Seven months before the maturity of the 2024 Eurobond, Kenya’s debt situation has been likened to a “patient in an intensive care unit” where extensive efforts are being made to restore good health, but the situation remains a matter of life and death.  In a

The African Business Council has taken a bold step in pursuit of economic growth and empowering local businesses. The council is championing a game-changing initiative that calls for 40% of all government procurements across the 55 African countries to be allocated to the African private

In a recent visit to Kenya, IMF managing director Kristalina Georgieva held discussions with President Ruto and members of the Cabinet on possible policy recommendations concerning Kenya’s recovery from the exogenous economic shocks the country is experiencing. In a bid to address economic growth and

The Finance Bill, 2023 which has got many tongues wagging across the country was tabled before the National Assembly on Thursday, May 4, 2023, by the National Treasury. The Bill proposes an array of tax changes geared towards expanding the tax base and raising revenue

Kenyans who travel by air are familiar with the concept of duty-free shops. This is where one buys specific goods such as perfumes, cosmetics, tobacco and hard liquor at lower prices because import duty has not been charged in shops located in airports. The Kenya

What is the IMF? The International Monetary Fund (IMF) was established in 1944 in the aftermath of the Great Depression in the 1930s. At the founding stage, the membership of the IMF comprised 44 member states. The membership has grown to a near-global status, with

The Finance Bill 2023 is the first fiscal legislative proposal under the Kenya Kwanza administration, aimed at implementing the Bottom Up Transformation Agenda. The Kenyan economy is expected to maintain a 6.1% growth rate over the medium term, with leading indicators showing strong performance in

Kenya recorded a decline in the growth of the agricultural sector last year, on account of unfavourable weather conditions that led to a reduction in both crops and livestock performance. The production of maize in 2022 was 3,204,000 tonnes, which is a drop, compared to

Kenyans have decried the high cost of living as the prices of basic food commodities have gone up making it hard for them to sustain themselves. The government on the other hand has faulted the war in Ukraine as well as climate change saying that

The state of Kenya’s economy is currently the subject of huge debate and focus, with the country facing a debt crisis.  In March, salaries of civil servants were delayed as the government prioritised paying off maturing debt. The two men in the eye of the

The current administration is committed to bringing legislative amendments to the fiscal policy through the Finance Bill, 2023, and the Budget Policy Statement. President William Ruto noted that the changes in the fiscal policy would introduce the National Tax Policy within the next three months

Over time, the country’s financial landscape has witnessed tremendous growth and transformation. Amidst the laudable growth and transformation, numerous risks and weaknesses have been exposed. As a result, the Central Bank of Kenya (CBK) which holds a regulatory and supervisory role over the country’s foreign

Telcos in Kenya have adopted Internet of Things (IoT) technology through a variety of projects. Airtel has launched the ‘Always On’ solution to allow devices anywhere to stay connected after launching their eSIM, which has proven particularly useful in the transport sector for tracking cars. 

While Kenyans decried the implementation of the new National Social Security Fund (NSSF) rates, Ms. Audrey Kagwiria, a Human Resource Officer, has lauded the move saying it is the best move as it will encourage Kenyans to cultivate the saving culture which many lack. In

Kenya has been facing a dollar shortage since March last year. This is an acute foreign exchange crunch, with the US dollar reserves dropping to their lowest in eight years. The Kenyan currency keeps plummeting against major global currencies and according to the Central Bank

The  Kenyan government announced that it will import large quantities of rice, cooking oil, sugar, wheat and beans duty-free through the Kenya National Trade Corporation (KNTC) as part of efforts to tame the rising cost of essential commodities in Kenya. The KNTC is a State

Kenya City Hall turns to Safaricom for revenue collection Safaricom has inked a two-year deal with City Hall to offer a payment platform for Nairobi County services in a move set to lower pilferages in collecting taxes and levies. The telco says it will develop

According to the World Bank (2021), Kenya is one of sub-Saharan Africa’s fastest developing economies. The Kenyan economy’s success has been bolstered by a stable macroeconomic environment, high investor confidence, and a resilient services sector. Furthermore, the country is proud of its market-based economy and

