<p>The government of Kenya’s broad target for enhancing manufacturing is to increase the manufacturing share of gross domestic product from 8.4% to 15% to create more jobs but the target remains a mirage owing to the poor performance of the manufacturing sector over the years where for instance, sector performance declined to 3.5% in 2019 compared to 4.4% in 2018. Studies globally, regionally and locally have been conducted to establish how macroeconomic variables affect the profitability of companies. However, mixed results have been reported pointing to positive, negative, significant and insignificant effects making it unknown how economic growth, inflation and exchange rates influence the performance of manufacturing firms. The purpose of this study was to establish the influence of Interest rates on the financial performance of listed manufacturing companies in Kenya. The study was guided by; the efficient market hypothesis and arbitrage pricing theory. This study adopted a descriptive correlational research design grounded on panel data spanning 6 years from 2015 to 2020 with a target of 8 listed manufacturing firms. The exchange rate showed a negative influence on performance with coefficients 0.358, 2.764 and -1.532 respectively such that a 1% increase in economic growth and inflation increased performance by 0.358% and 2.764% respectively while a 1% increase in exchange rate decreased performance by 1.532%. The study recommends the formulation of prudent macroeconomic policies including bailouts during pandemics geared towards enhancing the performance of manufacturing firms as envisaged under the Big four agenda and Vision 2030 blueprint.</p><p> </p><p><strong>JEL</strong>: L60; O24; F31</p>

<p>The purpose of this study was to determine the influence of the use of IFMIS in budgetary controls on the financial accountability of county Governments in Western Kenya. The study adopted a correlational research design. Primary data was collected using questionnaires. The study target population was 1110 county staff comprising Cabinet executive officers, IFMIS directors, finance staff, revenue officers, and planning and procurement staff. Simple random sampling was used to select 294 respondents. Reliability was tested through Cronbach Alpha, validity was tested through expert analysis and principal component factor analysis. SPSS was used to analyze descriptive and inferential statistics. Descriptive statistics consisted of frequencies. Inferential statistics consisted of Binary logistic regression analysis. Cox &amp; Snell R Square was established as 0.699. Wald statistic was significant with p values of 0.19. Correlation analysis showed r = of 0.814. The binary logistic regression coefficient was β = 2.049, p-value .019 and Exp (β)= 7.76 for budgetary controls. It was recommended that the implementation of IFMIS should be strengthened and regularly reviewed to identify loopholes that still exist that reduce effectiveness. This would improve fiscal discipline by a very high percentage as shown by the odds ratio of budgetary controls which is greater than one. The government should enforce the use of IFMIS in budgetary controls. This will lead to minimal budget variance and budget deficits. Better ways that can make IFMIS adhered to in budgeting should therefore be enforced this will improve financial accountability as evidenced by the odd ratio of budgetary controls.</p><p><strong>JEL:</strong> G21; G29; G38</p><p> </p><p><strong> Article visualizations:</strong></p><p><img src="/-counters-/edu_01/0919/a.php" alt="Hit counter" /></p>

<p>Proper investment decisions ensure that supermarket managers invest in viable projects, stipulate optimum capital structure and adequately compensate shareholders. The aim of the study was to evaluate the effect of investment decisions on the profitability of large-scale retail supermarkets in Kenya. The study was guided by portfolio, pecking order, and agency theories. The study was anchored on positivism philosophy. A cross-sectional research design was adopted. The target population was nine large-scale retail supermarkets in Kenya. A positive and statistically significant was found to exist between investment decisions and profitability. This is backed up by a regression coefficient of 0.3930 and a p-value of 0.008, a regression coefficient of 0.4180 and a p-value of 0.016. The study concluded that financial decisions significantly affect the profitability of large-scale retail supermarkets in Kenya. The study recommended implementing viable investment decisions based on customer preferences, expert directions, market forces, and business elements.</p><p> </p><p><strong>JEL</strong>: L80; L81</p><p> </p><p><strong> Article visualizations:</strong></p><p><img src="/-counters-/edu_01/0975/a.php" alt="Hit counter" /></p>

