Airtel loses fight against Safaricom’s 10 cents tariff

Airtel lodged a complaint with the competition watchdog over Safaricom charging voice calls for as low as 10 cents a minute, underlining the rivalry between Kenya’s top two telecoms operators.

The Competition Authority of Kenya (CAK) revealed that Airtel accused Safaricom of running a promotion with voice charges that were below the mobile termination rate (MTR), which is the rate mobile phone operators charge each other for calls made across networks.

Airtel reckons that Safaricom charged between Sh0.1 per minute and Sh0.3 per minute, arguing that it was below the MTR of Sh0.41 and termed the action predatory pricing, which hurts small operators.

Kenya Power to tap extra 200MW in power deal with Ethiopia

Kenya Power will take up an extra 200 megawatts (MW) of power in December 2026 under a power purchasing agreement (PPA) with Ethiopia to plug a gap in supply.

Kenya Power currently has a running 20-year PPA with the Ethiopian Electric Power (EEP), which was signed in 2022, allowing for the supply of 200MW of electricity priced at $0.65 cents per kilowatt hour (kWh), or approximately Sh84.03 per kWh.

‘We are taking up an additional 200 megawatts in December, at the same price. The 200 megawatts that Kenya is going to buy from Ethiopia from December, to bridge the generation and supply gap,’ David Syengo, General Manager in charge of network management, told Business Daily.

This means that from December 2026, Kenya Power will tap a total of 400MW of electricity under the agreement with EEP. Kenya will take up 400MW at peak times but cut uptake to 150MW during off-peak times. In the present PPA, Kenya Power takes up 200MW at peak times and 65MW off-peak.

This extension announcement comes at a time when power demand is actively surging in Kenya, outpacing supply of locally generated power.

Kenya’s peak electricity demand reached a record 2,439 MW in December 2025, driven by rising industrial use, urban growth, and new household connections. Domestic supply faces tightening margins, prompting increased reliance on regional imports and alternative commercial self-generation.

Industrial and large commercial customers account for over half of total unit sales. The critical window for maximum system pressure occurs daily between 1900 and 2100 hours.

Conversely, domestic generation reached 3.45 billion kWh in early 2026, but consumption grew faster at 9 percent year-on-year.

Intermittent renewable sources like wind and solar force occasional grid balancing and reliance on imports.

In recent years, Kenya has deepened its reliance on Ethiopia to avert blackouts and imported 1,274.42 gigawatt-hours (GWh) in the year ended June 2025.

The increased power shipments have made Ethiopia the third biggest source of electricity to Kenya Power with a share of 9.88 percent last year, behind Lake Turkana Wind Power at 9.97 percent and KenGen at 57.49 percent.

Kenya then turned to Ethiopia to prevent a full-blown crisis. The two countries signed a deal in 2022, paving the way for Ethiopia to supply up to 200MW of cheap power to the national grid.

Cheap hydropower from Ethiopia has helped Kenya to meet the fast-growing demand, without burdening consumers with steep bills in the past three years. Central to that transformation is the Grand Ethiopian Renaissance Dam (GERD), which has more than doubled the country’s installed electricity generation capacity over the past seven years, from 4,462MW to 9,752MW.

How farmers, transporters were denied cheaper fuel in new price cycle

Top consumers of diesel in Kenya, including the agricultural sector, road transport, industrial and power generation plants, have been denied cheaper fuel in the new pricing cycle to August 14, 2026, after the State opted to transfer potential price reliefs to petrol and kerosene products.

Fresh data shows that the landed costs of diesel fell 23.9 percent to $984.37 (Sh127,692.47) per cubic metre last month from $1,294.71 (Sh168,079.25) while petrol dropped one percent to $886.92 (Sh115,051.26) from $901.16 (Sh116,988.59) for the same quantity in the same period.

Landed cost is the total expense required to procure and deliver petroleum products before local taxes, distribution margins, and retail markups are added and has a direct influence on pricing.

Despite the significant drop in the landing cost of diesel, the State kept pump prices unchanged, denying consumers price cuts of at least Sh8.02 per litre in the latest prices that are in force until August 14. The expected drop in diesel prices was instead used to cross-subsidise petrol and kerosene prices.

The price of a litre of diesel, petrol and kerosene remained unchanged at Sh222.86, Sh214.03 and Sh191.38 respectively.

