging the domestic and international private sector is crucial to unlocking inclusive growth at all levels, particularly for smallholder farmers, who are the guardians of Africa’s agriculture. Our combined skills and expertise will help to develop agricultural partnerships that create value for governments, investors, and rural communities,” he explained.
“Realizing Africa’s agricultural potential will mean food security not only for the region itself, but also much improved food security at the global level; it will mean widespread poverty alleviation and improved livelihoods through job creation, export revenue, and higher rural incomes, among other factors”, he added.
On his part the Managing Director of Africapractice Marcus Courage, said: “we have built a winning team. By combining Prorustica’s experience of the agricultural sector with our risk analysis and strategic communications services, we can mitigate the risk and reduce the transaction costs associated with agricultural projects in Africa.’’
“Agriculture investments throughout Africa have been characterized by too much failure, either because they don’t deliver adequate returns for investors, or because they fail to accommodate the needs of local communities and regulators. Many factors are at play, ranging from licenses and permits, to labour and technology, infrastructure and tax regimes. In many cases, there’s a lack of transparency and an absence of dialogue, which leads to misaligned expectations and a breakdown of trust, resulting in project failure.
Prorustica and Africapractice have joined forces to address this failure. The two firms will work together to advice institutions on the best approaches to develop successful and sustainable agricultural investments.
The partnership has also joined Farming First, a multi-stakeholder coalition, working on practical, actionable policy recommendations to further sustainable agricultural development worldwide representing the full agricultural value chain, with a focus on the farmer – particularly smallholder farmers. Through Farming First, Prorustica and Africapractice will engage with public and private sector stakeholders to strengthen their approach and collaboration.
Anglo American Plc appointed Mark Cutifani (pictured) as chief executive officer as the mining company seeks to reverse the $14 billion loss of market value it suffered in the five years his predecessor Cynthia Carroll was in charge.
The Australian Cutifani takes over from April 3, London- based Anglo said today in a statement. He resigned as CEO of Johannesburg-based AngloGold Ashanti Ltd., the third-largest bullion producer, AngloGold said in a separate statement.
“Mark was the unanimous choice of the board, having been interviewed by every single non-executive director,” Anglo American Chairman John Parker said. Cutifani will be paid a salary of 1.2 million pounds ($1.9 million), plus incentives.
Cutifani was the lead contender to replace Carroll, as the company battles cost overruns at projects. Anglo American, the world’s largest platinum producer, has also faced labor disputes as South Africa’s mining industry last year struggled with escalating unrest after the deaths of 44 miners at Lonmin Plc (LMI)’s Marikana operation.
Cutifani has about 15 years “association” with Brazil, he said. “I was heavily involved in copper, nickel, precious metals, including platinum, and pretty experienced to understand South America,” Cutifani said.
He replaced Bobby Godsell as CEO of AngloGold in 2007, and was chief operating officer of Vale SA’s nickel operations and managing director of Australian gold and tantalum miner Sons of Gwalia Ltd. until 2003. A mining engineer by training, Cutifani is also president of South Africa’s Chamber of Mines group.
Anglo’s platinum, iron ore, and diamond mines in South Africa were among those idled last year by a wave of sometimes violent strikes. Workers demanded higher wages and complained of poor living conditions and bad labor union representation.
At AngloGold, Cutifani led efforts to increase capacity to benefit from record prices. He has also been an advocate for economic changes in South Africa, where AngloGold is based and Anglo American has its roots and many of its operations.
During Cutifani’s tenure, AngloGold’s operating margins went from minus 16 percent in fiscal 2007 to an estimated 30 percent for fiscal 2012, data compiled by Bloomberg show. Margins at Barrick Gold Corp. (ABX), the largest gold producer, rose from 22 percent in 2007 to an estimated 41 percent last year.
AngloGold has begun a CEO search and will consider internal and external candidates. Chief Financial Officer Srinivasan Venkatakrishnan and Tony O’Neill, vice president of business and technical development, will act as joint interim CEOs.
AngloGold was spun off from Anglo American after the latter said in 2005 it would give up control of the gold business that helped build up the fortune of South Africa’s Oppenheimer family. Anglo American sold its final 11 percent stake in 2009 for $1.28 billion to John Paulson’s investment firm.
Carroll, 56, was the first woman, external hire and non- South African to lead Anglo. She held the job for about five years before the search for a replacement, led by Parker.
It appears the Chinese will not take over operations of four Tanzanian mines owned by ABG after all.
Barrick Gold Corp the biggest producer of the precious metal has officially ended talks over the sale of its 1.44 billion-pound ($2.32 billion) African unit to China National Gold Group Corp. without reaching an agreement.
"Whilst the discussions between CNG and Barrick have not led to a transaction, the process has re-emphasised the fundamental long-term value of ABG’s portfolio and the scarcity of large scale producing opportunities to enter the gold market in Africa.
“We have demonstrated the ability of this business to generate significant cash flows and believe that the Operational Review will create the opportunity to further improve the return profile of the business," said the CEO of ABG, Greg Hawkins.
The full Operational Review of the business with the aim of recalibrating our operations so as to drive improved returns from the asset base whilst enhancing the certainty of delivery,” expounded Greg.
The operating performance in 2012 is a base for the business going forward. Nonetheless, the Board and management are committed to delivering better results and driving greater value for all our stakeholders.
Barrick still sees “a lot of value” in the assets held by its African Barrick Gold Plc (ABG) subsidiary, Toronto-based Barrick’s Chief Executive Officer Jamie Sokalsky said
African Barrick “does have some opportunities to enhance that value, and when we looked at that versus ultimately what China National Gold was talking about, it just wasn’t the right fit,” Sokalsky said.
“We would have liked to have done this transaction, but it wasn’t about doing this at any cost.”
Sokalsky declined to comment on the specific issues that led to the end of the talks. Discussions had stalled because of differences over taxes and legacy issues, Chinese newspaper 21st Century Business Herald reported yesterday, citing CNG Chairman Sun Zhaoxue.
The deal would have been the largest gold-company takeover involving a Chinese company, according to data compiled by Bloomberg. Barrick said in August that CNG was in preliminary discussions about buying African Barrick Gold, which would have given the state-owned Chinese company four mines in Tanzania.
“This is a big asset, it’s a significant transaction for anyone, it’s a public company and ultimately over time multiple things came into the equation,” Sokalsky said. “It just didn’t make sense for both of us to transact, to ultimately complete a transaction.”
"The Board is confident in the ability of the management team to deliver significant value from our high quality asset base to the benefit of all stakeholders,” said Acting Chairman of ABG, Derek Pannell
While our operational and financial performance in 2012 has been lower than the previous year, we are positive on the future potential of the business, we have built up a strong balance sheet and we recognise the ongoing support of our shareholder base. For this reason, the Board intends to recommend at the time of our full year results that the total dividend for 2012 be maintained at the 2011 level of US$67 million.
Vodacom Africa is turning into Vodafone Group Plc (VOD) biggest profit generators say a top official at the group.
Vodafone’s biggest African business, Johannesburg-based Vodacom Group Ltd. (VOD) has surpassed the company’s U.K. unit in 2010 by profit, and it outpaced the Spanish division the following year.
With earnings expanding at 50 percent annually in some countries, profit from Africa could overtake that from all of southern Europe in as little as three years, said Nick Read, the executive who heads the region.
The rising powerhouse is helping make up for Europe’s slowdown after Chief Executive Officer Vittorio Colao last year had to write down $9.5 billion on the value of Vodafone’s Spanish and Italian units.
“There’s a massive opportunity in penetration that we need to drive forward on,” said Read, who has run Vodafone’s operations in Asia and the Middle East since 2008 and took on Africa in 2010.
Everyone in Africa wants to be on Facebook. They want e-mail. They want social networks.”
Africa will be the mobile phone industry’s fastest-growing region by subscribers over the next five years as companies build advanced networks and customers switch to broadband. While Europe has more mobile-phone accounts than people, there’s ample room for handset ownership in Africa to grow, from about 73 percent of the population last year to 85 percent in 2015, reaching 900 million users, a consultant AT Kearney Inc predicts.
In addition to Vodacom, which has customers in South Africa, the Democratic Republic of Congo, Mozambique, Tanzania and Lesotho, Vodafone has a 70 percent stake in Vodafone Ghana and a 40 percent holding in Safaricom Ltd. (SAFCOM) in Kenya. Vodafone also co-owns an operator in Egypt with the country’s fixed-line monopoly, Telecom Egypt. (ETEL)
Vodafone reported 939 million pounds ($1.5 billion) in earnings before interest, taxes, depreciation and amortization from its 65 percent share in Vodacom in the six months ended in September. That was an increase of 15 percent from a year earlier excluding the effect of acquisitions and currency swings. The profit margin at Vodacom increased to 34.2 percent of sales from 33.7 percent from a year earlier, while Italy’s margins dropped 1.9 percentage points and Spain fell 5.5 percentage points.
Vodafone and its rivals have found that building a modern network from scratch in countries with high growth rates and little infrastructure has given them the chance to become banks and Internet providers as well as phone companies.
In sub-Saharan Africa, where just a quarter of adults have a bank account, 16 percent of people say they’ve used a mobile phone to pay bills or receive money, according to the World Bank. About 70 percent of sub-Saharan African adults live on less than $2 a day, the World Bank estimates.
M-Pesa, Vodafone’s mobile payment system, is used by 15 million people in Kenya and moves the equivalent of 31 percent of the country’s gross domestic product through its system, according to Safaricom Chief Executive Officer Bob Collymore.
“You can pay hospital bills; you can pay taxi bills; you can pay your satellite” TV bill, Collymore said. M-Pesa takes a fee for each transaction it processes, ranging from 3 shillings (3 cents) for small payments to 100 shillings for bigger transfers, up to 70,000 shillings.
M-Pesa is in eight countries and has begun offering savings accounts and other banking services in some markets. The system is more successful than traditional banks because it gives people an efficient way of sending small sums and doesn’t require a bank account, Collymore said.
Diesel Towers
Vodacom’s average revenue per megabyte in the six months ending in September fell 24 percent from a year earlier in South Africa as average monthly usage on smartphones grew 46 percent.
Shifting regulatory environments and corruption have been “a constant struggle” for Vodafone in some markets, Read said. And last year, Vodafone’s unit in the Democratic Republic of Congo was ordered to pay $21 million to settle a dispute with a contractor.
The network investment needed on the continent will be on the order of tens of billions of dollars, predicts Issam Darwish, CEO of African wireless tower company IHS, which has operations in Nigeria, Ghana and Sudan. Much of the cost comes from the need to include backup generators and batteries to guard signals against power failures -- not something carriers in the U.S. and Europe have to worry about, he said.
“In Africa, it’s a totally different game -- you have to install your power supply in most cases,” Darwish said. “It’s a massive, massive capital expenditure.”
Precision Air (PW) Head of Marketing and Branding Ms. Linda Chiza (center) speaks to journalists (not in picture) about the launch of the airline’s direct flights from Dar es Salaam to Songwe Airpirt in Mbeya which is to commence Next week January 16, 2013. Right is PW’s Strategic Planning Manager Lilian Massawe and left is the company’s National Sales Manager Tuntufye Mwambusi.
By Corporate Reporter
Precision Air Services (PW) is set to launch its flights to Mbeya region through Songwe Airport starting January 16, 2013, it has been confirmed.
Speaking to press yesterday at the Airline’s Headquarters in Dar es Salaam, PW Head of Brand and Marketing Ms. Linda Chiza said after the launch, passengers to and from Mbeya will be served by the company’s ATR-72 which has a capacity of carrying 70 passengers.
She said her company has planned for four scheduled flights per week for this new route, as introductory frequency and adjustment will be done as the route mature. “The aim is to give our customers a schedule which will fit to their needs”, she added.
“We are proud to launch this new route to Songwe Airport, which will allow us now to serve passengers from Mbeya and regions within the Southern Highlands. We believe that taking our services to Mbeya will ease transport to tourists, traders and corporates visiting this region which is rich in tourist attraction sites such as Ruaha National Park and Katavi as well as Game Reserves and also renowned for its minerals such as coal, gold, iron-ore and gemstones we also know that Mbeya is the gate way to our neighboring countries such as Zambia and Malawi which make it a strategic business destination,” said Ms. Linda.
The Marketing boss mentioned that the Mbeya route becomes PW’s 18th destination apart from other connection routes, making the airline a giant local airline company with the most number of routes and the largest number of fleets.
“After the launch of Mbeya route, we will embark on our aggressive route expansion plans and increasing frequencies of our flights to the destinations we are currently flying. According to our expansion plan time table, after Mbeya launch, we will reinstate the Dar es Salaam- Kigoma route which was suspended to allow renovation of the Kigoma Airport to complete. Now that it is ready, we want to continue serving our customers,” said Ms. Linda
She assured the airline’s customers that his company will continue offering unmatched airline services and shall ensure that they provide a reliable service with realistic and competitive fares in all its destinations.
This latest development comes barely a month after the airline launched its latest and newest aircraft – the ATR 42-600, which uses the latest ATR modern technology.
Apple Inc. (AAPL) plans to sell a smaller, cheaper version of the iPhone as soon as this year, said a person familiar with the plans, part of a push to gain customers in developing nations.
Apple, which had been working on a more affordable smartphone since at least February 2011, is weighing retail prices of $99 to $149 for a device that would debut in late 2013, at the earliest, according to the person, who asked not to be named because the negotiations are private. Apple has spoken to at least one of the top U.S. wireless carriers about its plans, the person said.
Apple executives have been particularly interested in building a lower-cost model with less-expensive components as a way to appeal to customers in emerging markets, another person has said. More affordable iPhones would help Apple as it plays catch-up with smartphone manufacturers such as Samsung Electronics Co. (005930) using Google Inc. (GOOG)’s Android mobile software system.
ndroid made up 75 percent of smartphone shipments in the third quarter, compared with 15 percent for Apple, according to IDC.
Natalie Kerris, a spokeswoman for Cupertino, California- based Apple, declined to comment. The Wall Street Journal earlier reported a cheaper iPhone may debut later this year.
