It's been widely reported that on 19 Aug, 2013 President Kenyatta signed a massive KES 425 billion deal for amongst other things a new SGR track from Nairobi to Malaba, wildlife management (huh?), energy sector improvements and some other joint ventures. What has been reported almost as a by-the-way is that President Kenyatta and President Xi Jinping spoke about Kenya hosting a Renminbi clearing house.

This is surely a (huge, significant, momentous, nation-changing, all of the above) deal, not just for the fact that this will underline Kenya's place on the map when we start to clear a second currency, but also for what it adds to Kenya's positioning as a regional financial hub. Even South Africa - undoubtedly Africa's economic powerhouse - doesn't clear any currency other than their own. Is it just me, or is this fact not getting enough airplay?

Guess they were too busy trying to get people to lose weight

I would hope those media houses are on Club SK, trying to learn about the important things in life. Seriously, this is something that we as Kenyans should be vigorously campaigning to become a reality.

Singapore's status as a global financial centre has gained significant credibility since they started hosting an Renminbi clearing house earlier this year (May 2013). This despite the fact that Singapore was already a recognised leading financial centre.

To paraphrase what Mr Githongo said, "it's our turn to reap!"

So in lay man terms if am importing from Guangzhou I don't have to convert Kes to Usd first?

how soon before this takes off game changer especially with oil scenario

Excuse my ignorance, but how did Gaddafi face the West's wrath? And what was it for (if not his personal and state-sanctioned support for terrorism)? Was Libya also clearing currency?

I'm not sure the extent of his cooperation with other countries as far as the development of his country went. I visited Tripoli pre-revolution and found that it was surprisingly run down, and if anyone was benefiting from any cooperation that was directly trickling down to the people (as the RMB clearing house will do for Kenya's Wanjiku), it was very effectively hidden.

For all the bravado in the media and his self-promoted 'green revolution', Gaddafi was an absolute economic dunderhead. He was sitting on what was reputed to be Africa's largest oil reserves, and instead of leveraging that to take Libya to the 21st century, he was enriching himself, his family and his cronies. Very small minded idiot.

On the other hand, this move (RMB Clearing House hosted in NBO), will benefit Wanjiku before it can benefit anyone else. Chinese banks will open up in Nairobi in a bid to be appointed the Clearing House host - that alone will attract private sector investment from China. Trade will increase between Kenya, China and other Asian nations, and between Kenya and other African nations wishing to take advantage of RMB Clearing in Nairobi. The economy will benefit, and the trickle down effects to Wanjiku will be felt almost immediately.

The West, meanwhile, will start to play catch-up as they'll want to remain significant. Geopolitically, Kenya is an important partner to Western hemisphere nations. We're playing a very important role in the fight against global terrorism, our new-found oil and mineral wealth makes us an important ally to have economically, and we showed that where necessary, we will defend our sovereignty without asking for assistance (and the West will want to continue being the preferred vendor in this respect). Hence, the West should see this as a positive development and want to promote business between themselves and Kenya as a consequence (yes, I used the "C" word).

In toto, this move should benefit Kenyans on two fronts - increased trade with the East, and increased trade with the West. Brilliant strategy if not a mistake. Let's see how it's played...

This is a great move and will spur serious growth and international competition in the financial sector which will then trickle down to the economy at large. Hope it will be implemented soon by 2014 should be running.

'Assistance' from Qataris and Saudis give me the heebie jeebies. Where's Malaysia, Turkey or even Indonesia when you need them? Sigh.

Anyway, as long as their interest is just business and not propagating their Wahabbist bullshyet, its all good. Fingers crossed lol.