Category: Business Daily

Driving into Membley from the Thika Superhighway, the transformation is hard to miss. What was once a patchwork of empty parcels has become a dense residential hub, with apartment blocks climbing skyward and hardware shops lining the roads to serve a thriving construction industry.

Unlike large gated developments where a single developer builds uniform houses, Membley has grown organically. Individual buyers acquired plots and built homes to their preferences, while in some corners, groups of homeowners pooled resources to create small gated courts.

Job Kimani, a real estate agent at Zani Property Limited, says demand remains strong even as land becomes scarce.

‘The demand for property in Membley is very high. People continuously ask for plots,’ he explains.

He notes that the estate is broadly divided into sections based on the size of the original parcels-50 by 100, 100 by 100, and 40 by 80 feet-reflecting the different companies that sold land in the area.

‘When you come from Kahawa West, there is the Membley on your left, the likes of Serengeti and Sweet Waters; those are the 50 by 100 parcels, which sell from Sh7.5 million upwards,’ Kimani says.

‘Larger 100 by 100 plots command premiums of Sh13.5 million to Sh15 million in areas such as Pavilion, Forest Road and Jerusalem, while roadside parcels set aside for commercial use start at Sh35 million. At the smaller end, 40-by-80 plots around Milimani Court and Riverside average Sh6.5 million.’

For early buyers like Miriam Mukami, who purchased her plot 15 years ago for about Sh500,000, the appreciation has been remarkable.

‘What attracted me to Membley was that I was looking for a good place where I could put up my residential home and a place that was affordable and controlled,’ she recalls.

At the time, the estate was sparsely populated, with poor roads and limited security.

‘When I first came here, the place did not look as attractive as it is today. You had to see potential because it looked far off, the access roads were very bad , residents very few, and there were many security challenges,’ she says.

Today, she notes, ‘As many people have constructed and the roads have become apparent, you find that now you’re using only one gate to access your place, as opposed to the many access points we had back in the day. That tells you all those empty plots have now been occupied or construction is going on.’

Job traces part of Membley’s growth to its location and its relationship with the older Kahawa Sukari neighbourhood.

‘Membley is an overflow of Kahawa Sukari. There was a time when Kahawa Sukari was the top estate on Thika Road, but when it was full, people started gravitating to Membley,’ he says.

Improved road networks have made commuting easier and attracted businesses to serve the growing population.

‘The proximity is the major factor that has made Membley grow. You can easily go to Thika, Mombasa Road, Kiambu; it’s not a hustle,’ Job adds.

One of Membley’s distinctive features is the proliferation of small gated courts. Groups of buyers often engage a single developer, creating semi-private enclaves that balance individuality with shared security.

Miriam notes that growth has also forced residents to organise, pointing to the Membley Residential Association, which coordinates security, roads, hygiene and development.

‘As you have many more residents coming, then you find that you are now able to organise yourselves to do roads, to ensure that there’s good hygiene within the estate, and that keeps the property in good value and also increases its value,’ she says.

The construction boom has spurred business opportunities.

Lavin Munene, owner of Supperfinish and General Suppliers, moved to Membley in 2016 to open an electrical supplies shop.

‘I did my market research and didn’t see any electrical shop around. That’s why I ventured into electrical and petrol station items,’ he recalls.

As roads improved and more residents moved in, sales grew. Lavin rents his shop for Sh25,000 a month.

Hardware stores remain the most common businesses, reflecting the estate’s ongoing building activity. Rental demand has also expanded, with one-bedroom units fetching at least Sh18,000 per month.

High-rise apartments now dot the estate, signalling a shift toward denser living as land becomes scarce. While bare parcels remain-often held by families or diaspora investors-the supply is shrinking.

Job points out that completed houses are also entering the market, particularly on smaller plots, with asking prices around Sh30 million.

For early homeowners such as Miriam, the challenge moving forward will be ensuring that increasing density does not erode the qualities that initially attracted residents.

‘As you get many more people renting the place, you just want to be careful that the integrity of the core values of the initial owners is well maintained,’ she says.

Short-term rentals such as Airbnb have appeared in parts of the estate, though she notes they have not yet raised any concerns for the residents.

