Category: Business Daily

Shares of insurance firm Britam have jumped to an 11-year high of Sh19.95 in the wake of a rally this month on investors’ expectations that the company will resume paying dividends after a six-year drought.

The company’s stock has gained 60 percent in the last three weeks, double the gain it had made in the first six months of the year. Its year-to-date gain of 119 percent is only second to Car and General (136 percent) among the top-performing stocks at the Nairobi Securities Exchange (NSE).

The company’s market capitalisation -the measure of investor wealth-has now risen by Sh18.7 billion to Sh50.3 billion over the three weeks as a result of the share price rally.

Analysts said that the counter has seen speculative trading by local investors attracted by the announcement earlier this year that the company is cleaning up its balance sheet by paying down accumulated losses of Sh5.88 billion.

The Company Act bars an institution from paying dividends if it has accumulated losses.

“There is no special market action driving the rally, other than the balance sheet cleanup that has some investors seeing the prospect of resumption of dividend payments. The demand has come from local investors, particularly fund managers,” said Melody Ndanu, a research analyst at Standard Investment Bank.

Britam shareholders approved a resolution to use part of its share premium of Sh13.2 billion to clear the accumulated losses during the firm’s annual general meeting in May, clearing the way for a resumption of dividend payments.

Share premium represents the excess amount paid by investors for newly issued shares above their par value. Reduction in share premium does not affect the shareholding of a company or its equity position.

Before dipping into the premium, Britam had been relying on dividends from its subsidiaries to cut back the accumulated losses over five years, given that it is not an operating entity.

Britam operates life assurance, general insurance and asset management in seven countries, including Kenya, Rwanda, Uganda, Tanzania, South Sudan, Mozambique and Malawi.

The company has now gone for six years without paying dividends, but its managing director, Tom Gitogo, said in March that clearing the accumulated losses would open the door to a payout this year, possibly an interim dividend. The company reported a 10 percent growth in net profit for the year ended December 2025 to Sh5.5 billion, up from Sh5 billion in 2024.

Among the six listed insurers at the NSE, only Britam and Sanlam Allianz Holdings failed to pay a dividend in 2025. Sanlam Allianz reported a net profit of Sh838 million last year, but has not paid a dividend for 12 straight years.

The other listed insurance firms have recorded lower gains compared to Britam in the year-to-date. Kenya Re has a gain of 18 percent to Sh3.55 per share since the beginning of the year, while Jubilee Holdings’ share price has appreciated 12 percent to Sh375.50.

Sanlam Allianz Holdings is up 3 percent to Sh8.72 per share, CIC Insurance is flat at Sh4.56 and Liberty Holdings has shed 10 percent to trade at Sh9.10 per share.

Overall, only Britam and Car and General have recorded share price gains above 100 percent this year, with the next best performers being I and M Group (63 percent), Uchumi Supermarkets (62 percent) and Kenya Airways (61 percent).

The bourse has added Sh959.6 billion or 33 percent in investor wealth in the period, partly boosted by the new listings of Kenya Pipeline Company (KPC) and Family Bank, which have injected a combined Sh206.7 billion in new wealth into the market

Britam has gained 60 percent in the last three weeks, double the gain it had made in the first six months of the year. Its year-to-date gain of 119 percent is only second to Car and General (136 percent) among the top-performing stocks at the Nairobi Securities Exchange (NSE).

The company’s market capitalisation -the measure of investor wealth-has now risen by Sh18.7 billion to Sh50.3 billion over the three-week period as a result of the share price rally.

Analysts said that the counter has seen speculative trading by local investors attracted by the announcement earlier this year that the company is cleaning up its balance sheet by paying down accumulated losses of Sh5.88 billion.

The Company Act bars an institution from paying dividends if it has accumulated losses.

“There is no special market action driving the rally, other than the balance sheet cleanup that has some investors seeing the prospect of resumption of dividend payments. The demand has come from local investors, particularly fund managers,” said Melody Ndanu, a research analyst at Standard Investment Bank.

Britam shareholders approved a resolution to use part of its share premium of Sh13.2 billion to clear the accumulated losses during the firm’s annual general meeting in May, clearing the way for a resumption of dividend payments.

Share premium represents the excess amount paid by investors for newly issued shares above their par value. Reduction in share premium does not affect shareholding of a company, ort its equity position.

Prior to dipping into the premium, Britam, had been relying on dividends from its subsidiaries to cut back the accumulated losses over a five-year period, given that it is not an operating entity.

Britam operates life assurance, general insurance and asset management in seven countries, including Kenya, Rwanda, Uganda, Tanzania, South Sudan, Mozambique and Malawi.

The company has now gone for six years without paying dividends, but its managing director Tom Gitogo said in March that extinguishing the accumulated losses would open the door to a payout this year, possibly an interim dividend.

The company reported a 10 percent growth in net profit for the year ended December 2025 to Sh5.5 billion, up from Sh5 billion in 2024.

Among the six listed insurers at the NSE, only Britam and Sanlam Allianz Holdings failed to pay a dividend in 2025. Sanlam Allianz reported a net profit of Sh838 million last year, but has not paid a dividend for 12 straight years.

The other listed insurance firms have recorded lower gains compared to Britam in the year-to-date. Kenya Re has a gain of 18 percent to Sh3.55 per share since the beginning of the year, while Jubilee Holdings’ share price has appreciated 12 percent to Sh375.50.

Sanlam Allianz Holdings is up three percent to Sh8.72 per share, CIC Insurance is flat at Sh4.56 and Liberty Holdings has shed 10 percent to trade at Sh9.10 per share.

