AGP Executive Report

Youth & Permits: President Ruto ordered a two-year business permit waiver for NYOTA beneficiaries, directing IBEC and county governments to cut early compliance costs so young firms can stabilize and grow. Green Mobility & Industry: UNDP and TAILG signed an MOU to back a Green Mobility Centre of Excellence, aiming to incubate green, low-carbon mobility projects. Energy & Petrochemicals: Economist David Ndii says Dangote’s planned Ksh2.2tn Lamu refinery should be developed as a wider petrochemical complex to boost value addition by at least 50%, feeding plastics, packaging, construction and consumer goods. Livestock Exports: Government moved to operationalize the Isiolo Export Abattoir to shift from live-animal exports to processed meat and leather, creating jobs in ASAL areas. Tax & Manufacturing: KRA reported manufacturing as the top revenue contributor in 2025/26, generating Ksh462bn, alongside strong energy, finance/insurance and ICT collections. Clean Cooking Push: Ruto urged faster clean cooking investment across Africa as nearly one billion still use polluting fuels, warning of missed development targets. Climate Action Pressure: MPs called for moving from climate policy to “pipeline” projects with de-risking and tech-driven accountability. Trade & Logistics: Kenya seeks stronger regional backing for the Lamu Port–South Sudan–Ethiopia corridor to position the country as a Horn of Africa trade and logistics hub. Cybersecurity: Check Point data shows Kenya among the most attacked African countries, with ransomware activity driving the rise.

Green Manufacturing & Mobility: China’s TAILG and UNDP signed an MoU to set up Africa’s first Green Mobility Centre of Excellence in Kenya, backing EV assembly lab work, training and battery-swapping standards. Trade & Exports: The EU urged Kenya to diversify exports beyond agriculture as it launched the Kenya–EU EPA 10-year implementation strategy to help firms and farmers tap duty-free access. Ports & Logistics: Kenya Ports Authority defended the Sh8.3bn Port of Mombasa road/transport interchange as 50% complete, saying it’s a specialised grade-separated solution to cut congestion. Energy Integration: Ethiopia took over chairmanship of the Eastern Africa Power Pool, pledging faster regional electricity connectivity. Clean Cooking Finance: Kenya pushed for universal clean cooking with a Sh133bn plan, while Africa secured $900m in new clean-cooking commitments. Food Systems: Kisumu launched a financing-to-food-systems plan to tackle food poverty and improve access to healthy, affordable meals. Governance & Growth Risks: The World Bank warned Kenya to speed up anti-corruption reforms to unlock a delayed $750m lending package as growth forecasts were cut to 4.3%. Climate-Smart Agriculture: School farms in Kajiado and Isiolo are boosting enrolment and nutrition by linking school feeding with local production and training.

Rice Import Transparency: A Kisumu High Court ordered the government to disclose who benefits from duty-free importation of 490,000 tonnes of Grade 1 milled white rice, including approved importers, quantities, amounts cleared, customs entry numbers and exemption criteria. Transport & Compliance: A new Senate Bill proposes mandatory annual vehicle emissions testing at NEMA-accredited centres, with proof required on the road—adding to earlier NTSA inspection plans that were suspended after backlash. Public Finance & Industry Cashflow: Kenya Literature Bureau says delayed payments from government agencies have left it owed Sh1.05bn, with Sh251.5m unpaid for over 90 days, threatening supplier payments and operations. Road Safety & Infrastructure: KeRRA blamed the rapid deterioration of the Ksh3.9bn Ngong-Suswa Road on heavy overloading (up to 50 tonnes vs 10 tonnes design), and says it has installed a virtual weighbridge to enforce axle limits. Health Supply & Accountability: People living with HIV are pushing for consistent supply of quality ARVs after reports of shortages and expired medicines, despite NASCOP and KEMSA insisting there is no national shortage. Youth Enterprise Funding: Government and World Bank-backed NYOTA will inject an extra Ksh3.06bn into 122,203 youth entrepreneurs, expanding grants to both new and continuing businesses. Digital Transformation: Noteya and Sakamoja signed a cooperation deal to deliver AI-powered infrastructure modernization and digital transformation projects across energy, utilities, healthcare and enterprise in East Africa. Energy Costs Watch: The IMF warned rising global oil prices could lift fuel and food costs ahead of Kenya’s EPRA fuel price review.

