Category: Business Daily

The upward pressure on interest rates is expected to ease after progress in peace negotiations between the US and Iran pulled oil prices to a four-month low, allaying fears of prolonged high inflation.

Analysts say that the Central Bank of Kenya (CBK) now has a strong case to hold its rate unchanged in the next monetary policy meeting in August due to easing inflation, in the process capping the recent jump in short-term rates on government securities.

Since the war in Iran started on February 28, rates on the 91-day and 182-day Treasury bill have gone up by 1.4 and 1.2 percentage points to 8.83 percent and 8.96 percent respectively.

Bond buyers also demanded a return of 15.1 percent on a 25-year paper that was reopened last month, against its actual interest rate or coupon of 13.92 percent.

Investors demanded higher returns after inflation rose to 6.7 percent in May from 4.3 percent in February due to higher fuel prices. For investors in the government securities, higher inflation erodes the real returns from their assets, which come with a fixed annual interest rate.

The cost of living measure however dropped to 6.4 percent in June, with a further decline expected once fuel and food prices come down in the coming weeks.

Current spike in inflation

On Tuesday, Brent crude was trading at $72.78 a barrel, a price last seen on February 27. The price of oil had risen to highs of $120 a barrel at the peak of hostilities in Iran in March.

‘Overall, we project a lower inflation path in the near-term. Expectedly, earlier projected pressure on short-end interest rates is likely to be moderated by reduced inflationary pressures amid ample market liquidity,’ analysts at NCBA Investment Bank said in their latest weekly fixed income report.

In the last MPC meeting on June 10, the CBK kept the base rate unchanged at 8.75 percent, saying it needed to take stock of the evolving situation in Iran, in line with similar cautious stances by central banks in developed markets.

CBK Governor Kamau Thugge later said that the apex bank was optimistic that inflation would peak below the upper limit of its target range of five percent plus or minus 2.5 percentage points, due to an expectation of de-escalation of the conflict in the Middle East.

By opting to keep its base rate unchanged, the CBK also considered the fact that the current spike in inflation is primarily driven by higher prices of imported fuel and consumer goods (imported inflation) rather than underlying demand pressures in the economy.

Global oil price relief

Analysts at Sterling Capital have backed the CBK’s view in their latest monthly fixed income report, projecting a hold in the base rate in the August MPC meeting.

‘We feel that the recent easing of headline inflation to 6.4 percent, alongside anticipated global oil price relief from the US-Iran agreement, reduces the pressure for monetary tightening in the August 2026 meeting,’ said the Sterling Capital analysts.

The first test of the expectations of lower pressure on yields will come in the July 2026 Treasury bond auction, which will take place on Wednesday.

In the sale, the CBK reopened three papers with periods to maturity of between 5.8 years and 29.9 years, allowing it to gauge investor sentiment across the full breadth of the government securities yield curve.

The reopened papers include a 10-year bond first sold in May 2022, which comes with a coupon of 13.49 percent. The CBK has also reopened a 20-year bond from July 2021, which pays annual interest of 13.44 percent, and a 30-year paper first sold in March 2026 at a coupon of 12.5 percent.

The three bonds are targeting Sh70 billion, marking the start of the government’s borrowing for the 2026/2027 fiscal year in which it is seeking a net of Sh1.03 trillion from the domestic market.

Pension schemes minted a record Sh16.6 billion in gains from disposal of government bonds and listed stocks in 2025, cashing in on the higher prices of the assets.

The gains are the highest in at least five years and came against the backdrop of higher prices of bonds in the secondary market and shares on the Nairobi Securities Exchange (NSE).

Gains made from the disposal of quoted shares were backed by higher corporate earnings and improved macroeconomic conditions which supported the rise of stocks while gains from the sale of government securities were anchored on relatively lower interest rates.

The price of bonds in the secondary market usually has an inverse relationship with interest rates where prices soar as rates drop, allowing investors to realise profits from sale of bonds with higher coupons (interest rates). Gains on the disposal of government securities stood at Sh11.3 billion while profits from share sales by pension schemes were Sh5.3 billion, according to data from the Retirement Benefits Authority (RBA).

Profits from the sale of government securities and quoted shares in 2024 were lower at Sh2.05 billion and Sh986.5 million respectively.

The gains from disposal of State securities and quoted shares in 2025 were enough to more than offset Sh456.9 million in losses from disposal of real estate properties in the year.

‘The increase was primarily driven by substantial gains from disposal of Kenya government securities and quoted shares, reflecting favourable movements in both the fixed-income and equity markets during the year,’ the RBA said.

‘However, the ‘other investments’ category recorded a net loss of Sh456.9 million, partially offsetting the overall gains realised in 2025. The category consists mostly of disposal in immovable property by schemes.’

