Author: Muindi

Kenya’s craft spirits brand, African Originals, has expanded in Uganda, focusing on a niche market approach, according to CEO Alexandra Chappatte. “The biggest strategy we have put is to enter this market the right way and not put too much pressure on large sales; we will focus on a smaller market launch rather than larger ones.” “We consider Uganda a strong alcohol-drinking nation that loves sweet, strong drinks.” This expansion follows a $2 million (KSh258.6 million) funding round in 2024, led by Mauritius-based brewer Phoenix Beverages, and signals the company’s ambition to establish a presence in neighbouring Tanzania and Rwanda.…

Airtel Kenya says it is pursuing growth in Kenya’s mobile market with a multipronged strategy focused on affordability, network expansion, and customer-centric initiatives. Airtel notes that affordability, particularly in mobile money transactions,. Their “Rudishiwa Transaction Fee Campaign,” launched in December 2023 and continuing, reimburses customers for transaction fees.  As Managing Director Ashish Malhotra explained, “When you transfer money from your bank to your Airtel Money wallet, we will see what the bank has charged, and we will give it back to you as airtime. The airtime has no expiry, and you can keep it for as long as it takes.”…

Knight Frank’s Kenya Market Update H2 2024 reveals declining occupancy rates in the commercial office sector. According to the market report, average monthly asking rents for prime office space remained stable at USD 1.2 per sq ft. However, occupancy fell by 4.5% to 72.7% in H2 2024, down from 77.2% in H1 2024. This decrease is attributed to two primary factors: a challenging economic environment impacting tenant demand and the introduction of substantial new office supply including Purple Tower, Highway Heights, Matrix One, The Mandrake, and Museum Hill Towers, adding 522,284 sq ft to the market.  Despite this overall decrease,…

Equity Bank has announced a reduction in interest rates for new and existing Kenya Shilling-denominated loans. Effective February 13, 2025, for new loans, and March 1, 2025, for existing loans, all borrowers can expect a 300 basis point (3%) decrease. This move aligns with the Central Bank of Kenya’s (CBK) recent decision to lower the Central Bank Rate (CBR) by 50 basis points to 10.75%. This marks the third consecutive rate reduction by Equity Bank in the past six months, following similar decreases in September and November 2024. The revised Equity Bank Reference Rate (EBRR) stands at 14.39%, with individual…

The Kenyan government has approved additional spending of KSh199 billion in the second supplementary budget, a nearly threefold increase from the KSh67 billion that the Draft Budget Policy Statement for 2025 had proposed. This is significant, though lower than previously reported, and still exceeds the projected revenue shortfall following the withdrawal of the Finance Bill 2024. From the proposed 2024/25 Supplementary Estimates No. II, KSh199 billion has been allocated, comprising KSh199 billion for recurrent spending and KSh145.8 billion for development. “The approval comes amid economic disruptions, including civil protests in June, July, and August 2024, which led to the withdrawal…

US-based infrastructure investment firm Everstrong Capital has initiated efforts to secure Kshs 452.2 billion from Kenyan pension funds to finance the construction of the 440-kilometer Nairobi-Mombasa Expressway. In partnership with CPF Capital & Advisory, Everstrong Capital aims to channel significant pension fund assets towards this ambitious infrastructure project. CPF Capital & Advisory, a subsidiary of CPF Financial Services, will provide transaction advisory and placement services for the “Usahihi Expressway Project,” designed to improve travel efficiency between Nairobi and Mombasa. With Kenyan pension funds holding substantial assets, amounting to Kshs 2.0 trillion as of June 2024, Everstrong’s initiative represents a significant…