Category: Business Daily

A Portuguese construction company battling creditors in its home country has been conditionally selected to develop the long-delayed Thuci Dam in Embu under a Public-Private Partnership (PPP), raising fresh questions over the financial strength of firms seeking major State infrastructure projects.

A report by the Public Private Partnership (PPP) Directorate shows that the State Department for Irrigation approved an unsolicited proposal by Elevolution Engenharia, SA to design, build, finance, operate and maintain the multi-purpose dam. The proposal received conditional approval in January 2026, pending the fulfilment of several requirements.

Elevolution Engenharia is the main construction arm of Portugal’s Elevo Group, which has spent years restructuring after accumulating about pound 350 million (Sh53 billion) in debt owed to banks, suppliers, tax authorities and other creditors.

Portuguese court records and media reports indicate the group’s financial troubles triggered insolvency proceedings, restructuring efforts and enforcement action by lenders.

More recently, Banco Comercial Português (BCP), Portugal’s largest private bank, moved to auction shares and bonds linked to the group in a bid to recover part of its outstanding loans.

Despite these challenges, the State Department for Irrigation says the company has not yet received final approval to proceed.

Principal Secretary Ephantus Kimotho said the PPP Committee’s approval was conditional and required the firm to demonstrate stronger financial capacity before moving to the next stage.

“The condition is to submit audited financial statements prepared by a reputable independent audit firm in accordance with internationally accepted accounting standards in place of the management accounts initially submitted,” Mr Kimotho said.

The company must also provide documentary evidence of its financial capacity and the equity or capital it intends to invest in the project.

The final cost of the dam has not been determined, although earlier estimates placed it at about Sh705 million ($5.45 million).

The Thuci Dam project is expected to provide irrigation water to about 27,500 acres in Runyenjes and Chuka Igambang’ombe constituencies, supply treated domestic water to surrounding communities and generate renewable hydropower. It also includes plans for agro-processing, tourism development, biomass energy production and carbon credit initiatives.

The project has remained on the drawing board for years, becoming a recurring campaign issue in Embu.

Initially, the government planned to deliver it through an engineering, procurement, construction and finance (EPC-F) model but later abandoned the approach because of limited public financing.

Instead, the ministry opted for a PPP model under which a private investor would finance, build, operate and maintain the dam before recovering its investment through water charges over an agreed concession period.

The proposed deal comes amid growing scrutiny of Kenya’s Privately Initiated Proposal (PiP) framework, which has attracted financially distressed firms pursuing multibillion-shilling projects.

The model came under intense public scrutiny in 2024 after India’s Adani Group proposed to redevelop Jomo Kenyatta International Airport and build electricity transmission lines. President William Ruto later cancelled both projects following the indictment of Adani Group founder Gautam Adani and other executives by US prosecutors over an alleged bribery scheme in India. The Adani Group has denied the allegations.

The Thuci Dam proposal is therefore likely to face close scrutiny as the government weighs whether Elevolution can demonstrate the financial muscle needed to deliver one of the region’s most anticipated water projects.

A network of shell companies, international remittance services, intermediary bank accounts and cryptocurrency wallets has landed two Kenyans in the crosshairs of investigators, who have frozen Sh115 million linked to them after tracing what they believe was a sophisticated money-laundering operation involving more than Sh300 million.

The frozen cash includes stablecoins in Binance wallets; $751,853.70 USDT (Sh97.2 million) linked to Glory Kithure and $896 USDT (Sh115,852) linked to Michael Machimbo.

It also comprises Sh17.6 million in cash, spread across nine accounts in Equity Bank, Stanbic, NCBA, KCB, and Absa.

Court documents obtained by the Business Daily detail how Michael and Glory allegedly received millions of shillings through a multi-layered network of intermediaries, shell companies, and crypto exchanges.

In an affidavit filed by the Assets Recovery Agency (ARA), investigators detail how the scheme operated through two parallel channels. The first involved six people and two companies, who carried out money transfers into Kenya via international remittance services.

Two people, Justice Gaturu and Richard Mwangi, and two companies, DigitalMall Global Ltd and Bitflux Fintech Ltd, were the source of funds. Money from the duo was wired through two other individuals identified as Patrick Mwendwa and Purity Michael, before eventually ending up in Michael and Glory’s bank accounts.

Money from the two companies was wired directly to their accounts.

Between October 2022 and January 2024, for instance, Michael is said to have received Sh80.7 million to his Equity Bank accounts from Purity and another intermediary identified as Kevin Kipngeno.

Some Sh17 million was also wired to his Stanbic Bank account from Bitflux Fintech Ltd during the same period.

Between July 2022 and May 2025, Glory received Sh53.6 million, where investigators pieced together 57 bank transfers, all between Sh10,000 and Sh550,000, well below the reporting threshold.

In Kenya, cash transactions of $15,000 (Sh1.9 million) or more must be reported to the Financial Reporting Centre (FRC). Cross-border transfers of $10,000 (Sh1.3 million) or more also require reporting.

This is to assist the State agency in identifying the proceeds of crime and combating money laundering, terrorism financing and proliferation financing.

‘The repeated use of amounts just below the reporting threshold is consistent with the structuring of transactions to avoid regulatory reporting requirements,’ the ARA says in the court filings.

‘When considered together with the subsequent movement of the funds through additional intermediary accounts before reaching the respondents, it constitutes a recognised indicator of the layering stage of money laundering.’

