Millions of shillings lost in Westgate mall terror attack

Uchumi Supermarket chain chief executive Mr Jonathan Ciano said the company has had to close its Westlands branch. “Our Uchumi branch remains closed due to its proximity to Westgate and as a show of sympathy to what is ongoing in the country” he said. PHOTO/FILE  NATION MEDIA GROUP

In Summary

• Nakumatt Holdings, the country’s biggest supermarket with an annual turnover of over Sh56.8 billion, was among the most affected with its Westgate and Ukay branches yet to open.
• Uchumi Supermarket chain chief executive Mr Jonathan Ciano said the company has had to close its Westlands branch. “Our Uchumi branch remains closed due to its proximity to Westgate and as a show of sympathy to what is ongoing in the country” he said.

Investors have lost millions of shillings in revenues and destroyed property following the weekend terrorist attack at the Westgate shopping mall that has so far claimed more than 60 lives.

Most shopping malls within Nairobi were closed for the better part of the weekend while shoppers opted to remain indoors.

Nakumatt Holdings, the country’s biggest supermarket with an annual turnover of over Sh56.8 billion, was among the most affected with its Westgate and Ukay branches yet to open.

In an interview yesterday, Kenya Private Sector Alliance chief executive officer Carole Kariuki said the business community has suffered a huge blow in the attack.

“Whereas it is too early to quantify losses, a lot is going on in there. From what is being destroyed to the general closure of the mall and other shopping outlets and the many employees that have lost their lives, it’s going to be a big loss to this nation,” Ms Kariuki said.

Uchumi Supermarket chain chief executive Mr Jonathan Ciano said the company has had to close its Westlands branch.

“Our Uchumi branch remains closed due to its proximity to Westgate and as a show of sympathy to what is ongoing in the country” he said.

Westgate is one of the most famous upmarket shopping joints in Nairobi and is estimated to house over 80 businesses.

CONFIDENT INVESTORS

On the first day of trading since the attack, the NSE 20 Share Index at the Nairobi Securities Exchange dropped 12 points to close at 4739.42.

Markets analysts however said the markets have shown resilience with foreign investors maintaining dominance in trading.

“The equities market started the week on a low note with equity turnover falling 48.2 per cent and the NSE 20 index slipping 0.26 per cent.

Despite the negative news on the terror attack, foreign investors continued to dominate trading,” said the Standard Investment Bank (SIB) in a daily market report.

The shilling came under pressure, weakening to a three-week low against the US dollar as investors adopted a cautious stance in the money markets.

Trading against the US dollar averaged at 87.40/60, about 0.2 per cent weaker than Friday’s close of 87.25/45 in several counters.

But it is the tourism sector that is likely to suffer the biggest losses with some Western countries already issuing travel advisories against Kenya.

“We urge all our local and international visitors to be sure that the rest of the country is peaceful and there no need for cancellation of any planned travels or visits to the country,” Cabinet Secretary of East Africa, Commerce and Tourism Phyllis Kandie said yesterday.

Ms Kandie urged the international community to treat the Westgate terror attack as “an isolated occurrence” that would have happened anywhere in the world.

She said a major tourism conference scheduled to begin today in Nairobi had registered good numbers in confirmed attendances, with over 90 per cent of those who had booked places assuring of their presence.