Overall, only Britam and Car and General have recorded share price gains above 100 percent this year, with the next best performers being I and M Group (63 percent), Uchumi Supermarkets (62 percent) and Kenya Airways (61 percent).

The bourse has added Sh959.6 billion or 33 percent in investor wealth in the period, partly boosted by the new listings of Kenya Pipeline Company (KPC) and Family Bank which have injected a combined Sh206.7 billion in new wealth into the market.Charles Mwaniki

cmwaniki@ke.nationmedia.com

Insurance firm Britam’s share has jumped to an 11-year high of Sh19.95 after rallying this month on expectations among investors that the company will resume paying dividends after a six-year drought.

The company’s stock has gained 60 percent in the last three weeks, double the gain it had made in the first six months of the year. Its year-to-date gain of 119 percent is only second to Car and General (136 percent) among the top performing stocks at the Nairobi Securities Exchange (NSE).

The company’s market capitalisation -the measure of investor wealth-has now risen by Sh18.7 billion to Sh50.3 billion over the three-week period as a result of the share price rally.

Analysts said that the counter has seen speculative trading by local investors attracted by the announcement earlier this year that the company is cleaning up its balance sheet by paying down accumulated losses of Sh5.88 billion.

The Company Act bars an institution from paying dividends if it has accumulated losses.

“There is no special market action driving the rally, other than the balance sheet cleanup that has some investors seeing the prospect of resumption of dividend payments. The demand has come from local investors, particularly fund managers,” said Melody Ndanu, a research analyst at Standard Investment Bank.

Britam shareholders approved a resolution to use part of its share premium of Sh13.2 billion to clear the accumulated losses during the firm’s annual general meeting in May, clearing the way for a resumption of dividend payments.

Share premium represents the excess amount paid by investors for newly issued shares above their par value. Reduction in share premium does not affect shareholding of a company, ort its equity position.

Prior to dipping into the premium, Britam, had been relying on dividends from its subsidiaries to cut back the accumulated losses over a five-year period, given that it is not an operating entity.

Britam operates life assurance, general insurance and asset management in seven countries, including Kenya, Rwanda, Uganda, Tanzania, South Sudan, Mozambique and Malawi.

The company has now gone for six years without paying dividends, but its managing director Tom Gitogo said in March that extinguishing the accumulated losses would open the door to a payout this year, possibly an interim dividend.

The company reported a 10 percent growth in net profit for the year ended December 2025 to Sh5.5 billion, up from Sh5 billion in 2024.

Among the six listed insurers at the NSE, only Britam and Sanlam Allianz Holdings failed to pay a dividend in 2025. Sanlam Allianz reported a net profit of Sh838 million last year, but has not paid a dividend for 12 straight years.

The other listed insurance firms have recorded lower gains compared to Britam in the year-to-date. Kenya Re has a gain of 18 percent to Sh3.55 per share since the beginning of the year, while Jubilee Holdings’ share price has appreciated 12 percent to Sh375.50.

Sanlam Allianz Holdings is up three percent to Sh8.72 per share, CIC Insurance is flat at Sh4.56 and Liberty Holdings has shed 10 percent to trade at Sh9.10 per share.

Overall, only Britam and Car and General have recorded share price gains above 100 percent this year, with the next best performers being I and M Group (63 percent), Uchumi Supermarkets (62 percent) and Kenya Airways (61 percent).

The bourse has added Sh959.6 billion or 33 percent in investor wealth in the period, partly boosted by the new listings of Kenya Pipeline Company (KPC) and Family Bank which have injected a combined Sh206.7 billion in new wealth into the market.

The world’s largest asset management firms, like Janus Henderson and BlackRock, are seeking a piece of the Kenyan business through local partnerships, expanding domestic investors’ access to offshore markets.

UK-based asset management firm Janus Henderson has become the latest major player to enter the Kenyan market through a strategic partnership with the AXYS Group, joining other global household names like BlackRock and Vanguard.

Janus Henderson has become the latest major player to enter the Kenyan market through a strategic partnership with the AXYS Group, joining other global household names like BlackRock and Vanguard.

The collaboration establishes a direct channel through which institutional and private investors can access offshore funds managed by Janus Henderson.

The move reflects a broader industry shift where Kenyan investment banks and fund managers are pushing for offshore investments in response to investors changing preferences for hard currency and geographically diversified portfolios.

The local players have evolved to either create their own active offshore-focused funds or leverage partnerships with already established firms in the global arena.

Digital investment platform Ndovu Wealth Management, for instance, offers access to global equities and exchange-traded funds (ETF) in markets like the US through collaborations with asset managers, including BlackRock and Vanguard.

The firm’s platform functions as a gateway to institutional-grade funds, allowing Kenyans to access global financial markets like ETFs and fractional shares of firms such as Apple and Nvidia at a significantly lower entry cost.

BlackRock has an asset base of $15.3 trillion, covering mostly inflows across its ETFs, while Vanguard’s AUM is tabulated at $12 trillion.

Both fund managers count millions of investors across the globe and their assets under management are more than 100 times the size of Kenya’s GDP.

AXYS Investment Bank, formerly AIB-AXYS stock brokerage, has created an integrated cross-border platform which combines execution, custody and advisory capabilities.

Janus Henderson deploys an active investment framework anchored on fundamental research, portfolio discipline and vigorous risk assessment.

The strategies deployed cover global equities, fixed income and multi-asset allocations, designed to respond to shifts in monetary policy, liquidity conditions and regional growth trends.