In one example, Justice received two payments of Sh454,769 and Sh454,259 from the US payments platform Chime Inc. into his Equity Bank account on November 3 and 6, 2023.

He then transferred Sh1.1 million in three instalments to Patrick’s Equity Bank account between November 4 and 7.

Patrick subsequently forwarded the money to Purity in three transactions of Sh300,000, Sh300,000 and Sh400,000 between November 6 and 8. Purity then transferred Sh500,000 each on November 6 and 7 to Glory’s Equity Bank account.

According to investigators, Glory withdrew Sh100,000 to M-Pesa and used the remaining funds for purchases, spending and transfers to other bank accounts, including Michael’s.

Court documents further show that Glory later transferred Sh5.25 million to Aristocars Ltd on December 2, 2023, in what investigators believe was the purchase of a motor vehicle.

Detectives cite the transaction as part of a pattern in which funds were allegedly moved through several accounts before being spent or invested in assets.

In a separate illustration, Justice received Sh453,029 from the international money transfer app Sendwave and Sh890,000 from one Cosmas Gatuyu before transferring Sh1.4 million to Patrick, who in turn sent Sh900,000 to Purity.

Purity then transferred Sh950,000 to the first respondent’s Equity Bank account, which investigators say later accumulated sufficient funds to pay Sh9.38 million to Ace Prestige Auto Ltd on July 18, 2024, ostensibly to purchase another motor vehicle.

‘Investigations are underway to obtain documents and records of transactions traced to international remittance services, including a Mutual Legal Assistance (MLA) request to the United States of America dispatched in May 2026,’ reads court papers.

An MLA request is a formal, government-to-government process used to gather evidence or legal documents from one country to aid in a criminal investigation or prosecution in another country.

The second money-laundering channel relied on USD Tether (USDT), a stablecoin pegged to the US dollar. The digital currency was moved through multiple accounts on the Binance crypto exchange platform to distance the funds from their origin.

The crypto scheme involved Michael, Glory, Kevin and three others identified as Samuel Simiyu, Wanza Mutuku and Eliud Korir.

Investigators say the stablecoins were transferred from an account on the crypto app NoOnes, operated and controlled by Samuel and registered through Wanza’s identification details, to a Binance wallet Michael and Glory controlled.

The two then transferred most of the stablecoins to a Binance wallet Kevin controlled, and he converted the cryptocurrency into Kenyan shillings through Binance transactions before remitting the cash to the duo’s bank accounts.

Between June 2024 and September 2024, court papers show that Michael’s Binance wallet address received a total of USDT 220,508, equivalent to Sh28.5 million at current exchange rates, in 10 transactions.

From February 2023 to November 2025, meanwhile, the account withdrew or transferred a cumulative sum of USDT 899,130 (Sh116.3 million) through 107 transactions.

Glory’s Binance wallet was found to have received USDT 930,597 (Sh120.5 million) in 62 transactions between January 2023 and November 2025 and withdrawn or transferred USDT 178,491 (Sh23.1 million) between February 2023 and January 2026.

Investigators said they interviewed Samuel in May 2026, where he said he was a cryptocurrency trader. He admitted owning and controlling a NoOnes crypto exchange account registered using his wife Wanza’s identification details and email address, according to the affidavit.

Samuel told investigators that he also owned and operated a crypto wallet on the global exchange platform OKX registered in his name. He admitted to owning an account on Paxful, a peer-to-peer (P2P) crypto marketplace that allows users to buy and sell Bitcoin and other cryptocurrencies directly with each other.

Both accounts were linked to the same email address.

“He averred that Michael approached him with a deal to use his OKX, NoOnes and Paxful accounts to transfer crypto to [Michael and Glory]’s Binance wallets. However, he claimed that he did not know the sources of the crypto that [Michael] was laundering through his crypto accounts or wallets,” the ARA says.

Wanza said while she had allowed her husband to use her email address to trade cryptocurrency on the Paxful and NoOnes platforms, she did not know the origin of the cryptocurrency that passed through those accounts.

‘The evidence discloses a deliberate, multi-layered scheme through which large sums of money, whose origin the respondents have refused to explain, were received, moved through a chain of intermediary accounts designed to obscure their source, and ultimately deposited into the respondents’ Binance exchange accounts and bank accounts,’ the affidavit says.

Neither Michael nor Glory offered any explanation for the transactions when interviewed. ‘Both exercised their right to remain silent, declining to offer any explanation, innocent or otherwise, for the funds they received,’ the agency says.

While only Sh115 million has been frozen so far, the assets recovery body estimates that the combined value of property traceable to the two exceeds Sh300 million.

The court on July 3 granted a 90-day preservation order on the funds while investigations continue.

‘In addition, the respondents are being investigated for tax evasion, having transacted cumulative sums of more than Sh300 million but have consistently filed nil returns in their tax records at the Kenya Revenue Authority,’ said the ARA.

On Sunday evening, in a stadium in New Jersey, a substitute named Ferran Torres struck the only goal of the 2026 World Cup final. Spain 1, Argentina 0. The 106th minute.

The defending champions, dethroned. The score tells you almost nothing. The details tell you everything.

Argentina did not manage a single shot on goal in 90 minutes. Their goalkeeper, Emiliano Martínez, made 11 saves, a record for a World Cup final; another way of saying his teammates abandoned him to the storm.

