Cross-listed power utility Umeme issued a profit warning and expects a loss for the year ending December 2025, following the end of its electricity distribution operations in Uganda. The company said operating revenue stopped after its 20-year concession expired on March 31, 2025, cutting off income from the second quarter. Umeme is pursuing compensation claims against the Government of Uganda under privatization agreements. The outcome could significantly affect its financial position.

Kenya is accelerating export market diversification as uncertainty persists over the extension of the African Growth and Opportunity Act. While the US House of Representatives voted to extend AGOA to 2028, the US Senate is considering a shorter extension to December 2026, leaving exporters in limbo. The textile and apparel sector—employing more than 80,000 people directly—has been hardest hit. Kenya is targeting the European Union, China, and India to reduce reliance on the US market.

Kenya’s annual inflation rate slowed to 4.4% in January 2026 from 4.5% in December, according to the Kenya National Bureau of Statistics. The moderation was driven by lower transport costs, declining fuel prices, and easing food prices for key items. Reduced internet and communication fees also contributed. Inflation remains within the Central Bank of Kenya’s target range of 2.5–7.5%, signalling continued macroeconomic stability.

Kenya Power welcomed the energization of the Sondu–Ndhiwa–Homa Bay–Awendo 132kV transmission line by Kenya Electricity Transmission Company, saying it will improve power reliability in South Nyanza and parts of the South Rift. Switched on at 4:07 pm on Wednesday, the line strengthens supply from the Sondu generation plant, eases pressure on the Muhoroni–Chemosit section, and has enabled peak-hour supply without load management.

Clean-cooking startup KOKO Networks announced plans to wind up its operations in Kenya.  The company cited the government’s failure to authorize the sale of carbon credits—critical for subsidizing bioethanol fuel for low-income households—as the main reason for the shutdown. The closure threatens about 700 jobs and a $300 million investment, with reports indicating KOKO may file a claim under a political risk guarantee from the Multilateral Investment Guarantee Agency.

Member contributions to the National Social Security Fund rose 35% to Ksh83.97 billion in the year to June 2025, up from Ksh62.29 billion a year earlier, driven by an 8% increase in active contributors. Total member funds climbed 43% to Ksh572 billion, narrowing the gap to President William Ruto’s Ksh1 trillion asset target by 2027. Investment assets and returns also surged, though benefits paid fell 10% amid claims, highlighting persistently low pension coverage.