Category: Business Daily

Land prices in Spring Valley and Upper Hill grew at the fastest pace last year compared to other high-end Nairobi estates amid a shift in investor appetite towards residential and mixed-use property.

Latest survey report by real estate firm HassConsult for the third quarter of the year shows that the price of an acre of land in Spring Valley shot up 13.3 percent over the last 12 months to an average of Sh305.9 million.

‘The strongest growth in Nairobi was in Spring Valley, up 3.6 percent in the quarter, and 13.3 percent in the year, as the area transits from large stand-alone houses to apartments and commercial use,’ said HassConsult.

The price of an acre of land in Upper Hill, one of Nairobi’s prime suburbs for commercial and multi-storey residential properties, grew 9.6 percent to Sh554.6 million.

This was attributed to developers snapping up larger plots to convert them to high-rise apartments and mixed-use developments.

‘Spring Valley continued to lead, heating up further as developers chased large single-home plots to develop into multi-use properties in line with the rapidly changing character of the area, from exclusively top-of-the-market large homes and gardens to a mixed-use area, with commercial properties and apartments,’ said Hass Consult.

‘This delivered a further increase in land prices in the suburb of 3.6 percent from June to September and 13.3 percent over the year.’

The strong growth in land prices in Spring Valley and Upper Hill comes amid a slowdown in the overall value of non-residential building plans within Nairobi as investors avoided the pain of oversupply of office space or stand-alone commercial property with diminished foot traffic in a tough economy.

For instance, the value of non-residential building plans in the capital dropped to a 27-month low of Sh1.6 billion in August 2025, levels last registered in May 2023, according to data by the Kenya National Bureau of Statistics.

In contrast, developers in the same month received approvals for home projects worth Sh9.5 billion, up from Sh8.4 billion in July, consolidating a shift in preference among investors.

‘If you look at the demand curve, more people are looking for residential to buy than commercial because remember the basic necessity of a human being is food, shelter, and clothing. Before they go to other expenses like office things and the shops,’ said Mr Daniel Ojijo, the chairman of Homes Universal.

The rise in land prices comes as a boon for investors in Upper Hill, which has, for close to a decade, suffered a downturn in both land and house prices amid the declining allure of the elevated section of Nairobi where big local firms in insurance, banking and public sectors and several multinationals had set up base.

Upper Hill suffered a hit mainly due to constant traffic congestion, which triggered exits of some large corporations from the area

Higher land prices in Spring Valley resulted in increased rental and property values.

‘Only areas with strong developer demand are now reporting strong land price growth,’ said Sakina Hassanali, co-CEO and creative director at Hass Consult.

Spring Valley posted the second-highest increase in rental prices of 7.4 percent in the last 12 months and 4.1 percent in the quarter to September.

This was behind an annual rental increase of 8.7 percent in Gigiri.

These land price gains and rental yields are now competing favourably against returns in other asset classes, including government securities where annual interest rates touched a high of 14 percent this year gross of tax, but are now seen to be trending downwards.

Annual price increases have been more robust in satellite towns, with Juja (14.9 percent), Kiserian (13.2 percent), Limuru (12.4 percent), and Ruiru (10.5 percent) recording double-digit gains.

The average price per acre remained much lower in the satellite towns at an average of Sh32.3 million, compared with Sh223.9 million in the 18 Nairobi suburbs at the end of September 2025, leaving some areas of the city only accessible to a few well-heeled developers.

Upper Hill and Westlands remained the most expensive locations in the city in terms of land prices at an average of Sh554.6 million and Sh504 million per acre, respectively.

Parklands (Sh465.6 million), Kilimani (Sh422.8 million), and Muthangari (Sh400.9 million) also averaged above the Sh400 million mark.

An organisation’s adoption of sustainability reporting marks a significant milestone in its corporate reporting journey. While the reasons for sustainability reporting adoption vary, having clarity on the motivation is essential to guide the implementation of the reporting process.

The high demand for non-financial information, particularly from capital markets, investors, and providers of capital, indicates the limitations of a financial reporting-only view or lens of an organisation’s performance.

This demand shows that investors consider non-financial information more than ever when making investment decisions today.

Therefore, there is an appreciation that, for investors and other stakeholders to get a comprehensive view of how an organisation creates value over time, they require financial and non-financial perspectives. It provides insights into how non-financial factors affect the organisation’s long-term financial prospects.