They played it rough, lost Enzo Fernández to a second yellow, and still they lost. But the final was only the last chapter. The muttering had followed Argentina through the whole tournament. Egypt in the Round of 16, where the beaten side left calling the officiating unfair.

Switzerland in the quarter-final. The England semi-final, where the internet noticed that Messi had never lost a match handled by the appointed referee.

Fans on three continents arrived at the same conclusion: the champions were being carried. Let me be careful here. There is no evidence that anyone paid anyone. None. Referees have ordinary afternoons. Statistics produce coincidences. Argentina won its matches and then lost the one that mattered, and that is the entire factual record.

What interests me is the speed of the suspicion. Days later, a clip found its way to me. Schoolchildren, dissecting the match with their teacher.

One child delivered the verdict without hesitation: Argentina had the referee. Argentina had everybody. And they still lost. Children say the quiet part first. Offered a defeat to explain, the young mind did not reach for tactics or fatigue. It reached for the pocket. The fix.

Call it the captured win: the belief, sometimes true, sometimes merely assumed, that victory is secured not by playing better but by owning the conditions. The referee. The committee. The gatekeeper.

The illusion does its damage even where the deed never happened.

Where superstars gather, rooms assume the whistle bends for them. Its quieter sibling is the clean win: victory that survives scrutiny because it needed nobody’s pocket, victory the watching world can believe. Now bring this home, because this was never a column about football.

Every founder building in this market knows the child’s arithmetic intimately. Somewhere between the proposal and the payment sits a hand. The tender that is technically open and practically decided. We rarely name it in daylight, but we budget for it in the dark. I have watched this story enough times to write its script.

A founder raises capital on impressive revenue. The numbers are real; the money did arrive. What the deck does not disclose is how. Then institutional investors arrive with what institutions bring: governance, audits, anti-bribery clauses. The machine stalls, not because the founder forgot how to build, but because the company’s ethos was the handout ecosystem.

Greased revenue is a captured win wearing the costume of a clean one. It survives only in the dark, and capital brings light. This is the rock and the hard place. If I pay, I am complicit. If I do not pay, I am not paid.

A founder in that position is not fully a founder. He is working for the gate. We call ourselves owners while the ecosystem quietly owns us.

This is not a public-sector illness the private sector watches from a safe distance. The same game runs left, right and centre. It has become culture, the most dangerous infrastructure, because nobody remembers building it and everybody maintains it.

Here is the harder question, and I will not pretend it resolves cleanly. When capture becomes the default explanation for every outcome, a lost tender, a won election, a football final watched from a classroom desk, the illusion has stopped being commentary and become bedrock. Which came first? Is our politics the parent of this instinct, and the founder’s daily arithmetic its child?

Or is the public stage a mirror of what we have already normalised on the ground?

Bedrock rarely reveals which layer was laid first; each hardens the other. Once it sets, even change becomes suspect. The clean player pays that tax too. I will not flatten the paradox. The clean win is slower. Sometimes it costs you the contract this quarter.

Spain’s discipline did not guarantee the trophy; one inspired goalkeeper nearly stole it anyway. But the captured win, wherever it truly exists, must be purchased again every season. New referee, new price. It cannot survive an audit or a transition. The captured win is rented. The clean win compounds.

Spain’s advantage was a system any 11 could inherit. A system explains itself. Favour, real or imagined, never does. One more mirror.

Spain won without a Messi. Sometimes the superstar the whole system bends around is us, and the founder as messiah invites the same rumours.

Reinvention means letting the golden generation go, even when the golden generation is you. The exit from this choke is built the way the bedrock was built, one transaction at a time. The children watching that final have already inherited the assumption that winners own the referee.

Sunday complicated their education. Somebody in New Jersey showed them another way to win, and another way to be believed. You cannot always know who captured the referee. You can always know who captured the game.

New vehicle sales in Kenya climbed nearly a fifth in the first half of the year as businesses ramped up investment in trucks, pick-ups and other commercial vehicles, helped by cheaper credit, a stable shilling and increased activity in the construction sector.

Data from the Kenya Motor Industry Association (KMI) shows dealers sold 7,466 new vehicles between January and June, up 19.4 percent from 6,254 units in the corresponding period last year.

The increase extended the market’s recovery after sales rebounded by 25.5 percent in 2025, signalling renewed confidence among businesses after high borrowing costs and exchange-rate volatility between 2022 and 2024 forced many firms to postpone fleet replacement and expansion plans.

A more supportive macroeconomic environment encouraged firms to invest in showroom vehicles.

The shilling remained stable against the US dollar, averaging Sh129.29 in the first half, largely unchanged from Sh129.34 a year earlier, reducing exchange rate risks for importers and fleet buyers.

Financing conditions also improved as commercial banks’ average lending rate fell to 14.5 percent in May from 15.4 percent a year earlier and below the peak of more than 17 percent in late 2024.

The decline followed successive reductions in the Central Bank Rate, which now stands at 8.75 percent from a recent peak of 13 percent in 2024, lowering the cost of asset financing for businesses.

Industry players said demand was further boosted by increased activity in construction, including the Affordable Housing Programme, road maintenance works and preparations for the planned extension of the Standard Gauge Railway to Malaba, all of which increased demand for trucks, pickups and other commercial vehicles.

‘This growth was driven by a resilient economic environment characterised by stable exchange rates, easing interest rates (CBR dropped to 8.75 percent), and lower fuel prices,’ Isuzu East Africa, the leading new vehicle dealer and a member of KMI, commented on the half year sales performance.