Nairobi National Park Fight: More than 4,600 Kenyans have moved to court to stop development inside Nairobi National Park, alleging threats to wildlife and constitutional breaches. Port of Mombasa Pushback: KPA defended its Sh8.344b road/bridge/retention works, saying the tender was competitively awarded and the project is 52% complete, while it also commissioned a Sh1b vessel traffic system to boost efficiency. Construction & Industry Tensions: Residents in Machakos clashed during a forum over a proposed cement factory, with supporters citing jobs and opponents warning of health risks from dust. Skills for Growth: Kenya’s Land Surveyors’ Board is set to harmonise training in surveying, geomatics and geospatial engineering to match digital land administration and development needs. Housing Market Shift: Affordable housing demand is driving new developers like Wilstone Homes, betting on completed homes and flexible payments. Energy & Climate Deals: Karbon-X announced an alliance to evaluate Kenya’s BioHub climate initiative, while CLASP backed solar productive-use financing for firms across Kenya and Nigeria. Policy Milestone: President Ruto signed the Sovereign Wealth Fund Bill into law, setting aside 30% of petroleum and mineral revenues for future generations. Trade & Logistics: Astral Aviation is restarting a Haikou–Johannesburg freighter route via Nairobi, aiming to strengthen China-Africa cargo flows.

Oil & Minerals Policy: President Ruto signed the Sovereign Wealth Fund Act, ringfencing 30% of mineral and petroleum revenues into a Future Generations Fund and creating a Stabilisation Fund to cushion shocks. Mega-Projects & Energy: Ruto has tasked DP Kindiki to coordinate with investors and employers for the Ksh2.2trn East African refinery in Lamu, as Dangote confirms preliminary works are underway and targets completion in about 30 months. Agri-Food Manufacturing: Kilifi commissioned the Sh250m Milly Fruit Processors plant, aimed at processing mangoes, coconuts and pineapples for export and creating jobs for 1,000 farmers. Water Security: Denmark-backed Ewaso Ng’iro Basin Water and Climate Resilience programme will run to 2030, restoring 26,000 hectares and benefiting 4.1m people. County Finance Oversight: Nandi Governor Sang faced Senate grilling over an unsustainable wage bill breaching the 35% legal threshold. Health Financing: Kenya seeks fresh Global Fund support to strengthen the Social Health Authority, scale digital health, and boost local pharma manufacturing. Insurance Costs: IRA data shows motor insurance posted a Sh8.2bn underwriting loss in 2025 as claims and expenses outpaced premiums. Forestry & Public Input: Kenya Forest Service invites public participation over a proposed airstrip and infrastructure inside Meru’s gazetted forest. Innovation & Jobs: CLASP’s PUFF awarded $1.5m grants to 19 firms across Kenya, Nigeria and Ethiopia for solar-powered productive-use appliances and green jobs. Business Climate: Steel makers urged reforms to cut production costs, curb substandard imports and stabilise taxes to raise capacity use.

Dangote Refinery in Lamu: Aliko Dangote has confirmed a 700,000-bpd East African mega-refinery will be built on Lamu Island, ending months of location speculation; the project is expected to take about 30 months and could reshape regional fuel supply. CBK Gold Supply Race: Kenya’s new Central Bank law gives CBK powers to buy and manage domestically mined gold, but industry players are now asking who will be licensed to sell to the bank and under what compliance rules. Irrigation Push: Kenya says irrigation has expanded to 770,000 acres since 2022, with major works in Bura, Galana Kulalu and Bunyala; Nyandarua’s Gwa Kiongo Dam is set to irrigate 500 acres and revive 150 former colonial dams. Crypto Oversight: The Capital Markets Authority has issued a tender for real-time blockchain analytics across 20+ networks as it moves to enforce the Virtual Assets VASP Act. Power & Infrastructure: KETRACO is advancing a Sh50–65bn PPP for new high-voltage transmission lines, while KeNHA sets tolls for the Gilgil–Nakuru–Mau Summit highway under a 30-year concession. Labour Protection: Kenya and Saudi Arabia signed a new labour recruitment agreement aimed at tighter safeguards for Kenyan migrant workers amid ongoing abuse concerns. Solar Finance for SMEs: CLASP/PUFF announced Sh181m for 19 firms to expand access to productive solar appliances, targeting green jobs and enterprise growth.

