Category: Business Daily

Family Bank’s former chief executive officer, Peter Munyiri Maina, has been awarded Sh30.6 million by the Court of Appeal in the form of gratuity payments following a protracted legal battle with his former employer, though he had sought a larger payout of Sh57 million.

While the amount falls short of his claim, the judgment provides clarity on executive compensation disputes in Kenya’s banking sector and reinforces the binding nature of contractual terms.

The seven-year legal dispute centered on interpreting Mr Maina’s employment contract, which stipulated a 10 percent gratuity payout for his first year (2011-2012) and stated subsequent rates would be ‘aligned with banking industry rates.’

While both parties agreed on the wording, they sharply disagreed on what constituted the ‘banking industry rate’ for a Tier 2 institution such as Family Bank.

The Court of Appeal clarified that once gratuity terms were included in a contract, they ceased to be discretionary and must be awarded strictly in accordance with contractual provisions.

Mr Maina, who served as CEO of the mid-tier lender from July 2011 to July 2016, maintained that comparable banks paid their managing directors gratuity at 31 percent of their gross annual basic salary. He wanted to be paid the same for each of his last four years of his contract.

To support his claim, he cited a 2016 PricewaterhouseCoopers (PwC) Employee Benefits Guide and findings from Manpower Services Kenya, which indicated that banking sector CEOs typically received gratuity rates between 30 percent and 31 percent.

He also referenced comparable practices at Housing Finance Company of Kenya and National Bank of Kenya, both of which set executive gratuity at 31 percent.

Family Bank, however, rejected the 31 percent benchmark, arguing that the PwC survey was not bank-specific and failed to account for mid-tier banks.

The bank presented a subsequent PwC survey it commissioned in October 2016 -limited exclusively to Tier 2 institutions- which found that only five out of 14 sampled banks offered gratuity, averaging 18 percent.

It contended that this figure represented the true ‘banking industry rate’ as intended in Mr Maina’s contract. The bank maintained this specialised data, which better reflected the contractual term ‘banking industry rates’ as applied to their tier classification.

Both the Employment and Labour Relations Court in its 2019 ruling, and now the Court of Appeal in 2025, sided with Family Bank.

While acknowledging the broader industry averages cited by Mr Maina, judges noted Kenya’s banking sector operates under strict Central Bank of Kenya classifications, making tier-specific comparisons most relevant.

Recognising that the April 2016 PwC report indicated a 30 percent average gratuity rate for senior executives, the appellate judges noted that the survey covered 41 organisations from all economic sectors and industries, both large and small, with only eight banks.

By contrast, the second PwC report directly addressed the dispute’s central question; the average gratuity rate for Tier 2 banks between 2012 and 2016.

The court deemed this distinction critical, emphasising that Kenya’s banking sector is formally classified into three tiers by CBK with Family Bank falling under Tier 2.

‘In view of the classification of banks. the correct banking industry rates would be those of the tier in which the respondent was classified,’ the judges ruled, affirming that the 18 percent rate accurately reflected contractual obligations.

Additionally, the Court of Appeal upheld the Labour Court’s rejection of the Manpower Services report, noting that it was never formally submitted as evidence and was improperly introduced during submissions.

Although the appellate judges dismissed Mr Maina’s push for a higher gratuity rate, they identified an error in the Labour Court’s calculations, which had applied a flat monthly salary of Sh3.1 million across all four disputed years.

Records showed that Mr Maina’s salary increased to Sh3.6 million in August 2015, meaning his fifth-year gratuity should have been based on this higher figure.

The Court of Appeal rectified the computation, recalculating the amounts using the 18 percent rate.

The final award remained Sh30.6 million -unchanged from the Labour Court’s total- but now correctly broken down as Sh2.7 million for the first year, Sh6.696 million for each of the second, third, and fourth years, and Sh7.867 million for the fifth.

The court also rejected Mr Maina’s request for interest dating back to 2016, stating that the gratuity rate had never been mutually agreed upon and required judicial determination.

Additionally, it declined to award legal costs, citing the nature of the employer-employee relationship and the fact that the contract had expired naturally.

The ruling sets a notable precedent in Kenya’s banking sector, reinforcing the importance of precise contractual language and tier-specific benchmarks in executive compensation disputes.

The Nairobi Securities Exchange (NSE) has shed Sh201.8 billion in investor wealth over the past month, after key stock prices fell on selling pressure from investors looking to lock in profits from an earlier rally.

