Investors based in various countries direct their money to Kenya (Eastern Africa) for:
a) Comparatively higher rates of return,
b) Security of their investments & comparative tax advantages,
c) Patriotism (deepened by constitutional provisions).
Going by recent observations, the Government of Kenya needs (among other things):
i) Affordable loans for public spending (devolution agenda, infrastructure, recurrent expenditure)
ii) To maintain a healthy BoP/BoT situation
iii) To maintain optimal Forex Reserve levels at the Central Bank of Kenya.
The Horizon Group lends to the Kenyan Government and thereby helps it meet the above needs by purchasing treasury bills and government bonds.
In return, Horizon Group members reap dividends from their savings. Additional benefits to the Kenyan economy include:
i) Money which would have been paid out in interest had the government borrowed from foreign sources is retained within the Kenyan economy.
ii) By lending to the government, Horizon Group members help reduce upward pressure on market interest rates on loans. The crowding-out-effect that is frequently experienced when commercial banks respond to huge appetite for funds by the government is moderated to some extent.
iii) A healthier Balance of Payment and hence a healthier credit rating for Kenya.
iv) A more stable exchange rate (value of the Kenyan Shilling vs. major world currencies)
This contribution of Horizon Group (and by extension, of Kenyans in the diaspora as well as other Kenyan Diaspora Groups/SACCOs) can be enhanced if the Kenyan government designs and issues a diaspora bond (in selected foreign currencies targeting key diaspora groups) besides the infrastructure bond (in KES). Corporate bonds, I-REITs as well as shares/stocks present additional investment opportunities to clients looking to grow their wealth. Some members of the Kenyan diaspora community as well as foreigners are already channeling increasing levels of foreign currency into the Kenyan economy. As a matter of fact, Kenya witnessed a shift in relative shares of the contributors to its foreign exchange earnings over the past 5 years with diaspora remittances regularly emerging as a top foreign exchange earner.
Since success is not only planable but also faster attained through joint effort, the Horizon Investment Group has the goal of consistently and steadily reducing members’ dependence on employment income. Contact us and let us:
- jointly purchase things which work for us even when we are not working (assets)
- share knowledge on alternative investment strategies and pick the best at any given time
- grow with the Horizon Group Investment Fund
The Horizon Group Investment Fund is designed to ensure that each client has a second reliable source of income (non-employment/passive income) apart from his/her own labour (employment income). Our first category of investment products features revenues from fixed income products i.e. treasury bills and government bonds. The next category features fixed deposit accounts and corporate bonds while the third category features secured loans to individuals as well as to micro, small and medium companies/businesses. In the final category are own investments in selected ventures in agribusiness and in projects in the educational, health and energy sectors.
Also see: http://www.inter-currency.com/treasury-bills-vs-i-reits-in-kenya/