‘From time to time you have people running Airbnbs within the estate, and sometimes that may bring a different cadre of people, and that may also come with a bit of disturbances here, a party here and there, but so far so good, that has not been a big issue,’ she says.

For her, the investment has paid off. ‘The place has lived up to its potential. I’m grateful that I made that decision to invest then as opposed to waiting or even being elsewhere,’ she says.

When illness strikes, Kenyan families often face two crises: how quickly a loved one can receive care and how the household will pay for it.

For families without adequate health cover, a hospital bill can disrupt school fees, rent, food budgets, business capital and savings. The patient may recover, but the financial strain can linger long after they return home. Kenya’s health insurance challenge is therefore also a household financial-security issue.

According to the 2022 Kenya Demographic and Health Survey, health insurance coverage ranged from only 5 percent among people in the lowest wealth quintile to 58 percent among those in the highest. The disparity shows how closely access to protection remains tied to household income and financial stability.

Insurance payment structures do not always reflect how households earn. An annual premium paid in one transaction may suit someone on a predictable salary but prove difficult for farmers, traders, casual workers and small-business owners whose incomes fluctuate.

Flexible payment arrangements can ease this pressure. Spreading a premium across instalments gives households more room to plan payments alongside rent, school fees, food and other responsibilities. Instalments do not reduce the annual premium, but they can help families that can afford cover over time but struggle with a lump-sum payment.

At Jubilee Health Insurance, eligible customers can activate their health cover from the first payment and spread the balance over as many as ten monthly instalments.

Flexible payment must, however, be matched by clear communication. Customers need to understand the total annual cost, when cover begins, benefits, waiting periods, exclusions and what happens when a payment is delayed or missed.

Kenya’s expanding digital financial infrastructure also gives insurers new ways to reach customers.

The 2024 FinAccess Household Survey found that formal financial access had reached 84.8 percent. Yet digital enrolment must be supported by trained advisers and responsive customer-service teams so customers understand what they are buying.

Closing Kenya’s health insurance gap will require products that reflect real household needs, clear terms, accessible distribution and service that builds trust. Flexible payment is one practical step.

The National Social Security Fund (NSSF) has revived plans to develop its 1,000-acre land in Mavoko, Machakos County into a mixed use city.

The state-controlled pension fund in June called for proposals by developers to carry out a feasibility study, develop a master plan and put up infrastructure and a pilot phase at the land under what is known as an engineering, procurement, construction and finance (EPC+F) contract.

The tender for the proposals closes on August 18, having been opened in June and extended from the original closing date of July 17.

‘The project location at Katani area of Mavoko sub-county in Machakos county and the 1,000-acre or thereabout land size offers the NSSF and the EPC+F partner the opportunity to undertake a city development that would be a landmark decentralised live-work-play node for Nairobi City,’ said the NSSF in the tender document for the proposals.

‘Development options may cover all property sectors including residential, commercial, light industrial, institutional, specialised warehousing, hospitality, etc as well as other specialised uses.’

The NSSF declined to offer further details on the proposed development, citing the ongoing tender process that will among other things determine the cost and scope of the venture.

NSSF has been trying to develop the Mavoko land for nearly 15 years, having initially proposed to construct 30,000 housing units on the property in 2012 under a joint venture with private developers. The housing project was tagged a flagship Vision 2030 project.

The project was however cancelled in 2013 by the labour ministry shortly after the sacking of the then NSSF managing trustee Tom Odongo under unclear circumstances.

In 2015, the fund revived the plans to develop the land with a proposal to put up 60,000 low-cost houses, also under a joint venture arrangement.

This new plan however flopped after opposition from trade unions which complained about an opaque tendering process for the joint venture partners, and questions of whether the NSSF would afford to pay its share of the project cost.

MPs also questioned the economic viability of the plan, saying that it risked exposing workers to losses.

In 2015, the price of an acre of land in the Syokimau area stood at Sh17.2 million, as per estimates published by real estate firm HassConsult in its periodic land indices, valuing the NSSF land at Sh17.2 billion.

Today, the price of land in the area has gone up to Sh39.4 million per acre, raising the estimated value of the land above Sh39 billion at current market rates.

The renewed effort to put up housing and other developments on the land comes when workers contributions to the fund have gone up following the implementation of the NSSF Act 2013 in February 2023 after a decade long court battle.