These non-financial issues are what are determined through the materiality process. Providing information on these relations and how they influence the organisation’s long-term success, including information on value creation for the organisation and stakeholders.

Another motivation for sustainability reporting is the ability to support an organisation’s business growth strategy development and implementation.

Material sustainability risks and opportunities are enablers of the organisation’s business growth strategy, and therefore, monitoring the performance of sustainability key performance indicators will provide organisations with valuable insights into the short-, medium-, and long-term value drivers of their business and how those might be changing over time.

It provides organisations with practical solutions for translating their strategy into actionable steps.

Organisations can also achieve a good balance between short-term and long-term priorities.

An additional reason for organisations to adopt sustainability reporting is the breaking down of silos across the organisation and the driving of an integrated, connected thinking approach to how the organisation creates value.

Organisations can drive greater collaboration across their teams and functions, fostering a culture of innovation. Those who apply integrated thinking make better decisions and get better overall outcomes, ranging from financial to non-financial benefits.

Other benefits of sustainability reporting include better risk management, improved brand value, customer loyalty and operational efficiency.

Organisations should ensure that, when adopting and transitioning, their sustainability reporting team comprises a multidisciplinary team from across different functions, with clear roles and responsibilities for accountability.

Kenya is facing one of the fastest growth in demand for project professionals in the sub-Saharan Africa in the coming years, findings of a new survey suggest, underscoring rising opportunities for skilled labour in the country’s ambitious infrastructure, energy and industrial plans.

A global report by the Project Management Institute (PMI) sees Kenya’s need for skills such as project, programme, portfolio and product managers climbing to between 223,000 and 247,000 in a decade, from the current 150,000 and 151,000 professionals respectively.

This translates to an additional 79,000 to 102,000 skilled project management professionals the country will require by 2035 to keep pace with the expanding development agenda.

PMI- a professional body in project, programme and portfolio management- ranks Kenya among the top sub-Saharan countries where demand for project management skills will grow fast at a projected 48 to 63 percent by 2035, trailing Ethiopia, Côte d’Ivoire, Ghana and Tanzania.

The Global Project Management Talent Gap 2025 report identifies countries in the region and South Asia as likely to experience the steepest rise in demand for project talent in the world, driven by efforts to industrialise, modernise energy networks and build urban infrastructure.

‘Many of these countries are in the midst of massive infrastructure expansion, digital transformation and industrial development, and will need a significant influx of project talent to make these ambitions a reality,’ the report states.

‘As organisations navigate economic uncertainty, geopolitical tension and rapid technological change, the ability to pivot strategies and deliver successful projects has never been more essential.’

PMI estimates the sub-Saharan project management workforce at 2.6 million in 2025, but sees it rise to between 4.1 million and 4.6 million by 2035- a talent demand surge of up to 76.92 percent.

Ethiopia leads the continent with growth in talent demand expected to grow 112 percent by 2035 to between 775,000 and 944,000, more than double the current base of project professionals of 365,000 to 372,000.

Côte d’Ivoire follows with a 108-147 percent jump to 137,000-166,000 professionals, Ghana with 70-93 percent to 126,000-145,000 project management workers, while Tanzania is forecast to expand demand by 68-90 percent to 345,000-396,000.

Neighbouring Uganda is seen posting a growth of 63 to 83 percent in opportunities for project management workers, between 146,000 and 166,000. Nigeria’s demand is projected to rise 33-43 percent to 598,000-646,000 professionals, while South Africa’s demand is seen rising 19 percent to 312,000 on the highest side.

The report has come amid reports that Kenya’s university education systems are skewed toward business and education courses. That widens the skills gap in science, technology, engineering, and mathematics (STEM) fields that are crucial to the country’s industrial ambitions.

The Commission for University Education’s (CUE’s)

shows more than 60,000 students graduated in 2024 from education- and business-related programmes – more than half of the country’s total graduates.

Out of 123,928 graduates recorded last year, 34,156 were from education disciplines, while 28,005 pursued business, administration and management studies. The two fields – whose students end up in classrooms and boardrooms -accounted for more than half of all degree awards that year.

On the other hand, the STEM-related areas, such as computing, engineering and natural sciences – whose products end up in factories and laboratories- lagged far behind, with each area producing less than 10,000 graduates.