Apple Chief Executive Officer Tim Cook has said China is a priority. The company generated $5.7 billion in sales in China in the quarter ended in September and sold more than 2 million iPhone 5s during its weekend debut there last month.
The maiden FastJet flight lands at Kilimanjaro Airport
Styling itself as “Africa’s first pan-African low-cost carrier,” Fastjet certainly looks like an airline in a hurry. Having opened its base in Dar es Salaam, Tanzania, only late last November, it now plans to launch operations in Kenya, Angola and Ghana this year, starting with five Airbus A319s it aims to acquire within the first six months of its expansion and 15 within a year.
It also hopes to benefit from the wreckage of South Africa’s low-cost sector with its pending acquisition of defunct 1Time Airline.
Fastjet carried almost 7,000 passengers at an average load factor of 85.4 percent during its first week of operation. It sold more than 18,000 tickets from Dar es Salaam to two destinations–Mwanza and Kilimanjaro–and said it had booked flights through March. It said it plans to open its other bases “in the coming months.” Once established in East Africa, FastJet plans to open bases in Accra, Ghana, and Luanda, Angola.
Passengers disembark from the plane
Fastjet CEO Ed Winter, the former British Airways chief pilot who oversaw the integration of BA LCC Go into easy Jet to eventually become the low-fare carrier’s COO, rejects scepticism borne of the fact that the new airline inherited debts of $45 million. “What we saw when we looked at the numbers is that [African] GDP is starting to grow all over the place,” he said. “There’s a growing middle class.”
Only weeks after declaring an interest in 1Time, it entered into an option agreement, subject to shareholder approval, to take over the bankrupt low-fare carrier for 1 South African rand ($0.12). Winter said he hoped to get the airline flying once again “early in the new year” using up to three of an existing fleet of 12 MD-82s, MD-83s and MD-87s on new operating lease agreements.
Restructuring plans would see a “rapid” re-fleeting with Airbus A319s. Initial flights would serve the domestic routes of Johannesburg, Cape Town, Durban, Port Elizabeth and East London. Winter vowed that Fastjet’s entry into South Africa would counteract the “huge increases in fares by competitors” that followed 1Time’s demise.
Owned by a group led by London-based Lonrho, Fastjet traces its heritage to Kenya’s Fly540, an airline in which the British investment company–then known as Lonrho Africa–took a 49-percent interest in October 2006 and expanded the business with operations in Ghana and Angola in 2011.
Last June, the UK’s Rubicon Diversified Investments completed a reverse takeover of the aviation division of today’s Lonrho for $85.7 million, leaving Lonrho with 73.7 percent of the enlarged company’s shares. Sir Stelios Haji-Ioannou’s easy Group took 5 percent of the company as a consideration for his consultancy. Fastjet, the new brand to be built on the Fly540 platform, leased its first A319 in October from BBAM, the world’s third-largest commercial aircraft lessor.
A Vodacom M-pesa agent servicing a client
Tanzania Revenue Authority (TRA) has urged Tanzanians to continue using the M-Pesa service in the payment of various taxes after identifying the service to be simple and safe to use.
With that effect, TRA has urged Tanzanians to make good use of the technological development opportunities to facilitate payment of taxes in line with the mandate to enable it carry out its functions easily.
Speaking during the exclusive interview on accessing payment of taxes through M-Pesa, the Senior Taxpayer Service Officer for TRA, Ms. Alvera Ndabagoye, said that the Authority values its customers, and that is the reason why it often seeks alternative ways of easing the payment of taxes.
“TRA values its customers and that is why we decided to introduce M-Pesa service in the form of tax payment. The service is affordable, fast and very secure. Customers can also make payments any time,” said Ndabagoye
“So far we have enabled our customers to pay taxes on two types which include Property Tax and Personal Income Tax,” said Ndabagoye.
On his part, the head of Vodacom Tanzania Head of M-Commerce, Isaac Nchunda, said that Tanzanians should be flexible to the service which is quiet cost-effective.
“In order for client to be able to pay tax, first should be registered through M-Pesa service, then select 4 on the M-Pesa menu, after which they shall select 3 then 8, which is the slot TRA. Here, they shall then choose the type of tax which they want to pay andl enter the reference number of the payment and make payments,” explained Nchunda.
Here is Lenovo’s latest game changer in the tablet market: a PC the size of a coffee table that works like a gigantic tablet and lets four people use it at once.
Lenovo Group Ltd. believes the new giant pc will get family members that are spread out over the house, each with a separate PC or tablet back together.
Lenovo, one of the world's largest PC makers, is calling the IdeaCentre Horizon Table PC the first "interpersonal computer" — as opposed to a "personal computer." It's a 27-inch screen with the innards of a Windows 8 computer built into it, and it can stand up on a table.
As a tablet, it's a monstrosity. The screen is the size of eight iPads stitched together, and it weighs 15 pounds. It's almost as homebound as a flat-panel TV. Lenovo, a Chinese company that owns IBM Corp.'s former PC business, said the Table PC will go on sale starting at $1,699.
You can pick it up off the table, unhook the power cord and lay it flat for games of "Monopoly." It's big enough to fit four people around it, and the screen can respond to ten fingers touching it at the same time.
Photos and videos could be rotated with fingers. Spreading five fingers at once on the screen cleared the screen of clutter, while squeezing them together brought the photos and videos back.
Microsoft Corp. pioneered the idea of a table PC with the Surface, a PC with a 30-inch touch-sensitive screen released in 2008. It was designed for store displays and other commercial applications.
The concept is now called PixelSense, as Microsoft started using the "Surface" name for an unrelated tablet computer last year.
More recently, Sony Corp. released the Tap 20, an all-in-one PC that can also be laid flat. But it's smaller than the Lenovo model, at 20 inches diagonally, and doesn't have as much table-oriented software as the Table PC.
Samsung Electronics, the world leader in mobiles and memory chips, said it likely earned a quarterly profit of $8.3 billion, as it sold close to 500 handsets every minute and as demand picked up for the flat screens it makes for mobile devices, including those for rival Apple Inc products.
That run of five straight record quarters may end in January-March on weak seasonal demand, though a strong pipeline of smartphones - the South Korean group's biggest earner - and improving chip prices have eased concerns that earnings growth could slow this year, powering Samsung shares to record levels.
While Apple rolled out just a single new smartphone, the iPhone 5, last year globally, Samsung bombarded the market with 37 variants tweaked for regional and consumer tastes, from high-end smartphones to cheaper low-end models. By comparison, Taiwan's HTC Corp released 18 models, Nokia 9 and LG Electronics 24.
Samsung, valued at close to $230 billion, gave its October-December earnings guidance on Tuesday, ahead of the full earnings release expected by January 25.
Shipments of Samsung's flagship Galaxy S III, which overtook the iPhone 4S in the third quarter to become the world's best-selling smartphone, are likely to have slipped to around 15 million in the last quarter from 18 million in July-September.
But estimated sales of around 8 million Galaxy Note II phone-cum-tablets, or 'phablets', should more than make up for that - pushing overall smartphone shipments to around 63 million, analysts estimate.
"Samsung's profit will drop in the current quarter because of decreased phone profits. It will launch its next Galaxy S model only in March or April so, without new models, phone sales prices will fall in the current quarter. For the whole year, Samsung will launch new models faster than Apple and will continue to have the upper hand in the smartphone market."
There has been increased speculation that Samsung will launch the next version of its Galaxy S in the first quarter, possibly with an unbreakable screen and full high-definition quality resolution boasting 440 pixels per inch, as well as a better camera and a more powerful processor.
Samsung said its October-December operating profit jumped 89 percent to 8.8 trillion won from a year ago. That is 8.6 percent higher than its previous record of 8.1 trillion won in July-September.
Analysts expect profits from the mobile division to increase slightly to around 5.8 trillion won from the previous quarter's 5.63 trillion won - and more than double from last year's level.
Apple today announced that customers have downloaded over 40 billion apps, with nearly 20 billion in 2012 alone. The App Store has over 500 million active accounts and had a record-breaking December with over two billion downloads during the month.
Developers have earned over seven billion dollars from selling iPhone apps so far.
"It has been an incredible year for the iOS developer community," said Eddy Cue, Apple's senior vice president of Internet Software and Services. "Developers have made over seven billion dollars on the App Store, and we continue to invest in providing them with the best ecosystem so they can create the most innovative apps in the world."
In 2012, the husband and wife team at Imangi Studios saw their game Temple Run downloaded more than 75 million times; Backflip Studios and Supercell, two emerging game development studios, brought in over $100 million combined for their leading freemium titles DragonVale and Clash of Clans; and emerging services including Uber, Flipboard, HotelTonight, and AirBnB attracted millions of users on iOS.
The 40 billion downloads figure excludes any re-downloads and updates.
Analysts suggest sms revenues in the country are getting cannibalised by social messaging
In its latest ambitious attempt to remain relevant and competitive in the messaging industry, mobile phone operator Airtel Tanzania has reduced its sms prices to 1sh per sms as it seeks to entice people to text more.
The new sms tariff dubbed ‘sms kichizi’ is 1 shilling per sms from 54 shillings to facilitate its customers with easy and more affordable text services in the country.
Subscribers however will be charged Tsh125 for the first sms daily. Now, assuming the average consumer sends a single sms per day this will result in the subscriber spending roughly Tsh 46,000 annually.
With its over 7,500,000 million subscriber base, Airtel Tanzania stands to gain a whooping Tsh345, 000,000,000 as annual sms revenue if everything goes according to plan.
We are happy to launch a unique and innovative offer that will enable our customers send short messages at the most reduced rates,” said Airtel Product Manager Francis Ndikumwami.
Product Manager Francis Ndikumwami speaks to the press during the launch of SMS kichizi sms service. In the picture is Airtel Brand Manager Rahma Mwapachu (right) and Public Relations Officer Jane Matinde (left)
“This is the first from Airtel where our customers will be able to send short messages at a price as low as one shilling per SMS to any network in the country without a limit 24 hours 7 days a week. In Sms Kichizi our customers will be charged 125 Tshilling for the first short message and thereafter the charge will be at 1 Tshillings for the following messages per day,” he expounded.
The new sms tarrif launched by Airtel comes at a time operators are coming under increased pressure to drive revenues from the messaging component of their communications businesses.
According to a report published by Ovum global operators may have lost more than $23 billion by the end of 2012 and $54 billion by 2016 due to the increasing popularity of social messaging services on smartphones.
"Operators need to understand the impact of social messaging apps on consumer behaviour, both in terms of changing communication patterns and the impact on SMS revenues, and offer services to suit." says Neha Dharia, consumer telecoms analyst at Ovum.
For instance WhatsApp and BBM are some of the more prominent social messaging brands, have seen its levels of penetration increase in the country especially tech- savvy youth segments who are always looking for cheaper faster means of communicating.
New forms of texting are changing consumers' messaging preferences, and the pressure they are exerting on operators' messaging services is forcing ‘operators’ to offer increased SMS bundles and to experiment with messaging pricing models, further dampening revenue growth," comments Dharia.
A client at a DTB ATM
Diamond Trust Bank Tanzania (DTBT) has boosted its capital base by Tshs 12.4 billion following the recently completed rights issue which was fully subscribed.
Mr. Abdul Samji, DTB’s Group Chairman, described the rights issue as a major success. “The results of the rights issue are reflective of the strong support, loyalty and confidence DTB enjoys from its shareholders” Mr. Samji added.
The Bank had offered some 3.87 million rights to the shareholders at a discounted price of Tshs 3,200 per new share. “A number of our shareholders have not only taken up their rights but many have also applied for additional shares.” the Chairman said.
Mr. Samji said the Bank’s board had approved full allotment to all applications for rights entitled to by the shareholders as well as all applications for additional shares. Following the rights issue, the Bank’s core capital will increase to Tshs 48 billion.
“With these new funds we will be able to continue with our plans for investment in branch expansion, technology and new products and explore additional opportunities to further strengthen our presence in Tanzania, a key market for the DTB Group”, said Mr. Samji.
DTB Tanzania currently has 16 branches across the country, with plans to double the footprint over the medium term.
This significant expansion drive is in line with Diamond Trust Bank group’s long-term strategy, dubbed as Vision 2020, which is aimed at up-scaling its operations throughout East Africa by continuing to rapidly expand its presence in major commercial sectors across the four markets- Tanzania, Kenya, Uganda and Burundi – the DTB franchise operates in.
DTB Tanzania is an affiliate of the Aga Khan Fund for Economic Development (AKFED), the economic development arm of the Aga Khan Development Network. The Bank’s other key shareholder is Diamond Trust Bank Kenya Limited, which is also an affiliate of AKFED.
By Corporate Reporter
Tanzania has announced plans to reduce the sales tax (VAT) on mobile phones in a clear move aimed at improving the country's communications sector and the economy.
"We are planning to reduce taxes on mobile phone handsets and computers to allow the public easily purchase them since the majority relies on their mobile phones and computers to conduct their businesses," said Prof John Nkoma Director General of Tanzania Communication Regulatory Authority (TCRA).
Genuine mobile handsets cost 18 per cent more in Tanzania than they do in Kenya and Rwanda, thanks to the government's Value Added Tax (VAT).
Tanzania has maintained its 18 per cent VAT on mobile phones despite requests from handset manufacturers to waive the levy.
A report from the GSMA back in 2009 said that mobile subscribers across East Africa are taxed at some of the highest levels world-wide. Kenya, Uganda and Tanzania impose mobile-specific taxes which when added to VAT can result in their respective consumers facing taxes as high as 30% in Uganda and Tanzania.
When Kenya removed the 16 percent general sales tax on mobile handsets in 2009, handset purchases increased by more than 200 percent and with mobile operators contributing a third more in taxes in 2011 than in 2009, mobile generated around 8 percent of Kenya's GDP.
The Director General also called on the TV broadcasters to speed up their migration to digital broadcast services - a move which will enable the regulator to resell the digital dividend spectrum to the mobile networks.
Global miner Anglo American is close to appointing Australian Mark Cutifani (pictured) head of gold miner AngloGold Ashanti, as its new chief executive, two sources familiar with the situation said.
