AGP Executive Report

Health & Manufacturing: Kenya’s Ministry of Medical Services met the World Bank to map how to attract investment and grow local production of medical consumables, focusing on procurement, regulation and market access. Drought Relief & Food Security: Government subsidies were intensified for fertilizer and certified maize seed, with fertilizer now at KSh 2,000 per 50-kg bag and seed at KSh 1.15 per 2-kg packet, after failed rains and ahead of maize import plans. Climate Risk Planning: Kenya’s disaster agencies warned that worst-case OND rains could affect 1.5m people and displace 500,000, with preparations for flooding, landslides and infrastructure disruption. Maize Import Pressure: With North Rift maize hit hard, analysts warn of supply gaps that could lift maize flour prices and increase reliance on imports. TB Vaccine Trial Update: KEMRI-led priMe phase 3 results show VPM1002 failed to meet noninferiority to BCG for preventing TB infection in newborns. Fuel Trade & Ports: Authorities faced a high-seas fuel dispute after attempts to block a petrol shipment at Mombasa, with claims of overpriced and substandard cargo. Internet Regulation Backlash: ISPs warned a proposed “internet meter number” billing system could raise costs and enable surveillance and data theft. Wildlife & Water Pollution: Kenya launched a crackdown on illegal gold mining on River Yala, citing mercury and cyanide contamination risks. Insurance Access: A court halted a requirement for mandatory health insurance cover for inbound tourists. Regional Trade Infrastructure: Northern Corridor Integration Projects still face financing and delivery hurdles despite renewed push for deeper regional trade.

Cybersecurity & Finance: Kenya’s NC4 says mobile money shows up in 51 of 102 computer fraud cases reviewed (Feb–July), with mobile-money fraud the biggest scheme (19 cases), pushing government to tighten monitoring of high-risk transactions and work faster with telecoms. County Cashflow: DP Kithure Kindiki urged counties to keep clearing pending bills, citing approved action plans and Sh34.46bn pending-bills exchequer requests. Fertiliser Relief for Farmers: Government cut subsidised fertiliser to Sh2,000 per 50kg bag (from Sh2,500) and halved certified maize seed prices, alongside Sh18bn capitation funds released for schools. Agribusiness & Soil Health: Farmers in Lari are turning to vermicompost and redworms as synthetic fertiliser prices bite and soils degrade. EVs & Energy Access: SUN Mobility launched an open-architecture battery swapping network in Kenya with 35 stations across Nairobi and Mombasa, aiming to speed EV adoption for multiple vehicle brands. Food Safety Oversight: MPs pressed the pesticide regulator to do more on pesticide residues and public concerns, warning against defensive responses. Industrial Jobs Push: Lamu youth demanded at least 70% of jobs from Dangote’s planned refinery be reserved for locals, with a legally binding jobs deal sought before construction. Creative Economy Regulation: Nairobi County clarified that new film/content charges target professional commercial productions, not ordinary digital creators.

Warfront Recruitment: Kenya tightens oversight to stop citizens being lured into Russia’s Ukraine war, citing a recruitment stop list and steps to repatriate unwilling fighters. Food & Fertiliser Relief: Ruto cuts subsidised fertiliser from Sh2,500 to Sh2,000 and halves maize seed subsidy, as drought pushes up maize and beans prices. Manufacturing Under Pressure: Battery makers warn scrap battery smuggling is cutting local raw material supply by about 50%, threatening production and jobs. Energy Governance: Parliament issues a 60-day ultimatum over a fuel probe involving former energy bosses, while a court blocks Kenya Power from disconnecting county governments without exhausting dispute processes. Digital & Creative Industry Costs: Nairobi County introduces new fees for filmmakers, content creators and streaming players under the 2026 Finance Act. Tourism & Tech Shift: Electric safari vehicles begin changing the soundscape in Maasai Mara as operators adopt solar-charged fleets. Banking & Compliance: Accountants urge MSMEs to improve records to become bankable, amid ongoing KRA audit guidance for taxpayers. Wildlife Alarm: Mystery elephant deaths in Amboseli leave experts divided, raising conservation and tourism fears. Data Protection Tragedy: KCB’s Head of Data Protection, Rosemary Kimwatu Koech, is reported to have died by suicide, reigniting workplace safety concerns. Regional Energy Deal: Aliko Dangote offers East Africa a 30% stake in a planned Lamu refinery, with Kenya expected to take about 10%.