The new rates kicked in with an increase of a member’s ceiling contribution from Sh200 per month to Sh1,080-matched by the employer- in the first year. In the second year, starting February 2024, the rate was raised to Sh2,160, before going up again to Sh4,320 starting February 2025.

This year, the contribution cap rose to Sh6,480 per month, and will finally go up to Sh8,640 per month in February 2027.

In December 2025, NSSF’s assets under management stood at Sh623.8 billion, having grown from Sh308.3 billion in June 2023 courtesy of the enhanced contributions.

Immovable property investments were valued at Sh38.08 billion, or 6.1 percent of the fund’s total assets, with government securities the biggest asset at Sh379.9 billion or 60 percent of the fund assets.

Retirement Benefits Authority (RBA) rules cap property exposure for pension funds at 30 percent of total assets, behind guaranteed funds (100 percent), Treasury bonds (90 percent) and listed equities at 70 percent.

The Treasury is seeking funding to subsidise retail fuel prices in the face of hostilities in the Middle East and the 2027 General Election, in a reversal of government policy.

Treasury Cabinet Secretary John Mbadi said that Kenya is seeking additional funding to lower fuel prices without being specific about whether the State is targeting a loan or a new budget.

Renewed hostilities in the Middle East are expected to continue disrupting supplies and keep prices elevated, says the International Energy Agency (IEA), signalling inflationary pressures and public anger over the high cost of living.

Kenya is seeking to ease pressure on retail prices, prompting the reinstatement of subsidies that the government withdrew in 2022.

The energy regulator has been using the petroleum development levy to stabilise prices, rather than asking for Exchequer support.

But the fund built by the levy is depleted following heavy use in the wake of the Iran war, which started on February 28 and prompted the blockade of the Strait of Hormuz-which carries a fifth of global supplies.

‘We are looking for sources of funding to subsidise fuel or petroleum products even going forward. We are just monitoring the situation as it unfolds because it is unpredictable,’ Mr Mbadi said.

It is not yet clear where the funding will be sourced from, how much is being sought, or whether the Treasury is seeking a loan or a new budget backed by taxes.

On coming to office in September 2022, President William Ruto removed fuel and maize flour subsidies put in place by his predecessor, saying he preferred subsidising production rather than consumption.

The move was also aimed at cutting government spending as it sought to get a handle on debt repayments that forced it to deny market speculation about a possible default.

The government has instead used the levy, which is charged at the rate of Sh5.40 per litre of fuel, to lower petrol, diesel and fuel prices.

The rapid depletion of the subsidy fund has increased pressure on the State to inject more public money to cushion households and businesses from surging fuel prices.

Kenya has extended a reduction in Value Added Tax (VAT) on petroleum products for another three months to mid-October to cushion households and businesses from volatility in global energy prices.

In April, it cut VAT ?on petroleum products from 16 percent to 8.0 percent for three months after crude oil prices surged because of the US-Israeli war against Iran.

But the uncertainty in the Middle East has kept prices high, prompting inflation to jump from 4.25 percent in February to 6.5 percent in July.

The US-Iran ceasefire broke down in July, around a month after the parties signed a memorandum of understanding to end the war.

Since then, tanker attacks in the Strait of Hormuz have resumed and the conflict spread as Yemen’s Iran-aligned Houthi rebels launched attacks in the Red Sea.

The IEA said global oil supply will fall by 4.3 million barrels per day (bpd), or around 4.0 percent, this year, plunging the world deeper into an oil-market deficit.

For 2027, the agency sees global supply outstripping total demand by 4.61 million bpd, assuming de-escalation in the coming months.

That surplus could allow inventories to recover to their February 2026 level by the middle of next year, the IEA said.

This will come less than two months before the General Election as the cost of living takes centre stage.

The energy regulator this month opted for the cross-subsidy to ease pressure on inflation and Kenya’s middle class, who use petrol to power private cars.

It denied diesel consumers a Sh14 a litre cut in the new fuel pricing cycle to September 14 and transferred the relief to petrol and kerosene.

Diesel prices dropped by Sh5 to Sh217.86 per litre in Nairobi while prices of petrol and kerosene remained unchanged at Sh214.03 and Sh191.38 per litre respectively in the month ending September 14.