If the appointment is finalized, Cutifani will replace Cynthia Carroll in what analysts and investors see as one of the toughest jobs in the business, joining Anglo as it tackles restive unions in South Africa, restructures its platinum arm and tries to recover from delays that have driven up the cost of a flagship iron ore project in Brazil.
Carroll announced in October that she planned to step down after more than five years at the helm, under pressure from investors unhappy with Anglo's lagging share price and its dependence on strike-hit South Africa.
"There are other people still in the running, but (Cutifani) is further down the line," one of the sources said on Sunday. "Everyone is hopeful, but with a CEO leaving his current job it is complicated."
An announcement is expected by mid-January but could come sooner, the source said.
The charismatic, straight-talking Cutifani - a prominent figure in South African mining who has defended the country as an investment destination - had been named as one of a handful of potential candidates from the start of Anglo's search process last year.
His relative lack of experience in some of Anglo's major commodities and geographies like Brazil - key for the recovery of the group's share price - had prompted some analysts to question the potential move. But his South African credentials - he is also head of the country's Chamber of Mines - appear to have outweighed other shortcomings.
"The South African experience was the most important factor. Very few people have that stakeholder and government relations experience," the source said.
South Africa accounts for more than half Anglo's forecast earnings, and the miner faces another critical year there, wrestling uncompromising unions and preparing to overhaul its South Africa-focused, strike-battered platinum arm, Amplats . The platinum plan is set to be unveiled this month.
Cutifani, 54, has run AngloGold, created from Anglo American's gold assets, since 2007, and investors have welcomed his focus on improving returns. His appointment to AngloGold's top job was a surprise, when he was plucked from Canadian mining group Inco, now part of Brazil's Vale .
Should he be hired, Cutifani would become only the second non-South African and only the second outsider to head the group after New Jersey-born Carroll.
His appointment would signal South Africa's continued importance to Anglo American, but potentially also the group's willingness to consider options including a carve-out of some operations. As head of AngloGold, Cutifani has never ruled out a potential spin-off of the gold miner's South African operations.
Other candidates named by industry sources and analysts for Anglo's top job have included Rene Medori, Anglo's finance director, and Peter Whitcutt, the firm's director of strategy.
Along with Cutifani, ex-BHP Billiton chief financial officer Alex Vanselow and chief executive of Xstrata Mike Davis were named as external candidates tipped for the job.
Anglo American declined to comment. AngloGold could not immediately be reached for comment.
Total global telecom operator revenue has exceeded $2tn in 2012 according to analysis published by Ovum. 60 per cent of that figure was generated by mobile operators and, although overall growth is expected to be minimal over the next five years, Ovum believes some segments will still have above-average growth over the period.
The firm believes that mobile broadband presents the largest opportunity for operators to grow revenue, and is expected to grow 19.2 per cent annually, generating $122.9bn in incremental revenue between 2013 and 2016.
Other segments with double-digit revenue growth over the next five years include public cloud, enterprise Ethernet, IPTV, and managed/hosted IP voice, Ovum said.
“The recovery from the 2009 recession has been weak, and the ongoing global fiscal crisis continues to present a risk to the telecom industry,” said John Lively, chief forecaster at Ovum.
“Over the next three to four years, both fixed and mobile operators will face the same fundamental challenge: to increase new sources of revenue fast enough to offset the decline in mature services.”
The firm added that, while revenue for infrastructure vendors will stay low due to minimal increases in operator revenue, vendors that position themselves in one or more high-potential product segments stand to grow faster than competitors.
Ovum recommended that vendors step up their focus in areas such as converged packet optical, ROADMs, 40G/100G networking gear, carrier Wi-Fi, and network-related services.
Ovum also warned component makers to expect continued high volatility in market demand.
“This can be mitigated to some degree by forming close relationships with infrastructure vendors and jointly understanding the end customers’ needs and plans,” said Lively. “Plus, winning a share of 40G and 100G business will be essential to avoid being left behind by competitors.”
We are keen to hear your views on this subject and others like it as we believe our readers can offer some of the most valuable insight in the market.
Safaricom Limited has switched off 800,000 unregistered SIM cards in a phased exercise that seeks to comply with the newly published Government regulations on mandatory SIM card registration. The first phase of the switch off was conducted on Thursday evening after the system had been updated with registrations that came in on the 31st of December 2012.
Company CEO Bob Collymore said: "We have been doing our best to update the electronic records after the last minute rush that saw a huge number of customers register their SIMs between the 31st of December 2012 and yesterday. We are refining the switch off process and it will continue into the weekend and those affected by the blocking will be unable to make calls or utilise any of our services until their SIM cards are registered."
Safaricom being the largest mobile operator has invested heavily in awareness campaigns and has so far registered over 85% of its subscriber base. Unregistered subscribers who get switched off are advised to visit Safaricom shops and authorised dealer outlets to start the process of reinstatement.
More than 1.28 million unregistered SIM cards have been suspended from service since the 31 Dec 2012 deadline of the registration exercise.
According to the Communications Commission of Kenya (CCK), the four local mobile networks had by Friday switched off 1,280,840 unregistered lines, five days after the expiry of the December 31 deadline.
Yu and Orange have suspended 290,000 and 120,010 unregistered lines from service, respectively. Airtel has switched off 70,830 unregistered SIM cards.
Nokia Siemens Networks (NSN) headquarters
Nokia Siemens Networks is bringing together its business in the Middle East and Africa into a new, single, regional organization structure covering the Middle East & Africa (MEA).
Igor Leprince, who was leading the company's business in the Middle East until 31 December 2012, has assumed the role of head of MEA from 1 January 2013.
Continuing under the leadership of executive board member Ashish Chowdhary, the new Asia, Middle East & Africa cluster (AMEA) will manage the company's customer operations in MEA, India, Asia Pacific, Greater China and Japan.
In addition, the move will allow the company to serve its large multi-country operators such as Bharti Airtel, Etisalat, Qtel, Saudi Telecom Company (STC), Vodacom and Zain in a more integrated manner both within the MEA region and across AMEA operations.
"MEA is a key market for Nokia Siemens Networks, where we have identified an increasing demand from operators for advanced mobile broadband technologies including TD-LTE and FDD-LTE technologies," said Leprince.
"With our focus on being the world's specialist in mobile broadband through product innovation and quality processes, we are absolutely committed to helping our MEA customers realize their vision of becoming advanced mobile broadband providers."
ACTL Acting Chief Executive Officer, Captain Milton Lazaro, speaks to journalists (not in picture) about the airline’s plans to resume Dar es Salaam- Kigoma daily flights
By Correspondent
AIR Tanzania Company Limited (ACTL) is scheduled to resume Dar es Salaam- Kigoma daily flights on Thursday, 10th January 2013 after the services were suspended awaiting renovation of the Kigoma Airport.
According to ATCL Acting Chief Executive Officer, Captain Milton Lazaro, the company will deploy its Bombardier Dash 8-300 plane with a capacity of carrying 50 passengers to fly the route after the company’s engineers certified to have completed major check-C repair it was undergoing.
“We are now set to resume our Dar es Salaam- Kigoma flights on Thursday 10th January this year and we are also working on implementing our aggressive expansion plans which will see us flying to other destinations which we have not covered at the moment,” he said.
Captain Lazaro mentioned that ATCL will soon fly to Tabora and Mpanda once renovation of those airport facilities are completed, hence giving their customers in various destinations a better most preferred airline service.
“ATCL’s strategic plan to commence flights to Songwe Airport in Mbeya is in a better stage. We expect to start flying passengers to that destination on 20th of January this year as we were still waiting completion of renovation of the airport,” he said.
According to him, after the launch of Mbeya route, the company will go ahead to start flights to Arusha via Zanzibar by the end of this month, which will be accompanied by flights to Mtwara.
“I want to assure our esteem customers that our services are still the best and we offer a very competitive fare to the destinations we fly.
The completion of this Check-C repair which has been carried out by our local engineers is a great step we have made in the aviation industry in Tanzania as we have proved that we can now offer such services to other airlines with no such capacity. We have already entered into agreement with some airlines who are seeking such services and we are ready to offer,” he said.
He said the fact that the company’s engineers has successfully completed that kind of repair, ATCL will not only save money being used to send planes abroad for repairs, but also has helped the company to build its engineering capacity.
Captain Lazaro said ATCL has plans to add three more planes before the end of this year, mentioning that they will go for Bombardier Dash 8 which are much bigger and with modern advanced technology.
Airtel Public Relations Officer Jane Matinde (third left) explaining a point to journalists (not in picture) on the company’s ongoing promotion
Airtel Tanzania has announced two winners of its latest promotion dubbed “Amka Millionea” through a draw held at Airtel headquarters where each walk away with a cash prize of 15 million.
“Airtel is giving yet another opportunity to Tanzanians to participate and win cash prizes through the monthly promo launch early December 2012. More than 300 customers have so far won cash prizes worth 120 million shillings daily, weekly and today we again witness two monthly winners to walk away with cash prize of 15 million each,” said Airtel Public Relations Officer Jane Matinde.
We continue caring for our customers and rewarding them throughout the country to ensure more winners are recognized. “We continue emphasizing our commitment to provide quality, affordable and widely available services and live our slogan of “feel free” she added.
“The promotion is still going and gives you a chance to win cash prizes daily, weekly, and monthly or emerge as the grand prize winner. All one needs to do is sms "WIN OR SHINDA" to number 15595 free of charge, After enrollment the customer will receive a welcome sms and instruction from number 15656 on how to participate in the promotion where there will receive questions to answer and accumulate points,” she elaborated.
Every answer will be awarded points, for correct answers 20 points will be given and 10 points for wrong answers, to ensure all our customers receive greater chances of winning. For every answered question there will be a charge of 350/= Tshs including Taxes.
Koen Morshuis General Manager, Heineken East Africa Operations.
By Bethuel Kinyori
International beer maker, Heineken which recently recruited a dedicated team to manage operations in Tanzania and East Africa in general, is betting on 2013 to be an exciting year for them.
“At Heineken, we are building on the encouraging positive growth over the last years. Great sales are the best consumer compliment a brand can get. The actual growth of the brand exceeded our expectations and showed us that our projections are even more positive than earlier believed. This gives us a lot of confidence on the route that we have chosen,”said Koen Morshuis General Manager, Heineken East Africa Operations in an emailed statement.
My team is taking care of all the commercial related things whilst our local partner Maxam was appointed to handle all the logistics. Our previous partner Mabibo continues to focus on Climax and Windhoek.
Maxam which is now the official logistic partner (in terms of Heineken) is busy working with Heineken towards increasing our distribution footprint in Tanzania. This is part of its freshest bid to ensure that the Heineken brand is readily available on more locations than currently.
Outlook
In order to bring our brand to the next phase we have set up our offices in Tanzania like we did in Kenya and Uganda in a bid to promote more brand awareness
“We expect an increasing growth for premium quality products that give consumers an opportunity to differentiate to differentiate from the mass. As Heineken we expect to benefit strongly from this growth of the premium segment in the Tanzanian market.
We see great potential for the Tanzanian market going forward Heineken decided to adapt its business model to these new needs and set up shop in Tanzania.
Heineken is also betting on its recently launched iconic star bottle to spruce things up in the Tanzanian market which has grown tremendously over the years.
The bottle is a first for Tanzanians and east Africans at large which lights up once confronted with UV light and is specifically used in selected number of outlets in the world. Heineken regards the very recognizable glass bottle star bottle as its main hero.
What does 2013 have in store for Tanzanians?
Within Heineken, one rule of thumb is: “we never copy competition”. This really sets us apart from all other players. So, the Tanzanian consumer can expect to be amazed with a ‘Only Heineken can Do’ activities in the coming years,” says Koen.
Heineken which owns powerful global properties like UEFA Champions League, James Bond, and Rugby World Cup always finds a unique way of activating and communicating our brand in each market in the world to our target consumers,” he added.
We have the best beer brand in the world and the most engaging platforms- like f.e. UEFA Champions League- to work with. Our Heineken Facebook site has recently crossed an amazing 10 million fans. 2013 will be definitely a very exciting year to us,” he concluded.
Toyota Motor Co., poised to regain its title as the world's biggest carmaker this year, said its vehicle sales may rise 2% next year to a record amount, led by demand from overseas markets.
Global sales, including those of subsidiaries Hino Motors and Daihatsu Motor Co. may climb to 9.91 million vehicles in 2013, the Toyota City, Japan-based company said yesterday in an emailed statement.
The maker of the Corolla and the Camry sedan estimates sales expanded 22% to a record 9.7 million this year, the biggest gain since at least 2000.
Toyota is counting on the U.S. to boost sales next year, countering a projected 15% drop in Japan, where government subsidies to purchasers of fuel-efficient vehicles expired in September. The automaker's 2013 forecast surpasses the previous high of 9.37 million units in 2007, before the global financial crisis sapped demand.
"After the subsidies expired in September, car sales in Japan didn't fall tremendously, so Toyota's forecast for domestic deliveries to drop 15% next year is bigger than we expected," said Yoshiaki Kawano, a Tokyo-based industry analyst at IHS Automotive. "The U.S. will continue to lead sales next year, but the growth level at Japanese carmakers will match the industry's, unlike this year, where they all outperformed the market."
The maker of the Prius, the world's best-selling gas-electric hybrid car, is set to regain the title of world's best-selling automaker from General Motors Co. and Volkswagen AG this year, as the industry heads for a record year. Global 2012 sales will top 80 million cars and trucks for the first time, as robust U.S. and Japanese purchases offset a European downturn, according to estimates from LMC Automotive.
In 2013, Toyota's overseas sales will rise 8% to 7.87 million, while deliveries in Japan will decline to 2.04 million, the company said in the statement.
"We expect sales in the U.S. and Asia to continue to rise next year," Joichi Tachikawa, a Tokyo-based spokesman for the Japanese carmaker, said yesterday by phone. "Asia's sales will be driven by Indonesia, while for the U.S., models such as Avalon and Lexus LS will likely help boost sales."
Toyota said last month it will build a new engine factory in Indonesia to more than double capacity, part of a plan by the automaker and its related companies to invest $1.3 billion in the Southeast Asian country over the next five years.
