Category: Business Daily

The Kenya Revenue Authority (KRA) has recommended a further review of tax exemptions on goods and services as it identifies a Sh1.78 trillion gap in collections of value-added tax(VAT).

An internal report from the tax authority reveals that the difference between actual and potential tax collections from VAT amounts to 11.8 percent of gross domestic product (GDP) as of the end of 2023, which translates to a nominal Sh1.78 trillion.

Veteran stockbrokerage firms are exiting the Nairobi Securities Exchange (NSE) after years of weak earnings, paving the way for a new crop of investors seeking to ride on technology to draw in more retail investors in a market that has gone without an initial public offering in more than a decade.

Kenya’s capital markets landscape has witnessed the buyouts of four brokerage firms in barely a year, a trend that insiders attribute largely to reduced business, rising competition and the persistent initial public offering (IPO) drought.

Traders shipping goods to and from Europe will continue to experience higher costs despite the recent cessation of hostilities between Israel and Hamas in Gaza as logistics firms take a cautious approach before resuming full use of the Red Sea route.

The conflict in the Middle East, which began in October 2023, negatively affected trade when Yemeni Houthi rebels started attacking merchant ships in the Red Sea corridor in retaliation to Israel’s invasion of the Gaza Strip.

This forced shipping firms to use the longer route around the Cape of Good Hope in South Africa for safety reasons, adding weeks to transit times and cost of goods as exporters and importers passed on the higher charges to their customers.

Israel and Hamas inked a US-brokered deal last week to end their two-year conflict, but the killing of a Houthi military commander in an Israeli airstrike has raised the risk of continued attacks on shipping in the region.

‘One thing that we hope is that we will be able to use the Red Sea route, so that from a global logistics perspective that people will not be forced to waste 20 days travelling around the Cape,’ said Amadou Diallo, CEO of DHL Global Forwarding for the Middle East and Africa region.

‘It is, however, difficult to predict when we will see normalcy on the route because at the same time we have had the complication in Gaza, we still have more issues elsewhere, for instance, between China and US, Russia and Ukraine, that are also affecting global trade dynamics.’

DHL Global Forwarding is the cross-border freight arm of Germany based DHL Group.

Shipping firms also reported alternative shipping options to circumvent the Red Sea bottleneck, which involved partial transportation of goods on land across Saudi Arabia to Egypt from ports in Oman and other Persian Gulf States.

The circuitous route also applied for goods and inputs meant for African destinations, adding to the overall cost of products on shop shelves.

A detour around Africa raises fuel cost by 40 percent, according to Maersk Shipping Line, which started bypassing the Red Sea route in favour of the Cape of Good Hope in February 2025.

Due to the Middle East conflict, the price of freight for ships heading to Red Sea ports more than doubled to $6,800 per container, largely reflecting higher insurance costs.

Read: Middle East conflicts threaten Ruto’s fertiliser subsidy plan

Last year, shipping lines also introduced transit disruption surcharge of $200 for a 20-foot container and $400 for a 40-foot container, and an emergency contingency surcharge of $250 and $500 for 20-foot and 40-foot containers, respectively.

For Kenya, the biggest impact besides the higher cost of imported products was seen on the agricultural sector, where exporters of fruits, tea and coffee were forced to ship their produce over the longer South Africa route, leading to increased cases of spoilt produce and uncompetitive prices.

For more perishable products such as fresh vegetables and flowers, the cost of airfreight also went up due to increase demand for space by exporters, cutting margins for local famers and producers.

Listed agriculture firms issued profit warnings last year due to higher logistical costs. They included Kakuzi and Sasini, which said that the geopolitical tensions made it costlier and harder to supply their European markets.

For tea firms, the higher operating costs were accompanied by lower prices in the global market due to oversupply, while earnings in local currency were depressed due to the shilling strengthening against the dollar by up to 21 percent between January and December 2024.

They also reported higher cost of fertiliser and higher cost of power, which added to the cost of production for the plantations.

Walk into any boardroom across Nairobi, Mombasa or Kisumu today, and you’ll hear the same conversations echoing as business leaders excitedly discuss their latest investments in artificial intelligence (AI), cloud migration projects, and digital transformation initiatives.

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Kenyan companies are allocating substantial budgets to cutting-edge technologies, armed with the knowledge that modern tools will unlock competitive advantage, and drive the explosive growth the country’s dynamic markets demand.

However, as these enterprises pour millions into sophisticated AI platforms, advanced analytics tools, and cloud infrastructure, they’re systematically ignoring a fundamental weakness that quietly undermines every digital initiative they undertake.

Their data is chaotic, fragmented, and fundamentally disorganised. Sales information lives in one system, financial data in another, customer service records in a third, and operational metrics scattered across countless spreadsheets and standalone applications.

