Category: Business Daily

Kenya is pushing China to review strict escrow account terms tied to the Standard Gauge Railway (SGR) loan, after the rigid arrangement effectively blocked Kenya from tapping revenues from operations to repay the debt.

The National Treasury says the terms, which require Kenya Railways Corporation to maintain a minimum balance of Sh25 billion in the special account, had driven arrears on the SGR project to Sh413.4 billion by June 2025.

‘This arrangement has effectively locked out loan repayments, resulting in the steady accumulation of arrears despite continued SGR operations,’ the Treasury says in a debt management update.

‘In view of the above, it is recommended that escrow account terms should be renegotiated to allow for debt service alongside operation and maintenance costs,’ it added.

The arrears have piled up despite the SGR generating about Sh112.08 billion in revenue since the launch of commercial operations eight years ago.

Freight services account for more than three-quarters of the income, with passenger trips between Mombasa and Nairobi contributing the remainder.

But none of the revenue has gone towards repaying loans to the State-owned Export-Import Bank of China, the financier of the SGR.

The Treasury blames the rigid escrow arrangement, which has trapped the railway’s cash flows and made repayment nearly impossible.

Under the financing deal, all SGR revenues are deposited into the escrow account, which KRC jointly manages with Exim Bank, requiring that the minimum balance be maintained before any surplus can be applied to loan servicing.

Since the account has never reached the reported threshold of Sh25 billion, no repayments have flowed through from SGR revenues, resulting in KRC loan arrears to the Treasury accumulating even as the SGR project continues to earn income.

The Treasury says that the arrears on the SGR loan-covering overdue principal and accumulated interest- have grown to Sh413.36 billion as of the end of June 2025.

That makes up 80.82 percent of the total Sh511.44 billion arrears, which State Corporations owed Treasury in the form of on-lent and direct loans in the review period.

‘This heavy concentration exposes the Government to significant fiscal risk tied to a single infrastructure project,’ the Treasury said in an update.

Under the SGR financing model, the Treasury services the loans directly, while KRC is expected to reimburse it.

But the breakdown of cash flow due to the arrangement around the escrow account and lower-than-projected revenue has rendered the repayment structure almost unworkable.

The total stock of on-lent and direct loans the Treasury has extended to State corporations stood at Sh1.05 trillion in June 2025, with Sh547.38 billion, or 52 percent, sitting with KRC.

The escalation of KRC arrears tied to the SGR loan has come at a time when the Treasury successfully negotiated with Beijing to reduce the cost of servicing the debt in October.

This was after Nairobi completed the conversion of three dollar-denominated Exim Bank loans into yuan, a shift expected to save the country about $215 million (about Sh27.80 billion) annually in interest.

Previously, the loans attracted floating interest rates of more than 6 percent, driven by the Secured Overnight Financing Rate (SOFR) plus a two-percentage-point margin. Switching to renminbi has cut the cost to about 3.0 percent, according to the Treasury.

‘In US dollars, the interest cost comes to more than 6.0 percent-about 4.6 percent SOFR plus 2.0 percent. But with renminbi it is about 3.0 percent,’ Treasury Cabinet Secretary John Mbadi said ahead of inking the deal.

Servicing of the SGR loans, which is done in January and July, is one of the biggest burdens on taxpayers, with repayments to China accounting for more than three-quarters of the annual spend on bilateral debt repayments.

The Treasury has a budget of Sh129.90 billion towards repayment of loans contracted from China this financial year ending June 2026, comprising Sh95.64 billion in principal and Sh34.26 billion in interest costs. The bulk of these repayments is for the SGR debt.

Kenya borrowed $5.08 billion from the China Export-Import Bank (Exim) for the construction of two phases of the SGR.

The first phase of the modern railway from the port city of Mombasa to Nairobi received two facilities of $1.6 billion and $2 billion, while the second, connecting the capital city to Suswa town near Naivasha, took up $1.48 billion.

The loans were dollar-denominated and had floating interest rates reportedly set at 3.6 percent or 3.0 percent above the average London Interbank Offered Rate (Libor) – a global benchmark retired in June 2023 and replaced by SOFR and other alternative reference rates.

Freight services were the main economic justification for the SGR loan. The SGR line has, however, struggled to hit targeted cargo volumes.

Some importers keen on last-mile delivery of cargo have balked at the tariffs to transport goods from the Port of Mombasa to the Inland Container Depot (ICD) in Nairobi and Suswa for consignment largely destined for western Kenya and neighbouring countries like Uganda and Rwanda.

‘Although the repayment of the SGR loans has been onerous, there should have been far greater concern about the railway’s inflated construction costs and its consistent failure to generate revenue despite government intervention to mandate cargo traffic,’ Fergus Kell, a research fellow at London-based Chatham House, wrote in a past note.

‘This is a legacy of poor Kenyan decision-making and a planning process driven more by short-term electioneering than strategic need. Chinese lending was one component of a surge in borrowing under the Kenyatta administration.’

Julia Nechesa Shisia sits under a tree, drinking sparkling water and reflecting on how great this year has been. Until it wasn’t. She reflects on her 20-year career in financial services, which has led her to her current role as Executive Director at Absa Bank’s Bancassurance division.

