Category: Business Daily

The accountancy profession in Kenya has come a long way since the early days when the Certified Public Accountant (CPA) qualification was the primary and often the only pathway into the field.

Today, the Institute of Certified Public Accountants of Kenya (ICPAK) boasts more than 40,000 members and an additional 50,000 potential members , many of whom hold undergraduate degrees, master’s qualifications and even PhDs.

The modern Kenyan accountant is no longer defined solely by the CPA certificate but by a blend of academic grounding and professional training.

Yet despite this evolution, the entry requirements for the CPA qualification remain anchored in an era when global mobility was not a priority and when professional recognition across borders was not a pressing concern.

In the contemporary world, labour markets have become global, and professional mobility is now a key determinant of opportunity. Across the International Federation of Accountants community, the CPA designation is widely treated as a postgraduate professional qualification, accessible primarily to those who already possess a university degree.

This is the case in the United Kingdom, Canada, Australia, New Zealand, South Africa, and increasingly Nigeria. These jurisdictions have built strong, globally recognised accountancy brands precisely because their qualification frameworks align with higher education systems.

The mismatch between Kenya’s entry requirements and those of peer countries has made it difficult for ICPAK to secure mutual recognition agreements, even though the Kenya Accountants and Secretaries National Examinations Board (Kasneb) curriculum is rigorous and respected.

Kenyan CPAs often find themselves facing barriers abroad not because of competence, but because of structural misalignment.

This reality calls for introspection. It is time for ICPAK to look in the mirror and consider reforms that will future-proof the profession. Raising the entry requirement to include a bachelor’s degree is not about exclusion; it is about aligning Kenya with global standards and unlocking opportunities for the next generation.

In Kenya’s public service, accountants have long faced discrimination in job grading because the profession lacks a clear degree-based entry point. Elevating the entry requirement would help align the profession with others that have traditionally enjoyed better remuneration, clearer career progression, and recognition through allowances such as non-practice compensation.

Reform, however, must be thoughtful and inclusive. Thousands of competent CPAs entered the profession through the traditional route, and their contributions cannot be discounted.

A transition period would allow those without degrees to pursue bridging programmes, and here ICPAK has a unique advantage, its ownership of KCA University. This provides a ready-made platform for flexible, affordable degree pathways tailored to CPA holders.

Recognition of prior learning can also ensure that experienced professionals receive credit for their work and training. A phased implementation over several years would protect current students while signalling a clear direction for the future.

Other countries have successfully navigated similar transitions. South Africa restructured its entire qualification pathway to align with university education, resulting in one of the world’s most respected accountancy systems.

Nigeria has progressively strengthened ICAN’s entry requirements to enhance global recognition. Rwanda and Uganda are moving toward harmonised, degree-anchored pathways under regional frameworks. Kenya, already one of Africa’s leading accountancy jurisdictions alongside South Africa and Nigeria, has every reason to take a bold step that cements its leadership.

Ultimately, this is a strategic moment for ICPAK. Reforming CPA entry requirements is not merely an administrative adjustment, it is a redefinition of the profession’s identity for the next half-century.

It is an investment in excellence, a commitment to global competitiveness, and a recognition that the world has changed. The next generation of Kenyan accountants deserves a qualification that opens doors across borders and stands shoulder to shoulder with the best in the world.

The time to act is now, and the profession must embrace this moment with courage, vision, and a clear sense of responsibility to its future.

‘It is always urgent, ‘here and now’ without any possible postponement. Life is fired at us point-blank,’ said Jose Ortegay Gasset.

When is the business problem not the real problem? Why do most small businesses fail? How can one survive, and even prosper? Is access to credit funding what smaller enterprises need most? Is the bigger the customer problem solved, the more valuable the enterprise? Does creative destruction fuel innovation and change in both the tiny shop at the side of the road, and the development partner dispensing millions of dollars?