The stock market offered investors the highest returns for a second year running in 2025, beating property, offshore investments and fixed income assets whose returns dipped due to falling interest rates.

The sustained growth was backed by low inflation, lower interest rates and a stable exchange rate, creating a favourable environment for growth in corporate earnings and participation by foreign investors.

NSE market capitalisation rose by 51.8 percent in the period as investor wealth rose by a record Sh1 trillion, doubling paper gains from 2024.

High-yielding Treasury bonds traded at a premium on the same bourse as interest rates on new and reopened securities declined to between 11.67 percent and 14.63 percent.

Tax-free infrastructure bonds offered the highest premium as investors raised their appetite for the existing high-yielding bonds with interest rates on new issuances in the primary market falling. Pension schemes doubled down on the same asset classes even as they made some disposal in a strategic portfolio rebalancing.

Investments in government securities by schemes rose to Sh1.38 trillion from Sh1.08 trillion in 2024 and made up 50.98 percent of the vehicles’ assets. Allocation to quoted securities rose to Sh277.4 billion from Sh189 billion to represent 10.2 percent of schemes’ assets.

Pension schemes, however, held more assets in guaranteed funds at Sh560.7 billion. Allocation to immovable property stood at Sh247.2 billion.

The schemes’ other major asset classes were fixed and time deposits, and offshore investments.

Schemes also invested in minor asset classes with allocations of under one percent to each category including cash and demand deposits, property unit trusts, unquoted equities, commercial and corporate bonds and private equity and venture capital.

‘Compared to 2024, most asset classes recorded growth, with notable increases in Kenya government securities, guaranteed funds, quoted equities, and offshore investments, largely driven by improved market performance, attractive returns, and continued portfolio diversification by retirement benefits schemes,’ RBA added.

Total assets under management by pension schemes rose by 26.84 percent to Sh2.82 trillion as of December 2025, driven by growth in contributions and investment income.

Total contributions by both employers and employees tallied to Sh309.26 billion while investment income stood at Sh274.81 billion.

Banks defending disputed payment claims must prove funds reached the intended recipient rather than rely on internal processing records, the High Court in Nairobi has ruled.

The court said maker-checker approvals and payment schedules do not establish payment of the money.

The ruling arose from a dispute between Consolidated Bank and Muteithia Kibira Advocates LLP over legal fees for defending the lender in an employment case lodged by its former internal quality auditor.

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The bank argued it had paid a Sh72,460 deposit requested by the law firm and that requiring it to pay the full fee note of Sh497,102 would amount to unjust enrichment. The advocates maintained they never received the deposit.

In determining the dispute, the court dismissed the bank’s appeal and upheld a Small Claims Court judgment that awarded the advocates the full amount claimed after finding the lender failed to prove the disputed payment had been made.

The court held that once the advocates denied receiving the money, the burden shifted to the bank to demonstrate the funds had actually been transmitted and received.

“The proof of payment of legal fees is the receipt of the fees, not in the preparation of payment. Through the Maker Checker process, what the appellant has demonstrated is the preparation for payment,” Justice Benard Murunga stated, reinforcing the importance of complete payment trails in commercial disputes.

The bank relied on an internally approved Deposit Request Note bearing maker-checker and finance approval stamps, together with an internal payment schedule listing the advocates among intended beneficiaries.

The court found those records merely documented internal approval processes rather than completed transactions.

“Both the Maker Checker and Payment Schedule are internal procedures. They do not necessarily demonstrate payment but only the approval process and an Internal Schedule. That is no proof,” the court ruled.

The court said the bank could have produced stronger evidence, including remittance advice, electronic transfer records or other documents confirming the funds reached the advocates.

“In the age of Real Time Gross Settlements and Electronic Fund Transfers … Remittance Advices are accepted,” the judgment said, adding that banks should provide signed and stamped proof of transfers just as they do for cash or cheque deposits.

The court also rejected the bank’s argument that paying the fee note would unjustly enrich the law firm. It said such a claim depended on first proving the disputed deposit had actually been received.

“To prove unjust enrichment, one therefore has to prove that the person received the payment and that being paid again would be double payment,” it said. “Proof cannot be through internal documentation.”

The court noted that the advocates had repeatedly demanded payment over several years. It said the bank never responded to those demands by producing evidence that the deposit had already been settled.

“That silence is inconsistent with the conduct of a debtor who has already discharged its payment obligation,” the court said.

Although the court acknowledged the bank had attempted to trace records of the 2017 transaction, it found those efforts ultimately failed to produce evidence proving the disputed payment had reached the law firm.

The High Court has blocked the Competition Authority of Kenya’s bid to conduct a sweeping search of Foam Mattress Ltd as part of a suspected price-fixing cartel investigation.

