- The Daily Brief, by The Kenyan Wall Street
- Posts
- Why the CBK Eased Interest Rates...Again!
Why the CBK Eased Interest Rates...Again!
Kenya's #1 newsletter among business leaders & policy makers
Hello 👋🏽 It's Brian from The Kenyan Wall Street.
In today's newsletter,
We explain why the Central Bank cut rates for the tenth consecutive time.
The Cabinet will submit the budget policy statement, approving a KSh 4.7 trillion budget.
Why planned urbanization should be at the core of the ‘Singapore’ ambition
Why the CBK Eased Interest Rates…Again!
CBK Governor Kamau Thugge
By Harry Njuguna
Rebuffing a suggestion by the Kenya Bankers Association (KBA) to maintain the CBR rate at 9%, policymakers at the Central Bank of Kenya (CBK) are increasingly confident that the financial system can handle looser monetary conditions without tripping the inflation alarm.
Lending rates are finally beginning to respond, and banks are shedding the toxic legacy of non-performing loans that had once stifled credit growth. With inflation comfortably tamed and the shilling steady, the terrain is clear for the central bank to nudge borrowing costs lower and coax private-sector activity forward.
The move also signals trust in new tools like the Risk-Based Credit Pricing Model, which promises more transparency and sharper transmission of policy. In short, the CBK seems willing to let liquidity flow, betting that the economy is ready to catch it.
Read the article here >>>>>
Also Read:
What the Cabinet Plans to spend in 2026/27?
President William Ruto chairing a cabinet meeting at State House, Nairobi
By Fred Obura
The Cabinet has endorsed a KSh 4.7 trillion budget for the coming financial year, highlighting an ambitious spending plan amid a widening fiscal gap.
Urgent payroll reforms were announced after audits exposed systemic governance failures and unauthorized payments across public service. These measures include cybersecurity mandates, forensic audits, and personal accountability for accounting officers.
Read the article here >>>>>
Happening Tomorrow
Tether, the world’s largest stablecoin issuer, is stepping into Kenya’s fast-evolving virtual assets conversation, taking the lead sponsor role at this week’s TKWS Board of Trailblazers forum. Check it out here »»»»»
The closed-door gathering in Nairobi will convene bankers, regulators, and fintech innovators to wrestle with a central question: how should banks responsibly interact with digital currencies once regulation arrives?
Read more here »»»»»
OPINION : To Become "New Singapore", Kenya Needs Rapid and Planned Urbanization?
Nairobi City
By Nicasio Karani Migwi
If Kenya wants to resemble Singapore, it must first reckon with the fact that prosperity has always been an urban project. Though its cities generate an outsized share of output and formal employment, the country remains only modestly urbanized, with agriculture still anchoring a large slice of GDP. The case for acceleration is economic rather than aesthetic: dense cities concentrate talent, infrastructure, and capital in ways that rural economies rarely can. Yet without disciplined planning and long-term financing, the rush to urbanize could harden inequality instead of dissolving it.
Read the opinion article here >>>>>
How KenGen Performed in the First Half of the Year
KenGen’s Half-Year profits over the years
By Harry Njuguna
KenGen’s latest half-year results tell a familiar story of expanding output and swelling revenues, yet stubbornly constrained profits.
Financial Snapshot:
🟢 Revenue rose 9.4% to a record KSh 30.09 billion, as energy dispatch increased 4% to 4,461GWh.
🟢 Profit after tax fell 20% to KSh 4.22 billion due to higher reimbursable costs and a heavier tax bill.
🔴 Earnings per share declined to KSh 0.64 from KSh 0.80.
🟢 Operating cash flow nearly doubled to KSh 14 billion, but most was absorbed by KSh 11.82 billion in capital expenditure.
Read the full financial results here »»»»
Coca-Cola HBC to Acquire Africa's Largest Bottler
By Fred Obura
Regional competition regulators have opened a formal inquiry into a proposed majority takeover of Coca-Cola Beverages Africa (CCBA) that could reshape Coca-Cola’s bottling structure across Africa, including Kenya’s fast-growing soft-drink market. Coca-Cola HBC AG and its subsidiary Coca-Cola HBC Holdings B.V. are seeking to acquire a 75% stake in CCBA, one of the continent’s largest beverage bottlers with operations in several markets including Kenya, Uganda, Ethiopia and Zambia.
Continue reading here »»»»»
Heads Up
For timely and insightful market updates, follow our Whatsapp page here
Upcoming Events : InvestKenya Announces the Upcoming Kenya International Investment Conference (KIICO) 2026
Taking place at the Radisson Blu Upper Hill on March 25, 2026, the 4th Kenya International Investment Conference (KIICO) 2026 is set to be the largest and most impactful investment promotion conference in Kenya’s history. Register here »»»»»
During KIICO 2026, Kenya will also host the 2nd COMESA Investment Forum on March 26 and the Africa Green Industrialization Initiative (AGII) on March 27th.
Read more about it here »»»»»
On Your Watchlist
Today in History
Kenya held its first nationally televised presidential debate, a landmark in the country’s democratic process that prompted leading candidates to defend their economic and governance records before millions of voters
Keep up with what’s happening on our X and LinkedIn pages. Stay updated with the latest financial news on our website The Kenyan Wall Street.