CBK Shocks Borrowers With The Highest Rate in 11 Years ;Sabina Reveals Mt Kenya Politician Who Held Talks With Ruto to Stop Firing of Uhuru’s Allies & How former Central Bank governor bungled the Kenya shilling

Lawmakers are contemplating a drastic measure that could leave thousands of teachers without crucial medical insurance coverage.

The National Assembly Committee on Education is considering asking the National Treasury to withhold billions of shillings intended for the teachers’ medical insurance scheme, citing concerns that the scheme has failed to provide adequate benefits for educators.

The MPs, entrusted with safeguarding the interests of the education sector, have taken a firm stance against the disbursement of Sh53 billion to Minet Insurance Brokers.

Their determination stems from a growing realization that the insurance provider may not be delivering the promised value for money in their services.

At the heart of the matter is the disturbing manner in which Minet Insurance Brokers reportedly handles teachers seeking medical treatment.

Despite receiving billions of shillings in premiums, the insurance firm is accused of neglecting the very individuals it is meant to serve. The MPs have expressed genuine concerns about the well-being of teachers who find themselves in need of medical attention, only to be met with inadequate support from the insurance provider.

This unsettling development is particularly alarming as the Teachers Service Commission (TSC) is on the verge of renewing its contract with Minet Insurance Brokers for the second phase, spanning three years from 2022 to 2025. The looming decision to extend the contract raises serious questions about the accountability and transparency in the procurement and management of such critical services.

It is essential for lawmakers to act swiftly and decisively to protect the interests of teachers who have been let down by the very system designed to ensure their well-being. The potential withholding of funds sends a clear message that the government is no longer willing to turn a blind eye to the mistreatment of educators.

The teachers’ medical insurance scheme is a fundamental component of their overall compensation package, and any compromise in its effectiveness jeopardizes the health and livelihoods of those who play a pivotal role in shaping the future of the nation. Lawmakers must hold Minet Insurance Brokers accountable for their alleged negligence and demand a thorough investigation into the handling of funds and provision of services.

In conclusion, the contemplated move by lawmakers to withhold funds from the teachers’ medical insurance scheme reflects a necessary and commendable stand against potential exploitation and neglect.

It is a call to action for the government, urging it to prioritize the well-being of teachers and ensure that public funds are used judiciously to guarantee the health and welfare of those at the forefront of our education system.

Meanwhile, here are news stories making headlines on Opera News today;

Sabina Chege Names Mt Kenya Politician Who Held Talks With Ruto to Stop Firing of Uhuru’s Allies

On Tuesday 5, December 2023, Nominated Member of Parliament (MP) Sabina Chege revealed to the public name of famed Mount Kenya politician who held lengthy talks with the head of state His Excellency President William Ruto to stop firing of Uhuru’s allies.

During an Interview on Spice FM, Sabina Chege indicated that months after former head of state handed over the elements of power to his successor Ruto, she was left astonished by how Ruto Kept on firing Uhuru’s appointees without giving valid reasons as to why he opted to punish them.

That prompted her to approach President Ruto months after he was sworn in to office in bid to enquire why he was punishing people from Mt Kenya despite the fact that they overwhelmingly voted for his Kenya Kwanza outfit in the concluded August polls and they (the leaders) had not jeopardized his new administration’s operation.

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CBK shocks borrowers with the highest rate in 11 years

Kenyans should brace themselves for more expensive bank loans after the Central Bank of Kenya (CBK) increased its benchmark lending rate to the highest point in 11 years as it moved to curb inflation and support the battered shilling.

This is after the Monetary Policy Committee (MPC) increased the CBK rate to 12.5 percent from 10.5 percent, the highest since September 5, 2012, when the rate was at 13 percent.

The new rate will usher in a fresh round of upward repricing of loans, dealing a blow to borrowers who are already grappling with elevated prices of goods and services and new statutory deductions such as the housing levy that have combined to weaken their ability to service loans.

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Kamau Thugge: How former Central Bank governor bungled the Kenya shilling

The Patrick Njoroge-led Central Bank of Kenya (CBK) burned $2.8 billion (Sh429 billion, at current exchange rate) worth of foreign exchange reserves to artificially prop up the shilling between 2020 and early 2023, undermining the country’s ability to cushion itself against the current bout of global shocks.

In another hard-hitting interview that has seen the new CBK boss take aim at his predecessor’s reign, Kamau Thugge poured cold water on Dr Njoroge’s management of the country’s foreign exchange policy in his eight-year stint that ended on June 17.

Dr Njoroge denied ever propping up the shilling and fought claims that there was a dollar shortage in an era that also saw analysts punished for commenting on the currency woes.

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