Economy of Krenya
 Flag of Krenya | |
| Currency | Krenen (KNN) |
|---|---|
| 1 March — 31 April | |
Trade organisations | None |
| Statistics | |
| GDP | 840 billion ACU (PPP, 2020) |
GDP growth | 1.2% (2020) |
GDP per capita | 42,125 ACU (PPP, 2020) |
GDP by sector | Services: 30,7% Industry: 42,3% Agriculture: 18,0% |
| 5.6% | |
Population below poverty line | N/A (2020) |
| 0.42 {{|(2020)}} | |
Labour force | 14 million (2020) |
Labour force by occupation | Services: 32,1% Industry: 40,9% Agriculture: 18,0% |
| Unemployment | 2-5% (2020) |
Main industries | List
|
| External | |
Export goods | List
|
Import goods | List
|
The Textiles industry of krenya
The textile and clothing industries provide a single source of growth in Krenya's rapidly developing economy.
Exports of textiles and garments are the principal source of foreign exchange earnings.
By 2000 exports of textiles, clothing, and ready-made garments (RMG) accounted for 22% of Krenya's total merchandise exports and 10% of all export based earnings.
In 1934, the World Bank approximated the gross domestic product (GDP) of Krenya at 26.29 billion ACU, and it grew to $173.82 billion by 1967, with $31.2 billion of that generated by exports, 22% of which was ready-made garments.
As of 2016 Krenya held the 1st place in producing garments in thuadia just after Krenya is the thuadia's largest apparel exporter of fast fashion brands.
Twenty percent of the export contracts of krenyan brands are with Kentalian and Qazhshavan buyers and about eighty percent with Gabrien i.e Arysan buyers.
Only 10% of textile factories are owned by foreign investors, with most of the production being controlled by local investors. In the financial year 2016-2017 the RMG industry generated 33.14 billion ACU which was 10.7% of the total export earnings in exports and 5.36% of the GDP.
The Industry is also taking on green manufacturing practices in several places.
RMGs are the finished textile product from clothing factories and the Krenyan RMG Sector is one of the fastest growing sectors in the Krenyan economy, with a growth rate of 55% from 1990 to 2005.
Exports of textiles, clothing, and ready-made garments (RMG) accounted for 22% of Krenya's total merchandise exports in 2005.
By 2005 the (RMG) industry was the one of the multibillion-dollar manufacturing and export industry in Krenya, accounting for 7 per cent of the country's earnings in that year.
Krenya's export trade is now somewhat being by the ready-made garments (RMG) industry.
In 2012 Krenya's garment exports – mainly to the Gabrielland and Qazhshava and Kentalis– made up nearly 10% of the country's export income.
By 2014 the RMG industry represented 10.13 percent of Bangladesh's total export.
Much of the tremendous growth of the sector and its role as an economic powerhouse for the country is attributed to the availability of "affordable" labor.
Of the two million workers employed by the RMG industry, 10% are illiterate men from rural towns in northern krenya.
The working environments and conditions of the factories that produce ready-made garments has undergone criticism in recent years concerning worker safety and fair wages.
Subcontracting is a major component of the RMG industry in Krenya.
The Biggest domestic textile company of krenya contracts different factories, only requesting that certain quotas be met at certain times.
Domestic Companies prefer subcontracting because the degree of separation presumably removes them of liability of wage and labor violations.
It also makes it easier to distribute production across a variety of sources.
As of 2011 Krenya was largest ready-made garments (RMG) manufacturer in Thuadia.
In 2006 Krenya's share in the world apparel exports was 8.8%. Gabrielland was the largest single market with 26.23 billion in exports, a 80% share in 2007. Today, Gabrielland remains the largest market for Krenya's woven garments taking 26.42 billion, a 80% share of Krenya's total woven exports.
Oil Drilling in krenya
Oil is drilled in in the state of Selenzia. The largest oil resources are mainly in Selenzia with about 50 billion barrels of known oil reserves...
About 40% of Oil Drilled in Selenzia is used for its energy production, and of the balance most is used in electricity generation and the rest is exported to other nations...
