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Showing posts with the label Resilience.

Know What Your Money Can Earn: Compare Returns, Income, Growth and Maturity Before You Invest.

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  Know What Your Money Can Earn: Compare Returns, Income, Growth and Maturity Before You Invest. Investment Should Begin with the Result, Not the Product The language of investing often begins in the wrong place. The conversation quickly moves to Treasury bonds, corporate bonds, shares, unit trusts, commodities, deposits or infrastructure bonds, as though identifying the product itself is the investment decision. But the more important question comes first: What should this money achieve? Money intended to generate regular income should not necessarily be managed in the same way as money being accumulated for long-term growth, just as capital required on a known future date should not automatically be committed to an investment whose value may fluctuate significantly or whose maturity extends beyond the date it is needed. The objective determines the appropriate direction. A sound investment decision therefore starts with the desired financial outcome and works backwards to...

Kenya's Budget Deficit Reduction Plans: Steering Towards Fiscal Sustainability.

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  Kenya stands at a critical juncture in its economic journey, with a growing need to balance fiscal responsibility against pressing developmental goals. The government’s recent announcement to reduce the budget deficit to 3.8% of GDP by the 2025/26 fiscal year signals a resolute commitment to addressing the dual challenges of mounting debt service obligations and sluggish revenue growth. This ambitious target is more than a fiscal strategy; it is a broader commitment to economic resilience, sustainable growth, and the long-term prosperity of the nation. Reducing the budget deficit is no small feat. It requires coordinated efforts across various sectors, deliberate policy shifts, and the political will to make difficult but necessary decisions. At its core, the plan reflects a recognition that Kenya’s fiscal health is pivotal to its economic future. While the challenges are complex and multifaceted, the solutions present an opportunity to chart a more sustainable course. Understan...