“Investor allocation is increasingly influenced by the need to manage currency exposure and navigate divergent economic cycles. This partnership introduces an additional set of tools for constructing portfolios that are responsive to those conditions while remaining grounded in disciplined investment processes,” said Bansri Pattni, the chief executive of AXYS Investment Bank.

The firm says the partnership will help it support allocations beyond domestic markets while maintaining alignment with local regulatory requirements.

The asset manager was set up in 1934 as Henderson Administration before merging with the Denver-founded Janus Capital in 2017. The firm estimates its assets under management (AUM) at £366.7 billion and has 26 offices globally.

Three-quarters or 65 percent of the firm’s AUM is in North America, while 26 percent of assets are in Europe, the Middle East and Africa, with the balance in the Asia Pacific region.

Nearly half, or 49 percent, of the assets are held by intermediary investors, while 32 percent of the AUM is held by institutional investors and the remaining share is held by retail investors.

The introduction of Janus Henderson funds in Kenya forms part of AXYS Investment Bank’s broader approach to developing its offshore investment offering through the inclusion of third-party asset managers, alongside leveraging its internal capabilities.

Most local fund managers have opted to explore offshore markets by leveraging internal capabilities, launching multi-asset funds and dollar-denominated investment vehicles to attain the goal.

Most of the products created sit under the collective investment schemes/unit trusts ecosystem, including dollar-denominated money market funds (MMFs), fixed income and equity funds and special funds.

Investment banks in Kenya have leveraged their expertise to transition into fund management, unveiling unit trust businesses to join a ‘gold-rush’ underpinned by strong interest in pooled investments by Kenyans.

The number of investment banks in the unit trusts space has more than doubled over the last five years to 10, from four previously as of March 2026, as per an analysis by this publication.

Janus Henderson counts the partnership with AXYS Investment Bank as an important step in growing its African footprint.

“This partnership is an important step in our strategic expansion across Africa, underscoring our long-term commitment to the region,” said Meshal Jaber, a Managing Director and the asset management firm.

Cecilia Nyathira Wanjiru, Roba Hassan Boru Abdinur and Mohammed Juma Guyo believed they had mounted a compelling defence against the attempt by the government to seize their vehicles. They were wrong.

The Assets Recovery Agency (ARA) moved to the High Court in February 2025, seeking orders for the three to forfeit six vehicles, saying they had been acquired from proceeds of marijuana trade.

Investigators trailed some of the money to Ruth Atieno Ouma, whom the agency described as a convicted drug trafficker, though her conviction was quashed on appeal.

Wanjiru, Abdinur and Guyo insisted the vehicles had been acquired using income from legitimate businesses.

Wanjiru said she was a poultry farmer who also operated Philsteph and Mukuyu-ini Bars.

Boru said his wealth came from Misra Shop, watermelon farming, motor vehicle hire, transport contracts and a textile wholesale and retail business he operated with his wife.

Guyo told the court his income was from livestock trade, meat distribution, grain, rice and sugar brokerage, taxi operations as well as an interior design and furniture resale business run with his wife.

The High Court, however, sided with the ARA, ordering the National Transport and Safety Authority to transfer ownership of the six vehicles to the State, in a decision that underscores a key principle in civil asset recovery cases: it is not enough to demonstrate that you have a business as a source of income.

The owner must also produce credible financial records showing the business generated sufficient legitimate income to acquire the assets in question.

Justice Rose Edwina Atieno Ougo said the ARA established a consistent pattern of unexplained wealth, structured cash deposits, movement of funds between known associates and use of third-party accounts.

There was no corresponding legitimate income, supporting documentation was unverified and direct links between some of the vehicles and narcotics trafficking were established.

‘The respondents’ explanations, though elaborate, largely remained uncorroborated by documentary evidence,’ Justice Ougo said in a decision rendered on July 14, 2026.

‘Their explanations amounted largely to assertions unsupported by audited financial statements, tax compliance records, verifiable business accounts or other credible commercial records demonstrating lawful acquisition of the assets.’

The vehicles that were ultimately forfeited were a Toyota Prado, Toyota Fielder, Toyota Rumion, Toyota HZJ79R pick-up, Toyota Station Wagon and a Mitsubishi Fuso truck.

In an affidavit by Mohamed Hussein, a police officer attached to the ARA, the fateful day was on July 6, 2024, when the agency was alerted that Abdinur and Guyo had been arrested on suspicion of transporting narcotics from Wanjiru’s home.

Abdinur and Guyo would lead police officers to Wanjiru’s houses in Kiganjo, Makongeni, Thika, where a search of the premises and the Toyota Rumion found 38 bales of ‘dry plant material packed in six sacks’.

Upon analysis, the substance turned out to be Cannabis sativa. An additional bale was found in Wanjiru’s house, the ARA said.

The substances were 182.15 kilos and 1.95 kilo, respectively. The market value for the cannabis was more than Sh5.5 million.

The judgment stripped Wanjiru of her Toyota Fielder, Boru of four vehicles – Toyota Rumion, Toyota Prado, Toyota HZJ79R pick-up and Mitsubishi Fuso – and Guyo of his Toyota Station Wagon.

Wanjiru said she bought the car using savings from her poultry business and two bars, supplemented by bank loans. She produced business permits.

The court, however, found that she failed to provide audited accounts, tax returns, sales records, inventories or bank reconciliations to prove the businesses generated enough income to buy the car.

It also found unexplained cash movements through her M-Pesa and bank accounts immediately before the purchase.

Abdinur said he acquired the four vehicles using proceeds from Misra Shop, watermelon farming, transport contracts, textile trading and bank financing.