Many Kenyan small businesses struggle because they are often competing in the same crowded spaces, using the same business models, targeting the same customers, and reacting to the same economic pressures. The issue is usually not a lack of effort. It is a lack of differentiation, weak systems, limited strategic thinking, and survival-mode decision making.

an three years. Business is tough. It’s almost like there are two types of people: employees who go to the ATM at the end of the month, certain of finding cash in the bank, and those who live in the uncertainty of a constant hustle.

Is access to money the answer?

Many business owners and even banks think access to finance solves problems. It usually does not. If a business has no differentiation, weak margins, and no repeat customers, then more access to credit simply delays failure.

‘Money to sell’ is the Coca-Cola-like product banks and financial institutions have on offer. But access to money is not the prime problem facing most small and medium businesses. Success is driven by identifying a specific customer need, providing a unique value proposition and maintaining an ability to compete with adaptability to change. Many small businesses are trapped in imitation economics. They ask ‘What business is working?’ instead of ‘What important problem is being poorly solved?’ Having that shift in mindset changes everything.

Does a copycat business survive?

Most entrepreneurs enter visible businesses. People copy what they can easily see succeeding. Price wars, thin margins, customer disloyalty and constant cash flow pressure are the result.

A business without distinction becomes a commodity. Strong businesses solve painful, expensive, recurring problems. Most small businesses mainly sell inventory.

Does a hardware store sell cement? Or, does it sell ‘fast affordable rural house completion solutions’? Most hair salons cut hair. Or, does an astute salon owner sell confidence, convenience, grooming subscriptions, and professional image management?

Being in a reactive survival mode mindset stops one from being big-picture strategic. Many owners spend almost all their time chasing sales, paying urgent bills, handling daily crises, managing staff and negotiating debt. Very little time is spent on: innovation, partnerships, market positioning and creating systems.

Most businesses try to serve everyone. But markets reward specialists. How trusting is your business sector? Trust is fundamental in any relationship. ‘Will they do what they promised?’ Can they deliver quality, on time, on budget?’ Trust deficits increase business friction with late payments, unpredictable procurement, contract uncertainty and corruption risks

Businesses that will grow disproportionately in Kenya in the future will likely be those that see what others missed, solve pressing customer problems, organise fragmented markets, build trust systems, create platforms, package expertise and leverage technology intelligently.

Does only the jargon change?

Many development partners work on the traditional way of doing things path, which has been there for 50 years plus, for instance, five-year plans, log-frames, monitoring indicators, workshops and reports. The jargon changes, but the fundamental assumptions are the same.

Leading-edge development partners are taking on more venture capital model – for instance, shorter time frames, quick test and learn, challenge matching funds, embedded tech expertise, not just meetings and slide decks. Are development partners using outdated tools? An analogy would be a plumber with only a saw. Is there a risk of using old tools and mindsets – to fix today’s complex problems?

Constant storm reality

With the termination of USAid beginning in January 2025, the donor – NGO community has undergone a radical shake-up. This, along with the conflicts in Ukraine, and now in the Middle East, has shifted affluent countries’ spending priorities.

Creative destruction is the force impacting both profit-driven small businesses and development partners, working in what economists would call ‘the realm of the social good’.

Creative destruction drives innovations, technologies, or business models that disrupt and replace older, established ones, driving long-term economic growth, while causing short-term disruption.

Economist Joseph Schumpeter described a ‘perennial gale’ of competitive destruction that forces us all to adapt in the tsunami waves of turbulence in the here and now.

Kenya’s exports earnings for goods sold to the United Arab Emirates (UAE) suffered their sharpest decline in years in 2025, knocking the Gulf nation from its position as Kenya’s leading export destination outside the East African Community (EAC).

This came in the year Kenya signed a trade deal aimed at deepening access to the UAE.

Data from the Kenya National Bureau of Statistics (KNBS) shows exports to the Gulf nation fell by Sh23.57 billion to Sh77.77 billion in 2025 from a record Sh101.34 billion the previous year.

The 23.26 percent drop saw the UAE lose its ranking as Kenya’s top export market outside the EAC to the United States, whose imports from Kenya declined at a slower pace of 10.33 percent to Sh79.68 billion from Sh88.86 billion in 2024.