Data from the bourse shows that market capitalisation-the measure of investor wealth- stood at Sh2.842 trillion at the close of trading on December 2, having come down from the all-time high of Sh3.04 trillion recorded on November 6.

The highs of the first week of November represented the first time that the NSE had crossed the Sh3 trillion mark, thanks to a sustained rally that was accelerated in October by positive corporate financial announcements by key companies, including Safaricom, Equity Group, and Co-operative Bank of Kenya.

These large blue-chip firms saw a strong price rally in September and October, with the banks in particular rising to all-time highs as investors took positions anticipating improved dividend returns in the medium term.

The higher prices, however, encouraged those investors who had booked large capital gains to sell their holdings to lock in the profits, with an eye on re-entry at a lower price at a later date, or to reinvest the gains in other stocks.

‘With the current Bull market, any dips have been as a result of local and foreign investors trimming their positions and profit taking,’ said Wesley Manambo, a senior research associate at Standard Investment Bank.

‘Such a dip might not hold for long, however, because equities still offer a strong value proposition when compared to other asset classes, for instance, fixed income, where interest rates have been falling.’

Foreign investors made net sales of Sh3.02 billion in November, up from net exits worth Sh1.66 billion in October, piling pressure on the stocks of large firms on which they concentrate their activity in the local market.

Over the last four weeks, the biggest value decline has been on Safaricom at Sh72.1 billion to Sh1.14 trillion, courtesy of its share price falling by 5.9 percent to Sh28.50 from Sh30.30 on November 6.

KCB Group follows with a 15.9 percent or Sh35.35 billion decline in valuation to Sh186.38 billion, while Equity Group’s market cap has declined by Sh26.42 billion or 10 percent to Sh236.79 billion in the period.

Other top decliners are EABL at Sh18.98 or 9.8 percent to Sh173.97 billion, while Absa Bank Kenya has seen its market valuation fall by 9.9 percent or Sh13.57 billion to Sh123.56 billion in the one month.

Despite the price correction, however, the NSE remains on course to beat other asset classes in returns this year, having gained 46.5 percent or Sh902.6 billion in market cap since the beginning of the year.

This has put it ahead of other assets such as bonds, whose capital gains in the secondary market this year have peaked at about 22 percent. Meanwhile, interest rates on new bond issuances have fallen to about 12 to 14 percent, down from the highs of between 14.5 percent and 18.5 percent on infrastructure bonds that were issued in 2023 and 2024.

Rates on Treasury bills have meanwhile fallen to between 7.7 percent and 9.4 percent, from highs of 17 percent in August 2024.

Other financial assets, such as fixed cash deposits, are paying investors 7.63 percent in annual interest, while those holding dollars as assets have had a flat return due to the shilling/dollar exchange rate remaining largely unchanged at the Sh129 level for the past 16 months.

Senior Kenyan officials while making the case for improved credit rating have pointed to comparative data from Mauritius, Botswana and Morocco, three African countries with an investment grade rating.

Such status (Aaa to Baa3, on Moody’s scale) will reduce borrowing costs and attract more capital, both for government and leading corporates.

While future upgrades depend on sustained fiscal discipline, a reduction in the fiscal deficit, and lower interest costs, the objective data shows Kenya performing as well as, or better than, the three comparators. Let us compare the size of economy, debt-to-GDP ratio, economic growth, inflation, fiscal deficits.

Since credit rating is a measure of creditworthiness, size matters, and the amount of current indebtedness, relative to that size. A growing economy has more capacity to repay debt, and the fiscal deficit determines how much a country borrows each year.

Botswana is a $20 billion per year economy, Mauritius is $16 billion, while Morocco is $154 billion. Kenya is at $136 billion. Botswana’s debt-to-GDP ratio is at 28 percent, while Mauritius, Morocco and Kenya are at 87, 70 and 65.5 percent, respectively. While a low ratio is desirable, it means lower leverage.

Kenya has stronger economic growth – 4.5 percent in 2024 – compared to Botswana which was growing at 1 percent and Morocco at 3.3 percent. It was at par with Mauritius at 4.7 percent. Inflation was 2.8 percent in Botswana in 2024.

In Mauritius, it was slightly higher at 3.6, while it was 1 percent in Morocco and 4.5 percent in Kenya. Fiscal deficits were 6.7, 5.8, 4.1 and 5.2 percent of GDP for Botswana, Mauritius, Morocco and Kenya respectively in 2024. The first two are accumulating debt at slightly faster rate than Kenya.