He maintained that one vehicle was sold to fund the purchase of another and that asset-financing loans paid for the rest.

The court found inconsistencies in his explanation, including the Toyota Rumion being bought before the vehicle was allegedly sold to finance it.

It also cited Sh13.5 million received from Mrs Ouma, questioned the rapid loan repayments, found no tax records or audited accounts and ruled that the business permits he relied on were forged.

Mr Guyo said his Toyota Station Wagon was bought using income from livestock trading, meat distribution, grain, rice and sugar brokerage, taxi operations and an interior design and furniture resale business.

He produced livestock movement permits and insisted the documents seized during police raids would have further supported his case.

The court was unconvinced, finding no audited accounts, tax records, invoices or other commercial records linking the businesses to the purchase of the vehicle.

It also found no evidence of payment to the alleged seller and held that the documents produced did not satisfactorily explain the source of the funds used to acquire the car.

The ARA said the woman and two men did not operate any legitimate businesses capable of generating sufficient income to acquire the motor vehicles.

‘Analyses of their bank accounts disclosed substantial cash deposits linked to persons suspected of engaging in narcotics trafficking, including one Ruth Atieno Ouma,’ the court said.

Mrs Ouma and her husband, Tom Ouma Aero, had been sentenced to 25 years in prison and fined Sh33.2 million each after being convicted of trafficking cannabis in 2024.

However, High Court judge Diana Kavedza quashed their convictions and set them free on January 27, 2025 after she found the prosecution failed to prove beyond reasonable doubt that the couple had engaged in drug trafficking.

In the case against the three, the court insisted that ARA’s was not a criminal trial on their involvement in drug trafficking, whose standard of proof was beyond reasonable doubt.The judge noted that all that was required of them was to demonstrate how they lawfully came into possession of the assets in question.

Sugar imports under a special East African Community (EAC) tax for the manufacture of various industrial products, including whisky, gin, soda, milk drinks, and drinking chocolate, have surged significantly as firms service bigger product demand.

The latest Stanbic Bank Kenya Purchasing Managers’ Index (PMI) shows that private sector activity improved in June 2026 amid higher employment-an indication of improved orders for players including manufacturers.

In the latest round of approvals, 17 Kenyan firms have been cleared to import 99,960 tonnes of industrial sugar under the EAC-wide duty remission scheme, which attracts a payable rate of 10 percent duty. This is a significant increase in volume compared to the previously approved import consignment of 43,000 tonnes.

‘A remission of import duty is approved for Kenya for the following manufacturers on the specified quantities of sugar for industrial use to apply a duty rate of ten percentum (10 percent) for twelve (12) months,’ Rebbeca Kadaga, Chairperson of the Council of Ministers, said in a notice.

Mzuri Sweets Limited has been cleared to import 20,000 tonnes of industrial sugar for use in the manufacture of bubble gum, ball gum, lollipop, candy, toffee and soft candy while Almasi Bottlers Limited has won approval to import 16,000 tonnes of the commodity for production of carbonated soft drinks, energy drinks and juices.

Kenafric Industries Limited got clearance to ship in 15,000 tonnes of industrial sugar to produce chewing gum, hard-boiled candies, lollipop sweets, toffees, and icing sugar, while Kenya Sweets Limited received approval to import 12,000 tonnes for the manufacture of boiled and milk sweets, powdered tablets, icing sugar, caster sugar, cocoa products, and soft candy.

Others cleared to import industrial sugar include; Coastal Bottlers Limited (6,500), Premier Foods Limited (3,000), Brava Food Industries Limited (3,000), Candy Kenya Limited (3,000), SBC Kenya Limited (3,000), ROK Industries Limited (1,200), Kenya Breweries Limited (7,500), UDV (Kenya) Limited (4,000), Brookside Dairy Limited (1,800), Del Monte Kenya Limited (960), and Sierra Premium Breweries Limited (3,000).

The importation of industrial sugar under the EAC remission scheme is tightly regulated. As a precondition, every Kenyan manufacturer must be registered and maintain their registration as a manufacturer with the Sugar Directorate.

Similarly, every manufacturer, other than where that manufacturer only imports sugar from a Comesa Member State, must be gazetted under the EAC Customs Management Duty Remission Scheme.

Subject to the conditions above, the manufacturer will engage with a supplier and receive a pro forma invoice with which to apply for an Import Declaration Form.

The manufacturer must apply for pre-approval from the Sugar Directorate for each shipment of refined sugar, regardless of its origin. The application must state the origin, volume, quality and price of the sugar.

If the refined sugar originates from outside Comesa, the manufacturer shall apply to the National Treasury for authorisation for each shipment. This application must also declare the origin, volume, quality and price.

The African market accounted for more than two out of every five shillings earned from Kenya’s merchandise exports in the first quarter of 2026, highlighting the continent’s growing position as the country’s leading destination as regional demand rebounded after a difficult 2025.

The continent absorbed 41.7 percent of Kenya’s exports in the three months ended March, up from 36.9 percent in the corresponding period last year when shipments to several key regional markets weakened.

The latest share is the second-highest in at least nine years, surpassed only by the 43 percent recorded in the first quarter of 2023, and marks a significant rise from 33.7 percent in 2018.

The stronger regional purchases meant Africa generated nearly nine out of every 10 new export shillings earned by Kenya during the quarter, underscoring its role as the principal driver of the country’s export recovery.

This was after Kenya’s exports to African countries rose by Sh25.68 billion to Sh127.9 billion, accounting for about 85 percent of the Sh30.02 billion increase in the country’s total merchandise exports.

