Oil pilot exposed revenue gaps, warns Controller of Budget
In a report on crude oil export strategies from the Lokichar Basin in Turkana, Nyakang’o said while the pilot phase offered key lessons on logistics, community engagement and technical readiness, it also revealed weaknesses in transparency, accountability and oversight. Kenya b..
✨ Key Highlights
Kenya's early oil pilot schemes exposed significant governance and revenue management weaknesses, prompting a stark warning from Controller of Budget Margaret Nyakang’o before full-scale crude exports commence.
- Nyakang’o cited limited disclosure of Production Sharing Contracts (PSCs) and weak monitoring of the five percent royalty for local communities.
- The Controller of Budget highlighted the absence of clear guidelines for accounting and spending petroleum proceeds and proposed that community funds be managed by a legally constituted local Board of Management.
- Nyakang’o emphasized the lack of a legal framework restricting oil revenues for recurrent expenditure and called for clarity on her office's mandate to authorize withdrawals from petroleum funds.
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Kenyan Financial Sector Sees Land Sale, New SME Platform, and Oil Revenue Warning - February 2026
CIC Insurance Group has generated KShs 1.8 billion from the sale of two land parcels located near Tatu City and in Kajiado County. This strategic move aims to bolster the company's financial standing and liquidity. In other business news, Agridex International has partnered with Tradeflow Capital Management to launch a new digital payments and trade finance platform, Loam. The platform is aimed at supporting SMEs in Kenya and across Africa, particularly in the agricultural and commodity sectors. Meanwhile, Kenya's early oil pilot schemes exposed significant governance and revenue management weaknesses, prompting a stark warning from Controller of Budget Margaret Nyakang’o before full-scale crude exports commence.
