KBC Channel 1

Author: Ronald Owili

  • Safaricom Group cuts Ethiopian losses to book Ksh 74B profit

    Safaricom Group cuts Ethiopian losses to book Ksh 74B profit

    Safaricom Group has reported a full year net profit of Ksh 73.6 billion which grew by 61pc from Ksh 45.8 billion the giant telco reported last year backed by enhanced revenue.

    In a year to March 2026, the firm saw its total revenue rise by 10pc to Ksh 427.6 billion from Ksh 388.7 billion reported over the same period last year to sustain its profitability.

    “Profitability improved in line with revenue growth, supported by disciplined cost management and operational
    efficiencies, enabling strong cash generation to support ongoing investment and shareholder returns,” said Dilip Pal, Safaricom Chief Finance and Innovation Officer.

    Over the same period, the group’s total service revenue rose by 11.5pc to reach Ksh 414 billion from 371.4 billion owing to strong service revenue from the Kenyan unit which amounted to Ksh400.8 billion.

    During the year under review, M-pesa revenue rose by 13.4pc to reach Ksh 182.7 billion from Ksh 161 billion reported last year while fixed service revenue grew by 12pc to Ksh 20 billion.

    On the 0ther hand, revenue from connectivity business rose by 6.9pc year-on-year to reach Ksh 197.9 billion.

    In Ethiopia, the telco reported improved performance as revenue increased by 119pc year-on-year to Ksh 17.4 billion from Ksh 7.9 billion backed by strong service revenue which grew by 86.6pc to Ksh 14 billion.

    Despite higher operational expenses in Ethiopia which grew by 29.9pc to reach Ksh 25.4 billion, the group trimmed Safaricom Ethiopia losses to Ksh 47 billion.

    “We entered Ethiopia with a promise to bring quality, mobile data connectivity to millions of people. We have delivered on the promise and we continue,” said Wim Vanhelleputte, CEO Safaricom Ethiopia.

    Over the same period, Safaricom Group total assets grew to Ksh 518 billon from Ksh 515.3 billion reported last year.

    Following the improved performance, the board has proposed a final dividend of Ksh 1.15 per ordinary share totaling Ksh 46.1 billion. This is on top of an interim dividend of Ksh 0.85 per ordinary share amounting to Ksh 34.1 billion which has already been paid.

  • French National Assembly passes cultural property restitution bill

    French National Assembly passes cultural property restitution bill

    The French National Assembly on Wednesday approved, following a new round of debate, a draft law on the restitution of cultural property acquired through illicit appropriation.

    The lower house of parliament passed the bill with 141 votes in favor and none against, although turnout was relatively low compared with the National Assembly’s total of 577 seats.

    The bill seeks to establish a clearer and simpler legal framework for returning cultural assets acquired by France through illicit means, including looting, theft and sales conducted under coercion. It applies to cultural property acquired between 1815 and 1972, excluding military items and certain archaeological objects.

    Under France’s longstanding principle of the inalienability of public collections, cultural objects could previously be returned to their countries of origin only through specific legislation on a case-by-case basis and in limited numbers.

    The French Senate first passed the draft law on January 29, and the National Assembly approved a slightly different version on April 13 with 170 votes in favor and none against. As differences remained between the two versions, a joint committee composed of seven deputies and seven senators worked to reconcile the differing provisions and submitted a compromise text on April 30.

    Under the French legislative process, the revised draft law still requires Senate approval in a review scheduled for Thursday before it can proceed to promulgation.

  • C&G Group shareholders to pocket Ksh 274M after 356pc profit jump

    C&G Group shareholders to pocket Ksh 274M after 356pc profit jump

    Car & General Group shareholders are set to earn total dividends amounting to Ksh 274 million for the year ended December 2025 after net profit jumped by 356pc.

    The firm’s profit after tax for the full year period increased to Ksh 2.4 billion compared to Ksh 526 million reported in the previous year lifted by higher sales the firm recorded across three of its regional markets including Kenya, Uganda and Tanzania.

    “In Kenya, specifically, the boda boda business resumed growth to a monthly average of 8,000 units from a low of 4,600 units per month in 2024. This led to recovery in growth of our Kenya business after two years of decline. In addition, we saw reasonable growth in all product lines and territories,” said the firm.

    C&G turnover for the twelve-month period rose by 21pc to Ksh 25 billion from Ksh 21 billion reported during the previous year.

    Earnings before interest, tax, depreciation and amortization expanded by 153pc to Ksh 3.8 billion compared to Ksh 1.5 billion reported in 2024.

    According to the firm, sales in Uganda and Tanzania now represent over 56% of total sales.

