To understand China economically read 'How China works' by Xiaohian Lan and 'On China' by Henry Kissinger on its political & military doctrine/philosophy.
I’ve seen some replies under my tweet that highlighted the Aliko Dangote refinery in Lamu as a white elephant
“Kenya used to have a refinery,” they say.
That does not defeat my point. It confirms it.
We had a refinery in Mombasa. Do you know why it collapsed? It collapsed in 2013 because imported petrol and diesel from Saudi, Oman, and India were cheaper than what Kenya was producing. Kenyans wanted cheaper oil, and so Oil companies followed the cheaper product. The refinery died.
That problem has not gone away.
Lamu is planned for 700,000 barrels a day. Kenya’s own oil is starting at about 20,000 barrels a day. That is not enough.
South Sudan is unreliable, they already use Sudan refineries. So the crude will still be imported.
Now follow the cost:
Ship crude → dock it → refine it here, then sell it at prices cheaper than Saudi Arabia.
By then, the finished fuel from the Gulf is already cheaper.
That is why the old refinery failed. Those countries will not stop selling refined oil to Africa. We will still go and buy it.
So what happens?
The new plant runs at a loss. Taxpayers cover it. A few people make money from the contracts. Kenyans are left paying.
That is a white elephant.
If I am wrong, answer two questions only:
Where are the 700,000 barrels of crude every day?
How will the fuel from refined imported crude be cheaper than imported refined fuel after shipping so that we can compete with Saudi Arabia?
And Ooooh, some people will say India & China do the same. True, but have you considered checking the distance between India or china with countries like Iran, Oman, Kuwait etc vs those countries and Kenya ?
Kenya will probably consume 12 million tonnes this year, as this 1 million tonnes figure is consumption for only July. For perspective, that's more than Rwanda consumes in a year and about ⅕ Uganda's annual consumption of 4.5 to 5 million tonnes.
TZ does 9.4 million tonnes p.a
substituted expensive foreign suppliers. So I'm happy seeing this refinery push, companies like Koda venturing into ceramics, smart meters localization efforts etc as baby steps to catapult us to manufacturing advanced stuff.
China in it's relations with Africa hu cultivate an image of it being a steadfast supporter of multilateral trading system, source of global stability, massive market for African exports given it even zeroed tarrifs of exports from the continent. Shida ni most of it's imports
huwa from agricultural & extractive sectors like ovacadoes, oil, lithium, gold, ores(iron,copper etc) etc while we import electronics, automobiles, industrial machinery etc. Huwa na champion for import substitution even if China exports have improved our standards of living and
It is funny how Pope Leo has all the influence the Christian Nationalists covet, yet it is not through the Nietzschean will to power they employ, but through the gentle and loving proclamation of the gospel.
Even when talking to people with technical backgrounds an extremely common misconception I encounter is that a sonic boom is a singular, instantaneous event that occurs when a vehicle exceeds Mach 1
In reality anything moving faster than the speed of sound creates more of a "boom carpet" that follows like a shadow anywhere it travels. As long as you are moving at supersonic speed, you're creating a sonic boom that will be heard below...
@MaMatigari@DavidNdii Steel, cement, labour, jua kali doors, window frames, paint and tiles are made locally (Keda ceramics). Whatever we are importing is aperfect opportunity to do import substitution and localize the industry now that we scale and demand.
@mabrukix We are building tiles sana sana twyford branded ones, since we make plastic toilets from kenpoly but import ceramic ones, naomba we set a local manufacturing to this also
Big government and high taxes: stagnation and higher debt.
How statism destroyed a rich country with great human and entrepreneur capital.
France’s fiscal reckoning is a warning, not a model.
https://t.co/5JPy6DGyXw
Quickmart is coming to the NSE, but retail investors need to look past the hype
This is a Secondary Offer for Sale, not a primary IPO.
Qmart gets KSH 0 from this transaction. 100% of the proceeds flow straight to Sokoni Retail as PE exit liquidity.
Last tweet is a must read 1/5
Here's our take on the ONS's new productivity estimates.
They don't change the unavoidable reality of UK economic stagnation, but they do challenge the consensus on its causes 🧵👇
Ruto is most likely getting his second term on the strength of this, plus his affordable (critics say avoidable) housing program (AHP), massive investment in road and rail infrastructure, the Dangote thingy at Lamu, JKIA, the Rironi-Mau Summit and Rironi-Mai Mahiu-Naivasha
@monster0x0000@Noble_Pleb Huwa nauliza chaps sana sana old folks whether wantam or tutam wananiambia they haven't decided yet, hizi projects zinafanyika will change a lot of people election decision. Siwezi bank on herd mentality of the public which might change anytime.