This isn’t merely a technical inconvenience that IT departments can eventually sort out, it’s a silent revenue killer that’s costing Kenyan enterprises millions in lost productivity, missed market opportunities, and competitive disadvantage. The harsh reality is that no amount of sophisticated technology can compensate for fragmented, siloed, and poorly organised data.

Companies with fragmented data systems are systematically handicapping their ability to compete, scale, and survive in increasingly sophisticated markets. For Kenya’s fast-scaling enterprises, this data disorganisation represents an existential threat that demands immediate strategic attention.

The compounding costs of fragmentation

The consequences of data chaos manifest across every aspect of business operations, creating inefficiencies that compound rapidly as organisations grow. Sales representatives waste precious hours manually updating multiple systems with identical customer information.

Finance teams struggle to generate accurate reports because critical data exists in disparate formats across various platforms that don’t communicate with each other. Marketing campaigns consistently fail to leverage valuable customer insights that remain trapped in isolated sales databases.

These operational cracks quickly spread into customer-facing functions. Customer service suffers dramatically when representatives lack complete visibility into client interaction histories, previous purchases, or ongoing support issues.

Operations teams make suboptimal decisions because they can’t access real-time information about inventory levels, supply chain status, or production capacity. Management operates essentially blind, making strategic decisions based on incomplete, outdated, or inconsistent information.

These problems become particularly acute in Kenya’s dynamic business environment, where companies often need to scale rapidly to capture fleeting market opportunities.

Unlike mature markets where gradual growth allows for incremental system improvements, Kenyan enterprises frequently face explosive scaling demands that expose every weakness in their data infrastructure.

A fintech startup handling thousands of daily transactions might suddenly need to process millions as adoption accelerates. If customer data, transaction records, compliance information, and operational metrics exist in separate, disconnected systems, the company faces an impossible choice: slow down growth to fix their data foundation, or scale inefficiently with massive operational overhead that ultimately limits their potential.

And this challenge is not confined to fintech alone. Similar patterns emerge across sectors. Agricultural technology companies struggle to integrate farmer data, weather information, supply chain logistics, and financial records.

Manufacturing enterprises fail to coordinate production data, inventory management, quality control, and distribution information effectively. Healthcare platforms cannot seamlessly connect patient records, provider information, scheduling systems, and billing processes.

Harnessing unified data for a sharper competitive edge

To break free from these limitations, the solution isn’t acquiring more sophisticated technology, it’s implementing unified technology architecture. Successful organisations across Africa are discovering that their competitive advantage lies not in possessing the most advanced individual tools, but in creating seamless information flow across their entire operation through integrated platform approaches.

This integration imperative reflects a fundamental shift in how businesses must conceptualise their digital infrastructure.

Rather than treating software systems as isolated tools for specific departmental functions, forward-thinking companies are recognising that their entire technology stack must function as a coherent, interconnected ecosystem that enables rather than hinders growth.

When properly implemented, unified data systems transform business operations completely.

Beyond survival: The competitive reality

All of this points to a simple truth: for Kenya’s business leaders, data organisation isn’t just about internal efficiency. It’s about competitive survival and regional expansion capability.

As the country solidifies its position as East Africa’s technology hub, companies that master data integration can serve broader African markets more effectively, while those trapped in fragmented systems struggle to expand beyond their initial market boundaries.

On June 10, 2008, then President Mwai Kibaki and Prime Minister Raila Odinga launched Kenya Vision 2030, the long-term plan to transform Kenya into ‘a globally competitive and prosperous nation with a high quality of life by 2030.’

For Mr Odinga, then 63, being around to see the full 22-year journey seemed improbable. Speaking after a stirring address by youth representative Caren Wakoli, he picked up her theme with a touch of humour: ‘When you [Wakoli] get there (in 2030), tell them to remember us,’ he said, urging the next generation to carry the torch.

It almost seemed like Mr Odinga was poised to defy his own quip and reach 2030.

However, like Moses of the Bible, he was not going to live to see the symbolic Canaan he so often promised his followers: a highly industrialising nation with decent jobs, universal healthcare and shared prosperity.

The former Prime Minister died on October 15, 2025, five years before 2030, leaving some unfinished business-including many flagship projects he and the late Kibaki envisioned in the Vision 2030 blueprint.

Mr Odinga, who died at 80, was eulogised chiefly as a towering politician. Yet behind the firebrand persona-mocked by rivals as the ‘Lord of Poverty’-ran a consistent economic reform agenda across his five unsuccessful presidential bids: decentralising power and resources, building safety nets for the poor, creating jobs through manufacturing, fighting corruption and taming the cost of living.

Read: Raila’s dream of factory wealth

Two months ago, Mr Odinga revisited Vision 2030, arguing that it should be put squarely back on the table and that the National Economic and Social Council (NESC)-the think tank that helped lay the groundwork for the plan-should be revived to drive coordination.

‘So that all those flagship projects that we coined during that time can be revived and we make sure they are all moving together,’ he told the 2025 Devolution Conference in Homa Bay.