KNBS attributed the sharp decline in exports to the UAE to ‘reduced domestic exports and re-exports particularly in kerosene-type jet fuel and tea’.

The jet fuel re-export classification occurs when foreign-registered airlines such as UAE’s Emirates, flyDubai, and Etihad refuel at Jomo Kenyatta International Airport (JKIA) in Nairobi or Moi International Airport in Mombasa.

Jet fuel sold locally to foreign airlines is statistically recorded by Kenya Revenue Authority as a re-export to the airline’s home country because Kenya imports much of its aviation fuel from Gulf suppliers such as Oman and other Middle Eastern markets.

This means fluctuations in flight activity, fuel demand and global oil trade can influence Kenya’s export figures to the UAE even without locally produced petroleum products.

Overall, the Gulf nation slipped to third place among Kenya’s export destinations after Uganda and the US.

Uganda retained its position as Kenya’s biggest export market, with export earnings rising to Sh162.26 billion in 2025 from Sh125.94 billion a year earlier.

The reversal marked the steepest annual drop in Kenya-UAE trade in more than a decade, wiping out part of the gains made in 2024 when exports had surged by 81.2 percent.

The decline came in a year Kenya signed a Comprehensive Economic Partnership Agreement (CEPA) with the UAE in a bid to ease market access for Kenyan goods, including livestock and meat products.

The agreement is part of a broader push by President William Ruto’s administration to position the Gulf region as a key destination for Kenyan exports and investments.

The UAE has been one of President Ruto’s most frequently visited destinations since taking office in September 2022, with State House officials saying the trips were aimed at unlocking trade and investment opportunities.

Investments, Trade and Industry Cabinet Secretary Lee Kinyanjui said in February that discussions with Gulf partners had revealed vast untapped export opportunities for Kenya, especially in livestock and meat products.

‘The discussions we have had with counties in the Gulf region like the UAE offer us a huge opportunity for export of meat and meat products. We are not able to even get to 10 percent,’ Mr Kinyanjui said on Fixing the Nation show on February 4.

He said Kenya needed to scale up both livestock numbers and quality to compete effectively in Gulf markets.

‘The conversation we should be having in some of these areas that are pastoral in nature is how to double our livestock population, and also quality,’ he said.

However, Kenya faces major domestic supply constraints that complicate ambitions to expand meat exports. The country’s annual red meat demand is estimated at about 800,000 metric tons against production of roughly 607,000 metric tons, highlighting supply deficits even before factoring in export needs.

President Ruto has previously linked reforms in the livestock sector to Kenya’s export ambitions in the Gulf market.

His administration’s controversial push for a national livestock vaccination programme in December 2024 was partly framed as a strategy to help Kenyan meat products meet international standards and unlock higher-value export markets such as the UAE.

‘We are determined to carry out the vaccination programme for our livestock in an effort to increase prices for our livestock products and meet international market standards,’ Dr Ruto said at the time while defending the programme against critics.

The sharp fall suggests that the record export earnings from the UAE posted in 2024 was boosted by unusually strong fuel trade flows which was not sustained last year.

The data exposes Kenya’s dependence on a narrow range of export products, leaving earnings vulnerable to fluctuations in commodity markets and global fuel demand.

Despite the decline, the UAE remains one of Kenya’s most important export markets in the Gulf region.

Exports to the UAE have expanded more than 30-fold over the past two decades, rising from Sh2.39 billion in 2004 to Sh77.77 billion last year.

Mr Kinyanjui has warned that failure to capitalise on negotiated trade agreements such as the Kenya-UAE CEPA would undermine efforts to create jobs and expand exports.

‘For the longest if you told any Kenyan to increase production, they will be asking where the market is. But now that we have answered that question, we need a huge leap in terms of increasing our productivity because it takes money to negotiate these agreements,’ he said.

‘So if you negotiate them [trade pacts] and they remain as documents gathering dust in government offices, that will be a sad day for Kenya especially with volumes of unemployment and poverty levels.’

