News and Analysis
March 13, 2026
Hello and welcome to the Money News Roundup Newsletter, where we cover the SGR extension to Malaba set to commence on March 19. We also cover estates that have been mapped out as high-risk areas for floods.
As reported by Citizen Digital, the Ministry of Interior and National Administration has identified 37 flood-prone neighbourhoods after a mapping exercise along the Nairobi River, Ngong River and Mathare River corridors.
The estates include Kiambiu, Dandora, Kariobangi, Kayole, Komarock, Njiru, Ruai, Mwiki, Donholm, Savannah, Tassia, Fedha, Madaraka, Nairobi West, Lang’ata, Kawangware, Kangemi, Lavington, Westlands, Parklands, Kitisuru, Spring Valley, Kileleshwa, Chiromo, Mathare, Korogocho, Lucky Summer, Central Business District (CBD), Globe, Gikomba, Eastleigh, Industrial Area, Kilimani, Kibera, South C, South B, Mukuru Kwa Reuben and Kwa Njenga.
Kenya Red Cross Society rescued 13 people, including 11 passengers trapped in a matatu on Bunyala Road and two children in Kilimani.
The floods have led to the destruction of vehicles and property whose value is yet to be established by the government.
According to weather forecasts by Kenya Met, rains are expected to continue in Nairobi and parts of Mt Kenya during the week.
Specifically, rain has been projected in these areas on Monday afternoon and Wednesday night.
The government has allocated Ksh14 billion for the Standard Gauge Railway (SGR) extension from Naivasha to Malaba.
According to the Business Daily, this raises the total budget for the extension to Ksh30 billion for the financial year ending June 30, 2026.
President William Ruto is expected to launch the construction of the railway line from Naivasha to Kisumu on March 19, 2026 and later launch the line from Kisumu to Malaba on March 21, 2026.
The project, which currently ends abruptly in Suswa, aims to restore connectivity to landlocked countries and improve the competitiveness of rail transport against roads.
To accommodate the expansion, Kenya Railways plans to acquire over 5,000 acres of land. The total cost of the extension is estimated at Ksh502.9 billion, with about Ksh455.35 billion expected from foreign investors, and there is also a proposed Ksh390 billion securitised bond leveraging future tax revenues.
Uganda has also begun construction on its section to Tororo, the border town opposite Malaba.
Meanwhile, the government has reduced allocations for security installations, locomotive wheelsets, and passenger ticketing systems along the existing SGR line from Mombasa to Naivasha to prioritise the Malaba extension.
Nairobi motorists face steep and potentially illegal towing charges under the city’s parking enforcement system.
As reported by Nation, county enforcement officers tow vehicles for unpaid parking fees or unauthorised parking, demanding Ksh10,000 at the roadside, negotiable to Ksh7,000, with fees rising to Ksh20,000 once vehicles reach county yards.
A Nairobi City County Assembly Transport Committee inquiry revealed that towing operators may have no formal contract or legal framework with the county. Departments for mobility, enforcement, and revenue all shifted responsibility, while the revenue office failed to appear before the committee to clarify where motorists’ payments go.
Lawmakers questioned the legality and transparency of the system, which has long burdened motorists yet lacks clear policy or oversight, raising concerns about governance and accountability in Nairobi’s parking enforcement.
KCB Group has booked a Ksh3.1 billion profit from selling National Bank of Kenya (NBK) to Access Bank. The profit reflects the difference between the sale price and the amount KCB spent acquiring and recapitalising the bank.
As reported by Business Daily, KCB completed the sale of its 100% stake in NBK in May 2025 at an estimated Ksh13.2 billion, based on a valuation of 1.25 times NBK’s book value as of December 2023.
Proceeds from the transaction helped the lender pay a special dividend of Ksh4 per share in mid-2025 and later raise its final dividend, bringing the total payout to Ksh7 per share, up from Ksh3 in 2024.
KCB acquired NBK in 2020 through a Ksh5 billion share swap and later injected over Ksh8 billion to strengthen its capital base. The sale also reduced KCB’s bad loans, with gross non-performing loans falling to Ksh211.8 billion in 2025.
The number of Kenyans investing in unit trusts and collective investment schemes (CISs) surpassed three million in December 2025, reflecting rising interest in pooled investments.
