Press Release: Kenya must review Double Tax Agreement with Mauritius (02.11.2015)

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(Nairobi, November 2, 2015) – Kenya is teetering on the brink of financial meltdown with the implosion of at least two private commercial banks in the last few months and signing of loophole-ridden double taxation agreements with tax havens Mauritius, United Arab Emirates and Qatar.

Tax havens are countries or states that position themselves as low tax jurisdictions allowing companies and rich individuals to hide their wealth without paying appropriate taxes where they actually make their profits or wealth. Tax Justice Network-Africa (TJN-A) in October 2014 sued the Government of Kenya (specifically the Cabinet Secretary to the Treasury, Kenya Revenue Authority and the Attorney-General) challenging the constitutionality of the Kenya/Mauritius Double Taxation Avoidance Agreement signed in Port Louis, Mauritius on May 11, 2012 and as contained in Legal Notice 59 published in the Kenya Gazette of May 23, 2014.

The Agreement significantly undermines Kenya’s ability to raise domestic revenue to underpin the country’s development by opening up loopholes for multinational companies operating in the country and super- rich individuals to shift profits abroad through Mauritius to avoid paying appropriate taxes. For example, provisions under Article 11 of the Agreement relating to interest limit Kenya’s withholding tax to 10 per cent whereas the Kenyan domestic rate currently stands at 15 per cent. This will significantly affect the tax base of the Kenya Revenue Authority (KRA). The Agreement also sharply contravenes Articles 10 and 201 of the Constitution and is inconsistent with the principles of good governance, sustainability and accountability. The Agreement is open to abuse and this could endanger the growth and development of Kenya.

Three main reliefs sought by TJN-A are: that the High Court declares the government’s failure or neglect to subject the Kenya-Mauritius Double Taxation Avoidance Agreement to ratification in line with the Treaty Making and Ratification Act 2012 as a contravention of Articles 10 (a), (c) and (d) and 201 of the Constitution of Kenya.

That the Court directs the Cabinet Secretary for Treasury to immediately withdraw Legal Notice 59 of 2014 and commence the process of ratification in conformity with the provisions of the Treaty Making and Ratification Act 2012.  And award cost of the petition with interest against the Government of Kenya. The case came up for mention at the Nairobi High Court today, November 2, 2015. The court will fix a date for hearing the case on November 9, 2015. Speaking at a press briefing earlier today, the Executive Director of TJN-A, Alvin Mosioma said “there is need for public participation in the process of ratification of double tax agreements…double tax agreements kill the competitive edge of local firms”. 2 Senator Hassan Omar of Mombasa County who also addressed the press said Kenya’s “Parliament needs to appreciate its responsibility in safeguarding the public’s interests,” adding that “the reason people steal is because there is complicity and people are aware of it”. Provisions under Article 12 of the Agreement which relates to royalties also restrict at- source withholding tax to half (10 per cent) of Kenya domestic rate of 20 per cent. This will significantly weaken Kenya’s ability to raise revenue to finance its development. Additionally provisions under Article 20 of the Agreement reserves all taxation of “other income” not dealt with in specific Articles to the residence state.

This effectively reduces withholding tax to zero per cent on services, management fees, insurance commissions among others, whereas Kenyan domestic withholding tax rate currently stands at 20 per cent. This is a major gap that will lead to massive revenue leakages. The Agreement is neither United Nations nor OECD compliant and it also fails to address the issue of disposal of shares in companies. The Agreement effectively reserves under Article 13.4 all taxation of capital gains from selling shares in companies to Mauritius where the effective Capital Gains Tax is zero per cent. Under the Agreement foreign investors in Kenya can acquire Kenyan companies through Mauritius holding companies and Kenya cannot tax any of the gains when they sell these businesses again. This is open to abuse. Similarly, domestic Kenyan investors can dodge Kenyan taxes by round-tripping their investments illicitly through Mauritian shell companies. Kenyan companies can also easily avoid Kenyan taxes in dividends paid to foreign investors through devices like share buy-backs therefore deny the government of development funds.