“Sales were further bolstered by increased economic activity in construction (Affordable Housing, SGR extension to Malaba), road maintenance, and favourable weather conditions for agriculture.’

The construction sector particularly benefited from the resumption of road projects that had stalled after contractors accumulated an estimated Sh650 billion in pending bills. About 585 projects had been suspended in 2024 because of the payment delays.

The government began unlocking the projects from 2025 through a return-to-work programme that included payment of Sh123 billion as part settlement of verified claims accumulated between 2005 and December 2024.

The settlement restored cash flows to contractors, revived demand for bank financing and encouraged purchases of construction equipment and commercial vehicles needed to execute the projects.

Fuel costs also supported purchasing decisions during much of the review period.

Although prices spiked sharply from April after the US-Israel conflict with Iran disrupted global oil markets, businesses had already benefited from relatively lower pump prices during the first quarter before the geopolitical shock filtered through to local fuel costs.

Diesel, the main fuel for commercial transport and heavy machinery, averaged Sh192.65 per litre in the first half, compared with Sh185.83 in the same period of 2024.

Isuzu East Africa remained the dominant player, increasing sales by 24.1 percent in the first half of 2026 to 3,688 units from 2,971 a year earlier. The company accounted for 49.4 percent of all new vehicles sold, up from 47.5 percent last year.

The company sells a range of pickups, trucks, buses and sport utility vehicles, making it a major beneficiary of stronger demand from transporters, contractors, government agencies and businesses renewing commercial fleets.

CFAO Mobility Kenya, the dealer for Toyota, Mercedes-Benz, Volkswagen and Hino, sold 2,381 vehicles, up 18 percent from 2,017 units, retaining its position as the country’s second-largest dealer.

Simba Corporation, franchise holder for Mitsubishi, Proton, Ashok Leyland and Mahindra, increased sales to 614 vehicles from 547, while Tata Africa Holdings posted the fastest growth among the leading dealers.

Tata’s sales jumped 78.5 percent to 391 units from 219, lifting its market share to 5.2 percent from 3.5 percent a year earlier.

Together, Isuzu and CFAO controlled more than 81 percent of Kenya’s formal new vehicle market.

The stronger sales came despite Kenya maintaining one of the region’s highest tax burdens on imported vehicles. In July 2023, the Kenya Revenue Authority raised import duty on fully built vehicles to 35 percent from 25 percent after securing approval from East African Community ministers.

The higher rate is above the 10 percent Common External Tariff applied across the seven-member East African Community, increasing the cost of importing new vehicles into Kenya.

Imported vehicles also attract excise duty of between 25 percent and 35 percent, depending on engine capacity, in addition to the standard 16 percent Value Added Tax.

Excise duty is calculated on the combined value of a vehicle’s landed cost and import duty, while VAT is charged on the cumulative value after import duty and excise tax, raising the final retail price.

Vehicle sales are widely viewed as a leading indicator of private sector investment because commercial vehicles are predominantly purchased by firms in construction, logistics, manufacturing and agriculture.

Money sent home by Kenyans living and working abroad recorded its steepest first-half decline since the aftermath of the 2008 global financial crisis, reflecting the impact of geopolitical tensions in the Middle East, a new US tax on outbound money transfers and tighter labour policies in Saudi Arabia.

Central Bank of Kenya (CBK) data shows diaspora remittances fell 3.03 percent to $2.442 billion (Sh315.75 billion) in the six months to June, down from $2.518 billion (Sh325.58 billion) during the same period last year. The decline wiped out $76.4 million (about Sh10 billion) in foreign exchange inflows.

It marks the sharpest January-to-June contraction since 2009, when the global financial crisis triggered widespread job losses in advanced economies and caused remittances to Kenya to fall by 11.4 percent.

The weakness emerged after a relatively strong start to the year, suggesting external shocks intensified in the second quarter as the conflict involving Israel and Iran disrupted economic activity across the Middle East.

Remittances rose 3.4 percent to $1.274 billion (Sh164.73 billion) in the first quarter, supported by stronger inflows in February and March.

However, the gains were erased between April and June, when inflows dropped 9.2 percent to $1.168 billion (Sh151.02 billion), representing a loss of $118.2 million (Sh15.28 billion).

Monthly data shows the slowdown gathered pace throughout the quarter, with remittances declining 5.9 percent in April, 10.4 percent in May and 11.2 percent in June, making June the weakest month of the year.

The deterioration coincided with heightened tensions in the Middle East, where thousands of Kenyans work, particularly in Gulf states.

The conflict disrupted supply chains, increased transport costs and fuelled inflation in major economies, weakening disposable incomes among migrant workers.

“The conflict in the Middle East has disrupted global supply chains and led to a sharp increase in prices and transportation costs, resulting in higher inflation and moderated global growth,” the CBK’s Monetary Policy Committee said after retaining the benchmark lending rate at 8.75 percent in June.

CBK Governor Kamau Thugge had earlier warned that the conflict would directly reduce remittances from Gulf countries, which account for about 10 percent of Kenya’s diaspora inflows, while indirectly slowing remittances from larger markets such as the United States because of weaker economic growth.

The World Bank also warned in June that up to $40 million (Sh5.2 billion) in monthly remittances to Kenya was at risk because of the conflict.

