News and Analysis
February 24, 2026
Hello and welcome to the Money News Roundup Newsletter, where we cover powers Uganda will have after buying a Ksh20 billion stake in Kenya Pipeline IPO. We also cover the commencement date for the construction of the SGR extension to Kisumu.
Kenya has granted Uganda the right to veto future hiring and firing of the Kenya Pipeline Company (KPC) CEO, following an agreement that sees Kampala invest over Ksh20 billion to secure a strategic stake in KPC’s initial public offering (IPO).
As reported by Business Daily, Uganda will also approve any future issuance of new shares to prevent dilution of its ownership and will hold two board seats.
The concessions came after Uganda threatened to withdraw from the IPO, which seeks to sell a 65 per cent stake in KPC via the Nairobi Securities Exchange.
Without Kampala’s commitment, the IPO risked collapse, as less than half of the Ksh106 billion target had been subscribed. Uganda’s state-owned Uganda National Oil Company (UNOC) will invest in KPC, ensuring access to a reliable petroleum supply and supporting regional energy cooperation.
The IPO reserves 15 per cent for oil marketing companies, 5 per cent for employees, and the remainder for local retail, institutional, East African, and foreign investors, with Kenya retaining 35 per cent.
The deal follows earlier arrangements allowing UNOC to import fuel through Kenya’s Mombasa port, addressing past supply vulnerabilities.
The IPO, priced at Ksh9 per share and extended amid slow uptake, is expected to be the region’s largest, surpassing the 2008 Safaricom offering.
The government is keen to divest from state-owned companies while raising funds amid high debt and rising loan obligations.
Also Read: NTSA Activates Smart Camera System Sending Fines to Motorists on SMS
Construction of the Standard Gauge Railway (SGR) Phase 2B and 2C from Naivasha to Kisumu and Malaba will begin in March, following consultations with Kenya Railways, the National Land Commission and national and county officials.
As reported by the Star, the 264-kilometre Phase 2B line will include 79 bridges, eight tunnels and 376 culverts, plus 26 stations and a freight port facility.
An 8.68-kilometre branch will link the railway to the proposed Kisumu Port to enhance cargo movement on Lake Victoria.
Speaking after a consultative meeting, Kisumu Governor Anyang’ Nyong’o said discussions prioritised timely compensation for affected residents, local jobs and inclusion of local businesses to ensure the project delivers economic benefits across the Lake Region.
The Railway line will pass through Bomet, Narok, Kisumu and Nyamira county.
The Competition Authority of Kenya (CAK) has ordered Guaranty Trust Bank Kenya to pay a penalty of Ksh33,180,000 for false representation and unconscionable conduct against ASL Limited, and to refund Ksh13,211,285 in fees deemed improperly levied.
As reported by Citizen Digital, CAK said the probe followed a complaint lodged on October 5, 2024, over the management and renewal of ASL’s credit facilities.
The Authority found that the bank reduced previously agreed trading limits and later issued a default notice, charging Ksh13.2 million in default interest that ASL claimed was backdated.
CAK ruled the bank violated Section 55(a)(ii) of the Competition Act on misleading representation.
In response, GT Bank confirmed it has appealed the decision before the Competition Tribunal, arguing the findings were not supported by facts and maintaining its actions complied with contractual obligations and banking regulations.
SanlamAllianz Kenya has launched a new retirement plan allowing pensioners with at least Ksh4million in savings to draw a regular income while keeping the remaining balance invested.
As reported by Capital Business, the income drawdown fund permits retirees to withdraw up to 12 per cent of their savings annually, with flexibility to adjust payments monthly, quarterly or yearly based on their needs.
SanlamAllianz Life Insurance Kenya Managing Director Jacqueline Karasha said the product targets retirees seeking a steady income without committing all their savings to a fixed annuity.
The fund guarantees a minimum five per cent return to cushion against market volatility. Last year, the insurer declared a 15 per cent return.
Retirees with Ksh4 million or less may find annuities more suitable. Kenya’s pension industry manages about Ksh2.8 trillion in assets, with 28 registered drawdown providers.