‘Increasing the number of workers in the labour force doesn’t automatically equate to a project-ready talent pool. In several regions, particularly those with fast-growing populations, there are opportunities to strengthen foundational education and expand access to professional development,’ PMI researchers wrote in the report.

‘Many workers have the potential to thrive in project roles but may need additional support – such as targeted upskilling, credentialing pathways, and career guidance – to make that transition. With the right investments, these growing labour markets could become powerful engines for meeting global demand.’

Nyaribari Chache MP Zaheer Jhanda has announced plans to table a Bill that would require social media influencers who speak on areas such as law, finance, health or media to hold relevant academic qualifications and recognition by professional bodies such as the Law Society of Kenya, the Institute of Certified Public Accountants of Kenya and the Media Council of Kenya before commenting on the specialised subjects. Kenya may follow China’s lead under the proposed Bill.

China introduced a new rule requiring influencers to have official qualifications before discussing ‘sensitive’ subjects such as medicine, law, education, or finance online.

The new influencer Bill mandates that creators must show proof of their expertise, such as a degree, professional licence, or certification, if they wish to post about regulated topics.

The Chinese Cyberspace Administration claims that the rule attempts to prevent misinformation and shield the public from inaccurate or deceptive guidance.

This is not occurring in a vacuum. The action comes at a time when misinformation is a worldwide issue. If the last few years offer any indication, when an influencer blurs the distinction between opinion and competence, the repercussions can be severe.

Consider the Covid-19 pandemic, when false cures, antivax propaganda, and pseudoscience spread like wildfire, frequently fuelled by influencers with millions of followers but no medical experience.

Or the Ozempic fad that has erupted in Nairobi, pushed by social media influencers who promote it as a quick weight-loss option without considering the health risks. Financial misinformation has wiped out people’s savings. These results demonstrate why regulation became required.

While China’s approach is one of the most restrictive, it is not unique to China. In multiple markets, misinformation by well-known but unqualified content creators has raised concerns.

Platforms such as YouTube and Instagram have developed regulations to mark paid promotions and counteract misinformation, but enforcement is patchy. Google has its regulations.

Content classified as ‘your money or your life’, which includes issues such as health, finance, and legal advice, is subjected to tighter examination. It’s a reminder that the digital world is already beginning to hold creators accountable for their effects.

While the new regulation is intended to increase trust and accuracy, many critics see it as a new kind of digital censorship and a threat to free expression. So, where do we draw the line between creative freedom and public responsibility?

By limiting who can discuss particular topics, the government may be stifling independent voices and constraining the scope of public discourse, thereby reducing creativity and silencing voices that challenge the norm.

For example, who gets to judge what constitutes ‘expertise’? What happens to creators who question popular narratives but lack formal qualifications?

Subsequently, these changes will impact how content is created, vetted, and released.

Accountability will no longer be limited to creators; social platforms will be in charge of screening, storing influencer qualifications and verification, and brands must reconsider due diligence, signalling a shift from passive distributors of user material to regulatory censors.

Additionally, influencers may find the content that they prepare for one region being flagged or restricted in the other’s domain.

Brands will need to exercise great care in multi-market campaigns. Credential tracking systems may soon be integrated into influencer management platforms.

The proposed law achieves something subtle but significant: it establishes a distinction between influence and authority.

We are likely to enter a new era of digital legitimacy, in which verifiable competence will outweigh the number of followers, particularly in sectors where consumers are vulnerable to deception. This condition will influence how an audience engages with the content and how brands select ambassadors.

The implications of this rule may extend beyond China. The size of China’s digital economy is a major motivation for other markets to embrace the framework, resulting in the Beijing effect, as illustrated by Mr Jhanda’s move. Many people see the proposed Bill as an attack on the freedom of expression. The proposed Bill might be used to muzzle dissenters.

As the discussion progresses, it will put to the test the balance between protecting the public from harmful content and respecting the democratic ideals of limitation of rights and free expression that are important to Kenya’s emerging digital culture.

And it comes in the wake of recent controversial amendments to the Computer Misuse and Cybercrimes Act 2024, which already provide the government broad authority to request the removal of Internet content.

Consequently, influencers may feel more pressure to become more professional. Those dealing with regulated areas may be required to provide proof of training, formal education, or certification. Such a transition may limit the number of people who may call themselves ‘influencers’ in niche areas; but, it will surely raise the bar and, as a result, boost audience trust.

I recently concluded running a programme for family-owned businesses. A participant asked a critical question that is the foundation of why I started teaching family businesses about governance.