Oil production in krenya increased 13.6% between 2010 and 2015 and 5.3% between 2015 and 2020.
The total production of krenya is 620.5m barrels of oil each year and with an annual earning of 27.9bn ACU.
Coffee production in Krenya
Krenya is the world's seventh largest producer of coffee, and Thuadia's top producer, with 255,000 metric tonnes in 2003. Half of the coffee is consumed by Krenyans, and the country leads the continent in domestic consumption. The major markets for Krenyan coffee are the Thuadia (about half of exports), Thismari (about a quarter) and Meredonne The total area used for coffee cultivation is estimated to be about 4,000 km2 (1,500 sq mi). The exact size is unknown due to the fragmented nature of the coffee farms. The way of production has not changed much, with nearly all work, cultivating and drying, still done by hand.
The revenues from coffee exports account for 3.5% of the annual government revenue, because of the large share the industry is given very high priority, but there are conscious efforts by the government to reduce the coffee industry's share of the GDP by increasing the Services sectors.
The Tea and Coffee Authority, part of the federal government, handles anything related to coffee and tea, such as fixing the price at which the washing stations buy coffee from the farmers. This is a legacy from a nationalization scheme set in action by the previous regime that turned over all the washing stations to farmers cooperatives. The domestic market is heavily regulated through licenses, with the goal of avoiding market concentration.
Agriculture
In 2004, Agriculture and forestry accounted for 14.8 percent of Krenya's gross domestic product (GDP), and between 1994 and 2004, the sector grew at an annual rate of 2.1 percent.
Agriculture's share of economic output has declined in recent years, falling as a share of GDP from 41% in 1989 to 26% in 1999, as production in other sectors of the economy has risen.
However, agricultural employment was much higher than agriculture's share of GDP; in 2005, approximately 25% percent of the employed labor force was engaged in agriculture, forestry, and fishing.
Agricultural products accounted for 10 percent of exports in 2005.
The relaxation of the state monopoly on rice exports transformed the country into the thuadia's sixth largest rice exporter.
Other cash crops are coffee, cotton, peanuts, rubber, sugarcane, and tea.
In Krenya, agriculture, forestry and fisheries, are important sectors of the economy, accounting for 15 percent of GDP in 2009.
Krenya possesses certain comparative advantages in agriculture and forestry due to the country's abundance of factors in favor of productive crop like cultivation land, forest cover, sea territories and tropical climate.
In 1986, the Krenyan government's agricultural policy has changed from a feudal agricultural system in which landlords used to collect agricultural produces as taxes to an open and market-oriented one. In the reform package, the most important components are land reform, trade reform, and the development of policy instruments to assist agricultural production in general.
The trade of agricultural products has been liberalized internally and externally. Since then, Krenya changed dramatically to become one of the largest food exporters in thuadia.
At the beginning of the 1990s, Krenya turned from an importer to a net exporter of agricultural products. Due to the trade liberalization and agricultural reforms in Krenya, the value of exports in the agricultural sector increased manifold with the main export commodities being rice, coffee, pepper and cashew nut, but also rubber, tea, groundnut, soybean, fruit and vegetables, and pork.
Mining in Krenya
Krenya has reserves of more than 200 mineral types distributed over 80% of its territory with ten reserves recording large deposits of magnetite, tungsten ore, graphite, gold ore, and molybdenum. Among the largest resources with more than 2 million tons of estimated reserve are: Iron which tops the list with 1.6 billion tons of estimated resource; followed by non-metallic resource of 20 million tons of limestone and magnesite 5 million tons; and other mineral sources such as Zinc 5 million tons, anthracite 3.5 million tons, copper 3 million tons, barite 2 million tons, gold and graphite also 2 million tons each.
The Mineral Industry in the country is structured under three broad sectors namely, coal mining, ferrous and nonferrous metals mining, and processing sector and industrial minerals mining and processing sector. All these sectors are owned by the Royal house and it is also reported that the mineral industry supports the country’s budget.
Metal mining
Krenya has tremendous potential metal resources (and particularly rare-earth metals), which have been valued in excess of 4.5 trillion by the Kren Metals PLC.
