Emmanuel Macron-President of France

Solar wave: Turning to solar energy projects to further renewable goals

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  In early 2019 contracts could be signed for a 1-GW solar photovoltaic (PV) power plant in Kuwait, marking a significant step forward on emir of Kuwait Sheikh Sabah Al Ahmad Al Jaber Al Sabah’s pledge to generate 15% of the country’s energy needs from clean, renewable sources by 2030. While the oil-producing country may wish to play its part in achieving global warming targets, advocates of renewable energy say solar schemes can also help with the export and refining of fossil fuels by providing low-cost energy to oilfields. Dibdibah In line with the government’s renewable energy goals, completion of the 1-GW Al Dibdibah solar

REIT on time: Real estate investment trusts (REITs)

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The STANLIB Fahari I-REIT (FAHR) is the only listed REIT on the Nairobi Securities Exchange (NSE). FAHR is an income REIT (I-REIT), which is a type of REIT that owns and manages income-generating real estate for the benefit of its shareholders. I-REITs are required to distribute at least 80% of their income as dividends. With the listing of FAHR, Kenya became the fourth African country to have a listed REIT, after South Africa, Ghana and Nigeria. South Africa has the largest number of listed REITs, at 31 with a market capitalisation of R422bn ($32.9m) as of November 2017. The other countries have between one and

Gitahi Gachahi-CEO-EY Eastern Africa

Duty calls: Efforts to boost revenue growth focus on the tax framework

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Averaging 5% per year over the past decade, according to the most recent figures from the IMF, Kenya’s economic growth has been impressive. Revenue growth, however, has followed a more volatile trajectory and has often failed to meet government projections. The Kenya Revenue Authority (KRA) collected some KSh656.9bn ($6.4bn) in tax revenue in the second half of 2017, a figure which was nearly 7% under target, according to the National Treasury’s economic and fiscal report. In terms of tax revenue as a share of GDP, Kenya performs poorly compared to a number of middle-income peers: after hitting a recent high of 16.8% in FY 2013/14,

Sheikh Ahmad Duaij Jaber Al Sabah-Chairman-Commercial Bank of Kuwait

No place like home: Increased availability of low-cost housing, coupled with healthy credit growth, is set to support the market over the medium term

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  Bridging Kenya’s affordable housing deficit was one commitment made by President Uhuru Kenyatta when he announced his Big Four agenda in 2017. Specifically, a goal was laid out to add up to 500,000 affordable housing units to the nation’s stocks during this second term in office, which ends in mid-2022. The policy could prove to be a key driver of change, according to Palkesh Shah, director of local real estate firm Chigwell Holdings. “The new plan from the federal government to build such a

Dean Kern-Middle East Tax and Legal Services Leader-PwC

One for the team: Market players advocate lower transaction costs to boost trading levels and, by extension, liquidity on the bourse

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  The Trinidad and Tobago Stock Exchange (TTSE), established in 1981 under the Securities Industry Act, is the centre of capital market activity in the twin-island nation. The Ministry of Finance overhauled regulations governing the TTSE in the mid-1990s by composing the Securities Industry Act of 1995, which created the Securities and Exchange Commission. The law was then revised a second time to introduce the Securities Act of 2012, the current market rulebook. The TTSE lists many of the country’s most important firms, such as

Nhon Luc Ly-CEO-AIA Myanmar; Son Nguyen-Country President-Chubb Life Insurance Myanmar; Daw Zarchi Tin-CEO

Seeking solutions: New legislation increases police powers to fight gang crime

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  Despite concerted efforts by the government to tackle the issue, criminal activity remains a major topic of concern in Trinidad and Tobago. Incidents of violent crime have risen steadily over the past 20 years, with 101 murders in 1997, 395 in 2007 and 494 in 2017. Furthermore, in the first nine months of 2018 alone, 383 killings were reported. The seizure of illegal firearms has yet to reverse the trend – 1026 such items were seized in 2017, a 32% increase on the 765 taken in 2016. A number of laws have been passed to expand the powers of law enforcement in dealing with

George Richani-CEO-Al Ahli Bank of Kuwait

Foreign interests: Infrastructure is increasingly being developed by Chinese firms

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China’s Belt and Road Initiative (BRI) is becoming one of the main drivers of construction activity in Papua New Guinea. Local media reported that China has overtaken Australia as the largest donor to the South Pacific region, pledging $4bn in 2017; however, the nation’s growing presence in the region has also raised some concerns. Mixed Benefits Although a number of large-scale infrastructure projects have commenced as a result of the BRI, the majority of these have been awarded to Chinese companies, and contractors often bring in their own workers rather than employing PNG’s local workforce. These factors are creating increasingly high levels of competition for

Nhon Luc Ly-CEO-AIA Myanmar; Son Nguyen-Country President-Chubb Life Insurance Myanmar; Daw Zarchi Tin-CEO

Material change: Demand for locally produced building supplies continues to rise

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In the absence of a well-developed local manufacturing base for building materials, Papua New Guinea’s construction sector has largely depended on imported materials over the years, which has translated into high costs and slow development. However, recent government policy changes geared towards reducing imports of capital goods and encouraging self-sufficiency could be a boon for domestic producers, which should help to lower operating costs for the sector over time. Despite the overall lack of capacity, there are some established segments, including water tanks and steel products. Notably, the country has access to significant supplies of lumber, and local cement production is considered strong. The PNG

Pham Hong Hai-CEO-HSBC Vietnam

Big business: The country’s largest lender is expanding operations across the Asia-Pacific region

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  Although commercial banking assets and business lending dropped in 2017 as a result of macroeconomic headwinds, the sector has performed well in recent years. Notably, Bank of South Pacific (BSP), which is PNG’s biggest lender, recorded robust asset, lending, and profit growth, with returns on equity rising to a new highs in 2017. At the same time, its dominance in the sector has led to commentary that the bank is overly reliant on government lending, with a domestically concentrated lending portfolio and low levels of share liquidity hindering investment and expansion. (johnsbrotherssecurity.com) Nevertheless, BSP’s diversification strategy has already seen it acquire overseas assets in

Pham Hong Hai-CEO-HSBC Vietnam

Reform and renew: Greater energy independence through new strategies and a boost in renewables forms the backbone of government policy

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Reducing reliance on energy imports and addressing the shortage of power is major goal for Papua New Guinea. To this end, the National Executive Council approved a draft of the PNG Natural Gas Policy White Paper in April 2018, which seeks to better manage the growing oil and gas industry, while deriving more benefits on the domestic front. In line with these plans, renewable energy will also form part of the overarching plan to address local power shortages, with a number of hydropower and biomass