Background  The corporate advertising spectrum is awash with words such as “eco-friendly”, “natural”, “sustainable,” “net zero,” and “reusable” either on their products, services or other external communication mediums. These buzzwords have increasingly been used and applied by companies as they make attempts at prioritizing environmental,

The cost of living in Kenya has escalated in the past few years due to a combination of factors such as the Covid-19 pandemic, changing weather patterns, drought and increase in the price of fertiliser and other agricultural inputs. Annual inflation in Kenya went above

Kenya President Ruto clips CS Mutua wings in foreign policy shift President William Ruto’s government has announced a major shift in the country’s foreign policy by allowing other countries and their missions in Kenya to engage directly with ministries and state agencies, without going through

Kenya President Ruto clips CS Mutua wings in foreign policy shift President William Ruto’s government has announced a major shift in the country’s foreign policy by allowing other countries and their missions in Kenya to engage directly with ministries and state agencies, without going through

The Select Committee on Budget and Appropriations submitted the report on the Supplementary Estimates for FY 2022/2023. In the supplementary budget, requests for reallocations and additional allocations as well as expenses covered under Article 223 of the Constitution are submitted for approval by the Parliament.

Second-hand clothes or  ‘mitumba’ as they are popularly known in Kenya, are disposed of clothes previously worn in developed countries and imported to countries such as Kenya and other countries in Africa where they look fashionable and appealing, hence ‘trashion’. Many are familiar with the

 Kivutha Kibwana, David Oginde and Charles Kanjama were among those shortlisted for the position of Chairperson of the Ethics and Anti-Corruption Commission (EACC).  National Assembly Speaker Moses Wetang’ula called for the establishment of direct flights between Kenya and Algeria. The Public Service Commission shortlisted 224

The 2022 Tax Expenditure Report was released by the National Treasury with the goal of promoting data accessibility and transparency while providing information for tracking and analysing tax expenditures. Tax expenditures are utilised to accomplish particular policy goals by enacting targeted preferential tax measures that

  The “Why” of Debt Pre-cursorily, debt is indeed a double-edged sword. Wise and moderate use of the same, history has shown, results in improved welfare. Improper, imprudent and over-indulgence in debt, may end up being calamitous. On one hand, for households, individuals and private

Investments, Trade and Industry Cabinet Secretary (CS) Moses Kuria has met 10 sitting presidents and a former president in an interval of one month, igniting speculations of clashing roles with the Ministry of Foreign Affairs under CS Alfred Mutua. Even though Mr. Kuria on Monday

The Tax Procedures (Common Reporting Standards) Regulations, 2023 took effect on January 1, 2023. The Regulations are significant steps towards the global movement to increase tax transparency due to the increase in cross-border transactions that at times may lead to tax evasion and tax planning.

Recently, the National Assembly called for memoranda on the Supplementary budget 2022/2023 tabled before the House for approval. This budget was much awaited as President Ruto has promised to cut down government expenditure by KShs. 300 billion and work towards fiscal consolidation. Ideally, supplementary budgets

Price subsidies are not long-term solutions to social protection. The Kenya Kwanza administration has been eliminating most of the subsidies that were introduced by former President Kenyatta’s administration such as electricity, fuel and maize price subsidies. President William Ruto’s administration’s rapid elimination of the price

Kenya KRA set to tax hedging profits under new rules Kenyans engaging in transactions with foreigners to cushion them from volatility in financial markets will now be required to account for any profit realised by non-resident parties and remit tax on the same to the

When the fourth president of Kenya, Uhuru Kenyatta, assented to the National Social Security Fund (NSSF) Act, 2013 early on in his first term, he may never have envisioned the controversy that was ahead. A decade later, the NSSF Act 2013 is yet to be

The National Treasury recently published the Draft Green Fiscal Incentives Policy Framework “the Framework” to steer Kenya’s economy onto a desired low-carbon climate-resilient green development which is critical in achieving a green economy. The Framework sets out actions and economic mechanisms to be undertaken by