Clearly, Kenya deserves a better rating. However, beyond the quantitative data lies some qualitative interpretations by the rating agencies and, it would appear, citizens.

Both have been cautious in reviewing their assessment of the economy, and its prospects. The ratings agencies are however, changing their views faster than their citizens.

In August this year, S and P upgraded Kenya’s rating to B, from B-. That was good news, and led to an immediate drop in yields on Kenya’s Eurobonds. In July, Fitch Ratings affirmed a stable outlook, but maintained their rating at B-, while Moody’s changed their outlook to positive from negative, earlier in the year. Still, Government is aiming for better.

The Institute for Management Development (IMD) agrees with them. Published in June, its 2025 World Competitiveness Rankings, placed Kenya number 1 in Africa, ahead of Botswana, Ghana, South Africa, Nigeria and Namibia.

A well-regarded business school with a footprint in Switzerland, Singapore and China, IMD was founded 75 years ago. Their MBA programme consistently ranks in the top five globally. Their World Competitiveness Center has strong research on how nations and enterprises compete.

The environment in which businesses operate can assist or impede their competitiveness. So the IMD index rates the capacity of countries to create and maintain an environment that sustains the competitiveness of enterprises, both domestically and internationally.

They rate country competitiveness using four main factors: economic performance; government efficiency; business efficiency and infrastructure.

The four factors aggregate 20 sub-factors comprising 341 criteria, which are hard such as GDP, and soft data, which analyses competitiveness as it is perceived (e.g. availability of competent managers). Hard criteria represent two-thirds of the score while the survey data represent one-thirds of the overall score.

To assess economic performance the index looks at the domestic economy, international trade and investments, employment and prices. Government efficiency is assessed by looking at public finance, fiscal policy, institutional framework, business legislation. Business efficiency is measured through productivity and efficiency, labour market, finance, management practices, and attitude and values.

Infrastructure measures a country’s basic technological, scientific, health, educational and environmental infrastructure.

Analysts and business executives agree on a better rating for Kenya. Business confidence has improved in recent months, with October’s Purchasing Manager’s Index PMI at 52.5.

November inflation as also eased to 4.5 percent down from 4.6 percent in the previous month.

Public sentiment remains pessimistic. This curtails our actions as economic actors, without which we cannot have money in our pockets.

Me thinks it has to do with the daily, constant diet of negativity that our politicians feed us. Exploiting our biases and the reductions in real wages set off by the covid shutdowns, they have amplified our pessimism and conflict to our detriment.

Kenyan low-cost carrier Jambojet led African airlines in aircraft filling in 2024, achieving an average load factor of 80.4 percent across all its flights, a sign of strong demand for its routes amid a resurgence in domestic air travel across the continent.

Load factor is the percentage of an airline’s seats that are filled with paying customers over a given period and it indicates efficiency and profitability for a carrier.

Last year, the airline’s load factor rose slightly by 0.2 percentage points from 80.2 percent, toppling seasoned performers like Air Mauritius, whose load factor fell to 79.8 percent from 82.9 percent, latest data from the Africa Airlines Association (Afraa) shows.

‘The highest average passenger load factors in 2024 amongst the top 5 Airlines were Jambojet at 80.4 percent, Air Mauritius at 79.8 percent, Nouvelair Tunisie at 78.4 percent, Royal Air Maroc at 77 percent and Kenya Airways at 75 percent,’ said Afraa in its 2025 annual report released Monday.

Jambojet was the third leading in 2023, coming after South African budget airline Safair and Air Mauritius. Safair did not report its performance last year hence was not ranked. A total of 23 airlines reported this year.

The performance highlights the growing appeal of low-cost models in Africa’s fragmented aviation market where high fares and limited connectivity have long constrained demand.

With about 52 percent market share in Kenya’s domestic air travel market, the rising load factor reflects sustained growth and demand in the local aviation industry, which is Jambojet’s primary market.

A subsidiary of the flag carrier Kenya Airways, Jambojet serves eight domestic and regional destinations from its Nairobi hub. Its local routes include Mombasa, Kisumu, Eldoret, Malindi, Lamu and Diani, while its regional routes are Zanzibar and Goma in the Democratic Republic of Congo.

In 2024, it ferried 1.257 million passengers, an increase of 3.9 percent from the 1.209 million it carried in 2023. More than 98 percent of its customers were domestic, while its regional flights ferried 23,000 passengers, up from 15,000 in 2023.

Overall, the African airline industry’s load factor fell in 2024 to 75 percent from 76.1 percent in 2023, even as the global average rose to 83.5 percent from 82 percent, according to the International Air Transport Association (IATA).