The court said the regulator must justify why less intrusive investigative measures are inadequate before seeking broad search warrants against businesses.

It also ruled that any court-approved dawn raid must be narrowly targeted to avoid infringing constitutional rights to privacy, property and data protection.

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“The orders were too wide and could have covered private phones or gadgets and not necessarily those belonging to the subject entity only. Anyone within the building, including employees and third parties would have been subject to the order,’ the court said, upholding a lower court’s decision to block the search exercise.

The ruling delivered at the High Court in Kisumu is expected to shape how the competition watchdog conducts future cartel investigations by requiring investigators to lay a clear factual basis before obtaining intrusive search warrants.

While affirming that CAK investigators are legally empowered to execute search warrants, the court noted that the regulator failed to demonstrate why it could not first seek information through less intrusive statutory procedures before asking to search and seize electronic devices.

The dispute arose after CAK sought permission from the Chief Magistrate’s Court in Kisumu to enter Foam Mattress’s premises, search its offices and seize documents, computers, mobile phones, storage devices and other electronic records as part of investigations into alleged anti-competitive conduct.

The magistrate, in a ruling dated March 24, 2026, rejected the application, prompting the regulator to ask the High Court to revise that decision.

CAK argued that the Competition Act gives it independent authority to investigate suspected anti-competitive conduct and conduct searches through officers authorized by the regulator.

It also maintained that requesting documents first under Section 31(4) of the Act was not a mandatory prerequisite before seeking search warrants because advance notice could lead to destruction of evidence in cartel investigations.

The court agreed with the regulator on one key legal point. It held that search warrants are not reserved exclusively for officers from the Directorate of Criminal Investigations (DCI), saying Section 118 of the Criminal Procedure Code permits warrants to be executed by “a person named in the search warrant.”

“The applicant is empowered to conduct investigations. The person authorized by the applicant in writing is to be named in the search warrant … and not necessarily an investigation officer from the DCI as held by the Court below,’ the court said.

However, the court found that CAK had failed to place sufficient evidence to justify bypassing the ordinary process of requesting information from the company before resorting to coercive search powers.

It noted that although the authority claimed evidence could be destroyed if notice was given, the supporting affidavit did not explain why such fears were justified.

The court described the powers under Section 32 of the Competition Act as exceptionally intrusive and warned that they should be exercised only where a clear factual basis has been established.

It said the powers “are very drastic,” adding that they “can paralyse or destroy a business depending on how they are exercised” and “are open to abuse.”

The court further observed that such orders could infringe constitutional rights to property and privacy as well as protections under the Data Protection Act if issued without adequate safeguards.

It also faulted the scope of the proposed warrants, saying they would have allowed investigators to seize virtually every electronic device found within the building without distinguishing between company property and personal devices belonging to employees or third parties.

‘The Data Protection Act and the right to privacy under the Constitution could have been breached

by such wide and sweeping orders. Nothing can be as intrusive as entering into one’s private phone! The trial court was right in declining them,’ said the court.

The judge concluded that the application amounted to “a fishing expedition,” saying the authority had sought permission to seize electronic gadgets first and then search through them for evidence.

Stating that the orders sought by CAK must be targeted clear and unambiguous, the court said CAK should have specified whose computers, whose electronic gadgets, whose phones that were to be subject to the court order.

It dismissed CAK’s revision application and upheld the magistrate’s earlier refusal to issue the warrants.

The ruling comes against the backdrop of CAK’s widening investigation into alleged cartel activity in Kenya’s mattress industry.

In March, the regulator carried out coordinated dawn raids on several mattress manufacturers after saying it suspected anti-competitive practices, including possible price-fixing and other conduct prohibited under the Competition Act.

The watchdog said the operation was intended to secure evidence that could otherwise be concealed or destroyed and stressed that the searches did not amount to findings of wrongdoing.

The High Court’s decision does not halt CAK’s investigation but establishes that future applications for search warrants must be supported by specific evidence, narrowly tailored and proportionate to the suspected infringement, balancing effective competition enforcement with constitutional protections for businesses and individuals.

Do leading-edge firms like Google or Tesla do traditional five-year plans? Then, label them with the buzzword ‘strategic’? Does agility matter more than predicting the future with precision? Is it better to consider ‘plans’ living documents, revised as conditions change, rather than fixed commitments?

What percentage of time do you think things go according to a plan? Not surprising that senior managers who sit on NSE boards, will say something like: ‘Well, maybe 5 to 10 percent of the time, that things go according to the plan.’

Companies like Google and Tesla do not manage the business through traditional, detailed five-year strategic plans in the way many more conventional businesses and development partners do. Instead, they combine having a vision, long-term direction with short planning cycles and constant experimentation.