A litre of diesel should have dropped by Sh19.28 to Sh203.58 in the capital in line with the fall in global prices, regulatory disclosures show.

The State used diesel to cross-subsidise petrol users, preventing the cost of petrol from rising by at least Sh8.64 per litre to Sh222.67 in Nairobi.

Diesel prices stood at Sh176.72 a litre in February while petrol retailed at Sh179.35.

Cross-subsidisation allows the Treasury to share the subsidy burden with consumers of at least one of the three grades of fuel.

MPs earlier flagged the cross-subsidy as not supported by the law and disadvantages consumers of one grade of fuel.

The cross-subsidy came after the State nearly depleted the subsidy fund it has used to cool costly fuel since April in response to the Iran war.

I don’t know about you, but we all need a good laugh now more than before. I could go into how the year has been rough for the ordinary Kenyan. The belt is getting tighter for the everyday Nairobian (unless you are a politician), but I base my argument on one thing – fuel prices.

Am I saying laughing will reduce the prices of fuel? Well, I wish it could. Fuel prices have had an impact on everyone worldwide. Since laughter is some form of medicine, what we are getting as we come to the end of August is an opportunity for one week to step away from the chaos and – yes, you guessed it, laugh.

The Nairobi International Comedy Festival is just around the corner and, with everything that I have just learnt, stand-up fans have every reason to be excited.

In past editions of the festival, we have had an opportunity to experience stand-up comedy from performers outside Kenya. I know you would argue that you can just watch them online, but watching them live on stage is a unique experience.

This year’s edition is going full pan-African with performers from Kenya, Uganda, Tanzania, South Africa, Zimbabwe and now Nigeria too.

Talent and diaspora

For those new to this, the Nairobi International Comedy Festival is a week when Kenya’s capital transforms into a city of all things stand-up comedy, bringing together different stand-up talent for engaging live performances. This year marks the fifth edition of NICF, running from August 25 to 30.

Let’s start with the talent. The line-up is a cocktail of comedic styles that includes Ugandans Dr Hilary Okello and Okello Okelo, Tanzanian Sadick Ali, Rwanda’s Babu Joe and Hervé Kimenyi, Zambia’s Chingliz, South Africa’s Bexta Ndabalime, and Nigeria’s Forever, who marks the country’s first official representation at the NICF.

Add in Vince Tshaka from the Kenyan diaspora in Australia, and you’ve got a festival that feels pan-African.

You also get to experience comedy in different settings, from K1 Klubhouse to Suave Kitchen and Social Club, the Nairobi Laugh Bar Chemi Chemi, and the Mövenpick Hotel. Every space brings its atmosphere and personality to the experience. Together, they make the city part of the festival, allowing easy access for people in different parts of Nairobi.

Structure

As mentioned earlier, the programme looks interesting, and each day has its own flavour and direction. Note that we still have a week to go, so one or two things may change.

The opening night at K1 Klubhouse on August 25 is a pre-festival show, a warm-up with surprise acts and themed sets. It’s the kind of night anything can happen, and that unpredictability sets a laid-back tone for the week.

On August 26, Suave Kitchen will be an all-out East African affair, with headliners showcasing regional talent. Okello Okelo, Nelly Wangechi, Sadick Ali, Hervé Kimenyi, Jack Alita, Vince Tshaka, Elly Odoki, Babu Joe, Amandeep Jagde and Doug Mutai take the stage, with Jack Alita hosting.

This offers a great opportunity for Kenyans to experience how other performers on the continent approach stand-up comedy.

The following day will offer two very different experiences. The Thursday Night Live Festival Edition at the Laugh Bar will be hosted by the dynamic duo of David Macharia and Amandeep Jagde, presented in a podcast-style format.

It’s a chance to see comedians in a different light, with Bexta Ndabalime, Vince Tshaka, Okello Okelo, Sadick Ali, Hervé Kimenyi, Jack Alita and Babu Joe performing.

On the same evening, women take over Suave Kitchen. Herlarious, a women-led night, will feature Nelly Wangechi, Justine Wanda, Racquel Anyango, Nduta Kariuki, LJ and Ciku Waithaka. It will be another interesting opportunity to see female performers own stage.