For China, Toyota hasn't fixed a 2013 sales target as the automaker doesn't yet know how much this year's deliveries will be, Mr. Tachikawa said.
Toyota's China deliveries in the 11 months through November fell 3.3% to 749,600 units, setting the automaker on course for its first annual sales decline in the country on record. Sales have plunged in the months since violent anti- Japan protests broke out in cities in September across China.
Worldwide production will be 9.94 million vehicles next year, almost unchanged from 9.92 million this year, according to the automaker.
By Our Correspondent
Regional brewer East African Breweries Limited (EABL) has unveiled its latest product dubbed Balozi, a malt-based, sugar-free brand a beer brand in the market in its latest bid to tap into the vast market of mid-tier consumers.
The Balozi launch comes roughly two months after EABL unveiled Tusker lite to take on SABMiller’s Castle Lite. EABL has in the past 18 months focused on growing and defending its high-end beer market against top rival SABMiller.
The Balozi launch now sees EABL shift its focus from these premium brands and low-cost brands such as Senator Keg — which is cheaply produced from sorghum — and towards the mid-tier brands where Summit and Summit Malt have growing presence.
“Last year, they (EABL) focused more on high-end brands to try and take on Heineken and Sierra but they have now turned to sugar-free beer,” said analysts from Standard Investment Bank (SIB).
The beer wars in the region have largely remained focused on EABL and UK brewer SAB Miller—which has made a return to the Kenyan market through subsidiary Crown Beverages — and looking to cut EABL’s dominance.
The London-listed firm brews and imports its drinks from its Tanzania Breweries Limited (TBL) and they have announced plans to open a second brewing plant in Uganda at a cost of $80 million (Sh6.6 billion).
Dutch-based Heineken also established a regional office in Nairobi to market its flagship brand, Heineken in what stirred the market share war further.
With the middle and low end segments coming under pressure due to the restrictive alcohol law, the beer makers at the time trained their sights on the upper end of the market.
M-Shwari which is a mobile banking solution riding on Safaricom’s M-Pesa platform has seen magnificent rise in use since launch in November.
According to an infograph share by Safaricom and Commercial Bank of Africa (CBA), the platform has seen more than Ksh976 million banked through it and Ksh 123 million loaned to users.
Most of the users of the platform are between the ages of 26 30 years with 29.71% of the subscribers in the age group actively using the platform while those aged between 31-35 years are second at 24.73%. Ksh 970 is the average savings amount and Ksh 1,092 is the average loan amount disbursed as of 27 December 2012.
Thousands of Tanzanians in Dar es Salaam were left without access to TV channels after the government implemented its planned switch off analogue broadcasting and moved into digital broadcasting system leading to a surge in demand for set top boxes.
A quick survey by Corporate Digest at various retial points for Star Times decoders, revealed throngs of people queing to buy decoders now valued at Tsh39, 000.
“We have seen strong demand for the decoders since yesterday and managed to deplete our stock and hence had to send for more from the headquarters to meet with the demand,” said a source who preferred not to be named since he is not the spokesperson for Star Times.
According to the statement issued by Ministry of Communication, Science and Technology, the first region to switch off analogue broadcasting system was Dar es Salaam, which was switched off at 00.00 on the 1st Janaury 2013.
The second regions will be Dodoma and Tanga which will switch off analogue broadcasting in January 31, 2013.
On 28 February 2013, the analogue broadcasting system will shut down in Mwanza, while Moshi and Arusha will follow on March 31 and April 30, 2013 will see the switch off in the Mbeya region.
The digital broadcasting infrastructures has been made to regions which will be the first to enter into digital broadcasting system, while others have to wait until infrastructures are ready.
The Tanzania Communication Regulatory Authority (TCRA) has insisted that the changing in broadcasting systems from analogue to digital will be conducted smoothly and to avoid inconveniences to people in the country.
Precision Air Services (PW) will from January 16, 2013 launch flights to Mbeya region of Tanzania, which is around 683km south-west of Dar es Salaam.
The Mbeya route becomes PW’s 16 route in the market, and will see four weekly flights to the region. This latest development comes barely a month after the airline launched its latest and newest aircraft – the ATR 42-600.
Alfonse Kioko, PW Managing Director and CEO, says that the new addition will definitely boost tourism in the Mbeya region.
“We are proud to launch this new route to Mbeya. We believe that it will give access to as many tourists as possible visiting the region and we shall ensure that we do that at a very affordable rate,” says Kioko.
Mbeya, which has a population of approximately 2 million, is the first large urban settlement encountered when travelling overland from the neighboring nation of Zambia. Mbeya is situated at an altitude of 1,700 meters, and sprawls through a narrow highland valley surrounded by a bowl of high mountains.
Mbeya has a subtropical highland climate, with humid summers and dry winters. The general range of temperature is between −6 °C in the highlands and 29 °C on the lowlands.
There are game watching safaris, and also trout fishing in the mountains to the south. There are efforts to widen tourism beyond animal and wild game viewing, which can best be done in Madibila and Rujewa.
Mbeya is the best place in Tanzania for hiking and forest walking; which is aided by the cooler climate, friendly villages and pure clear water in the river catchments. Well-defined hiking trails have been established to enable hikers to reach the elevated areas and bio-diverse highlands, although the trails need to be properly mapped. For self-sufficient hikers, some of the best, and least known trekking in Africa is in the Poroto Mountains around the small town of Tukuyu.
Samsung Electronics Co. Chairman Lee Kun Hee urged employees to develop new businesses that can help the world’s largest maker of mobile phones and TVs fend off a slow global economy and increased competition.
“There’s an ongoing competition by global companies across all areas from products, technology development and hiring talented people to patent disputes,” Lee said, according to a summary of a speech he gave to employees today. “The market is big and opportunities are wide open, so we should find out new businesses that Samsung’s future will hinge on.”
Samsung Group, which runs 82 affiliate companies and generates about 20 percent of South Korea’s gross domestic product, should boost investment and create new jobs, Lee said, according to the summary distributed by Samsung Group via e- mail.
The group’s flagship electronics unit, Suwon-based Samsung Electronics, is the world’s biggest seller of mobile phones, TVs, memory chips and flat-panel displays. Samsung shipped about one in every four handsets in the third quarter, according to researcher IDC, and it sells one in every four flat-panel TVs, according to data from DisplaySearch.
Asia’s biggest consumer-electronics company posted a record 165 trillion won ($155 billion) in revenue in 2011. The company will release its fourth-quarter earnings estimates early next week.
Martina Nkurlu, the Communication Manager for Vodacom Tanzania (second left), explaining on how to shop for various products at a retial store in Dar es Salaam to a journalist. As part of its strategy to improve its services to cater for the unique needs of its customers, Vodacom Tanzania has recently launched the use of M-Pesa service in existing super markets located at Shoppers Supermarkets at Msasani and Masaki.
Vodacom Tanzania Managing Director, Rene Meza speaking during the launch of Faraja insurance cover.
Planning for the future is increasingly catching on in Tanzania as people continue to buy insurance covers for unforeseen but inevitable natural occurrences such as funerals. To date 344 Tanzania’s have bought Faraja – a funeral cover – which is paid out in the event of a policy holder’s passing away, say Heritage Tanzania’s Head of Insurance Joseph Mardai.
Vodacom provides free insurance cover (Funeral Benefit) for one month which has a value of Tsh 200,000 if a registered customer does at least 10 M-Pesa cash transactions per month. For example, if customer does 10 money transfer transactions in January, he/she will get Tsh 200,000 free insurance cover in February.
For the month of November, 169,117 customers qualified for Vodacom’s free cover. The free Funeral Benefit cover is valid for only one month. To keep the free cover active, the customer will need to continue doing at least 10 Money transfer transactions on M-pesa every month.
Two beneficiaries have already received cash pay outs and all payments were made through M-pesa, says Mardai.
For instance, Fransisca Mahunda received a cash benefit of Tsh 2.2 million on the Faraja cover following the demise of her husband on November 17. Her husband had subscribed to the Upendo policy which covers Death and Accidents. He also got the 200,000/- free cover from Vodacom. The total cash benefit therefore, included Funeral benefit - Tsh 500,000; Accidental Death benefit - Tsh 1,500,000 and Free Cover from Vodacom -Tsh 200,000.
Another beneficiary Julieth Mtangaki was also paid Tsh 200,000 following the passing away of her husband on November 12, Her husband had sent Money more than 10 times in October and qualified for free cover from Vodacom.
Faraja is the result of a partnership between Vodacom Tanzania and Heritage Insurance in October 2012, which now allows mobile phone customers to purchase insurance packages and pay for premiums through Vodacom’s M-Pesa service.
M-Pesa is the only mobile money service that offers such a facility in the country. It is also a world first as nowhere else in the world is it possible to pay for insurance through a mobile money platform.
“We have witnessed a great revolution in the insurance sector of this nation since our partnership was launched. We have seen increased interest in insurance against many things since the launch of this product. People continue to show interest in buying insurance covers through their phones,” says Mardai.
He says this service which provides M-Pesa users with insurance services at their finger tips has made it easy for individuals to cover their funeral and accident expenses.
“Death is a natural occurrence. The best that we can do therefore is to ensure that it will not cost us when the time comes. Faraja BIMA covers are designed to make it easier for a customer.
A customer can buy the insurance covers anytime and from anywhere through M-Pesa. In the case of an accident or death, once reported, the beneficiary is contacted as stipulated in the agreement contract and the cash payment is made through M-Pesa within 48 hours.
For his part, Rene Meza, Vodacom Tanzania’s Managing Director, says that his company is committed to changing the lives of Tanzanians in every way possible. We have made sure that technological developments go beyond making calls and sending and receiving messages. We want to make technology a part of everyday life. Faraja is a response to some of the issues that our customers face,” says Meza.
“We shall continue bringing in to the market as many M-Pesa deals as possible in order to service Tanzanians better. So far, we have partnered with over 200 business partners which include: super markets, airlines, and the Mateological Department. Our customers can also buy decoder bundles through M-pesa,” says Meza.
A Precision airplane in the sky
By Corporate Correspondent
Precision Air Services (PW) plans to launch an education campaign dubbed “Elimika na Precisionair,” that gears up to erase a number of negativity that has often been making a dent on the airline’s image.
Precision Air has decided to conduct such public education awareness because there is a major challenge in the country’s airlines, and the clients that they handle.
It aims to reduce negative comments from customers who point out customer services, loss of baggage among others as some of the issues PW needs to address. Other issues that clients often complain about include change in aircrafts, cancelation of flights, and change in departure time.
The airline has a culture of conducting training to their staff on customer service in every six months, making it the best in customer service provision in the country. The campaign will soon run in both print and electronic media in the country.
PW’s rules clearly indicate that a client must report at airport three hours before departure time, but however, a lot of customers have a tendency of ignoring it assuming they will arrive at the airport before closing of the gate.
The airline also has a policy of informing its clients on any cancelation of flights, ensuring customers to be more creative on network planning, call centers among others.
Notwithstanding, PW offers all information online via www.precisionairtz.com where customers can access services online ticket bookings.
Incase of any flight delays (which depend on scenarios) PW offers customers all service required including accommodation and food, while looking into alternative flight.
Moreover, in the event any loss of baggage, the airline is obliged to pay, though there is a good security system for passenger’s cargo.
It is the responsibility of clients to often read the airline’s rules so as to avoid any unnecessary incidences.
Stanbic Bank Head of Finance, Lydia Kokugonza (left) receives the Best Presented Financial Statement award for the year 2011 from Pan African Federation of Accountants Chief Executive officer Vickson Ncube (right) at an awards ceremony organized by the National Board of Accountants and Auditors in Arusha recently. The Bank won the first prize in the Banking Sector category
By Corporate Reporter
Stanbic bank customers have applauded the bank’s recent win of the best presented financial statements award from the National Board of Accountants and Auditors (NBAA) in Arusha.
Speaking in Dar es Salaam today Ms. Mary Kimiti said, “I have been banking with Stanbic for the past 7 years and have been seeing marked improvements to their services, I am sure this win is a reflection of overall efforts to serve the Tanzanian market better.”
Stanbic Bank took the lead for commercial bank entities followed by CRDB Bank and Standard Chartered Bank. In the financial institutions category, the Tanzania Investment Bank (TIB) took the lead followed by the Dar es Salaam Community Bank (DCB).
The Chief Executive Officer of the Pan African Federation of Accounts (PAFA), Vickson Nkube handed over the prize to the Stanbic Head of Finance Ms. Lydia Kokugonza in a colorful ceremony at the Kibo Palace hotel in Arusha.
According to NBAA, the evaluation exercise was done in accordance with international financial reporting standards. A total of 53 entities submitted their financial reports for the NBAA awards.
SJ Kok, Standard Bank Group's Head of Global Markets Sales in Africa, says the awards recognizes Standard Bank's position as Africa's leader in the provision of foreign exchange services. He says Africa continues to be central to the Standard Bank Group's growth strategy.
The win in Tanzania comes in the wake of another award presented to the Standard Bank Group which trades as Stanbic bank in Tanzania. Late November the Standard Bank Group was awarded the prestigious Global Finance award for 2013 Best Foreign Exchange Provider in Africa. According to information on the bank’s website, the Standard Bank Group was also named the Best Foreign Exchange Provider in four African countries: South Africa, Nigeria,Botswana and Zambia.
"Our on the ground presence combines effectively with strong economic research to deliver a high quality foreign exchange offering to our clients. In addition, our local currency risk appetite and trading capability enable Standard Bank to provide solutions that differentiate our offering from competitors on the continent."
"As a bank, we are passionate about building out our African franchise across client segments and geographies, so the growth that we are seeing in our customer business is encouraging" says Mr Kok.
With Africa's rich mineral endowment and growing middle class having captured the attention of investors globally, the increased investment from offshore and burgeoning economic activity on the ground makes the development of local markets inevitable. Standard Bank Group is exceptionally well positioned to continue leading the way in African market development.
Standard Bank Group is playing a leading role in local market development on the continent. Standard Bank has a strong Africa presence with a footprint in 18 African countries and an ability to provide foreign exchange pricing in 40 of the 54 Africa countries.
