Jammo.... I already getting pressure from my employees...saying they can make ends meet and they that they need a rise despite the fact that they know ...we are not doing well...Things are tough....might end up retrenching to remain afloat...

Rules of the game here: Before you post anything think.give facts only..It's a serious blog for serious people....Do not insult your brother....respect one another...Just be good.... It's good to live a honest life....life without guilt.... Jeremiah 17:11 As a partridge that hatches eggs which it has not laid,So is he who makes a fortune,but unjustly; In the midst of his days it will forsake him,And in the end he will be a fool.' From the SK Anti-hate/anti- corruption campaigner..

What was the basis of their growth to question it? Anyway,I think I'd agree with the projections. Construction industry is seriously still on a strong growth path,tourism is experiencing signs of early recovery,ICT has millions pouring in through into the economy via the fibre related projects,our largest export destination is Uganda where effects of recession are not as bad,our foreign exports are diversified cushioning us against the fall of one sector like tourism,currently experiencing improved coffee prices,the govt has earmarked a Ksh. 40B stimulus package to filter through into the local village economies,CBK released more cash into the banks for onward lending,job losses are much lower than anticipated hence better tax collection,political risk has relatively reduced with RAO & Kibs on a fresh start,the KAM is in advanced stages of getting subsidised power rates operational nightly..list goes on...the positives outweigh the negatives you've correctly listed. As such 3% is realistic......the upcoming AGOA conference to be streamed live using 'SEACOM' as a test case.....and to be attended by the US Secretary of State Hillary Clinton...should leave Kenya on a positive stead for current and future foreign investment.

@VVS

The Sh. 38B needed to fix Mau is not a scam unless you can prove that they don't need that much.

Fixing the Mau is not all about evicting people,the people will have to be compensated,then the forests will need to be re-engineered.

Buying seedlings,planting trees etc. The labour involved in doing this,will have to be paid for. If I was the gava,I would engage the locals as early as now in paid projects,ask them to plant seedlings which the gava will buy,then later use them to re-plant the forest,by the time they are re-settled,the blow will have been softened plus some will understand the need to allow the forest to grow.

@ Jammo,sorry I went off-topic.


I've noticed the youth in particular coming in to a workplace with a completely outsized notion of their own value and importance... just a thinly-veiled arrogance. May be the credit crunch induced recession is whats needed to remind us all about the value of hard work.... By Anonymous

the current cost of labour together with its respective monthly increase has a significant impact on the company's profitability...the more costly the labour (mainly from salary upgrading) becomes,the less the company has at its disposal for expansion and future growth and vise-versa. the current economic projection of 3% is abit ambitious as it will depend on how long the financial crisis persists....you factor in the water and electricity crisis and the story becomes different...

NEVER TALK OF A RHINO IF THERE IS NO TREE NEAREBY - ZULU PROVERB

Fact

The Kenyan economy already grew by 3.9% during the first three months of this year,a figure higher than the CBK or IMF annual average projection mentioned here of 3% and higher than AIGs 2% or OMAM 3.2%.Remember,the EAC average growth in these recession is 5%.

Supposition:

Talk of paying higher salaries or compensating Mau 'squatters' will in my view not be effected this fiscal year given the budget deficit in the public sector. With 3.9% to start off,economic activity is not grinding to a halt. I'd place my guess at a final average growth average of 3% which are the CBK figures.