Dangote Refinery Push: Aliko Dangote is set to expand into East Africa with a proposed $17bn refinery in Kenya, with Kenya reportedly offered a 10% stake (about $500m) and Ethiopia and Rwanda joining for a combined ~$1.5bn. Energy & Power Supply: Tanzania commissioned the 2,115MW Julius Nyerere Hydropower Project, creating a surplus aimed at exports and industrial growth—an important regional signal for power-dependent businesses. Electricity Costs & Reliability: Kenya Power explained why token purchases can yield fewer units, citing tariff calculations based on average consumption and variable charges; it also listed planned outages across Nairobi, Kajiado, Uasin Gishu, Laikipia, Nyeri and Kilifi. Land & Industry Inputs: NLC moved to compulsorily acquire 21.7 hectares of Del Monte Kenya land in Murang’a for a wastewater plant, with a public inquiry set for Sept 16. Agri Supply Chain: KTDA procured 2m bags of fertiliser for 600,000+ farmers, with delivery delayed but expected to start next month. Finance & Trade: Equity Bank is helping cross-border exporters like UKI Uganda simplify payments into DRC via regional accounts. Construction Pressure: A look at what’s holding back Kenya’s construction industry highlights rising material costs and affordability constraints. Wildlife Risk: Four suspects were arrested over the deaths of 18 elephants in Amboseli, with preliminary findings pointing to possible cyanide poisoning.

Power & Infrastructure: Kenya Power has scheduled planned outages on Sunday, Aug 23 across parts of Nairobi (Eastleigh, South 1/2 New Industrial), Kajiado, Uasin Gishu, Laikipia and Nyeri, with maintenance starting 8am in some areas and 9am in others. Energy Regional Push: Tanzania commissioned the 2,115MW Julius Nyerere Hydropower Project, creating a surplus officials say could support exports and industrial growth, with talks already mentioning Kenya. Roads & Land: Kenya’s National Land Commission has begun compulsory land acquisition for a combined 215km road network in Kajiado, Baringo, Elgeyo Marakwet and West Pokot, including the Barpello–Tot–Sigor–Marich Pass corridor. Agri & Payments: Ruto has ordered KTDA to roll out a digital green-leaf payment system within three months to cut layers of deductions and improve transparency for tea farmers. Security & Illicit Trade: NACADA and police seized over 27,000 litres of illicit brews in Nairobi and Nyakach, arresting suspects and targeting unlicensed alcohol outlets. Business & Finance: Equity Group reported 32% higher H1 profit to KSh45.5bn, citing stronger income and deposit growth. Tech & Industry: Amaco Energy plans a KSh194bn AI data centre in Mombasa with its own power generation, aiming to meet Kenya’s rising demand from digital infrastructure.

Tea Sector Digital Payments: President Ruto orders KTDA to roll out a digital green-leaf payment system within three months to cut multi-bank deductions and improve transparency from auction to factories to farmers. Health Policy Scorecard: Kenya’s 2026 Health Summit reviewed progress toward Universal Health Coverage, with Ruto citing Social Health Authority enrolment and community health promoter deployment while stakeholders push for faster, tangible delivery. AI Data Centre Power Push: Greek firm Amaco Energy plans a KSh194B AI data centre in Mombasa with its own LNG-powered generation and cooling, aiming to ease grid constraints and potentially add surplus power. Housing Finance Inclusion: Government urges lenders to assess mortgage affordability beyond payslips, using mobile money, SACCO savings, rental and utility histories as more Kenyans seek homeownership. Alcohol Crackdown: NACADA seizes 27,000+ litres of illicit alcohol in Nairobi and Nyakach, arresting suspects as enforcement intensifies after a presidential directive. Dangote Refinery Stakes: Dangote offers East Africa a combined 30% equity stake in a planned Lamu refinery, with Kenya, Ethiopia and Rwanda showing interest ahead of September groundwork. Sports Budget Pressure: MPs question KSh2.176B in pending stadium-related bills, warning of unfinished projects and contractor disputes if verification and settlement lag. Maritime Security Shift: Kenya deepens defence cooperation with the US, UK and France to protect shipping lanes amid Red Sea and piracy risks affecting Mombasa and Lamu. Cyber Hygiene Warning: ESET flags a rise in familiar phishing tactics in Kenya, including a surge in QR-code “quishing” activity.