Kenya Airways is moving to beef up security for its online portal as an increase in cyber crime continues to worry Kenyan companies by inflating operation costs.
The airline which also flies to Tanzania has invited bids for the provision of a Unified Threat Management (UTM) Solution at its Nairobi and London Offices.
The UTM is the latest comprehensive solution to cyber crime that is gaining prominence in Internet security globally.
The software is able to conduct multiple security functions including network firewalling, network intrusion prevention, and gateway antivirus all within a single application.
The move by Kenya Airways to fortify its online division come at a time cyber crime has become a major concern.
Kenya Airways relies heavily on its online division, which has gone as far as integrating mobile money transfer for flight booking and payment of tickets. Passengers are able to book and pay for flights to both local and international destinations as well as get travel information on selected destinations at the click of a mouse.
Kenya Airways has stated that the bidders for the Unified Threat Management solution should be able to include provisions like a firewall, identity awareness, antivirus, email filtering as well as mobile access.
The new system is expected to go a long way in helping the airline safeguard its clients’ data and money in the wake of increasing cyber crime.
Apple Chief Executive Tim Cook's total compensation for 2012 will plummet to $4.2 million from $378 million last year, according to a company document released Thursday.
In a regulatory filing, the US tech titan said the total includes $1.36 million salary and $2.8 million in incentive plan compensation for the fiscal year that ended in September.
The total is far below what other Apple executives will pocket.
Chief Financial Officer Peter Oppenheimer will receive $68.6 million, Bob Mansfield, senior vice president of technologies, will get $85.5 and Bruce Sewell, senior vice president and general counsel, will see $69 million.
Cook, who succeeded Apple co-founder Steve Jobs as CEO last year, has in the past several months led an overhaul of Apple’s entire product line, including the introduction of a new iPhone, iPads and Mac computers. He received 2011 compensation of $378 million, one of the biggest pay packages on record, boosted by $376.2 million in stock awards that he’ll get over a decade.
Apple also awarded pay increases to several senior executives. Chief Financial Officer Peter Oppenheimer received 2012 compensation valued at $68.6 million, up from $1.42 million a year earlier. His 2012 stock awards are valued at $66.2 million.
Jeff Williams, the senior vice president of operations who manages Apple’s supply chain, received $68.7 million. Bruce Sewell, the company’s general counsel who has managed Apple’s patent litigation, received $69 million, compared with $1.41 million in 2011, according to the regulatory filing.
Cook’s base salary in 2011 was $900,000. His total compensation in 2011 put him ahead of the highest-paid CEOs at the time, according to Equilar Inc., which tracks executive compensation. Oracle Corp. CEO Larry Ellison received 2011 compensation valued at $77.6 million. At Microsoft Corp., Steve Ballmer’s pay package was worth $1.38 million.
Amazon.com Inc. paid CEO Jeffrey Bezos a salary of just $81,840 in 2011 and no stock awards, making him the lowest paid among large technology companies.
Vodacom Tanzania has expressed its commitment to support the government in the country’s development projects.
Speaking while on a tour in the Serengeti National Park, Vodacom’s External Affairs Manager, Salum Mwalim, assured that through the Vodacom Foundation, the company has so far supported various developmental projects in the country.
Mwalim was speaking during the second phase of releasing 15 wild dogs into the Park. The animals, which had been under the care of a special program tasked in protecting them, have been endangered since early 1990s.
“Vodacom has invested more than Tsh450m in order to protect these wild dogs since the year 2010. We are doing our best to support tourism in this country.
hese are rare animals and should not be left alone to get extinct,” said Mwalim, adding that, “The Company has been the main financier of this project.”
“Tourism forms the back bone of this nation through foreign exchange earnings. This goes a long way in developing the country,” added Mwalim.
Before releasing the dogs to the wild, they are fitted with satellite devices in order to make it easy to trace them.
“The satellites are enabled by Vodacom network and this makes tracing the animals very easy,” said Mwalim.
The aim of the Wild Dog project in the Serengeti is to protect the animals, which are been under threat for over 20 years now.
Through this project, the animals are captured and kept in an isolated place, where they reproduce and later get released into the Serengeti.
Emmanuel Massanga, a Wild Dog Program Officer, says that the Serengeti had more than 500 wild dogs, but the number reduced due to various reasons, among them poaching and diseases.
In august this year, 11 wild dogs were released into the Park through this project. So far, the total number released is 29.
The second phase was officiated by Dr. Jakaya Mrisho Kikwete, President of the United Republic of Tanzania.
With only days before Tanzania officially switch off analogue broadcasting and moves to digital, Zuku Pay TV has announced adding Clouds TV and Clouds FM to its local channels to its bouquet of TV channels and radio channels respectively.
Clouds TV is now found on Channel 27 while Clouds FM is now available on the audio channels of Zuku. The local channels now available include TBC, Chanel 10 and Clouds TV.
Zuku is however yet to confirm as to when other local channels like Star Tv, DTV, ITV, Capital Tv will be added on and whether it will be before the official switchover to digital takes place at midnight on 31December.
Fadhili Mwasyeba, Country Manager Zuku said, “We are excited that Clouds Media Group has partnered with us and now Tanzanians can enjoy their products from our Pay TV platform.” He added, “We are committed to adding local content on our Zuku platform and are looking forward to making more strategic partnerships here in Tanzania.”
In addition Zuku Pay TV has over 3,000 subscription agents across the country following their partnership agreements with MaxMalipo and Selcom. This is in addition to the existing payment options with Vodacom and Tigo.
Currently, the Zuku is running the customer reward programme “Zuku Tunakuthamini – Pata TV Bure” which seeks to reward their customers for their service and loyalty to the programme. Customers are guaranteed of winning 22 inch and 44 Inch Flat Screen TV for introducing five (5) or (10) customers respectively.
Zuku Pay TV offers a wide selection of entertainment channels covering news, sports, movies, documentaries and music. These include various 3rd party channels such as BBC, MTV Base, Setanta Sports, MGM Movies and E to name but a few. The provider also offers many of its own tailor-made channels such as Zuku Africa airing African content, Zuku Life airing documentaries, Zuku Sports as well as a number of themed movie channels. The service is available via satellite throughout Tanzania.
Mobile telecommunications company Tigo has launched an unprecedented promotion that will allow its consumers make international calls with less money.
With the rejuvenated Tigo Xtreme pack you can call friends, loved ones and business associates in the UK, USA , Canada, India, Hong Kong and China with additional 5 minutes at 150 TSH only.
‘’ We are always thinking of our consumer’s needs throughout the year and understand the need and desire to speak to loved ones and friends across the globe as the year draws to a close. With this in mind Tigo has slashed the cost of calling abroad, with the introduction of this package, which will provide huge savings” said Jacqueline Nnunduma Tigo Marketing officer.
To connect to the Tigo international Xtreme package, customers simple send the word ‘Nje’ or ‘International’ to 15509 and they will then be able to call the UK, USA, Canada, India, Hong Kong or China for 5 minutes for Tsh 150. And must subscribe to XTREME pack by sending Key word XTREME to 15509 for Tsh 450
The package validity will be 24 hours. This promotion is a welcome addition to the current ‘Xtreme’ pack , giving subscribers the vest value for their money.
By Corporate Correspondent
The managing Director for NBC Limited, Lawrence Mafuru has with effectively from December 24, 2012 resigned.
After four years of a very progressive career at NBC, first as Country Treasurer since August 2007 and later as Chief Executive Officer since June 2010 to date, Mafuru said that he thinks that it is appropriate to seek other challenges elsewhere and allow others to steer the ship at NBC.
“I have today 24th December 2012 submitted my formal resignation as Managing Director of NBC to the Chairman of the Board of Directors of NBC to pursue other opportunities outside NBC. As I had mentioned in my letter to the Chairman, this has not been an easy decision but as a career person, there are times in our career life we have to make difficult decisions,” Mafuru stated.
He further said that the decision to relinquish his position is completely in line with his career objectives.
“Looking behind four years ago – I am very satisfied with the success I have had especially on the transformation agenda of NBC operations. We now have a much cleaner balance sheet, a stronger pool of talented young men and women; our customer experience has improved relative to where we are coming from and even more important we are well positioned for strong and sustainable growth in the next three years,” he said.
On a personal note, Mafuru has had the opportunity to grow and develop professionally – of which he have grown both as business manager and a leader not only in the bank but also at industry level where he was privileged to serve as Chairman of Tanzania Bankers Association, Mafuru take pride that he also have been actively involved in shaping the future of banking in Tanzania.
“I want to thank the board of NBC, my colleagues in the management team and the entire staff of NBC for the support and dynamism. I have no doubt in my mind that together with new leadership they will consolidate the success we have had in our transformational work and take the bank to the next level of being the ‘Go-To’ bank in Tanzania,” he noted.
Moreover, he said that all the success would not have been possible if it was not for the continued support from clients, customers and other stakeholders to whom he would like to express his most sincere gratitude.
Notwithstanding, Mafuru has noted that will announce his next destination that will certainly take him through the journey of ‘’success to significance,’’ once he is through with what his family and him consider a well deserved rest, starting with the festive season, for which he extend his best wishes to all those who touched his life during his time at NBC.
MultiChoice is planning to launch an Internet-connected decoder early in 2013.
Satellite pay-TV broadcaster MultiChoice expects to launch a new Internet-connected decoder during the first quarter of 2013.
Aletta Alberts, head of content at MultiChoice, was answering a question at a recent panel discussion about whether they are planning to launch a purely on-demand service or something similar to the season passes offered by Apple on iTunes.
Alberts explained that this new decoder will increase capacity for DStv’s “Catch Up” content from 20 hours to 175 hours.
Additionally, “if you have a fantastic Internet connection then you could have access to other content,” Alberts said.
This other content could include third-party services such as iTunes, Alberts said.
According to Kasia Kieli, president and managing director at Discovery Networks for Central and Eastern Europe, Middle East and Africa, “A fantastic connection is the one that lets you watch high quality content streamed seamlessly.”
Exim bank Tanzania, Mororgoro branch Manager Anna Wesiwasi, (second right, thirdh row) in a group photo with Mother General of Convent of Immaculate heart of Mary Sisters orphanage of Morogoro- Mgolole (third right) and Head of the orphanage center Sister Felister Mwinuka (right), together with the bank staff members and a section of less privileged children living in that orphanage, shortly after handing over several food items donated to the children during their visit which aimed at celebrating together their Christmas with these children. Among the food items donated were; 50kgs, Rice, 25kgs sugar, 25kg wheat flour, a goat, cooking oil 10 ltrs, juice 2 cartons, biscuits 1 box.
Public Relations Manager of MultiChoice Tanzania, Barbara Kambogi (right) posing with children of Al-Madina Orphanage in Tandale where DStv made a donation of foodstuff worth 1,000,000Tshs. On the left is Kulthum Juma, Matron in Charge of the orphanage and Rehema Zeno, DStv staff.
The number of Tanzanian phone subscribers has reached more than 28,000,000, says the latest report availed by Tanzania Communication Regulatory Authority (TCRA).
According to Quarterly statistics report released by TCRA, the total tally as at June 2012 is 28,024,611 phone subscribers in all mobile and wired networks with most of them use using mobile phones.
The April – June Report shows that Vodacom is at the top with 12,317,029 mobile subscribers than other telecommunications companies.
The second company according to the report is Airtel Tanzania with 7,504,511 subscribers which has gape of 4,812,518 compared to Vodacom.
Tigo is the third company with 5,613,330 subscribers, Zantel 2,356,457 subscribers and the Government owned company Tanzania telecommunication company Ltd (TTCL) has only 227,424, Benson has 1,050 and Sasatel 4,810 subscribers.
This is the increase of 704,946 subscribers in a period of one Month, whereby in May 2012 the number of phones subscribers was 27,319,665. Since the report was for April to June 2012, the number of subscribers may have changed currently.
By Correspondent
Regional carrier Kenya Airways has entered into a strategic partnership with RwandAir in an increasingly competitive aviation industry regionally and globally.
The two airlines announced in a statement on Friday that they intend to forge a partnership that would serve their diverse clientele as well as strengthen their ties in the regional aviation industry.
According to Kenya Airways’s chief executive officer, Mr Titus Naikuni, the partnership is in line with the airlines’ move to tap into the economical potential of Africa.
“In line with our strategy to exploit the untapped economic potential of the continent, this partnership with RwandAir allows us, together with our colleagues in African aviation, to further strengthen and enhance our services and network,” Mr Naikuni said in a statement.
Currently, the national carrier operates four daily flights between Kigali and Nairobi, with a wide network available to the rest of the world.
RwandAir, on the other hand is flying to Nairobi three times daily and is also serving Mombasa from its base in Kigali.
RwandAir chairman Girma Wake said the combined flights would offer more choice to passengers and better connectivity at the Nairobi hub, as well as enable visitors to exploit Rwanda’s trade and tourism potential.
“We’re pleased to made this agreement with Kenya Airways. We can now offer more choice for passengers who wish to travel to Rwanda where tourism, trade and investment are on the rise. It is important that we provide the right infrastructure together with partner airlines,” Mr Wake said.
The two airlines have also agreed to strengthen the areas of cargo, maintenance and flight training.
Already, RwandAir is using KQ’s flight simulators to train its pilots.
Statoil ASA President and Chief Executive Officer Helge Lund
Statoil has announced its third natural gas discovery offshore Tanzania in the Lavani-2 exploration and appraisal well.
The Statoil-operated Lavani-2 well successfully appraised the Lavani-1 discovery reservoir in the Palaeogene. When deepening the well to the second target, a separate and significant gas bearing reservoir in the Cretaceous was encountered.
Statoil and its co-venturer ExxonMobil Exploration and Production Tanzania Limited will announce updated total volumes in Block 2 next year. An increase in the upside potential of the Block is expected following further evaluations of the well. The Lavani-2 discovery is the venture's third discovery in 2012.
"These three discoveries continue to support our confidence in the Block 2 potential in Tanzania. The Lavani-2 well tested the deeper Saffron target and this new discovery looks promising," says Nick Maden, senior vice president in Exploration International in Statoil.