Homes and businesses are currently smarting from steep prices for goods and services, with inflation at 6.4 percent. A drop in fuel prices could have helped lower the cost of living.

Diesel is the major fuel powering farm machinery, industries and public transport, and its prices are critical in determining inflation-the cost of goods and services.

‘In the period under review, the maximum allowed petroleum pump prices for super petrol, diesel and kerosene remain unchanged,’ Joseph Oketch, the acting Director General of the Energy and Petroleum Regulatory Authority (Epra), says in the notice on new pump prices.

Landed costs are the single biggest determinants of pump prices in Kenya. Last month’s drop in landed costs of the three grades of fuel had set the stage for consumers to enjoy price cuts at the pump.

The pricing schedule released by Epra shows a subsidy of Sh5.08 and Sh14.72 per litre of petrol and kerosene, respectively. The Sh8.02 price cut per litre of diesel that consumers missed out on was instead used to cross-subsidise petrol and kerosene prices.

Additionally, the State tapped Sh945 million from the Petroleum Development Levy (PDL) kitty to subsidise petrol and kerosene prices.

The PDL kitty, which is funded by collections of Sh5.40 per litre of diesel and petrol and Sh0.40 for every litre of kerosene is nearly depleted mainly due to the steep subsidise applied since April in the wake of the US-Israel war on Iran, which led to skyrocketing prices of refined fuels.

The near depletion of the PDL kitty has since prompted the State to cross-subsidise and extend the eight Value Added Tax (VAT) rate by three months to October 14.

VAT on fuel was lowered from 16 percent to 13 percent on April 15. This rate then fell to eight percent as the State moved in to lower taxes on fuel and cushion consumers in the wake of the Middle East conflict.

A ceasefire between the US and Iran inked in April helped stabilise the global energy markets and the reopening of the critical Strait of Hormuz, which in turn eased global prices of fuel in May and June.

But the countries have since escalated the conflict with renewed attacks from last week, once again destabilising the global energy markets and triggering a rally in fuel prices.

Prices of Brent crude -the primary international benchmark- crossed the $85 (Sh11,026.20) per barrel mark on Tuesday in the wake of the renewed conflict, signalling tough days ahead for consumers.

Energy and Petroleum Cabinet Secretary Opiyo Wandayi has already warned that pump prices will rise in the coming months, reflecting the impact of the escalation of the US-Iran war.

‘With the restart of the Middle East crisis, international benchmarks have now begun to climb again, and this renewed pressure will be reflected in the pricing cycles that follow,’ Mr Wandayi said on Tuesday.

EAPC gives squatters 30 days to pay for plots or vacate

East African Portland Cement (EAPC) has given squatters occupying its Sh4.6 billion land 30 days to pay for the plots to regularise their ownership or vacate.

The company has asked persons with claims to the land to pay all amounts owed by August 15, 2026, as it ends the exercise to legalise land ownership by the squatters on July 28.

The cement manufacturer is expected to offer all unclaimed plots within the 909 acres parcel for sale to the public at market rates at the lapse of the notice period.

‘Having undergone through the regularization exercise since October 17, 2023, the company wishes to notify the general public that the period of the regularization shall close on July 28, 2026,’ EAPC said in a notice on Wednesday.

‘Those who participated in the exercise are therefore notified to pay all regularisation amounts by the said August 15, 2026, to enable us progress to tilting. Those who shall not have paid the regularisation amount are informed and required to vacate any plots they may be occupying forthwith.’

Payments for the regularised land payments are to be made to HFCB Properties Limited, which has served as a consultant for the exercise.

The company has been on a long process to regularise its land since 2023, which is registered under LR 8784/144, 8784/145 and 8784/653, measuring 909 acres which has been heavily populated with informal settlers.

These parcels have been held as investment property by the company and categorised as assets held for sale.

EAPC valued the land at Sh4.65 billion as at June 2024.

The company highlighted a total of 7,136 landholdings for disposal as of mid-2024 while 3,492 parcels were allocated to squatters who successfully met registration and deposit conditions.

A further 1,507 parcels were set aside for staff debt repayment, of which 251 parcels were offered to eligible staff members for the purpose.

EAPC noted that 2,127 parcels remained available for disposal through public bidding.