Jambojet’s higher load factor helped lift its revenues for the year, making it among the few airlines on the continent that reported net positive operating profit in 2024, according to its disclosures to Afraa.

Disclosures by its parent firm Kenya Airways, however, showed it posted a tax loss of Sh3.9 billion in 2024, largely due to forex losses. In the region, apart from Jambojet, only Kenya Airways, Ethiopian and Skyward reported net positive earnings in 2024.

Jambojet operates De Havilland Dash 8-Q400s, which typically have 78 seats, meaning its flights normally have about 62 passengers. It has eight planes with six in active service.

The budget carrier’s performance was supported by growing domestic air travel amid expanded airport and airstrip infrastructure across the country.

Data from the Kenya National Bureau of Statistics shows that the value of output generated by the air transport industry rose to Sh350.9 billion in 2024 from Sh319.8 billion.

The Kenya Plant Health Inspectorate Service (Kephis) began inspecting all cargo containers both loaded and empty, in July 2025.

The move was met with uproar, as traders in crop products reported massive disruptions to their businesses owing to the inspection rule, with some cargo consignments left behind at the Mombasa port as impatient shipping lines set sail amid delays.

According to Kephis, all shipping lines and agents since July 1 this year, are required to share the manifest for both imports and exports with the department in advance to facilitate efficient inspection and compliance.

The state agency responsible for assuring the quality of agricultural inputs and produce said the certificate is enshrined in the law as provided under the legal notice 48 and CAP 324, which allows the institution to charge Sh500 for a container and Sh2000 for sea vessel inspection.

Why is container and vessel inspection important?

The agency said international markets for flowers, legumes, tea, coffee, and other agricultural products call for the consignments to be accompanied by a phytosanitary certificate, which is only issued after inspection.

Lack of such a certificate makes Kenyan products lose market as they fail to comply with international standards. Kephis also argues that the institution conducts inspections to avert importation of pests from disinfected containers and ships.

Barely a month after the said inspection began, Kephis announced that it had intercepted a ship carrying a heavy infestation of the Asian Gypsy Moth (AGM), which is a serious pest at the Port of Mombasa, and managed to successfully disinfect the ship.

Why introduce container and vessel inspection fees?

Kephis charges the amount for the inspection of sea vessels and their containers, and aircraft to ensure compliance with phytosanitary standards.

The agency said the implementation of fees for phytosanitary services will ensure quality imports and exports of agricultural produce and products while also preventing the introduction and spread of pests and diseases.

Traders, though, have dismissed the agency, saying it is funded by taxpayers’ money, hence it should receive support from the government.

The introduction of the fees began after President William Ruto in July 2023, asked different agencies to be innovative and generate more funds to run their programmes, where he said institutions that cannot sustain themselves will be merged or dissolved.

What has been the impact of the inspection fee?

Since Kephis began inspection, different shipping lines have increased the operational costs, the latest being the Danish Shipping Line; Maersk, which controls more than 30 percent of the Mombasa port’s total throughput.

The inspection fee has resulted in increased cost of freight, which will ultimately lead to a high cost of goods to the final consumer. Beginning this month, Maersk introduced an operational Cost Imports (OCI) fee for cargo destined for Mombasa.

In the tariff, the shipping line will charge $18 for a 20-foot container and $33 for a 40-foot container, while reefers will be charged $33 and $43 for 20-foot and 40-foot containers, respectively, saying the operational fee is a result of the new cost of inspecting and acquiring a phytosanitary certificate introduced by Kephis in August this year.

CMA CGM, Diamond Shipping, among other shipping lines, have also introduced such a fee to recoup the cost associated with the introduction of a phytosanitary certificate.

Apart from an increase in cost, Mombasa port and different container freight stations (CFSs) have experienced delays due to the lack of capacity of Kephis to inspect containers on time. As a result, several vessels have left Mombasa half-empty without containers after their berth time elapsed without receiving containers, contributing to the current empty container congestion at the port and container depots.

What is the reaction of traders and shipping agents?

Shipping agents in Mombasa have argued that introduction of the services is a duplication of duty to what Kenya Port Health has been doing all along. Port health under the FAL convention board the ships to ensure conformity of edibles and crew hygiene, including medicines onboard.

The shippers said Kephis has no business to do with inspection of ships since, as per the International Maritime Organization (IMO) all containers are inspected from the port of load by qualified surveyors for empties and laden by various government organs and issued with a Certificate of Conformity (COC) hence, charges are not warranted.