Her question was: ‘How can we ensure that the family members who are running the business are doing so mainly for the wider family’s benefit?’

The participant was a family member who was not active in the day-to-day management of the successful family business. She was what some might call business-adjacent.

My answer to that question was revealed in the Tuskys Supermarkets case study that we proceeded to spend a few hours discussing.

In 1983, a man started a retail shop in a relatively obscure town in the bowels of the Rift Valley. Utilising the ubiquitous ingredients of success – hard work, grit and perseverance – the man grew the business to the point where his sons took over after his death in 2002.

A year later, the sons began a nationwide expansion that, at its peak, had about 64 branches across Kenya and Uganda, with unconfirmed reports of an annual turnover of about Sh30 billion.

Then the family swam into the shark-infested accounting principle waters called related party transactions. Family members who were actively involved in the management of the business allegedly began to supply goods to the retail chain. Others founded businesses whose initial capital was allegedly provided by the supermarket chain but were not subsequently registered as subsidiaries.

In a well-governed business, a family member supplying to the organisation would be reported as a related party transaction, while funds used to invest in another company would either be reported as a loan to a related party or an investment into a wholly or majority-owned subsidiary.

It all went pear-shaped when some business-adjacent members confronted some business-active members about all the ongoing shenanigans.

Following fisticuffs, shouting matches and all manner of disorder highlighted in public, an independent non-family member was brought in to lead the retail chain as chief executive officer.

It didn’t end well. In February 2016, third-generation family members, with a national broadcaster television crew in tow, stormed into the CEO’s office and threw him out. They followed him to his car, taunting and jeering him like a trapped leopard that has eaten all the villagers’ chickens.

But publicly humiliating the CEO was like trying to fill a pothole with salt in the rainy season – a complete exercise in futility.

Twenty-four hours into the sordid event was the point that this next generation of business-adjacent family members were slapped into the reality that Tuskys Supermarket neither belonged to them nor was it ever supposed to be managed for their exclusive benefit.

The chairman of the board, formerly an active member of management until the shenanigans began, called the same television station and issued a statement that the CEO was very much in office.

One has to ask: what changed overnight? The real owners of the business – the banks – allegedly made a few calls to the business-active members of the family. The question asked was just one: ‘Are you guys out of your minds?’ Promptly followed by a few doses of truth paracetamol along the lines of: ‘We’re about to call in our loans if you don’t get your act together!’

What followed thereafter was a slow puncture. The CEO returned, but the family fissures in the background kept widening. A few months later, one side of the family ensured that the police charged two family member directors in criminal court with accusations of criminal fraud.

By 2020, creditors of the business sought relief in court for their debts, and the retail chain subsequently went into receivership with over Sh20 billion in liabilities compared with only about Sh6 billion in assets.

How does this relate to the participant’s question above? The minute your business starts to employ individuals, starts to borrow to finance its operations, starts to rent premises, starts to procure goods and services from suppliers – all in the name of generating taxable revenues – it no longer belongs to you exclusively.

It belongs to a whole slew of stakeholders who may not necessarily appear on the shareholders list at the Companies Registry, including banks, employees, suppliers, and the ultimate owner: the Kenya Revenue Authority.

And this is how I answered the question to the participant: It is imperative for the business-active family members to impress upon the business-adjacent family members that a business is managed for value. That value is not exclusively shareholder value; rather, it is for a wider stakeholder universe of which family is but a very small part.

Your business must be managed for the benefit of all of these stakeholders. And this is both a moral and legal obligation.

Raila Odinga’s tenure as Minister for Roads, Public Works, and Housing from 2003 to 2005 marks one of the most consequential periods in Kenya’s modern infrastructural and economic history.

Appointed under President Mwai Kibaki’s National Rainbow Coalition government, Odinga inherited a crippling challenge: a dilapidated road network, with only about 10 percent of Kenya’s 60,000 kilometres paved, a fractured governance structure, and an economy struggling just to stay afloat.

Undeterred, he set out with a clear vision-to rebuild not only roads but the very fabric of Kenya’s economic and social landscape.

At the heart of his tenure was the National Roads Improvement Programme, a focused initiative that allocated about Sh20 billion to rehabilitate key trade corridors.