Rail & Roads: Kenya Railways says it will extend the SGR from Syokimau into Nairobi CBD via a 15km link, adding new passenger stations and bridge works—aimed at cutting costly last-mile travel. Transport Costs: KeNHA set a new toll of Ksh8.50 per km for the Gilgil–Mau Summit stretch of the Nairobi–Nakuru highway, raising the total for the full corridor. Energy Infrastructure: KETRACO received private PPP proposals for major transmission lines and substations worth Ksh50–65bn, including network upgrades along the Nairobi–Mombasa corridor. Oil & Refining: Aliko Dangote has chosen Kenya for East Africa’s biggest oil refinery (700,000 bpd), positioning Kenya as a regional petroleum hub. Livestock Exports: Kenya will launch a national animal identification and traceability system (ANITRAC) to boost meat market access, alongside the Kenya Meat Conference. Consumer Safety: A study flags banned and hazardous chemicals in Kenyan plastic toys and kitchenware, with particular concern for children. Regulation & Compliance: The Council of Legal Education published updated licensing for law programmes, with UoN and Moi among institutions still awaiting approval. Trade & Development: TradeMark Africa appointed three new board directors as it pushes greener, digitally enabled trade expansion across Africa.

Central Banking Overhaul: President William Ruto has signed the Central Bank of Kenya (Amendment) Bill, 2026 into law, tightening Emergency Liquidity Assistance so only solvent, viable banks can access crisis support, with a clearer separation from routine monetary policy and stronger CBK governance. Digital Logistics Regulation: The Communications Authority of Kenya created a new 10-year courier hailing licence for app-based delivery platforms like Uber, Bolt and Glovo, separating them from traditional couriers and raising licensing costs to bring e-commerce delivery under a tailored framework. Capital Markets Expansion: The Capital Markets Authority licensed three new fund managers—ADAR, Entrust Advisory and Everstrong—widening options for Kenyans beyond basic savings accounts. Agri-Food Investment: Investors plan an $11.3m sugar factory in Siaya to expand local sugar processing, with captive power and farmer-supplied cane. Irrigation Push: Government and the Gates Foundation launched a 10-year plan to expand irrigation by one million acres, starting with a major Ewaso Ng’iro Basin restoration programme worth Sh2.5bn. Manufacturing Deal: Varun Beverages’ Kenya unit will acquire Devyani Food Industries’ dairy, juices and bottled water business for $32m, using the Nakuru plant’s manufacturing and distribution base. Film Industry Digitisation: KFCB launched licensing services on eCitizen and its TMS portal to automate and simplify film certification. Youth & Governance: Youth leaders protested delayed National Youth Council elections, demanding the electoral process start immediately.

Aviation & Infrastructure: Africa is pouring about $25bn into new airport projects and upgrades, with Kenya’s JKIA and other hubs strained by passenger growth—raising questions of whether the rush is driven by need or prestige. Financial Sector Reform: President Ruto assented to the Central Bank of Kenya (Amendment) Bill, 2026, tightening CBK oversight and setting clearer rules for Emergency Liquidity Assistance to protect taxpayers and the banking system. Healthcare Training: MMUST partnered with Rainbow for Africa UK to set up an ultrasound simulation lab to boost maternal and neonatal care through better training. Urban Works: KURA explained delays on the Kenyatta Avenue–Upper Hill viaduct, citing complex structural engineering and phased execution. Agri-Food & Climate: Seed Co reported profit more than doubling on strong demand for climate-smart seeds, despite drought disruptions. Women & Finance: KWFT reopened its Nanyuki branch to expand credit and digital services for women, farmers and MSMEs in Laikipia. Construction & Real Estate: Saudi’s Mabani Aljazeera plans to invest in Jabali Towers at Tatu City, with the first tower already over 80% sold. Labour & Trade: Kenya and Italy expanded labour mobility via a structured jobs framework under Kazi Majuu. Energy & Industry: Dangote outlined plans for a 700,000 bpd Kenya refinery as part of a wider East Africa refining push.

