EPRA Increases Electricity Cost for All Kenyan Households

Welcome to the Money News Roundup. Today, we break down the new electricity tariffs that will see Kenyans pay more for power. We also look at the extra PAYE deductions that have sparked concern among teachers.

EPRA Increases Electricity Cost for All Kenyan Households

EPRA has introduced new monthly electricity tariff adjustments that will increase power costs for households and businesses.

As reported by the Eastleigh Voice, consumers will pay a forex fluctuation charge of Ksh0.7154 per kWh, a fuel energy cost charge of Ksh3.14 per kWh and a Water Resource Management levy of Ksh0.0142 per kWh. 

Together, the charges add about Ksh3.87 to every unit of electricity consumed.

The higher costs will affect both prepaid and postpaid customers, resulting in more expensive token purchases and larger monthly bills.

 EPRA said the adjustments are intended to recover about Ksh779 million in foreign exchange losses recorded across the power sector.

Teachers Question Extra Ksh108 PAYE Deduction in June Salaries

Teachers are questioning an unexplained increase in PAYE deductions that appeared in their June 2026 payslips despite no corresponding salary increment.

As reported by Citizen TV, KNUT says most teachers recorded an increase of about Ksh108 in PAYE deductions, while some teachers in higher job grades saw even bigger adjustments.

KNUT Deputy Secretary General Hesbon Otieno said the deductions have raised concerns because teachers' payslips do not reflect any salary increase that would justify a higher tax obligation.

The union estimates that if the adjustment is applied across the more than 300,000 teachers employed by the TSC, the additional deductions could amount to approximately Ksh32.4 million in a single month.

The union has called on TSC to explain the deductions, arguing that any changes to statutory deductions should coincide with the implementation of the second phase of the 2025–2029 CBA, which is expected to take effect in July.

IMF Wants CBK to Reduce Policy Meetings to Four a Year

IMF has recommended that the CBK reduce its Monetary Policy Committee (MPC) meetings from six to four annually to better align them with the release of quarterly economic data.

As reported by the Business Daily, according to the IMF, synchronising policy meetings with KNBS data releases would allow CBK to prepare more comprehensive inflation forecasts and improve policy decisions.

The lender later proposes increasing meetings to eight annually, with four interim sessions based on updated data and short-term projections. CBK currently holds MPC meetings every two months and recently retained its benchmark rate at 8.75 per cent.

Britam Launches Trust Services With Ksh5,000 Minimum Investment

Britam has launched a trust services business aimed at helping Kenyans protect and transfer wealth across generations. 

As reported by the Kenyan Wall Street, the insurer introduced two products: the Britam Cash Trust, designed for specific needs such as education and healthcare, and the Britam Family Trust, which can hold property, businesses, investments and cash.

The Cash Trust requires a minimum investment of Ksh5,000 or a one-off deposit of Ksh50,000. Britam says the products are designed to make trusts accessible beyond wealthy families. The launch comes as unclaimed financial assets in Kenya have surpassed Ksh115 billion, highlighting growing succession and inheritance challenges.

Telcos Push for Govt to Make Phones Below Ksh12,900 Tax-Free

Mobile network operators are urging African governments to remove taxes on entry-level smartphones priced below Ksh12,900, arguing that high handset costs remain the biggest barrier to internet access.

As reported by the Business Daily, the GSM Association (GSMA) says 63 per cent of Africans remain offline despite widespread mobile broadband coverage, largely due to affordability challenges. 

The industry body wants governments to stop treating smartphones as luxury goods and instead view them as essential tools for education, healthcare, financial services and access to government services.

The push comes as Kenya retains a 25 per cent EAC customs duty on imported smartphones.

Buyers Become Top Source of Loans for Farmers

Farmers increasingly turned to produce buyers for financing during the long rains season, according to a CBK survey. The share of farmers accessing credit from buyers rose to 45 per cent in May 2026 from 24 per cent in March.

As reported by Nation, the growth reflects rising adoption of value-chain financing, where buyers provide cash advances or farm inputs in exchange for future produce deliveries. 

CBK attributed the trend to favourable March–May rains and improved harvest expectations, which encouraged buyers to secure future supplies. The survey found buyer-linked financing played a bigger role than traditional sources such as SACCOs and digital lenders.

KCB Agents to Offer Airtel Money Deposit and Withdrawal Services

Airtel Money customers can now deposit and withdraw cash through more than 22,000 KCB Bank Kenya agents nationwide following a new partnership between the two firms.

As reported by Capital Business, under the agreement, customers with registered Airtel Money accounts can access services at KCB agent outlets using a valid identification document. Deposits will be free, while standard withdrawal charges will apply.

Airtel Money says the partnership will bring services closer to customers by leveraging KCB’s extensive agent network.