Have a long-term ambition

Rather than a detailed five-year plan, trying to predict what will happen, global leaders have a vision that may extend 10-30 years. Consider these vision statements: “Organise the world’s information and make it universally accessible and useful” for Google. And, ‘Accelerate the world’s transition to sustainable energy’ for Tesla. These visions act as a strategic guiding ‘north star’.

Work backwards from the future

Instead of asking ‘What will we do over the next five years’ they ask ‘If we achieve our vision, what must be true’ This approach resembles the ‘working backwards’ philosophy popularised by Jeff Bezos at Amazon.

Strategy is treated as a portfolio of bets

Rather than producing one fixed strategic plan, market leaders continually allocate resources across initiatives with different time horizons. Constantly monitored, if an initiative isn’t working the approach is revised or it risks being cut. For instance, a simplified portfolio might look like: core business – 70 percent, emerging businesses – 20 percent, and radical innovations – 10 percent. This echoes the ’70-20-10′ innovation framework that has become associated with Google.

Planning happens continuously

Leading edge organisations still produce annual plans and multi-year financial projections for governance and investor communication, but the ‘nitty gritty’ operational strategy is revisited frequently. For market leaders, typical planning rhythms include: annual strategic themes, quarterly priorities, monthly business reviews, weekly management meetings and daily performance dashboards. Aim is to allow for rapid adjustment as markets, technology and customer needs constantly evolve, often unpredictably.

Objectives replace detailed plans

Many technology firms use frameworks likes Objectives and Key Results – OKR. Quite simply the objective is the what and the key results is the how it will be achieved. Key results need to be clear, do-able yet ambitious, measurable, with a timing. . Rather than specifying every activity years in advance, teams decide best path with a ‘test and learn’ approach.

Assume the strategy is incomplete

Traditional planning often assumes enough information exists to define the future. Somehow we fall prey to the seductive belief in the beauty of absolute certainty. However, leading innovators assume uncertainty taking into account, markets will change, competitors will surprise them, and technologies will evolve. And that, some of our assumptions will prove wrong. Strategy is treated more like an artist’s unfinished canvas, where insightful forecasting is more a process of testing assumptions.

Customer learning drives evolution

Customer sales and satisfaction power the business. Companies like Google and Tesla continuously gather signals from customer behavior including product usage, experiments, engineering progress, market data and AI-generated insights.

Resource allocation matters more than the written plan

Many top executives argue that strategy is best reflected most clearly where an organisation invests its people, time, and capital. Questions to are: Which products receive the top talent? Which markets receive investment? Which capabilities are built? Those decisions often reveal the real strategy far better than a planning document.

What would the business wizards say to this approach?

Guru of innovation, Clayton Christensen would stress — Build capabilities that prepare you for future disruption rather than optimizing only for today’s business. Steve Blank’s approach would be to — Treat strategy as a series of hypotheses that must be validated through customer discovery. Eric Ries would stress – Make small, measurable experiments part of everyday business execution.

In fast-changing markets like Kenya and East Africa — it might be better to move away from producing ‘hope for the best’ static plans, shifting towards creating more of an adaptive strategy system. Instead of delivering a document every five years, make sense to establish a cycle of continuous sensing, experimentation, quarterly OKRs, rapid learning and smart resource allocation. Now, that’s a strategy.

There was a time when the most trusted keeper of secrets was the local priest. People confessed their fears, failures and deepest regrets, confident that whatever was shared in confidence would remain protected. Doctors, lawyers and journalists later earned similar trust through professional ethics that placed confidentiality above all else.

Today, our most intimate confessions are no longer whispered across a wooden booth. They are typed into search engines, shared with AI assistants, stored in banking apps, recorded by fitness trackers and submitted through government portals. The modern-day priest is no longer a person but the digital systems we rely on every day.

Artificial intelligence has accelerated this transformation. Millions now seek career advice from AI, discuss health concerns with chatbots, manage finances through mobile apps and entrust smart devices with details of their daily routines.

These technologies know where we travel, what we buy, how we sleep, whom we communicate with and, increasingly, what we think. In many cases, they know more about us than our closest friends and family.

Kenya is no exception. From mobile banking and digital lending to eCitizen services, online learning and AI-powered customer support, digital platforms have become part of everyday life. Every convenience requires users to surrender another layer of personal information, creating an expanding network of trust.

Yet many digital products were built around a simple principle: collect as much data as possible, then decide later how to use or protect it. In the AI era, that approach is becoming increasingly difficult to defend. The real question is no longer whether organisations can collect personal data, but whether they should.

While laws such as Kenya’s Data Protection Act provide an essential legal framework, compliance alone does not inspire confidence. Trust is earned through responsible choices made long before an audit or regulatory inspection. That is why Privacy by Design is emerging as a strategic business advantage.

