Category: Business Daily

Kenyan firms plan to increase the number of full-time employees in the final quarter of the year to support heightened activity anticipated during the festive period, a new Central Bank of Kenya (CBK) survey shows.

The survey findings show more respondents expect improved business activity in the fourth quarter, with higher demand orders, sales, production volumes, and employment levels projected as consumer spending and sectoral activity rise heading into the holiday season.

A trader in locally produced rice has sued the State over a gazette notice authorising the importation of 500,000 tonnes of the staple food duty-free, between July 28 and December 31.

Frankline Ojiambo says the directive to authorise duty-free importation of the rice was made without public participation and that the only entity consulted was the Kenya National Trading Corporation (KNTC), which is also the designated importer.

The Two Rivers International Finance and Innovation Centre (Trific) has been designated a project of strategic national importance, allowing it to bypass Nairobi County in seeking development approvals, instead obtaining them directly from the national government.

The designation, announced by the State Department for Lands and Physical Planning under the Ministry of Lands, Public Works, Housing and Urban Development, effectively places the 64-acre Two Rivers Special Economic Zone (SEZ) under the direct supervision of the national planning authorities.

Sales of new vehicles have bounced to the strongest levels in six years on the back of falling lending rates, a stable exchange rate and renewed business confidence that has lifted demand for commercial units.

Data from the Kenya Motor Industry Association (KMIA) shows that new vehicle sales rose 24.56 percent in the first nine months of 2025 to 9,924 units from 7,967 units in the same period last year.

A research note has questioned the State’s Sh153.8 billion valuation of the Kenya Pipeline Company (KPC), casting doubts on the ability of the government to raise Sh100 billion from a stake sale through an IPO before March.

Standard Investment Bank (SIB) has placed its fair value estimate of the business at Sh102 billion, putting expected proceeds from the three-quarter stake sale at a lower Sh66.3 billion.

Recently, a close friend of mine who has known my family for the past 17 years asked me if I am grooming my son to inherit the family business, in a tone that sounded like she already knew the answer.

In our local culture, it is assumed that if a father spends years building a business, a son should automatically inherit it. For this reason, my friend expected that I would respond to her question in the affirmative.

But my view of succession is different. I believe that for a business, its customers, its legacy and value to be protected, leaders should be selected based on their qualities and not their lineage or proximity to the founder. That view aligns with a PwC study, which shows that only about 30 percent of family businesses make it to the second generation, due to factors such as inadequate planning, family conflicts, emotional resistance, and poor preparation for the next generation of leadership.

As family businesses across East Africa continue to push for stronger governance to secure continuity and trust with stakeholders, the importance of having robust and formalised succession plans cannot be overstated.

You see, ownership and leadership are separate tasks. Families that plan to reduce tax risk, preserve control where needed and avoid rushed transfers.

The International Finance Corporation points to family constitutions as a practical anchor. A constitution records shared values, decision rights, and rules for entry, development and exit.

It clarifies the relationship between family, management and the board. It also lowers the temperature when difficult choices arise.

For a family business to go through succession smoothly, it must first draft a constitution that clearly defines roles. A one-page CEO scorecard sets outcomes, decision standards and non-negotiable behaviours.

Second, give two or three key stakeholders, such as customers, operations, or finance people, real ownership in the business, to review the performance of leaders against the constitution, each quarter.

Third, upgrade governance. Add independent directors, schedule annual succession drills, and keep a crisis handover file updated twice a year. These steps reduce noise, keep attention on execution and earn trust with key stakeholders, especially during the first 100 days of a transition.

The family dimension deserves clarity. It is okay to invite children to explore the enterprise, but do not promise roles. Encourage external internships and mastery elsewhere.

If they return, they return as professionals, ready to compete on the same scorecard as anyone else. If they choose another path, celebrate that path. The company still thrives because leadership is earned, not inherited by default.

Kenya is in talks with India’s Adani Group over compensation after the verbal cancellation of a multi-billion-shilling deal to build electricity transmission lines and substations.

The Treasury’s Public-Private Partnership (PPP) Directorate has disclosed that talks are underway for an amicable resolution to the Adani contract issue.

Taxpayers have paid Sh30.89 billion to contractors and lenders involved in the funding and construction of roads under the road annuity programme across 11 counties.

The scheme is a variant of the public-private partnership model whereby contractors design, build, and maintain the roads for a predetermined period.

APA Microinsurance has rolled out micro-cover packages for sickness and weather-related disasters like floods, in a move aimed at inclusion of low-income households and small businesses.

The insurer, part of Apollo Group, has partnered with VisionFund Kenya and global climate Insurtech IBISA in rolling out two products – AfyaCash and ClimaCash+ – as it seeks to deepen insurance in the informal sector.

The Business Daily spoke to Peter Mwangi, the Kenyan country manager for stablecoins exchange platform Yellow Card on the growing crypto linked payment ecosystem, where Kenyans made transactions worth Sh426.4 billion ($3.3 billion) over a 12-month period to June 2024.

Who are the Kenyans transacting in stablecoins?