News and Analysis
January 13, 2026
Hello and welcome to the Money News Roundup Newsletter, where we are covering audit queries on the Ksh19 billion loan given to Kenya by the World Bank for affordable houses. We also cover Airtel's plans to introduce an overdraft facility to rival Fuliza.
A report by the Office of the Auditor-General has revealed that Ksh19.6 billion intended for affordable home loans cannot be accounted for as the relevant documents are untraceable.
The audit report indicated that the money was released by the World Bank’s International Bank for Reconstruction and Development (IBRD) to the Kenya Mortgage Refinance Company (KMRC).
As reported by Nation, Kenya signed a Ksh33.1 billion (EUR219 million) loan with IBRD in December 2019 to expand access to affordable housing finance.
The project, operational until June 2025, involved on-lending by KMRC to financial institutions, and ultimately to home buyers. Audit records show that Ksh19,620,451,418 (EUR148,028,519) had been disbursed to KMRC by June 30, 2025.
The loan agreement, required KMRC to repay the principal in 40 semi-annual installments starting March 2024. The report from the OAG shows that the repayment records are unavailable.
Auditor General Nancy Gathungu noted that KMRC’s financial statements are not audited by the Auditor-General, preventing confirmation of fund utilisation.
KMRC CEO Johnstone Olteita disputed the audit, stating the funds have refinanced over 5,100 mortgages through banks and SACCOs, providing single-digit, fixed-rate, long-term loans.
The audit also flagged low absorption of technical assistance funds, with only 25 percent of the Ksh725.8 million used by June 2025, jeopardising consulting, training, and operational support for the project.
Treasury Cabinet Secretary John Mbadi on Tuesday, January 13, revealed that the government will pay Ksh3 billion to investment banks and lawyers handling the sale of government shares in Safaricom.
This translates to about 1.36% of the Ksh204 billion sale. The government will receive an advance payment for dividend monetisation pushing the total amount to Ksh244.2 billion.
Mbadi told Parliament that the proceeds will be managed through the newly formed National Infrastructure Fund Limited, which attracted attention after it was revealed that it has been set up as a limited liability company.The government is the sole shareholder.
The National Treasury plans to invest Ksh204 billion from the partial sale into commercially viable infrastructure projects.
As reported by Nation, Mbadi said the fund could eventually raise between Ksh500 billion and Ksh600 billion through the Safaricom divestiture, a planned Kenya Pipeline Company IPO, and other state assets.
The sale requires parliamentary approval. The National Assembly is set to undertake public participation sessions on the proposed sale before making a final decision.
The US House of Representatives has passed a bill to extend the African Growth and Opportunity Act (AGOA) by three years, easing uncertainty for African economies that depend on preferential access to the American market. The bill was approved by 340 votes to 54 and now moves to the U.S. Senate.
AGOA, enacted in 2000, allows eligible African countries to export goods to the U.S. duty-free, supporting trade, investment, and jobs.
As reported by Capital FM, Kenya is a major beneficiary, earning billions annually from exports such as apparel and textiles, coffee, and nuts.
President William Ruto recently welcomed the proposed extension, saying it would protect existing gains while enabling talks on a broader trade framework. He highlighted opportunities in manufacturing, agriculture, pharmaceuticals, and digital services. The Senate is expected to vote on the bill in the coming weeks.
The government has rolled out a new automated system to verify changes in company officials, aiming to enhance data protection, curb fraud, and ease business compliance.
As reported by Eastleigh Voice, the Business Registration Service (BRS) said the platform will automate confirmation of director appointments, resignations, and share transfers using secure multi-factor authentication.
BRS Director General Kenneth Gathuma said the system will rely on One-Time Passwords (OTP) to confirm changes, ensuring end-to-end verification. The agency noted the move will help protect shareholders’ investments and reduce identity theft and fraudulent filings.
BRS added that mandatory confirmation by appointed directors aligns with the Data Protection Act 2019, preventing unauthorised use of personal data. BRS has invited the public to a validation webinar scheduled for January 20, 2026, at 3 pm.
Airtel Kenya is preparing to launch a digital overdraft on Airtel Money, taking on Safaricom’s Fuliza in the short-term mobile loans market.
The telco says it is in advanced approval talks and plans to roll out the product early this year, allowing customers to complete transactions even with insufficient balances, within limits set by usage history.
According to the Business Daily, Airtel has hinted that the overdraft will carry cheaper charges.
Fuliza, launched in 2019, covers transaction shortfalls and recovers funds automatically with fees and interest. Safaricom charges a 1 percent access fee plus daily charges ranging from Ksh5 to Ksh30.
Fuliza users grew to 9.1 million by September 2025, with borrowing rising to Ksh629.2 billion. Airtel Money boss Anne Kinuthia Otieno has criticised high mobile lending costs, pushing for affordability as Airtel expands its services.
Uber has stopped accepting Visa cards in Kenya, ending a payment option once popular with business travellers and expatriates.
The change, which took effect in January, was confirmed to TechCabal, with Uber citing a review of payment methods amid rising global costs.
The move reflects a broader shift toward cheaper, locally settled payment options as cross-border card fees rise. In Kenya’s mobile-money-led economy, Uber is prioritising M-PESA and cash, while Mastercard remains accepted.
Visa transactions were largely processed offshore, attracting foreign exchange spreads and interchange fees. Mobile money offers faster settlement, fewer disputes, and lower costs.
The change poses a challenge for corporate users who rely on credit cards for expenses.
The Uganda Communications Commission (UCC) has ordered the suspension of public internet access and selected mobile services during the January 15 elections, citing national security concerns.
The regulator said the move aims to curb the spread of misinformation, disinformation, and electoral fraud during the voting and immediate post-election period.
As reported by Citizen Digital, the shutdown began on Tuesday, January 13, at 6 pm. Telecom operators were instructed to disable access to social media platforms, mobile data services, and other internet-based communication channels.
However, essential services such as healthcare, financial services, transport, aviation systems, and security operations will retain access through whitelisted networks, VPNs, and private circuits.
The move by Uganda is expected to disrupt services for Kenyans with businesses in the neighbouring country, especially those that rely on the internet for business activities.
Microsoft Kenya Country Manager Phyllis Migwi will leave her role in February after three and a half years, as the company begins a formal search for her successor.
As reported by Techcabal, her departure coincides with Microsoft preparing to launch its East Africa Azure cloud region and local data centre.
During her leadership, Microsoft elevated its profile in Kenya’s tech ecosystem, hosting Africa’s largest Global AI Tour in Nairobi, expanding rural connectivity through the Airband program, and announcing a Ksh155 billion digital investment with UAE-based G42 anchored on a green data centre.
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