Organisations that collect only necessary data, build security into products from the outset and remain transparent about data use are more likely to earn lasting customer confidence.

As AI becomes our adviser, assistant and confidant, society must expect more than innovation. We must demand stewardship.

The organisations that will lead in the AI era will not simply be those with the smartest technology, but those that prove themselves worthy of safeguarding the trust people once reserved for their most trusted confidants.

Kenya plans to acquire a blockchain analytics system to monitor cryptocurrency transactions and help investigate suspicious activity, its first major regulatory step following the enactment of a new virtual assets law.

The Capital Markets Authority (CMA) has floated a tender for a Virtual Assets Blockchain Analytics System to tighten its oversight of the growing digital assets sector, whose pseudonymous and decentralised nature has long made it susceptible to illicit activity.

Blockchain, the technology behind cryptocurrencies like Bitcoin, is a decentralised ledger of all transactions across a network and enables participants to confirm transactions without a need for a central authority.

Blockchain analytics software extracts ledger data from the public blockchain, interprets transaction patterns to understand how funds move, and turns it into useful intelligence.

Law enforcement agencies can use this information to evaluate financial risks, detect illicit activities like terror financing, investigate crypto crimes, monitor for sanctions, money laundering or tax evasion, and track stolen crypto.

CMA’s procurement comes as the government moves to tighten oversight of digital assets trade following the enactment of the Virtual Asset Service Providers Act, 2025, which established a legal framework for licensing and regulating crypto businesses.

‘CMA seeks to procure and implement an advanced Virtual Assets Blockchain Analytics System that will provide intelligence-led oversight of blockchain-based activities and support risk-based supervision of licensed and prospective virtual asset service providers,’ the regulator says in its tender documents.

The system will enable real-time and historical transaction monitoring, risk detection and intelligence generation while supporting anti-money laundering and counter-terrorism financing compliance.

‘Enable forensic investigations, wallet attribution, fund tracing, linkage analysis, case management and evidence generation,’ the CMA says. ‘Provide regulatory dashboards, management reports and analytics to inform supervision, enforcement and policy decisions.’

Under the Virtual Asset Service Providers Act, 2025, the CMA and the Central Bank of Kenya (CBK) are the joint regulators of the sector.

Firms dealing in virtual assets are required to obtain licences, conduct Know Your Customer (KYC) checks, report suspicious transactions and cooperate with agencies such as the Financial Reporting Centre (FRC) and the Directorate of Criminal Investigations (DCI).

CMA says Kenya’s rapid adoption of virtual assets and blockchain-based financial services-such as Bitcoin, stablecoins and non-fungible tokens (NFTs)-has introduced risks like money laundering, terrorism financing, fraud, and market manipulation.

Stablecoins are digital currencies whose value is pegged to assets such as the US dollar.

The regulator also cited sanctions evasion, tax evasion, cyber-enabled scams and cross-border illicit financial flows among the threats that could undermine Kenya’s capital markets integrity and investor confidence.

During crypto transactions, details like price, asset, and ownership are recorded and verified on the blockchain database.

This does not include identifying information of senders and receivers, but blockchain analytics companies can still trace the addresses of the crypto wallets involved in transactions.

A crypto wallet address is a unique combination of numbers and letters that can be used to send and receive crypto.

Examples of these blockchain intelligence firms include US-based Chainalysis and TRM Labs, and London-based Elliptic.

In the US, for instance, the Federal Bureau of Investigation used blockchain analytics technology to recover millions of dollars in Bitcoin paid out in the 2021 Colonial Pipeline ransomware attack.

Kenya’s cryptocurrency market has expanded rapidly in recent years, driven largely by the use of stablecoins for remittances, merchant payments and cross-border transactions.

Chainalysis has previously placed Kenya as Africa’s fourth-largest recipient of stablecoins in the year to June 2024, with transactions worth about $3.3 billion (Sh426.5 billion) tracked on the blockchain.

CMA’s procurement comes as Kenya seeks to strengthen its anti-money laundering framework and improve oversight of the crypto industry, a move analysts say could help the country exit the Financial Action Task Force (FATF) grey list.

The Paris-based watchdog placed Kenya under increased monitoring in February 2024 over weaknesses in combating money laundering and terrorism financing.

When a country is grey-listed, its banks face tighter due diligence from foreign lenders, some international transactions are delayed, and investors flag compliance risk in country assessments.

Wealthy investors in the stock market have booked Sh39.51 billion paper gains on their shares at the Nairobi Securities Exchange (NSE) in the past 12 months to Wednesday, cementing the bourse’s reputation as one of the quickest paths to prosperity.