President William Ruto and International Monetary Fund (IMF) Managing Director Kristalina Georgieva have held talks in Nairobi in the race to unlock a new funding before July.

Kenya says it is nearing the end of talks with the IMF on the possibility of a new a multi-billion shilling funding programme in discussions that began in March 2025 without bearing fresh loans.

The Treasury has omitted IMF funding from national budgets for four fiscal years to June 2030, but is keen on new loans amid fears of external shocks in the wake of the US-Israel war against Iran. Kenya has been without an IMF programme since March last year when the fund froze loans after the country failed to meet key performance indicators.

‘Most likely, we will have an agreement in June or July on whether we get a funded programme, but I cannot say with certainty when our conversation with the IMF will conclude,’ John Mbadi, the National Treasury Cabinet Secretary.

Ruto and IMF’s Ms Georgieva held talks on Tuesday on the sidelines of the concluded Africa Forward Summit as the fund’s senior executive highlighted discussions on reforms which would underpin a new programme.

The IMF has had prior missions to Kenya and secondary discussions in Washington over the last 12-months but is yet to conclude its assessment on Kenya’s request for fresh support.

‘We discussed the reforms needed to unlock more private investment across Africa, as well as progress on Kenya’s own reforms and continued fund support,’ Ms Georgieva said in a social media post.

Kenya omitted funding from the IMF in the budget starting July in the wake of uncertainty whether fresh talks could unlock multi-billion shillings loans.

Documents tabled in the National Treasury showed that Treasury was not expecting new flows from either of the fund’s options including the extended credit facility (ECF), the extended fund facility (EFF) or the resilience and sustainability fund.

The country would be obligated to adhere to a strict reform path including commitments to significantly cut the fiscal deficit, new revenue measures and State-owned enterprises (SOE) interventions.

Funding from the IMF has been associated with tough lending conditions, among them; higher taxes, job freezes and spending cuts.

The National Treasury has noted that the appeal of an IMF programme lies in its support for structural and fiscal reforms as opposed to funding.

‘IMF is not supposed to fund Kenya. We just need to be in a programme with them to support the strengthening of our fiscal position in the case of shocks like the ones we have now,’ added Mr Mbadi.

The World Bank Group, a sister organisation to the IMF that mostly disburses funds for development projects, is widely expected to take over as Kenya’s lead source of concessional/cheap external financing.

The bank’s development policy operations (DPO) is expected to anchor the cheap external financing, facilitating flows of Sh170.5 billion in each cycle, beginning July 2026 to June 2030.

World Bank loans tend to have longer tenures and carry less stringent conditions when compared with the IMF facilities which are short-to-medium term and tackle immediate economic concerns.

Kenya has faced a dilemma in exercising its access to IMF resources, as it seeks on one hand to appear as a mature economy, capable of raising resources from international capital markets.

On the other hand, Kenya is anxious of being locked out of capital markets if interest rates accelerate as a factor of the ongoing conflict.

Co-operative Bank of Kenya has posted a 21.2 percent growth in net profit to Sh8.4 billion in the first quarter of trading ended March 2026 on increased interest and non-interest income.

The group’s net earnings grew from Sh6.93 billion posted in a similar quarter last year. This was on the back of net interest income growing by 12.2 percent to Sh15.98 billion and non-interest income rising 16.3 percent to hit Sh8.07 billion.

‘This is the best-ever performance to be recorded in a single quarter. This strong performance underscores the significant gains made under the 2025-2029 Good to Great Strategy and the Soaring Eagle Transformation Agenda,’ said Co-op Bank’s managing director Gideon Muriuki.

The review period saw the company’s operating expenses rise by 8.4 percent to Sh12.74 billion from Sh11.74 billion, with the spending on staff costs rising to Sh5.47 billion from Sh4.92 billion.

The rise in Co-op Bank’s staff costs was on the back of hiring additional employees as the lender expanded its branch network. The bank said its headcount grew by 383 over the review period to 6,271 amid an increase in physical branches by 10 to 222.

