Kenya has sharply increased its domestic borrowing target for the current financial year ending June 30, raising concerns about tighter access to credit for households and businesses. New data from the National Treasury shows the target has risen by 52.29 per cent, from Sh1.09 trillion to Sh1.66 trillion, with Sh965.87 billion already secured by the end of March 2026. The move highlights growing pressure on the local credit market, as the government turns to domestic sources such as Treasury bonds and bills largely financed by commercial banks, pension funds and insurance firms. According to Treasury figures, the revised borrowing plan…
Author: Davin Muthoni
The Kenya Revenue Authority (KRA) collected KSh 2.038 trillion in revenue by March 31, 2026, narrowly missing its nine-month target of KSh 2.122 trillion for the period between July 2025 and March 2026. Despite the shortfall, the tax authority recorded notable growth compared to the KSh 1.829 trillion collected during the same period in the previous financial year. “This represents a performance rate of 96.1% and an 11.4% growth over the corresponding period in the previous financial year,” KRA said in a statement on Tuesday. KRA attributed the improved performance to increased efficiency in tax administration, enhanced digital systems, and…
Kenya’s public pension bill has for the first time surpassed the Sh200 billion mark, underscoring the growing financial strain on the Exchequer already grappling with delays in disbursing payments to retired civil servants. Data from the National Treasury shows that Sh207.19 billion was spent on pensions and gratuities in the financial year ending June 2025—a 39 percent increase from the Sh148.9 billion spent in the previous year. This surge means pension payments now account for 11.6 percent of total disbursements under the Consolidated Fund Services (CFS), up from 8.4 percent a year earlier. Despite the increased budget, pensioners continue to…
Health experts have raised alarms over the increasing reliance on instant noodles among Kenyan households, particularly as busy parents turn to the quick-fix meals to manage evening routines. Across many urban and peri-urban areas in Kenya, instant noodles have become a staple food, praised for their affordability, speed of preparation, and child-friendly taste. In numerous middle-class homes, they now sit on kitchen shelves alongside maize flour and rice. For working parents—especially mothers juggling demanding careers with household responsibilities—noodles are often the go-to dinner solution. “I get home at 7 p.m. By that time, the children are hungry, there’s homework to…
Kenyan traders will continue importing wheat and rice at preferential tax rates after the East African Community (EAC) Council of Ministers approved an extension of the duty remission scheme, Treasury Cabinet Secretary John Mbadi has announced. The arrangement allows millers to import wheat at a reduced tariff of 10 per cent—significantly lower than the standard 35 per cent Common External Tariff (CET) imposed by the EAC on goods from outside the seven-member bloc. “Mindful of wheat farmers in Kenya, EAC ministers agreed on duty remission for wheat at a rate of 10 per cent instead of the CET rate of…
As Africa moves closer to realizing the full potential of its historic free trade agreement, Kenya continues to emerge as a driving force behind the African Continental Free Trade Area (AfCFTA). The recent Kenya IATF2025 Business Roadshow held in Nairobi served as a powerful testament to the country’s commitment to fostering intra-African trade, with government officials and business leaders outlining bold strategies to position Kenya as a continental trade and innovation powerhouse. According to Lee Kinyanjui, Cabinet Secretary for Investments, Trade, and Industry, speaking during the roadshow, themed; Harnessing Regional and Continental Value Chains: Accelerating Africa’s Industrialisation and Global Competitiveness…
The Kenya National Union of Teachers (Knut) has renewed its call for a 60 per cent salary increase for teachers in the proposed 2025–2029 Collective Bargaining Agreement (CBA), urging the Teachers Service Commission (TSC) to fast-track the signing of the deal. The union is now appealing to the newly appointed Acting Chief Executive Officer of the TSC, Evaleen Mitei, to prioritise the conclusion of the negotiations. Her predecessor, Dr Nancy Macharia, left office before finalising the discussions, which began earlier this year and were expected to be concluded by 1 July. Knut Deputy Secretary-General Hezbon Otieno, alongside First National Vice-Chairman…
