Browsing by Author "Kimani, Maina E."

Now showing 1 - 7 of 7
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    Determinants of Group Loans Uptake at The Youth Enterprise Development Fund
    (2015-10) Kilele, Andrew K.; Nduruhu, David; Kimani, Maina E.
    The Government of Kenya has established the Youth Enterprise Development Fund and other Government Funds to help reduce unemployment rate among the youth. Despite this effort by the government, the uptake of these funds remains low. The study intended to f ind out the determinants of group loans uptake at the Youth Enterprises Fund in Nakuru West Constituency. The accessible population was drawn from the registered youth groups in Nakuru West Constituency which are 520 in number. Primary data was collected by use of structured questionnaires. Data was analyzed using both descriptive statistics and inferential statistics. SPSS was used to process and analyze the data. According to the findings, lending procedures and policy was found to have the most significant effect on the group loan uptake while financial literacy training had the least effect on loan uptake. It was recommended that the management of the Youth Enterprise Development Fund should come up with appropriate means to reach and communicate to the youths; start up loan amount should be increased so should the loan repayment period; the management should also come up with suitable lending procedures and policy that are friendly to the youths and finally youths should be trained on financial literacy so as to increase group loans uptake at the Youth Enterprise Development Fund.
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    Effect of Government Regulations on Factors Hindering Financing of Small Scale Water Investments in Kenya
    (Jomo Kenyatta University of Agriculture and Technology, 2015) Kimani, Maina E.
    In Kenya, most water utilities have been publicly owned and managed. These utility firms have thus been getting financial support from the government in form of subsidies in addition to the revenue they generate internally. However there has been low level of investment in peri-urban areas by both public and private players creating an investment opportunity. Nevertheless this opportunity is not taken up by small scale water investors hence water scarcity. Many people in these areas do not have access to basic water. The general objective of the study was to determine the effect of government regulations on factors hindering financing of small scale water investments in Kenya. Specific objective of the study was to determine whether cost recovery, investor‘s perceived risk, access to capital and return on investments affect financing of small scale water investments in peri-urban areas in Nairobi Kenya. The study adopted cross-sectional survey research design. A two stage sampling technique was used to obtain a sample population of 150 Small Scale Water Service Providers (SSWPs). The study utilized self-administered semi-structured questionnaire and content analysis for collecting data. Structural Equation Modelling (SEM) and Moderated Multiple Regression (MMR) analysis was used to analyse the relationship between predictor variables and financing of small scale water investments. The findings of the study indicated that government regulation moderates the relationship between predictor variables and financing of small scale water investments. It was recommended that cost recovery should be improved, investor‘s risks should be mitigated and capital should be made available. In order to improve return on investments of small scale water investments, the government should enhance tariff reviews. The results of the study will contribute to greater understanding of various financial constraints that small scale water investors go through in trying to make water accessible to peri-urban population.
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    Effect of Government Regulations on the Relationship Between Return on Investments and Financing of Water Investments In Nairobi Peri-Urban Markets in Kenya
    (2014) Kimani, Maina E.; Ngugi, Nahashon; Matumo, Gabriel
    For any economic development it is important to finance infrastructure such as water and sanitation. Water has historically been viewed as public good not as a market commodity and thus water utilities have not been able to generate sufficient internal revenue to ensure sustainable financial investment. There is a low level of investment in the sector by both public and private players especially in peri-urban areas in Kenya. Many people in these areas still do not have access to basic water resulting to millions of illnesses and death every year from water related issues. Scarcity of water in peri-urban areas has created investment opportunity yet there is little participation of private players. The study explored effect of government regulations on the relationship between return on investments and financing of water investments in Kenya. The study adopted cross-sectional survey research design. The accessible population for this study was 1500 small scale water providers registered by Water Service Regulatory Board. A two stage sampling technique was used to obtain a sample population of 150 small scale water service providers. The study utilized self administered semi-structured questionnaire and content analysis for collecting data. Structure Equation Modelling (SEM) was used to measures the relationship between return on investments and financing of water investments. The findings of the study indicated government regulations influences financing of water investments, low return on investments, among small scale water service providers limits supply of water in peri-urban markets. It was therefore recommended that the government should enhance tariff reviews, performance monitoring and efficient metering and billing. This would lead to high return on water investments. Water utilities will thus be able to generate sufficient internal revenue to ensure sustainable financial investment. The results of the study will be of great importance to both public and private water utilities. This will contribute to greater understanding of various challenges that the utilities go through in trying to make water accessible to peri-urban population.