The billionaire investors include bank executives James Mwangi and Gideon Muriuki, the Kenyatta and Ndegwa families, the Shah family of I and M Group and long-term market investors Baloobhai Patel and John Kibunga Kimani.

Their long-term investments in some of the top blue-chip firms on the NSE continue to pay off as the bourse recovers from a prolonged bear run that stripped their portfolios of billions of shillings between 2015 and 2022.

In the past 12 months, the NSE has added Sh1.29 trillion in investor wealth to stand at a record high of Sh3.95 trillion, boosted by gains on large firms such as Safaricom, Equity Group, KCB Group, Co-operative Bank of Kenya, Absa Bank Kenya and NCBA Group.

These gains have set the bourse on the path to a third straight calendar year of large gains in market capitalisation-the measure of investor wealth. In 2025, the NSE added a record Sh1 trillion in market cap, building on the gain of Sh500.5 billion it posted in 2024.

New listings of Kenya Pipeline Company (KPC) in March 2026 and Family Bank last month have also boosted the NSE’s valuation by Sh207.5 billion, while also minting additional billions for Family Bank founder Titus Muya and his associates.

Bank stocks generated the largest gains for the market billionaires between July 2025 and July 2026, as the segment recorded a 71 percent jump in its overall valuation to Sh1.62 trillion in the period.

I and M Group founder and director Suresh Raja Shah and his two sons Sarit and Sachit Shah have seen the value of their 249.7 million shares in the bank grow by Sh7.2 billion to Sh16.6 billion in the past one year. The lender’s share price has appreciated by 77 percent to Sh66.50 in the period.

The Shahs hold their I and M Bank shares through their interest in various investment vehicles, primarily the lender’s three top shareholders Minard Holdings Limited, Tecoma Limited and Ziyungi Limited, whose directors include Raja Shah.

Jomo Kenyatta family

By the end of May 2026, the three entities held a combined 54.93 percent stake with a market value of Sh63.6 billion in I and M.

The families of Kenya’s first President Jomo Kenyatta and former Central Bank of Kenya Governor Philip Ndegwa have made gains of Sh5.27 billion and Sh5.97 billion on their respective stakes in NCBA, whose share price has risen by 38.6 percent in the past year to Sh87.

The Kenyattas’ Enke Investments Limited owns 13.2 percent or 217.49 million shares in the bank, which are now valued at Sh18.92 billion, up from Sh13.65 billion a year ago.

Recent disclosures showed businessman Muhoho Kenyatta, a son of the founding President, has a direct and indirect interest of 227.3 million shares in NCBA, valuing his personal holdings at Sh19.7 billion.

The Ndegwas, through their investment vehicle First Chartered Securities Limited, hold a 14.94 percent stake or 246.15 million shares in NCBA. The shares are now valued at Sh21.4 billion, up from Sh15.4 billion in July 2025.

The two families are, however, set to cash in on part of their stake after committing to sell at least two-thirds of their holdings to South African multinational lender Nedbank, which is acquiring 66 percent of NCBA in a cash-and-stock deal valued at Sh110 billion.

They are in line to net Sh21.9 billion in the deal, comprising a cash payout of Sh1.32 billion and 10.14 million Nedbank shares worth Sh20.6 billion.

Equity Group chief executive officer James Mwangi has meanwhile seen the market value of his 3.39 percent stake in the bank, equivalent to 127.8 million shares, rise by Sh4.5 billion to Sh10.96 billion in the past year. The lender’s share price has gone up by 69.8 percent in the period to Sh85.75.

Mr Mwangi has also booked a paper gain of Sh388.5 million on the 75 million shares he holds in insurance firm Britam Holdings, taking his overall gain in the market from Britam and Equity to Sh4.89 billion.

Britam’s 61.5 percent share price growth to Sh13.60 per unit has also handed its former chief executive, Benson Wairegi, a paper gain of Sh526 million to Sh1.38 billion for his 101.7 million shares in the company.

Businessman Jimnah Mbaru has meanwhile seen the value of his 130 million Britam shares jump by Sh673.4 million to Sh1.77 billion, while Equity Group founder Peter Munga’s 69.62 million Britam shares have appreciated in value by Sh360.6 million to Sh946.8 million.

Co-operative Bank of Kenya CEO Gideon Muriuki’s 135.03 million shares in the bank, equivalent to a 2.3 percent stake, have doubled in value by Sh2.32 billion to Sh4.65 billion after the lender’s share price jumped from Sh17.25 to Sh34.45 in the 12 months.

Mombasa-based billionaire family, the Bablas, have also joined in the large paper gains courtesy of their 59.74 million KCB shares, whose value jumped by Sh2.04 billion to Sh4.87 billion after the bank’s share price grew by 72.3 percent to Sh81.50 in the period.