Data from the Capital Markets Authority (CMA) shows investors more than doubled from 1.4 million in December 2024 and from one million in 2023.
Assets under management (AUM) also surged to Ksh756.2 billion, from Ksh389.2 billion a year earlier, driven by increased awareness and aggressive marketing by fund managers.
Sanlam Unit Trust Scheme remained the largest with Ksh144.3 billion AUM, followed by Standard Investment Trust Fund (Ksh125.3 billion) and CIC Unit Trust Scheme (Ksh102 billion).
Treasury bills and bonds dominated allocations at Ksh323.6 billion, while money market funds held the largest share of assets at Ksh423.6 billion, accounting for 56% of the market. Read more
Kimisitu DT Sacco has postponed its Annual General Meeting (AGM) after members requested the release of a forensic audit report on funds invested through KUSCCO.
As reported by Capital Business, the request was made during a Special General Meeting on February 14, 2026, where members asked that the audit findings be tabled as a key agenda item and shared beforehand.
In a notice issued on February 26, the Sacco’s board said delays by the audit firm in submitting the report forced the postponement to give members time to review it.
The board revoked the earlier AGM notice issued on February 20, saying a new date will be announced once the report is received.
The move aims to enhance transparency as Saccos reassess investments linked to KUSCCO.
Kenya Airports Authority (KAA) is set to introduce self-service check-in kiosks, automated bag-drop stations and biometric entry systems in a major upgrade aimed at reducing queues and improving passenger processing at JKIA.
As reported by Eastleigh Voice, the airport will deploy a new Common User Passenger Processing System and Common User Self-Service infrastructure to enhance efficiency.
The systems allow multiple airlines to share check-in desks, baggage drop points and boarding gates.
The project includes 213 workstations, 72 self-service kiosks, 20 self-boarding units, 20 automated bag-drop stations and 10 biometric entry gates across several terminals.
Similar automation at Dubai International Airport and Heathrow Airport has reduced passenger processing times by up to 70%.
A shareholder dispute at Credit Bank has been referred to arbitration amid allegations of irregular insider lending, preferential treatment of top owners, and weak recovery of unpaid loans.
Minority shareholders, including Ketan Devram Morjaria (6.7% stake) and Jay Rajnikant Karia (3.3%), petitioned the High Court, citing breaches of the Companies Act, Banking Act, Prudential Guidelines, and internal policies, and sought investigations, accounting of transactions, and possible compulsory purchase of their shares.
Majority shareholders, including the Nyachae family, argued the dispute should be settled via arbitration under the London Court of International Arbitration rules, noting it falls within shareholder agreements signed in 2022 after Shorecap III LP acquired a 20% stake in 2023.
As reported by Business Daily, Credit Bank posted a Ksh207 million loss in the nine months to September 2025, with loans to shareholders and associates at Ksh651 million, down from Ksh695 million in December 2021.
As reported by the East African, KCB Group is targeting entry into Ethiopia before the end of 2026 to expand its regional footprint, which is driving growth in net earnings.
The lender has shortlisted a target entity it believes offers the right cultural and strategic fit and plans to acquire control, potentially seeking regulatory approval to exceed Ethiopia’s 49 per cent foreign ownership ceiling.
Part of the proceeds from KCB’s sale of National Bank of Kenya will finance the acquisition. Last year, KCB boosted its full-year dividend by 133 per cent to Ksh7 per share, totalling Ksh22 billion.
Regional subsidiaries already contributed Ksh20.3 billion to profit after tax in 2025, with DR Congo, Rwanda, and Tanzania accounting for 76.3 per cent. The Ethiopia entry continues KCB’s acquisition strategy, including stakes in Riverbank Solutions and Pesapal.
Dubai International Airport temporarily suspended flights after a drone struck a fuel tank near the airport, sparking a fire.
As reported by the Economic Times, Dubai Civil Defence teams quickly controlled the blaze, and no injuries were reported.
The suspension caused widespread disruption, with some flights diverted and others, including an Emirates flight from Kochi, returning to their departure airports.
Authorities urged travellers to use official support channels for updates. The incident highlights growing drone-related security risks affecting aviation across the Gulf, causing delays, diversions, and alerts for passengers at the major global hub.
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