Shipping is regulated by international laws, and Kephis is just causing additional delays in the supply chain, the players lamented.

A dispute over ownership of a housing subsidiary linked to the Kenya Union of Savings and Credit Co-operatives (Kuscco) has prompted a fresh audit into the unit’s operations, amid concerns over a financial exposure of about Sh1.69 billion.

Kuscco, the umbrella organisation for saccos, says Kuscco Housing Co-operative Society (KHC) has operated for years as its subsidiary, where it holds a 70 percent stake. However, the apex body claims the unit’s directors have disputed Kuscco’s shareholding and attempted to assert their independence.

The dispute has prompted the intervention of the office of the Commissioner for Co-operative Development, with the commissioner, David Obonyo, ordering a review into the housing unit’s ownership structure and financial dealings. A letter seen by this publication shows that Kuscco managing director Arnold Munene wrote to Mr Obonyo on August 26 this year, protesting the actions of the housing unit’s leadership, led by CEO Julius Odera. KHC has been attempting to rebrand and move out of Kuscco’s premises.

In the letter to Mr Obonyo, Mr Munene sought orders to stop officials of KHC from convening an annual general meeting. He also called for an investigation into Mr Odera and requested a review and audit of the company’s books of accounts, cautioning that losing control of KHC will lead to loss of money.

‘We believe these actions are essential to protect member investments, uphold cooperative values, and maintain the reputation of the Union and the cooperative movement. We kindly ask for your immediate attention to this matter,’ reads Mr Munene’s letter.

The commissioner’s intervention comes amid revelations of a Sh1.69 billion fraud linked to the housing unit, which formed part of a wider Sh13.3 billion loss uncovered at Kuscco following a forensic audit conducted by PricewaterhouseCoopers (PwC).

The PwC fraud in KHC was in the form of former senior Kuscco officials irregularly tapping loans in their name and that of their associates, defaulting on payment, and then falsifying the books of accounts to conceal the theft. The fraud in housing loans was concentrated in KHC and Kuscco Housing Fund (KHF) -a Kuscco department that was restructured to KHC in December 2019.

For instance, the audit revealed that 240 loans valued at Sh1.11 billion were issued in excess of the maximum allowable limit of five times members’ savings, with the officials of Kuscco, KHC, and KHF leading in irregular borrowing.

Mr Odera is among the few Kusco officials who remain in office, serving as CEO of KHC, despite a forensic audit linking him to several financial improprieties, including conflict of interest, borrowing beyond allowed limits, and defaulting on payment.

For instance, the PwC audit shows Mr Odera obtained a Sh10 million loan from KHF against savings of only Sh940,700, representing a multiplier of 10.6 times. He also took a top-up loan of Sh4.5 million against savings of Sh228,000, translating to a multiplier of 19.7 times -far exceeding the approved maximum of five times.

Mr Munene’s letter prompted Mr Obonyo’s office into action. He appointed assistant commissioner for Co-operative Development of Nairobi, Fondo Nzovu, and senior co-operative auditor of Nairobi, John Kariuki, to carry out investigations.

Mr Munene states that Kuscco has been the ‘primary financier and operational backbone’ of KHC, and the unit continues to operate within Kuscco premises, yet some board members are claiming full ownership and control.

‘Some KHC directors have initiated a legal challenge against Kuscco’s shareholding structure and its representation on the KHC board. This action is described as inconsistent and misleading, given that Kuscco has historically held a majority of seats on the KHC board,’ said Mr Munene in the letter.

The investigations concluded last Wednesday though no formal findings have been released. KHC was formed in 2019 after Kuscco amended its bylaws, restructuring the Kuscco Housing Fund (KHF) from an internal department into a subsidiary.

Mr Munene said Kuscco had facilitated the transfer of Sh416 million in member savings from KHF to KHC even as 80 percent of KHF members transitioned into the new unit. He cautions that this could be lost if KHC breaks away.

The PwC audit revealed irregular loan approvals, diversion of rental income, and procurement anomalies. Kuscco argues that allowing the KHC team to continue carrying out affairs as though they are independent is an attempt to escape accountability.

‘The findings provide a strong legal basis for an inquiry and potential legal action against the CEO and other involved parties, as they demonstrate a failure to protect the financial interests of the cooperative and its members,’ said Mr Munene in the letter.