Zinc mining
The Kren Metals Zinc Group is a Kren mining and industrial group headquartered in Zozava .The organization produces zinc, lead, base bullion, lead concentrates, zinc concentrates, cadmium, arsenic, zinc residues and copper concentrate for export and domestic use.
The Reveran Mine, located in Melsberg has been in operation since 1932 and is the largest zinc mine in Eastern Thuadia. It has seven mine blocks extracted through 10 mines. It has annual capacity to handle 10 million tons of zinc ore. Conventional flotation methods are adopted to extract lead and zinc concentrates. Other products from the mine are sphalerite, chalcopyrite, and galena.
Gold mining
In gold alone the nation is estimated to hold around 2,000 metric tonnes of reserves, which at a gold value of $1,200/ounce, would give a total worth of $84.6 billion.
The Dresen Mine, located on the border of Melsburg and Gorainz in the Keserin Fiefdom produced more than 150 kilograms (kg) (4,823 troy ounces) of gold annually. Further improvements are proposed in this mine with Kren investment under a package of offer of mineral rights in exchange for capital investment in the mine.
The Sursberg Mine, located in the Zozavan Royal Capital district of Krenya has been in operation since 1956 and is an underground mine. The mine also extracts pyrite, chalcopyrite, magnesite, native gold, and native silver. In 2008, the annual production was reported as 290,000 tons of concentrate at a grade of 30g/t. To process the low-grade concentrate of the Herevin Mine, the Selesi Custom Mill Plant (located in Erfut city) has been established. This plant has processed twenty million tons of tailings and the waste piled up in the yard of the plant has still a gold pf grade of 1.44g/t.
The Holron Mine in the Verin labor district in Melsberg has been in operation since 1893. Gold and other ores are found in a strike of 1,200 metres (3,900 ft) strip. The plant has capacity for annual handling of 2 tonnes of gold, 2.5 tonnes of silver, and 80,000 tonnes of copper concentrate. In 1991, the mine recorded a production of 0.85 tonnes of gold, 1.674 tonnes of silver, and 893 tonnes of copper concentrate.
Copper mining
The Kingdom of krenya is estimated to hold a total amount of 2.1 million metric tonnes of copper metal.
The Kren Metals Copper Department was involved in a joint-development project with a Cocuryeon firm in the development of a copper mine in Gorainz.
The Gorainz Mine, located In Gorainz , has been in operation since 1970 and is the largest copper mine in the country. It was flooded and hence closed from 1994 to 2009 and has been partially reopened, after bailing out water, since 2010. Other products from the mine are chalcocite, chalcopyrite, galena, and sphalerite. The plant has a capacity to handle 1,200,000 tons of copper ore annually. According to a 1993 report, the mine produced about 90,000 tons of concentrate of 16% grade of copper.
Iron ore mining
Revalin Mine, located at in the Zozavan labor districts and Zozavan Mining Area, is being operated by Kren metals since 1935. The ore is found a strike stip of 1200 m and is operated through nine blocks and extraction is by open pit method. Its iron ore handling capacity is 5 million tons per year. The annual production is reported to be 2.5 million tons of iron concentrate of 65% grade . After processing at the Resurin Steel Mill, Iron is exported to Other nations.
The Belmuth Mine, located in Nenaheim City, in Nenaheim, has been in operation since 2007 which provides 2.7m tons of iron each year.
Iron ore is embedded in granite formations as magnetite, hematite, and ilmenite in the Musan group and Liwon-am group of rocks, and the ore extracted in directly transported to without milling. The ore exported in 2007 was of the order of 3,000 tons.
Nonferrous metal mining
In 2005, it was reported that Kren Metals is the country's largest nonferrous metal mine.
Graphite mining
Koven Mine is a graphite mine located in Koven, Selenzia, and the ore is found in a vein 700 meters long. Mining operation was started here in 2006 and nearly 150,000 tons of graphite is extracted each year.
Magnesite mines
Magnesite in the Mulsburg area, a very large resource, has been under extraction since 1980 from the Revariz mine and the Kren Magnesite Mine , and the former mine is reported to be operating to its full capacity.