The provision is very similar to the Capital Gains Tax Article in the India-Mauritius treaty which has proved very controversial costing India an estimated US$600 million a year in revenues as a result of tax avoidance and illicit round-tripping by Indian business executives driving the Government of India to initiate steps to renegotiate its agreement with Mauritius. Under the definition of ‘bilateral treaty’ in Section 2 of the Treaty Making and Ratification Act an ‘agreement’ such as the one between Kenya and Mauritius and which is the subject matter of this legal case, is a treaty subject to the Act and therefore requires that the Cabinet Secretary to the Treasury in consultation with the Attorney General, submit to the Cabinet the treaty, together with a memorandum outlining, inter alia – 1. Policy and legislative considerations, 2. Financial implications 3. Implications on matters relating to counties, 4. The views of the public on the ratification of the treaty.

Mauritius presently has tax treaties with 13 African countries namely Botswana, Lesotho, Madagascar, Mozambique, Namibia, Rwanda, Senegal, Seychelles, Swaziland, South Africa, Tunisia, Uganda and Zimbabwe. Apart from Kenya, Mauritius also has signed Double Taxation Agreements with Congo, Zambia and Nigeria. Currently Mauritius is negotiating DTAs with Algeria, Burkina Faso, Egypt, Gabon, Ghana, Malawi and Tanzania. Unlike Mauritius’ DTA with Uganda and Nigeria, for example, which have specific provisions for withholding tax for management/technical services fees, Kenya failed to negotiate any such provisions. 

In a related development, the Government of Kenya has signed an equally harmful Double Tax Agreement with United Arab Emirates and Qatar – both of which are tax havens – in which Kenya further deems its right to tax as unnecessary in a bid to attract investment from these two countries. These agreements will deepen Kenya’s current cash crunch by allowing the further erosion of the country’s tax base. – END.

ABOUT TJN-A: Tax Justice Network-Africa (TJN-A) is a Pan-African initiative and a member of the Global Alliance for Tax Justice. It is a network of 29 members in 16 African countries. TJN-A collaborates closely with these member organisations in tax justice 3 advocacy at the national and regional levels. TJN-A seeks to promote socially just and progressive taxation systems in Africa, advocating for pro-poor tax policies and the strengthening of tax systems to promote domestic resource mobilisation. TJN-A aims to challenge harmful tax policies and practices that favour the wealthy and aggravate and perpetuate inequality. For further enquiries, please email Kwesi Obeng at kobeng@taxjusticeafrica.net (+254 726 804 400) and/or Michelle Mbuthia at mmbuthia@taxjusticeafrica.net (+254 724 994 796).

Tanzania Decides: “Which Constituency is true? is it Uzini or Chwaka!

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Press Statement: Dear Ugandan voter and citizen you have the right to know what the Government in Power does with your hard earned Tax Money (22.10.2015)

Malcom Matsiko

Ugandans should be bold to ask tough questions. The committee in parliament on public accounts committe should come more often to account or expose the flaws in spending public money.

I would like President Yoweri Kaguta Museveni and the presidency department to account to the tax payers of this country the money he has spent in on foreign trips or travel since he become a head of state in 1986.

I recently approached protocal office at the Ugandan parliament with the intention to meet the president in person and put point blank the reasons I will never support him in this country. Among the issues our team wanted him to respond on was how much does he spend on frequent trips outside the country?

I was told I can’t meet him because the head of state is booked from now to next year May for NRM party activities and trips around the globe.

I was frustrated and am still with the burning issues we had prepared to deliberate on.

Atleast in the last 30 days , the president was in Khartoum Sudan, was in Kenya Nairobi, was in Rome Italy, He was in New York ,Algeria and I think other countries.

The president’s handlers should avail all the details on these trips sponsored by the Ugandan citizen and tax payers.

