@Erifloss.. what do you mean by ("our credit is going to be extremely different from that of the west".......,"This can be seen by the growth of the NSE & bond market"......."I see small business owners negotiate nowadays in terms of credit periods, payment terms, invoice discounting, forfeiture & some even forward pricing")? The first statement contradict the statements that follows, if anything, Kenya credit system and in extention the world credit system is evolving into one system.
Whether you agree with it or not the success of developing world economies will depend on the embrace and the availability of credit. If you say the terms of credit is different, I will agree with that, but again the western credit model seem to me to be more favorable considering the fact that it is move evolved, it is more liquid and the consumers are more protected by the respective governments, I know you'll bring up the credit crisis as a sign of western lack of protection but in overal western consumers are more protected.
I agree with someone that Africa and south east asia will be the next destination for investments but this depends on how these governments would stablize their respective country to the extend that the investment risk as rated by rating agencies could be drop to the level that will attract larger investments players, remember the largest investors in terms of purchasing powers are Mutual funds holdings which are controlled by a tightly regulated retirement portfolios which are banned by the regulators from investing in markets above predetermined Betas of which most developing countries's Betas fall above those limits.

[quote=QW25071985]You mean Warren buffet missed the 10 year bull market rally for gold ....what a losser :

http://www.telegraph.co....d-as-an-investment.html[/quote]
What is a 'losser'?

@ Erifloss, now I understand you, but I don't know if that is an advantage or a disadvantage to the business,remember that for credit market to develop some form of credit must be issued. Note that a large part of Derivative markets is credited to credit market and the evolution of derivative market is a big boost to economies in form of, hedging, source of diversification,independent enterprise and a source of credit capital. Even for a stock market to grow, Credit is required.

I understand that, it make sense to be able to repay credit using product made out of the loans but that was where forward and future contracts were at one point,---it was like give me the money, I will deliver the products at such and such date in future---, Then it evolved into a cash settlement.

@vvs, most of the western world depend on transfer of debt and this basically prolongs debt periods as re-negotiations always take place. Take an example of the new terminology used 'securitization' where basically any debt can be changed into a security which can again be borrowed against coz it stands as an investment. This creates a cycle of debt that with time becomes extremely shaky & risky. Iceland's & Ireland's economies stand as proof.
I don't think that our economy will go that route as i see even the BRIC countries have tried not to make the same mistakes.

@vvs, Equity is actually fully entrnched in SME sector and i think that's why they've always had a problem in dealing with large corporate clients and have been trying their best case in point the NCC deal. I was astonished when i realized that in some rural areas they do take farm products as payments which they actually know how to kind of sell.