The Friday of August 28 will be about variety. Crowd Masters at the Laugh Bar leans into the chaos, with Bashir Halaiki, Mammito Eunice, Sadick Ali, Vince Tshaka, Ciku Waithaka, Babu Joe, Elly Odoki and SK Kinuthia working the room.

On the other side of the city, Suave Kitchen will host African Comedy Heat, a powerhouse night featuring Bexta Ndabalime, Hervé Kimenyi, Doug Mutai, Ty Ngachira, Ciku Waithaka, Okello Okelo, Forever, Chingliz and Amandeep Jagde. This is the crème de la crème of African comedy, and it is bound to be explosive.

August 29 is the festival’s grand night. The NICF Gala and Nairobi International Comedy Awards will be at the Mövenpick Hotel, hosted by Ty Ngachira and Emmanuel Kisiangani.

Performances will be from Dr Hilary Okello, Forever, Bexta Ndabalime, Adan Abdi, Maina Munene, Mammito Eunice, Sadick Ali and Okello Okelo.

It is also going to be an awards ceremony, celebrating the best of African comedy while giving audiences a night of top-tier performances.

The festival closes on Sunday August 30 with something entirely different: a Family Magic and Puppet Shows at Suave Kitchen.

Darren Collins brings a family-friendly finale that is designed to appeal to everyone.

Diverse experiences

What makes this year feel special is the planning of the events. Each day has a clear identity: headliners, podcast-style experiments, women-led items, crowdwork, continental giants, a gala with awards and a family finale. The structure looks and feels more refined, allowing audiences to have different, diverse experiences throughout the week.

Doug Mutai, the festival’s founder, summed it up well: Nairobi is becoming a genuine meeting point for African comedy. For one week, audiences can move in the capital city and encounter an extraordinary range of performers, some familiar, some brand new, discovering how humour translates across cultures and building Nairobi’s reputation as a comedy capital.

Now, why must I make a big deal out of stand-up events like this?

I am not going to rant about how we need to show up to promote our own, but let’s take a minute and look at our favourite streaming platforms.

They are saturated, with carefully edited, overproduced stand-up specials (I have nothing against stand-up specials; I still insist we need to see more from the continent) from comedians that an algorithm thinks we want to see.

How many of those are from our continent, and how many capture the authenticity of who we are as Africans?

These kinds of festivals allow Africans to enjoy stand-up that is relevant to who we are, with relatable and recognisable themes that affect us from the ground level.

We have an opportunity to experience that live, no edits, no cuts, no special effects.

I don’t know whether you, reading this at this moment, have ever experienced a stand-up event, but we can agree that while it can’t solve all our problems, laughing reminds us of the joy of life, even as fuel prices inflate as our wallets deflate.

Greek multinational Amaco Energy Group plans to build a $1.5 billion (Sh194 billion) artificial intelligence (AI) data centre in Mombasa to tap East Africa’s growing demand for computing infrastructure.

Amaco CEO Theodore Theodoropoulos is in Kenya for talks with government officials for approval of the project, which is expected to combine a large data-centre facility with an independent power-generation system.

The company said the planned facility is an independently powered centre that will not rely on Kenya’s electricity grid.

It comes amid growing interest in Kenya as a location for multinationals to set up data centre infrastructure, driven by rising demand for cloud computing, AI, digital finance, and other internet services.

‘A key objective of Dr Theodoropoulos’s visit to Nairobi is to explore the development of one of the world’s largest AI data-centre facilities in Kenya, designed as a fully integrated and independently powered installation, without reliance on the national electricity grid or conventional natural-gas infrastructure,’ an Amaco spokesperson told the Business Daily via email.

‘[It is] concerning a proposed $1.5 billion smart-power and AI data-centre project in Mombasa by Amaco Energy Group.’

Data centres are the main infrastructure powering AI by providing high computing power, specialised computer hardware, and the large storage needed to train and deploy complex language models.

Kenya has only two AI-capable data centres against South Africa’s five and Nigeria’s one, according to Data Centre Map, a global data centre directory.

While AI promises to be a powerful tool in boosting productivity, Africa is being left behind because it lacks digital infrastructure, including connectivity like fast fibre-optic broadband.