The slowdown also coincided with the introduction of a one percent US excise tax on outbound money transfers, which took effect on January 1 and increased the cost of sending money home. Analysts have warned that the levy could encourage migrants to reduce formal remittances or shift to alternative channels such as cryptocurrencies.

Although the CBK is yet to release country-by-country data for May and June, its latest figures show remittances from the United States-the source of more than half of Kenya’s diaspora inflows-fell 8.4 percent to $813.6 million (Sh105.12 billion) in the first four months of the year from $888.4 million (Sh114.87 billion) a year earlier.

The $74.8 million (Sh9.67 billion) decline from the US alone was almost equal to Kenya’s entire first-half reduction, underlining America’s central role in the slowdown. The US share of Kenya’s remittances also dropped to 48.7 percent from 53.7 percent a year earlier, marking the first time in recent years that less than half of recorded remittances originated from the US.

Before the tax took effect, Kenya Diaspora Alliance global chairman Shem Ochuodho warned that higher transfer costs could encourage migrants to seek cheaper alternatives.

Saudi Arabia, another major remittance source, also recorded a sharp decline. Inflows from the kingdom dropped 24.8 percent to $88.7 million (Sh11.47 billion) in the first four months from $117.9 million (Sh15.24 billion) a year earlier following labour market reforms aimed at increasing employment of Saudi nationals and slowing economic activity.

Despite the weakness in North America, which saw remittances fall 11.6 percent to $1.278 billion (Sh165.2 billion), stronger inflows from other regions cushioned the overall decline.

Remittances from Europe increased 14.3 percent to $514.3 million (Sh66.5 billion), while transfers from the rest of the world rose 4.4 percent to $649.5 million (Sh83.98 billion). Together, the gains partly offset the sharp slowdown from Kenya’s traditionally largest remittance markets.

World over, access to energy is a lifeline. Reliable, affordable, and sustainable power creates quality jobs, protects livelihoods, boosts security, drives down the cost of doing business and promotes economic growth.

According to economic regulation theory, competition is an enabler to reduction in prices, improved service delivery, consumer experience and delight. Kenya has been among trailblazers in having in place The Energy (Electricity Market, Bulk Supply and Open Access) Regulations beginning May 8, 2026.

This follows decades of progress which saw the traditional vertically integrated utility model evolve to unbundling of generation, transmission and distribution in the electricity sector. Developed economies such as the United States of America and India have been on the path to open access for over two decades. The United States began implementing open access in phases in 1920.

The reforms aim to provide new suppliers access to the market, potentially reducing costs for consumers.

While the goals for open access may be common, each country’s journey and challenges remain unique and shaped by every nation’s peculiar economic, social, and regulatory environment.

The open access concept allows different providers of electricity to make use of the underlying distribution and transmission infrastructure owned by incumbent utility companies at a fee in the form of wheeling charges.

The regulations speak to the establishment and participation in the electricity market, bulk supply, open access, market governance, principles, operations and functions of the system operator among other pertinent issues.

There is no doubt that adopting a more ambitious conception of access may bring conflicting priorities, as well as a scale of challenges, more clearly into focus. A key concern has been that of utility death spiral, in simple terms, a situation where customers reduce their reliance on and leave traditional utilities, forcing them to raise rates on the remaining clients with fears of even driving even more customers away, causing revenue drain and possible financial collapse.

However, and in the words of Sakshi Pawar, Vivek Shastry and Andrew Kamau, open access is not just about opening the grid to more players; it’s about building a resilient, transparent, and competitive electricity market that benefits consumers, investors, and ideally the environment.

Now, more than ever, Kenya needs to ensure that the benefits of energy and more so clean and renewable power are available to all. This is not only a matter of equity but a Kenyan constitutional and statutory imperative. Indeed, traditional utilities such as Kenya Power and Ketraco may have to consider decoupling and diversifying their revenues and profits from energy sales to include transmission and distribution lines monetisation and optimisation.

The Energy and Petroleum Regulatory Authority on the other hand and in discharging its statutory mandate should continue to ensure just and reasonable, cost-reflective tariffs and the implementation of the regulatory framework that allow the utilities to recover the fixed costs of long-term contracts from the broader market created after liberalisation.

Land prices at Kenya’s Coast have grown in value over the past five years, but finding ready-to-develop-plots remains difficult due to unclear ownership, environmental regulations and infrastructure gaps.

Demand for beach-front homes, hotels and mixed-use developments is rising along the Coast, but investors are increasingly willing to pay a premium for something less visible than ocean views or a prime location: a secure land title.

That has helped drive land prices in Diani. In the five years to December 2025, Diani emerged as the Coast’s strongest-performing land market, with an acre of a beach-front plot going for Sh65.3 million. The average land value rose 79.1 percent, according to a Hass Consult report.

Diani was followed by Watamu, that is now attracting holidaymakers, retirees and property investors. In Watamu, land prices increased by 70.4 percent to Sh44.5 million an acre.

This was followed by Lamu Island (Sh139.9 million an acre), recording growth of 59.7 percent and Bamburi (Sh97.4 million an acre), posting a 56.6 percent.

Other coastal markets also posted significant gains. Kikambala recorded a 42.1 percent increase, Kilifi Town rose by 40.1 percent, Mombasa City gained 38.3 percent, while Shanzu recorded growth of 32 percent.

More established markets such as Nyali, Vipingo and Malindi recorded slower appreciation.