I guess the figures are exceedingly huge whereas civil servants and pensioners are not paid their little money, salaries/wages since July todate.

The children in Northern Uganda dieing because they can’t have a plate of food to eat in 24 hours if not at the border with Tanzania in Rakai district there are tens and hundreds reported dead because of lack of food and water. Many of these dieing are mostly refugees that were expelled by the government of Tanzania a few years ago and were allowed into Ugandan territory hurriedly without any prior consultations with primary stakeholders.

The prime minister’s office cut off supplying the refugee camp with food and water putting the lives of human beings in that camp at stake.

It was reported that men throw themselves in the nearby river to die instead of helplessly watching their loved ones starve to death.

The other day a couple of people called us saying we are not patritic because we referred to Mr. Yoweri Museveni the President of Uganda , his dim lieutenants and pals in government like Anite Evelyn, Kenneth Omona, Omondo Omondo, Namara , Kibuule , Hon.Ogwang and many others young or old government advisors as highly decorated opportunists Uganda has ever produced since time immomerial.

What justification can the whole band of “Tubonge Naawe” give to call for the commedians in luganda the”dikulas” of this country like Bebe Cool, Jose Chameleon , Juliana Kanyomozi and the entire crew of artistes that feasted with Mr. Museveni in Munyonyo luxury hotel last week wheras hundred of population starving in country supposed to be a basket of Africa???deaths of people within our borders due to lack of a mere plate of food and a mere glass of water to drink? Yet they gladly met to con Mr. Museveni under the auspice of NRM lady Anite Evelyn a minister in the current insensitive , elitest , lukewarm regime.

Uganda needs a third liberation, this time around by us Ugandans not foreigners like in the case of 1978/79 and 1981-1986 bush war that saw Rwandan commanders like Late Fred Rwigyema , Beingana, Bunyenyenzi, Katureebe , Kalegyeya and Gen. Kagame fighting and handing over power to rebel leader Yoweri Museveni. In 1979, unsung Tanzanian heroes liberated this country and handedover power to Ugandan renegades Yoweri Museveni inclusive.

So for one to really overstate that Yoweri Museveni is the father of this country, the liberator, the saviour and etc, like Anite Evelyn misleads the un informed Ugandans that is to be a pathetic and celebrated liar in modern times. The man was in sweden eating sauges when kampala fell and late Dr.Obote was overthrown by his very own solidiers , the Okellos and Milton ran to exile in to Zambia. The solidiers were later fooled by late Rwigyema led group and Salim Saleh to lose kampala to the NRA where Museveni outsmarted the NRM political wing and was sworn in as the junta leader of 1986. By now you can perfectly and orrectly understand why we said that Museveni is a highly decorated opportunist in Uganda.

We need the figures to see how much he spends on foreign presidential visits begging other countries to grant expensive loans to this nation since he become president and compare huge with the thorny challenges this country is bedevilled with .

Written by Presidential aspirant Dan (Malcom) Matsiko for the NFT (New Form for Thinking) and Independent Candidate in the coming Presidential Election and General Election in 2016 in Uganda.

EALS/UG/10/15 – Re: Call on Your Excellency to Reign in State Sanctioned Police Brutality that is stiffling the enjoyment of Democratic Rights and Freedoms in Uganda (22.10.2015)

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Good-Deeds list of 2015: A Global report of the East African Countries

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This here is to prove what I have found in this report. There would be more meat to the bone if it wasn’t just from one source. But is still worth looking at and from the perspective of the donors, also who the recipients are and the size of the monies. I will take the perspective and look at directly how this affect the East African Countries. Some of the numbers aren’t surprising to those who have followed it. More the amount and changes that has been. Essentially that so many of the countries have been in the top 20 of countries receiving Humanitarian Assistance. That should be a worrying sign of the leadership. The good news for the matter in this case is that Tanzania is nearly out of it all; Burundi stopped being in the top 20 after 2008, also that Uganda went out of the list since 2010. But take a look and see if you catch some wisdom!

