Kenyan MPs have approved the sale of a 15 percent government stake in Safaricom to South Africa's Vodacom, paving the way for the National Treasury to receive approximately Sh240 billion.

• The transaction is set to generate Sh200 billion from the sale of shares, plus an upfront payment of Sh40.2 billion in lieu of future dividends.
• This parliamentary approval, achieved via acclamation despite a protest from Suba South MP Caroli Omondi, allows the transaction to proceed from April 1, 2026.
• Under the approved deal, Vodacom's stake in Safaricom will increase to 55 percent, with job protection commitments for Safaricom staff and retention of a Kenyan chairperson and independent directors.

A new study released on Monday by the Kenya Association of Manufacturers (KAM) reveals that high and unpredictable logistics costs are preventing Kenyan Small and Medium Enterprises (SMEs) from fully accessing African markets, despite the African Continental Free Trade Area (AfCFTA).

• High logistics costs, including border delays, infrastructure gaps, and expensive freight, often negate the benefits of tariff reductions under the AfCFTA.
• The Kenya Association of Manufacturers (KAM), an umbrella body for Kenyan industrialists, conducted the study.
• KAM Chief Executive Officer Tobias Alando highlighted that border procedures are a significant source of these costs and unpredictability, emphasizing that improved coordination among border agencies could ease clearance delays.

Kenya's fiscal stability is under threat as the Controller of Budget, Margaret Nyakang'o, warns of a deepening debt cycle fueled by expensive borrowing and poor project management. The nation's public debt has surged to Sh12.29 trillion, significantly exceeding the legal threshold.

• Public debt reached Sh12.29 trillion as of December 2025, equivalent to 67.8 percent of GDP.
• Key stakeholder: Controller of Budget Margaret Nyakang'o.
• A major concern is the increasing amount of debt servicing going towards interest payments rather than principal reduction, a situation described as "hazardous borrowing."