Co-op Bank’s provision for loan defaults eased to Sh2.08 billion from Sh2.11 billion, coming in the period the stock of gross non-performing loans (NPLs) fell to Sh71.37 billion from Sh74.07 billion. NPL ratio improved to 14.5 percent at the end of March this year from 17 percent in a similar period last year.

Profit contribution from other business units, excluding the banking arm, rose to 14.4 percent during the review period from 10.4 percent a year earlier, highlighting growing diversification of revenue streams.

Kingdom Bank, which is 90 percent owned by Co-op Bank group, saw its net profit more than double to Sh290.08 million from Sh143.97 million on the back of continued expansion in its retail and business banking segments.

Co-op Consultancy and Bancassurance Intermediary Limited posted a pre-tax profit of Sh560.4 million, marking a 39.5 percent growth from Sh402.1 million in the previous period

The lender said its fund management business, called Co-optrust Investment Services, more than doubled its gross profit to Sh335.2 million from Sh161.5 million as funds under management hit Sh489 billion from 383.9 billion.

Co-op Bank of South Sudan, in which the listed firm holds a 51 percent stake, emerged from a pre-tax loss of Sh47 million to post a gross profit of Sh99 million on the back of improved operating environment.

Over the same period, Kingdom Securities delivered a before tax profit of Sh57.7 million, marking a 38 percent rise from Sh41.8 million in the first quarter of last year. The lender attributed the growth to increased activity in the capital markets.

The review period saw Co-op Bank’s asset base grow 14.3 percent to Sh884.57 billion while customer deposits increased by 16.5 percent to Sh612.22 billion.

The Nairobi Securities Exchange-listed lender was listed among the fastest growing firms in Africa in the Fastest-Growing Companies 2026 ranking by research company Statista and media firm Financial Times.

Britam Holdings has reversed a previous impairment or reduction in the value of its investment in its banking associate HF Group to the tune of 877.94 million, citing the lender’s improved financial performance and turnaround due to fresh capital injection.

This marks the second successive impairment reversal since 2025 when the insurer implemented a write-back on its investments in the mortgage lender to the tune of Sh2.09 billion.

The insurer disclosed through its latest annual report that it implemented the latest write back in the financial year ended December 2025, contributing to the rise in the value of its 49.89 percent stake in HF to Sh9.36 billion compared to the previous year’s Sh4.09 billion.

‘The group’s impairment assessment of the investment in HF Group Plc resulted in Sh877,947,000 impairment reversal as at December 31 2025,’ the company says.

‘The indicators that were generally considered are the improvements in 2025 and 2024 performance compared to prior years, and the turnaround due to capital injection through a successful rights issue in the previous year.’

In 2024 Britam had also implemented a write-back on its stake investments the mortgage lender to the tune of Sh2.09 billion, citing improved financial performance of the lender.

The group’s chief executive, Tom Gitogo, told Business Daily that the impairment reversals were recognised following a measurable improvement in HF Group’s financial performance and outlook compared to the periods when impairments were initially recorded.

Britam increased its stake in HF to 49.89 percent in 2025 from 48.17 percent in 2024 after acquiring additional shares in a Sh355.4 million investment, according to the annual report.

Britam’s 2024 impairment reversal on HF investment was the first since the Sh172.06 million in 2021 when the lender started recovering after the Covid-19 pandemic disruptions.

HF has been on a recovery path, with the net profit for the year ended December 2025 more than doubling to Sh1.42 billion from Sh524 million a year earlier on the back of increased lending to the government.

In 2023 Britam halted its plans to sell its entire stake in HF after the associate returned to profitability.

Britam had in March 2021 announced it was looking to sell its ownership in HF, which had been making losses for years. Britam initially bought into HF as a means of expanding in the real estate and mortgage industry.

The last fortnight has, in many ways, reignited a historical brotherhood that is deeply ingrained between Kenya and Tanzania.