A key milestone was attending the executive programme at Harvard Business School. She talks about her love for medicinal plants. For long walks in the forest. For swimming. Things she has always enjoyed, things she has enjoyed this year which, as mentioned, was going so great she rated it a 9/10 until her husband died suddenly overseas at the beginning of November.

Her days are mostly filled with grief, feeling her way in the darkness that sometimes sets over her days. She’s now a widow, but it still doesn’t feel like it. “You never really think that you will be the person ticking ‘widow’ on any form that requires you to identify your status.” Burying her husband is the single most important event that will dominate her life forever. The silver lining, if you could call it that, is that it has sharpened the need to treat people with kindness and compassion-a philosophy now extending from her boardroom to her personal life. “You never know what people are dealing with,” she says. “Nobody here can look at me and think, ‘that lady sipping sparkling water over there buried her husband two weeks ago.'”

Was business good this year?

When you’re doing a billion point five in profitability, and you know that for insurance, that’s more than good.

A billion! You’re a powerhouse, aren’t you?

Oh, yeah, of course. [Laughs] That I am. I go in to win. I don’t go in to mess around, Biko. I go in for the kill. But winning doesn’t mean you never fail. I’ve had low moments and key highlights. In the low moments, what matters is that I don’t stay there-because I believe in winning. So I always ask: how can I do this differently and still win? If I can’t do it alone, who can help me? Is it the skill? The approach? What needs to change?

What I believe is this: everybody can win. You just have to put all the pieces together. Life is not a straight line. It goes up, then down, then up again. But if your goal is to get there, you will always get there.

How did you get here?

It’s been a 20-year journey. I started in insurance straight out of university as a sales executive at ICEA. It looked glamorous-titles, business cards, grooming allowances-but the work was tough. That’s where I learned the business from the ground up.

My first real exposure came during a university break when a neighbour convinced me to try selling insurance. I earned my first commission, and that’s when it clicked that insurance could be a career path. From ICEA, I moved through CIC, NIC-largely through people recommending me.

Later, I helped set up a bancassurance unit at Diamond Trust Bank and Jubilee. We broke even in 10 months. After that, Equatorial Group, then Standard Chartered, and now Absa.

At Absa, my focus has been on structure, people, and culture-getting the entire bank to buy into the bancassurance vision. With leadership support, we built the unit to over a hundred people within a year and a half. That’s really how I got here-step by step, through people, resilience, and opportunity.

Where did you go to school?

Let me start with the letters that I like. I did my executive programme at Harvard, and together with my high school, those are the two institutions that shaped me the most-just in very different ways.

Harvard shaped how I think about building business, leadership, and impact. Moi Girls High School in Eldoret shaped my character. Being a national school, you’d arrive there thinking you’re the top student, then suddenly you’re ranked 56 out of 108. That humbled us very quickly. I realised there are people far brighter than me.

Beyond academics, we were grounded in values-discipline, focus, how to compete, and how to live with others. By the time I got to university, a lot of that foundation was already formed. When I entered the workplace, I assumed everyone was there simply because they were qualified.

Then I began to discover the many human dynamics inside organisations. That pushed me to read widely, to study leadership and human psychology. Eventually, I went to Harvard to understand leadership from a global perspective. Even today, I’m still learning. Leadership, for me, is a lifelong journey.

How was your childhood?

Happy. [Dreamy look]. Really happy. I adored my father-he felt like a superman. I grew up in Eldoret in a big family-brothers and sisters, a really happy childhood. We had a farm, I played with my siblings and neighbours, at school I joined the drama club, and recited poems. When I was a child, I loved drawing and writing, and I read a lot. I liked Yusuf Dawood’s column, The Surgeon’s Diary in the Daily Nation, and thought maybe being a doctor would be good. My father, a businessman who dabbled in many trades, would take me with him to pick berries and teach me how foods help our bodies. That inspired my interest in health and medicinal plants.

At university, I studied medicinal plants and did research on them. Science was tough, though, and I eventually moved into the financial sector. But I haven’t let go of that passion for health-I still eat well, live healthily, and think of ways to help others live healthy lives.

Are you still interested in medicinal plants?

I am. In fact, at home I have a whole book on medicinal plants. I practice edible landscaping-jasmine to repel mosquitoes, moringa for nutrition, and berries as antioxidants.

If I have a cough or cold, I rely on natural remedies first-lemon, electrolytes, exercise-before medicine unless it’s serious. I walk a lot and swim sometimes. Once a month, I do about 12,000 steps in Karura-roughly 5-7 km.

I enjoy movement, healthy eating, and staying active. I try to reduce carbohydrates and fats, especially as I age. I prefer boiling meat and bones to make broths, seasoning lightly with natural spices.

I believe natural flavours are enough-frying doesn’t make food sweeter. For breakfast, I usually have smoothies. I eat a lot of fruits and vegetables. I enjoy sweets and cake occasionally, but they’re not part of my routine.

How would you rate this year?

I’d rated it 9 over 10, but then last month, I dropped it to 7. My husband died.

Goodness, that’s… horrible! I’m sorry to hear that. What happened, if you don’t mind me asking?

He got a heart attack while sleeping. Unfortunately, he was out of the country. He’d gone for a UN assignment in Sierra Leone.