Overall merchandise exports increased 10.8 percent to Sh306.78 billion from Sh276.76 billion in the corresponding quarter last year, while exports to Africa expanded at more than twice that pace, rising 25.1 percent from Sh102.22 billion.

The broad-based rebound followed a difficult 2025, when exports to several of Kenya’s largest African markets declined, dragging the continent’s contribution to Kenya’s export earnings below the levels recorded a year earlier.

The improved performance comes despite longstanding logistical challenges that continue to constrain trade across the continent. African governments estimate underdeveloped transport networks increase the cost of goods and services by as much as 40 percent, reducing the competitiveness of intra-African trade compared with commerce involving Europe and other developed regions.

Investments, Trade and Industry Cabinet Secretary Lee Kinyanjui says reducing transport costs and transit times remains one of the biggest opportunities for accelerating trade under the African Continental Free Trade Area (AfCFTA).

“When you look at the entire continent of Africa, you realise that our greatest challenge is logistics. On average, if you want to take a product from Mombasa to say Ghana or any other country, it takes about 45 days. That is very long compared to other destinations,’ Mr Kinyanjui said in June.

‘We believe that in the area of logistics and trans-shipments, we can do more to encourage free trade in Africa.”

Uganda remained Kenya’s biggest export destination in Africa after purchases climbed 27.9 percent to Sh46.01 billion from Sh33.18 billion in the corresponding quarter last year.

The Sh12.83 billion increase in exports to Uganda accounted for almost half of the total growth in Kenya’s exports to Africa, underlining the west-neighbouring country’s position as a market for Kenyan manufactured goods, processed foods, pharmaceuticals and consumer products.

The Democratic Republic of Congo recorded the fastest growth among Kenya’s leading African export destinations, with purchases jumping 73 percent to Sh11.88 billion after falling in the corresponding quarter last year.

Exports to Tanzania rebounded 18.7 percent to Sh17.94 billion after declining in 2025, while shipments to Rwanda increased 15.6 percent to Sh10.70 billion. Exports to Egypt also recovered, rising 39.7 percent to Sh8.98 billion, although they remained below 2024 levels.

The recovery across Kenya’s five largest African markets suggests regional demand strengthened broadly rather than being driven by a single destination, offering traders and manufacturers a more diversified base for export growth.

The stronger exports widened Kenya’s goods trade surplus with Africa to a record Sh56.47 billion in the first quarter from Sh35.31 billion in the same period last year as export growth outpaced imports.

The latest surplus represents a near 60 percent increase from a year earlier and is the largest Kenya has recorded with the continent in at least a decade, highlighting the widening gap between the country’s exports to Africa and what it buys from regional markets.

The trade balance caps a turnaround in Kenya’s trade relationship with Africa over the past nine years. In the first quarter of 2018, Kenya ran a Sh4.33 billion merchandise trade deficit with the continent, importing more goods than it exported.

The balance swung to a modest Sh373 million surplus in 2019 before widening to Sh19.53 billion in 2020. It eased to Sh18.19 billion in 2021 and Sh14.89 billion in 2022 before accelerating to Sh37.33 billion in 2023 and Sh41.92 billion in 2024.

Although the surplus narrowed to Sh35.31 billion in 2025 after exports weakened across several of Kenya’s largest African markets, the latest figures show regional demand has rebounded enough to lift the balance well above previous highs, reinforcing Kenya’s position as one of the continent’s leading manufacturing exporters.

The data shows that Kenya exported Sh127.90 billion worth of goods to Africa while importing Sh71.42 billion, lifting total merchandise trade with the continent to a record Sh199.32 billion, compared with Sh169.13 billion in the corresponding period last year. The Kenya National Bureau of Statistics numbers show Africa remains one of the few regions where Kenya consistently enjoys a sizeable merchandise trade surplus, reflecting the country’s relatively stronger manufacturing base compared with many neighbouring economies.

While exports are becoming increasingly dependent on Africa, the opposite trend is emerging on the import side. Imports from African countries rose a modest 6.7 percent to Sh71.42 billion from Sh66.91 billion in the first quarter of last year, far below the pace of export growth.

As a result, Africa’s share of Kenya’s import bill fell to 9.6 percent from 10.5 percent a year earlier, the lowest level in the review period in at least a decade.

The decline extends a long-term trend. Africa supplied 13.5 percent of Kenya’s imports in the first quarter of 2018 before its share steadily declined as imports from Asia, the Middle East and other global suppliers expanded faster.

The contrasting trends underline the changing nature of Kenya’s trade relationship with the continent. While Africa has become increasingly important as a destination for Kenyan exports, it has become relatively less significant as a source of imports.

The divergence reflects Kenya’s growing dependence on African markets to absorb manufactured goods, while businesses continue sourcing petroleum products, machinery, electronics, industrial raw materials and other capital goods predominantly from suppliers outside the continent.

Despite accounting for less than one-fifth of Kenya’s total merchandise trade, Africa generated nearly 42 percent of export earnings while contributing less than 10 percent of imports, highlighting the continent’s disproportionate importance to Kenya’s external trade balance.

Africa’s share of Kenya’s total merchandise trade [exports and imports] stood at 18.95 percent during the quarter, largely unchanged from 18.53 percent a year earlier and close to the long-term average of about 19 percent.

That stability masks a significant structural shift. While Africa’s contribution to Kenya’s overall trade has remained largely unchanged, its role in the country’s exports has expanded markedly as its contribution to imports has steadily diminished.

In 2018, for instance, Africa accounted for 33.7 percent of Kenya’s export earnings and 13.5 percent of imports. By the first quarter of 2026, those figures had shifted to 41.7 percent and 9.6 percent, respectively.

