The petrodollar system, born from a pact between Saudi Arabia and the United States on June 8, 1974, has finally come to an end after 50 years. Under this historic agreement, crude oil exports were priced and transacted in US dollars, ensuring the greenback’s dominance as the world’s primary reserve currency. When oil prices rose, so did the strength of the currencies of oil-producing nations, particularly those in the Middle East, the world's largest oil-producing region.

The petrodollar was instrumental in solidifying the US dollar's unrivaled position in global finance. As revealed by a Bloomberg report in 2016, part of the deal included the US providing Saudi Arabia with military protection, while Saudi Arabia reinvested oil proceeds into US Treasury bills and bonds—creating a mutually reinforcing cycle of power, security, and finance.

The Dissolution of a Strategic Pact
As of June 9, 2024, Saudi Arabia is no longer bound by the petrodollar agreement. This development means the Kingdom is now free to accept other major currencies—such as the Chinese yuan and Russian ruble—for its oil exports. The implications of this move are profound.

The energy sector could experience major realignments, and emerging economies could gain newfound influence by using alternative currencies for international trade. The longstanding dominance of the US dollar in global energy transactions is likely to erode, potentially shifting the global balance of economic and political power.

Potential Impacts on the US and Global Economy
The weakening of the US dollar's role in global oil transactions could trigger significant internal and external consequences for the United States. Domestically, higher inflation and rising interest rates could follow, as the demand for dollars diminishes globally. Investors may turn toward precious metals such as gold, silver, palladium, and platinum as safer stores of value.

However, the full effects of this shift will not be immediate. The global financial system is deeply entrenched in dollar-based transactions, and a complete transition will take time. Nevertheless, governments and financial institutions must prepare for the uncertainties that lie ahead—reworking strategies for currency management, oil trade policies, and international alliances.

Navigating a New Global Financial Era
The end of the petrodollar marks not just the conclusion of a long-standing financial arrangement but signals the beginning of a new multipolar global economy. As Saudi Arabia diversifies its currency dealings, the shift could ripple across financial markets, energy sectors, and geopolitical alliances. For the United States, this reality demands urgent economic recalibration to preserve its global influence. 

Meanwhile, emerging economies have a historic opportunity to redefine global trade norms. How nations prepare and respond to this transformation will determine their future standing in a world where no single currency dominates—and where economic resilience and adaptability will be key to survival.

Taxation is one of the most powerful tools that governments use to fund economic growth. Through taxes, the government can either increase rates on goods and services to raise more revenue or adjust the tax base to ensure fairness and broader participation.

In Kenya, however, the government proposed significant tax hikes across multiple sectors, leading to widespread outrage from Generation Z youths. This group launched the “Occupy Everywhere, Reject Finance Bill 2024” campaign, organizing protests primarily on X Spaces and TikTok, where they criticized the government for imposing harsh and seemingly unfair tax policies.

Controversial Tax Proposals in the Finance Bill 2024
Some of the most contentious proposals in the bill that ignited public protests included:

These proposals, which many saw as punitive, sparked outrage among Kenyan youth, culminating in widespread protests that lasted for three weeks.

Government Response and the Cost of Protest
The continued public outcry eventually forced the government to drop several of the controversial tax proposals. This marked a notable victory for the youth, showing the power of collective action. However, the protests were not without consequences. Lives were lost, and many young people were injured in clashes with law enforcement during the demonstrations.

The government must now prove that it is genuinely concerned for its citizens' well-being. If it wishes to maintain legitimacy and trust, it must address the underlying issues of economic inequality and lack of transparency.

This movement is a wake-up call for Kenyan leaders: when public frustration reaches a boiling point, the results can be devastating.

The youth, who represent the largest demographic in the country, continue to advocate for change. It's time for young Kenyans to engage politically, hold the government accountable, and demand better governance. Protests are just the beginning—active participation in elections and the political process is the way forward to secure a better future for the Kenyan people.

Africa has experienced imbalances for more than a century, spanning economic perspectives, agriculture, education, innovation, technology, manufacturing, and politics. These challenges represent just a fraction of the factors contributing to Africa’s major problems.

The Role of Western Powers in Africa’s Challenges
Can the blame be placed on Western powers, whose retrogressive and backdoor policies have conflicted with African societies? These policies have long been seen as a source of exploitation and division across the continent.

A Shift in African Geopolitics
Over the past two years, Africa has witnessed a shift in geopolitics, with the continent fighting back and taking center stage in policy discussions. This change has been driven by young, bold leaders unafraid to call out injustices inflicted by Western powers.

Expelling Foreign Troops: Is it A Stand Against Exploitation?
To safeguard Africans from further exploitation, leaders like Colonel Assimi Goita, Mali’s President, have expelled French troops from their countries. Other nations, including Burkina Faso, Chad, Mauritania, and Niger, have followed suit by removing US forces. Western troops, often disguised as promoters of regional security, have been accused of exploiting Africa’s rich mineral resources.

Dubious Tactics and Mineral Exploitation
When unable to acquire minerals directly, Western powers have allegedly resorted to dubious tactics, such as orchestrating coups and installing leaders who align with their policies. This has further deepened Africa’s struggles.

The Shift Toward Eastern Alliances
Many African nations are now turning toward the East, where they feel more secure and valued. This shift has fueled the momentum of BRICS in Africa, as citizens urge their leaders to distance themselves from Western powers that have historically undermined the continent.