What do you remember about that night?

We were planning to go to the US with my daughter that night when I got a call from Gigiri. The caller worked for the UN, specifically for FAO [Food and Agriculture Organisation]. They said I needed to come to the UN office immediately.

I told them I was busy and travelling, and asked if we could meet later-but they insisted it had to be that day. I had to drive myself to meet them. While on the way, I called the number back and asked for the name-Penina. I googled her: UN Staff Counsellor. I wondered, why is the UN Staff Counsellor calling me? Something felt off. I told my daughter-

How old is she?

My daughter is 15. I told her I didn’t understand why they were calling me. She said she hoped it was something good. I think she sensed my mood had changed. I told her I hoped so too. When I arrived at the UN, the lady was waiting for me at the gate. She took me into an office, and I saw signs for the counselling centre and clinic.

Inside, there were two people seated-a lady and a gentleman. She introduced them as my husband’s colleagues from the Kenyan office, and herself as the UN staff counsellor. That’s when my instincts went up.

I knew something was wrong, but death was not on my mind. I thought maybe there had been an attack, or an accident, or something related to his work. She asked me to sit down and asked what relationship I had with Edwin. I told her he was my spouse. Then she said, “Let me go straight to the point.”

She told me that the previous day, my husband had not reported to work, and they were unable to reach him. His phone was ringing but not being picked. Because they had another mission scheduled, his colleagues went to his house.

When there was no response, they went to the back of the apartment and saw him lying on the bed. Following UN protocol, they brought a doctor, broke in, checked his vitals-and his body was lifeless.

Knocked you off your feet?

I asked them if he was really dead, and they confirmed he was. I asked if he was in the mortuary-they said yes. Living with someone, you never expect they will die. I broke down there, of course.

Coincidentally, a friend called while I was sobbing. She was checking my travel plans. I told her what had happened, and she invited me to her house, since my daughter was home and the other one was at school. I stayed there the whole day because I had to tell my daughters about their father’s death at 4 pm, and cancel our US trip.

Then came the logistics-repatriating his body from Sierra Leone. For the first time, I was travelling with my husband as cargo, sitting on a plane knowing I would return with his body. [Pause] Anyway, let me not talk about it because I don’t want to get emotional. So yeah, that was the downside of this year.

I’m sorry!

Yeah. I learned that there is always a lesson, even in the saddest moments. Life is very fickle-you can be healthy and still die suddenly. So you have to live each day fully.

If you want to sit in the garden and do nothing, that’s your choice. But if you live today, make it count, because you never know. He had bought us gifts-beautiful fabric for me and clothes for the children. His colleagues even wrapped them. I’ve never opened them; they remain exactly as they were. I still look at them.

The girls must have been devastated.

Oh, my God. They loved their father, and he adored them. They were devastated. Even now, they talk about him in the present tense. My daughter was telling me yesterday, “Mom, what would you do if I had a boyfriend and he frustrated me?” I told her I would tell him to leave her alone. She said, “No, Dad would shoot them. Dad has a shotgun.” He was always serious about protecting us. I keep quiet-they’re still processing.

I also realised something about mourning: adults come to console me, but nobody remembers the children. Life moves on for them-they play, go to school, and normalise things. But who actually sits with children to help them process losing a parent at 15? Many children don’t get the chance to grieve or cope like adults do. I want to take them to therapy.

When did this happen?

On the 3rd of November.

That’s just the other day.

Yes. We buried him on the 19th. I just returned to work on Monday, which is why I couldn’t meet you sooner. But here I am, talking about it without crying. I can smile.

And crying is also fine.

Yes. Two weeks ago, I was uncontrollable-I couldn’t even talk. So many people have supported me, so many. But when I look at my children, I remind myself that if I break down, they will break too. So I try to hold myself together. And there are some journeys you take alone. Nobody sees themselves as a widow at such a young age.

Interestingly, the priest said it when he came to our house for the mass for the deceased: “Now it’s time to pray for the widow.” It was the first time I heard “widow,” and I looked around, thinking it wasn’t me. Then it struck me-it actually was me. [Laughs]

Generally, you’ve had a good life?

Yes, but we often take many things for granted. Small things people do for us go unnoticed until they’re no longer there. For example, my daughter recently came to me saying she couldn’t fix the Wi-Fi. I didn’t know how either-it used to be handled by their dad.

Once there was a problem, and when I called him in Sierra Leone, he asked if I had checked. Somehow it got fixed, but I hadn’t even known how. I’ve realised all these little things were never just given. Now, I see their value. We shouldn’t take people or things for granted.

How has this impacted other areas of your life, like work?

I try to handle people with kindness and compassion. Do you understand their journey, their story? It changes the dynamic. You don’t know what someone is dealing with. The other day, I was in town, and a girl was passing by in tears. I didn’t know why, but I could relate. I just thought, whatever it is, it’s heavy-God have mercy.

If you could get one gift for Christmas, physical or metaphorical, what would it be?

The only gift I want right now is something that I can be reading every day to remind me that, you know what? You can do this. It is well. Because it is.

Has this shifted perspectives on the future, what you wanted?