Humanitarian assistance is this:
“Humanitarian action is designed to save lives, alleviate suffering and maintain
and protect human dignity during and in the aftermath of emergencies”
(…)
“4 Principles:
• “humanity – saving human lives and alleviating suffering wherever it is found
• impartiality – acting solely on the basis of need, without discrimination between or within affected populations
• neutrality – acting without favouring any side in an armed conflict
or other dispute
• independence – ensuring autonomy of humanitarian objectives from political, economic, military or other objectives” (GHA, P: 20).

UN-Coordinated Appeals:
“The UN-coordinated appeals represent the largest collective request for international humanitarian assistance” (…)”The UN-coordinated appeals are based on the needs assessed and responses planned by a group of UN agencies and NGOs in specific countries” (GHA, P: 22).

Where are the money coming from:
“The group of 20 largest government donors of international humanitarian assistance in 2014 was largely the same as in previous years, and the US continued to provide the largest sums. However, Saudi Arabia and the United Arab Emirates joined the ten largest and 20 largest donors respectively. Driven by the conflicts in the region, total contributions from Middle Eastern donors increased by 120% from 2013” (GHA, P: 29).

Government donors:
“Government donors gave a record amount of international humanitarian assistance in 2013, but in 2014 they gave even more – reaching a new high of US$18.7 billion. This was up by nearly a quarter (24%) from the US$15.1 billion given in 2013 and was the largest rise in volume in the past 15 years” (GHA, P: 30).

Largest recipients of international humanitarian assistance, 2013:
“Five of the ten largest recipients were in sub-Saharan Africa – Sudan, South Sudan, Somalia, Ethiopia and Democratic Republic of Congo (DRC) – and these received a combined total of US$2.8 billion, 13% of international humanitarian response” (GHA. P: 52).

Country by County facts for the East African Countries:
This is the countries on the listed as the ones getting the most Humanitarian Assistance from 2004 – 2013. In that period the South Sudan country got 2% which is combined $2Bn. Uganda got also 2% which is combined $1,6Bn. Ethiopia got 6% which is combined $5,9Bn. Somalia got also 4% which is combined $4,7Bn. Democratic Republic of Congo got also 4% which is combined $4,6bn. Kenya got also 3% which is combined $3Bn (GHA, P: 53).

From the Top Country recipients from 2004 – 2013:

Country/Year 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Burundi 10 – $176M 14 – $182M 14 – $162M 18 – $177M
Democratic Republic of Congo 9 – $331M 6 – $472M 3 – $451M 6 – $573M 6 – $623M 7 – $501M 12 – $449M 8 – $472M 10 – $449M
Ethiopia 4 – $481M 5 – $709M 9 -$383M 7 – $334M 2 – $924M 3 – $747M 4 – $685M 5 – $693M 6 – $488M 8 – $457M
Kenya 19 – $100M 11 – $273M 14 – $208M 11 – $327M 9 – $426M 8 – $305M 8 – $538M 11 – $407M 14 – $314M
Tanzania
South Sudan 10 – $495M 1 – $875M 4 – $664M
Somalia 11 – $174M 11 – $213M 10 – $349M 8 – $299M 5 – $646M 7 – $611M 10 – $256M 2 – $1,073M 4 – $589M 7 – $458M
Uganda 9 – $183M 13 – $197M 12 – $249M 12 – $248M 13 – $257M 16 – $167M

(Source: Development Initiatives based on OECD, DAC, UN, OCHA FTS, UN CERF, IMF, WED and UN SCEB data).
– The first number is the actual place on the table because this is the ones that was a part of the 1-20.
– The amount of money is US Dollars in Millions.

Some information about the different Countries:
Democratic Republic of Congo:
6, 8 Million people affected including refugees (GHA, P: 12).
4, 7 Million people targeted in UN-Coordinated Appeals. (GHA, P: 13).
The percentage of the UN Appeals that was met in 2014 was totally 46% /GHA, P: 23).

