News and Analysis
August 20, 2026
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Welcome to the Money News Roundup. Today, we look at the government's plans for the troubled Metropolitan Sacco after a fresh inquiry found it insolvent. We also cover reports that Quickmart's majority owner is exploring a potential exit, including the possibility of listing the retailer on the Nairobi Securities Exchange (NSE).
The government is considering winding up Metropolitan Sacco after a fresh inquiry found little improvement in its financial position over the past three years.
As reported by Nation, Commissioner for Co-operatives David Obonyo said the sacco remains insolvent despite being given time to recover. He noted that winding up, a merger, or an acquisition are the options under consideration, with a final decision to be made after consultations with members and other stakeholders.
The inquiry, conducted in June, examined the sacco's financial health, sustainability and operations amid ongoing legal battles involving former officials accused of fraud.
Metropolitan Sacco closed 2024 with Ksh7.41 billion in deposits and a Ksh17.2 billion loan book, with nearly 99% of the loans in default. The institution is also facing mounting pressure from members seeking refunds of their savings, with some obtaining orders from the Co-operative Tribunal.
Authorities have previously investigated alleged misappropriation of billions of shillings and an untraceable Ksh50 billion loan book, deepening concerns over the sacco's future.
David Ndii, the chairperson of the President's Council of Economic Advisers, says Kenya has committed to invest about Ksh64 billion (USD500 million) for a stake in the planned Dangote Refinery in Lamu.
Ndii, who was speaking at Mwango Capital’s Forum, stated that Dangote had offered East African countries a 30% stake, adding that Ethiopia and Rwanda will also invest in the refinery. Tanzania and Uganda are also expected to invest, despite recently signing a deal to develop a joint refinery in Tanga.
East African Community (EAC) countries are expected to collectively invest Ksh194 billion (USD1.5 billion) in the project.
Construction of the regional refinery is set to begin in October 2026. The project is estimated to cost Ksh2 trillion and is expected to process 700,000 barrels of crude oil per day.
Also Read: Govt Weighs 3 Options for Metropolitan Sacco After Financial Woes
KRA cannot disallow a taxpayer’s input VAT claim solely because a supplier has been classified as a missing trader, the Tax Appeals Tribunal has ruled while cancelling a Ksh15.76 million tax assessment against an events company.
As reported by the Kenyan Wall Street, the Tribunal set aside the assessment against Chairmania Events Ltd after finding that KRA failed to prove that purchases from Terrex Traders Ltd were not genuine.
KRA had rejected the firm's input VAT claims on equipment such as tents, projectors, chairs and sound systems, arguing that Terrex was a missing trader.
However, the Tribunal found that Chairmania had submitted invoices, electronic tax receipts, payment vouchers and supplier records. It ruled that once a taxpayer provides the required documents, KRA must independently investigate and prove the transactions were not genuine before denying VAT deductions.
The High Court has upheld a Ksh3.5 million damages award against Crown Paints Kenya for painting its brand on a commercial building in Thika without the owner's consent.
As reported by the Business Daily, Punjab Engineering Works Ltd, the property's owner, sued the paint manufacturer in 2020, arguing that Crown used the building for advertising and gained commercial benefit without permission. The company produced its title deed and photographs showing Crown branding on the property.
Crown appealed the award, arguing that the damages were excessive and that Punjab had not proved financial loss. However, the court ruled that once trespass is established, a claimant does not need to prove specific losses to receive damages.
The judge found the award reasonable, citing the infringement of property rights and the commercial nature of the building.
Private equity firm Adenia is exploring the sale of its majority stake in supermarket chain Quickmart, a move that could result in a multi-billion-shilling transaction.
As reported by the Business Daily, the investor has engaged advisers and the Nairobi Securities Exchange (NSE), with a potential public listing among the options under consideration.
Adenia invested in Kenya's retail sector in 2018 through Tumaini and later acquired Quickmart in 2019. Since then, the retailer has expanded to 70 branches across 16 counties, becoming Kenya's second-largest supermarket chain after Naivas.
Financial Times recently ranked Quickmart among Africa's fastest-growing companies, with sales rising from Ksh29.3 billion in 2021 to Ksh46.9 billion in 2024.
Kenya's banking sector recorded strong growth in 2025, with total assets rising 10.3% to Ksh8.35 trillion, according to the Kenya Bankers Association's State of the Banking Industry Report.
As reported by Citizen Digital, customer deposits increased by 9.9% to Ksh6.38 trillion, reflecting continued confidence in the sector, while net loans and advances grew 6.9% to Ksh4.35 trillion.
The ratio of non-performing loans fell to 14.7% from 16% in 2024, signalling improving asset quality.
However, banks increased loan loss provisions by 16.5% to Ksh97.87 billion as a precaution against potential defaults. The sector also continues to expand investments in sustainable finance and renewable energy projects.
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