Land values in Nyali increased by only 24 percent over the five-year period, while Vipingo and Mtwapa each recorded growth of 24.7 percent, reflecting their more mature property markets and tighter development conditions.

According to property firm Hass Consult, the variation in performance reflects differences in land availability, infrastructure, environmental constraints and ownership certainty.

‘Availability remains tightly constrained by environmental protection, infrastructure gaps, and, in some areas, unclear titling… these constraints are amplifying price responses to demand surges, particularly in areas with the highest ‘beauty premium’, as the widest and most attractive beaches, and with access to strong services,’ the firm said.

Malindi and Kilifi

The report adds that although Kenya’s coastline appears to offer vast opportunities for development, much of the land remains difficult to transact because ownership has not been fully formalised.

Much of the Coast is still community land, where ownership has not been formally registered.

In some areas, overlapping claims, long-running ownership disputes and informal settlements have made it difficult for investors to buy land with clear legal titles.

On paper, plenty of land is available. In reality, much of it cannot be bought, financed or developed. Areas such as Lamu Island and parts of the Tana Delta have much lower private title coverage, estimated at between 10 and 20 percent, with community ownership remaining dominant.

Malindi and Kilifi retain significant areas under community tenure, while Diani and Watamu generally have clearer ownership structures.

‘Where indigenous communities held customary rights, tracts were never formally registered, or colonial/early post-independence processes did not convert land to freehold titles,’ said Hass Consult.

‘These reduce market liquidity and risk-discount land values. It also raises risks of land disputes, with sometimes overlapping customary claims, including land next to beaches and sand dunes, which are often claimed under clan customary rights. Such disputes delay investments and create development bottlenecks.’

Nyali remains the most expensive, with land at the Coast selling at Sh146 million per acre, driven by its prime location, established services and proximity to Mombasa.

‘But it is now constrained by near build-out, very limited remaining land supply, and its high pricing level relative to alternative coastal options,’ the firm said.

Environmental pressures are adding another layer of complexity.

Coastal erosion, shoreline protection rules and planning restrictions are reducing the size of land suitable for development.

Some sections of Nyali Beach are losing between one and two metres of shoreline annually, while Bamburi and Diani also face erosion challenges.

Infrastructure shortages are further affecting development costs.

Developers along the Coast are also contending with unreliable water supplies and limited sewerage systems. Many are forced to drill boreholes, build treatment plants or invest in other private infrastructure, adding to the cost of new projects.

The just-ended 2026 FIFA World Cup became the most searched tournament in Google’s history in Kenya as fans looked beyond match results to football technology, fan culture and the sport’s biggest personalities.

Google search data shows interest extended beyond scores and fixtures, with fans searching for public viewing venues, the science behind the official match ball and football traditions.

Argentina’s dramatic stoppage-time winner against Egypt in the Round of 16 triggered Google’s highest-ever search traffic globally, setting a new record for queries per second.

‘Throughout the tournament, Kenyans turned to Google Search to follow the biggest matches, and to explore the traditions, technology, personalities and moments that defined football’s biggest spectacle,’ said Google.

The World Cup ran from June 11 to July 19 across the United States, Canada and Mexico, drawing billions of viewers and unprecedented online engagement.

In Kenya, France versus Morocco emerged as the most searched match during the tournament, ahead of Brazil against Norway and Brazil against Japan.

Norway’s clash with England ranked fourth among the country’s most searched fixtures, followed by Portugal against Spain.

Searches for public World Cup viewing venues rose by 700 percent during the final two weeks as fans increasingly sought communal spaces to watch decisive knockout matches.

Interest in “World Cup finale watch parties” also jumped 160 percent in the days leading to the final.

‘Over the past two weeks of the tournament, searches for public World Cup viewings surged by 700 percent, highlighting the growing appetite to experience the competition together at fan parks, restaurants and other viewing venues across the country,’ wrote the tech giant in its report.

The jumps highlight the growing popularity of organised fan parks and entertainment venues that have increasingly become central to major sporting events.

Football traditions also attracted growing curiosity among Kenyan fans during the month-long competition.

Searches for “La Ola”, popularly known as the Mexican wave, rose 130 percent compared with the 2022 FIFA World Cup.

Kenyan searches also reflected sustained interest in African football stars competing on the world stage.

Egyptian captain Mohamed Salah emerged as the most searched African footballer in Kenya during the tournament.

Cape Verde’s goalkeeper Vozinha ranked second, followed by South African midfielder Jayden Adams.

Moroccan nationals Achraf Hakimi and Ismael Saibari completed the list of the country’s five most searched African players.

The data shows that global football icons continued dominating online attention throughout the competition, with Lionel Messi, Cristiano Ronaldo, Kylian Mbappé, Lamine Yamal, Rodri and Ferran Torres ranked among Kenya’s most searched footballers during the tournament.

‘Kenyans searched for Lionel Messi only 10 percent more than Cristiano Ronaldo during the World Cup. The GOAT debate is still alive!’ said Google.

‘Searches for ‘Who is the GOAT of football?’ increased 200 percent during the World Cup.’

Beyond players and matches, Kenyan fans increasingly searched for information explaining the technology behind modern football.

Searches related to the official FIFA World Cup match ball surged 290 percent during the tournament’s opening week.

Overall interest in the official match ball was also 10 percent higher than during the 2022 World Cup.