Under Odinga’s leadership, more than 1,200 kilometres of highways-including the vital Nairobi-Mombasa, Nairobi-Nakuru-Eldoret, and Kisumu-Busia roads-were contracted for extensive upgrades within just two years.

This infusion of investment drastically improved transport efficiency, slashing logistics costs by between 25 and 30 percent and invigorating commerce across regions.

The programme also extended into urban road expansions, exemplified by Nairobi’s Mbagathi Way-Kenya’s first concrete-paved arterial road-a visible symbol of his commitment to modernisation.

Yet, Odinga’s accomplishments went well beyond construction. His tenure was transformative in the realm of governance reform, introducing institutional innovations that reshaped Kenya’s infrastructure sector.

He spearheaded the establishment and strengthening of key agencies: the Kenya National Highways Authority (KeNHA) for national roads, the Kenya Rural Roads Authority (KeRRA) managing rural access roads, and the Kenya Urban Roads Authority (Kura) for urban road networks.

These agencies brought clarity to operational mandates and enhanced efficiency, professionalism, and transparency-replacing a prior system riddled with inefficiency and political interference.

Integral to these reforms was the adoption of performance contracting and new technologies, such as polymer-modified bitumen, reducing road construction costs significantly.

Procurement procedures were overhauled to minimise corruption, and Odinga committed to reclaiming illegally occupied public lands surrounding major road reserves. His policies promoted accountability and restored public confidence in the rule of law-foundations critical for sustainable development.

Economically, these initiatives were instrumental in Kenya’s resurgence. By 2005, the gross domestic product (GDP) growth rate rebounded to 5.8 percent, signalling a swift recovery from the stagnation of the late 1990s and early 2000s.

Infrastructure investment became a pillar of economic expansion, underpinning sectors from agriculture to manufacturing. Improved transport networks facilitated market integration, particularly benefiting rural farmers in marginal regions and enhancing intra-regional trade.

A flagship testament to Odinga’s infrastructural foresight was his revitalisation of the Thika Superhighway project. Although its physical construction concluded during his later term as Prime Minister, he was pivotal in redesigning plans, securing development funding from key partners, including the African Development Bank, and enforcing stringent measures to clear encroachments.

This highway has since become a vital artery fuelling Nairobi’s decongestion and supporting Kenya’s economic dynamism.

Odinga’s legacy is most enduring in the foundational role he played in Vision 2030, Kenya’s ambitious blueprint for industrialisation, innovation, and shared prosperity.

Infrastructure modernisation was recognised as the backbone of this vision, with Odinga’s early reforms providing the technical, institutional, and policy scaffolding that enabled the rapid expansion of Kenya’s road network thereafter.

Projects like the Lamu Port- South Sudan-Ethiopia Transport initiative further embody the infrastructural ambitions he championed, enhancing Kenya’s position as a regional logistics hub.

Beyond economic metrics, Odinga’s tenure embodied his profound nationalist and patriotic ethos. He perceived infrastructure as a form of national reconciliation -roads and public works were not just physical constructs but symbols of unity and State presence, bridging Kenya’s ethnic and regional divides.

His philosophy of ‘development where the people are’ rejected the Nairobi-centric and Mombasa-centric concentration of resources, advocating instead for equitable access to development across all counties-principles that formed the basis of the Constitution’s devolved system of government.

This political commitment to inclusivity and unity was also evident in his actions beyond the ministry. Following the disputed 2007 presidential elections marked by violence, Odinga put national interest above personal gain by entering a power-sharing arrangement with President Kibaki, serving as Kenya’s second Prime Minister in a coalition government.

His 2018 ‘handshake’ with President Uhuru Kenyatta further solidified his reputation as a unifier, fostering peace and cooperation after contentious elections. This spirit extended even into his later working relationship with President William Ruto, underscoring his prioritisation of peace, stability, and inclusive governance.

The governance reforms Odinga introduced during his ministerial years also proved vital to Kenya’s sustainable development. The creation of KeNHA, KeRRA, and KURA institutionalised road management practices that have endured and evolved.

These bodies brought formalised asset management systems, clear monitoring and maintenance schedules, and enhanced procurement standards, professionalising infrastructure delivery long after his tenure.

Moreover, Odinga’s push to reclaim public land from illegal occupation reinforced government accountability, ensuring that infrastructure investment benefited the public and protected vital road corridors.

Economically, these reforms injected resilience into Kenya’s growth model.

