CBK takes another step back...

Good evening! It's Brian from The Kenyan Wall Street. Here are the business stories we have compiled for you today…

Banking

CBK takes another step back…

CBK's MPC cuts interest rates by 75 basis points to 10.00%, a fifth consecutive cut. Average commercial banks' lending rates declined to 15.8 percent in March 2025 and 16.2 percent in February.

The Committee noted ongoing fiscal consolidation efforts aimed at reducing debt vulnerabilities. To enhance monetary policy effectiveness Kenya's inflation decreased to 3.6 percent in March 2025, remaining below the target range, driven by lower food and energy prices and exchange rate stability.

The Kenyan economy experienced a deceleration in growth in 2024 but is projected to pick up in 2025, supported by service sectors, agriculture, and improved exports. The MPC decided to maintain the current monetary policy stance to anchor inflation expectations and support economic stability.

More updates coming up…

Today's Poll

Not willing to Pay up!

NCBA Group plans to appeal a High Court decision nullifying a KSh 384.5 million stamp duty exemption from its 2019 merger.

Justice Chacha Mwita ruled the exemption unconstitutional, stating it lacked public interest and due process. The court quashed Legal Notice No. 112 of 2019, which had waived taxes on unquoted shares during the NIC-CBA share swap merger.

Senator Okiya Omtatah, who filed the petition, celebrated the verdict as a win for taxpayers and transparency. NCBA maintains the exemption was lawful and intends to challenge the ruling. Here is what happened?

Public Policy

Away with Special Privileges, Bill! 

The Gates Foundation has officially withdrawn from its Host Country Agreement with Kenya after months of legal battles and public backlash.

The agreement had controversially granted the foundation diplomatic privileges under the Privileges and Immunities Act. Critics, including the Law Society of Kenya, questioned the legitimacy of extending such status to a philanthropic entity.

In December 2024, the High Court suspended the deal pending review. On April 8, 2025, Africa Director Dr. Paulin Basinga confirmed the foundation will maintain operations in Kenya but without the special privileges. The move follows a court order and a mutual agreement with the Ministry of Foreign Affairs to terminate the pact. More on this story»»»»»

Economy

Cooking Oil, Meat Prices Heating Up! 

Cooking oil prices are sizzling—again. Blame it on tight palm oil supplies from Southeast Asia and a euro that's been outweighing the dollar.

According to the FAO, the veggie oils index rose 3.7% in March, with soy, rapeseed, and sunflower oils joining the climb.

Meanwhile, pig meat prices jumped, as Germany's regained disease-free status put it back on the export menu—much to the delight of the EU and UK. Poultry meat played it cool, holding steady despite avian flu flying around in the background. Dairy’s not doing much—still hanging out at February levels. Here is the full report»»»»»

Capital Markets

♦️ Financial Analysis

The Kenyan insurance sector demonstrated resilience and growth in 2024, with listed companies showing varied performance across different metrics. This comprehensive analysis compares the financial results of all NSE-listed insurance firms, including Britam Holdings, Jubilee Insurance, Kenya Re, CIC Insurance, Liberty Kenya, and Sanlam Kenya. Read the full report here»»»»»

Markets at a Glance…

🔴NASI -1.74%

🔴NSE10 -1.89%

🔴NSE20 -1.69%

🔴NSE25 -1.89%

Companies  

♦️ Private Equity

Denmark-based sustainable coffee company, Slow, has acquired African Coffee Roasters (ACR) —a Kenya-based roastery known for its origin-based coffee processing model as it intends to strengthen its global supply chain structure in coffee-producing regions.

The transaction gives Slow full ownership of ACR, acquiring 100% of the company from Coop Denmark A/S (80%) and the Investment Fund for Developing Countries (IFU, 20%)—both founding shareholders who jointly established the company in 2015. Read more»»»»»

♦️ Pharmaceutical 

Japan’s Marubeni Corporation is acquiring a minority interest in Phillips Healthcare, a Mauritius-based pharmaceutical firm with extensive operations in Kenya, Uganda, Ethiopia, and Egypt.

The deal which is currently under review by the COMESA Competition Commission, signals Marubeni’s growing ambitions to bridge Japan’s pharmaceutical supply with Africa’s rising demand for medical infrastructure, drugs, and devices. Read more»»»»»

Features  

Eva Muthuuri : The Coffee Girl

Meet Eva Muthuuri, founder of Eva’s Coffee. After years of working in public health and promoting women’s empowerment, she decided to pivot to coffee production full-time, driven by a passion to showcase Kenya’s rich coffee heritage to the world. Here is her journey»»»»»

Also Watch:

Yesterday's Poll Results

Do you think the digitization of the procurement process will help in getting rid of corruption across government agencies?

🟩🟩🟩🟩🟩🟩 Yes (62%)

🟨🟨🟨⬜️⬜️⬜️ No (38%)