KHC shareholding was set at 70 percent for Kuscco and 30 percent for individual and corporate members, with a requirement that Kuscco retains at least 51 percent of ownership and board representation in all subsidiaries. This arrangement saw Kuscco nominate six of its directors, including the then managing director, George Ototo, to serve on the KHC board.

Mr Munene told Mr Obonyo that KHC has over the years ‘relied extensively’ on the financial, operational, and infrastructural support of Kuscco, including the Sh113.57 million disbursed between 2020 and July 2024 to cover staff salaries and office consumables for the unit. In 2020 alone, Kuscco absorbed Sh6.03 million in administrative costs of KHC.

Individuals joining KHC pay a registration fee of Sh3,000 with minimum shares of Sh20,000 and are sustained with at least Sh3,000 monthly contributions. Corporations joining KHC pay Sh10,000 with minimum shares of Sh50,000 and minimum monthly contributions of Sh10,000.

KHF and KHC continued to operate even after the restructuring, complicating the web of financial transactions. Kuscco is currently auctioning houses in the hands of 684 individuals who have defaulted on a Sh1.7 billion loan issued under KHF.

Kuscco is keen to maintain control over all its units as it seeks to recover the billions of shillings lost over the years through a web of financial improprieties.

Kuscco targets to recover at least 70 percent of the Sh8.8 billion principal amount that Saccos had invested in the umbrella entity within the next three years. This is through loan recoveries, auctions of houses and land for those who defaulted on mortgages, and the sale of a stake in the insurance arm.

Visitor arrivals through the country’s two main airports and other borders grew by 48.1 percent to 1.8 million during the first nine months of this year, coinciding with a visa-free policy that took effect at the start of 2025.

Data from the Kenya National Bureau of Statistics (KNBS) shows that in the nine months to September, visitors entering the country through the Jomo Kenyatta International Airport and the Moi International Airport, excluding Kenyans, rose from 1.27 million in a similar period last year.

The rise came in the wake of a decision by Kenya to impose a visa-free policy for all visitors, which, from the start of this year, was in a bid to grow tourism and boost earnings to the economy.

It also coincided with an increase in flight frequencies by several international airlines into the country, allowing for more travelers into Kenya.

Kenya introduced an electronic travel authorisation (eTA) system in 2024 as part of its visa-free policy on the expectation that the high number of visitors would lead to increased spending, thus boosting the economy.

The eTA has, however, sparked off complaints, especially for frequent visitors from non-African countries, given that, besides the charges, there is the short validity period of the permit. The eTA was later scrapped.

In the period under review, several airlines added new routes, including Kenya Airways and Etihad, while Air France expanded its passenger capacity with a larger aircraft from Paris to Nairobi.

Increased visitor numbers are set to further drive the country’s earnings from tourism, from the record high of Sh352.54 billion recorded last year, even though executives remained jittery about US President Donald Trump’s protectionist trade policies and the non-renewal of preferential terms under the African Growth and Opportunity Act (Agoa).

Last year, some 2.08 million tourists visited the country, up from 1.54 million who came a year earlier.

But the visitor numbers from June this year are likely to have been impacted by the anti-government protests that rocked Kenya.

A Central Bank of Kenya (CBK) survey published last month showed that Chief Executive Officers in the tourism and manufacturing sectors expect to suffer the biggest hit from Trump’s protectionist trade policies and the non-renewal of the Agoa terms.

The survey showed that overall, about two-thirds (64 percent) of the respondents expect to be negatively impacted by the recently raised US trade tariff on Kenyan goods and the expiry of the Agoa, which provides duty-free access to the US for thousands of products from 32 eligible African countries.

‘Most respondents anticipate being affected by the recent US trade tariffs and policy changes through higher import costs for inputs and finished goods and reduced exports to the US after the expiry of Agoa,’ the CBK survey said.

‘They also expect lower consumer demand due to reduced disposable incomes from declining profits and job losses, as well as secondary effects on local businesses reliant on affected clients. For instance, the hotel industry reported reduced business, with fewer conference bookings from NGOs and other donor-funded programmes’ it added.

President Trump, on April 2, 2025, imposed a 10 percent tariff on imports from some African nations, including Kenya.

Mr Trump invoked the International Emergency Economic Powers Act to impose a baseline tariff on all US trading partners in a bid to address what he termed as ‘absence of reciprocity in our bilateral trade relationships’.

Kenya is also among African countries set to be hardest hit by non-renewal of the Agoa deal with projections by the UN Conference on Trade and Development indicating that the country’s average weighted trade tariff with the US will nearly triple to 28 percent on expiry of the preferential trade deal, signaling a major blow to jobs and investments in the country’s textile and apparel sector.