‘This will help us as a country. I am saying this as a Kenyan patriot who is thinking about Kenya-Kenya number one, Kenya number two, Kenya number three.’

Vision 2030 places heavy emphasis on infrastructure, including the Sh2.5 trillion Lamu Port-South Sudan-Ethiopia Transport (LAPSSET) Corridor meant to turbo-charge the economy through a network of seaports, airports, roads and railways.

Launched in March 2012 under the Grand Coalition government, a few LAPSSET projects are complete while many remain pending, leaving a significant infrastructure gap Mr Odinga had wished would be plugged. Lamu Port’s first three deep-water berths are operational, supported by the 113.5-km Garsen-Witu-Lamu highway.

Regionally, the Moyale One-Stop Border Post with Ethiopia is in service. Still outstanding are the standard-gauge railway (SGR) from Lamu inland, the Lokichar-Lamu crude-oil pipeline and the resort cities/airport upgrades, which remain at planning or partial-delivery stage.

Having championed the SGR concept, Mr Odinga hoped to see the line extended from Naivasha to Kisumu and onward to Malaba on the Ugandan border.

As African Union High Representative for Infrastructure, during the ‘Handshake’ era, he is understood to have accompanied President Uhuru Kenyatta to China to seek additional financing. They did not secure funds, but the current administration-working with Mr Odinga under the broad-based government-says plans are at an advanced stage to launch the SGR extension to western Kenya and onward to Uganda.

Increased manufacturing and value-addition also lay at the heart of Mr Odinga’s idyll. Since 1997, his manifestos have contained a plan to cut production costs, anchor firms in industrial parks, finance micro, small and medium enterprises (MSMEs) and enforce fair competition to unlock jobs.

The 2007 manifesto tied factories to devolved growth poles; the 2013 campaign promise synced with Vision 2030’s industrial parks and SEZs.

The manifesto of his National Super Alliance (Nasa), the pre-election political alliance that backed his presidential bid in 2017, set a 15 percent manufacturing-to-GDP target within five years; Azimio’s 2022 plan raised that to 30 percent and proposed a single business permit and ‘buy-Kenyan’ procurement.

All assumed cheaper logistics, reliable power and contract certainty. Vision 2030’s benchmark is 20 percent by 2030, but manufacturing has hovered around seven to eight percent in recent years, reflecting high energy costs and weak demand, even as services grow faster.

Mr Odinga envisaged an economy where smart agriculture, a vibrant manufacturing and social spending would cut the growing youth unemployment,

Unlike his predecessors, President William Ruto faces a generation of uncompromising young Kenyans desperate for economic opportunities, who can mobilise amorphously through social media, bypassing opposition parties and leaders.

Read: Inside Raila’s quiet business empire

With up to 800,000 young people entering the job market each year, Gen Z are more educated than their elders, but also more likely to be unemployed, according to a report by Afrobarometer, a pollster.

Mr Odinga put money behind his beliefs. In 1971, he and his father founded East African Spectre to make gas cylinders, applying his engineering training.

‘He did not consider himself just a director; he was part of us,’ said Hudson Chitala, the company’s general manager.

‘While other directors headed to the boardroom, he went straight to the factory. in fact, if you heard the noise in the factory, you knew he had come,’ added Chitala.

The Odinga family also invested in a molasses plant in Kisumu to produce ethanol from sugarcane by-products, an ambitious venture that later collapsed.

A firm believer that industry creates jobs, he often argued for temporary protection of local firms, including selective bans and higher tariffs to curb unfair competition.

On the 2022 campaign trail, as he argued for the revival of textiles and apparel, a remark about second-hand clothes (mitumba) was widely interpreted as calling them garments ‘worn by the dead,’ drawing backlash from traders.

He later framed the point as a call to rebuild local manufacturing while organising the mitumba trade. Meanwhile, his stake in LPG cylinder manufacturing and validation grew through East African Spectre, which recently opened a larger branch near the Industrial and Commercial Development Corporation (ICDC).

Under Vision 2030’s political pillar, a new Constitution was central-a long-held rallying call for Mr Odinga and a plank in his 2007 manifesto. After the defeat of the 2005 draft and his disputed 2007 loss to then President Kibaki, that dream appeared out of reach.

But a post-election truce produced a reform deal, culminating in the 2010 Constitution that created 47 devolved government and delivered his vision of resources cascading to the grassroots.

Yet 12 years since devolution took effect in 2013, Mr Odinga felt it ‘was becoming another problem,’ weighed down by transparency and accountability gaps, said Dr Scholastica Odhiambo of Maseno University. ‘He asked, what can we do better?’ she added, noting he did not necessarily support reducing the number of counties.

At the heart of his push for devolution was inclusion. This zeal endeared him to marginalised communities but rattled those at the centre who criticised redistribution policies as anti-capital.