Auditor General Nancy Gathungu argued previously that the realisation of assets held for sale is dependent on the acceptance of settlement of offers to informal settlers.

‘The management asserts that the eviction cost would be or were likely to be substantial and opted for regularization of ownership by disposing the property to the current occupants at market rates,’ Ms Gathungu said.

‘As at the time of the audit, the company commenced the ownership regularization process, and some settlers had applied for allocation and paid deposit towards the acquisition of the occupied property.’

KCB Group finds itself in a similar position, as it seeks to unlock an estimated Sh7 billion from the disposal of 2,000 acres recovered from EAPC.

The land is also currently occupied by squatters including households, and businesses such as hotels and warehouses.

EAPC reached a deal with KCB to give up the land, in exchange for the settlement of a Sh6.8 billion loan.

The land had been invaded by squatters long before the pact was reached with KCB in 2019.

Performance secrets – energy, frequency and vibration

“If you want to find the secrets of the universe, think in terms of energy, frequency and vibration,” said inventor Nikola Tesla.

Ever wonder why some managers get a critical task done in five minutes, while others flounder complaining endlessly for five weeks, or five months later? Ever feel that despite a barrage of communication that some co-workers just don’t seem to be in sync?

Are Gen Z’s right to pull out of doing something when they say they ‘just don’t feel the vibe’? What can one of the greatest inventors of the 20th century teach us about performing at a high level? When you are anxious and fearful, is your mind on a higher frequency?

Alternating current (AC) electrical systems, allowing electricity to be transmitted efficiently over long distances and the ability of that phone [really a computer] in your pocket to operate by wireless electrical transmission exist, thanks to the ground breaking work of Nikola Tesla, more than a century ago.

A genius, way ahead of his time, his foundational innovations power the world today, and laid the groundwork for countless modern technologies. Born in 1856 in Croatia, this prodigy was almost airbrushed out of history, till an innovative electric car company was named after him.

Energy — Has your battery gone flat?

In business, energy is the ability of people and systems to get things done. Leading edge organisations manage energy rather than simply managing time. Amazon has extraordinary organisational energy because decisions are made quickly. Delays, procrastination, mindless bureaucracy have a detrimental impact on the performance of systems.

When you pass decisions up to your boss, who has to talk to his boss, that friction, saps energy, and risks nothing ever getting done. Empowerment means, giving staff the power, the energy to take action. [Paradoxically, the most powerful person is the one giving away their power.]

Kenyan startups — with time — can outperform large corporates because their energy is concentrated on one mission. Poor leaders drain energy, great managers create it. Helps to ask — Where is your organisational energy being wasted?

Frequency = Rhythm and Speed

Frequency can be interpreted as the rate at which an organisation learns, communicates, and adapts. Company frequency is shown by, for instance, rapid experimentation, monthly product releases, continuous customer feedback with daily operational dashboards in place.

Rather than doing ritual planning once every five years, leading firms create rapid feedback loops.

Market leaders like Google, Amazon and Tesla continuously adjust strategy based on data. In practice this high frequency means: more learning, faster adaptation, and insightful innovation. Systems thinker, Peter Senge called this creating a ‘learning organisation’.

As Tesla knew, most processes have a frequency, like your ability to see and hear depends upon the wavelength. Humans hear in the frequency range of 20 to 20,000 Hertz [Hz]. Even the earth has a frequency of in the range of 7.3 Hz.

When you are anxious and stressed, your mind’s brainwaves are at a higher frequency. For thousands of years, sages have realised the importance of calm and focus in the mind and consciousness for the ability to see clearly. Market leaders, Apple’s Steve Jobs, Ray Dalio of Bridgewater Associates, Marc Benioff of Salesforce – and thinkers like the ‘historian of the future’, Yuval Noah Harari know value being able to calm the mind and meditate. Question is, if you can’t control your mind, your thinking, what can you control?

Just like trying to tune into your favorite radio station, it helps to realise that our thinking works on various frequencies. Beta (14+ Hz) is our waking state of the conscious mind, used for everyday tasks and often scattered thinking.

Slowing down to Alpha (7 to 14 Hz) is the state of relaxation and daydreaming. Jose Silva believed 10 Hz is the optimal frequency for the brain to access deep intuition and visualise goals. An even slower frequency is Theta (4 to 7 Hz), the state of deep meditation, light sleep, and enhanced awareness. Last is Delta (0.5 to 4 Hz): the state of deep, dreamless sleep.

