News and Analysis
November 26, 2025
Hello and welcome to the Money News Roundup Newsletter, where we are covering 25,000 SACCOs risking closure for hiding their financial dealings as well as Kenya’s new Ksh23 billion loan deal with China for the Intelligent Transport System (ITS).
25,000 SACCOs are facing deregistration after failing to prepare and file audited financial accounts, putting over Ksh1.2 trillion in members’ deposits at risk.
As reported by the Business Daily, data from the State Department for Co-operatives shows that less than 5,000 co-operatives are compliant with statutory reporting requirements.
Principal Secretary Patrick Kilemi said many non-compliant societies have ignored repeated government notices, failed to hold annual general meetings (AGMs), and continued to conceal their financial dealings from members.
He warned that the government is preparing to cancel registration certificates of societies that persistently breach the law.
Failure to submit audited accounts within four months after the end of a financial year contravenes the Co-operative Societies Act, which allows immediate deregistration for societies that fail to file returns for three consecutive years.
The law also strips management committee members of office where audits are delayed, barring them from seeking re-election for three years.
The crackdown follows declining compliance, with audited submissions falling to 4,062 in the year ended June 2025, even as sector deposits rose to Ksh1.224 trillion. Authorities say weak governance has exposed members to losses, citing scandals at KUSCCO, Ekeza Sacco, and Metropolitan Sacco.
Earlier, the government had ordered large saccos to adopt delegate-based AGMs and warned against officials holding illegal meetings.
Read more: 58 Saccos Face Auction After Defaulting on KUSCCO Loans
The Attorney General has advised the Cabinet Secretary for the National Treasury, John Mbadi, to comply fully with High Court orders halting the collection of the Ksh50 e-Citizen convenience fee.
As reported by Citizen Digital, this follows a Court of Appeal decision dismissing an application to stay the execution of Justice Chacha Mwita’s April 1, 2025, judgment, which declared the convenience fee illegal alongside the order for parents to pay fees via the platform.
Attorney General Dorcas Oduor issued the advisory while responding to contempt of court proceedings filed by Dr Benjamin Magare Gikenyi, who accused several senior government officials, including Treasury CS John Mbadi, of defying the judgment.
In her response, the AG acknowledged that the government had appealed the ruling but emphasized that court orders must be obeyed unless overturned. She said the respondents had acted in good faith and were guided by the rule of law under Article 10 of the Constitution.
The AG added that compliance was ongoing, noting that adjustments to the e-Citizen platform and re-allocation of funds require time due to statutory and administrative procedures.
Read more: 125 Kenyans Own More Than the Combined Wealth of 43 Million Citizens – Report
As reported in the People Daily, Muhoho Kenyatta has returned to NCBA Group’s board as a non-executive director. He will start his role on December 1.
NCBA announced the appointment without indicating whether it would affect the current 10-member board. NCBA managing director John Gachora said that Muhoho brings over 35 years’ experience across manufacturing, banking, insurance, and healthcare.
Muhoho previously served at CBA Bank, partly owned by the Kenyatta family, for 19 years before its 2019 merger with NIC Bank to form NCBA. His return gives the family a direct voice in the lender, where it holds a 13.2% stake. The Ndegwa family is the largest shareholder with 14.9%.
The appointment comes as Standard Bank, through Stanbic Holdings, is reportedly in talks to acquire NCBA. If completed, the combined entity would have assets exceeding Ksh1.1 trillion, ranking it third after Equity and KCB.
Talks with Standard Bank are ongoing and not yet conclusive.
Kenya has signed a Ksh23.99 billion concessional loan agreement with the Export-Import Bank of China (China EximBank) to finance the Intelligent Transport System (ITS) project aimed at easing traffic congestion, improving road safety and modernizing major transport corridors.
As reported by Eastleigh Voice, the agreement was signed by National Treasury CS John Mbadi and China EximBank Deputy General Manager Zhu Jia.
According to the National Treasury, the ITS project will enhance traffic coordination through real-time surveillance, reduce travel times and enable data-driven enforcement of transport regulations.
Mbadi said the project will generate economic savings, boost productivity and improve the daily commute for millions of road users.
The project adds to several China-backed developments, including the SGR and Nairobi Expressway.