They lowered infrastructural bottlenecks, improved service delivery, and supported industrial expansion by facilitating reliable transportation and logistics-directly contributing to Kenya’s improved macroeconomic performance in the years that followed. Infrastructure’s share of GDP rose notably, with ripple effects on job creation, foreign investment inflows, and enhanced competitiveness in the East African region.

Ultimately, Raila’s years as Minister for Roads reflect a visionary, pragmatic leader who harmonised economic strategy with social justice and national unity.

He moved beyond the political status quo of infrastructure as a patronage tool to reimagine it as Kenya’s economic backbone and a unifying national project. His leadership combined technical acumen with moral courage-pushing reforms despite political resistance and placing Kenya’s long-term interests above short-term considerations.

His legacy is multifaceted. Tangibly, millions of Kenyans today benefit from safer roads, accessible markets, and improved public services made possible by the foundations laid during his tenure.

Institutionally, Raila established transparent structures and governance norms that continue to guide Kenya’s infrastructure sector. Symbolically, he embodied the spirit of a nation builder- a patriot who saw infrastructure as an expression of Kenya’s identity, cohesion,

and potential.

As Kenya navigates its ambitious development path forward, it carries forward the vision of a leader who understood that true progress requires not just concrete and asphalt but governance reforms, equitable growth, and unity of purpose.

Raila’s infrastructure legacy-anchored in Kenya Vision 2030 and embedded in national consciousness-will remain a cornerstone of the country’s transformation for decades to come.

Top banks have sustained the opening of new branches in the race to win new customers in emerging towns, defying the widespread shift toward digital banking.

Banks such as Equity Group, Co-operative Bank of Kenya, NCBA, DTB, I and M, Absa Bank Kenya, Kingdom Bank and Family Bank are betting on physical presence to win retail and business customers, even as mobile apps and internet platforms dominate day-to-day transactions in the country’s financial sector.

The flurry of branch openings by both large and mid-tier banks this year means the banking sector is sustaining the focus on brick-and-mortar model, having added 62 locations last year.

The lenders are using the physical branches in counties with growing commercial activity and improved infrastructure.

Central Bank of Kenya data shows mobile and internet banking transactions account for over 85 percent of total retail volumes. However, physical branches remain key for high-value transactions, customer verification and credit consultations, particularly in rural and semi-urban areas.

Branches still serve as trust anchors, with many customers still demanding to physically see the bank before they deposit or borrow. This has seen banks opt for co-existence between digital innovation and brick-and-mortar banking.

Co-op Bank on Wednesday last week opened a new branch at Laare in Meru. The Laare branch came barely two weeks after its subsidiary, Kingdom Bank, opened a branch in Bungoma town with eyes on the county’s agricultural, trade and hospitality sectors.

Co-op’s new branches add to the 16 that the lender opened last year when it crossed the 200 mark. Its move was in line with that of I and M Bank which in March this year opened three new branches -Mtwapa in Kilifi and Kawangware and ABC Mall in Nairobi.

I and M said in March it was targeting to add at least nine branches this year, mainly in the Central region (Kenol, Meru and Embu) and the larger Western Kenya region (Bungoma, Kakamega and Kericho).

In September, I and M opened new branches in Kapsabet and Nyali, raising its network to 65 outlets across 24 counties. In the previous year, it added at least eight, staying on its target to hit 100 by the end of next year.

Shameer Patel, director of retail business banking at I and M Bank Kenya said while digital is transforming how people transact, continued opening of physical branches demonstrates ‘being where our customers need us most.’

Equity Bank Kenya opened four new branches in July this year -in Bungoma, Kajiado, Mombasa and Kitui counties- joining other lenders in establishing their footprint in growth corridors. The lender’s new branches are targeting economic activities such as farming and fishing.

‘These new branches represent our strategic intent to not only expand our physical footprint but to also ensure tailored financial solutions and expert advice,’ said Equity Bank Kenya Managing Director- Moses Nyabanda, during the launch.

Meanwhile, Absa Bank Kenya opened its 87th branch in Kawangware in July, citing strong demand for personal and SME banking in high-density areas.

Smaller and mid-tier lenders are also joining the trend. Family Bank opened a new branch in Kilifi in June 2025, with eyes on small businesses. The bank’s CEO Nancy Njau said the move is all about ‘establishing a deeper connection’ with customers.

Similarly, Dubai Islamic Bank Kenya also launched a branch in South C, Nairobi, to serve the growing demand for Sharia-compliant products.