Oil & Refining Deal: Aliko Dangote’s planned 700,000 bpd Lamu refinery is set to pull East Africa into a major equity play, with Kenya’s economic adviser saying the region could take 30% total (Kenya 10% worth about $500m), while Ethiopia and Rwanda show interest and construction targets late 2026. Capital Markets & Finance: Kenya is also reportedly shifting away from using the National Infrastructure Fund to fund its Dangote stake, eyeing a $500m local bond instead. Energy & Infrastructure Tech: Makueni County signed an MoU with an Israeli firm to use real-time satellite data, GIS and AI to prioritise road spending and improve resilience planning. Power & Industry Enablement: Kakamega’s Sikuli Market has been electrified under the Last Mile Connectivity Programme, with government targeting 40,000 household connections across the county. Agribusiness & Public Land: Ruiru Prison Farm will put 100 acres under coffee and expand horticulture using a Sh73m irrigation project, with training for inmates. Health & Access: Diabetes-linked eye complications are rising, with one retina specialist saying about one in four patients in his clinic has diabetes-related problems. Maritime Security: India’s High Commission in Kenya says 22 Indian seafarers on two hijacked foreign-flagged vessels off Yemen/Somalia are reportedly safe. Local Governance & Services: Public Health PS Mary Muthoni says the Jamii Imara Mashinani (JIM) caucus has run 22 grassroots engagements in 14 counties to boost awareness and uptake of government programmes. Creative Economy: Africa House opened applications for Nairobi’s Swift Academy, offering mentorship, industry access and grants for emerging music professionals. Governance & Oversight: DCI asked court to detain lawyer Angela Mulwa for 14 days as it investigates the murder of Dr Victoria Mutiso. Safety & Transport: Residents in Samburu described moments before a deadly safari helicopter crash that killed seven, including five Americans.

AI & Infrastructure Planning: Makueni County is partnering with Israeli-linked AnyWay Solutions to use satellite data, GIS and AI to prioritise which rural roads to repair first—aiming to cut planning errors and stretch limited budgets. Cloud & Skills: Konza/Technopolis Development Authority has signed an AWS deal covering cloud adoption, digital skills and an AWS Outpost at Konza to support hybrid cloud and local startups. Energy & Data Centres: Amaco Energy Group proposes a $1.5bn off-grid AI data centre in Mombasa, designed to avoid the power constraints that stalled the Olkaria data centre expansion. Business Climate Pressure: Over 1,000 Kenyan CEOs have issued eight demands to President Ruto via the CBK CEOs Survey, pushing for lower levies and compliance costs, cheaper fuel/energy inputs, better tax predictability and faster settlement of pending bills. Food Prices Watch: CBK warns rainfall risks could lift prices of several foods even as maize output expectations remain weak. Health Access: KNH urges non-emergency patients to seek care elsewhere as the ongoing health workers’ strike strains services. Regulation & Governance: Kenya moves to regulate AI, but reporting highlights uncertainty over who will coordinate and enforce the growing set of strategies, laws and guidelines. Sugar Costs: Kenya’s retail sugar price rose to KSh167.41/kg in July despite record first-half production, raising questions on how supply gains are (not) translating to lower consumer prices.

Helicopter Tragedy: A safari chopper crash near Samburu’s Mount Ololokwe killed seven, including Ecuador’s intelligence chief Michele Sensi-Contugi, his wife, and five Americans—Kenya’s Civil Aviation Authority says the flight was from Loisaba Conservancy to the Ewaso Nyiro area. Election Readiness: IEBC stepped up 2027 preparations, projecting about 28.5m voters and reporting 2.94m registered since CVR began, with biometric registration and a forensic audit planned. Higher Education Funding: Education CS Julius Ogamba defended proposed reforms to university financing, saying the current model is unsustainable and urging critics to offer workable alternatives. Mining Safety: Two separate incidents—sand harvesting collapse in Machakos and a gold-mining site collapse in Siaya—left two dead, renewing calls for tighter safety at informal extraction sites. Retail & Capital Markets: Adenia is exploring an exit from Quickmart, including a possible listing at the Nairobi bourse. Energy Regulation: Industry commentary highlights EPRA’s role in attracting investment through licensing timelines and transparent tariff methods. Field Sales Costs: A report warns agent turnover in Kenya and Nigeria can cost firms up to N72m per 100 agents. Tourism & Diplomacy: Ecuador confirmed it will coordinate repatriation via its South Africa embassy due to no resident mission in Kenya.