Kenya EPRA reveals second plan to increase cost of power The Water Resources and Management Authority (WARMA) is the latest State entity to seek a bigger pie of the electricity bills in what looks set to further increase the cost of power. WARMA has applied

Bill, 2023 At the core of national conversation lately is a proposed legislation seeking to govern the process of privatising state-owned companies and entities. The Privatisation Bill, 2023, which is at the public participation stage, seeks to streamline the regulatory and institutional framework for the

The Hustler Fund, which was launched late last year and has been in operation for over two months now, has so far disbursed Kshs. 15.9 billion in loans with about half of that money (Kshs. 7.7 billion) being repaid. 18.4 million Kenyans are subscribed to

Kenya Banks’ Sh224bn record profits signal bonus, dividends boom Banks’ pre-tax profits for 11 months to November last year hit a record Sh223.7 billion on increased lending, setting the stage for a dividend windfall for owners when full-year results are announced in March. Central Bank

Mr. Adil Khawaja (MBS) has been appointed the Chairman of the Board of Safaricom PLC, having been appointed director at the same entity earlier. Mr. Khawaja currently serves as the Managing Partner at Dentons Hamilton Harrison & Mathews, and is a leading name in the

Mr Ibrahim is the Chief Executive Officer and Co-Founder of Sunculture Kenya Limited, a climate, solar, agriculture, food systems and security, water, financing and Internet of Things firm. He is also an advisor to Ezra Venture Studio, a team and network of company builders and

In the last few years, the global economy has been trying to cope with multiple shocks and economic uncertainties. This has been elicited by the Covid-19 pandemic, political instability, climate change induced shocks and international conflicts. These effects may not end soon and have provided

The government has, in recent days, spared no effort or platform to confirm its commitment to economic transformation as outlined in the Kenya Kwanza Manifesto. Tax compliance is one of the critical planks featuring prominently in the economic transformation agenda. President William Ruto hardly misses

Kenya State bursts recurrent budget forecast by Sh81.7bn President William Ruto’s administration projects expenditure for the day-to-day running of the government is Sh81.7 billion more than what the previous regime budgeted, pointing to piling spending pressures, including salaries and wages. The Treasury has forecast recurrent

A high court ruling in Kenya this week has ordered the liquidation of two funds owned by Cytonn Real Estate – Cytonn High Yields Solution (CHYS) and the Cytonn Real Estate Project Notes (CPN) – to recover Kshs 14 billion owed to 4,000 investors. Some

LAMU The Governor has appointed various persons for the position of the County Executive Committee Member. KAKAMEGA The Governor has appointed various persons to be members of the County Executive Committee of the County Government of Kakamega with effect from December 7, 2022.   The

The Center for International Private Enterprise (CIPE) released a policy brief on micro and small enterprises’ participation in Kenya’s digital economy. It explored challenges that MSEs face in the digital economy. The study considered four categories of digital technologies; that is connectivity; digitisation and automation

What will the New Year usher in, in emerging markets and in Kenya? From an economic perspective, the following is expected in emerging markets:   GDP Growth  Global economic experts appear to be in agreement that there will be an economic growth slowdown but it

Fractional shareholding allows a person to purchase a piece, or a fraction of a share.  For example, if one share costs KSh 500, a person could buy a proportion of that say for KSh 250 while another person buys the remainder for KSh 250. Each

Kenya CBK raises key lending rate to 8.25pc to curb runaway inflation The Central Bank Monetary Policy Committee has raised the base lending rate from to 7.5 per cent to 8.25 per cent, citing elevated pressure from inflation. The modest increase by 75 basis points

In Part III of our series “Dissecting the African Union Data Policy Framework”, we will cover the key considerations in aligning a country’s regulatory context with the requirements of an African data economy.  A trusted data environment requires users to trust the entire political and

The Central Bank of Kenya (CBK) recently released the 2021 Financial Stability Report which discusses developments and risks in Kenya’s economy and financial sector in the post-Covid–19 pandemic recovery phase, and details how the financial sector has remained resilient.  The report outlines some of the