The lack of connectivity is compounded by a shortage of the heavy-duty data centres needed to crunch the masses of data required to train large language models and run the AI-powered applications that could boost Africa’s economic growth.

Kenya has been wooing global tech investors to build AI-capable data centres in the race to close the growing infrastructure gap.

Currently, the construction of a Sh129.5 billion ($1 billion) Microsoft data centre in Olkaria, Nakuru County, has been delayed after Kenya disagreed with the US tech giant over a request for guaranteed uptake of cloud capacity.

In May 2024, Microsoft partnered with UAE-based AI firm G42 to invest in the mega data centre as part of its efforts to expand cloud computing services in East Africa.

But the upgrade of the facility to require 1,000 megawatts (MW) of power from the initial 60MW for regional use has spooked Kenya, which reckons it lacks electricity capacity to support the project.

Data centres consume immense power because they operate thousands of servers to process and store data. They also require large volumes of water for cooling systems that prevent overheating.

Large data centres often consume as much electricity as a small city.

Amaco said the Mombasa project will use an offshore liquefied natural gas-powered electricity supply to power the data centre without straining local electrical grids.

The energy system, dubbed Hercules, processes natural gas and combines electricity generation and cooling systems into a single platform.

‘In addition, the Hercules concept has the potential to contribute significant additional power-generation capacity to support Kenya’s broader energy requirements,’ the Greek firm said.

Amaco has not disclosed the facility’s capacity and construction timeline.

Other major companies that operate smaller-scale data centres in the country include EADC Liquid, iColo, Africa Data Centre, COMTEC, Access, Safaricom, MTN Business, and Telkom Kenya.

The National Treasury will now issue switch bonds monthly, giving holders of maturing securities a regular opportunity to reinvest their money in longer, more lucrative papers.

Previously, the government opened the swap bonds on a need basis, targeting securities whose repayment would trigger a repayment strain on the exchequer.

The Treasury’s newly published 2026/2027 Annual Borrowing Plan is making the switch or swap bonds a regular issuance targeting between Sh10 billion and Sh20 billion.

These swap bonds will be offered by the Central Bank of Kenya (CBK) alongside the usual Treasury bond sales that are primarily used to finance the budget deficit.

A switch or swap bond occurs when holders of a paper that is nearing maturity are offered the exclusive chance to move all or part of their principal directly into another longer bond.

Ordinary rollovers, on the other hand, see investors wait until they are paid back their principal before making bids in the monthly bond sales where there is no guarantee that their offers will be accepted.

For the fiscal year ended June, CBK offered four switch bonds executed between January and May 2026, which pushed forward Sh66.8 billion maturities that were due in the next two years. The year’s borrowing plan had called for six such bonds.

‘The planned liability management operations on domestic debt for this financial year will be part of the borrowing strategy,’ said the Treasury in the 2026/27 borrowing plan.

‘This will be implemented by selecting the optimal mix of instruments to replace maturing bonds with the aim of reducing maturity pressure, smoothing the redemption profile and supporting secondary market liquidity by switching into larger liquid bonds.’

Investors participating in switch auctions are usually offered bonds that pay a higher interest rate compared to what their current papers pay to entice them to agree to the swap.

This rate incentive allows them to secure higher future interest returns, even when interest rates are trending downwards.

In July, holders of a five-year bond maturing in November 2026 moved Sh7.95 billion into a 20-year paper maturing in November 2032, effectively lengthening the debt by six years.

The five-year paper pays interest at 11.75 percent, compared to 12 percent for the 20-year option. Due to its tenor being more than five years, the 20-year bond carries a lower withholding tax on interest of 10 percent, compared to 15 percent for the five-year bond.

This month, CBK has asked holders of a 15-year paper that pays 11 percent interest maturing in September 2027 to move to a 19-year bond with a rate of 12.28 percent that matures in November 2029. The Sh15 billion offer is also targeting Treasury bill maturities that fall due on September 6, 2026.

Domestic debt maturities are normally funded by rolling over the debt via new bond issuances, and rarely through repayments from tax collections since the government is already running a budget deficit.

Refinancing the debt through ordinary bond sales can affect the government’s ability to borrow more for budgetary purposes, especially when these bonds are undersubscribed.

Swapping a bond with another therefore helps avoid the competition for funds between maturities and new borrowing.