Multiple events from the Sh4.5 billion announcement by Amsons Group to construct 10 mother and child hospitals, President William Ruto’s State visit to Tanzania and the hosting of Tanzania – Kenya Business Forum 2026, all point to a bilateral economic and political re-wakening.

For me, these events serve to illustrate our shared interests and destiny as neighbouring countries, and, above all, as a common market.

At an individual level, these shared interests and destiny have continued to define my investment focus.

When Amsons Group made the strategic decision to invest heavily by mobilising Tanzanian capital to Kenya, most notably through our $300 million acquisition of Bamburi Cement, controlling stake acquisation in the East African Portland Cement and our recent $250 million commitment to the green clinker plant in Kwale, we were guided by a single conviction: that the East African Community is not just a political bloc, but a single, vibrant economic engine.

True to form, our corporate experience in Kenya has been one of growth and warm reception. We have found a market that is hungry for infrastructure and a workforce that is exceptionally skilled.

By acquiring a 69 percent stake in East African Portland Cement and taking the helm at Bamburi, we haven’t just bought assets; we have embraced the responsibility of powering Kenya’s 10-year national development roadmap.

The bold and ambitious Sh5 trillion roadmap to be financed by the National Infrastructure Fund aims to transform Kenya into a first-world economy by developing strategic infrastructure, all of which is heavily reliant on cement and concrete products.

We have seen firsthand that when Tanzanian capital meets Kenyan industrial spirit, the results are transformative.

Economic investments, by all means, ride heavily on foreign policy and political goodwill. On this score, I must commend the excellent and friendly policy environment set out by President Ruto, which has played a significant role in our adaptation to the Kenyan business environment.

Having come to Kenya and done it, in recent months, I have been actively urging my fellow Tanzanians to seize this extraordinary opportunity to invest in Kenya.

I have also not spared a moment to implore Kenyan entrepreneurs to consider expanding into Tanzania, a land of untapped opportunities that offers the right environment to build the industrial hub of our great continent.

Read: Kenya-Tanzania trade falls for first time in nearly a decade

Undoubtedly, Kenya and Tanzania offer different opportunities, each with its own unique advantages. Buoyed by recent developments and political goodwill spearheaded by Presidents Samia Suluhu and Ruto, Amsons Group is committed to playing a role as an economic development bridge.

We see a future where a truck carrying cement from Tanga to Nairobi, or fuel from Mombasa to Dar es Salaam, moves with the same ease as a commuter in a single city.

In all my engagements with Heads of State, I’ve also not missed an opportunity to remind them that political will is needed to dissolve non-tariff trade barriers.

As entrepreneurs across borders, our ask is for continued predictability in the investment climate and for further streamlining of cross-border labour and capital flows.

At Amsons, we are not just investing in cement or energy; we are investing in the undefeated East African spirit for economic and social growth.

Safaricom raised its stake in the Ethiopian unit to 54.1 percent at the end of March 2026, following a fresh round of funding which saw the telecoms operator sink Sh21.3 billion ($165 million) in the business over the last year.

The operator’s stake in the business rose steadily in the financial year from 51.67 percent in March 2025.

The Vodacom family including Safaricom Plc and Vodacom Group Limited participated exclusively in the latest fund raising, diluting stakes by minority investors including Sumitomo, British International Investment (BII) and IFC.

Total funding for Safaricom Ethiopia rose to Sh341.7 billion ($2.64 billion) from Sh293.2 billion ($2.27 billion) in the year to March 2026.

Safaricom’s share of cumulative funding for the subsidiary stood at Sh158 billion ($1.22 billion), rising from Sh136.6 billion ($1.05 billion) previously.

The higher stake implies that Safaricom would keep the largest portion of earnings from the business, which is expected to reach profitability in the current cycle.

The telecoms operator noted that the bulk of new funding was channelled to the settlement of vendor arrears.

‘Part of the funding was used to reduce deferred vendor payments by $121 million (Sh15.6 billion). During the first half of the year, Safaricom Ethiopia secured a $100 million (Sh12.9 billion) facility, which was increased at the end of the quarter by $34 million (Sh4.39 billion,’ said Safaricom Plc chief finance officer Dilip Pal.