Kenya’s electioneering season is now in its final stretch. On August 9, voters will head to polling stations across the country and in the diaspora to cast their votes. A peaceful General Election in Kenya will strengthen regional stability. The country needs a leader who

A combination of decisions this week have provided some relief and could reduce the political pressure on the administration as it sees out its last days in office. Via the Finance Act, the Treasury reduced the tax on cooking gas, giving consumers relief in the

The Petroleum Principal Secretary, Mr Andrew Kamau, forgot that you “don’t joke with a hungry man” after his assertion this week that Kenyans are practically paying no taxes for fuel due to the subsidy to oil marketing funds caused an uproar. Still, the authorities have

The Covid-19 pandemic led to the sabotage of the global supply chain hence hiking of  fuel prices. This in return led to the spiral effect spilling to other sectors of the economy thus pushing up the cost of living. In a statement, National Treasury CS

World leaders assembled in Davos, Switzerland, for the 2022 World Economic Forum annual meeting against a backdrop of deepening global friction and uncertainties. It is against this backdrop that world leaders discussed the most pressing issues at the moment: Ukraine and the future of the

The time is now for the private sector to support economic prosperity and social mobility through a new social contract. An overhaul of the social contract will address 21st century realities and needs. A new social contract can deliver long-term value that enables economic security

Manufacturing is a critical sector in Kenya’s economic development in its contribution to both the national output and exports, as well as job creation.  Over the past decades, the sector has contributed heavily to diversifying Kenya’s economy. However, the pandemic in 2020 had a significant

The Kenya National Bureau of Statistics (KNBS) recently released the Economic Survey 2022, detailing how various sectors and job markets performed and offered insight into the post Covid-19 recovery. Kenya’s economy rebounded in 2021 compared to 2020, with most sectors recording significant improvement. According to

The Kenya Revenue Authority (KRA) has announced the establishment of an advanced forensic laboratory that will provide the authority the capability to access financial data from taxpayers’ computers and mobile phones, in a bid to detect tax evasion and to reduce financial fraud.  The Kenyan

Agroecology is the application of ecological principles to agricultural systems. Studies reveal that agroecology offers solutions to the ongoing farming and food security challenges in Kenya such as drought, hunger, poverty, and inequality. Agroecology supports small scale farmers in diversity and ensures long-term balance between

President Uhuru Kenyatta on Thursday, May 12, 2022, chaired a session of the nation’s apex policy organ ‐ Cabinet ‐ at State House, Nairobi. The Cabinet considered the state of the economy within the context of the 2022 Economic Survey.  In 2021, the Kenyan economy

Pillars of Focus to Entrench Sustainable Living Sustainability is the ability to continue a defined behaviour indefinitely in order to meet the needs of the present without compromising the ability of future generations to meet their own needs. According to the International Union for Conservation

Energy is vital for the economic progress of a country. It has a significant impact on all aspects of development, ranging from environment, social, economic, agriculture, population and livelihood. The COVID-19 pandemic also served to catalyse digitalisation of all aspects of economic activities. . Kenya’s

The camps of both leading presidential candidates put aside their rivalry this week to push a pliable electoral commission to extend the deadline for the submission of their running mates by 20 days.  While the names of the candidates and their mates were originally scheduled

Rubis Energy recently released its reviewed prices of liquefied petroleum gas refills. Customers refilling a 13kg gas cylinder would have to part with Kshs 3,340 from the current price of Kshs 3,113 being an increase of over Kshs 200. Pricing of cooking gas is unregulated

The 2022/23 Annual National Shadow Budget by IPFK™ for Kenya is the second edition, and it is one of its kind in the country.  The production of the Shadow Budget was supported by the integrated marketing firm Oxygéne Marketing and Communication Limited with the aim

Kenya’s economy has been on a path to recovery in 2021 following the easing of Covid-19 containment restrictions. As the economy rebounds, the country heads into an election year. Against this background, the Parliamentary Budget Office recently released the 13th edition of the Budget Options

