Someone jokingly said it will take only five critical forward thinking Kenyans to pay Chinese debt but with persons of Jimmy Kairu’s caliber this is realizable at once. It is no longer a joke but a moment seized and opportunity well utilized.
Looking at the many challenges facing Kenyans, Jimmy has opted out of the ever complaining young lot and has gone forth to secure the future of Kenyans and Africans at large.
Jimmy has developed a 10 year Marshall Plan dubbed; “VISION FOR A NEW KENYA”, for the Economic Transformation of Kenya. The plan is in line with some of the seventeen (17) UN Sustainable Development Goals (SDGs). These goals range from ending poverty in all its forms everywhere to strengthening the means of implementation and revitalizing the global partnership for sustainable development.
This VISION FOR A NEW KENYA is anchored on four pillars namely: Public Debt Settlement, Youth Empowerment, Infrastructure Development, Industrialization and Private Enterprise Development and birding the funding of 47 Devolved Governments based on their Specific CIDPs.
This economic transformation program aims at securing Private Funding to underwrite each of the pillars mentioned above, to the tune of 80 billions of euros per annum, all based on and backed by the gold standard.
When this program shall be fully loaded, and it has begun, the economic turnaround expected shall be progressively disruptive, but will grow and stabilise the host economies, for example Kenya.
Jimmy says he wants to see industries literally sprouting across Africa courtesy of our right thinking young generation. He adds that his zeal to see Kenya become the spring board of African industrialization and home to headquarters of majority of multinational enterprises operating in Africa is unmatched. He wants to create a million new millionaires and billionaires, through their own hard work and by supporting their productivity. He says we must become a net exporter and producer economy, not a consumer economy. The only way is an economic re-calibration.
In order to realize his vision, he created an online community known as “Mt. Kenya Development Movement (MKDM)”, which has attracted great minds with a keen grasp of the latest technologies, great leadership skills, and well connected enthusiastic individuals with capacity to turn all challenges to business opportunities. Representation in MKDM cuts across the board from both the private and public sectors, including current governors and senators.
Having galvanized the right human capital and manpower to drive real change, Jimmy has already reached out to global funds and last month landed a lucrative deal with U.S. Capital Private Bank E.T.O. (USCPB).
TEMIC ENERGY secured a Gold-Backed Medium Term Note valued in the equivalent of 1.15 Trillion Kenya Shillings, in Euros, from U.S. Capital Private Bank E.T.O. (USCPB), a tier-one Wealth Management and Private Financial Institution (S&P Triple-A-Rated). The initial €10,000,000,000 (Ten Billion Euros or 1.15 Trillion Kenya Shillings), Gold-backed Medium Term Note has been allocated for and funded by USCPB and is now in place, awaiting monetization (process of conversion into liquid FOREX currency funds).
Jimmy, who chairs Temic Energy Limited as well as MKDM, intends to have a keen focus on; Economic Transformation Programs, National Debt Restructuring & Recapitalization, Agribusiness & Blue Economy Enterprises, Critical Infrastructure Development, Venture Capital & Private Equity, Youth and Women Empowerment Programs, Industrialization & Trade, Devolved Government Funding, Oil & Gas among others.
The private equity and project funds will be available to Kenyan entities and further to all other Sub Saharan African countries, whose country profiles can be found on this Temic-powered website; http://therepublic.co.ke/SUB-SAHARAN%20AFRICA.html
An arrangement has been structured, where the proceeds of asset-backed monetization will create an economic development fund to the tune of an equivalent of 1.7 trillion Kenya Shillings, local currency, which is surely a game changer, as it will be ten times cheaper than the current local bank loan facilities. It has an interest rate of 1.43% p.a., payable within 25 Years. In addition the fund comes with favorable terms including a moratorium period of up-to three Years. Jimmy, however reiterated that projects to be funded will have to meet the strictest level of due diligence and compliance, before actual funding can be committed by his group.
USCPB also allocated TEMIC with a further €35,000,000 Euros (Thirty Five Million Euros or 4.025 Billion Kenya Shillings) for the immediate acquisition of a local commercial bank in Kenya, which USCPB will make its regional headquarters. Using this set up, the group will be able to provide asset-backed collaterals (credit-enhancement facilities) to other financial institutions, corporate entities, government as well as SMEs.
What does all these mean in real terms?
Foreign direct investment (FDI) is made into a business or a sector by an individual or a company from another country. It is different from portfolio investment, which is made more indirectly into another country’s economy by using financial instruments, such as bonds and stocks.
There are various levels and forms of foreign direct investment, depending on the type of companies involved and the reasons for investment. A foreign direct investor might purchase a company in the target country by means of a merger or acquisition, setting up a new venture or expanding the operations of an existing one. Other forms of FDI include the acquisition of shares in an associated enterprise, the incorporation of a wholly owned company or subsidiary and participation in an equity joint venture across international boundaries.
Advantages of Foreign Direct Investment
1. Economic Development Stimulation.
Foreign direct investment can stimulate the target country’s economic development, creating a more conducive environment for you as the investor and benefits for the local industry.
2. Easy International Trade.
Commonly, a country has its own import tariff, and this is one of the reasons why trading with it is quite difficult. Also, there are industries that usually require their presence in the international markets to ensure their sales and goals will be completely met. With FDI, all these will be made easier.
3. Employment and Economic Boost.
Foreign direct investment creates new jobs, as investors build new companies in the target country, create new opportunities. This leads to an increase in income and more buying power to the people, which in turn leads to an economic boost.
4. Development of Human Capital Resources.
One big advantage brought about by FDI is the development of human capital resources, which is also often understated as it is not immediately apparent. Human capital is the competence and knowledge of those able to perform labor, more known to us as the workforce. The attributes gained by training and sharing experience would increase the education and overall human capital of a country. Its resource is not a tangible asset that is owned by companies, but instead something that is on loan. With this in mind, a country with FDI can benefit greatly by developing its human resources while maintaining ownership.
5. Tax Incentives.
Parent enterprises would also provide foreign direct investment to get additional expertise, technology and products. As the foreign investor, you can receive tax incentives that will be highly useful in your selected field of business.
6. Resource Transfer.
Foreign direct investment will allow resource transfer and other exchanges of knowledge, where various countries are given access to new technologies and skills.
7. Reduced Disparity Between Revenues and Costs.
Foreign direct investment can reduce the disparity between revenues and costs. With such, countries will be able to make sure that production costs will be the same and can be sold easily.
8. Increased Productivity.
The facilities and equipment provided by foreign investors can increase a workforce’s productivity in the target country.
9. Increment in Income.
Another big advantage of foreign direct investment is the increase of the target country’s income. With more jobs and higher wages, the national income normally increases. As a result, economic growth is spurred. Take note that larger corporations would usually offer higher salary levels than what you would normally find in the target country, which can lead to increment in income