Businessman Baloobhai Patel has seen the value of his holdings in various segments of the bourse grow by about Sh4.89 billion.

His biggest paper gain came on the 127.2 million shares he owns in Carbacid Investments -through investment vehicle Aksaya Investment Holding Ltd- which appreciated by Sh1.84 billion to Sh4.6 billion.

The value of Mr Patel’s 100 million shares in Co-operative Bank grew by Sh1.72 billion to Sh3.44 billion, and a similarly sized holding in Absa Bank Kenya appreciated by Sh1.32 billion to Sh3.31 billion.

He has also enjoyed smaller gains of Sh14.7 million and Sh9.7 million on shares he holds in Williamson Tea Kenya and Sanlam Allianz Holding Kenya.

Fellow businessman John Kibunga Kimani’s paper gains in the period stood at Sh836.7 million, mainly drawn from Kakuzi where the value of his 33.5 percent stake or 6.57 million shares rose by Sh463 million to Sh2.86 billion.

Mombasa-based billionaire family, the Bablas, have also joined in the large paper gains courtesy of their 59.74 million KCB shares, whose value jumped by Sh2.04 billion to Sh4.87 billion after the bank’s share price grew by 72.3 percent to Sh81.50 in the period.

Businessman Baloobhai Patel has seen the value of his holdings in various segments of the bourse grow by about Sh4.89 billion.

His biggest paper gain came on the 127.2 million shares he owns in Carbacid Investments -through investment vehicle Aksaya Investment Holding Ltd- which appreciated by Sh1.84 billion to Sh4.6 billion.

The value of Mr Patel’s 100 million shares in Co-operative Bank grew by Sh1.72 billion to Sh3.44 billion, and a similarly sized holding in Absa Bank Kenya appreciated by Sh1.32 billion to Sh3.31 billion.

He has also enjoyed smaller gains of Sh14.7 million and Sh9.7 million on shares he holds in Williamson Tea Kenya and Sanlam Allianz Holding Kenya.

Fellow businessman John Kibunga Kimani’s paper gains in the period stood at Sh836.7 million, mainly drawn from Kakuzi where the value of his 33.5 percent stake or 6.57 million shares rose by Sh463 million to Sh2.86 billion.

In the notice convening its 2026 annual general meeting, Safaricom’s board will ask shareholders to approve a special resolution aimed at restricting the telco’s expansion into new markets without the consent of the Government of Kenya.

VKL is the holding vehicle through which Vodacom holds its 55 percent stake in Safaricom, increasing its ownership from the previous 35 percent. The South African firm also acquired a five per cent stake in Safaricom from its parent company, Vodafone Group Plc.

“Notwithstanding anything to the contrary contained in these articles, any resolution relating to… the expansion of the business of the Company into new territories outside of Kenya and Ethiopia shall not be deemed to have been passed unless the consent of the Government of Kenya has been obtained,” reads part of the notice published on Wednesday.

Safaricom currently operates in Kenya, where it launched in 2000, and Ethiopia, which it entered in 2022 after winning the country’s first private telecommunications licence through the Global Partnership for Ethiopia consortium.

Safaricom, East Africa’s most profitable company, is listed on the Nairobi Securities Exchange, where the public owns a 25 percent stake following its initial public offering in 2008.

The government’s insistence on retaining veto powers over future expansion reflects Safaricom’s transformation from a telecommunications operator into one of Kenya’s most strategic corporate assets.

Beyond providing mobile connectivity, the company underpins the country’s digital payments ecosystem through M-Pesa, supports critical government digital services and remains one of Kenya’s largest taxpayers and dividend contributors.

The State also retains a 20 percent stake in Safaricom, making it keen to protect future dividend flows. Restricting expansion into new, capital-intensive markets also shields minority shareholders from prolonged periods of lower dividend payouts that often accompany costly international investments.

expansion into Ethiopia has weighed heavily on the group’s profitability as the company continues to invest billions of shillings in building network infrastructure and attracting subscribers in Africa’s second-most populous country.

Although customer numbers have grown steadily, the Ethiopian business remains loss-making, reducing the group’s overall earnings. Safaricom expects the subsidiary to post an operating profit by the end of the current financial year.

The board will also ask shareholders to approve a special resolution requiring the support of at least 75 percent of directors before any material change to the company’s brand, reflecting efforts to safeguard one of Kenya’s most valuable corporate assets. M-Pesa has become a global benchmark for mobile money innovation.

“Any resolution relating to … any material change of the Company’s brand shall not be deemed to have been passed unless at least seventy-five per cent (75 percent) of Directors vote in favour of the resolution and the consent of the Government of Kenya has been obtained,” the notice states.