By: John Mburu The EGCL Institute recently conducted a study on the impact that Government domestic borrowing has on private sector investment in Kenya. In summary, the study established that Government domestic borrowing can affect private investment negatively by reducing the amount of credit available

Kenya’s economy has been on a path to recovery in 2021 following the slump in 2021 occasioned by the negative effects of the Covid-19 pandemic. It is against this recovery background that Kenya’s 2022 Budget Policy Statement (BPS) is based upon.  Kenya’s economy rebounded strongly

This week, the International Court of Justice( ICJ)  ruled on the maritime dispute between Kenya and Somalia . The bone of contention was in which direction each of the country’s borders extends into the Indian Ocean. Somalia said the boundary should run in the same

The evolution of African policy and interests in legal cannabis production continues to gain traction. In October 2020, the Rwandan Cabinet approved regulatory guidelines for the production and processing of medicinal cannabis for export. Including Rwanda there are now ten countries in the region clearly

Today we mark exactly one year since Kenya recorded its first case of COVID-19 on 12th March, 2020.In its wake, the coronavirus disease has left our national consciousness wounded and scarred, every aspect of our life tested to the limit. The COVID enemy has remained

In the MTEF period 2017/18-2019/20, the total approved budget for the sector’s programmes and sub programmes was 78.9 Billion Ksh, while the actual expenditure was 66.47 Billion Ksh.
This represented 84.6% absorption level.

The Kenyan economy is currently facing significant challenges as a result of the COVID-19 (C19) exacerbating an already grim situation. Despite having attained a lower middle income status in 2014, Kenya has failed to adequately address institutional and structural inadequacies that have continued to hinder

The National Treasury has finalized the Draft 2021 Budget Policy Statement for the MTEF FY 2021/22 -2023/24 budget which is available at the National Treasury website www.treasury.go.ke. and it invites comments on it.

Per statistics by the World Bank, Kenya is set for a relatively short setback from COVID-19 with a s 4 percentage-point dip in growth this year, and 5.2 percent growth returning in 2021. This is still a permanent loss of 5 percent of GDP over

In his key note at the opening of the opening of the public Hearings on the FY 2021/22 and the medium-term Budget proposals at the Kenyatta International Convention Center on 25th November 2020, CS Ukur Yatani addressed the public on various elements of financial planning

The Kenya budget cycle is well on its way and is in fact half way through with the National Treasury and Planning having just concluded the public hearings for FY 2021/22 and Medium-Term budget proposals. The budget is the most important policy through which the

10.7%
Growth in broad money supply, M3, improved to 10.7
percent in the year to September 2020 compared to a
growth of 6.5 percent in the year to September 2019.

Ideally, removing the non-tariff barriers that remain the biggest hindrance to continental trade can foster regional integration, which must play a key role in the crisis recovery strategies in Africa.

It’s impossible to overstate how much Congress cares about agriculture – US agriculture is very productive, and we now want to work out how to sell it.” – A Senior USTR Adviser, 2020

The outbreak of the Covid-19 pandemic in 2019 has caused the most severe global economic setback. Its impact to our economy includes:
-Loss of lives
-Decline in demand of Kenya’s goods and services,
-Job losses,
-Decline in household earnings,
-Heavy public expenditures towards health sector and social
protection,
-Decline in revenue due to subdued economic activities.
Kenya’s GDP is projected to decline to 2.5 % in 2020 compared to a growth of 5.8 % in 2019.

The AfCFTA offers a unique opportunity to develop an inclusive trade system and economic model by increasing intra-continental trade; but in order to trade, Africa first has to produce; and not just primary commodities. However, the AfCFTA will only promote intra-African trade if governments actually implement it

A population estimated at 1.3 billion predominantly made up of young people and with an
abundance of natural resources, Africa presents market opportunities, a growing labour force
and raw materials for manufacturing.

As we walk the path to economic recovery, we need to work towards resuscitating the evening
economy while keeping safe.