The Country got in total $449M, which was the top ninth country in the world, of the pledges it got 71% and underfunded 29% this was in the year of 2013 (GHA, P: 51).

The things they have mentioned the forgotten crisis the Humanitarian assistance there has no more than 3 Incidents on the FCA index since 2004. This incidents are caused by the troubles of LRA (GHA, P: 64).

Ethiopia:
The Country got in total $449M, which was the top ten country in the world. This was in the year of 2012-2013 (GHA, P: 51).

Kenya:
“Periodic incidences of inter-communal violence combined with climatic shocks and food and livelihood insecurity have left many people vulnerable and in need of assistance in Kenya over recent years. In 2013 approximately 1.7 million people were estimated to be in need of humanitarian assistance, compared with over 4.4 million people in 2012” (GHA, P: 55).

The country received directly support from Saudi Arabia $ 43M in 2014, which is 6 % of the total allocations from the Arabic country (GHA, P: 35).

The things they have mentioned the forgotten crisis the Humanitarian assistance after result of the refugee crisis from Somalia, there has more than 1 Incident on the FCA index since 2004 (GHA, P: 64).

Tanzania:
The things they have mentioned the forgotten crisis the Humanitarian assistance there has no more than 1 Incident on the FCA index since 2004 (GHA, P: 64).

South Sudan:
“Insecurity and displacement has left millions of people in South Sudan vulnerable and in need of assistance. Approximately 4.4 million people were estimated to be in need of humanitarian assistance in 2013. This compares to the estimated 4.6 million people requiring assistance in the country in 2012″ (GHA, P: 55).

7, 8 Million people affected including refugees.
64% of the people in the country affected (GHA, P: 12).
4, 5 Million people targeted in UN-Coordinated Appeals.
40% of population targeted in UN-Coordinated Appeals (GHA, P: 13).
South Sudan Refugee Response Plans (RRP) UN-Coordinated Appeals in 2014 was 54 % met. The main South Sudan Appeal in 2014 was 90% met (GHA, P: 23).

The Country got in total $644M, which was the top third country in the world, of the pledges it got 72% and underfunded 28% this was in the year of 2013 (GHA, P: 50).

Somalia:
“Somalia has suffered over two decades of conflict, displacement, poor basic service provision and severe food insecurity. In 2013 around 3.2 million people were estimated to be in need of humanitarian assistance. This compares to 2012 when, at the beginning of the year, an estimated 3.8 million people were in need of humanitarian response” (GHA, P: 55).

19 % of population targeted in UN-Coordinated Appeals (GHA, P: 13).
The country received directly support from Saudi Arabia $ 1M in 2013, which is 0, 4% of the total allocations from the Arabic country (GHA, P: 35).

The Country got in total $458M, which was the top eight country in the world, of the pledges it got 51% and underfunded 49% this was in the year of 2012-2013 (GHA, P: 51).

The things they have mentioned the forgotten crisis the Humanitarian assistance there has no more than 2 Incidents on the FCA index since 2004 (GHA, P: 64).

Uganda:
The things they have mentioned the forgotten crisis the Humanitarian assistance after result of the war against the LRA, there has more than 3 Incidents on the FCA index since 2004 (GHA, P: 64).

The numbers here are set for certain amount of time and most for the biggest receivers and donors. So what other has gotten is not in the report. But knowing the areas and situation there been more money donated then I have seen here. This money and contexts are set for one set of people and their struggles.

The numbers will be different for 2015 because of the new progressions that has been in the countries. The results and share difference is not only with the more Internal Displaced People (IDPs), but also with refugees from their neighboring countries. This with the continuation of fighting internally in the South Sudan has led into people fleeing to Kenya and Uganda. We will hope that the new peace agreement will lead again to more stability in South Sudan. As there has been people fleeing from LRA in DRC as they still have ability to come down there from C.A.R. The Burundian sham election and third term for Pierre Nkurunziza will make more humanitarian assistance in Tanzania and Uganda. This will lead to more pledges in the next year, even if there might be cuts of direct Governmental donor funds directly to Burundi as reactions to the situation which is now in place. So because of this I am sure the numbers and statistics will be different.