Yes. There are a lot of responsibilities-my responsibilities. Now I realise I’ve got to handle things financially, because he carried a big chunk of them, like fees and all.

So you start thinking and planning, even if you haven’t before. Even my career feels different. When I talk about insurance and death, it’s real-it can actually happen. I’ve experienced it firsthand.

I also think about raising my daughters-they’re teenagers, they loved their father. How do I balance things to help them be okay? Society is made of males and females, and there’s a part he played in their life that I may not fully fulfill.

But what can I do to make life lighter for them, and to give them some sense of that male perspective? Those are the things going through my mind right now.

Was your husband happy?

He was. [Pause] He was. He loved rhumba and bango music, loved hosting people. He loved cooking. He was a happy guy, grew up on the Coastal region, so he just took life easy.

It was never that serious. Nothing is, even that Range Rover, will be exciting but if you think about it two years from now, will it still be exciting?

Yes, a Range Rover is a lovely car.

[Laughs] Well, the Range Rover is a great car. I love it. Love the Vogue, especially now-it’s designed beautifully. It’s those little things that matter.

I see children playing and, you know, you hug them, you laugh with them, and you’re like, oh, such innocent, beautiful souls. I wish I could just be like this without the noise issues, those kinds of things.

A cup of coffee is simply a lively start to many breakfast tables, but for Nigerian hyperrealist artist Ekene Ngige, coffee is a natural working medium that has become his signature trademark-paintings that embody the essence and aroma of coffee itself.

His show This Little Light of Mine, currently at the BoConcept Nairobi, located at The Address, is an exploration of a style and technique that is yet to gain traction across the African continent; a bold and explicit gamble by an outstanding artist making waves in the visual art scene.

Growing up in Lagos, Ekene recalls being a painter from childhood, his education was curated around improving what he knew from a young stage that he wanted to do all his life, painting. His journey first started with painting with acrylics and watercolours. ‘I needed to stand out because when I looked around, I saw a lot of gifted artists doing hyper realism work in Nigeria, it was almost like we were all doing the same thing. There was a need for my art to be able to stand on itself and speak my name. As time went on, I experimented with different medium- water colours, shoe polish. My first exhibition launched a café in an airport and it gave me a relationship with coffee,’ he says.

After this experience and subsequent interactions with the franchise as part of the branding team, Ekene would fall in love with the coffee spirit. He would later on go back to his studio and make a gel out of coffee which he used to make a painting; an experience he lauds as fantastic.

‘I fell in love with coffee as a drink but to be able to create something out of a beverage I loved so much which even retained the aroma of coffee was mind blowing for me. I felt it was the unique style that I had been looking for and therefore decided to keep it.’

Later on, he went online to look for kindred spirits and recalls stumbling into a Russian, some Americans and Europeans and a couple of Brazilians.

‘I get my inspiration from things happening around me. I wanted to paint more of Africa. I wanted to paint stories that lie ignored, stories that bear history and advocate for specific rights,’ he says.

In terms of solubility, coffee provides a versatile medium for Ekene to paint his subjects. His use of watercolours combined with acrylics and coffee results in works with strong, rich tones of melanin that stands out from shades of ebony across different mediums.

In his paintings, he primarily uses instant coffee, which is more soluble and has a smoother texture. Sometimes, he uses coffee alone, but at other times he employs coffee bean rolls to create patterned mosaics and textures in his murals.

Ground coffee, however, does not feature in his palette because it leaves particles behind. For him, coffee is a unique medium because it carries a vibrancy not found in most colours; he describes it as a dye that can stay on paper or canvas for a very long time.

‘Coffee has been different from the moment I first discovered it as a medium. From my first piece, it attracted different kinds of reactions, especially from people who understood the coffee culture, which isn’t so strong in Nigeria as it is in Kenya or America. It makes me stand out because when you think about coffee and think about art, you think about me, which is amazing,’ he says.

For an artist who lives with a disability, Ekene remains nonplussed about how it affects his creativity.

‘It changes nothing with regard to my creativity. What it does is simply limit my movement from one location to another. I don’t go out or move around a lot. I prefer to stay and move within my energy and use it to create art. That has been the only major challenge I have had.’

This Little Light of Mine is a continuation of the theme whose body of works was first showcased in Lagos, Nigeria last year. It was inspired by Ekene’s personal experience as a disabled person.

Kenya has invested heavily in positioning itself as a leading African digital innovation hub, and therefore strong cybersecurity is now central to our brand equity.

The recent cyber incidents affecting government systems and public-facing platforms are a stark reminder that digital vulnerabilities are not just IT issues, they are national public relations emergencies that shape citizen trust, global perception, investor confidence.

Kenya’s rise as a digital powerhouse has been central to its economic story. From mobile money to fintech innovation and modernised government services, the country has built a strong regional brand around technology. This narrative has been key to attracting foreign investment, inspiring start-up activity, and cementing Kenya’s role as a regional hub.

Kenya has invested heavily in positioning itself as a leading African digital innovation hub, and therefore strong cybersecurity is now central to our brand equity.

The recent cyber incidents affecting government systems and public-facing platforms are a stark reminder that digital vulnerabilities are not just IT issues, they are national public relations emergencies that shape citizen trust, global perception, investor confidence.

