Why EPRA Increased July Fuel Prices by Over Ksh8

Hello and welcome to the Money News Roundup Newsletter, where we are covering the latest increase in July fuel prices. We also cover new approvals for collective investment schemes.

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Fuel Prices Increase by Ksh8; Here’s Why

On Monday night, EPRA increased the prices for Super Petrol, Diesel, and Kerosene by Ksh8.99, Ksh8.67, and Ksh9.65 per litre, respectively.

The authority explained that the increase was necessitated by the increase in importation costs and an increase in international fuel prices.

As highlighted by the regulator, the average landed cost of imported Super Petrol increased by 6.45% from Ksh76,252 (USD590.24) per cubic metre in May 2025 to Ksh81,169 (USD628.30) per cubic metre in June 2025.

“The landed cost of imported diesel increased by 6.27% from US$580.23 per cubic metre to US$616.59 per cubic metre, while Kerosene increased by 6.95% from US$569.00 per cubic metre to US$608.54 per cubic metre over the same period,” read the notice in part.

Owing to this increase, the additional charges were passed down to the consumer.

For instance, in June, when the price of Super Petrol and Diesel in Nairobi was Ksh177.32 and Ksh162.91, the landed costs for each litre of fuel was Ksh76.83 and Ksh75.43, respectively.

However, with the latest increase, the landed cost for Super Petrol and Diesel was Ksh81.88 and Ksh80.22

Regarding taxes, some upward adjustments were identified in the Railway Development Levy, Import Declaration fee, and the Value Added Tax.

For instance, in June, the Railway Development Levy Ksh1.46. This figure grew to Ksh1:56 in July.

‍Govt to Hand Over Part of Nakuru-Kisumu SGR to Private Investor

As reported by the Business Daily, the government will hand over part of the Nakuru-Kisumu SGR line to a private investor.

This was revealed by Transport CS Davis Chirchir, who explained that the government will finance the construction of the infrastructure, such as the railway line and SGR stations.

On the other hand, the investor will provide locomotives, freight wagons, and coaches.

Under the framework, the government will charge the private investor a fee for operating along the line. The investor, on the other hand, will recoup their money through charges on the passengers.

"We have a framework where we are seeking to commercialise aspects (of the project) which are profitable. So with that investment of $5 billion (Ksh645 billion), we will be looking to reduce the portion that would otherwise,” he stated.

‍CMA Approves New Collective Investment Schemes As Demand Grows

The  Capital Markets Authority has granted approvals to several market players for the establishment of new collective investment schemes and sub-funds amid the growing appetite among Kenyans to invest in various schemes.

As reported in the People Daily, Sanlam Investments East Africa received approval to establish a new sub-fund under its existing structure, the Sanlam Special GBP Fixed Income Fund. This unit portfolio will be denominated in Great Britain Pounds (GBP).

VCG Asset Management Limited also received approval to register three funds under the VCG Offshore Opportunities Special Funds umbrella. They include: VCG Offshore Money Market Fund (KES), VCG Offshore Money Market Special Fund (USD), VCG Offshore Fixed Income Special Fund (KES).

Meanwhile,  ALA Capital Limited has been approved to register the ALA Capital Collective Investment Scheme (ALA CIS), comprising six sub-funds: ALA Balanced Fund, ALA Multi-Asset Special Fund, ALA Equity Fund, ALA Fixed Income (KES) Fund, ALA Money Market Fund (USD), ALA Money Market Fund (KES)

“These approvals reflect growing investor confidence and increased appetite for diversified investment options, including foreign currency-denominated and offshore funds,” CMA CEO Wyckliffe Shamiah stated

‍Kenyans Chase After High Returns in New Trend

Additionally, the Business Daily is reporting that Kenyans have raised their appetite for bonds compared to Treasury bills, owing to high interest rates.

For instance, T-bills are now paying rates of between 8.14 percent for the 91-day option and 9.71 percent for the 364-day paper, compared to yields of between 13.48 percent and 14.34 percent on the June and July bonds.

As a result, the last three T-bill auctions have failed to hit the usual weekly target of Sh24 billion, raising Ksh22.75 billion, Ksh21.76 billion, and Ksh14.48 billion respectively.

Govt Warns of Deregistration of Companies Over Incomplete Applications

As reported by Kenyans.co.ke, the Business Registration Service (BRS) will archive incomplete applications that were made between 2017 and 2024.

This archiving will affect both draft applications that were started but never submitted (2017-2024) and applications flagged for corrections that remained unaddressed (2017-2021).

Therefore, BRS urged all affected business entities to act swiftly by either submitting their draft applications or responding to correction requests before the deadline - August 14.

This clean-up aims to enhance efficiency at the Companies Registry and ensure records are up-to-date and compliant with the Companies Act, CAP 486.