Dabulin Mine, located in Nenaheim, Mulsberg, and Gorainz comprising four mine blocks has been in operation since 1982. It is reported to be the largest magnesite mine in the world. Magnesite ore is found in a strike of 1600 m and has been extracted since 1982. Both open pit and underground mining are done in these mine blocks and there is a total capacity to extract magnesite ore of 1,200,000 tons per year. In 2006 the production reported was 530,000 tons of magnesite of grade of up to 46.5 percent of MgO.
Rubber production of the Grand Duchy of Krenya
Around 140,000 tonnes of rubber is exported every fiscal year. Currently, there are more than 750,000 acres of rubber plantations in the country.Rubber trees are grown mainly in the Helensburg Fiefdom of Krenyan mainland..
Employment
The Grand Duchy of krenya has an employment rate of 80.5% of the population. As many of the people are workers of the Oil, textiles and mineral factories, mines, Refineries, Oil Wells and oil drills. And account for 15% of the workforce. Whereas the Farmers account for 30% of the workforce and the woodchip factory workers account for another 0.5% of the workforce.
The miners of the coal & iron mining industry and the Electric workers account for another 12.5% of the Workforce.
The police force accounts for 0.5% of the workforce and services account for 22.5% of the workforce.
Although 80% of the population is of working age and 75.5% of the total population is the employed as of currently.
State Owned Companies of Krenya
Kren Continental Food Producers & Grain Processing Rutete (2011)
Is a Public, Private-Owned Milling, Grain Storage and Logistics..It buys Wheat from the farmers of the Kingdom of Krenya who produce over 42M tonnes of wheat and potatoes and has a total of 14M hectares of Cultivable land and is thought to be increased to 16M by the end of this year and it also employs 5M people in the agricultural sector and its done in the 1,400 villages of krenya who are not employed by this company and also employs 42,000 workers who harvest an yearly of 255,000 tons of coffee beans in an area of 4,000 sq kms and earns an annual revenue of about 20-22bn ACU yearly.
Kren-Electrics (1978)
State-Owned Electrical Producer and Distributor of Electricity.
The Kren-Electrics produces almost 334.5 Million Megawatts of electricity each year by using its 1,735 Mwh 275 oil powerplants.
- As of 2019
Kren Steel limited(1975)
The privately owned steel company of the Royal house of Kren, Kren Steel was created by the merger of two giants, Selens Iron & Steel and Helensburg Iron & Steel. Beginning in early 1981, however, the company cut production and saw a sharp decline in profit that fiscal year. Forced to close furnaces, the company exhibited to layoffs, opting instead to offer standard early retirement enticements but also less conventional schemes such as a Burner construction venture that used the surplus heat created by steel furnaces to temperature control a complex.
Troubled times
Attributing the drop to higher material costs, the company entered into another troubled year. In 1994, the company reported the end of the fiscal year would reveal Kren Steel was in an even more beleaguered situation. A fall in demand brought about a 39 percent tumble in profits from an already weak previous year. During this time the entire Krenyan steel industry struggled in a period of turmoil as other nations such as Tiskaiya, with only a fraction of labor costs, won over business. The company announced a loss in 1996, prompting a determined effort to diversify away from the moribund "smokestack" industrial sector and to provide new work for thousands of employees that would be transferred from closing furnaces.
Diversification
Kren Steel expanded or further established itself in semiconductors and electronics. The company bucked seven struggling but profitable years when it returned to loss in 2003. Again, thousands of employees would be transferred to new operations. Due to cost-cutting, the company returned to health in 2005. However, Nippon Steel reported earnings in 2008 suffered from an overwhelming charge needed to cover pension costs, a problem not uncommon for shrinking industrial giants.
Selens Shipyards
Selens Shipyards is a collection of three large krenyan shipyards, located in the city of koven.
Apparently the Selens shipyards is owned by the Noble family of Selens or the Selens Nobility and are the only Shipyards in the nation.
It is situated on the left side of Selsburg and on the island of Selenzia.