Many users searched for technical questions rather than product specifications, with popular searches including the type of air inside the official ball and how it is manufactured.

Others wanted to know whether the match ball is rechargeable and how it is charged.

Other searches also focused on the cost of the official World Cup ball and what distinguishes it from ordinary footballs.

The findings highlight growing consumer interest in sports technology alongside traditional football content.

Google said the search trends demonstrate that online engagement increasingly extends beyond live match coverage into wider curiosity about the sport.

The High Court has declined to strike out pleadings filed by a local contractor’s lawyer who practised without a valid practising certificate in litigation linked to British multinational Diageo’s planned Sh303 billion sale of its entire 65 percent stake in East African Breweries Plc (EABL).

At the same time, the court rejected contractor Jilk Construction Ltd’s bid to disqualify its former advocate, Mohammed Muigai LLP, from representing EABL over alleged conflict of interest in the dispute.

In separate rulings that left both legal teams intact in the ongoing corporate dispute, the court held that advocates should only be barred where a real conflict of interest is proven, and that clients should not lose their cases because their lawyers failed to hold valid practising certificates.

The court declined to strike out pleadings filed by Jilk Construction’s lawyer, Kibe Mungai, despite finding he practised without a valid certificate for more than two months. Instead, it barred the advocate from recovering legal costs for work undertaken between January 1 and March 10, 2026, when he lacked a valid practising certificate.

Justice Francis Gikonyo also dismissed separate applications by Diageo and Kenya Breweries Limited (KBL) seeking broader sanctions against the advocate, including expunging court documents and barring him from appearing before the court.

The rulings keep alive litigation surrounding the sale of Diageo’s 65 percent stake in EABL. The British multinational is also selling its 53.68 percent ownership in spirits maker UDV Kenya to Asahi, with the two transactions valued at about Sh387 billion.

Jilk is challenging the EABL transaction while pursuing about Sh3.4 billion in claims arising from refurbishment contracts at Kenya Breweries Limited’s Kisumu brewery awarded between 2017 and 2019, saying the proposed share sale should not overtake its pending arbitration, constitutional and commercial disputes.

KBL is a subsidiary of EABL. The litigation has expanded beyond arbitration into constitutional, commercial, competition and criminal proceedings while intersecting with legal challenges to Diageo’s planned sale of its Kenyan interests to Asahi Group Holdings.

Diageo had argued that Jilk’s lawyer, Mr Kibe, acted as an unqualified person because he did not obtain his 2026 practising certificate until March 11. The company asked the court to declare his conduct contemptuous, expunge documents filed during the period and deny him audience until costs were paid.

The judge agreed that the advocate practised without a valid certificate between January 1 and March 10 after reviewing evidence from the Law Society of Kenya and Mr Kibe’s own explanations regarding delays linked to the society’s upgraded electronic licensing system.

However, the court held that the omission did not invalidate documents or proceedings undertaken for the client.

“No instrument or document… becomes invalid… only by dint of its having been prepared by an advocate who at the time was not holding a current practising certificate,” Justice Gikonyo said.

The judge added that the Advocates Act expressly preserves the validity of pleadings, affidavits and other legal documents prepared by advocates without practising certificates.

He also extended that reasoning to courtroom appearances. “Appearance as part of proceeding… is saved and is not invalid,” the judge said, adding that any misconduct should instead attract sanctions against the advocate rather than deprive litigants of their cases.

In another ruling, Justice Gikonyo dismissed Jilk’s application seeking to remove Mohammed Muigai LLP from representing EABL.

Jilk argued that the law firm previously advised it during arbitration arising from the Kisumu brewery project and therefore possessed confidential information.

The court found no evidence of actual prejudice or conflict. “Where a party asserts that conflict of interest exists, he must provide sufficient evidence,” the ruling states. The court held that Jilk failed to demonstrate “real mischief or real prejudice” that would justify restricting EABL’s choice of lawyers.

The court also rejected KBL’s application to cite Jilk for contempt over letters sent to the Competition Authority of Kenya and the Director of Public Prosecutions.

Justice Gikonyo held that the letters “were issued for different purposes altogether” and “did not amount to fragmentation or duplication of proceedings”.

He similarly declined to halt related criminal proceedings, saying concurrent constitutional and criminal cases are permissible unless shown to be abusive or unlawful.

At the same time, the court refused Jilk’s application to lift conservatory orders suspending publication of the arbitral award arising from the Kisumu brewery dispute, leaving the award on hold while constitutional questions are determined.

The wider dispute stems from construction works undertaken at Kenya Breweries’ Kisumu brewery before expanding into arbitration, constitutional litigation, commercial claims, regulatory complaints and criminal proceedings.

It has since become intertwined with separate challenges seeking to stop Diageo’s proposed $2.3 billion exit from EABL and the transfer of its controlling stake to Asahi Group. Diageo announced the sale in December 2025 as part of a global strategy to streamline its portfolio and reduce debt.

The acquisition would give Asahi control of Diageo Kenya, EABL and Diageo’s majority stake in UDV Kenya, subject to regulatory approvals.

A transport company seeking Sh1.5 billion in damages from Absa Bank Kenya over an alleged data breach has told the court it has engaged an independent auditor to quantify the financial losses it claims to have suffered following the alleged unlawful disclosure of its confidential banking records to a third party.

New Mega Africa, which is suing the bank over the alleged breach, sought more time to present the auditor’s expert report, telling the court that the auditor is currently undertaking field assignments outside the country.