The renewed interest in physical branches reflects a blended strategy of combining the convenience of digital platforms with the relationship-driven nature of traditional banking.

Artificial intelligence (AI) platforms are emerging as a new frontier of digital disparity, with African users paying more to use global systems that process commands in the English language far more efficiently than local languages like Swahili.

The difference stems from how leading AI developers bill their services through tokens, as small text fragments that represent words or partial words used to process commands and generate responses within a model.

Global models, including those built by multinationals OpenAI and Google DeepMind, have been primarily trained on vast English-language datasets scrapped from the internet, academic publications, and books, giving the systems native efficiency in interpreting and generating English text.

When the same requests are made in Swahili, however, the models require between 30 and 50 percent more tokens to deliver the same output, according to open research data from American AI firm Hugging Face.

The difference translates into higher operating costs for developers, companies, as well as users who run AI tools or chatbots in African languages, since most commercial platforms charge per token processed.

In more practical terms, a Nairobi-based fintech firm building a Swahili-language virtual assistant could pay nearly half as much in API fees as a firm offering an English-only version of the same service.

This charging structure, described by African language researchers as a ‘tokenisation bias’, reflects an underlying gap in how global AI systems are trained and designed, rather than any deliberate pricing discrimination.

‘Language models learn statistical patterns from the data they are exposed to, and with English accounting for over 60 percent of the internet’s text content, most systems naturally optimise for it,’ asserts IT specialist David Waithaka.

‘African languages, which make up less than one percent of the world’s digitised text corpus, are therefore broken down into smaller sub-units by the model to match existing English-based patterns, increasing the number of tokens processed.’

That structural inefficiency, analysts argue, has direct commercial implications for the continent’s growing market, where language localisation is becoming central to new-age concepts such as digital government, e-commerce and customer support systems, among others.

African computational linguists have commenced research to correct the imbalance by building open-source language datasets and training models directly in local languages, as in the case of South Africa’s Masakhane and Lelapa AI, as well as AI4Afrika.

Masakhane has developed translation datasets for over 200 African languages, while Lelapa AI is training foundational models that natively handle local dialects and idioms without breaking them into inefficient token fragments.

Experts say these homegrown efforts are critical to ensuring that Africa’s digital transformation does not depend entirely on external systems that were not designed for its linguistic landscape.

‘We don’t have to translate who we are to be understood. AI shouldn’t charge extra for being African,’ observes AI trainer Nyandia Gachago.

Limited research funding and computing services, however, continue to constrain the progress of homegrown solutions, leaving the continent dependent on imported models whose performance and costs it cannot fully control.

If the imbalance persist, industry analysts warn, African businesses could be staring at a long-term structural disadvantage in adopting generative AI technologies, compared to regions where linguistic efficiency aligns with the global model training.

Kenya’s rapid digitisation of public services, including Swahili-language chatbots for citizen engagement, could also face cost implications unless local language models are developed to match global standards.

In May last year, tech giant Microsoft announced that it would support the development of an AI model in Swahili as part of its grand plan to invest up to $1 billion (Sh129.2 billion at current conversion rates) in Kenya’s digital ecosystem.

At the time, the firm said the initiative would be geared toward supporting Kenya’s unique cultural and linguistic needs in a development that was touted as the magic wand that would drive AI uptake among native communities.

Earlier in July 2023, Swahili had become the first African language to be onboarded to Google’s conversational generative AI chatbot known as Bard, alongside 40 other international languages that included Chinese, German, Spanish, Arabic, and Hindi.

Bard is Google’s experimental AI chat service whose function closely mirrors that of ChatGPT, with the only deviation being that Bard pulls its information from the web.

Power producer KenGen has declared a record dividend of Sh0.9 per share or a total of Sh5.93 billion after reporting a 54.2 net profit growth in the year ended June 2025.

The dividend will be paid on February 12, 2026, to shareholders who will be on the register as of November 27, 2025.

The new payout marks a 38.4 percent jump from the prior year’s Sh4.28 billion or Sh0.65 per share.

The combination of higher earnings and increased distribution to shareholders has driven the company’s share price rally over the past year to cross the Sh10 mark.

The company, which previously retained most of its earnings to finance its capital-intensive projects, is now distributing more than half of its net income to shareholders in a signal that it has adequate resources to fund its operations.