Healthcare Finance: Private hospitals are increasingly borrowing from banks to buy MRI, dialysis and other specialist equipment as Kenya’s push for advanced care boosts asset finance demand, with Equity Bank alone lending about Sh33bn to the sector in five years. Agriculture & Irrigation: CS Mutahi Kagwe reassures farmers Kenya has enough seed stock for the planting season, while also urging faster irrigation expansion to stabilise food supply amid unreliable rainfall. Mining Uncertainty: Tata Chemicals Magadi says it has complied with ministry requests after its operations were suspended since July 28, but is still waiting for direction to resume. Transport & Cost of Living: A TIFA survey finds 81% of Nairobians are worried about rising living costs, and ride-hailing users are price-sensitive—only 33% back minimum fare regulation while many would switch to matatus if fares rise. Maritime Trade: Interasia Lines plans a weekly Mombasa–Asia service from mid-October, aiming to deepen East Africa–Asia shipping links. Agritech Credit: NIRSAL approved over N100bn in agricultural loan credit guarantees in 2025, and is building capacity for climate- and AI-enabled agricultural finance. Food Security: Kenya is set to import 25 million bags of maize as drought threatens supplies. Aviation Tragedy: A safari helicopter crash in Samburu killed seven, including five Americans and Ecuador’s intelligence chief, as investigations continue.

Tourism & Aviation Tragedy: A safari helicopter crash near Mount Ololokwe in Samburu County killed all 7 people on board, including five Americans and Telemundo executive José Alberto Suárez (55), while Ecuador’s intelligence chief Michele Sensi-Contugi and his wife were also reported among the dead; the Kenya Civil Aviation Authority says investigations are ongoing after the aircraft went down at 9:13 a.m. while flying from Loisaba Conservancy to Ewaso Nyiro, with rescue efforts hampered by terrain and fire. Health Supply Chain & Regulation: Kenya Medical Supplies Authority (KEMSA) says it has lifted medicine order fill rates from about 40% (2022) to over 90% by shifting to demand-led planning, efficiency and data, while the Pharmacy and Poisons Board tightens oversight with Good Pharmacy Practice Standards and digital verification/track-and-trace plans to curb substandard and falsified products. Local Industry & Markets: Fisheries exhibitions are helping small-scale fishers—especially women processors—reach buyers directly, secure hotel and shop supply deals, and link with finance and value-add training. Innovation in Healthcare Access: Kenya is piloting portable, locally supported mobile molecular labs for advanced diagnostics in remote areas, including Hepatitis B screening and follow-up viral load testing.

Maize & Food Security: Kenya plans to import 25 million 90kg bags of maize after drought-hit harvests threaten a ~25 million-bag supply gap, with CS Mutahi Kagwe saying arrangements are already underway to keep prices and availability stable. Power & Industrialisation: Kenya has tripled its long-term renewable energy target to 5,500MW (including 2,000MW nuclear, 700MW hydropower and new geothermal), but experts warn it may not automatically lower consumer bills without reforms to contracts, grids, financing and pricing. Construction & Retail Trade: Work on Nairobi’s new Gikomba Market is advancing, with three multi-storey blocks up and roofing/internal installations underway to eventually house up to 7,000 traders plus a fish-processing section and modern facilities. Consumer Protection & Compliance: Anti-Counterfeit Authority officials raided Eastleigh, seizing suspected counterfeit Nivea and Vaseline products worth about KSh 1.1m. Digital Payments for Trade: Standard Bank and UnionPay expanded UnionPay e-commerce acceptance across nine African markets (including Kenya), giving merchants more cross-border payment options. Governance & Legal Risk: A fresh court fight opened over whether PSC chair Francis Meja can serve beyond the Constitution’s six-year tenure limit by moving from commissioner to chair. Energy Diplomacy: Kenya and Türkiye are pushing a deeper strategic partnership focused on trade, investment, connectivity, security, health and aviation. Regional Industry Watch: Nigeria’s FCCPC opened a cement price manipulation probe after comparing prices with Kenya and other markets where cement is cheaper. Aviation Safety: A helicopter crash in remote northern Kenya is under investigation, highlighting ongoing risks for the tourism-linked aviation sector.