‘His voice for economic inclusion has been loud. resources should not be only at the higher level,’ said Dr Odhiambo, noting that the new Constitution included the Equalisation Fund to uplift vulnerable communities, especially in arid and semi-arid lands. ‘He was really loved in the marginalised [communities]. He was talking their mind.’

His aggressive push for social equity-including the Sh6,000 monthly stipend for vulnerable families in the 10-point People’s Programme under the 2022 Azimio manifesto-was dismissed by critics as populist and unaffordable, given fiscal constraints. Where would the money come from for free education from pre-primary to university, universal healthcare and expanded cash transfers for the elderly and persons with disabilities?

‘I know where the money is because I have been in government for five years. I will seal all the loopholes and I will have enough money to give to Kenyans,’ he said.

Beyond Kenya, Mr Odinga was a pan-Africanist who viewed the continent’s liberation as incomplete without economic integration and shared prosperity.

As AU High Representative for Infrastructure, he championed trans-continental rail, road and energy corridors to knit Africa together, arguing that ‘Africa cannot trade if it cannot connect.’

His vision drew from the ideals of Kwame Nkrumah and Julius Nyerere-an Africa that speaks with one voice in global affairs.

A dream of a united Africa, which eluded independence leaders like Mr Nkrumah and Mr Nyerere, was also not achieved by the second crop of post-independence leaders like Mr Odinga. That is left to the next crop of leaders.

The Employment and Labour Relations Court has upheld a decision by Crawford International School to dismiss a teacher accused of falsifying her employment history and salary details during recruitment, saying that the school acted lawfully in terminating her contract for gross misconduct.

Justice Linnet Ndolo dismissed a lawsuit filed by the teacher named Ms OA, who had sought Sh9.99 million in compensation for wrongful termination and defamation.

The court found that she knowingly misrepresented her prior employment status and previous salary, which justified her summary dismissal just two months into her probationary period at Crawford International School, where she had secured a two-year contract.

Court documents reveal Ms OA was hired in September 2018 following WhatsApp interviews conducted by a recruitment agency on behalf of the school. However, weeks into her role, students accused her of bullying and harassment, prompting an investigation.

During the probe, the school discovered discrepancies in her job application. It was discovered that at the time of recruitment, she falsely claimed to be employed at a top private school as director of student advancement and teacher of English and Literature, when in reality she had already been terminated from another prestigious school for alleged integrity issues.

The court judgment shows that the employer also discovered that Ms OA had inflated her salary with the previous employer from Sh180,000 to Sh365,000-a misrepresentation the court termed a “deal-breaker.”

Its Managing Director, Jenny Coetzee, testified that Ms OA failed to disclose that she had been terminated from her immediate former job for reasons related to her competency and general conduct towards students.

Read: International School of Kenya ex-teacher sues in pay dispute

“The claimant obtained employment by deceit and the employer was within the law to terminate the employment on this ground,” Justice Ndolo said, adding that dishonesty during recruitment “breaches the faith inherent in the work relationship.”

Ms OA had argued that her dismissal was procedurally unfair, alleging the school shifted accusations mid-hearing from student complaints to her employment history.

However, the court noted she was given additional time to respond to new evidence and allowed representation during disciplinary hearings.

“The employer adhered to fairness. There is evidence that the claimant was issued with a show-cause notice, and when new evidence was discovered, she was given an extension of time to respond. Overall, I have no reason to fault the conduct of the disciplinary proceedings,” Justice Ndolo stated, rejecting claims of defamation due to insufficient evidence.

In her claim, Ms OA argued that the whole process leading to her dismissal, and the allegations forming the basis of and the reason for the termination were false, illegal, and unfair.

She said that, though the show-cause letter contained allegations made by students against her, the disciplinary hearing concerned issues of withholding material employment records and presenting inaccurate information to the recruitment agency.

Ms OA claimed that Crawford continued to give negative references to prospective employers, causing her to lose an employment opportunity.

But the court held that misrepresentation of employment history or previous salary constitutes lawful dismissal.

Citing Section 43 of the Employment Act, which requires the employer to establish a reason that would cause a reasonable employer to terminate employment, in this case, the court found there was a valid reason to terminate the employment of Ms OA.

Justice Ndolo concluded that an employee who is on-boarded based on a fictitious salary figure may be removed from employment on this account.

The case highlights the risks of Curriculum Vitae fraud in Kenya’s competitive job market, where background checks are increasingly stringent.

The Employment and Labour Relations Court has ruled against Twiga Foods Limited for unlawfully terminating the contract of a sales employee over alleged poor performance, citing a lack of due process and failure to provide measurable performance benchmarks.

Justice Linnet Ndolo ordered the agribusiness firm to pay former sales representative Maxton Duke Kibira Sh1 million, comprising six months’ salary compensation and refund of unlawful salary deductions after finding the termination substantively and procedurally unfair.

