News and Analysis
September 14, 2026
Hello and welcome to the Money News Roundup Newsletter. Today, we look at the government's plan to use bank, Sacco and other financial records to increase Hustler Fund limits. We also examine why Kenya is facing renewed fuel supply concerns following fresh disruptions in the Middle East.
The government plans to use borrowing and repayment records from multiple financial institutions to determine eligibility for higher Hustler Fund limits, targeting more than 10 million repeat borrowers for transition into the formal banking system.
The Business Daily reports that the initiative by the State Department for MSMEs will analyse financial behaviour using alternative data, including records from banks, Saccos, mobile lenders and other institutions.
The pilot is expected to guide enhanced credit limits, product innovation and refinancing opportunities.
The plan builds on the Bridge Loan product introduced in 2024, which uses borrower repayment behaviour to assign credit ratings.
MSMEs Principal Secretary Susan Mang’eni said the government is working with banks, credit reference bureaus, Safaricom and other stakeholders to develop a national credit score that could serve as a form of collateral and help borrowers access larger loans.
The State Department says more than 4.5 million previously listed borrowers have improved their ratings through timely repayments. Cumulative lending under Hustler Fund has reached Ksh88.92 billion.
Airtel Africa is winding up its Kenyan wholesale internet and fibre-optic subsidiary, Airtel Kenya Telesonic, two years after its launch. The Registrar of Companies said the firm will be struck off the register by December 2026 following a request by the telco.
As reported by NTV, the subsidiary surrendered its Network Facilities Provider Tier 2 licence after recording a net loss of Ksh16.1 million in 2025, up from Ksh2.9 million the previous year. Airtel’s parent company, Bharti Airtel, said the business was no longer viable due to strategic, operational and commercial challenges.
Airtel Kenya Telesonic operated in the wholesale fibre and data market, facing competition from Safaricom, Liquid Intelligent Technologies, Seacom and Bayobab. Kenya had 1.4 million fibre subscriptions as of December 2025.
Kenya faces fresh fuel supply and price pressures after Saudi Arabia shut its 1,200-kilometre East-West pipeline following drone attacks. The pipeline had become a critical alternative export route as conflict in the Middle East disrupted shipping through the Strait of Hormuz.
As reported by the Business Daily, the closure threatens fuel flows from Saudi Aramco, a key supplier under Kenya’s government-to-government fuel import deal. Energy CS Opiyo Wandayi said Kenya can still secure fuel supplies through alternative sourcing, but cannot shield consumers from higher global prices.
Brent crude has remained above Ksh12,956 ($100) per barrel, recently reaching Ksh13,800 ($107), as markets react to escalating tensions in the region.
Industry players warn that rising international fuel prices could push up local pump prices from the October 14 review unless the government intervenes.
President William Ruto has announced that Kenya has secured Ksh300 million from the Asian Infrastructure Investment Bank (AIIB) to fund a feasibility study for the proposed Mau Summit-Kericho-Kisumu-Malaba dual carriageway.
As reported by the People Daily, the President said the project is part of efforts to strengthen the Northern Corridor and improve trade links with Uganda and the Democratic Republic of Congo.
The planned highway will upgrade the existing road into a four-lane carriageway under a public-private partnership model. The feasibility study will assess traffic demand, engineering requirements, environmental impacts and construction costs.
The President added that construction is expected to begin in June 2027, after the completion of the Rironi-Mau Summit section
Major banks including Equity Group, KCB Group and Co-operative Bank could face reduced room to pay large dividends under proposed CBK rules requiring them to hold higher core capital buffers.
As reported by the Business Daily, the framework targets systemically important banks whose failure could destabilise the financial system. CBK wants these lenders to maintain additional Common Equity Tier I capital, largely made up of ordinary shares and retained earnings, to absorb losses during periods of stress and reduce the need for taxpayer-funded rescues.
If adopted, the rules may encourage banks to retain a larger share of profits instead of distributing them to shareholders. Listed banks paid Ksh117.2 billion in dividends for the 2025 financial year, with several lenders also raising interim payouts in 2026.
The proposal comes alongside a sector-wide push to strengthen capital levels, with all banks required to meet a minimum core capital threshold of Ksh10 billion by December 2032.
Bank lending for consumer durables such as cars, appliances, electronics and furniture has surpassed real estate financing for the first time, reflecting changing borrowing patterns and increased caution toward property lending.
CBK data shows consumer-durable loans rose 9.8% to Ksh502.2 billion in June 2026, while real estate credit fell to Ksh445.9 billion.
The shift marks a sharp reversal from 2018, when real estate lending far exceeded consumer financing. Since then, consumer-durable credit has grown 176.9%, compared to 19.3% growth in property loans. Read more.
Asset-financing firm Watu has secured a Ksh906 million (USD7 million) debt facility from AHL Venture Partners to strengthen working capital and expand its lending portfolio across selected African markets.
As reported by the Kenyan Wall Street, the funding will support financing for motorcycles, three-wheelers, smartphones and electric motorcycles. Founded in 2015, Watu has issued more than 7 million loans and operates in eight African countries, as well as Mexico and Brazil.
Watu is an associate of NSE-listed Car & General, which owns nearly 30% of the company. Car & General recently reported that its share of Watu’s profit surged 382% to Ksh2.04 billion in the six months to June 2026.
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