Kenya’s rise as a digital powerhouse has been central to its economic story. From mobile money to fintech innovation and modernised government services, the country has built a strong regional brand around technology. This narrative has been key to attracting foreign investment, inspiring start-up activity, and cementing Kenya’s role as a regional hub.

AIB-AXYS Africa, a renowned and fully accredited brokerage firm at the Nairobi Securities Exchange (NSE) licensed by the Capital Markets Authority (CMA), today announced the expansion of its investment product suite.

Responding to surging investor demand for hard currency assets and effective hedging strategies the firm has launched access to a comprehensive suite of professionally managed offshore funds.

This strategic move simplifies access to international capital markets, offering investors a robust hedge against geopolitical risk and a pathway to secure long-term growth.

As a member of the distinguished AXYS Group, a fully integrated end-to-end investment powerhouse, AIB-AXYS Africa operates as the local investor’s gateway to advanced capital markets solutions and specialised fiduciary services.

Anchored by a presence in five key financial hubs – Port Louis, Mauritius; Nairobi, Kenya; DIFC and Abu Dhabi, UAE; Geneva, Switzerland; and London, UK – the Group serves over 10,000 clients across 85 countries and 6 continents.

This extensive infrastructure and footprint serve a dual purpose: offering institutional partners the governance and execution frameworks they require, while providing private investors with diversification options.

Expanding access to international markets

The newly curated offshore suite is engineered to transcend local limitations, enabling clients to build resilient, globally diversified portfolios. The expanded offering features targeted investment vehicles, including:

Axiom Africa Equity Fund: The firm’s flagship vehicle denominated in USD and EUR, which captures the continent’s most promising equities through a rigorous and proprietary “quantamental” approach. The fund has demonstrated robust resilience since inception and has delivered a 37.8 percent YTD performance as of October 2025.

Shariah-Compliant Funds: To facilitate access to ethical and faith-aligned investment options through investing in Halal stocks and global Sukuk.

Diversified set of Asset Classes: A broad array of instruments that is periodically adjusted to meet changing market demands and conditions ranging from Global Equity funds; Global Fixed Income funds; International Money Market and Index Funds; Mortgage and Real Estate Funds among other selections.

“This expansion is about more than introducing new products; it reflects our broader mission to equip clients with the knowledge, access and guidance needed to navigate global markets confidently,” said Mrs. Mary Maloba, Acting Chief Executive Officer of AIB-AXYS Africa. “It reinforces our commitment to long-term partnerships and thoughtful wealth stewardship.”

Seamless access for investors

In line with its strategic vision to deepen investor choice, AIB-AXYS Africa has streamlined the path to global investment, removing the historical complexity of accessing offshore solutions. At an entry point starting from USD 1000, Investors can now access these funds immediately through a simplified consultative process either in-person or by way of email.

Upon completing registration and submitting standard KYC documentation, clients are swiftly approved to fund their accounts. Once capital is deployed, investors gain full visibility into their portfolio performance through their dedicated client portal.

This offshore fund suite will soon also be accessible digitally (February 2026) via its market-leading mobile and online share trading platform, AIB-AXYS Digi Trader, which already provides users seamless access to local equities.

“Our goal is to meet investors where they are, offering solutions that adapt to their objectives while unlocking new opportunities across global markets,” commented Mr. Oltele Lemek, Head of Business Development. “These offshore funds enhance our ability to provide personalized guidance and deliver meaningful outcomes, allowing both institutional clients and private investors to pursue their distinct financial goals with confidence.”

About AIB-AXYS Africa

AIB-AXYS Africa is a leading investment and brokerage firm providing comprehensive solutions across capital markets. As part of the AXYS Group, it leverages a global footprint, integrated capabilities and deep expertise to offer client-focused, innovative investment solutions designed to create lasting impact.

Family Bank of Kenya has raised Sh8 billion through a private placement with the entrance of new owners diluting older shareholders, including the family of its billionaire founder, Titus Muya, even as the mid-sized lender eyes listing on the Nairobi Securities Exchange.

The private placement, which saw the bank offer new shares to a select group of sophisticated investors, was oversubscribed by 31.4 percent, with investors offering the lender Sh8 billion against a target of Sh6.09 billion.

Family Bank, which plans to list at the Nairobi bourse by mid-next year, said the bulk of the new shares offered were bought by fund managers, pension funds, insurance companies, and wealthy individuals.

The bank plans to use the funds for digital transformation, lending activities, and business expansion both locally and regionally.

‘Family Bank has successfully completed its private placement of ordinary shares, raising Sh8 billion against a Sh6.09 billion target, achieving an oversubscription of 131 percent,’ said Family Bank chief executive officer Nancy Njau.

‘The additional equity significantly bolsters our capital ratios, accelerates lending to priority sectors such as micro, small, and medium enterprises, green financing, women, and youth-led enterprises. This successful raise positions Family Bank strongly for sustained growth and enhanced shareholder value,’ she added.

Sources in the bank said current shareholders did not participate in the placement, allowing them to be diluted by new entrants.

Top ownership of the bank is dominated by Mr Muya, and his family. Dilution of the family stake has been a secondary goal in the bank’s capital raising ventures.