Rural Power Push: Makueni gets a Sh2.7bn electricity boost targeting 23,682 households, with new electrification projects launched in Kibwezi West, Kibwezi East and Kaiti. Cement Market Scrutiny: Kenya’s construction-linked region is in focus as Nigeria’s FCCPC probes possible cement price manipulation, comparing Nigeria with Kenya, Tanzania and others over capacity vs rising retail prices. Capital Markets Mood: NSE-listed firms are set to pay about Sh74.95bn in dividends, with pension and other schemes shifting more money into equities as yields fall. Corporate Moves in Consumer Goods: Hemas expands into East Africa with a $16.2m deal for a 75% stake in Kenyan stationery maker Twiga Stationers and Printers. Infrastructure for Trade: Government steps up preparations for the Mau Summit–Eldoret–Malaba road to strengthen the Northern Corridor for movement of goods to Uganda and beyond. Hospitality Investment: Gulf Hotels Group signs an MoU to develop a USD 30m Silva Gigiri Hotel & Residence in Nairobi. Governance & Compliance: EACC flags gaps in Kenya’s co-operative sector and calls for urgent reforms to curb corruption loopholes. Policy Tension: Tobacco traders push Parliament to broaden public participation on the Tobacco Control (Amendment) Bill, warning of higher compliance costs and illicit trade risks. Energy Access & Jobs: Pension schemes and digital talent initiatives underline a wider push toward investment, skills and productivity.

Water Security: World Bank and Kenya commit KSh 13.5B to groundwater projects for Turkana, Mandera, Wajir, Marsabit and Garissa, aiming to cut drought-era water trucking and support boreholes, solar pumping and pipeline maintenance. Power & Infrastructure: Kenya advances six new transmission lines and substations to feasibility under a KSh 71.1B PPP package after the Adani deal was cancelled, while the Nairobi–Nakuru–Mau Summit highway upgrade (KSh 184B) adds intelligent traffic management features. Health System Resilience: Prime CS Musalia Mudavadi urges Kenya to shift from reacting to health shocks to building surveillance, diagnostics, supply chains and emergency preparedness; Kisumu also moves to expand cancer screening and care via a planned cancer centre. Education & Industry Skills: The Education Ministry starts a 12-month push to roll out competency-based education in universities, aligning course design with employability and industry needs. Energy Access: KenGen opens senior geothermal leadership vacancies, signalling continued focus on renewables. Digital & Security: Rapid7 and StarLink expand a security partnership into Kenya and other markets to boost operational cyber and risk response capacity. Governance & Politics: Ndindi Nyoro proposes halving NSSF contributions to fund healthcare from 2028, while debate continues over devolution delivery in Homa Bay.

Trade & Industry: Kenya’s goods trade deficit is edging toward a record Sh1 trillion in the first half of 2026 as fuel import costs surge, widening the gap to Sh998.2bn (exports up, imports up faster). Energy & Power: Khwisero is set for new grid connections as the government flags off rural electrification materials, with thousands more households targeted in Kakamega. Shipping & Security: Djibouti Code of Conduct signatories agreed to form a Combined Task Force to protect shipping from piracy in the Western Indian Ocean and Gulf of Aden, with a Kenya-hosted Mombasa workshop next. Agri-business: Kenya plans to distribute 5M avocado seedlings and 1M cocoa seedlings in Meru to diversify incomes, while Kakuzi is pushing AI and drones to lift macadamia quality. Digital & Investment: Amaco Energy Group is in talks to build a $1.5bn AI data centre in Mombasa with independent power. Business Environment: The Registrar of Companies has started dissolving 200 firms and flagged 550 more for strike-off, raising job-risk concerns. Aviation: Kenya Airways seeks votes after its website and app were nominated for Africa’s Best Airline Website and App.

Electricity Costs: EPRA raised August power charges by about KSh4.70 per kWh, adding fuel energy, FX fluctuation and WRMA levies to consumers’ bills. Health Infrastructure: Government plans Sh29bn for 13 new Level Five referral hospitals (300-bed each) to expand specialised care beyond Nairobi. Digital Economy: KeNIC says Kenya’s .ke domains grew 16.06% year-on-year to 129,140 in June 2026, with SMEs going digital faster than the global average. Connectivity & Telecom: Airtel Africa and Starlink launched Africa’s first commercial satellite-to-phone service in DRC, enabling eligible users to access SMS and light data without special equipment. Film & Creative Tech: Kenyan filmmakers are exploring virtual production to upgrade local cinema quality using LED stages and Unreal Engine workflows. Construction Inputs: Paint makers warn capacity must expand as demand could double every six to seven years with construction and refurbishment recovery. Regional Trade: East African Business Council urges faster EAC integration, citing non-tariff barriers, border delays and high logistics costs as key blockers to Kenya’s export and production growth. Agriculture & Soil Science: A soil lab focus highlights how improved soil testing and training are strengthening farm productivity in the region. Sports Facilities: Sports PS Elijah Mwangi sets a nine-month deadline for completing 33 stadium projects and renovations nationwide.