The discovery is important for Statoil's international growth and demonstrates how Statoil's exploration strategy of focusing on high-impact opportunities is paying off. The Lavani-2 well also provides information that will be incorporated into models to help determine the optimal development concept for a possible natural gas development in Tanzania.
"The Lavani-2 is the third well in an ambitious drilling campaign of four wells within one year. The next well will be the appraisal of the Zafarani discovery. In parallel the venture is acquiring new 3D seismic to help us identify additional targets in Block 2," adds Maden.
"We are pleased to hear about additional gas resources in Block 2 and eagerly awaiting for further information," says the Minister for Energy and Minerals, Hon. Prof. Sospeter Muhongo.
The Lavani-2 well was drilled to a total depth of 5270 metres in water depths of 2580 metres. The well was drilled by Ocean Rig Poseidon. The Lavani-2 well is located about 5 kilometres southeast of the Lavani-1 discovery well and 20 kilometres south of the Zafarani-1 well.
Statoil operates the licence on Block 2 on behalf of Tanzania Petroleum Development Corporation (TPDC) and has a 65% working interest, with ExxonMobil Exploration and Production Tanzania Limited holding the remaining 35%. Statoil has been in Tanzania since 2007, when it was awarded the licence for Block 2.
Professional services group KPMG has said it will invest US$100 million in Africa over the next five years, targeting its practices in 33 countries where it planned to recruit additional specialists to build up the group’s team of expert advisers.
This was at the foothills of its announcing its growth results on the continent. The firm early this week said some of its units in Africa grew revenue by more than 20 percent in the year to September, helping to expand the global company’s revenue by 1.4 percent to US$23bn.
In a statement, the chairman of KPMG’s One Africa leadership team, Moses Kgosana, told South Africa`s Business Day Newspaper without giving figures, that the growth in revenue from its African operations reflected the success of the African expansion strategy.
Kgosana said KPMG’s global and regional clients had said the company’s One Africa client-centred operating model had greatly improved its ability to provide them with seamless, responsive and exceptional service across the continent.
“The execution of our One Africa strategy achieved serious traction in 2012, which was evidenced by revenue growth in excess of 20 percent in Angola, East Africa, Nigeria and Zambia, as well as our new office expansions in Lagos, Lusaka and Johannesburg,” said Kgosana.
”There is no denying that Africa is an exciting place to do business and as we deepen our own sectoral knowledge and expand our footprint and depth and breadth of service offerings, we in turn are able to help our clients grow their own sustainable and profitable businesses,” he said.
“The increase in KPMG`s Africa revenue is underpinned by impressive pan-Africa growth across key sectors and service lines in Africa, including the infrastructure, financial services and healthcare sectors and in the tax, mergers / acquisitions and management consulting service lines,” he added.
KPMG`s competitors that include Ernst & Young and PwC also have similar expansion plans in Africa where they intend to invest through a combination of organic and acquisitive growth.
Heritage Insurance Company is transferring its life business to CFC Life Assurance in compliance with regulatory requirement for separation of short and long-term business.
CFC Insurance is the holding company for both CFC Life and Heritage, and the transfer of business will enable Heritage to concentrate on general business.
“The Heritage Insurance Company intends to apply to the commissioner of insurance and chief executive of the insurance regulatory authority for approval of a transfer of its deposit administration and life business to CFC Life Assurance limited,” said the company in a statement.
The Insurance Regulatory Authority (IRA) has made it mandatory for insurance companies to separate their life and general business in order to ensure that customer savings are protected and not eaten up by the more risky side of insurance – general business.
The notice is intended to open a chance for any person who would be adversely affected to raise a complaint with the commissioner before expiry of thirty days.
“This is part of CFC Insurance holdings restructuring process where it intends to demerge its life and non life business,” said analysts at Standard Investment Bank.
General business is more lucrative reporting a premium income of Sh36.6 billion in the six months to June this year while life insurance business amounted Ksh18.4 billion.
However the investments made under life business were higher at KSh135.2 billion representing 63.8 per cent of the total industry investments as the demand of the funds is more predictable.
In the general business government securities consisted 29.3 per cent while 23.5 per cent were bank deposits and investment in properties were 21.3 per cent.
Other companies that have demerged their businesses include CIC Insurance, UAP, and ICEA Group.
CIC Group operates CIC Life, CIC General and CIC Asset Management under the demerged structure. The company said that it engaged consultants in the areas such as information technology and business strategy to help in separation of the units.
CFC Insurance Holding shares traded at the Nairobi Securities Exchange Thursday closed at Sh6.75 each with 8,000 shares traded.
Chairman and MD Sunil Bharti Mittal
Bharti Airtel, a leading telecommunications services provider and parent company of Airtel Tanzania, has kicked-off its Talent Management program in Africa.
Bharti which has operations in 20 countries across Asia and Africa said in a statement seen by Corporate Digest that the initiative will see talented employees and staff with high potential spend six months in India for finance training.
The first phase of this pilot program will take place in three countries: Gabon, the Democratic Republic of Congo and Congo Brazzaville.
Speaking on the purpose of the program, Mr. Hans Van Lierop, the Chief Finance Officer for Bharti Airtel Africa, said: “Vertical mobility is a concept we firmly believe in. We are committed to training our team for senior leadership positions within the organization. This pilot program will enable us to develop a financial talent support pool within the Francophone region.”
Airtel is focused on creating a positive impact in everything it does and empowering people is a key part of its core values. By giving to its employees the opportunity to gain international exposure, Airtel hopes to strengthen their skills, competencies and abilities in the area of processes and automation. According to Mr. Van Lierop, this talent program is crucial in this day and age because “globalization has changed the required skill sets for an average team member.”
Since the launch of its operations in Africa, Airtel has created considerable job opportunities across the continent and has invested substantial resources in developing the capabilities of its manpower. The first leadership batch will depart for India in January 2013.
Emirates Airlines fleet will expand by five aircraft this December as the carrier adds three new A380s and two new Boeing 777s.
As the largest operator of both the A380 and Boeing 777 in the world, Emirates new additions will support its growing route network. Maintaining its edge as one of the world’s fastest growing airlines, one A380 and one Boeing 777 joined the network in the first weekend of December and the remaining three will join throughout the month.
The new additions to the fleet will mark the arrival of Emirates 118th and 119th Boeing aircraft and its 28th to 30th A380s. The new additions come as the airline plans in early 2013, to expand its operations at the world’s first fully A380-compatible facility at Dubai International Airport. Specifically deployed on high density routes where extra capacity is needed, Emirates A380s reduce congestion at airports and lead the industry for quiet, environmentally-friendly operations.
“Adding a single new aircraft onto the fleet, for any airline, requires careful planning and good logistical support,” said Adel Al Redha, Emirates Executive Vice-President of Engineering and Operations.
“However, adding five new aircraft over the course of one month is a true achievement. Notwithstanding the precise planning that takes place in inducting these aircraft into the network, none of this would be possible without our professional team of flight crew, cabin crew, engineering, airport and ground operations personnel.”
“I commend our teams for their commitment and professionalism in providing a seamless transition in taking delivery and the induction of these aircraft into our service; as well as their dedication in ensuring our passengers experience the latest innovation in cabin furnishing and our award-winning service every day, on every flight across our 128 destinations on six continents,” he added.
The Emirates A380 remains extremely popular among passengers for its unique features that include the on-board lounge, shower spas and an Emirates award winning inflight entertainment in every seat, in every class with more than 1,400 channels across the entire fleet. All new Emirates Boeing 777 aircraft come equipped with the Emirates’ award-winning inflight entertainment on some of the industry’s widest personal TV screens: 27-inch in First Class, 20-inch in Business Class and 12.1 inch in Economy Class.
Furthermore, the screens are enhanced by Emirates’ new Graphical User Interface (GUI) which allows passengers to move around the entertainment system by “swiping” or “scrolling,” just like a consumer tablet device; discovering the vast library of over 1,400 channels of media and entertainment programming.
Both the Boeing 777s and the A380s exemplify Emirates’ commitment to operating a modern fleet of aircraft and confirm Emirates’ place as one of the world’s fastest-growing airlines. Emirates Airlines has the world’s largest fleet of A380s.
HTC Corp. plans to make tablets based on the Windows operating system, giving Microsoft another ally in its challenge to Apple Inc. (AAPL) and Google Inc. (GOOG) in the $63.2 billion market.
HTC, excluded earlier this year from the first batch of Windows tablets, is working on a 12-inch device and a 7-inch version that can also make phone calls, according to a person familiar with the company’s plans, who declined to be identified as the information isn’t yet public.
Microsoft Chief Executive Officer Steve Ballmer is racing to get more Windows-based tablets into stores, making up for delays that have made it harder to catch Apple, Google and Amazon in a market projected to almost double to $123.5 billion in 2015.
Microsoft will end the year with a 2.9 percent share, compared with Apple’s majority and Google’s more than 40 percent, according to IDC.
HTC’s products, to debut in 2013, will be based on the Windows RT version of Microsoft’s operating system, designed for machines with chips using technology from ARM Holdings Plc (ARM), according to a person familiar with the plans.
Delays in those machines, as well as another version running on Intel Corp. (INTC)’s chips, have meant Microsoft has few Windows devices capable of challenging Apple’s iPad.
A 7-inch tablet would be the first of that size for Windows RT, as Microsoft tries to compete with the iPad mini, Amazon’s Kindle Fire and Google’s Nexus 7 in the market for smaller, cheaper tablets.
Sally Julien, a spokeswoman for HTC, and Mark Martin, a spokesman for Redmond, Washington-based Microsoft, declined to comment.
More Tablets
HTC’s tablets are tentatively scheduled for release in the third quarter and would run on chips from Qualcomm Inc. (QCOM), one person said. Production details and exact schedules haven’t been finalized, the person said.
HTC had also been considering a tablet with Windows 8 running on Intel, but scrapped those plans because the company determined it would have to charge too much -- around $1,000 -- for the device, making it difficult to sell enough of them. Microsoft’s own Intel-based Surface tablet with Windows 8, will cost $899 or $999, depending on the model, when it goes on sale next month.
A consumer holds the S3 in his palm
For the first time in 14 years, wireless communications giant Nokia will not sit atop the global cellphone business on an annual basis at the end of 2012 -- with Samsung set to seize the mobile handset market's top rank.
Samsung is expected to account for 29 percent of worldwide cellphone shipments, up from 24 percent in 2011, according to IHS iSuppli. Nokia's share this year will drop to 24 percent, down from 30 percent last year.
A dislodged Nokia will cause Samsung to rise to first place for the full year of 2012, up from the second rank in 2011, the first time the South Korean electronics titan will occupy the top on a yearly basis. Nokia will fall to the runners-up spot, the first time since 1998 it won't be in peak position for overall cellphone shipments during a full calendar year.
"The competitive reality of the cellphone market in 2012 was 'live by the smartphone; die by the smartphone,'" said Wayne Lam, senior analyst for wireless communications at IHS.
"Smartphones represent the fastest-growing segment of the cellphone market -- and will account for nearly half of all wireless handset shipments for all of 2012. Samsung's successes and Nokia's struggles in the cellphone market this year were determined entirely by the two companies' divergent fortunes in the smartphone sector."
Global smartphone shipments are set to rise by 35.5 percent this year, while overall cellphone shipments will increase by approximately 1 percent. This rapid growth will propel 2012 smartphone penetration to 47 percent, up from 35 percent in 2011.
Samsung's Success vs. Nokia's Nosedive
Samsung's success has been built on its "fast follower" strategy for design and manufacturing. The company produces dozens of new smartphone models every year that address all segments of the market, from the high end to the low end.
Samsung monitors the big trends in smartphone design, user needs and unmet market opportunities, then creates products to fit those markets quickly and efficiently.
Meanwhile, Finnish-based Nokia is over-involved in transitioning its smartphone line to the Windows operating system, resulting in declining shipments for the company. Sales of the company's older Symbian-based phones have plunged, while its new Microsoft Windows 7-based handsets haven't been able to make up for the loss so far.
Samsung is expected to post the best performance among the Top 5 smartphone brands in 2012, with its share of global smartphone shipments rising 8 points to 28 percent, up from 20 percent in 2011. In contrast, Nokia will suffer the biggest decrease, with its share forecast to plunge by 11 points to 5 percent in 2012, down from 16 percent in 2011.
Samsung Pulls Ahead of Apple
Samsung and Apple ended 2011 in a neck-and-neck battle for leadership in the smartphone market, with only 1 percentage point of market share separating them. However, entering the 2012 year, Samsung moved ahead decisively ahead of Apple with a wide range of Android smartphone offerings. Samsung made significant gains in both the high end as well as the low-cost market with its Galaxy line of smartphones. This diversified market approach has allowed Samsung to address a larger target audience for its phones than Apple's limited premium iPhone line.
The Samsung and Apple duopoly represents the dominant force in the smartphone market, with the two companies accounting for 49 percent of shipments in 2012, up from 39 percent in 2011. While Nokia and Canada's Research in Motion (RIM) also held double-digit shares of the market in 2011, Samsung and Apple remain the only two players that will each command a double-digit portion of the smartphone space in 2012.
2013: Smartphones go Mainstream
With the growth momentum behind smartphones, IHS anticipates that the smartphone penetration rate in 2013 will elevate smartphones into the majority among all phone segments, at 56 percent. This event will mark a significant tipping point in the mobile handset market, as the smartphone takes a dominant position in the industry.
Vodacom Tanzania plans to inject Tsh250 billion in the year 2013, as revealed by the company’s Managing Director, Rene Meza.
Speaking while on a tour to Tanga region where he met with Editors and Media Owners, Meza also went on to say that the year 2012 has been great for Vodacom in the market.
“There was a lot of competition this year, but we still managed to stay on top and had a 20 percent growth,” said Meza, adding that, “The Tsh250 billion will be spent in network expansion in a bid to increase data speed and network clarity. 2G and 3G network upgrades will be the main focus in the coming year.”
Vodacom will also continue to invest in latest technology in order to serve customers better. According to Meza, the entire infrastructure is ready, including channels, equipment, expertise and qualified personnel.