The State also has the option of varying out a bond buyback to address near-term maturities. In a buyback, the State issues a new bond, and then uses the proceeds to make an early repayment of another paper, usually one that is nearing maturity.

In a buyback, however, holders of the bond targeted for refinancing can either choose to take their money or participate in the new bond sale if they wish to roll over their capital.

Switch bonds were only introduced into the Kenyan market recently, coinciding with the rise in government debt service costs amid higher borrowing needs to fund a widening budget deficit.

The Treasury brought its first such bond in June 2020, offering investors a six-year infrastructure paper in exchange for a maturing one-year Treasury bill. This netted Sh20.2 billion out of a target of Sh25.6 billion.

The second switch bond was sold in December 2022, seeking Sh87.8 billion via a six-year infrastructure bond, targeting holders of maturing Sh31.96 billion Treasury bills and a maturing two-year bond which had an outstanding amount of Sh55.85 billion.

In the current fiscal year, the State has a net domestic borrowing target of Sh898 billion. It also needs to raise Sh438.4 billion to repay principal domestic debt, while also spending Sh986.7 billion in domestic debt interest payments.

Charcoal prices jumped to their highest level in 78 months in June, deepening the squeeze on poor families already grappling with rising prices of alternative fuels such as liquefied petroleum gas (LPG) and kerosene.

Fresh data shows the average national price of a kilo of charcoal hit Sh96.79 in June 2026, the highest point since January 2020, when it stood at Sh152.25, marking a relentless demand-fuelled rally in the cost of the commodity.

Analysis of the average retail prices of cooking fuels reveals a double blow for poor households because the cost of LPG and kerosene has also been climbing in recent months, thus limiting their options in terms of affordability.

For example, a litre of kerosene retails at a record Sh191.38 in Nairobi under the current monthly pricing cycle running to September 14, 2026, while LPG prices have climbed steadily over 18 months to settle at a high of Sh3,470.82 for a 13-kilogramme cylinder.

The average LPG price in June 2026 was, however, slightly lower than the Sh3,471.58 recorded in May, but still in a record-high range.

This scenario presents a quandary for poor households in Kenya, which rely on charcoal for cooking mainly due to its accessibility and affordability compared with other alternative energy sources.

Charcoal prices have been rising steadily since the Government banned logging in 2018 to protect the country’s forests and preserve water towers.

Charcoal can often be purchased in small, affordable quantities, which makes it a preferred choice for households, especially those with irregular or low incomes.

The impact is also felt by small businesses such as restaurants, hotels and roadside sellers who use charcoal to prepare meals.

Kerosene prices rose sharply by Sh38.60 per litre in May 2026 to hit Sh191.38 per litre following an emergency mid-cycle adjustment by the Energy and Petroleum Regulatory Authority (Epra) to plug a substantial price gap be-tween diesel and kerosene and prevent illegal fuel adulteration.

The move by Epra followed concerns by oil marketers that the price gap of Sh54 between the two grades of fuel could motivate rogue dealers to increase diesel volumes using kerosene to boost their profits in a process popularly referred to as adulteration.

Adulteration refers to the use of kerosene to increase the volume of other fuels, mainly diesel, leading to bigger profits for rogue dealers.

Adulteration mainly occurs between diesel and kerosene due to their similar properties, such as density.

Adulterated fuel triggers premature or uneven ignition, thus disrupting combustion and potentially causing engine seizures, highlighting the risk it poses to vehicles, industrial and farm machinery. Dirty fuel also releases higher amounts of hydrocarbons, which in turn pollute the environment.

Huge price gaps in the past significantly encouraged the use of kerosene to adulterate diesel as rogue dealers raced to increase their revenues at the expense of vehicle, farm and industrial machinery owners.

The High Court has rejected an attempt to liquidate a financially sound company after an estranged couple failed to resolve a dispute over its management and assets.

The court dismissed Joan Catherine Wangui’s petition against her partner Robert Gethenji, seeking liquidation of RAK Limited, a company they incorporated in 2012.

The judge held that liquidation should not be the first remedy for a shareholder disagreement.

“The material placed before the court shows primarily that the parties’ personal and domestic relationship has broken down. While that breakdown may have strained their interactions as directors and shareholders, it does not necessarily follow that the company has become incapable of functioning,” the court said.