Energy & Industry Investment: Dangote says its planned East Africa refinery in Kenya will process 700,000 barrels per day, aiming to serve regional fuel markets and expand total refining capacity to 2.1 million bpd. Mining Revenue Sharing: National Assembly Speaker Moses Wetang’ula backs the Mining (Amendment) Bill as a “landmark” that should boost county royalties and speed up benefits to communities in mining areas. Corporate Compliance: Kenya moves to deregister 94 companies after a Registrar of Companies notice, warning firms could be struck off within three months if they can’t show cause—spanning construction, logistics, manufacturing, healthcare, agriculture and more. Digital & Telecom Policy: Parliament advances a Bill to meter and track internet usage, proposing subscriber “meter numbers” so billing can reflect consumption rather than flat fees. Roads & Construction: KeNHA releases a model for the Rironi–Mau Summit Highway, highlighting interchanges, weighbridges and urban connections along the Northern Corridor. Health & Consumer Access: Jubilee Health expands an instalment-based premium model in Nairobi to help uninsured households and SMEs activate cover from the first payment. Education & Accreditation: Kenya will host a World Dental Federation regional congress in Mombasa as UoN and Moi dental programmes face CUE audit and accreditation scrutiny. Agri-Finance: Avenews pushes transaction-data-based credit scoring to unlock faster financing for Kenya’s farmers and agrovet shops. Climate & Livelihoods: Restoration efforts are increasingly framed as an economic engine, with Vihiga’s Maragoli Hill Forest cited for jobs and nature-based enterprises. Governance & Cooperatives: Government urges Parliament to fast-track the Cooperatives Bill to modernise SACCO governance and protect member savings.

Cooperatives Reform: Deputy President Kithure Kindiki says Kenya is fast-tracking the Cooperatives Bill, with President Ruto expected to sign within a month to modernise governance, protect SACCO member savings (over Sh1tn), and push digital compliance. Construction & Trade Expo: Nairobi will host BUILDEXPO Kenya 2026 with 300+ global exhibitors from 45 countries, spotlighting building tech and regional investment. Digital Logistics Regulation: The Communications Authority of Kenya set a new licensing framework for digital courier platforms, creating a “Courier Hailing Service Provider” category effective July 29, 2026. Agri-Industry & Jobs: Milly Fruit EPZ in Kilifi was commissioned to process mangoes, oranges, passion fruit and pineapples into concentrates, pulp and dried snacks—supporting 1,000+ growers and creating hundreds of jobs. Energy Investment Watch: Dangote says its planned East Africa refinery in Kenya will refine 700,000 barrels per day, as it expands to serve regional fuel markets. Smart Learning: Machakos unveiled a state-backed Smart Library combining books, computers, high-speed internet and inclusive access to support CBC learning. Regional Connectivity: ProCharter launched four new Nairobi cargo corridors to boost East Africa air freight for time-sensitive and e-commerce goods. Soda Ash Trade Row: Turkey raised objections to Pakistan’s anti-dumping soda ash probe methodology, a dispute that also involves Kenya-linked imports.