Still, it’s still healthy to see what it was in this report. And what it really says about the countries. That you usually wouldn’t read in the paper. That’s why I picked this numbers and quotes in, so you get something inspiring and seeing how things are changing. All amounts of monies are in US Dollars. Just so you know! Peace.

Reference:
Global Humanitarian Assistance Report 2015

11th Northern Corridor Integration Projects Summit – Joint Communique (17.10.2015)

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Press Release: Uganda and Tanzania sign Crude Oil Export Pipeline Framework (12.10.2015)

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Press Release: Africa Faces the Challenge of Sustaining Growth amid Weak Global Conditions (05.10.2015)

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WASHINGTON, October 5, 2015— Sub-Saharan Africa countries are continuing to grow, albeit at a slower pace, due to a more challenging economic environment. Growth will slow in 2015 to 3.7 percent from 4.6 percent in 2014, reaching the lowest growth rate since 2009, according to new World Bank projections.

These latest figures are outlined in the World Bank’s new Africa’s Pulse, the twice-yearly analysis of economic trends and the latest data on the continent. The 2015 forecast remains below the robust 6.5 percent growth in GDP which the region sustained in 2003-2008, and drags below the 4.5 percent growth following the global financial crisis in 2009-2014. Overall, growth in the region is projected to pick up to 4.4 percent in 2016, and further strengthen to 4.8 percent in 2017.

Sharp drops in the price of oil and other commodities have brought on the recent weakness in growth. Other external factors such as China’s economic slowdown and tightening global financial conditions weigh on Africa’s economic performance, according to Africa’s Pulse. Compounding these factors, bottlenecks in supplying electricity in many African countries hampered economic growth in 2015.

“The end of the commodity super-cycle poses an opportunity for African countries to reinvigorate their reform efforts and thereby transform their economies and diversify sources of growth. Implementing the right policies to boost agricultural productivity, and reduce electricity costs while expanding access, will improve competitiveness and support the growth of light manufacturing,” says Makhtar Diop, World Bank Vice President for Africa.

According to Africa’s Pulse, several countries are continuing to post robust growth. Cote d’Ivoire, Ethiopia, Mozambique, Rwanda and Tanzania are expected to sustain growth at around 7 percent or more per year in 2015-17, spurred by investments in energy and transport, consumer spending and investment in the natural resources sector.

Gains in Poverty Reduction

Africa’s Pulse found that progress in reducing income poverty in Sub-Saharan Africa has been occurring faster than previously thought. According to World Bank estimates poverty in Africa declined from 56 percent in 1990 to 43 percent in 2012. At the same time, Africa’s population saw progress in all dimensions of well-being, particularly in health (maternal mortality, under-5 mortality) and primary school enrollment, where the gender gap shrank.

Yet African countries continue to face a stubbornly high birth rate, which has limited the impact of the past two decades of sustained economic growth on reducing the overall number of poor. Countries still lag behind those in other regions in making progress on the Millennium Development Goals (MDG). For example, Africa will not meet the MDG of halving the share of population living in poverty between 1990 and 2015.

Weaker Commodity Prices

Sub-Saharan Africa’s rich natural resources have made it a net exporter of fuel, minerals and metals, and agricultural commodities. These commodities account for nearly three-fourths of the region’s goods exports. Robust supplies and lower global demand have accounted for the decline of commodity prices across the board. For instance, the drop in the prices of natural gas, iron ore, and coffee exceeded 25 percent since June 2014, according to the report.