The dispute arose after their relationship broke down, making it difficult for them to continue running the company together.

The petitioner moved to court in September last year, saying Mr Gethenji excluded her from managing the company from July 2024 by denying her access to information, assets and decision-making.

She said the standoff exposed her to possible penalties as a director. Ms Wangui added that efforts to wind up the company and dispose of its assets had failed, necessitating the filing of the case.

She asked the court to liquidate RAK Limited and appoint the Official Receiver, arguing that it was just and equitable to wind up the company, which has two issued shares, held equally by Ms Wangui and Mr Gethenji. RAK Limited has no liabilities.

Mr Gethenji opposed the petition, saying it improperly turned insolvency proceedings into a means of addressing personal grievances.

He maintained that RAK Limited remains solvent and is sa going concern.

He also disputed Ms Wangui’s beneficial interest in the company and its principal property – a residential house at Waridi Gardens in Kihingo Village – which he claimed is beneficially through a family property arrangement.

The respondent said the petitioner had been included as a shareholder solely to satisfy the former statutory requirement for at least two members of a private company. He said she contributed neither capital to RAK nor money towards acquiring the property.

Ms Wangui rejected that account, saying she is a genuine shareholder who subscribes for a fully paid share and has managed the company with Mr Gethenji.

She added that he denied her access to the company property, withholding the company’s tax and statutory records, denying her access to company finances and preventing her involvement in securing tenants for RAK’s property.

She added that the respondent’s actions paralysed operations at the company, rendered effective management impossible and exposed her, as a director, to potential regulatory and statutory sanctions.

The court said the petition was not based on ordinary insolvency.

‘It is common ground that RAK Limited is solvent,’ the court said, adding that Ms Wangui stated that the company has no liabilities.

The court accepted that a closely held company could, in appropriate circumstances, be liquidated where mutual trust and confidence have broken down. However, disagreements alone do not justify such an order.

‘The just and equitable jurisdiction is intended as a remedy of last resort. It is not designed to provide shareholders with an exit mechanism whenever personal relationships deteriorate,’ the judge said.

He added that disputes over access to information, management participation and directors’ conduct can be addressed through company-law remedies less drastic than liquidation.

The court also separated RAK from the parties’ personal dispute.

A fresh petition has been filed at the High Court challenging Mr Philip Mainga’s tenure as Kenya Railways Corporation (KRC) Managing Director, days after another petitioner sought to withdraw a similar case filed in Kisumu in which a judge had issued interim orders barring him from office.

The new case, filed by the Centre for Litigation Trust, seeks orders barring Mr Mainga from exercising the powers of KRC chief executive officer after his second three-year term expired on February 2, 2026.

Mr Mainga had not responded to the fresh petition by Monday afternoon.

The development comes in the wake of a decision by a petitioner, Joan Nyongesa, to file a notice to withdraw a suit she had filed challenge of Mr Mainga’s tenure at KRC.

Ms Nyongesa’s notice of withdrawal came shortly after the Employment and Labour Relations Court issued interim orders barring him from exercising his powers, pending an inter-partes hearing. The notice gave no reason for the withdrawal.

The new petition asks the court to determine if Mr Mainga remains in office and compel KRC to disclose documents supporting his tenure.

It seeks his appointment letter, renewal instrument, board resolution, approvals and subsequent documents relied upon to continue his tenure.

The petitioner asks the court to compel KRC and its board to produce Mr Mainga’s original appointment letter, renewal instrument, board resolution, approvals and any board resolutions or adopted legal advice made concerning his position.

The petitioner says Mr Mainga was appointed for three years from about February 3, 2020, with his first term expiring on February 2, 2023.

It says his tenure was renewed for another three years, ending on February 2, 2026.

The petition says Mr Mainga continues to occupy and exercise the powers of managing director and CEO of the corporation.

‘The continued exercise of the said office after the expiry of the lawful tenure raises a constitutional and statutory question, which requires determination by this court,’ it says.

The dispute turns on the Government Owned Enterprises Act, 2025, which began on December 5, 2025, and governs KRC.

Section 22 of the Act provides for a three-year CEO term and eligibility for one more term, while Section 18 gives boards responsibilities over appointment, removal and succession.