Africa’s Potential to Lead
Africa’s young population, full of vigor and ambition, positions the continent as a potential leader in global politics and economics. With the right leadership and policies, Africa can reshape its narrative and take its rightful place on the world stage.

In an interview with Tim Ferriss, Bill Gurley, legendary venture capitalist and partner at Benchmark Capital, shared valuable insights on entrepreneurship, investing, and the keys to success in the tech world. Gurley has invested in some of the most successful companies globally, such as Uber, Twitter, and GrubHub, and his advice to entrepreneurs is grounded in years of experience.

Focus on Product and Team, Not Hype
Gurley emphasizes the importance of developing a great product and building a strong team. He believes that entrepreneurs should not get distracted by the hype surrounding their venture. Instead, they should focus on executing their vision and bringing their product to market in a way that resonates with customers.

Patience, Discipline, and a Strong Framework
According to Gurley, patience and discipline are critical qualities for successful entrepreneurs. It's essential to focus on finding the outliers—those standout opportunities that can truly change the market. He advocates for having a solid framework in place when evaluating potential investments and business opportunities.

The Importance of Understanding Industry Structure
One mistake Gurley identifies is that many entrepreneurs spend time perfecting their technological breakthroughs but fail to analyze the industry structure or assess whether their product is feasible in the market. According to him, a key aspect of success is understanding whether go-to-market strategies are viable and how they align with the overall industry landscape.

“Strong Opinions, Loosely Held”
Gurley highlights the concept of having strong opinions, but loosely held. In the venture capital world, investors must be willing to evolve their views as new information emerges. This flexibility is crucial, as rigid rules can lead to costly errors when assessing new ventures.

The Role of Network Effects
In winner-take-most industries, network effects play a vital role in determining which company succeeds. Gurley explains that the value of a product or service increases as more users adopt it, creating a competitive advantage that is difficult for others to overcome. Companies that can leverage network effects often dominate their respective markets.

Pattern Recognition and Flexibility in Venture Capital
Venture capital is often described as a job involving pattern recognition—identifying trends, behaviors, and characteristics that lead to success. However, Gurley warns that having overly rigid rules can result in missed opportunities. The key is to have a large tent, be open to learning, and value your network for diverse insights and perspectives.

The End of the Bull Market Fantasy
Entrepreneurs and investors may need to "unlearn" several ideas about valuation, particularly in light of the bull market that spanned from 2010 to 2023. Gurley explains that the massive growth experienced during this period was a temporary phenomenon and should not be viewed as the norm.

Financial Literacy and Competitive Advantages
Gurley compares the financial literacy of entrepreneurs in Silicon Valley to that of those on the East Coast. He suggests that while individuals in New York may have a higher level of financial sophistication, many Silicon Valley entrepreneurs may need to develop a deeper understanding of business fundamentals.

Gurley identifies network effects, customer lock-in, high switching costs, and performance as the most undervalued competitive advantages in business today.

Elite Entrepreneurs: Hyper-Curious and Constantly Learning
Elite entrepreneurs like Jeff Bezos and Tobi Lutke share certain characteristics. They are hyper-curious, constantly learning and adapting their mental models to stay ahead. Gurley believes that their ability to continuously evolve and their commitment to understanding new perspectives has been a major factor in their success.

Restoring a Culture of Mission-Focused Companies
Drawing a parallel with sports, Gurley uses the example of Duke Basketball and Coach K to illustrate the importance of having a clear mission. If Coach K prioritized the happiness of his players above the team’s goal of winning championships, the program would lose focus and fail to reach its potential. In a dynamic business world, companies must continuously adapt to changing conditions and stay aligned with their mission to remain competitive.

Kenya finds itself at a critical juncture regarding its taxation policies. Is the government paying the price for years of uncontrolled borrowing under previous regimes? Could we soon see both the public and policymakers reject some of the new tax measures being proposed? These questions demand thoughtful answers before any major tax reforms are implemented.

Proposed Tax Measures and Their Economic Implications
The Finance Bill 2024 outlines several controversial proposals, including:

Each of these measures carries profound implications for consumers, businesses, and the overall economy.

Impact on Kenya's Digital Economy and Youth Employment
The proposed hike in the digital tax could severely harm the emerging digital content industry, a key livelihood for many Kenyan youths. Digital creation offers enormous growth potential, particularly as the economy becomes more technology-driven. Overburdening this sector risks stifling innovation and diminishing a future revenue stream for the government itself.

Increasing Consumer Burden and Risking Economic Dysfunction
Sharp tax increases would likely trigger a major disruption in consumption patterns. With the already high cost of living, any additional burden could push more consumers below the poverty line. Rather than fostering economic uplift, such measures may cripple the middle and lower classes, leading to broader social and economic instability.

A Call for Gradual, Data-Driven Tax Reform
Instead of sudden, sweeping tax hikes, the government should focus on gradually broadening the tax base while maintaining reasonable tax rates. Thoughtful, data-driven policy decisions are critical to avoid unintended consequences that could weaken the economy rather than strengthen it.

Black Tax and Declining Savings: A Warning Sign
As "black tax"—the financial burden placed on individuals to support extended family members—increases, Kenya’s national savings rate continues to decline. Many Kenyans live paycheck to paycheck, leaving little room for savings, investment, or economic growth. Aggressive taxation could further erode the already fragile financial resilience.