Vodacom, the second participant in the latest funding round, raised its stake in Safaricom Ethiopia from 5.74 percent to 6.02 percent in the review period.

Shareholding by Sumitomo dropped from 25.23 percent to 23.5 percent on dilution while BII’s stake fell to 9.5 percent from 10 percent.

The International Finance Corporation (IFC) shareholding in the business also fell to 6.81 percent from 7.25 percent previously.

Total funding for the Safaricom Ethiopia business includes Sh109.8 billion ($850 million) and Sh19.3 billion ($150 million) telecoms operator fee and M-Pesa licensing fees.

The operating entity has also borrowed from the local market, in local currency, as part of a balance sheet optimisation strategy.

‘Overall, the business is well funded, leveraging the balance sheet through debt and reduced reliance on equity,’ Mr Pal added.

Safaricom retained its breakeven outlook for the Ethiopia business in March 2027 as losses for the unit fell 35 percent to Sh21.2 billion from Sh36 billion.

‘Ethiopia is gradually transitioning from roll-out to scale. It remains, for now, an investment phase market, but it’s a market with long-term strategic potential,’ said Safaricom Plc board chairman Adil Khawaja.

The unit generated Sh14 billion in service revenues, including Sh9.5 billion from the sale of mobile data, Sh3 billion from voice and Sh169.4 million from M-Pesa.

One-month active customers on the network grew 48.3 percent to 10.75 million.

The performance of the unit benefited from an improved macroeconomic environment and a review of voice and mobile data tariffs in December 2025.

‘We continue to make steady and meaningful progress. The pricing rationalisation, implemented in December last year is already generating positive market momentum,’ added Mr. Khawaja.

The smartest investment move you can make has nothing to do with the highest returns, and everything to do with knowing where you stand.

At almost every Chama meeting in Kenya, the same scene plays out. Someone mentions an opportunity with unusually high returns.

Hands go up. Phones come out. Nobody wants to be left behind, and that fear of missing out is quietly becoming one of the costliest investment decisions Kenyans are making today.

The problem is not investing. The problem is starting with the wrong question. We ask “how much return?” when we should be asking “is this right for me?”

“A high yield on the wrong investment is not an opportunity. It is a trap dressed in attractive numbers.”

High returns mean nothing without context. Before placing a single shilling, four things matter more than yield:

What am I investing for? school fees, a home, retirement? How stable is my income if circumstances change? How quickly might I need this money back?

How much loss can I absorb without destabilising my family?

With salaries under pressure, emergency savings low, and insurance penetration still thin, investing without a strategy is not ambition, it is exposure.

One bad outcome. One missed payment. One financial shock and years of progress unravel.

The investments that rarely get applause at Chama meetings, money market funds, bonds, long-term pension plans – are often the ones quietly doing the most important work: protecting capital, providing liquidity, and compounding reliably over time.

Stability is not boring. For most families, it is the foundation everything else is built on.

The future belongs not to those chasing the highest returns, but to those who built foundations strong enough to survive uncertainty.

Wealth built with intention lasts. Wealth built under pressure rarely does. The question is never which investment pays the most right now, it is which investment is right for you right now.

Think back to the last time you walked into a room with a chandelier. Chances are, you paused for a moment. Maybe the light caught your eye, or maybe it simply made the space feel warmer and more inviting. That’s the magic of chandeliers-they do more than brighten a room, they set the mood.

‘There has definitely been a rise in demand for chandeliers,’ says Abdul Qadir, director of Glow Lighting, a decade old player in the sector. ‘It has been building over the last decade with a noticeable acceleration in the past five years.’

The growth, he notes, has been fueled by urbanisation, rising construction, and market diversification. Once the preserve of Nairobi’s elite and luxury hotels, chandeliers are now finding their way into middle class homes, office lobbies, and retail showrooms.

‘Homeowners make up about 55 percent of sales, mainly through renovations and new residential developments,’ Abdul explains. ‘Commercial spaces-offices, showrooms, retail outlets and hospitality projects-make up about 35 percent.’

