Prof. M.H.Khalil Timamy retweeted
I congratulate H.E President @WilliamsRut, H.E @AUC_MoussaFaki Chairperson of @_AfricanUnion,& Hon. @HonTuya & members of team -Government of #Kenya #AUC, #Partners for organising & hosting a successful @AfClimateSummit. My profound gratitude to all #stakeholders & participants
It was a scintillating performance by President Ruto in Paris. Debt rescheduling, relief, debt forgiveness, and restructuring require imagination. The sums available could then be ploughed back into the economy, perhaps guided by the 20:20 compact of the Copenhagen Summit.
The Kenyan economy is going through the pangs of adjustment forced on it by the economic recklessness and executive lawlessness of the previous regime. The debt overhang emanated from its borrowing binge and gross economic mismanagement. The POCKETRIOTS did us in.
In pure Kantian terms, Ruto should proceed on the basis of the categorical imperative. Shenanigans should have no latitude to cause mischief....this freedom and liberation from political and economic misgovernance was hard won. It was a battle between patriots and pocketriots.
The former ruling elites forged rent-seeking restrictive business practices through monopolization of certain key industries, amassed ill-gotten wealth through misgovernance, evaded paying taxes, sucking the national coffers dry. When the law is invoked, they cry revenge mission.
1. President Ruto will never embark on a revenge mission. The apprehensive privileged political elites have shortchanged Kenyans by illegally cornering large tracts of land and public mineral resources, massively robbing them of their tax revenues. They are fearful of the law.
The structural challenge facing the energy sectors of Africa is a phenomenon called technological inertia, where procurement systems cede too much control to overseas contractors, from the pre-investment stages to commissioning. Hence very high foreign content ratios of projects.
IPPs and PPPs are meritreciously and seductively packaged propositions. Political economists and economic historians familiar with such devices tend to examine their developmental value: do they foster forward and backward linkages; are they cost-effective in service delivery?
IPPs and PPPs operate on the assumption that what gocernments need most is SERVICE. Really? Is it just the electricity it wants, for example, or also ensure projects have high local content ratios, cost-effective injections, significant domestic linkages from preinvestment stage?
Both the WB and IMF were instrumental in advancing IPPs and PPPs. The latter invariably had a strong external bias, in addition to being highly modularized. No wonder their foreign content ratios are very high. They end up being very costly propositions for any country.
Africa's S&T sector not delivering. Technology policies have failed to dynamize the economies. Local capabilities are constrained. Technological targets hardly identified. Hence high foreign content ratios of investment projects. S&T sector restructuring sorely needed.
Why were IPPs and PPPs invented? To promote the private sector, not the local one, but the overseas contractors who had cast covetous eyes on huge government budgets. Structurally, these schemes deliberately avoid utilizing local capabilities. Hence their massive FX drain.
The last ten years witnessed a level of wastefulness driven largely by economic recklessness. Several IPP and PPP projects sucked resources out of the economy because too much control was ceded to overseas contractors, even when local players, in some cases, played a part.
For an MCA to refer to the KK leadership as cowards is breathtaking insolence! Taking preventatative measures is not cowardice. The Azimio (mis)leaders, with utterances to march mobs to state house to overthrow a legitimately constituted government, will face the law. Period.
Summoning howling mobs, inflaming their adverse passions, working them up to pour onto the streets and chaotically march to a hallowed security and protected zone, is a declaration to commit anarchical subversion. Azamio is playing unconstitutional tinderbox politics of mobocracy
President Ruto inherited a severly damaged economy, going by the gross excesses of the previous regime. The late Kibaki had a grace period of over two years before economic health was restored. Yet, Ruto's detractors expect results overnight. It is disingenuous on their part.
Mr Ndegwa should learn that leaders will always face challenges when starting from a low economic base. If he invokes the concept of entropy, he will realize that chunks of energy and throughput will be needed to revamp a battered economic regime. Foolhardy statements will not do
It is the height of legal naivette and verbal recklessness for Mr Ndegwa Njiru to say Kenya has no president. In economics, there is something called policy lag, where a policy instituted today will take time to generate effects. President Ruto inherited an economy in doldrums.
For Ogola's information, economics, a term that is Greek in origin, means managing the household. Food is a central component of household costs, and reflects itself as a cost of living. When calculating inflation, for instance, does the basket of goods leave out the food items?