Africa’s Pulse notes that overall decline in growth in the region is nuanced and the factors hampering growth vary among countries. In the region’s commodity exporters—especially oil-producers such as Angola, Republic of Congo, Equatorial Guinea, and Nigeria, as well as producers of minerals and metals such as Botswana and Mauritania, the drop in prices is negatively affecting growth. In Ghana, South Africa, and Zambia, domestic factors such as electricity supply constraints are further stemming growth. In Burundi and South Sudan threats from political instability and social tensions are taking an economic and social toll.

Fiscal deficits across the region are now larger than they were at the onset of the global financial crisis, the report finds. Rising wage bills and lower revenues, especially among oil-producers, led to a widening of fiscal deficits. In some countries, the deficit was driven by large infrastructure expenditures. Reflecting the widening fiscal deficits in the region, government debt continued to rise in many countries. While debt-to-GDP ratios appear to be manageable in most countries, a few countries are seeing a worrisome jump in this ratio.

The dramatic, ongoing drop in commodity prices has put pressure on rising fiscal deficits, adding to the challenge in countries with depleted policy buffers,” says Punam Chuhan-Pole, Acting Chief Economist, World Bank Africa and the report’s author. “To withstand new shocks, governments in the region should improve the efficiency of public expenditures, such as prioritizing key investments, and strengthen tax administration to create fiscal space in their budgets.”

Moving Forward

Growth in Sub-Saharan Africa will be repeatedly tested as new shocks occur in the global economic environment, underscoring the need for Governments to embark on structural reforms to alleviate domestic impediments to growth, the report notes. Investments in new energy capacity, attention to drought and its effects on hydropower, reform of state-owned distribution companies, and renewed focus on encouraging private investment will help build resiliency in the power sector. Governments can boost revenues through taxes and improved tax compliance. Complementing these efforts, governments can improve the efficiency of public expenditures to create fiscal space in their budget.

Press Release: A quarter of a million homes now on M-KOPA in Kenya, Tanzania and Uganda (23.09.2015)

M-Kopa

23rd September 2015 Nairobi, Kenya… M-KOPA Solar, the world’s leading ‘pay-as-you-go’ energy provider to off grid homes, proudly announced reaching 250,000 homes across Kenya, Uganda and Tanzania today.

Alex Kivuva Nduati became M-KOPA’s 250,000th customer when he purchased an M-KOPA III solar home system at the M-KOPA Shop in Athi River: “I am so excited to take home a solar system that will give me much more value than kerosene, and with M-KOPA’s daily payment plan it is affordable for me,’ said Alex. “I purchased this system for my rural home where there is no access to electricity. M-KOPA will save me a lot of money to use for school fees for my two children and in my business.”

Jesse Moore, Managing Director and Co-Founder, M-KOPA Solar, says, “Last September we celebrated 100,000 customers, and a year later we are already at a quarter-million. With hundreds of great customers like Alex coming on board every day, we are helping East Africa leapfrog over the grid to enjoy cheaper, cleaner, and more reliable solar power.”

Kenya is emerging as a hotspot for off-grid solar power.  A 2014 study by M-KOPA Solar and InterMedia shows that 14% of the surveyed population use solar as their primary lighting and charging source. M-KOPA is one of the fastest growing power providers in the region, connecting solar to over 500 new homes each day. The battery-powered 8W home system has three lights, a phone-charging facility and a chargeable radio.

The savings generated by using off grid solar over kerosene are substantial for individual households and the broader East African economy. Each M-KOPA Solar home is calculated to save US$750, compared to using kerosene over a four-year period. This means that the combined projected savings by the 250,000 households using M-KOPA Solar is US$187 Million.

Nairobi-headquartered, M-KOPA Solar now has a network of over 1,500 direct sales agents and 100 customer service centres across Kenya, Uganda and Tanzania.

Press Release: “ENGIE Rassembleurs d’Energies”, the ENIGIE Group intiative supporting sustainable energy access continues its work with its 13th investment, in support of PEG Ghana (22.09.2015)

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