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    Factors influencing development of financial derivatives markets: a survey of listed companies in Kenya
    (2013-05) Matumo, Gabriel; Kimani, Maina E.; Ngugi, Nahashon
    The Kenyan economy is becoming more and more open with international trading constantly increasing and as a result Kenyan firms become moreexposed to foreign exchange rate fluctuations. The relative price changes affect the firms’ competitive market position, leading to changes in cash flows and ultimately, in firms value. While it was observed that firms use a variety of instruments to manage financial risks, it was not clear whether the full potential of these instruments is being realized since not all firms use derivatives and notall firms use all types and more important, whether they are used appropriately. The study found out that the use of financial derivatives instruments by quoted companies in Kenya is mainly influenced by legal and regulatory framework, market environment, operational efficiency and the role offinancial market intermediaries. Hence the study concluded that there is need of building upon existing financial derivatives instruments so as to enhance efficiency and effectiveness in their use in Kenya as modern tools for financial risk management.
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    The impact of front office Sacco activity on Sacco performance in Kenya; A case study of Meru South and Maara district in Tharaka Nithi County in Kenya
    (2013-05) Ngugi, Nahashon; Matumo, Gabriel; Kimani, Maina E.
    While Savings and Credit Co-operative Societies (Saccos) are an autonomous Association of Persons united voluntarily to meet their economic and social needs, their performance has been affected by low capital base. Their capital base is low, thus limiting loanable funds to members. To cope with this problem, many Saccos have introduced Front Office Sacco Activity (FOSA), in order to strengthen their capital base and liquidity level. FOSAs offer simple banking services to members/customers, thus improving their working capital. This study is meant to find out the impact of FOSA operations on Sacco performance in Kenya; A Case of Meru South and Maara Districts in Tharaka Nithi County. The Research Design was descriptive in nature. The intended population of the study was the three Saccos with Front Office Sacco activity in the two districts. The county has four SACCOs with FOSAs but one started operation with FOSA since inception. The researcherused Secondary Data in this study for a period of six years. This included three years before and after operating FOSAs. Correlation analysis was used to analyze the data. The findings of the study revealedthat FOSAs can improve the performance for Saccos.
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    Moderating effect of government regulations on the relationship between cost recovery and financing of water investments in Nairobi peri-urban markets in Kenya
    (2015-02) Kimani, Maina E.; Mouni, Gekara G.; Wanjau, Kenneth L.; Mung’atu, Joseph K.
    Over the last 200 years, most water utilities have been publicly owned and managed. For this reason, public utility firms have been getting financial support from the government in form of subsidies in addition to the revenue they generate internally. However these water utilities have not been able to generate sufficient internal revenue to ensure sustainable financial investments. There has been low level of investment in the sector especially in peri-urban markets mainly due to poor cost recovery. The study explored moderating effect of government regulations on the relationship between cost recovery and financing of water investments in Kenya. The study adopted descriptive survey research design. A two stage sampling technique was used to obtain a sample population of 150 small scale water service providers. The study utilized self-administered questionnaire and content analysis for collecting data. SEM was used to analyse the relationship between cost recovery and financing of water investments.The findings of the study indicated that factors inhibiting cost recovery includes poor water pricing, low users’ charge and externalities. The recommended remedies to cost recovery includes cross-subsidization, gradual increase of user fees, and service improvement. The results of the study will be of great importance as it will contribute to greater understanding of various factors that inhibits cost recovery among water utilities and how these factors can be improved.
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    Working Capital Management Practices and Financial Performance of tea Processing Firm in kenya
    (2017-05-11) Kiptoo, Isaac K.; Kariuki, Samuel; Kimani, Maina E.
    The tea sector is the most important agricultural sub-sector in Kenya contributing about 26 percent of the total foreign exchange earnings. The sector has been listed by the government as one of the pillars of achieving Vision 2030. Despite the great contribution, the performance of the tea processing firms has not been satisfactory to the farmers due to wide variation of bonus payment from one firm to another. KTDA attributes this variation to working capital management. Management of working capital aims at maintaining an ideal balance between each of the components of working capital which include management of inventory and payables. Therefore, the objective of this study was to determine the effect of working capital management practices on the financial performance of the tea processing firms in Kenya. The study employed a cross-sectional descriptive research design. The target population was 54 tea processing firms in Kenya managed by KTDA. A sample of 48 tea processing firms was used in the study. Stratified random sampling method was used to select the sample. Primary data was collected by use of a questionnaire whereas the secondary data was collected by use of a record survey sheet. Pretesting was done to determine the reliability and validity of the questionnaire. The data collected was analyzed using Statistical Package for Social Sciences (SPSS). The study found that tea processing firms have established an inventory and payment management policies to guide the firms in managing their inventory. The Pearson correlation and ANOVA results showed that inventory management has a negative significant relationship with the financial performance of tea processing firms. The study therefore recommends tea processing firms to ensure the total numbers of days taken before inventories are sold is minimized in order to boost the returns of the firms. The longer the period taken to settle account payables therefore increased profitability of a firm. The firms should also prepare inventory budgets and review the budgets in order to maintain adequate inventory for smooth operations of the firm. In addition, the inventory level should be reviewed regularly to ensure optimal stock is maintained at all times. Firms should also set the level of economic order quantity to ensure sufficient inventory is ordered at minimal costs and establish an inventory control system to assists in efficient management of inventory. Firms should regularly review payables management policies to ensure optimal credit is maintained at all times