China Square:A Historical perspective

Sanyatti

Member
China Square:A Historical perspective

Since precolonial era, there has always been a merchant class. In East Africa it was the Indians, in W. Africa it was Lebanese
The Somali, backed by strong family connections and networks in the Middle East (assumption), they've accumulated capital to become a new merchant class
In Kenya,Somalis have managed to take over these three industries 1. Aviation 2. Real Estate 3. Retail Shops ? every aviation company is now owned by the Somalis … the retail shops even in the remotest part of Kenya they own yet Somalis in Kenya have been oppressed since 1963,have the lowest life expectancy,highest child mortality rate, lowest school enrolment, less than 1000 graduates, 10 kilometre of tarmac Road, few boreholes in their region.
Somalis are hardworking and are also Kenyan. They speak with one voice and greatly succeed in whatever they do because you wont find them in drinking dens blowing their daily earnings, we appreciate them sana!
They have a clear Fintec strategy that works They know how to move money
Ine factor that has favored them too is the Diaspora connection is intact and their remittances to their community back to Kenya is second to none,
They are the top money transfer top tier mover when it comes to the Kenya diaspora remittances.
The money us used for investments, small loans among themselves, medical expenses and are huge in real estate by pooling together in whichever way that means to them
The Kikuyu business elite are not much of a merchant class as they lack the capital and networks required, some are, but majority are small traders, reliant on the true merchant class to import the goods to sell.
So China Square issue is about replacing the players in both the merchant class and the small traders

And the parties don't just own the whole supply chain, but also the factors of production & being able to produce, transport and sell so cheaply to edge out competition
But let's zoom out
Post World War 2, we see a new type of foreign investment from the Americans
The corporation has always been involved(even in colonization and slave trade) but post World War 2, America corporations and State work together to drive business investments abroad
Money through aid and/or loans is given in return for trade, investments etc.. The difference with what the Chinese are doing is that it was Big Corp involved.
Now we are seeing SMEs from China setting up here.
And I think that's what the uproar is about
The issue of Chinese small businesses is also prevalent in Zambia, and you should look up what's going on there.
As for solutions I don't know. I just wanted you to have a full picture.

"But why can't we build our own?" Because it takes time and generational capital accumulation.
Indian businesses had a head start. By now they've reached a point where they've accumulated enough capital to be aspiring industrialists. The Kikuyu business elite money is less than 100 years. For comparison European capitalists had 300 years before their industrial revolution
I think the problem with kikuyu bussiness elite is not capital or connections but individualism, somalis/indians are like a big family, five indians/somalis will come together to start one big electronic shop but kikuyus would rather start five tiny ones each with meager capital
The Kikuyu business elite are not much of a merchant class as they lack the capital and networks required, some are, but majority are small traders, reliant on the true merchant class to import the goods to sell.
So China Square issue is about replacing the players in both the merchant class and the small traders
And the parties don't just own the whole supply chain, but also the factors of production & being able to produce, transport and sell so cheaply to edge out competition
Sometimes you bring up this idea of partnering together and everyone looks at you like either you wanna scam them or you wanna benefit from them. So everyone stays where they are and we just observe how others are building bigger and bigger empires.
Others in the team try to compete with the motive.

You might think you are pulling together but someone is curating the whole thing, only to exit.
It's a trust deficit. People been scammed for so long at so many levels that they just don't see how a kawaida person can come to assist for free. And if you do get something going, the people benefiting will slowly start looking for ways to scam the project... Earth is hard bana
 
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