Vodacom will also gain the right to determine the next chief executive if shareholders approve the proposals at the July 31 annual general meeting.

Under the proposed changes, Safaricom’s board will appoint the chief executive from a list of nominees provided by Vodacom for as long as the multinational holds more than 50 per cent of the company’s issued share capital.

“The Directors may… appoint a Chief Executive Officer… from a list of nominees provided by VKL,” the proposed amendment states.

The move could mark a return to Safaricom’s earlier leadership structure, under which the company had expatriate chief executives until 2020 while a Kenyan chaired the board.

The proposed amendments also seek to make Safaricom adhere more strictly to its dividend policy of distributing at least 80 percent of net income to shareholders.

The proposal would be enshrined in the company’s articles of association, which set out its internal governance rules.

In recommending dividends, directors would be required to comply with the dividend policy “unless otherwise approved by the company in general meeting.”

The changes would also allow the board, subject to compliance with the dividend policy, to set aside part of the company’s profits and determine how those funds are used.

Glee Hotel Limited, an establishment linked to businesswoman Mary Wambui Mungai, has been placed under administration over a debt of Sh7.75 billion.

In a notice placed in the newspapers, Equity Bank Kenya Limited stated that it had appointed Kamal Anantroy Bhatt as the administrator of the hotel and noted that any party with a claim against the company should write to the administrator.

‘Pursuant to section 563(2) (b) of the Insolvency Act 2015 of Kenya, notice is hereby given that effective 6th July 2026, Kamal Anantroy Bhatt, of Anant Bhatt LLP, has been appointed as administrator of Glee Hotel Ltd by Equity Bank Kenya Ltd,’ the notice read.

The notice added that with the appointment, the administrator has taken control over assets and the management of the affairs of the company.

‘By virtue of Administration, the powers of the Directors of the company in terms of dealing and or transacting with the company’s Assets have ceased,’ the notice added.

Last month, the High Court gave the businesswoman seven days to pay Sh100 million to Equity Bank, as a condition for rescuing the luxurious hotel from auction.

“The suspension is on condition that the applicant pays to the respondent a sum of Sh100 million within seven days of the date of this ruling, in default of which the order of suspension shall automatically lapse,” the judge said.

The ruling was prompted by Ms Wambui seeking an additional 60 days to comply with a consent agreement entered into with Equity Bank in February.

Under the consent recorded on February 24, 2026, Equity Bank agreed to accept Sh7.75 billion in full as final settlement of outstanding debt owed by Ms Wambui and related entities. The amount represented about 85 per cent of the total indebtedness and was to be financed through a refinancing arrangement by KCB Bank Kenya.

The agreement required payment within 45 days, with the parties expressly stating that time was of the essence. It further provided that failure to pay within the stipulated period would entitle Equity Bank to rescind the settlement and pursue recovery of the full debt, together with interest and costs, through enforcement of securities.

The debt was secured by several properties, including parcels of land on which the upscale Glee Hotel is built.

Ms Wambui, who is also the chairperson of the Athi Water Works Development Agency, moved to court after the 45-day period expired without payment being made.

She argued that the refinancing transaction with KCB had substantially progressed but had been delayed by the complexity of the deal and extensive due diligence requirements imposed by the proposed financier.

She urged the court to grant a 60-day extension to enable completion of the transaction and avert the sale of the hotel.

Equity Bank opposed the application, arguing that the dispute had already been settled through a binding consent judgment voluntarily entered into by the parties.

The bank maintained that the court had become functus officio and could not vary the terms of the agreement.

In response, the bank’s representative argued that the application was effectively an attempt to rewrite the consent judgment without the lender’s agreement.

The court agreed that it lacked jurisdiction to alter the terms of the negotiated settlement.

The court noted that the amount agreed upon and the 45-day payment period formed the foundation of the bargain reached between the parties.

“The defendant’s willingness to accept the discounted settlement figure was plainly predicated on payment being made within the stipulated time frame. To extend that period would be to alter a fundamental term of the bargain struck by the parties,” the court said.

The judge emphasised that Ms Wambui had not alleged fraud, mistake, misrepresentation, collusion or any other grounds that would justify setting aside the consent judgment. Instead, she acknowledged both the debt and the validity of the agreement.

Consequently, the court dismissed the request for a 60-day extension.

However, the judge took a different view regarding the alternative request to suspend the bank’s statutory remedies under the Land Act.

While noting that the applicants had presented evidence showing that discussions with KCB had progressed beyond a mere expression of interest, the court observed that no conclusive proof had been provided to demonstrate that the refinancing had been finalised.

“There is no evidence of an executed facility agreement, no binding commitment by the proposed refinancier, no undertaking to discharge the defendant’s debt, and there is no evidence that any part of the settlement amount has been paid,” the judge said.,