Vibration is organisational culture

Everything in an organisation creates a ‘vibration’. Often you can feel the vibe the moment you walk in the door of a company. Culture is the emotional atmosphere people experience.

Vibe of culture impacts levels of trust, creativity and risk-taking.

When the finance director Sarah says “It just feels different working here” she is describing the organisation’s vibration. Physics teaches that systems become powerful when they resonate. Everyone is ‘on the same bus’.

But beware, toxic workplaces will churn out the ‘great place to work and grow’ hype.

Learning from Nikola Tesla helps to ask: In energy – Where is time, talent, and resources being lost or amplified? For frequency – How quickly does the organisation sense, decide, and act? And in vibration – What behaviors, values, and cultural patterns shape performance?

Business boom for aquariums as demand up

The soft hum of a filter pump and the gentle movement of ornamental fish might seem far removed from the bustle of business. Still, for an increasing number of Kenyan entrepreneurs, aquariums are proving to be much more than just decorative items. They are becoming a thriving niche business, serving homes, offices, hotels, and corporate spaces.

Entrepreneurs such as Melvin Ondeyo (founder of MEL Aquariums) and Kenneth Mvati (founder of Fuzu Aquariums), have seen a steady rise in demand for custom fish tanks and aquatic installations over the years.

This has been driven largely by social media exposure, changing tastes, and growing awareness of the therapeutic benefits of aquariums.

Mr Ondeyo ventured into the business in 2019 after noticing unexpected interest in his home aquarium.

“We had our own aquarium at home, and after posting pictures of it online, I started receiving lots of enquiries. That’s when I realised there was a business opportunity there,” he says.

Unlike many businesses that target a specific income bracket, aquarium dealers say their products can be tailored to suit almost any budget.

“Initially, we were targeting everyone because aquariums come in different sizes and price ranges. Anyone can keep them, and anyone can afford them. Beyond business, aquariums are therapeutic,” says Mr Mvati, who started his business in 2014 after graduating from university.

The business primarily generates revenue through selling aquariums, although maintenance services, fish sales, accessories, and installations also provide additional income.

For MEL Aquariums, cleaning and servicing have become an increasingly important source of income.

“Aquariums need servicing and cleaning after about four weeks, so maintenance services contribute significantly to our revenues,” says Mr Ondeyo.

For Fuzu Aquariums, however, the tank itself remains the biggest earner.

“Our main source of revenue is aquariums. Anyone who buys from us gets free delivery and installation,” says Mr Mvati.

Aquarium ownership is becoming increasingly affordable.

According to Mr Mvati, ready-made aquariums start from around Sh10,000, depending on size and the accessories included.

Mr Ondeyo says a basic two-foot aquarium setup costs around Sh12,500 and comes with six fish, filtration equipment, lighting, and decorative materials.

“A standard package includes fish, a filter pump, lighting, gravel, plants and background décor,” he says.

Premium and custom installations can cost significantly more, depending on size and complexity. Most projects are tailor-made around available space and customer preferences.

“Everything is customised. We prefer to hear what the client wants and then deliver according to their vision,” says Mr Mvati.

One of the more memorable projects undertaken by Fuzu Aquariums was a 1,000-litre aquarium installation, which was one of the largest projects the company had ever handled.

“It was challenging, but we managed to pull it off successfully,” he says.

While hotels and office buildings are increasingly investing in aquariums to enhance the ambience of their reception areas, households remain the industry’s largest market.

Mr Mvati says around 80 percent of Fuzu Aquariums’ customers are households, with corporations accounting for the remaining 20 percent.

Mr Ondeyo also estimates that the majority of his clients are households, although offices and hotels are increasingly placing orders.

The growing popularity of ornamental fish is also changing customer preferences.

“People have become more knowledgeable about fish-keeping and want more than just goldfish,” says Mr Ondeyo.

One species gaining popularity is the Arowana, which he says has become a favourite among customers looking for premium options.

The internet and social media have emerged as major drivers of demand.

‘As people travel more and have access to information about what is happening elsewhere in the world, they want to own aquariums too,’ says Mr Mvati.

Social media has also transformed marketing and sales.