“All we wait is a go ahead from TCRA in order to get going,” said Meza.
Direct employment
In 2013, said Meza, Vodacom plans to employ at least 300 new members of staff. So far, the company has directly employed 500 staff and over 400,000 indirectly, who include suppliers, wholesalers, retailers and M-Pesa agents.
“We shall invest heavily in staff training in order to boost their experience and productivity,” said Meza.
Mobile payments
Meza also revealed that the M-Pesa service continued to grow in 2012, both in subscription and businesswise, something attributed to the fact that the service is reliable and safe.
“M-Pesa currently boasts of more than 4 million customers with monthly transactions amounting to 1,300,000 while more than Tsh35 billion is transacted daily.
On his part, Vice Chairman of the Editor’s Forum, Teofil Makunga, thanked Meza for being close and active to the Forum.
“We believe that your commitment and corporation to this forum will benefit all of us. Our aim is to see this country develop to great heights,” said Makunga.
Meza has been regularly meeting with editors and updating them on various business developments in Vodacom.
Mobile phone operator, Tigo has picked 10 winners for the Smartcard draw, bringing the total number of winners to 94 as well as, an additional 2 for the first draw of the ‘Ascend Y200’ promotion, which was launched early November this year.
“The Smartcard draws have drawn a lot of excitement and attention from our customers who were part of this promotion. As we head into the festive season Tigo is pleased to be a part of their celebrations” said Tigo Internet Manager Titus Kafuma.
For this annual draw, 2 SmartCard draw winners won 2 Samsung 30’’ Tvs, 6 others won Smart phones- 2 blackberry bold BB9900 ,2 Iphones 4s as well as 2 Ascend Y200 smartphones respectively.
There was also a chance for 2 customers to win an all expenses paid trip for 2 nights to Zanzibar and Bagamoyo each. The draws were witnessed and conducted by the Revenue Assurance and National Gaming Board, through an electronic computer software system that selects the winners’ numbers randomly.
Winners for the Smart card draw were obtained from those who registered from the commencement of the SmartCard Community offerings on September 26, 2012. This is the final live draw this year, from draws which were conducted monthly and quarterly.
The Tigo SmartCard gives its consumers access to purchase a SmartPack, which consists of unlimited Internet for 30 days on their smartphones, as well as Tsh 30,000 worth of airtime valid for 30 days, to call or SMS all networks inside and outside of the country all day long.
In addition, SmartCard customers have access to an exclusive online SmartCard Community. As members of the SmartCard Community, SmartCard customers are able to interact with other members, be updated on the latest news on new products that are relevant to them and stand chances to win great prizes throughout this and next year.
Spiro Zambelis has been appointed as the new BMC Regional Sales Manager and Country Manager for South Africa and Africa.
Zambelis who has been with BMC for four years, assumed his new role from 1 October.
BMC Africa is a company that provides solutions to optimize IT costs, demonstrates transparency, increases business value, controls risk, and assures quality of service.
“Zambelis’s role will involve looking after and growing the African market. His responsibilities will include overseeing the BMC Enterprise Service Management (ESM) business in Africa working with our business partners to grow the BMC business in Sub-Saharan Africa,” says Vice President for Iberia, the Middle East and Africa, Paul Cant.
BMC recently re-categorised Sub-Saharan Africa from being an emerging market to an investment growth region and is looking to aggressively grow this market segment and establish itself as a significant player in the market. We believe that Zambelis’s existing relationships with partners and customers will be an asset going forward and something that can be leveraged as we grow this market segment,” says Cant.
Zambelis has extensive experience in the African market, having established and grown strategic partnerships in Kenya, Ghana and Nigeria. He will focus on growing the market across South Africa and Africa and is busy doubling the sales head count to build the necessary internal capacity to capture the predicted growth.
“Looking ahead, BMC South Africa and Africa will focus mainly on IT Operations Management, including automation, monitoring, optimisation of IT infrastructure usage and service management,” says Zambelis. “We expect automation to play a major role across Africa as firms move from manual to automated processes. There will also be growth in software as a service (SaaS). But the main shift in IT will be the growth of cloud computing,” says Zambelis.
School children in an ICT class
World Bank and the Africa Union are rooting for multi-sectoral collaboration and multi-stakeholder approach to harness Africa’s potential in ICT.
In a report titled eTransform Africa, the two institutions noted that some of the significant areas ICT could be counted on delivering include the financial sector, agriculture, education, health and climate change.
In addition, the report highlights the role of ICT in enhancing African regional trade and integration as well as the need to build a competitive ICT industry to boost innovation, job creation and the export potential of African companies.
The cross-cutting study of regional trade and integration includes case studies of Botswana, Kenya and Senegal as well as thematic case studies of ICT use in governance, logistics and cross-border information exchange mechanisms.
“Africa’s trade performance is weak compared with other world regions and within-Africa trade accounts for only 10 per cent of total African trade. This suggests a missed opportunity for economic growth,” noted the report. The report underscores the importance of modern technologies to enable environment for cross-border and regional trade.
The study on the financial services sector includes country case studies of Kenya and Senegal. ICT and innovative business models have helped widen financial inclusion, most visible case in Kenya, where active bank accounts have grown fourfold since 2007 aided by some 17 million M-Pesa mobile money accounts.
“The Internet and mobile phones are transforming the development landscape in Africa, injecting new dynamism in key sectors. The challenge is to scale up these innovations and success stories for greater social and economic impacts across Africa over the next decade,” said Jamal Saghir, World Bank director for Sustainable Development in the Africa Region.
“Valuable and sustainable applications are most likely to develop within an environment that encourages experimentation and collaboration between technologists, entrepreneurs and development practitioners,” he said.
Saghir called on stakeholders to combine their interests in communal projects such as iHub and Nailab in Nairobi, Hive Colab and AppLab in Uganda to create new spaces for training, content development, and pre-incubation of firms.
Pieter Verkade (pictured) has been appointed new MTN Group Chief Commercial Officer, effective February 2013.
Currently the CEO of MTN Cyprus, Verkade replaces Christian de Faria, who retires in January 2013 after 6 years with the Group. MTN Group President and CEO, Sifiso Dabengwa, says Verkade’s appointment is further affirmation and a sign of confidence in the pool of talent within MTN.
“The fact that we are able to fill this strategic position with one of our own speaks volumes of the richness of MTN’s leadership pipeline, and the strides we are making to create an environment that recognises performance excellence. Pieter is a hard-working and well-accomplished executive who gets the job done.
In his new role, Pieter will be responsible for the strategic direction of the innovation, products and services strategy, as well as marketing across the Group.
“His appointment comes at a critical point for MTN, as our operating environment is changing quite rapidly. We have entered a phase where network operators have to compete on more than just products and services. We believe that Pieter possesses the right combination of experience and expertise to drive MTN’s strategic agenda to deliver relevant and competitive value propositions to our customers across segments,” says Dabengwa.
Pieter’s telecoms experience spans developed and emerging markets in Europe and Africa. Prior to becoming the CEO of MTN Cyprus, the Mediterranean country’s second largest mobile operator, Pieter was the Executive for Commercial Strategy and Mobile Money.
In this role, he oversaw the growth and deployment of MTN Mobile Money in 15 MTN markets. MTN’s mobile money portfolio has now grown to 8.2 million customers since launch in Uganda four years ago.
As Chief Marketing Officer for MTN SA for a two-year period from 2008, Verkade contributed to the strengthening of MTN’s competitive position in the fast maturing mobile market. The Group continues to leverage his wealth of experience in the telecoms sector in which he has operated at C-Suite level since 2000 in a variety of roles.
These include Chief Commercial Officer for Orange NV (Netherlands), Vice President Commercial for Orange Plc (London), Chief Financial Officer for KPN/Orange (Belgium) and Senior Vice President for Telenor (Norway).
Dabengwa paid tribute to De Faria for his sterling contribution to MTN’s growth over the years. Christian joined MTN as VP for the West and Central Africa (WECA) region in 2006 from Indonesia’s PT Excelcomindo Pratama mobile operator, of which he was CEO.
He said De Faria worked tirelessly to successfully position MTN as the leading telecoms player in the WECA region comprising some of MTN’s largest markets like Nigeria, Ghana and Cameroon.
Later appointed as Senior VP for Commercial and Innovation, he played a pivotal role in MTN’s major transformation initiatives, including supply chain management, products and services as well as marketing and customer management.
He steered the Group’s commercial and innovation activities during the period of convergence, and forged key strategic partnerships with non-traditional telecom players to strengthen MTN’s competitive position in the digital space.
“On behalf of the MTN Group and all our employees, I would like to thank Christian for his sterling contribution to MTN’s growth. His energy, enthusiasm and passion for the MTN people, our customers and communities will be missed by all,” said Dabengwa.
Busy central business district of Dar es salaam. Prime Assets (Tanzania) Limited is expected to build a 150 roomed international hotel by 2015
By Corporate Correspondent
The skyline of the new central business district in the city will soon change with the development of an international hotel at the junction of Ghana Avenue and Mrambo Street.
Construction of a US$32m project is expected to commence in mid-2013 and the hotel operational by August 2015. The hotel will be operated and managed by a renowned international chain and negotiations have reached an advanced stage.
Speaking to press yesterday in Dar es Salaam, Mr. Said Ally Said, the General Manager of Prime Assets (Tanzania) Limited, which is the developer of this project, said the hotel will feature 150 spacious golf-course and sea-facing rooms with modern conveniences. Other facilities will include top quality food and beverage outlets, a large conference room with video conferencing facilities, boardrooms and a fully equipped gym and pool.
He added that guests and meeting delegates will have free high-speed internet access throughout the building including the use of a dedicated 24-hour business centre.
He said the energy efficient building will be in full compliance with brand standards, environmental, city and other planning regulations.
Mr. Said Ally said that besides contributing to the national tax coffers, the project would provide training and employment opportunities to young Tanzanians aspiring to pursue internationally recognized hospitality related careers.
According to the property manager, the project will alleviate the current shortage of hotel rooms necessary to attract Dar es Salaam as a destination for international conferences and exhibitions in the region particularly, as the regional economies continue to expand at the rate of six percent (6%) and air traffic expected to grow by eight percent (8%) annually.
“Hotels are catalytic to the development of business and tourism infrastructure and wherever we go, we continue to receive tremendous support. This boosts our confidence as it signals the Government’s earnest commitment to attract large scale investments, for which we are very grateful”, commented Mr. Ally.
Kelvin Twissa, Vodacom Tanzania Head of Brand Communication and Marketing (right) speaking to members of the press
Tanzanians are now set to enjoy a new technological phase, as plans have now matured to receive weather updates over their mobile phones.
This follows a new partnership between Tanzania Meteorological Agency (TMA), leading telecommunications company, Vodacom Tanzania, and Starfish Mobile that will enable weather updates to be sent through a text message.
Through this, individuals will now have a chance to be cautious of the weather situations and also schedule their daily activities properly.
Speaking while announcing the new development, TMA Managing Director, Dr. Agnes Kijazi, says that the Agency is doing its best to make use of technological developments in order to ensure time relay of weather situations.
Our country is huge and has various regions with varying weather conditions. Sometimes the channels used to relay weather updates do not get to as many people as expected. It is therefore better to make use of mobile phones to for such an activity since almost everybody has a phone,” says Dr. Kijazi, adding that there are those that travel by air and water hence it is necessary to give them weather updates before they start their journeys in order to avoid any incidences. It is important for Tanzanians to get such updates immediately they need them.”
Kelvin Twissa, Vodacom Tanzania Head of Brand Communication and Marketing, has expressed the company’s joy in entering into the new partnership with TMA, as it will go a long way in giving Tanzanians the much-needed updates.
The mobile communication sector has greatly grown in the country due to the need for individuals to keep in touch. Through this partnership, the challenge of relaying weather updates has now been solved,” says Twissa, adding that, “Vodacom has done its best to reach as many Tanzanians as possible due to the many products and services we offer. We are making use of channels equipped with latest technological developments.
“We are now offering our services in Goziba Islands, a region that for a long time had no communication access. Now the residents of this region, most of whom are fishermen, will now get weather updates over the phone as the set out to fish,” adds Twissa.
To get the weather updates, individuals are advised to type Wthr and Region then send to 15588. For instance, to get the weather update in Dar es Salaam, one needs to type Wthr Dar the send to 15588. They shall then receive immediately allowing them a confirmation message that will enable them to be receiving weather updates. This will cost Tsh100.
“Today, technology plays a key factor in economic and social development and mobile technology continues to ease communication issues such as accessibility, efficiency and affordability. With key strategic partnerships like the one forged between TMA, Vodacom Tanzania and Starfish Mobile, pertinent information can be accessed almost immediately by stakeholders.
As an example, farmers will be able receive weather information, which is a critical factor to their cultivation and harvest outcome. Generally, weather updates and warnings can assist in planning better protection of one’s investment – whether a farmer, or real estate developer or even a tourist,” concludes Reshma Bharmal-Shariff, Managing Director, Starfish Mobile East Africa Limited.
President Jakaya Kikwete (Second right) poses for a group photo with then the President of Comoros Ahmed Sambi (second left) together with Exim Bank Chairman Yogesh Manek (left) and the First Lady of Comoros, Madam Samba shortly after the launch of the first branch of Exim Bank in the Island country in 2008.
By Correspondent
Exim Bank Tanzania is preparing to open two additional branches in the Union of Comoros after recording strong performance in its five years operations in the Island nation.
Speaking to press at the bank’s Headquarters in Dar es Salaam yesterday, Exim Bank Tanzania Managing Director Antony Grant said as his bank marks its fifth year as the first Tanzanian bank to have spread its wings overseas, plans are underway to expand operations in Comoros.
“This month we are marking five years in the Union of Comoros. Exim Bank Comoros now has 18,000 customers and operates two branches, in the capital city of Moroni and on the island of Anjouan.
After the meeting of the Board of Directors of Exim Bank Comoros last week that reviewed the progress of the bank in that Island country, it was decided to open two additional branches at new locations. Preparations are underway,” he said.
