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News and Analysis
October 23, 2025
Hello and welcome to the Money News Roundup Newsletter, where we cover reasons why KeNHA settled on NSSF and a Chinese Company for the Nairobi-Mau Summit road project. We also cover the reason why the NSE suspended trading of KenGen shares..
The National Treasury and the Kenya National Highways Authority (KeNHA) settled on a consortium led by China Road and Bridge Corporation (CRBC) and the National Social Security Fund (NSSF) for the Nairobi–Nakuru–Mau Summit highway project owing to three reasons, including its lower base toll rate.
The decision followed the Treasury’s Public-Private Partnership (PPP) Committee approval on October 9, 2025. The government had also received a proposal from another Chinese firm - Shandong Hi Speed Road & Bridge International Engineering Ltd. Here are three key reasons behind the choice, as reported by the Business Daily.
1. Lower toll rates
CRBC’s bid featured a lower base toll rate compared to rival proposals, ensuring affordability for motorists using the road. KeNHA said the rates will also be set below those of the Nairobi Expressway, given the lack of an alternative free route.
2. Better traffic risk management
CRBC and NSSF agreed to absorb traffic-volume risks instead of transferring them to the government. This approach shields taxpayers from potential losses if traffic falls below projections.
3. Proven capacity and timely delivery
The CRBC–NSSF consortium demonstrated strong technical capacity and a track record of timely delivery, notably CRBC’s success with the Nairobi Expressway and the Standard Gauge Railway (SGR).
KeNHA also revealed to the Business Daily that the NSSF group made commitments to meet tight deadlines, aligning with the Ruto administration’s goal of completing the project before the 2027 elections.
NSSF plans to invest between Ksh20 billion and Ksh25 billion for a 30-year stake in the consortium, expecting returns through toll collections. The entire project is estimated to cost approximately Ksh90 billion.
Kenya is negotiating with India’s Adani Group over compensation following the verbal cancellation of a Ksh96 billion deal to build electricity transmission lines and substations.
As reported by the Business Daily, the Treasury’s Public-Private Partnership (PPP) Directorate confirmed that talks are ongoing to reach an amicable settlement instead of issuing a formal termination notice, which could cost taxpayers over Ksh5 billion.
President William Ruto ordered the cancellation of the 30-year public-private partnership in November 2024 after Adani Group founder Gautam Adani was indicted in the United States for alleged bribery and investor deception.
The deal, signed in October 2023, tasked Adani with constructing two major transmission lines — the 206km Gilgil–Thika–Malaa–Konza and the 70km Menengai–Olkalou–Rumuruti — and two substations by 2028.
The Kenya Electricity Transmission Company (Ketraco), which signed the contract, is leading the discussions.
The project’s termination adds to a growing list of canceled infrastructure deals that have cost Kenyan taxpayers billions in compensation, including recent settlements with French, Chinese, and Italian contractors over halted road and dam projects.
Trading of KenGen shares at the Nairobi Securities Exchange (NSE) was suspended on Thursday morning following the leak of unauthorized financial results.
The NSE clarified that it had not approved the release and urged investors to await official communication.
As reported by Business Today, KenGen, which was set to announce its audited results for the year ended June 30, 2025, on October 30, abruptly canceled a planned media briefing hours before the leak.
The unverified results reportedly appeared on the NSE’s Level 2 clearance channel at midnight, prompting speculation of attempted market manipulation.
KenGen shares closed Wednesday at Ksh9.18, up 152% year-to-date, making it one of the NSE’s top performers and a leading dividend payer.
Companies are planning to expand their full-time workforce in the final quarter of 2025 to meet increased demand during the festive season, a new Central Bank of Kenya (CBK) survey has revealed.
The survey of 1,000 CEOs shows that 202 of them plan to increase their workforce, while 714 of them stated that they would maintain their workforce.
Only 83 CEOs revealed plans to reduce their workforce. The report attributed the projections to optimism driven by higher sales, production, and consumer spending across sectors like manufacturing, services, and tourism.
Firms expect more orders and stronger turnover, supported by lower borrowing costs following monetary policy easing. CBK noted that many firms still operate below capacity, allowing them to scale up without major investment.
As reported by the Business Daily, the services sector anticipates more bookings and extended hours, while the latest Stanbic PMI showed job creation in September grew at the fastest pace since mid-2023, signaling a steady economic recovery.
A petition has been filed challenging sections of the National Rating Act, 2024, which allow county governments to auction private property over unpaid rates without court approval.
As reported by Citizen Digital, Lawyer Shadrack Wambui is seeking conservatory orders to suspend some sections of the Act, arguing they violate property rights and due process.
The lawyer wants the case certified as urgent and referred to the Chief Justice for a three-judge bench under Article 165(4). Wambui claims the provisions permit administrative auctions without judicial oversight or public participation, contrary to Articles 40 and 205 of the Constitution.
He warns that enforcing the law could cause irreparable loss of property and urges the court to preserve the status quo to protect constitutional rights and public interest.
As reported by Citizen Digital, the Ministry of Lands has dismissed claims that the newly enacted Land (Amendment) Act, 2025, introduces new levies or changes land ownership regimes.
Lands PS Nixon Korir termed the reports as false and misleading, clarifying that the law, signed by President William Ruto on October 15, only seeks to strengthen oversight of public land.
The Act requires the Chief Land Registrar to register all public land allocated to public institutions and any land set aside for public use, with such details published in the Kenya Gazette to enhance transparency and curb land grabbing.
The Ministry urged Kenyans to ignore the reports that claimed that the law was introducing the conversion of land from freehold to leasehold, in addition to new land levies.
New vehicle sales in the country increased by 24.56% in the first nine months of 2025 to 9,924 units from 7,967, the strongest performance in six years.
This is according to the data by the Kenya Motor Industry Association (KMIA). The rebound, driven by commercial vehicle demand, reflects lower lending rates, a stable shilling, and improved business confidence.
As reported by Business Daily, truck sales jumped by 43%, while small buses rose 75%. Isuzu East Africa led the market with 4,670 units sold, followed by CFAO Mobility Kenya with 3,268.
Falling borrowing costs and stable forex rates have revived asset financing and reduced import costs, boosting sales after years of disruptions.
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