‘Most orders now come online,’ he says. “The rest come through referrals and word of mouth from existing customers.”

Mr Ondeyo says social media has enabled his business to attract clients beyond Kenya’s borders.

“We have managed to reach customers locally and even in neighbouring countries through social media marketing,” he says.

As well as aquariums, some businesses are branching out into related products and services.

Fuzu Aquariums, for instance, also designs fountains and water features for offices, corporate compounds, and landscaping projects.

“That market is still niche, but it is growing,” says Mr Mvati.

Despite the growing interest, operators say the business comes with unique challenges.

For aquarium manufacturers, glass remains one of the biggest expenses.

“The constant increase in glass prices is one of our biggest challenges because we make all our tanks from scratch,” says Mr Ondeyo.

Mr Mvati highlights the need for adequate workspace and technical expertise. “Glass comes in sheets, so you need enough space to store it and resize it according to customer orders,” he says.

Handling glass safely and accurately also requires experience. Demand can also fluctuate significantly throughout the year. “Sometimes the business is seasonal, with periods when orders slow down,” says Mr Mvati.

The seasonal nature of demand means that maintenance contracts often become an important source of recurring revenue. Fortunately for customers, owning an aquarium is not as expensive as many assume.

Mr Mvati estimates that maintenance can cost as little as Sh500 a month, with fish food accounting for the bulk of regular expenses.

“Maintenance costs can be about Sh3,000 in six months,” he says.

Mr Ondeyo also describes fish as being relatively low-maintenance pets. “Fish are generally cheaper and more durable than dogs,” he says.

Despite increasing competition, the sector continues to offer opportunities for aspiring entrepreneurs. Mr Mvati estimates that a newcomer would require at least Sh100,000 to set up a modest operation.

“There are many opportunities because the business is highly customisable. Success depends on understanding what clients want and delivering it,” he says.

Mr Ondeyo says that quality and consistency are ultimately what determine success in the sector.

“Reputation in this business is built through planning, perseverance and delivering quality products,” he says.

The relationship balance sheet

Kenya is not yet in an election season.

The ballot is still more than a year away. Yet the signs are already visible. Convoys are growing longer, meetings are multiplying, and friendships are quietly being formed long before they will be needed. Watching this familiar choreography, I found myself asking a question every founder should ask: How many of my own relationships were built the same way-before I became useful?

Founders face elections too. Ours simply happen every day. A funding round, a major contract or an industry award often triggers the same migration. The phone rings more often. Messages arrive from people who watched you struggle in silence but now remember they always believed in you.

This is not a complaint. It is an invitation to take stock.

Every founder understands a financial balance sheet. We know our assets, liabilities and cash flow. Yet few of us prepare another balance sheet-the one no auditor ever requests. Call it the relationship balance sheet.

Relationships, like businesses, generate value or impose costs. Some compound your life. Others quietly drain your energy, judgment and peace. A founder can appear surrounded by people while slowly going bankrupt in the relationships that matter most.

There are really two relationship balance sheets.

The first is built on convenience. It includes investors, customers, suppliers, partners, board members and the media. These relationships are essential because they open markets, unlock capital and create opportunity.

But they are transactional by design. An investor who walks away when the numbers deteriorate has not betrayed you; they have simply honoured the agreement. The mistake is expecting loyalty from a relationship that was never designed to provide it.

Many founders also know that convenience is not always optional. In environments where opportunities depend on proximity, some relationships are maintained because they are necessary. You learn to navigate gatekeepers and networks because survival demands it.

That is not hypocrisy. It is reality. Yet after enough seasons, every founder eventually confronts a difficult question: Am I building relationships to grow my business, or am I beginning to organise my life around people whose value is purely transactional?

The second balance sheet is built on covenant.

These are the people who remain after the headlines disappear.

The mentor who expects nothing in return. The sibling who never asks what the company is worth. The spouse who values your presence more than your success. The friend who visits after the business fails rather than after it succeeds. These relationships rarely produce financial returns, but they produce something even more valuable-resilience.

Every founder needs both balance sheets. Problems arise when we mistake one for the other.

Occasionally, however, the two overlap. A business relationship deepens into genuine friendship.

A professional adviser becomes a trusted confidant. A long-standing client begins to care about your wellbeing beyond the contract.

These relationships cannot be manufactured, but they can be nurtured. They remind us that not every professional relationship must remain transactional.