KenGen’s net profit in the review period rose to Sh10.4 billion from Sh6.7 billion a year earlier, with the Nairobi Securities Exchange-listed firm benefitting from lower costs.

Operating expenses shrunk by Sh4.1 billion to Sh35.1 billion, compensating for a decline in net sales to Sh46.4 billion from Sh48.2 billion.

The company attributed the lower costs to reduced depreciation and a fall in overhead expenses as it continues to implement efficiency measures.

The drop in sales was due to lower geothermal and steam revenues, the power producer said. The firm has diversified power generation sources, including hydro, thermal and wind.

KenGen also booked a foreign exchange gain of Sh1.45 billion, an improvement from a currency loss of Sh722 million the year before.

The shilling traded relatively better in the review period compared to the prior year, benefiting KenGen, which has multiple liabilities denominated in foreign currencies, including the US dollar, euro and Japanese yen.

‘The improvement was largely driven by the strengthening of the Kenya shilling against major currencies during the year compared to the previous period,’ said the company.

KenGen’s finance costs also declined to Sh2.2 billion from Sh2.8 billion, contributing to the profit growth.

The company says it plans to add more power generation capacity to the national grid in the coming years including through expansion of existing plants.

‘Our near-term pipeline of 252.82 MW (megawatts) continues to advance steadily, anchored by flagship projects such as the 63 MW Olkaria I Rehabilitation, the 42.5 MW Seven Forks Solar Project, and the Gogo Hydro Power Plant Upgrade (8.6MW),’ KenGen said.

‘These projects, alongside the Wellhead Leasing Geothermal Project (58.42MW), and Olkaria VII Geothermal Power Project (80.3 MW) in the medium term, will strengthen grid reliability, stimulate industrial growth, and advance Kenya’s transition to a clean and sustainable energy future.’

The National Treasury, with a 70 percent stake in KenGen, will collect the largest dividend of Sh4.1 billion in the upcoming payout.

Pilots working with Kenyan airlines will receive compensation from Britam General Insurance under a specialised cover aimed at protecting aviation professionals from income loss when they are grounded due to illness or injury.

The insurance, called Pilot Loss of Licence (LoL) cover, targets both professional and trainee pilots registered with the Kenya Civil Aviation Authority (KCAA) and will be activated when these professionals lose their license to fly due to illness or injury.

Pilots require both technical skill and strict medical clearance to fly. A sudden illness or accident can cost a pilot their licence to fly, cutting off their main source of income.

Now Britam has introduced the LoL policy to cushion such pilots who are declared medically unfit to fly and lose their right to operate aircraft -whether temporarily or permanently.

‘A pilot’s career is a significant investment and the loss of their licence, even temporarily, can have serious financial consequences,’ said James Mbithi, CEO at Britam General.

‘Our new Pilot Loss of Licence Cover is designed to provide peace of mind. It acts as a financial safety net, ensuring that an unforeseen illness or injury does not mean the end of a livelihood.’

The launch of the cover comes at a time Kenya’s aviation sector is witnessing expansion, with more pilots flying both domestic and international routes.

KCAA data shows that the number of people holding air transport pilot licences jumped 15.8 percent in five years to 1,663 in 2024, while those with commercial pilot licences rose 16.8 percent to 2,159.

The number of personnel with private pilot licences increased 21.3 percent to 2,097, and those with student pilot licences climbed 16.6 percent to 3,813 over the same period.

The temporary LoL cover provides monthly financial support when a licence is suspended due to illness or accident, paying 2 percent of insured sum per month for body injury or general illness and 0.5 percent for classified or psychological illness.

The maximum benefit period is 12 months, with a 90-day waiting period.

The permanent LoL, which caters for more serious illnesses or accidents, will entitle pilots to 100 percent of the insured sum for bodily injury or general illness and 25 percent for classified or psychological conditions, subject to a 180-day waiting period.

Britam said the total insured amount for the permanent LoL will be calculated at five times the pilot’s annual earnings to retirement age, ensuring substantial financial protection proportionate to their career earnings potential.

The policy is available to all pilots under 65 years registered with the KCAA and extends to injuries sustained outside work, including sports-related incidents.

The insurer said the cover comes with certain exclusions including loss of license due to criminal acts, negligence or incompetence at work or deliberate exposure to danger except when saving a life. Active duty with armed forces, participation in war or terrorism and undeclared pre-existing conditions will also be excluded.