The High Court in Nairobi has resolved how the estate of the late Chief Justice Johnson Evan Gicheru will be shared out amongst his heirs following a two-year succession process.

In the ruling, the court confirmed a grant issued earlier and outlined how the former Judiciary head’s extensive properties, company shares and vehicle would be allocated among beneficiaries.

Gicheru, who passed away on December 25, 2020, was survived by his widow, Margaret Wangechi Gicheru-who has since also died-and seven children.

He served as Chief Justice from 2003 to 2011 under the late President Mwai Kibaki.

Earlier in his career, he worked as a Senior State Counsel in the Office of the Attorney General and as an administrative officer in the Office of the President, before ascending to the High Court and Court of Appeal benches and ultimately becoming Chief Justice.

The estate comprised land parcels in Kirinyaga and Kajiado, shares in Kenya’s state power producer KenGen, shares in Kirinyaga Traders Company Limited, and a Volkswagen Touareg.

Since he died intestate-without a will-his family was compelled to undergo succession proceedings.

Court records indicate that disputes arose shortly after the widow obtained letters of administration in 2023, with beneficiaries disagreeing over the estate’s division.

This led the court to refer the parties to mediation, which yielded a partial settlement in August 2024, resolving some asset allocations but leaving seven jointly owned land parcels unresolved.

These remaining properties became the primary contention point. Some children advocated for equal distribution among all eight beneficiaries, including their mother.

However, the widow opposed this, arguing the subdivisions would shrink the land parcels into uneconomical bits while driving subdivision costs too high.

Instead, she proposed consolidating the seven adjacent parcels, retaining her legally entitled half-share as a tenant in common with her late husband, and dividing his remaining half equally among their seven children.

She also sought to uphold an earlier mediation agreement granting her three acres of the Kajiado Kaputie-North property, where she had built a permanent home, and disclosed that the seven parcels had outstanding land rates totaling Sh589,850.

Three daughters-Rosalind, Lilian, and Florence-countered this arrangement, arguing that while the widow was entitled to a life interest, the court should prioritise equitable distribution among all beneficiaries rather than granting her consolidated ownership.

The protesters argued that the court should consider the interests of the other beneficiaries.

After evaluating both proposals, the court ruled in favour of the widow’s approach, deeming it both fair and pragmatic.

The judge noted that Kenyan law permits courts to avoid physical land subdivision when it would create impractical units.

The court acknowledged that the widow had relinquished her life interest and was only claiming her lawful share.

Consolidating the parcels and splitting them into two equal portions-one retained by her estate and the other divided among the children-was deemed the most equitable solution.

In its ruling, the court stated: ‘Having regard to the circumstances, I favour the first proposal of the administrator. She has waived her life interest. She is entitled by operation of law to a half-share of each parcel. It is fair, therefore, that she be allowed to consolidate the parcels, divide the merged land into halves, retain her portion, and distribute the other half equally among the seven children.’

The judge directed that the widow’s half of the consolidated land remain with her estate, while the other half be equally apportioned to the children.

Additional assets, including the Volkswagen Touareg and KenGen shares, were confirmed as hers, while Kirinyaga Traders shares were allocated to their son, Evan Njue.

The court granted the administrator nine months to finalise property transfers, scheduling a compliance review for October 5, 2026.

Most of us think career growth is all about effort, that is doing more, learning more, pushing harder. We talk a lot about professional growth – new skills, leadership programmes, mentorship, and promotions. But what if your biggest career blocker isn’t your boss or your opportunities, but your body?

Across workplaces today, professionals are quietly burning out while trying to keep up with the pace of modern work. Skipping breakfast for early meetings, surviving on caffeine, and sleeping less than six hours a night has become normal. But what’s often dismissed as dedication is slowly turning into depletion.

The truth is, work performance doesn’t exist in isolation. It’s tied to what we eat, how we rest, and the spaces we work in. Physical health has become an invisible performance barrier.

When employees are constantly fatigued, battling headaches, or falling asleep in meetings, the problem isn’t laziness – it’s exhaustion.

Poor diet, lack of rest, and sedentary routines are quietly robbing people of focus and creativity. Many are also fighting lifestyle diseases like high blood pressure, diabetes, and obesity, conditions that don’t just impact their personal lives but their professional capacity too.

Ironically, some workplaces make this worse. A growing number of employees report feeling guilty or even victimised for taking sick leave. In some offices, requesting time off to recover is treated like a lack of commitment. The unspoken message is clear – show up, no matter how you feel.