That possibility carries an important challenge. Covenant is not only discovered; it is also built. Some relationships simply require one honest conversation to move beyond business.

The investor you only call about financial results. The business partner whose personal story you have never taken time to understand. Not every relationship will evolve, nor should it. But ecosystems built entirely on transactions eventually produce transactional societies.

Relationships also change with seasons. In the discovery stage, founders need people who challenge their thinking more than those who applaud their ambition.

During the building stage, ideas become responsibilities and relationships require greater intentionality. As businesses scale, the question shifts from what you can build to what can survive without you. Eventually, stewardship replaces creation, and legacy becomes measured by what continues after your daily involvement ends.

These seasons are rarely linear. A founder can build, fail, reinvent and begin again. What determines how quickly they recover is often not financial capital but relational capital.

That is why founders should deliberately build relationship infrastructure. Just as businesses depend on roads, electricity and communications, entrepreneurs depend on people who perform different roles.

We need truth tellers who challenge our blind spots, calming voices who steady us during crises, fellow builders who understand the weight of payroll, experienced mentors who think in decades rather than quarters, and families who remind us that our identity existed long before our companies did.

The financial balance sheet may reset after a business failure. The relationship balance sheet is what determines how quickly you rebuild.

As the first half of the year closes, perhaps this deserves a quieter audit than our financial statements.

Who only appears when I become useful? Who still tells me uncomfortable truths? Who would answer my call if the company disappeared tomorrow? Which relationships are assets, and which have quietly become liabilities?

Companies fail when they run out of capital. Founders fail when they run out of relational capital. One appears on the balance sheet. The other determines who remains when there is nothing left to gain.

Why Africa’s climate challenge should be an investment opportunity

There is a familiar pattern to conversations about climate adaptation in Africa. They usually begin with the billions of dollars needed to help the continent respond to increasingly frequent droughts, floods and other climate-related shocks. Before long, attention shifts to the widening financing gap and the urgent need for more public and private investment.

These are necessary discussions. Yet after participating in the Adaptation Investment Summit for Africa (AISA) 2026, I found myself asking a different question: What exactly are we asking capital to invest in?

For years, climate adaptation has largely been framed as a financing challenge. But investors rarely allocate capital simply because a problem is urgent.

They invest where opportunities are commercially viable, risks are understood and investments can generate sustainable returns.

If Africa is to attract significantly more private capital into adaptation, then adaptation itself must increasingly be presented as an investment opportunity rather than simply a funding need.

That perspective shaped many of the conversations at AISA 2026. A climate-resilient transport corridor is more than a road built to withstand floods. It is an economic asset that lowers transport costs, connects producers to markets and strengthens regional trade.

A climate-smart warehouse does more than protect agricultural produce; it reduces post-harvest losses, improves productivity and increases the value of agricultural supply chains.

Modern irrigation systems, cold chains and digital trade platforms help communities adapt to climate change while creating commercial value, generating revenue and supporting jobs.

One discussion challenged participants to view trade itself as a climate adaptation strategy. When farmers can sell to regional markets instead of relying on a single drought-affected market, they become less vulnerable to local shocks.

Efficient border systems that keep perishable goods moving protect incomes and strengthen food security. Resilient transport networks ensure that food, inputs and businesses continue moving during disruption. In this sense, trade is not simply about moving goods across borders; it is about helping people and economies adapt.

The summit also reinforced another lesson. Climate-resilient trade corridors are not built through infrastructure alone. Roads and border posts must be supported by finance that enables businesses to grow, technology that improves efficiency, policies that reduce barriers to trade and institutions that give investors confidence. Investors ultimately back systems, not isolated projects.

Africa will continue to need substantial public and development finance to respond to climate change.

But if adaptation is to move beyond pilot projects and reach the scale the continent requires, equal attention must be given to building investment-ready markets. After all, capital does not flow simply towards need. It flows towards opportunity.

Why Kenya’s economic breakthrough needs better systems, not more funds

In the early 2000s, the Oakland Athletics transformed one of baseball’s smallest budgets into sustained success through the now-famous “Moneyball” strategy.

Rather than chasing more resources, the club focused on using what it already had more efficiently through data, measurement and disciplined decision-making.