Mr Muya owns 5.6 percent of the bank directly, while his company, Daykio Plantations, owns 12.1 percent. Persons associated with him, such as Brian Muyah, Ann Muya, Mark Keriri, and Sheila Kahaki Muya, have a 2.6 percent shareholding each.

Kenya Tea Development Agency Holding Limited is the largest single shareholder with a 16.2 percent stake.

‘For existing shareholders, the planned listing creates an opportunity for improved liquidity and better price discovery of the stock, including a dilution pathway (if it involves fundraising), for investors looking to comply with maximum shareholding requirements by the Central Bank of Kenya,’ said Standard Investment Bank in a note to investors.

Family Bank, which has already contracted advisors to guide it in the listing process, will be listing by introduction, meaning it will not be raising new capital in the process. Currently, the bank’s shares are traded in the Over-The-Counter (OTC) market, limiting its liquidity. Listing by introduction will provide liquidity of the share and bring on board other investors who would otherwise not invest in the stock, while in the OTC market.

Before the private placement, the bank had 1,305,195,209 issued shares, which traded at an average of Sh16 each in the OTC market, valuing the bank at Sh20.8 billion.

Results of the private placement provide a huge boost for the bank, whose rights issue conducted last year had flopped, raising Sh252 million against a target of Sh9.3 billion.

The bank has enjoyed huge growth in the last year, pushing it to raise its capital buffers to support the business.

Family Bank reported a 56 percent increase in net profit for the nine months to September on the back of earnings from government securities.

The bank reported a net profit of Sh3.5billion, up from Sh2.3 billion in a similar period a year earlier. The bank’s improved performance was on the back of a 43.1 percent jump in interest earned from Treasury bills and bonds to Sh5.5 billion, up from Sh3.8 billion.

Family Bank is eyeing regional expansion with Uganda and the Democratic Republic of Congo on its radar.

The government has now formally begun selling its 15 percent stake in Safaricom to Vodacom of South Africa-a transaction that, once combined with the sale of future dividend rights, will raise approximately Sh244.5 billion for the exchequer.

Two statutory notices-one issued by Vodafone Kenya under the Takeovers Regulations, and another by Safaricom PLC under the Public Offers and Disclosures Regulations-set out the architecture of the deal.

What I find most revealing is not the headline valuation or even the politics around it, but the silent transformation happening beneath the surface: the foreign investor is taking 100 percent control of Vodafone Kenya.

Anyone familiar with Safaricom’s early history will appreciate the significance. Vodafone Kenya-the entity through which Vodafone Group long held its shares-was once the vessel that accommodated the infamous Mobitelea.

It was incorporated in 1998 with company number C79550 and registered to a lawyer’s office in Lonrho House. In many ways, this new transaction sterilises that dark and obscure chapter.

For years, Kenya has sat on immense value. Safaricom is the region’s most profitable company, boasting impressive margins and unmatched dominance in mobile money through M-Pesa. Yet the State has maintained its 35 percent stake largely out of sentiment, political pride, and the symbolism of holding equity in the country’s corporate crown jewel.

But the cold reality is unavoidable: the exchequer is now in a tightest fiscal position. Debt servicing is consuming the budget. Development spending has been crowded out. Cashflow pressures are acute. In such a context, raising Sh244.5 billion without borrowing is not just attractive-it is financially rational.

Critics will inevitably ask whether Kenya is surrendering too much influence over its national champion. They will argue the Vodacom will now effectively control the region’s most important telecoms and fintech infrastructure. But this claim is, at best, debatable.

The disclosures show that the chairman will remain Kenyan. A good number of independent directors will remain local.

There will be no merger-related redundancies for the first three years. The government retains a 20 percent stake and the right to appoint two directors, alongside safeguards around national interest, security, and data sovereignty.

Beyond that, Vodafone, with its 39.9 percent stake, already exercised effective operational control over Safaricom. This transaction merely formalises a structure that has existed de facto for years. The idea that Kenya is ‘losing’ Safaricom is more political rhetoric than economic substance.

Still, critics will dismiss the deal as a fire sale disguised as portfolio optimisation. But what is the alternative? A fiscally distressed state clinging to the illusion of control while the economy suffocates under debt? What is the value of holding on to ‘prestige equity’ when the exchequer is starving for liquidity? When you are under pressure to meet debt obligations, cutting development budgets, and borrowing domestically at punitive rates, then control-mere control-becomes a luxury.

Seen from a wider lens, the government has been forced by circumstances to behave like a portfolio manager rather than a sentimental, long-term holder of assets. Mature, high-value state investments are precisely the assets that should be monetised to reduce fiscal pressure and fund productive investment.

Consider the ongoing process to sell a stake in Kenya Pipeline, where the state hopes to raise up to Sh600 billion. I am reliably informed that the transaction adviser has been directed to put the deal ‘on the road’ by December 19-an indication of the urgency gripping Treasury.

We have entered an era where the State will increasingly rely on asset sales, securitisation, and strategic divestiture to plug widening fiscal gaps.

The evidence is everywhere. The other day, the government securitised part of the Road Maintenance Levy and raised Sh178 billion to pay contractors. It securitised the Sports Fund to raise Sh40 billion for the Chinese-built Talanta Stadium.