Mr Kibira, a sales representative, was fired on December 13, 2018, via a letter citing “performance below set expectations,” including unbanked revenue and low sales realisation rates.

However, the court noted that Twiga Foods violated labour laws by ignoring due process.

The court dismissed Twiga Foods’ claims that Mr Kibira consistently underperformed, noting the company failed to produce his job description or objective performance metrics to justify the December 2018 dismissal.

Read: Twiga Foods to fire more staff after operations freeze

‘The Respondent’s witness, Beatrice Maiyo, (legal manager), was unable to point out any proof of poor performance on the part of the Claimant. More significantly, the Claimant’s job description, which would have formed his performance benchmark, was not availed,’ Justice Ndolo observed.

‘The court was therefore at a loss as to how the verdict of poor performance was arrived at,’ she stated.

The judgment emphasised that Kenyan labour law requires employers to give employees clear performance improvement plans over two to three months before termination. Twiga Foods only held one documented meeting with Kibira weeks before firing him.

The court also condemned Twiga Foods for deducting Sh426,000 from Mr Kibira’s salary over alleged unbanked revenues without evidence or his input. The court noted that some of the deductions went beyond half of the claimant’s salary.

‘The decision to surcharge the claimant appears to have been unilateral. In fact, as confirmed by the Respondent’s witness, there was no document to show how the surcharge figures were arrived at,’ said the judge.

Justice Ndolo ruled that such surcharges require a fair hearing under Section 41 of the Employment Act.

“By surcharging the Claimant and terminating him for the same issue, Twiga violated the rule against double jeopardy,” the judge stated.

Mr Kibira had accused Twiga Foods of subjecting him to unrealistic sales targets, constant station transfers, unpaid overtime and a hostile work environment.

Twiga had denied wrongdoing, insisting deductions were on account of a bonus the claimant did not qualify for. It further denies that the claimant worked overtime.

The court dismissed these arguments, noting the company’s failure to reconcile the disputed deductions or justify overtime denials.

While the court declined to award overtime claims due to insufficient proof, it upheld his grievances on unlawful deductions and procedural flaws in his dismissal.

Kenya has previously witnessed the end of several political eras.

The notable ones being the death of the founding President, Jomo Kenyatta, who died in 1978 aged 81.

This was followed by the death of the founding Vice President Jaramogi Oginga Odinga in 1994.

On February 4, 2020, just before Covid-19 was declared a global pandemic, Kenya’s second independence president, Daniel Toroitich arap Moi, died at 95 years, his death signalling the end of an era for a man nicknamed the Professor of Kenyan politics.

However, the death of Raila Odinga, the son of Jaramogi, on October 15, 2025, aged 80, shook the political landscape that was accustomed to a man who went with so many political names-Enigma, Agwambo, Arap Mibei, Njamba, Tinga, Nyundo, Jakom and Baba.

Raila, Kenya’s undisputed hero of the second liberation struggle, was a man that Kenya never had as president, notwithstanding the five attempts-1997, 2007, 2013, 2017 and 2022. His defeat on some occasions was blamed on electoral manipulation despite his unmatched popularity across the country.

However, in death, Odinga got military honours complete with a 17-gun salute to honour the departed hero, unlike his late father, Jaramogi, who was not even accorded a State funeral despite having served as the country’s first Vice President.

And President William Ruto on Sunday acknowledged that there was resistance within government circles to accord Odinga a State funeral with military honours since he never became president.

But a towering figure in Kenya’s political scene, Odinga, who, although never rising to power, struck deals with then presidents Moi, Kibaki, Uhuru Kenyatta and Dr Ruto, which saw him get into the inner sanctums of power, the former prime minister’s influence in shaping the Kenyan state saw him accorded the honours.

From a political detainee, Odinga went on to build a fanatical movement around him, forging what is arguably the longest popular party, ODM, which coincidentally marks its 20th anniversary next month, a party around which many have built their political careers.

The Lang’ata MP went on to serve as prime minister in a grand coalition government with President Kibaki between 2008 and 2013-the highest post in government that he ever held until his death.

The son of Jaramogi rose to the public limelight and the political scene as a political detainee after he was linked to the failed 1982 coup by the disgruntled Kenya Air Force officers, becoming the country’s most consequential political figure after the late Moi.

The coup attempt was designed to depose then-President Moi.

Odinga, being at the centre of power even though he never became president, was a highly influential figure in Kenyan politics, known for his decades-long fight for democracy, human rights, and constitutional reform that led him to rub the government figures the wrong way.

An opposition leader in Kenyan politics, Odinga played a significant role in shaping the country’s politics, specifically pushing for the rights of the common people as well as the political reforms.

As the country paid its last respects to Odinga before his interment on Sunday, President Ruto, former President Kenyatta, former Nigerian President Olusegun Obasanjo and former Vice President Kalonzo Musyoka eulogised Odinga as a great leader.