That lesson extends well beyond sport. Often, the greatest gains come not from acquiring more assets, but from making existing systems work better. It is a lesson Kenya could apply as it pursues faster economic growth.

Economic discussions often revolve around attracting more investment, building new infrastructure or increasing public spending.

While these remain important, Kenya already possesses many of the ingredients needed for growth: a strategic location, a sophisticated financial sector, strong digital infrastructure and an entrepreneurial population. The bigger opportunity may lie in improving the efficiency of the systems that support investment.

Singapore provides a compelling example. Despite limited natural resources, it built prosperity through efficient institutions, well-integrated infrastructure and disciplined execution. Housing projects were linked to transport, utilities, finance and commercial centres, creating not only homes but also an engine for investment, productivity and job creation.

Kenya’s Affordable Housing Programme offers similar potential. But its success depends not only on construction, but also on the efficiency of the processes that support investment.

Land registration, development approvals, valuations and charge registration all determine how quickly capital moves through the economy.

Even small administrative delays can have significant consequences. I recently observed a lease transaction worth about Sh100 million delayed for months because of an incorrect entry on Ardhisasa.

The error was relatively simple to fix, yet the absence of a fast resolution mechanism delayed investment and postponed about Sh3 million in government revenue from stamp duty and registration fees. The delay also affected related transactions tied to the same development.

This illustrates a broader point. Every delay in approvals, permits or registrations keeps capital idle, slows business expansion and postpones job creation.

Kenya’s next economic breakthrough may therefore come less from finding new resources than from improving execution.

By measuring performance, removing bottlenecks and strengthening coordination across government, the country can unlock significant economic value. Like Moneyball, success may depend not on having more resources, but on using existing ones far more effectively.

Tribunal curbs KRA’s power to reopen ‘expired’ tax records

The findings emerged from a tax dispute that started after KRA conducted a physical stock verification at Almasi Bottlers’ Nyeri and Eldoret plants in March 2025 before issuing an additional excise duty assessment.

The beverage manufacturer challenged the decision after KRA confirmed the assessment through an objection decision issued in August 2025.

Almasi, an affiliate of the Coca-Cola group, argued that KRA wrongly relied on inflation-adjusted excise duty rates introduced through Legal Notice No. 217 of 2021 despite High Court conservatory orders preserving the previous rates during ongoing litigation.

The company also disputed KRA’s reliance on records relating to accidental breakages and DEFCO sales dating back to 2018 and 2019, arguing those periods had become statute-barred.

The tribunal rejected Almasi’s challenge to the excise rates, finding KRA lawfully applied the revised rates after the High Court lifted the conservatory orders on August 26, 2024.

“It is thus clear that the said assessment was issued after the orders of stay had been lifted. Accordingly, the Respondent did not disregard or disobey the stay orders,’ the tribunal said.

However, the judges agreed that KRA exceeded its statutory powers by relying on records older than five years without alleging fraud or deliberate tax evasion.

“The law is thus clear that assessment can only go back five years, and a taxpayer is also only required to keep records for a period of five years,” the tribunal said.

It added, ‘Any assessments or records demanded for the years 2018 and 2019 related to adjustments and sales were unlawful and statute-barred unless fraud, wilful neglect, or tax evasion was pleaded and proved.’

The tribunal found none of those grounds had been pleaded or established. It therefore ordered KRA to set aside assessments dependent on records predating March 2020, uphold assessments covering March 2020 to April 2025, and issue a fresh objection decision within 30 days.

The case stemmed from a stock variance identified during KRA’s audit, after Almasi manually adjusted production volumes in its excise returns to offset higher inflation-adjusted rates already configured in the iTax system, while the court challenge remained pending.

The company argued it had acted to ensure the correct duty remained payable while the conservatory orders remained in force.

KRA countered that the manual adjustments created a discrepancy of more than 3.9 million litres between declared stock and physical inventories, justifying the additional assessment.

Before the hearing, both sides settled part of the dispute through alternative dispute resolution, leaving only the Sh25 million assessment arising from the inflation-related stock variance to be determined.

The tribunal also faulted Almasi for failing to place key supporting documents before KRA during the objection stage, saying taxpayers cannot rely on evidence first introduced during an appeal.

“The appellant has engaged in mere assertions in this appeal without providing evidence,” the tribunal said, adding that, “a mere statement in pleadings is not evidence.”