<p>The coronavirus pandemic shock has attenuated economic activity decline in various sectors of the economy across the globe. Financial service providers such as; banks, insurance firms and Sacco societies among others have been impacted by the pandemic shock as livelihoods of the people have been disrupted by the first spreading virus leading to job losses as well as weak demand and supply forces in the market. The unique model of Sacco societies’ business puts them in an even more complex situation which threatens their going concern concept. The uniqueness of the Sacco societies is that they depend on their members’ cumulated savings deposits and shares for financing rather than external borrowings from other financial institutions to conduct their business. Therefore, the study investigated the impact of the coronavirus pandemic shock on the liquidity of Sacco societies in Kenya and specifically, the study examined the covid-19 pandemic shock causal factors, institutional organizations` gaps, exclusion of Sacco societies by the national government in its mitigation measures against covid-19 pandemic shock as well as determining the response strategic interventions by the Sacco societies to stay afloat. The study found out that the majority of the Sacco societies are facing liquidity challenges more especially community, farmer and private-based Sacco societies. The loan demand has declined with long-term loans significantly impacted on by the pandemic shock. In addition, loan default has increased and non-remittance of Sacco deductions as well as withdrawal notices have also spiked up in some Sacco societies. The study discovered that the government has categorically excluded Sacco societies in its mitigation strategies to protect businesses across different sectors and in particular exclusion of Sacco societies from the credit guarantee scheme and non-classification of Sacco societies as essential service providers were cited as some of the evidence towards the exclusion concern. Besides, the Tax Laws (Amendment) Act, 2020 and Finance Bill, 2020 had very little if any touching on the plight of the Sacco societies in the wake of covid-19 pandemic shock. The response strategies instituted by Sacco societies are restructuring of loans, loan rationing, developing of new Sacco packages and recapitalization of returns as well as restricted external borrowings. An exploratory study covering four months from March to June 2020 was conducted among 120 Sacco societies from 11 counties across the country with interview schedules guiding the collection of primary data via telephone calls to the Chief Executive Officers of the targeted Sacco societies. Secondary data was obtained through document analysis of the financial reports of those societies. Judgmental techniques were employed in picking on the Sacco societies which constituted a sample size of 120 Sacco societies although only 75 responded. Data was analysed descriptively with the study findings being presented by the use of tables, graphs and pie charts. The paper recommends that the vulnerability of the Sacco societies in the wake of covid-19 pandemic shock requires immediate external interventions such as the credit guarantee schemes to cushion Sacco societies from the risk of loan default and at the same time improve their liquidity position. The perennial non-remittance of Sacco deductions by institutional organizations needs to be addressed urgently by developing new regulations to deter government organizations and private employers from unnecessarily holding members’ savings and other dues. The community, private and farmer-based Sacco societies seemed to be adversely affected by the covid-19 pandemic shock compared to the teacher and government clusters of Sacco societies. This may be due to the differential livelihoods sectoral impact of covid-19 and the weak financial framework of those Sacco societies to withstand any shock hence consolidation of Sacco societies should be seriously discussed to form entities which are strong enough to withstand shocks.</p><p>JEL: G21; G22; G32</p><p> </p><p><strong> Article visualizations:</strong></p><p><img src="/-counters-/edu_01/0537/a.php" alt="Hit counter" /></p>

Background: Among the most commonly used social safety net programs across the globe is the cash transfer program. While developed economies have successfully applied the strategic social intervention appropriately, very little if any can be talked of in Sub-Saharan African including Kenya. In Kenya, many challenges such as inadequate funds, ghost beneficiaries, dwindling sustainability issues among others hamper effective implementation. Purpose: The main purpose of the paper was to evaluate the effectiveness of the cash transfer program in the wake of covid-19 pandemic having unmatched social-economic impact on the people but more so on the vulnerable groups. Methodology: The paper adopted descriptive survey research design, target population were all beneficiaries of the social welfare benefits. Sample population 163 respondents chosen in the clusters of 35 County Commissioners, 5 key informant from the state Department of Social Protection and 123 beneficiaries from 41 counties with 3 benefactors chosen from each of the 41 counties studied163. Data collection was conducted by use of questionnaires and interview schedules for primary data while secondary data relied on documents analysis from the respective ministries, departments and government agencies. Analysis of data was done by use of descriptive statistics and findings presented through tables, graphs and pie-charts. Findings: The study found out that a number of eligible people are not benefiting due to insufficient funds, the administrative system and structures are equally not fit for purpose as significant number of respondents opting for alternative measures such as establishment of National Vulnerability Insurance Fund, Special Interest Group Co-operatives, and subsidized micro-insurance packages. Recommendations: The study recommended an overhaul of the current social safety programmes of cash transfer stipend to make it more effective and efficient. It was recommended that alternative programs be explored and monthly stipend to be improved from Kshs. 2,000 to at least Kshs. 3,000