The widening gap suggests Kenya is steadily strengthening its competitive position in African markets, even as domestic industries remain reliant on suppliers outside the continent for many industrial inputs and consumer goods.

The latest figures underline the economic gains that could be unlocked if investments in transport corridors, border infrastructure and logistics lower the cost and time of moving goods across the continent.

SafariLink Aviation has expanded its fleet with a new Cessna Grand Caravan EX aircraft, betting on sustained growth in Kenya’s tourism sector and rising demand for flights to the country’s premier safari destinations.

The new aircraft brings the airline’s fleet to 17, comprising 12 Cessna Grand Caravans and five Dash 8 aircraft, strengthening the carrier’s capacity on domestic safari routes.

The airline said the additional aircraft will improve scheduling flexibility, enhance operational capacity and support growing passenger demand.

“This latest fleet addition reflects our continued investment in growth and our commitment to providing dependable air transport services across our network. The Cessna Grand Caravan has proven to be an exceptional aircraft for serving regional and remote destinations, and the arrival of 5Y-SLS further reinforces our ability to meet increasing customer demand while supporting connectivity and economic development,” said SafariLink Chief Executive Alex Avedi.

The expansion comes as Kenya continues to record robust growth in international tourist arrivals, boosting demand for domestic air travel to wildlife destinations.

Mr Avedi told the Business Daily that the airline’s latest investment is primarily aimed at increasing capacity on its safari network, where demand has remained strong.

“This is to augment capacity on our safari routes. We’re simply adding capacity to meet growing demand,” he said.

He attributed the fleet expansion to the sustained recovery and growth of Kenya’s tourism industry.

“There’s been strong tourism growth in Kenya over the last three years,” Mr Avedi said.

According to the airline, the additional Caravan EX will support flights to key destinations, including the Maasai Mara and Amboseli. It will also serve the recently launched routes linking the Maasai Mara with Mombasa and Diani via Ukunda Airstrip.

The CEO noted that the Maasai Mara remains the busiest safari destination on the airline’s network.

The High Court has blocked the Ethics and Anti-Corruption Commission (EACC) from investigating Kenya Tea Development Agency (KTDA) over commodity loan arrangements involving two tea factories, ruling that the anti-graft watchdog has no role in investigating private entities.

Justice William Musyoka said KTDA is a private entity and that the EACC lacked jurisdiction to investigate the contested commercial transactions because they did not involve public officers, public funds, public resources or bribery.

At the centre of the legal dispute was the EACC’s March 31, 2026 notice requiring KTDA Management Services, KTDA Holdings and acting Chief Executive Francis Miano to surrender documents on commodity loan facilities involving Michimikuru Tea Factory in Meru and Litein Tea Factory in Kericho. The commission warned that failure to comply would attract criminal sanctions.

But the court quashed the notice and barred the commission from pursuing the investigation in its current form.

“If the allegations of corruption do not relate to bribery, but to other forms of corruption, then the respondent would have no mandate to conduct an investigation into such, as that would fall under the mandate of the police, specifically the Directorate of Criminal Investigations,” Justice Musyoka said.

KTDA is owned by more than 600,000 smallholder tea farmers across 16 tea-growing counties. The farmers own 54 tea companies and more than 71 factories managed by KTDA subsidiaries, making the agency the country’s largest manager of smallholder tea processing and marketing operations.

Tea remains one of Kenya’s leading foreign exchange earners. There is long-running debate over whether the farmer-owned tea agency should be treated as a private or public body.

The court also noted there was nothing preventing the DCI from handling the matter. KTDA had told the court that the DCI was already investigating the disputed commodity loan arrangements and should be allowed to continue with its inquiry without interference from the EACC.

The dispute began in February when the EACC wrote to KTDA seeking original documents relating to commodity loans advanced to the two factories during the 2022/23 and 2024/25 financial years.

The commission said the documents were needed to investigate alleged corruption in the operation of the loans. It argued that the allegations disclosed economic crimes and that its mandate was not limited to public entities.

Investigator Ishmael Nyamache told the court that “the mandate of the Anti-Corruption and Economic Crimes Act is not limited to public entities and public officers” and argued that Parliament did not intend to restrict the EACC investigations to cases involving public resources.

KTDA rejected the request, saying it is a private company and that the loans were private commercial transactions rather than dealings involving public money.

“There is an active inquiry, by the Directorate of Criminal Investigations,” KTDA told the court, adding that the police should be allowed to discharge their duties “without undue interference” from EACC.

Justice Musyoka found that EACC’s notices referred only to allegations of corruption and economic crimes linked to the commodity loans.

“I have gone through the documents placed on record by both sides. All of them refer to ‘investigating allegations of corruption in the operation of commodity loans’ and ‘economic crimes and offences’. None of them make reference to bribery,” he said.

The judge further held that although the Anti-Bribery Act allows the EACC to investigate bribery involving both public and private entities, no allegation of bribery had been made in this case.

“Any purported investigations, by the EACC, of the applicants, on anything that has nothing to do with bribery, would be ultra vires and in excess of mandate,” said the court, allowing KTDA’s application to quash the EACC’s notices.

From demanding bosses to money troubles and sleepless nights, ashwagandha has gained popularity as a remedy for everyday struggles.

The herbal supplement is increasingly being touted as a way to beat stress, improve sleep and cope with the pressures of modern life.

‘I was going through peri-menopause [which usually begins between ages 40 and 44] and was irritable. My mind would wander and I would toss and turn in bed,’ says Jackie, who chose to use one name.