Tourism Levy receivables were securitised to raise billions more for the construction of the new Bomas of Kenya complex. And the Nairobi-Nakuru-Mau Summit road is being delivered through a PPP model, shifting financing and operational risks to private partners.

This Safaricom transaction must be understood within this broader paradigm shift. Kenya is being nudged-quietly but decisively-into an era where the state survives not by taxing or borrowing, but by monetising assets and optimising the balance sheet.

If done transparently and strategically, this could mark the beginning of a more disciplined era in state asset management.

Centum Real Estate (Centum RE) has made winning awards a regular habit. November 21 was the latest chapter of this positive streak as the real estate developer won three trophies during the inaugural Nation Media Group Top Property Awards 2025.

Centum RE Managing Director, Mr Kenneth Mbae, was crowned the Property CEO of the Year 2025. The award was in recognition of his leadership in governance, infrastructure delivery, sustainability, investor confidence, and community impact across the development portfolio. At the same event, the real estate firm’s Vipingo Development won the Best Value Added Development.

Vipingo Development in the coastal county of Kilifi earned the award based on the scale and quality of value-added infrastructure delivered across the 10,254-acre master-planned city.

At this development, Centum RE has invested in all-weather roads, a 3 million-litre-per-day desalination plant, sewerage systems, power distribution, and fibre connectivity, enabling both residential and industrial uptake.

Centum RE’s Two Rivers Social City in Nairobi emerged first runner-up in the Best Mixed-Use Development category during the Top Property Awards 2025.

Two Rivers Social City is the largest mixed-use precinct in East and Central Africa, integrating retail, residential, entertainment, commercial, and hospitality uses within one master-planned environment.

The development has two completed and fully sold residential projects, which now command rental incomes of Ksh150,000 to 350,000 monthly, translating to strong rental yields and long-term return on investment (ROI) for buyers.

The precinct continues to attract new homeowners through flexible purchase options, with deposits starting from Ksh553,000 for upcoming units.

Two Rivers is supported by robust infrastructure, including a 23 MVA dedicated power substation, a 2 million-litre water treatment facility, extensive internal roads, green spaces, and pedestrian-centric urban design. These components underpin its growing standing as a high-performance mixed-use city.

International awards

The company additionally won some international awards this year. It received two major honours in the 20252026 International Property Awards (IPA), a globally recognised competition judged in the United Kingdom (UK).

Its 1255 Palm Ridge, which sits within the Vipingo Development, won the award for Mixed Use Development. The homes offer an accessible entry point of Ksh3 million, enabling a wider segment of aspiring homeowners to secure modern, well-planned residences within a fully serviced urban ecosystem.

Vipingo Development combines residential neighbourhoods with commercial, industrial, and hospitality zones – including an EPZ, SEZ, a PGA-certified golf course, an airstrip, and access to the beach, creating a comprehensive mixed-use environment.

Another winning project feted during the International Property Awards is Mzizi Court apartments. The project won the Sustainable Residential Development award.

Known as 26 Mzizi Court, the development is located within Two Rivers Social City, and is designed to provide high-quality, sustainably built homes. Units are priced from Ksh5.53 million, supported by flexible payment plans and mortgage partnerships with leading lenders.

The development is IFC EDGE-certified, demonstrating verified reductions in energy, water, and materials consumption. Sustainability is embedded in its design and construction, contributing to healthier living environments and operational cost savings for residents.

Last year, Centum RE was formally recognised as an IFC EDGE Champion, reflecting its commitment to delivering independently certified green buildings across its portfolio. The accreditation acknowledges the company’s consistent achievement of measurable energy, water, and materials savings in developments such as the 26 Mzizi Court.

This recognition positions Centum RE among a select group of developers in Africa that have embedded sustainability, climate-conscious construction, and environmental performance into their end-to-end development process.

The government has surpassed its revenue targets for entry into national parks, reserves, sanctuaries and marine protected areas for three consecutive years, due to the digitisation of tourism payments and increased visitation, officials have disclosed.

Officials from the State Department for Wildlife told the National Treasury that revenue from wildlife conservation matched its target of Sh7.92 billion for the financial year ended June 30,2025.

The performance extended the upward trajectory after the collections hit Sh7.74 billion in 2023/24, surpassing the Sh7.53 billion goal and Sh5.37 billion the previous year, which was also above the Sh5.27 billion target.

The State department says the revenue growth has been underpinned by an increase in domestic and international visitors to national parks and other conservancies.

The Kenya Wildlife Service (KWS) recorded 3.38 million visitors in the year to June 2025, exceeding the planned 3.3 million.

The State department says the revenue growth has been underpinned by an increase in domestic and international visitors to national parks and other conservancies.

The Kenya Wildlife Service (KWS) recorded 3.38 million visitors in the year to June 2025, exceeding the planned 3.3 million.

Visitations the previous year reached 3.18 million, beating the 2.7 million target, while 2022/23 drew 2.4 million against the 2.1 million goal.

‘Target [for revenue] surpassed due to increased visitors in parks and digitisation of revenue collection (e-Citizen),’ the State Department for Wildlife said in its report to the National Treasury to inform allocation for the next financial year starting July 2026.