Read more: Investors to Own & Run SGR Trains Under New Govt Plan to Sustain Operations
Safaricom has said it will maintain its policy of paying out 80% of net profit as dividends despite increasing its debt through a Ksh40 billion green bond programme.
The telco has launched the first Ksh15 billion tranche, a move set to raise its total borrowings to about Ksh130 billion, up from Ksh107 billion as at March 2025.
According to the Business Daily, Chief Finance Officer Dilip Pal said the additional borrowing will not affect dividend payouts, noting that Safaricom’s net debt-to-EBITDA position remains stable. The company has paid Ksh48 billion in dividends in each of the past three years.
Part of the bond proceeds will refinance a Ksh30 billion syndicated loan, with the rest funding renewable energy, 5G expansion and network modernisation projects in Kenya and Ethiopia. Safaricom has already shifted 1,400 sites to solar power to cut energy costs.
The telco reported a 52% rise in half-year profit to Ksh42.7 billion, driven by M-Pesa growth and reduced losses in Ethiopia
Read more: Vodacom Now Wants to Buy Govt Shares in Safaricom After Rejecting Split Plans
Kenya will appeal a ruling by the East Africa Court of Justice that suspended a trade agreement with the European Union, citing risks to Ksh199 billion ($1.56 billion) in annual exports.
As reported by Reuters, Trade Cabinet Secretary Lee Kinyanjui said the regional court halted the implementation of the Kenya–EU Economic Partnership Agreement (EPA) pending determination of a case filed by a non-governmental organisation.
Kenya signed the EPA in 2023 to secure duty-free access for its goods to the 27-member EU market, while allowing European products into the Kenyan market gradually. The Centre for Law Economics and Policy challenged the deal, arguing it violates provisions of the East African Community Common Market Treaty.
CS Kinyanjui said the government has commenced an appeal to lift the injunction, noting that the EPA supports livelihoods for millions of Kenyans. He added that measures are being taken to ensure continuity in Kenya–EU trade as legal proceedings continue.
The Capital Markets Authority (CMA) has approved eight new collective investment schemes and sub-funds.
CMA chief executive Wyckliffe Shamiah said demand for collective investments is rising, with assets under management exceeding Ksh600 billion. The new approvals raise the total number of licensed collective investment schemes in the country to 57.
As reported in the Kenyan Wallstreet, Swala Capital received approval for the Swala Money Market Fund, Swala Balanced Fund and Swala Equity Fund. Lofty Corban was licensed for the Lofty-Corban Private Debt Special Fund and the Lofty-Corban Global Assets Special Fund. Sanlam added the Sanlam Multi-Asset Special Kenya Shilling Fund.
XENO secured approval for the XENO Kenya Money Market Fund, XENO Kenya International Equity Special Fund, and XENO Kenya Bond Fund, all denominated in US dollars. Globetec launched the Globetec Money Market Fund, Globetec Equity Fund, Globetec Fixed Income Fund, Globetec Dollar Fixed Income Fund, Globetec Multi-Asset Special Fund, and Globetec Dollar Multi-Asset Special Fund.
Tradiam was approved for the Wekeza Money Market Fund.
Read more:Top Money Market Funds in Kenya by Net Returns [October 2025]
Kenya Pipeline Company (KPC) has until Thursday to pay Ksh2.66 billion to residents of Thange in Makueni County or risk the auction of assets valued at Ksh2.8 billion following a 2015 oil spill.
As reported in the Nation, the Environment and Lands Court has allowed a Nakuru-based auctioneer to attach KPC’s movable assets after the firm failed to meet a court-ordered compensation deadline.
A proclamation dated November 20 authorises the attachment of 123 assets, including two helicopters worth Ksh700 million each, fuel tankers, vehicles, generators and office equipment.
The court ordered KPC to compensate 3,045 residents within 120 days after ruling that the spill violated their environmental and health rights.
Judges found that a pipeline leak on May 12, 2015, contaminated soil, water and air in the Thange River basin, severely affecting livelihoods. After KPC appealed and missed the payment deadline, residents returned to court seeking enforcement.
This comes amids plans by the government to privatize KPC through listing on the NSE.
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