The Fuel Cost Gridlock

Good evening. It’s Brian from The Kenyan Wall Street.  

Thousands of Nairobi commuters encountered empty matatu and bus stages this morning as transporters began their strike against high fuel prices. Meanwhile, the government insists that the action is unnecessary because the price hike in Kenya is not unique. 

“It’s the US-Iran war,” said Treasury Cabinet Secretary John Mbadi. 

But will appeals for patience and endurance placate millions of Kenyans who are already facing immense hardship? Especially for a commodity that is the state’s favorite taxation base?

The Fuel Cost Gridlock

By Fred Obura, Harry Njuguna, & Brian Nzomo

Treasury Cabinet Secretary John Mbadi has defended the government’s fuel tax policy as a nationwide transport strike brought Kenya’s major cities to a standstill. He argued that the recent surge in fuel prices is being driven largely by global oil shocks linked to geopolitical tensions, rather than domestic policy decisions. 

Mbadi said the government has already deployed billions of shillings from the fuel stabilization fund to cushion consumers from even steeper price increases. He maintained that removing taxes or levies on fuel would create serious fiscal pressure, limiting the state’s ability to fund roads, education, and other budgetary commitments. 

The comments came as transport operators staged a coordinated shutdown, leaving commuters stranded and turning key highways into pedestrian corridors. Operators insist the current diesel price of KSh 242.92 per litre is unsustainable, warning that it is crushing margins across transport and logistics businesses. As the strike continues to ripple through supply chains and business activity, the standoff is sharpening a broader debate over how Kenya should balance fiscal stability with rising cost-of-living pressures.

Week 20 Markets Analysis : Safaricom, Co-op Bank, EABL

By Harry Njuguna

Safaricom shares fell back below its pre-results price within a week of posting record profits, wiping out most of the gains that followed its earnings release and dragging the broader market lower. The decline masked a stronger underlying performance, with Co-operative Bank of Kenya surging more than 10% and leading a rally in banking stocks even as the NSE All Share Index slipped. Investor sentiment is also being shaped by global pressures, including rising oil prices and renewed expectations of U.S. rate hikes, which are tightening financial conditions. Trading activity cooled as Safaricom volumes dropped sharply, signaling that the post-earnings momentum has faded. At the same time, a regulatory green light for Asahi Group Holdings to advance its acquisition tied to East African Breweries Limited points to deeper structural shifts in one of the market’s most liquid counters. 

Read the full market analysis here >>>>>

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Diaspora Inflows Lose Steam In April

By Harry Njuguna

Kenya’s diaspora remittances fell to KSh 51.39 billion in April, retreating from a record March and declining both year-on-year and month-on-month as inflows normalized across key corridors. The slowdown was led by North America, which accounts for over half of total remittances, alongside declines in Europe and more moderate weakness in Gulf-linked flows. Despite the dip, cumulative inflows for 2026 remain slightly higher than last year, though growth has slowed sharply compared with the first quarter. The World Bank has warned that disruptions in the Gulf could reduce monthly inflows further, underscoring the importance of remittances to Kenya’s foreign exchange stability.

Read the full article here »»»»»

NVIDIA vs Silver: What a Chip Company Overtaking a Precious Metal Tells Us About the New Economy

A chipmaker briefly overtaking a precious metal signals a shift in how global markets define real value, where computation now competes with scarcity. As of 2026, companies like NVIDIA sit among the world’s most valuable assets, edging close to or above long-standing stores of wealth such as silver. The rise of AI infrastructure firms alongside giants like Microsoft and Apple suggests that software, chips, and digital ecosystems are increasingly treated as economic foundations rather than mere tools. Yet traditional assets like gold and silver still anchor the system, raising a central question for investors: whether this is a lasting reordering of value or a powerful but temporary market narrative.

Ken Tobiko Oidamae writes >>>>>

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