Describing Odinga as a mentor, President Ruto said Kenya had lost a great hero, ‘a man made through the fabric of struggle’.

‘Raila is fondly referred to as the people’s president. We honour him with a lot of respect because of his contribution to the nation. I can confidently say that Raila was not just an engineer but a political engineer,’ said President Ruto.

‘Yours truly, William Ruto was one of his students in political engineering. He mentored me.’

Read: Raila’s dream of factory wealth

It is not disputed that Odinga was a highly influential figure in Kenyan politics, known for his decades-long fight for democracy, human rights and constitutional reforms that ultimately yielded a new constitution that was promulgated on August 27, 2010.

Born on January 7, 1945, Raila spent years in detention and exile for his activism against former President Moi’s regime.

Former National Assembly Speaker Justin Muturi writes that ‘while we may have differed with Raila politically at various points, I have always respected his tenacity and deep love for the country.

‘For decades, Raila Odinga stood at the heart of Kenya’s struggle for freedom, reform, and inclusion. His journey, marked by sacrifice, resilience, and an unrelenting belief in the promise of this nation, inspired millions across generations,’ said Mr Muturi.

Acknowledging that few men ‘have so profoundly shaped Kenya’s democratic space or borne its burdens with such resolve, Raila’s passing leaves a void not just in politics, but in the conscience of our nation’.

‘Raila’s legacy will endure in our institutions, in our freedoms, and in the hearts of all who believe in the dream of a just and united Kenya,’ notes Mr Muturi.

Retired President Obasanjo noted that ‘one thing you could not take away from Raila was his passionate love for his country and Africa.’

‘It is what made him grow from strength to strength in his political career,’ said former President Obasanjo.

The retired President Obasanjo was among those who attended the meeting in Mombasa, Kenya, that brought President Ruto and Odinga together after the closely contested August 2022 presidential election, which led to the formation of the broad-based government in 2024.

President Ruto and Odinga were close rivals in the 2022 General Election.

‘Tolerance is a lesson of love. Raila tolerated accommodation. It’s a lesson we must learn from him. I have lost a brother, a friend and a confidant,’ said Mr Obasanjo.

Odinga was a towering figure, a veteran politician, and a champion of democracy who left an indelible mark on Kenya’s history.

As a key figure in the opposition movement, Odinga played a significant role in shaping Kenya’s democratic journey, advocating for human rights and pushing for electoral reforms. Retired President Kenyatta, referring to Odinga as a close friend, said his loss presents the country with a huge challenge.

‘We will miss Raila as a leader of this nation. His thoughtfulness, his freedom and those good virtues will always be remembered,’ said immediate former President Uhuru, with Mr Kalonzo remembering the late Odinga as the father of democracy.

‘Raila was the epitome of the struggle for justice and the fight against corruption,’ said Mr Musyoka, adding that ‘despite the pain of a stolen election, he was very accommodating’.

‘Raila was a patriot who fought for justice, equity and unity even in the face of adversity,’ said former President Uhuru, without forgetting their fierce political battles and later ended in friendship- the handshake in 2018 on the stairs of Harambee House, the official office of the President.

However, as the country and Africa bade Odinga goodbye, in his 43 years after the failed coup, he never revealed his role in the failed 1982 coup, even in his biography: Raila Odinga, an Enigma in Kenya Politics by Nigerian author and lawyer Dr Babafemi Badejo, launched in 2006.

The matter, which landed Odinga in detention thrice, has been mentioned as a passing cloud.

He had promised to give more details of the failed coup in a book he promised to churn out, but never did so until his death.

However, in his autobiography, The Flame of Freedom, released in 2013, he revealed that his role was merely ‘peripheral.’

Interestingly, despite the detentions, Odinga was never charged with the failed coup attempt.

The question that remains unanswered and which follows Raila to the grave was whether his failure to be prosecuted was a political deal with the late Moi.

Unlike his former colleague in detention- former Subukia MP Koigi Wamwere, Raila also never produced his detention diary.

In the book; Raila Odinga, an enigma in Kenya Politics, Raila reveals that the coup plotters sought and got the blessings of Jaramogi and that he set up a communication centre at an apartment on Ngong road from where he and the plotters monitored events.

When the Raila Biography was released figures like former Internal Cabinet Minister Chris Murungaru were quick to call for Raila to be tried for treason and that if convicted, hanged as provided for in the law.

‘Raila is a dangerous person and he has declared himself to be so,’ Dr Murangaru said immediately the book was launched as he asked legal experts to scrutinize the book for action telling Raila not to disown the contents ‘since he must have sanctioned every word and was present at the launch.’

Other than Dr Murungaru, then retired President the late Moi told his Kalenjin community to ‘be wary’ of Mr Raila’s antics because his biography had exposed his true character.

Speaking in the Kalenjin dialect, Moi said; ‘you can now read the kind of person the man of the lake is.’