‘Since I am studying herbalism, I did some research and, backed by testimonials from other women. I decided to try it.’

For the first week, she steeped ashwagandha powder in a cup of hot water and drank it every evening.

‘I wasn’t fully nonchalant, but my mind was calm. The small things that used to irritate me didn’t anymore, my mind didn’t wander as it used to, and I would sleep well. Even my children noticed the shouting had subsided,’ she says.

Jackie later encountered other users who said the herb made them feel emotionally detached or overly nonchalant, which prompted her to reduce her intake to twice a week.

‘I am still in my peri-menopausal stage, and use it now and then if need arises,’ she says.

‘I also take it whenever I feel overwhelmed by work, emotions or when I have a lot going on.’

One unexpected effect, she says, is becoming less preoccupied with other people’s affairs.

‘There are times I would get overly involved and do much more than I was supposed to,’ she says.

‘When I take ashwagandha, I don’t get too concerned about other people’s business, though it weighs down on me emotionally sometimes.’

Jackie’s experience mirrors the testimonials flooding social media. But even as the popularity of ashwagandha continues to soar, it is worth asking where the hype ends and evidence begins.

Dr Joseph Maitha, a pharmacognosist, says ashwagandha – scientifically known as Withania somnifera – is a herb that traces its origins to India, where it has been used in traditional medicine for many centuries.

‘It was mostly used to treat respiratory conditions such as asthma, coughs and colds, as well as skin ailments,’ he says.

‘It has traditionally been used in Kenya as well for many of the same conditions, but now there are modern uses that have been supported by scientific research.’

Among its most widely studied uses is its potential to help the body cope with stress.

Dr Maitha says this ability has earned ashwagandha the nickname ‘Indian ginseng’ because of its similarities to ginseng, another herb associated with helping the body adapt to physical and mental stress.

Dr Sospeter Njeru, the acting deputy director and centre head at the Centre for Community-Driven Research, and a principal research scientist at the Kenya Medical Research Institute (Kemri), says ashwagandha’s stress and anxiety-relieving effects are thought to work, at least in part, by helping to regulate cortisol, the body’s primary stress hormone.

Beyond stress relief, research has explored the herb’s potential in several other areas.

‘Studies have found that ashwagandha may boost physical performance and energy levels, though researchers are still unsure whether it helps build bigger muscles,’ Dr Njeru says.

‘It has also been associated with improvement in memory, concentration and mental sharpness.’

Dr Maitha adds that research has found that the herb may help reduce inflammation, fight certain bacteria, relieve pain and reduce fever.

Other studies have explored its potential to lower cholesterol and support the immune system.

‘Claims that it helps manage diabetes, however, remain less convincing,’ Dr Njeru says.

‘Animal studies have shown only modest effects compared with conventional diabetes medication.’

Researchers have also examined ashwagandha’s effects on reproductive health.

According to Dr Njeru, studies suggest the herb may improve male fertility by helping balance reproductive hormones and improving sperm count and movement.

It has also traditionally been regarded as an aphrodisiac. There is little research on whether it offers similar benefits for women’s reproductive or sexual health.

However, experts caution that while some benefits have been tested in people, much of the evidence still comes from animal studies.

While the findings are promising, ashwagandha should not be treated as a cure-all.

According to Dr Maitha, the herb is generally considered safe when taken in moderation and no major toxic effects have been widely reported at recommended doses.

It is commonly sold as a powder, capsule or tablet, with the root being the most widely used part of the plant.

‘You don’t have to take too much. Too much of everything is poisonous after all, even food,’ he says.

He also advises consumers to be mindful of where they buy their supplements.

‘There are concerns about contamination or adulteration, so don’t just get it from anywhere,’ he says.

‘Because many ashwagandha products are imported, they have to undergo quality control and standardisation to ensure they are free from contaminants such as harmful microorganisms and aflatoxins.’

Dr Njeru further emphasises the need for caution.

‘Most studies have found Withania somnifera to be generally safe, but there is still need to be cautious of the possible side effects,’ he warns.

‘This is especially true of people suffering from autoimmune diseases, hyperthyroidism and pregnant women.’

High doses have been associated with intestinal problems, drowsiness, and sedative effects.

Dr Njeru says it is not clear how ashwagandha may react with some medicines or other supplements. For that reason, he advises people taking prescription medication to speak to a healthcare provider before using the herb.

The Kenya National Highways Authority (KeNHA) will build 25 feeder roads for the 16.5-kilometre Nairobi Western Bypass, which runs through Kiambu County, as part of plans to improve mobility and access.

The roads include Roselyne-Kang’ururi-slaughter (1.6km); Slaughter-Gituamba-Gacharage (1.5km); Lily of Valley-Muya-Kagondo (1.5km); Lily of Valley-Muya-Christco (1.2km); Yamogo-Sacred Heart (3.5km); Gatwikira (1.5km); Kimachia/Mbari ya Njau (1.3km) and River Side-King’eero SDA (1.8km).

Others are Marugu (1.1km); ACK St Mark Tito (1.1km); Karura-Kanyungu (1km); Cura/Gatumumu (1.4km); Rungiri Primary-PCEA (1km); Ndongoro/Kahingaru (1.5km); Rukubi Kwa Mbau (1Km); Rubby/Gitaru (1km) and Ruthiboi/Kanyariri (1km).

‘The works under this project will comprise the upgrading to bitumen standards of the feeder roads in Kiambu County,’ KeNHA said.

Western Bypass is a four-lane dual carriageway that connects the Nairobi Southern Bypass in Gitaru to the Northern Bypass in Ruaka. It passes through Wangige, Kihara and Ndenderu, serving as the final ring road to decongest Nairobi.