This culture of presenteeism doesn’t build resilience; it breeds resentment and chronic illness. It’s a short-term gain for long-term loss.

Forward-thinking companies are starting to notice this connection. Beyond traditional wellness programmes, they’re reimagining how the workplace itself can support physical and mental health.

Some now offer meal benefits to encourage proper nutrition or gyms for physical workouts, while others provide break rooms or quiet zones where staff can decompress between tasks.

Employers who truly care about performance must see wellness as a shared responsibility, not a personal burden. Encouraging short walking breaks, flexible working hours, or even offering gym partnerships can do more for productivity than yet another meeting about productivity. People who move, eat well, and rest enough perform at a higher level, collaborate better, and stay longer.

Still, the responsibility doesn’t rest on organisations alone. Professionals must take ownership of their own well-being. Making time for medical check-ups, eating better, walking more, and sleeping properly aren’t acts of luxury; they’re acts of longevity.

Equally key is learning to set boundaries. Saying ‘no’ to endless late nights or unrealistic workloads isn’t a sign of weakness – it’s an act of self-preservation.

Sustainable careers are built by people who know when to pause, recharge, and protect their mental and physical limits. The discipline to rest is just as valuable as the drive to perform.

Success at work demands more than skills and ambition. It demands stamina , the ability to stay sharp, creative, and grounded in the face of constant change. You can’t pour from an empty cup, and you can’t grow from an exhausted shell.

The real career strategy is not just working hard or smart. It’s staying well and healthy enough to sustain the pace, thrive in the moment, and enjoy the rewards.

The value of building constructions in Nairobi dwarfed all 44 counties combined, underlining the concentration of real estate development in the capital city.

New Kenya National Bureau of Statistics (KNBS) data values work done on construction of buildings in Nairobi last year at Sh384.9 billion, which was 40.6 percent of all the constructions across the country.

Overall, work on setting up of buildings across the country was valued at Sh947.6 billion, inching closer to a trillion shillings after rising from Sh925 billion in 2023, and by a third over five years.

The KNBS data says during the year, the 44 counties had work valued at Sh361.7 billion on building constructions, translating to 38.2 percent of all constructions in the country.

Nairobi led with the highest value, followed by neighbouring Kiambu County, which implemented works valued at Sh120 billion, and Mombasa with works valued at Sh80.9 billion.

Nakuru County had building construction works valued at Sh35.4 billion, Machakos (Sh34.9 billion), and Kisumu (Sh23.9 billion).

The report provides context on construction across the country, at a time when the government continues to roll out projects under the affordable housing programme (AHP).

During the state of the nation address last month, President William Ruto said the government had launched the construction of 230,000 houses across the country.

‘The programme has created over 428,000 jobs, including architects, engineers, fundis, plumbers, electricians, carpenters, masons, transporters, and thousands of MSMEs in fittings and interior works. At peak next year, it will employ up to 1 million Kenyans,’ President Ruto said.

At least 13 counties had works valued more than Sh10 billion on the construction of buildings happening in 2024, including Machakos (Sh34.9 billion), Kisumu (Sh23.8 billion), Kajiado (Sh18.9 billion), Embu (Sh17 billion), Marsabit (Sh16 billion), and Murang’a (Sh15.9 billion).

Kirinyaga, Nyandarua, West Pokot, Tana River, and Lamu had the lowest value of construction works happening during the year, each valued below Sh1 billion.

The KNBS statistics show that 84,743 Kenyans were employed in construction of buildings last year, which was a slight drop from some 85,685 who were employed in 2023.

The industry, however, spent Sh236.2 billion paying the workers, which was a marginal increase from a wage bill of Sh235.1 billion the previous year.

Overall, output of the construction of buildings sub-sector was estimated at Sh849 billion, marking a 33.7 percent growth since 2020.

The statistics agency had earlier this year reported that the private sector completed construction of residential and commercial buildings valued at Sh149 billion in Nairobi last year, but the new report provides a wider picture of the total value of buildings that were completed, those that closed the year under construction, and those constructed by the government.

‘The total value of completed buildings in Nairobi City County declined by 2.3 percent to Sh149.9 billion in 2024. The number of reported completed private buildings declined from 22,093 in 2023 to 21,807 in 2024,’ KNBS said in the 2025 Economic Survey.

In the latest report on the value of building plans approved for construction in the capital, Nairobi City County data shows that buildings valued at Sh129.4 billion were approved over nine months to September 2025.