But Raila immediately hit back at those calling for his arrest saying that what he expected was an intellectual debate by people who had read the book and not wild allegations that could not be substantiated.

‘What I want is intellectual discourse from people who have read this book and not unfounded allegations. I will only respond to reasoned critique over the issues in the book,’ Raila said then.

Then Nyakach MP Peter Odoyo, was among the MPs who defended Raila saying the book was not an autobiography and that ‘the views expressed in it represented the assessment of the author and did not come directly from Raila.’

In page 94 of Raila’s biography, Raila comes out vaguely as neither denying nor confirming having actively participated in the 1982 failed coup.

However, in his autobiography; The Flame of Freedom, released in 2013, Raila says that he played only a ‘peripheral role’ in the attempted coup.

‘The publication of a biography of me in 2006, where the writer intimated a peripheral role for me in the coup attempt, caused a vindictive outcry- indicating that freedom of speech is, at the time I tell this, my story, as shackled as ever in our country,’ he said in 2013.

As the country bids Raila, the enigma of Kenya politics goodbye, his friend in the liberation struggle Senior Counsel Paul Muite said that ‘the fallen hero’ will always be remembered for the democratic space that the country continues to enjoy.

‘Raila will always be remembered for his immense contribution for justice in our motherland- detentions, torture and exile,’ said SC Muite adding; ‘we have now handed the baton for the unfinished business to the current generation.’

Mr Muite was so close to the Odingas. He Muite and the Odingas have had a long history of collaboration in politics and beyond.

He Muite served with Raila and his father in the National Assembly on the opposition benches.

He was also Jaramogi’s close ally and was his Vice Chairman in the Ford-Kenya party and during the 2022 Presidential election petition at the Supreme Court, he represented then Raila’s Azimio coalition to challenge the declaration of President William Ruto as the winner of the presidential election.

Former Imenti Central MP Gitobu Imanyara who served with Raila and Jaramogi in the National Assembly, notes that ‘some lives speak for themselves.’

‘They do not want to be celebrated. They are lived out loud, with conviction and cost, shaped by purpose and defined by endurance. The life of Raila Odinga is one of these,’ Mr Imanyara, Raila’s comrade in the struggle movement, said.

‘For those of us who have walked beside him, not in ceremony but in resistance, his journey is one we carry not only in memory but in bone,’ added the former Imenti Central MP.

Prof Anyang’ Nyong’o, the Kisumu County governor, Raila’s colleague in the second liberation struggle said that without Raila, the country may not have realized the 2010 constitution.

‘The Nation was ready for change and Baba was for that change. He was instrumental in pushing for devolution of power and resources,’ said Governor Prof Nyong’o.

Siaya County Governor James Orengo, who was also in the trenches with Raila in the fight for second liberation did not fail to recognise the befitting send-off Raila was accorded.

‘This is the first State funeral with military honours in the Nyanza region. We lost prominent leaders from this region- Jaramogi, Tom Mboya, Dr Robert Ouko but their sendoff never came close to this. But this is the first,’ said Governor Orengo.

‘What did Raila really stand for? Many came and fell by the wayside but Raila stood. He was a fighter for democracy. There are those who lead political parties and have abused Raila without knowing that without Raila, they would not be leading those parties,’ added Governor Orengo.

According to Governor Orengo, Raila was courageous.

‘In 2017 when his votes were stolen, he decided that he will be the people’s president. Before you open your mouth to speak against Raila, remember what he stood for and what he fought for. He was a peacemaker- as you can see that even in his death, he has brought President Ruto and Uhuru together,’ said Governor Orengo.

Global rating agency AM Best has affirmed the credit ratings of Kenya Reinsurance Corporation (Kenya Re), keeping the outlook stable even as it raised concerns over the reinsurer’s governance and risk management practices.

The US-headquartered agency maintained the reinsurer’s financial strength rating (FSR) of B (fair) and the long-term issuer credit rating of ‘bb+’ (fair). It also kept a stable outlook on both ratings.

AM Best says it assigns B (fair) rating to insurance companies that have ‘a fair ability’ to meet their ongoing insurance obligations. The agency rates financial strength of such insurers as vulnerable to adverse changes in underwriting and economic conditions.

Kenya Re’s FSR of B (fair) sits at the midpoint of AM Best’s 13-tier rating scale, which ranges from superior (A++) at the top to poor (D) at the bottom.

‘The ratings reflect Kenya Re’s balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, neutral business profile and weak enterprise risk management,’ said AM BEST in a statement.

AM Best said Kenya Re’s balance sheet strength assessment is underpinned by its risk-adjusted capitalisation which is at the’ strongest level.’ The reinsurer’s capital position provides a sufficient cushion against underwriting and investment risks.

However, AM Best cautioned that the company faces several risks and weaknesses including governance challenges, citing the recent suspension of managing director Hillary Wachinga in unclear circumstances.

