News and Analysis
July 3, 2026
Welcome to the Money News Roundup. Today, we unpack the World Bank's demands for Kenya before it can access fresh funding. We also look at the government's plan to tap SACCO savings to finance infrastructure projects.
The World Bank has outlined a fresh set of reforms Kenya must implement before accessing the third tranche of funding under its Development Policy Operations (DPO) programme.
As reported by the Business Daily, the conditions include enacting the Whistleblower Protection Act, requiring public officials to declare and verify their personal interests, publishing regulations to limit unsolicited Public-Private Partnership (PPP) proposals, and promoting competitive tendering for infrastructure projects.
Kenya must also amend the Companies Act to align beneficial ownership rules with international anti-money laundering standards, revise the Public Finance Management Act to ensure budget changes remain within Parliament-approved limits, and consolidate payroll and human resource records across government institutions.
Other demands include enacting the Railways Bill, publishing regulations for the Urban Transport Policy and E-Mobility Policy, integrating green building standards into the Affordable Housing Policy, and adopting mandatory Green Building Standards for new developments.
The reforms are tied to future World Bank budget support after Kenya recently secured Ksh97 billion under the programme. The lender says the measures will improve transparency, accountability, competition, climate action and public financial management while reducing corruption and strengthening investor confidence.
The government has mulled allowing SACCO savings to finance infrastructure projects through regulated investments, saying the move would support national development while safeguarding members' funds.
As reported by NTV, speaking during Ushirika Day celebrations, Kithure Kindiki said the proposed Cooperatives Bill is expected to become law within a month and will modernise the sector by improving transparency and governance.
He noted that SACCOs hold more than Ksh1 trillion in savings and could invest in government-backed infrastructure bonds and structured funds, similar to pension schemes.
Officials insist participation will be voluntary and protected by regulation.
However, critics have raised concerns that the plan could expose members' savings to risks linked to government borrowing.
Dangote Industries has revealed that its planned oil refinery for East Africa will be set up in Kenya and will have the capacity to refine 700,000 barrels of crude oil per day.
As reported by Nigerian media outlet, ChannelsTV, the announcement was made by Dangote Industries' Group Vice President for Oil and Gas, Devakumar Edwin, who said the Kenyan plant forms part of the company's Africa expansion strategy.
The proposed refinery, estimated to cost Ksh2.2 trillion, is expected to supply refined fuel to Kenya, Uganda, Tanzania, South Sudan and other East African markets, reducing the region's dependence on imported petroleum products.
The project was initially planned for Tanzania's Tanga Port, but Dangote shifted the investment to Kenya, citing better infrastructure, stronger market demand and more favourable maritime logistics.
The refinery is expected to be built in either Mombasa or Lamu, with the final location yet to be confirmed.
Kenya reduced annual repayments on Chinese loans by Ksh21.61 billion in the financial year ending June 2026, following the restructuring of debt tied to the SGR.
As reported by the Business Daily, Treasury data shows payments to Chinese lenders fell to Ksh107.74 billion, down from Ksh129.35 billion a year earlier.
The restructuring converted three dollar-denominated SGR loans into Chinese renminbi, extended repayment periods and secured additional grace periods, lowering annual debt servicing costs.
It also replaced floating dollar interest rates with fixed renminbi rates, shielding Kenya from high US interest rates. Despite the relief, the Treasury continues to fund SGR loan repayments as negotiations with China over escrow account terms continue.
A new report has raised questions over the role of private companies in processing payments under the Social Health Authority (SHA) system after hospitals reported being referred to a little-known firm to resolve delayed claims.
As reported Nation, healthcare providers with payment issues were directed to Finsprint, a company said to manage the payment gateway linking approved SHA claims to hospitals' bank accounts.
The report also claims Finsprint deducts 2% from hospital payments as logistics costs, a fee some providers say was never explained.
SHA, however, maintains it pays hospitals directly, while the digital consortium only provides the technology supporting claims processing and does not approve claims or control public funds.
Mansa-X Special Fund KES recorded a 5.95% net return in the second quarter of 2026, bringing its first-half net return to 10.97%, equivalent to an annualised net return of 23.15%.
Meanwhile, the Mansa-X Special Fund USD delivered a 3.56% net return in the second quarter, lifting its H1 2026 net return to 6.54%. This translates to an annualised net return of 13.51%.
At the end of Q1, Mansa-X Special Fund KES had Ksh132 billion assets under management, while the USD had Ksh17 billion.
Editor's Note: We know many of our readers are looking for opportunities that go beyond standard market returns. If you're interested in learning more about special funds from the fund managers directly, please fill your details here.
.png){kind=small}
Join 1.5M Kenyans using Money254 to find better loans, savings accounts, and money tips today.
Money 254 is a new platform focused on helping you make more out of the money you have. We've created a simple, fast and secure way to find and compare financial products that best match your needs. All of the information shown is from products available at established financial institutions that our team of experts has tirelessly collected.
.png)