Bolt has introduced a new driver safety feature that maps high-risk locations, allowing drivers to flag areas they consider unsafe. Drivers who decline trips to these areas will not face penalties, suspensions, or rating reductions.
The system reviews submissions using aggregated trip data, historical safety reports, and platform risk indicators before designating any location as high risk.
As reported by Eastleigh Voice, verified areas trigger in-app notifications for incoming trip requests, giving drivers autonomy to accept or decline without repercussions.
Dimmy Kanyankole, Bolt’s Senior General Manager for East Africa, said the move empowers drivers while strengthening trust.
The feature is strictly data-driven, based on multiple reports and safety indicators, not demographics, and locations are continuously reassessed to ensure risk mapping remains accurate and relevant.
Murang'a, Nakuru, Kiambu, Kisumu, and Meru top Kenya Vision 2030’s “Ranking of Counties on Job Creation, E-Government and Automation of Services” report, with Murang’a leading at 98.3%, followed by Nakuru (87.3%), Kiambu (83.9%), Kisumu (81.2%) and Meru.
Murang’a’s high score is credited to aggressive digitisation that doubled revenue from less than Ksh500 million to over Ksh1.3 billion, streamlined hospital services, online bursary applications, and the Inua Mkulima platform enabling farmers to receive subsidies via mobile phones.
As reported by Nation, counties were assessed on job creation, online service access, and revenue management efficiency.
Low-performing counties, mainly in arid regions, scored below 40%, hindered by poor infrastructure, limited internet, and technical capacity gaps.
Kenya Vision 2030 urges lagging counties to adopt digitisation strategies to boost efficiency, transparency, and revenue collection while improving service delivery.
BasiGo is testing a scheduled commuter service in Nairobi to offer fixed-route, non-stop trips between estates and commercial hubs like Westlands and Upper Hill.
The service uses data-driven route planning, digital payments via M-PESA and the Jani app, and onboard amenities like charging ports to attract middle-class commuters, charging Ksh150–200 per seat.
As reported by Techcabal, riders save up to 40 minutes per one-way trip, with corporate employees making up 90% of users.
BasiGo’s model allows operators to retain 75% of revenue while the startup takes 20%, providing technology and insights while traditional operators manage buses and drivers.
The three-bus pilot serves about 300 weekly riders at 80% occupancy, with plans to expand by 10 buses over 12–24 months, depending on vehicle supply and charging infrastructure rollout.
Nairobi’s prime office rents yielded 8.5% in H2 2025, lower than Kampala and Dar es Salaam at 9%, according to Knight Frank.
Prime rents in Nairobi averaged Ksh1,677.26 per sqm, compared to Ksh2,128.83 in Kampala and Ksh1,935.30 in Dar es Salaam.
As reported by the Business Daily, Nairobi’s Grade A occupancy rose from 77.7% to 80.3%, driven by high-quality completions and limited new supply, while rental rates remained stable.
Tenants increasingly prioritise cost efficiency, building quality, and ESG credentials over headline rents, with flexible and co-working spaces expanding, including IWG, Workstyle, Tulivu, and Worknest.
In contrast, Kampala and Dar es Salaam continue to see strong tenant demand, with high occupancies and competitive yields. Nairobi’s office market reflects flight-to-quality dynamics, growing sustainability adoption, and a shift toward flexible workspace solutions amid tenant-favourable conditions.
MRE Real Estate has begun construction of the Ksh400 million Manyanja Mall, a mixed-use commercial development in Nairobi’s Eastlands.
The mall will feature a supermarket anchor, petrol station, retail outlets, pharmacy, healthcare services, food and beverage outlets, SME spaces, and family recreational areas, with tenants including Quickmart, Rubis, and Goodlife International Limited.
As reported by Business Daily, Eric Muli, MRE CEO, said the integrated design aims to drive daily foot traffic, enhance tenant viability, and create a modern commercial hub for work, leisure, and shopping.
About 80% of retail space is pre-leased, with completion expected by August 2026. The project taps into Eastlands’ rising population, growing middle class, and increasing consumer demand, supporting both urban retail transformation and economic opportunities for local businesses.
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