Mr Grant mentioned that in Comoros, the Bank has carved a leading position by providing a range of services and products including being the first in the country to offer a mobile banking van (called “Exim on Wheels”). The Bank is also a leader in Point-of-Sale facilities for merchants and the first in the country to launch ATMs.
“Exim has also taken on a leading position in linking the trade and commerce between Tanzania and Comoros, by assisting customers in both countries to connect through financing, Letters of Credit, funds transfers and other banking services,” he said.
The MD said the bank continued to remain in profit ever since its establishment.
“The leading French development finance institution, PROPARCO, patronized Exim Bank Comoros with a Senior Loan of 4 million Euros in the year 2010, paving the way for the bank to accelerate its support to small and medium business in the country,” said Mr Grant.
The Chairman of Exim Bank, Mr. Yogesh Manek, said, “We are very pleased to have lived up to the commitment we made to His Excellency President Jakaya Kikwete when Exim Bank was launched in Comoros. As both the Tanzanian and Comoros economies grow and regional trade expands, we will continue to support entrepreneurs and businesses in both countries.”
As the prospects Exim Bank has also established a full banking presence in the Republic of Djibouti. Exim Bank Djibouti opened its doors in March 2011, and was formally inaugurated in the hands of His Excellency Ismail Omar Guelleh, President of Djibouti. As a country, Djibouti occupies a critical regional economic position for the imports and exports of Ethiopia, Somalia and South Sudan.
Mantra Tanzania Managing Director Asa Mwaipopo (right) hands over a T-shirt showing number of hours recorded by the mining company without Lost Time Injury in its two years of operations, to the company’s Senior Environmental Officer Robinson Mshana. The T-shirts are meant to remind Mantra Tanzania workers to observe safety rules during their day-to-day operations.
By Corporate Reporter
MANTRA Tanzania has continued to build its reputation in the mining industry with adherence to the highest level of safety standards at its Mkuju River Project (MRP) in Namtumbo district, Ruvuma region recording a total of one million hours of no Lost Time Injury (LTI) in two years.
According to a statement issued by the Mantra Tanzania Managing Director Asa Mwaipopo in Dar es Salaam yesterday, the achievement is a clear testimony of the company’s commitment to continue adhering to all the safety standards at the work place.
“We have been able to record one millions hours of no Lost Time Injury (LTI) at our Mkuju River Project from 522,868 hrs recorded in the same period last year.
“This is a milestone in the history of the company and this would not have been achieved without the engagement of all the stakeholders of the project. Our biggest task is now to ensure that we keep a clean safety record so as to record more positive results,” he said.
Mwaipopo said the company’s milestone achievement has been realised by adhering to the correct safety work procedures as well as assessing possible hazards and risk before and during the task.
“Our “usalama kwanza” (Safety First) slogan has also proved effective in developing a common approach and attitude towards safety at work place. This achievement is a result of team effort by Mantra personnel, contractors and management,” he said.
Mwaipopo said his company will continue to ensure that all people involved in day- to -day operations of the company are well protected and are safe from any kind of danger that might be caused by their job, adding that the company is focused to achieve another milestone of up to two million hours without a lost time injury.
Mantra Tanzania has already secured an Environment Impact Assessment (EIA) from the National Environment Management Council (NEMC) for its Mkuju River Project and is now waiting for a license to fully operate the project.
The project will be the first major mining development project within South Eastern Tanzania and the very first uranium mining project in the country and will help generate Foreign Direct Investment of up to $ 1bn as well as $640m inform of royalties. Mantra has demonstrated to be a tax compliant mining company whereby it has been awarded for two consecutive years (2011 and 2012) by Tanzania Revenue Authority (TRA) as overall winner tax compliant company in Kinondoni District.
The company has already invested in local skills development for youths in surrounding communities by sponsoring local youths to study technical education and thus be employed when operations commence after the end of construction of the project which is expected to take up to two years.
By Bethuel Kinyori
The Board of Directors of the African Development Bank (AfDB) has approved a seven-year multi-currency line of credit for an amount equivalent to USD 300 million to FirstRand Bank Limited (FRB) of South Africa to finance a wide range of projects in local currencies and across Africa.
The line of credit will be drawn in multiple African currencies including the Nigerian Naira, the Kenyan Shilling, the Zambian Kwacha, the Ghanaian Cedi, the Mozambique Metical and the Tanzanian Shilling.
The line of credit to FRB will contribute to mobilizing significant financial resources in the countries where its proceeds will be deployed, ultimately contributing to economic development and employment opportunities. The line of credit is also expected to contribute to government revenues, the development of local capital markets as well as African regional integration.
“We are very pleased with this loan facility as it further deepens our relationship with AfDB, and provides FirstRand and our clients access to in-country local currency throughout the African continent.
This innovative solution will certainly contribute to growth in corporate activity, which in turn supports our own African expansion strategy,” said Andries du Toit, FirstRand Group Treasurer.
Timothy Turner, Director of the AfDB’s Private Sector Department said: “With this line of credit, the AfDB is introducing a new and innovative form of local currency financing.
“This structure can be replicated by other banks in Africa to gain access to funding in African currencies thereby reducing unnecessary currency mismatches and deepening the local capital markets,” he added.
AfDB said in a statement that most African countries are characterized by low discretionary rates of domestic savings. As a result, the intermediation capacity of the financial sectors is limited, leading to the gap currently being filled with borrowings denominated in foreign currency. However, this introduces a currency mismatch in the financial systems’ balance sheets constituting a potential source of instability.
Thus, there is a clear need for providing stable sources of local currency financing. The line of credit from the AfDB will contribute to filling this gap by making available medium-term local currency financing to sub-borrowers across Africa.
Further, in line with the AfDB’s mandate to contribute to the development of local capital markets, it is expected that the local currencies will be mobilized through the establishment of bond issuance programs in the domestic capital markets and the issuance of local currency denominated bonds to meet the specific local currency requirements of FRB.
These programs are expected to complement existing efforts to develop Africa’s local capital markets thereby providing a strong catalytic and demonstrative effect.
IFC, a member of the World Bank Group, is partnering with Aldwych and Six Telecoms to develop a 100 MW wind farm in Singida, Tanzania, enhancing power supply reliability, decreasing the need for costly fuel imports, and helping fight climate change.
Being developed by project company Wind East Africa, the Singida project seeks to be the country’s first successful, independent wind energy power project. This project is a result of the government of Tanzania’s push for diverse energy sources, as drafted in its recent policy on renewable energy.
The total project cost for the wind farm is estimated at USD285 million, of which IFC, Aldwych and Six Telecoms will contribute USD18 million during the development stage and USD71 million in total equity.
Located 700 kilometres from Dar es Salaam, the Singida wind farm will produce power through wind turbines to help diversify Tanzania’s electricity away from hydropower. When the hydropower supply drops during times of drought, Tanzania has had to turn to costly emergency power. Wind energy is an innovative way to boost power supply, with Singida expected to add 100 MW of capacity.
Singida will also provide power at more stable cost, as tariffs for wind energy remain relatively constant as no fuel source is required. The farm will be owned by Wind East Africa and operated by a management company led by Aldwych and Six Telecoms.
“IFC invested in Wind East Africa’s Singida farm to support a pioneering energy project that can serve as an example to the entire region,” said Oumar Seydi, IFC Director for East and Southern Africa.
With growing demand for electricity in Africa’s economies, independent power projects like Singida can add much-needed capacity to the power grid. Aldwych International and Six Telecoms’ participation demonstrates how the private sector can advance government efforts to increase energy security.”
Mark Gammons, Project Director for Aldwych, said: “Having been involved in the successful development of the Songas gas to electricity project, Aldwych’s senior management team has deep experience in and a strong belief in the Tanzanian market. We believe this ground-breaking project will help develop the Tanzanian power sector and also the local economy around Singida.”
Rashid Shamte, Founder and Head of Group Strategy at Six Telecoms, said: “As a Tanzanian company in telecoms, we were faced with the challenge of deciding how to best diversify our portfolio. The crippling power rationing in our country presented Six Telecoms with a great challenge in our operations, so this project was a compelling option. Six Telecoms applauds the leadership of TANESCO and the government of Tanzania for initiating the wind measurement campaign in selected areas of the country, for making the wind data available to all interested parties, and for welcoming private sector participation in the energy sector.
We are lucky to have experienced partners such as Aldwych and IFC leading our efforts in this project.”In addition to the investment, IFC will assist in the overall project development. IFC will lend its experience and expertise to project structuring process and to ensure that the project meets the appropriate environmental and social standards. IFC is making this investment through its InfraVentures division, which was created in 2008 to support innovative infrastructure projects. IFC InfraVentures addresses constraints to private investment in infrastructure, including the limited availability of funds and experienced professionals. Increasing access to power is at the heart of IFC’s strategy for sub-Saharan Africa. IFC invested USD1 billion in infrastructure projects in Africa in fiscal year 2012, up from USD200 million five years ago.
Research In Motion has announced the BlackBerry 10 Technical Preview program, giving selected enterprise and government customers the opportunity to begin beta testing with BlackBerry Enterprise Service 10 and pre-production BlackBerry 10 smartphones.
The "by invitation" program starts today, with more than 120 select customers enrolled that span a variety of industries including financial, government, insurance, healthcare, manufacturing, media, and distribution. The company said that the mix includes 64 of the Fortune 500 companies.
The technical preview program will give organizations early access to RIM's new enterprise mobility management solution, BlackBerry Enterprise Service 10, along with a limited number of pre-production BlackBerry 10 smartphones for testing within their environment.
"Beginning today, RIM will be visiting some of our enterprise and government 'early adopters' and getting them started with the BlackBerry 10 platform," said Robin Bienfait, Chief Information Officer, Research In Motion. "At RIM, we've seen the power of our new enterprise mobility management solution first-hand, and we are thrilled to share BlackBerry 10 directly with these leading organizations."
Customers will have first-hand experience with features such as BlackBerry Balance, the BlackBerry Hub, the ability to flow between core applications, the enterprise app store and the BlackBerry 10 platform's connectivity to behind the firewall applications and data through BlackBerry Enterprise Service 10.
The Tanzania Telecommunication Company Ltd (TTCL), in partnership with IV Telecoms /FaxTanzania.com, has launched a fax-to-mail service for the use by individuals and businesses, as a means of saving time and improving business efficiency and productivity.
The fax-to-mail service is free and TTCL encourages all business customers to subscribe to this innovative product.
The fax-to-e-mail service will work by giving a customer a unique fax-to-e-mail number and they will send a fax as they normally would.
In order to read the fax, customers have to sign in to their e-mail and will see a notification of the faxes received.
Customers then open the attachment and view the fax and print or save it.
TTCL notes that the fax-to-e-mail service is extremely secure, with security anchored on encryption and firewalls.
By Bethuel Kinyori
Three weeks ago in Kenya, a bank and mobile phone operator with a very extensive mobile money platform, partnered to form what laymen simply describe as ‘getting quick loans via your mobile phone’.
Not only that, the new product dubbed M-Shwari (which means ‘all is well’ in Swahili and is a collaboration between Safaricom and Commercial bank of Africa), makes it possible for people to save as little as one shilling and earn interest at rates of up to five percent per annum on their savings.
Now the revolutionary mobile banking service which allows people to save, earn interest and borrow money using their mobile phones has received tremendous success by ropping in 645,000 savers in a span of three weeks and gotten over Ksh150 million in the same timeframe.
Looking at the figure, they speak volumes in terms of exponential potential that such well thought out partnerships can bring to the market and customers as well.
Banks all over East Africa faced by increased competition, low deposits have cracked their brains and rolled out various campaigns aimed at enticing people to open accounts. But these campaigns in though a success in their own might have not been able to deliver the same results exhibited by the M-Shwari product.
“M-Shwari’s take up so far points to what is likely to become a revolution in the financial system and is a sneak preview to the future of the rapidly changing world of mobile banking,” CBA managing director Isaac Awuondo said.
“We are trying to encourage a savings culture. No economy can develop in an effective manner without a strong savings culture,” said Awuondo.
M-Shwari has received overwhelming support from the youth with those in the ages of 26-35 forming 43.5 percent of the current customer base.
Early trends indicate that more men at 68 percent are currently using M-Shwari to meet short-term obligations.
“We are going beyond the brick and mortar concept of banking and enabling people to join the world of finance with a mobile phone,” Awuondo said.
After two intensive weeks of negotiations, delegates from around the world have agreed a new global treaty that will help pave the way to a hyper-connected world that will bring the power of information and communication technologies (ICTs) to people everywhere.
Over 2,000 delegates were registered for the conference, which was held by ITU at the request of its 193 Member States to renegotiate the International Telecommunication Regulations (ITRs), the binding global treaty facilitating global interconnection and interoperability of information and communication services, their efficient operation and their widespread public availability.
The treaty sets out general principles for ensuring the free flow of information around the world. New provisions in the text place special emphasis on future efforts to assist developing countries, on promoting accessibility to persons with disabilities, and on asserting all people’s right to freedom of expression over ICT networks.
Other pioneering new provisions include a Resolution to create a single, globally harmonized number for access to emergency services, new text mandating greater transparency in the prices set for mobile roaming, and new provisions to improve the energy efficiency of ICT networks and help combat e-waste.
Tough issues that provoked considerable debate at the conference included network security, unsolicited bulk content such as spam email, the definition of entities providing services under the terms of the treaty, the principle of non-discriminatory access of countries to each other’s networks, and whether or not to include language on freedom of expression in the Preamble text of the treaty.
Chairman Mohamed Nasser Al Ghanim (UAE) succeeded in breaking a seeming deadlock on Thursday, after discussions late into the night on Wednesday 12th failed to make headway on the few remaining sticking points. Coming back to the meeting on Thursday evening after a tense start to negotiations earlier that day, Mr Al Ghanim presented a new ‘consolidated package’ containing all agreed compromise texts that had been negotiated painstakingly section by section over the past two weeks at Committee, Ad Hoc Group and informal group level.
ITU Secretary-General Dr Hamadoun Touré called the signing of the treaty this afternoon a “momentous occasion and historic opportunity to bring connectivity to the two thirds of the world’s people who are still offline.”
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