Cooperatives Overhaul: Deputy President Kithure Kindiki says the new Cooperatives Bill is being fast-tracked for President Ruto’s signature within a month, aiming for more transparency, accountability and digital-ready governance for SACCOs and cooperatives. Courier Regulation: The Communications Authority of Kenya (CA) unveiled new licence fees and a “Courier Hailing Service Provider” category for digital parcel platforms, effective July 29, 2026, as e-commerce logistics keeps expanding. Agri-Industry Push: President Ruto toured his Naivasha maize farm as the state continues subsidised fertiliser, improved seeds and mechanisation to lift food production. Flood Control in Western Kenya: A major West Kano–Kanyagwal flood mitigation project is underway to reclaim about 7,000 hectares and reduce recurring Kano Plains disaster losses. Export Processing Jobs: Milly Fruit EPZ in Kilifi was commissioned, processing mangoes and pineapples into concentrates, pulp and dried snacks for export, supporting 1,000+ growers and new jobs. Trade & Logistics Connectivity: ProCharter launched four new Nairobi cargo corridors to speed time-sensitive and FMCG shipments across East Africa. Real Estate Investment: Saudi Mabani Aljazeera plans to invest in Jabali Towers at Tatu City, with the first tower reportedly over 80% sold. Human Trafficking Controls: ODPP trained Kenya Airways frontline staff to spot trafficking indicators and improve airport referrals and response. Mining Policy Consultations: The mining ministry is holding public participation on key mining and explosives policy instruments to modernise the sector.

Agri-Food Capital Race: Kenya unveiled NASIP 2026–2030, a KES1.081trn (Sh21trn) farm investment blueprint aimed at modernising value chains, expanding irrigation, boosting food security and creating 2m+ jobs by 2030—expected to ripple across East Africa as private capital is pulled in. Land-Use & Housing Pressure: Government urged Kiambu to go vertical to protect agricultural land, pointing to multi-storey towers at Tatu City as demand for housing accelerates. SME Working Capital Push: Absa Bank and Unilever signed a Sh4bn SME financing programme to ease working-capital constraints for distributors and retailers, using Wezesha Stock Loan to improve stock availability. Internet Pricing Scrutiny: A Metered Internet Billing Bill would force ISPs to bill by data consumed, putting “unlimited” fibre plans under review and raising consumer-protection questions. Logistics & Trade Links: DP World opened Egypt’s first fully integrated Sokhna logistics distribution centre, offering end-to-end warehousing, customs facilitation and value-added services from one hub. Construction Investment in Tatu City: Saudi firm Mabani acquired a 49% stake in Jabali Towers at Tatu City, with China Road and Bridge named main contractor for the mixed-use project. Food Security Stress: Reporting highlights how fertilizer shortages and rising costs are threatening maize yields and farmer livelihoods, with knock-on effects for Kenya’s food basket. Climate Services for Farmers: Kenya signed MoUs to strengthen climate science, research, training and delivery of climate services to improve resilience for agriculture. Pyrethrum Revival Plan: Farmers backed draft Crops (Pyrethrum) Regulations 2026 to tighten stakeholder registration, licensing and marketing, aiming to revive Kenya’s global pyrethrum share. Private Sector Mood: Stanbic PMI shows Kenya’s private sector stabilising in June after months of contraction, but firms still face high selling prices and cost pressure.

Court & Property Rights: The Environment and Land Court cleared the Ritz-Carlton Mara Safari Camp to keep operating after striking out a second challenge, keeping the Maasai Mara hospitality project on track. Climate-Smart Agriculture: Stakeholders urged Kenya to close the climate resilience and technology gap for farmers to protect food security and unlock export growth, while a new digital climate reporting platform aims to track climate-smart adoption and emissions. Climate Services Partnerships: Three institutions signed an MoU in Nairobi to strengthen climate science, research, training and delivery of climate information for more resilient food systems. Water & Urban Infrastructure: Nairobi Basin restoration hit a milestone with a 27-km trunk sewer line and interceptor system planned to treat 60 million litres of wastewater daily, targeting pollution and flooding risks. Agri-Processing Support: A Sh3.35m community water project is boosting coffee processing at Ayoro Coffee Factory in Kasipul, helping farmers stay in coffee production. Industry & Investment: Saudi firm Mabani Aljazeera will invest in Tatu City’s Jabali Towers, signalling continued foreign direct investment interest in Kenya’s SEZs. Digital Payments for SMEs: Visa rolled out smartphone-based payment tools (Visa Accept/Visa Direct) to help small businesses accept and send real-time payouts, with Co-operative Bank of Kenya set to launch soon. FX & Macroeconomy: CBK reported foreign exchange reserves rising to USD14.05bn, supporting shilling stability and import cover. Creatives & Tech: Google Play launched a $1m Indie Games Fund for African studios, and a separate $1m AI tools initiative will support 100,000 African creators. AI Governance: Kenya’s Cabinet set up a standing AI committee to coordinate policy and drive the national AI strategy. Land Disputes: Violence erupted at Samburet Estate over contested ownership, with motorcycles torched and youths injured.