It supplements three other bypasses around Nairobi, including the 28.6-kilometre road, which links Nairobi and Kiambu counties through Lang’ata and Kikuyu.

The city also has the 21-kilometre Northern bypass that connects Ruaka on Limuru Road to Ruiru on Thika Road and the Eastern Bypass.

The Northern Bypass traverses Runda, with an overpass spanning Kiambu Road, Thome estate, Kahawa West, Githurai and Ngumba estate before reaching its terminus.

The city is also serviced by the 39km dual carriageway Eastern Bypass that connects Mombasa Road at City Cabanas to the Ruiru-Kiambu Road on Thika Superhighway.

Besides the bypasses, the city is also serviced by the 27-kilometre Nairobi Expressway, running from Mlolongo to Westlands, with the government planning to build more such roads.

‘Major corridors, including the Northern Corridor and routes connecting Nairobi to Central and Eastern Kenya, are increasingly congested, impeding efficient movement,’ KeNHA said in April.

‘The government recognises the impact inadequate infrastructure has on economic growth and poverty reduction. It has begun to observe how infrastructure bottlenecks are hindering foreign and domestic investment.’

Last year, I joined a group of East African executives for a study visit to the Dangote Oil Refinery in the port town of Lekki, Nigeria. I wrote about it here and waxed lyrical about how the audacious $20 billion largest single-train refinery in the world was making global waves. We took another group last week.

It has been 16 weeks since the start of the Middle East war that led to the Strait of Hormuz closure and the subsequent massive disruption to the global oil supply chain. Yet no one is talking about how that disruption is being mitigated by a legit 100 percent African solution.

There is a delicious, almost poetic irony currently unfolding on the Atlantic coastline. For decades, Nigeria, a country practically swimming in crude oil, performed a spectacular feat of economic self-sabotage: exporting its raw crude only to buy it back as ridiculously expensive, foreign-refined petrol.

Enter Aliko Dangote’s $20 billion refinery complex in Lekki. A year ago, critics were convinced this mega-refinery was destined to join the long, tragic hall of fame of stalled African infrastructure projects. Instead, Africa’s richest man has spent the last year proving that money, sheer stubbornness, and a touch of geopolitical luck can bend global energy markets to your will.

Dangote Refinery successfully loaded a tanker with 300,000 barrels of gasoline and shipped its first gasoline cargo to the United States in August 2025. Yes, you read that correctly. America, the land of fracking and massive Gulf Coast refineries, is now buying finished petrol from a refinery in Lagos.

And if that doesn’t tickle your sense of economic irony, look at Europe. Verified trade data shows Dangote exported 100,000 barrels/day of jet fuel to Europe in April 2026, surpassing U.S. shipments during that period. For a continent that has historically looked down its nose at African industrial capability, flying on planes powered by Lekki-refined fuel must be a wonderfully bitter pill to swallow.

Locally, Dangote also fought the local oil importation cartels in a ‘Naira-for-crude’ deal with the government. The noble idea was that Dangote would buy local crude in Nigerian Naira and sell petrol back to the domestic market in Naira, saving the country’s battered foreign reserves. It was a beautiful dream. It lasted about as long as a New Year’s weight loss resolution.

Local crude supply bottlenecks forced Dangote to start importing massive amounts of American WTI Midland crude, which is about one-third of total crude inputs. Now, if you are buying raw materials in US dollars but selling your finished product in volatile Naira, you are essentially running a highly sophisticated charity. Consequently, Dangote transitioned domestic sales of petrol, diesel, and aviation fuel to US dollar benchmarked pricing.

While the world has been obsessing over his oil, Dangote has quietly been cornering another market: the global fertiliser trade. The existing Lekki fertiliser complex produces three million tonnes per annum (MTPA) of granulated urea. Armed with a fresh $600 million loan from the Africa Finance Corporation, Dangote is projecting to scale this empire up to 9 MTPA by 2028. Plans include a new 3 MTPA plant in Ethiopia. The end game? Generating over $4 billion annually in fertiliser exports.

The Middle East is currently a powder keg, and the threat of shipping disruptions around the Strait of Hormuz has global oil traders clutching their pearls. But as a seasoned Kenyan electricity user will tell you, a transformer crisis in Mbeere can magically translate into a transformer opportunity across the Nyandarua Ranges in Ol Kalou.

With traditional fuel shipping routes from the Middle East to Europe looking increasingly perilous, Dangote’s refinery, perfectly situated on the Atlantic seaboard, has become the ultimate ‘swing supplier.’ It can pivot cargos east or west at a moment’s notice to fill sudden shortages.

Furthermore, as global buyers get jittery about West African crude logistics amidst international turmoil, Dangote has stepped up as the ultimate local buyer, snapping up domestic Nigerian crude. At 610,000 barrels/day throughput (94 percent utilisation), the refinery is processing record volumes and selling finished products in USD to panicked western buyers. Dangote has turned global instability into a highly lucrative victory lap and rewriting the global trade routes – one tanker of gasoline and one bag of urea at a time.

Dangote has unassailably debunked the myth that Africans cannot do business at a global scale. He is disrupting traditional global oil supply chains and has pulled up a seat at the table. Uninvited.

Obviously the ‘owners of capital’ don’t like it. Expect them to make a lot of noise when he attempts the same derring-do infrastructure investment on the East African coast. And when an ‘environmentalist’ dog starts barking about a new refinery there, look closely for its owners. They sit uncomfortably at the same table that Dangote has just invited himself to.