‘Target for park visitors surpassed due to enhanced marketing initiatives, rehabilitation of the guesthouses in parks, and tourism recovery measures in place.’

Digitisation of park payments has helped improve collections of park entry fees, officials say, after Kenya transitioned to e-ticketing for national parks and attractions, including Nairobi National Park.

That has eliminated cash transactions, with visitors required to pay in advance through platforms such as eCitizen, reducing queues at park entry points.

‘Through innovations such as TouristTap, which convert NFC-enabled smartphones into point-of-sale devices, foreigners can pay with Visa or MasterCard directly, or via mobile money, without the need for cash, foreign exchange, or traditional point-of-sale machines,’ Tourism and Wildlife Cabinet Secretary Rebecca Miano said in September.

The disclosures on above-target performance have come amid a policy battle between the State and stakeholders over a policy to increase park entry fees.

The KWS has sought to introduce a new fee structure for accessing national parks, reserves, sanctuaries, and marine protected areas under the Wildlife Conservation and Management (Access and Conservation Fees) Regulations, 2025.

The new fees, announced at the end of September, are aimed at helping bridge a Sh12 billion annual budget deficit in the KWS books.

The High Court has, however, temporarily stopped their implementation after the Kenya Tourist Federation petitioned the move on grounds that the abrupt rollout would hurt Kenya’s competitiveness as a global safari destination.

Justice John Chigiti issued conservatory orders halting the changes in early October, noting that the matter required fair hearing and proper stakeholder engagement.

Tour operators complained that the new fees made it impossible to adjust pre-sold packages or consult stakeholders adequately.

Before the injunction, entry fees for adult Kenyans and East African residents visiting Amboseli or Lake Nakuru National Park had been raised by 74.4 percent to Sh1,500, while foreign visitors were to pay $90, up from $60.

Charges for students and children aged between five and 17 were to more than triple to Sh750.

The entry fees to Nairobi National Park would have jumped steeply by 132.5 percent for locals to Sh1,000, while foreign charges would have climbed 86 percent to $80.

The entry charges for Tsavo East and Tsavo West had been raised by 94.2 percent to Sh1,000 for citizens and 53.8 percent to $80 for foreigners.

KWS says Amboseli, Lake Nakuru, Nairobi National Park, Tsavo East, and Tsavo West account for more than three-quarters (78 percent) of its park revenue.

Former Prime Minister Raila Odinga, world champion athlete Faith Kipyegon, and the Social Health Authority (SHA) were the most searched topics by Kenyans this year, according to Google.

The annual ‘Year in Search’ report, now in its fifth year, reveals the questions, curiosities, and cultural moments that captured the nation’s attention and provides a window into what Kenyans were thinking, talking about, and exploring online.

Raila Odinga dominated public interest, with searches mostly linked to the term ‘enigma meaning’, which surrounded his political persona. Kenyans also followed his statements, engagements, and public appearances closely.

In the year under review, sports also captured the hearts of the nation, with Faith Kipyegon emerging as the most searched sports personality, attributed to her consistent excellence as a runner, which affirmed her status as a national icon.

“Football continued to unite and energise the country, with the African Nations Championship, popularly known as CHAN, becoming the most searched news item,” Google said.

Similarly, interest in global football stars, including Slovenian player Benjamin Šeško and Portuguese player Diogo Jota, whose passing left a mark on fans, also trended strongly, blending local passion with international attention.

SHA became a central topic of discussion in 2025 as Kenya transitioned from fragmented healthcare schemes to a more structured national system.

In their search, Kenyans sought to understand how the new authority would streamline access to medical services, introduce standardised benefit packages, and improve financial sustainability for both patients and private health facilities.

“Questions about registration processes, contribution rates, service delivery, and compliance with the new system drove online searches, reflecting the public’s keen interest in how SHA would affect everyday healthcare access and affordability,” said Google.

Kenyans also spent the year exploring language, culture, and global events. Searches for terms like conclave, habemus, and papam accompanied curiosity about the new pope, while interest in international figures such as Charlie Kirk indicated an awareness of global political developments.

Locally, searches for jowi, kubant, saba saba, demure, and wantam reflected evolving language and cultural conversations, while questions about Sudan and Congo highlighted the public’s engagement with global geopolitical shifts.

In kitchens across Kenya, the year was marked by a mix of health-conscious habits and indulgent cooking. Ginger shots led culinary searches, reflecting a focus on wellness and home remedies, while comfort foods and creative dishes such as chocolate chip cookies, cinnamon rolls, dawa, mini pizzas and osso buco captured the public’s imagination.

Meanwhile, music trends painted a vivid picture of Kenya’s cultural landscape, blending nostalgia with contemporary hits. Harry Belafonte’s Jamaica Farewell became the most searched lyrics, resonating widely alongside modern tracks like Kendrick Lamar’s Not Like Us. Regional hits, including Mbosso’s Pawa, Donjo Maber, Iyanii with Dufla Diligon, and Toxic Lyrikali’s Backbencher, illustrated the richness and diversity of the music scene.

The year’s top songs, such as Jamaica Farewell, Taya by Okello Max, and Bien’s All My Enemies Are Suffering, shaped the soundtrack of 2025, reflecting a dynamic interplay between the old and the new.