Private Sector Pulse: Kenya’s private sector activity bounced back in June after three straight monthly contractions, with the Stanbic PMI rising to 50.0 from 46.6, though output stayed subdued as soft demand and higher input costs bite. Cost of Living & Industry: Businesses say price hikes are being driven by fuel-related taxes and rising raw material costs, with one in four firms raising prices in June—the steepest increase since 2014. Infrastructure & Aviation: Deputy President Kithure Kindiki chaired a roads and JKIA modernisation review, confirming the JKIA upgrade has officially commenced this week at about Ksh155bn, with phased works expected over three years. Water Security: The National Water Harvesting and Storage Authority says it will scale dam construction, water harvesting and climate resilience projects in 2026-27 to cut water scarcity and flood risks. Industrial Investment Push: Kitui is courting investors to set up mining, agriculture, manufacturing and tourism ventures, pitching its resources and value-chain opportunities ahead of a September expo. Trade & Logistics Rules: Importers are urged to review contracts as Kenya’s mandatory local Marine Cargo Insurance takes effect from July 1, changing how cargo is insured before customs clearance. Kenya–Saudi Labour Talks: Musalia Mudavadi begins a three-day Saudi visit focused on trade, investment and—especially—stronger protections for over 300,000 Kenyan workers in the Kingdom. Health Manufacturing: Japan commits Ksh3bn to back Kenya’s vaccine manufacturing push, reinforcing Africa’s drive for health sovereignty. Real Estate Approvals: KPDA says 67% of developers have pending approvals, with regulatory bottlenecks and corruption concerns pushing up housing costs and delaying projects. Digital Marketing & Data: PS Stephen Isaboke warns marketers to protect consumer data as AI reshapes advertising and business decisions. Courier Demand: Kenya’s courier volumes rose 14.1% as e-commerce growth exposes last-mile delivery gaps, pushing providers toward more flexible collection models. Regional Shipping Shock: UNCTAD warns disruptions around Hormuz, Bab el-Mandeb and Suez are leaving over 1,200 cargo vessels stranded and will keep feeding inflation, food insecurity and industrial production pressures.

El Niño Readiness: DP Kithure Kindiki told Kenyans not to panic over forecasts of moderate-to-strong El Niño rains, saying ministries are on high alert to protect infrastructure, health and food supply. Fuel & Cost Pressure: Kenya’s forex reserves face rising strain, with the World Bank warning of pressure as import bills and foreign-currency debt servicing weigh on stability. Data Protection & AI Marketing: PS Stephen Isaboke warned marketers that misusing consumer data is “theft,” urging responsible AI use as enforcement under the Data Protection Act tightens. Creative Economy Funding: Mastercard Foundation’s Sanara programme will inject Sh1.2bn to train and finance over 20,000 young creatives across six counties. Agriculture & Irrigation: NIA CEO Charles Muasya says Kenya’s irrigation push needs more than engineering—leadership, stakeholder buy-in and financing—after irrigation acreage stagnated at about 1.6%. Transport & Trade: Kenya Railways has started construction of the Kisumu SGR station, aiming to boost western Kenya’s connectivity and jobs. Mining & Land: Senate scrutiny is intensifying over a proposed Sh683bn gold project in Kakamega amid land rights and compensation concerns. Water Security: NWHSA unveiled its 2026/27 roadmap to complete dam projects and expand water harvesting to improve access nationwide.