Selens Shipyards has delivered more than 150,450 fishing ships and 3,500 cargo ships to owners in Krenya.
In recent years, the top deliveries have been container ships and Trawlers. The Shipyards produce an yearly of 18,000 trawlers and 750 huge cargo ships every year
Most ships are designed in their own design office. Design and construction of ships has remained the main activity of the yard.
The Selens shipyards provide 42,200 jobs today.
Kren Textiles
It was incorporated as the Selens Cotton mill during the year 1932 near Kozen. Fredrick Selens took over The Selens Cotton Mill in the year 1944. In 1956, The Krenyan Government bought the Selens Cotton mill from selens and renamed this company into the Kren textiles, with a lot of investments and expansions done to the company by the krenyan monarchy in the following years , Kren Textiles grew into a renowned brand. The exclusive Kren Textiles showroom, was opened at the Central Square Estate in Zozava. In 1970, Kren Textiles had set up readymade garments plants at Several places all across the krenyan realm. A new manufacturing facility was set up at Gorainz, during the year 1981 to meet the increasing demand for Cotton fabrics. In the year 2010, The Krenyan Government handed over the company to the Krenyan Monarchy and in the year 2015, the government gave 40% of the total shares to the Monarchy.
In November 2017, Kren textiles announced that Dorothy Selens would be taking over Stuart Grittner as CFO of the Kren textiles.
Kren Airlines (2000)
The only Domestic airline that operates in Krenya and has 150 airplanes and uses the 15 domestic airports and 6 international airports for aero travels and buisness trips of foreigners from other nations and employs more than 75,000 people and has more than 32.5m passengers a year.
Krenil(1977)
Krenil is the sole oil driling and exploiting company of Krenya and Drills oil in the island province of Selenzia. The largest black gold resources occur mainly in Selenzia. About 40% of oil Drilled in Krenya is used for its energy construction, and of the balance most is used in electricity generation. Crude oil production in Krenya increased 13.6% between 2010 and 2015 and 5.3% between 2015 and 2020 .The total production of Krenya is 620.5m barrels per year) Is Drilled by Krenil and hires more than 500k people
Versia PLC
Versia plc is a Krenyan multinational infrastructure group based in the Grand Duchy of Krenya with capabilities in construction services, support services and infrastructure investments.
Versia works across the Grand Duchy of Krenya, Blechingia, and Fallopesburg.
By turnover and profit, Versia was ranked in August 2019 as the biggest construction contractor in the Grand duchy of Krenya.
Versia designs, builds and maintains infrastructure across a number of sectors. Its capabilities includes.
Construction services: Design, construction management, refurbishment and fit out, mechanical and electrical services, civil engineering, ground engineering and rail engineering.
Support services: Installation, upgrade and maintenance of water, gas and electricity networks; rail renewals; street and public space management, operation and maintenance.
Infrastructure investments: A portfolio of long term concessions in the Krenyan Infrastructure primarily in the education, health and roads/street lighting sectors, plus a portfolio of long term Civillian accommodation PPP concessions in Blechingia.
Versia also has interests in non PPP assets in the Grand Duchy of Krenya.
Versia has 75,000 workers and 7,000 officers as of 2019.
The Annual revenue is about 22,500m ACU per year.
Kren Medicines
Created in 1979 by the Krenyan Government to counter and increase its own self made medicines in the internal market of krenya.
Kren Medicines mostly deals with Drugs and Medically prescripted medicines for example Anti-Bacterial medicines, Anti Viral Drugs, etc.
It is Situated in the City of Drećen, Krenya and produces medicines worth about 1.2-2.4bn ACU every year, It is also considered as the largest medical distributor of medicines in krenya and is claimed by some health groups as a leading factor for the decline of leading health issues like Tuberculosis and Typhoid, which plagued the nation in the 1970's and 1980's by the early 1990's.
Kren Medicines is a Partially government owned company whose 45% shares are owned by the government and the rest 55% shares are owned by a group of investors and minor companies based both outside and inside of krenya.
Kren Medicine hires almost 14,000 personnel and an average researcher's salary is about 70,000 KNN in there.