Read: Why Treasury wants to give Kenya Re bigger slice of the pie

‘Kenya Re’s risk management framework is evolving and its risk management capabilities are weak when compared with its risk profile. AM Best notes that the company’s managing director was placed under suspension in September 2025, due to an ongoing internal matter. AM Best will continue to monitor the outcome of this matter,’ said the rating agency.

Despite these concerns, AM Best said the stable outlook reflects confidence that Kenya Re’s strong capitalisation and improving underwriting performance will sustain its financial position in the near term.

Kenya Re’s operating performance was rated as ‘adequate,’ supported by improved underwriting results and healthy investment income.

AM Best said the company’s average return on equity has exceeded domestic inflation over the past five years, indicating steady profitability despite economic headwinds.

The reinsurer’s non-life insurance portfolio showed improvement, with a combined ratio of 78.1 percent in 2024, compared to 97.7 percent in 2023, based on International Financial Reporting Standard 17.

The combined ratio measures the money flowing out of an insurance company in the form of dividends, expenses and losses. AM Best noted that since initiating corrective actions in 2020, Kenya Re’s non-life portfolio has reported technical profits in most years.

AM Best noted that Kenya Re continues to benefit from its privileged market position, backed by compulsory reinsurance cessions from local insurers, as well as its geographic diversification across Africa, Asia and the Middle East.

Insurers in Kenya are currently obligated to place a fifth of their reinsurance business with Kenya Re but this is set to rise to a quarter if the recently published proposals under the draft Insurance (Amendment) Regulations, 2025 are adopted.

When a county worker or university lecturer looks at their pay slip, they often see a deduction marked ‘pension contribution.’

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What many don’t realise is that, in far too many institutions, the money never reaches the retirement fund. It’s withheld, sometimes for years, by cash-strapped or poorly governed employers.

According to the latest Retirement Benefits Authority (RBA) data, unremitted pension rose by Sh13.54 billion in six months to close December last year at Sh60.7 billion and swelled further to Sh72 billion as at end of June this year. Nearly 98 percent of that amount lies with public and quasi-government institutions such as universities, parastatals, and county governments.

Yet the entire pension industry manages over Sh2.25 trillion in assets, making it one of the country’s largest institutional investors. This mismatch reveals a deep vulnerability in Kenya’s pension ecosystem.

Pension funds are the backbone of Kenya’s long-term investment base. They buy government bonds, finance infrastructure projects, and provide liquidity to real-estate and equity markets. When contributions fail to arrive, funds lose investable cash. Some are forced to liquidate assets prematurely or slow down new investments.

That silent capital drain ripples through the economy: fewer pension inflows mean lower domestic savings and greater dependence on short-term borrowing. As RBA noted in its 2024 statistical update, the sector’s growth slowed despite strong asset performance, partly because of irregular remittances.

Besides, every unpaid shilling erodes public confidence. Workers begin to doubt that their deductions are safe. Younger employees, particularly in the informal sector, interpret pension schemes as risky or unreliable and choose cash savings instead.

Kenya’s pension coverage remains just about 26 percent of the working population. Non-remittance scandals result in delayed payouts at retirement which further discourages enrolment from younger workers, especially among micro-enterprises and self-employed workers who already struggle with low financial literacy.

Even though the RBA Act requires employers to remit pension deductions within 15 days or pay penalties, such guardrails exist on paper, but enforcement has proved difficult. Many defaulting entities are public bodies shielded by bureaucracy or budget delays.

And governance structures compound the problem. In many schemes, half or more of the trustees are appointed by the employer. That conflict of interest makes it awkward to press the same employer for arrears.

Read: Retirement: Strategic partnerships critical in growing pension savings

The regulator’s authority is further diluted when defaulters face no meaningful consequences beyond routine notices.

Eventually, when these organisations can’t settle arrears, the burden eventually shifts to the exchequer.

History shows that unpaid pension liabilities often resurface as Treasury bail-outs or court-ordered settlements. That means today’s non-remittance becomes tomorrow’s public debt. Left unchecked, widespread under-funding also increases old-age poverty, forcing government social-protection schemes to fill the gap-another fiscal pressure on taxpayers.

To restore confidence and stability in the pension system, Kenya needs tougher enforcement of remittance laws, stronger scheme governance, and greater transparency. The RBA should be empowered to attach accounts or issue agency notices against chronic defaulters, while pension boards must include a majority of independent or member-elected trustees to curb employer interference.

Real-time digital monitoring of deductions through platforms like eCitizen or iTax would also ensure automatic reconciliation, and an annual public list of non-compliant institutions would enhance accountability.

Above all, public bodies must be barred from diverting employee pension deductions to other uses and be held liable for breaches.

The growth of the retirement benefits sector is no small feat. But the sector’s strength is built on trust and trust depends on compliance.