At the same time, one of the bank’s intended witness has withdrawn from the case, citing personal reasons. In a letter copied to the parties and the court, Ms Sophie Omondi said the proceedings had taken a toll on her personal life and that she wished to move on.

“For the foregoing reasons, I wish to withdraw as a witness in the case,” she said.

She indicated that the decision also applied to a related case involving the same parties pending before a Nairobi court.

The developments came as former Absa Bank Coast Region Sector Head for Business Banking Mr Evans Murumba testified that New Mega Africa’s confidential financial information was disclosed to third parties in breach of customer confidentiality, evidence the company says supports its claim that the alleged data breach caused it substantial financial losses.

Mr Murumba told the court that New Mega Africa had been a strong performing customer whose credit facilities were progressively increased after the bank established that the business was financially sound.

According to him, the company’s fortunes changed during the Covid-19 pandemic after its key client, Tororo Cement, extended its payment period, straining the transporter’s cash flow and forcing it to seek an extension of its temporary overdraft before later applying for a restructuring of its credit facilities.

“I do confirm that the bank gave the company a temporary overdraft line as it looked for a suitable supplier who will not only take the guarantee on the new terms but also give it an extra limit of Sh5 million to cushion it in the short run,” said Mr Murumba.

He said that despite recommending the restructuring request and assuring the company that approval would be secured within seven days, the process stalled following the transfer of the client’s relationship from one manager to another.

Mr Murumba testified that the delays coincided with what he described as an unlawful disclosure of the company’s confidential financial information by then relationship manager, Mr Wycliffe Makori, to a third party.

He said that after a meeting at the company’s offices attended by himself, Mr Wycliffe Makori and the then incoming relationship manager, Ms Omondi, the bank assured the company that its restructuring request would be processed urgently.

However, about an hour after the meeting, the company’s director, Mr David Abai, telephoned him to report that he had received a call from Mr Jared Makori, then the Kenya National Highways Authority regional manager.

According to Mr Murumba, Mr Jared Makori informed him (Mr Abai) that Mr Wycliffe Makori had disclosed that New Mega Africa was facing financial difficulties, that the bank was considering recalling its credit facilities and auctioning its securities, and warned him against entering into any financial dealings with the company.

“The purpose of the call was to warn him against any potential financial dealings with the company. Mr Wycliffe Makori further advised Mr Jared Makori to inform all other friends or businesses who would potentially enter into any financial dealings with the plaintiff to exercise extreme caution,” Mr Murumba said.

He testified that he considered the disclosure a blatant breach of customer confidentiality, duty of care and data protection laws.

He added that when he summoned Mr Wycliffe Makori to explain himself, the relationship manager admitted making the call.

“The actions by Mr Wycliffe Makori were, in my view, not in good faith and amounted to utter misconduct. When reviewed alongside his reluctance to hand over the client relationship to Ms Omondi, I found it deeply disturbing because it amounted to a blatant breach of client confidentiality, duty of care and data protection laws, mainly intended to cause panic and reputational damage to the client among its business associates,” Mr Murumba said in his witness statement adopted as evidence.

Absa Bank has denied the allegations.

Although he escalated the matter for investigations and disciplinary action, Murumba said he was later informed that the bank had concluded there was no material risk arising from the disclosure and recommended no further action.

“I was also cautioned that admitting such an allegation to the company director or even taking disciplinary action would be tantamount to the bank admitting liability,” he testified.

Murumba further told the court that opposition to the company’s restructuring request later intensified after concerns were raised internally over its ownership structure, despite his disagreement with those concerns.

He said the prolonged delays left the company unable to obtain additional financing while all its assets remained charged to the bank, eventually crippling its operations.

“I watched the company’s business crumble due to its inability to execute the existing contracts. The most significant one was the repossession of the eleven brand new trucks that had been leased to it by Mombasa Cement,” he said.

Murumba added that after issuing Wycliffe with a verbal warning and raising concerns over the bank’s handling of the matter, he began experiencing resistance in pursuing the company’s restructuring request.

“As a longstanding banker, I am aware that all banks, including Absa, train their staff on the legal implications of failing to protect client information, including obligations relating to data protection, duty of care and customer confidentiality,” he said.

Mr Jared also testified, confirming that Wycliffe had called him and discussed New Mega Africa’s financial position.

“The conversation happened. I can confirm,” he said.

However, when questioned by the bank’s lawyer, he said he had no recording of the conversation.

He also denied having any business interest in the company, saying he only knew its director, Mr Abai.

In the suit, New Mega Africa, which transports clinker from Kenya to Tororo, Uganda, for cement manufacture and processing, accuses Absa Bank of financial sabotage by disclosing its confidential financial information to third parties without its consent.

The company alleges the bank breached its duty of confidentiality by printing and sharing its financial statements without authority, exposing sensitive information to strangers.

It further claims that the bank’s failure to approve its loan restructuring request promptly, coupled with prolonged delays in responding to repeated requests, crippled its operations.

According to the company, the leaked financial information scared away potential financiers, who declined to extend credit after concluding that it was financially distressed and incapable of servicing additional loans.

Absa Bank has denied the allegations, maintaining that neither it nor its employees disclosed the company’s financial information or warned third parties about its financial position.

The bank argues that the data breach claims are baseless and without merit, adding that internal investigations found no evidence of wrongdoing by the bank or any of its staff.