Interior designers and architects, though not always direct buyers, have become powerful intermediaries. Their influence has grown as lighting has shifted from an afterthought to a design element integrated early in construction.

‘It’s the ideal time,’ says Danielle Ruguru of Vintage Lighting. ‘You can estimate how many fixtures are required and where best to place them, avoiding the cost and mess of rewiring later.’

Chandelier categories

Danielle categorises the market into three broad styles: vintage pieces from the 1930s to 1950s, mid century designs from the 1950s to 1980s, and contemporary fixtures that dominate current demand. Age often shapes preference, with buyers over 35 leaning towards vintage and mid century, while younger clients gravitate to sleek contemporary forms.

‘However, preferences differ. Sometimes you’ll find someone in their 70s choosing a modern piece, while a younger client goes for a vintage fixture. Ultimately, it comes down to personal taste,’ she says.

Abdul notes that today’s market has become increasingly trend-driven, with demand shifting away from the traditional perception of chandeliers.

‘Today’s best-sellers include LED ring chandeliers, reinvented classic crystal chandeliers, art-piece designs, modern minimalist fixtures and linear lighting options,’ he says.

Prices

But even as trends and design preferences continue to shape demand, pricing remains a big factor influencing access to chandeliers.

At Glow Lighting, prices vary depending on a chandelier’s size, material, complexity and design. Budget options range between Sh2,000 and Sh10,000, while mid-range pieces typically retail between Sh10,000 and Sh50,000. Premium fixtures, on the other hand, can cost Sh150,000 and above.

And while the number of chandeliers purchased per household has remained relatively stable, Abdul notes that consumers are increasingly willing to spend more on individual pieces.

‘About 60 to 70 percent of customers buy one statement chandelier for a main room and complement it with supporting lighting,’ he says. ‘People are spending more per piece rather than increasing the number of units in a house.’

Capital-intensive business

According to Danielle, the chandelier business is not an easy one to enter, largely because of the high capital requirements.

‘It’s a capital-intensive business,’ she says. ‘Customers prefer to see the product physically before purchasing, so you’ll need to have a showroom display. But you cannot have a display with just one piece. You need at least five to 10 pieces.’

As a result, even dealers targeting the lower end of the market at a small scale still require substantial upfront capital.

‘If you are stocking chandeliers that cost around Sh7,000, your display stock alone could already cost about Sh70,000,’ she says. ‘And those are just the display pieces. You will still need additional units in storage. If you take about 10 pieces, you are already looking at roughly Sh700,000.’

And that is just the price for the stock. Additional costs of running the business include rent, shipping, storage, salaries, and electricity.

‘Electricity is a big one because your product is lighting, and naturally, you need to keep most of your display fixtures turned on throughout the day,’ she says.

The hidden costs

Beyond operational expenses, the business also faces some hidden costs that eat into profits, particularly through breakages and installation-related damages.

‘Sometimes customers come in, touch something and accidentally break it,’ says Danielle. ‘In other cases, something might go wrong during installation, and the chandelier is dropped or damaged.’

Both Glow Lighting and Vintage Lighting rely on local and imported products. Some of the most common sourcing challenges include delays, damages during transportation, and rising taxes. Finding and establishing a rapport with a good supplier is another challenge, especially since it can determine the quality and quantity of goods you receive.

‘Some suppliers won’t even talk to you if you are buying below a certain quantity, while others, depending on your relationship, offer discounts above a certain quantity,’ says Danielle.

Outshining the competition

With more dealers joining the decorative lighting business, competition has intensified over the years, but according to the two sellers, quality remains one of the key differentiators in the increasingly crowded market.

‘Someone may buy a chandelier, and after a few years the metal starts fading or changing colour,’ says Danielle. ‘So quality becomes very important, especially for customers investing in long-term spaces like homes or hotels.’

She also adds that customers are becoming more discerning, with many prioritising durability and finish over simply choosing the cheapest option available.