    Following the improved performance, C&G Group board recommend a final dividend Ksh 3.12 per share amounting to Ksh 250 million and which is higher than 80 cents per shared declared in the previous year.

    This is in addition to the interim dividend of Ksh 24,062,000 at 30 cents per share paid during the year.

    “The Dividend shall be payable to those registered at the close of business on Wednesday 24 June 2026. Subject to approval by the shareholders, the dividend is to be paid on or about 30 June 2026,” said the firm.

  • Ksh 26B Mwache Dam nears completion despite funding gaps

    Ksh 26B Mwache Dam nears completion despite funding gaps

    The multibillion shillings Mwache Dam in Kwale County could be commissioned this year ahead of schedule according to the contractor. 

    However, a parliamentary watchdog has warned that the Ksh 25.6 billion project which is now 83pc complete could face delays due to inadequate funding for the construction of a water treatment plant and installation of distribution pipelines.

    The National Assembly Committee on Water, Irrigation and Blue Economy raised the concern during an inspection visit to the project. The visit came after contractor Sinohydro Corporation Limited recently slowed construction over delayed payments.

    Committee chairperson and Marakwet East MP Kangogo Bowen said the project in Kinango Constituency had made significant progress but warned that outstanding payments had affected the pace of work.

    “We are impressed with the progress of the project, which is now 83 per cent complete. However, the works recently slowed because of delayed payment,” he said.

    Bowen urged the Ministry of Water, Sanitation and Irrigation to fast-track installation of water treatment and distribution infrastructure. He also said Kwale residents should be given priority before water is supplied to neighbouring Mombasa County.

    According to Bowen, the contractor is owed Sh1.9 billion in unpaid certificates. He said the committee would push the National Treasury to release funds to keep the project on schedule.

    He added that Ksh 5.8 billion has been allocated to the project in the proposed national budget that will be tabled in Parliament next month.

    Bowen also called on National Treasury Cabinet Secretary John Mbadi to visit the site and ensure prompt payment to the contractor.

    During the visit, Matuga MP Kassim Tandaza clashed with Water Secretary at the Ministry of Water, Sanitation and Irrigation, Engineer Samuel Alima, over compensation for residents whose houses were damaged during rock blasting.

    While Alima said the ministry had recommended rehabilitation of the affected houses, Tandaza demanded full compensation.

    “We demand that the house owners be fully compensated and not just repairs,” said Tandaza.

    Alima said 244 houses had been damaged. However, local residents led by Kasemeni MCA Victor Safari disputed the figure, saying at least 500 houses were affected.

    Tandaza also called for compensation of 2,000 Project Affected Persons who have been waiting since 2021, when the first batch of residents was compensated and relocated. He blamed the delay on the National Land Commission.

    The dam project has a total of 4,000 Project Affected Persons.

    The legislator further insisted that Kwale residents should benefit first from the water project before any supply is extended to Mombasa County.

    Engineer Alima said the ministry expects the dam to be completed by the end of this year.

    The dam is designed to supply 186,000 litres of water daily.

    President William Ruto launched construction of the project in 2023

  • Wandayi attributes fuel shortage to technical hitch

    Wandayi attributes fuel shortage to technical hitch

    Energy and Petroleum Cabinet Secretary Opiyo Wandayi says the prevailing fuel shortage that has been reported in some petrol stations has been due to technical hitch.

    In a statement, Wandayi said the country currently has enough fuel stock even as consumers across the country continue to face shortage in various parts of the country.

    “The Ministry of Energy and Petroleum wishes to inform the public that the temporary fuel supply challenges experienced in isolated filling stations in some parts of the country arose from a technical and administrative hitch. This curtailed the optimal uptake of petroleum products by a few oil marketing companies operating in the downstream of the supply chain,” said Wandayi.

    While assuring consumers of fuel availability, Wandayi said the situation has since been resolved and the Ministry is working closely with industry stakeholders to normalize deliveries.

    “Fuel restocking in various filling stations is underway, and normal supply across the country will be attained by the end of the day today. The Ministry wishes to reassure Kenyans that the country has adequate fuel stocks. There should be no cause for alarm,”

    He added that the government remains committed to safeguarding national energy security and ensuring reliable fuel supply for households, businesses, and industries nationwide.

  • Oil prices ease as US pauses Project Freedom to seek deal with Iran

    Oil prices ease as US pauses Project Freedom to seek deal with Iran

    Oil prices edged lower in Wednesday trade in Asia after US President Donald Trump raised hopes for an agreement with Iran to end the war.

    Trump said the US would pause its operation to guide ships through the key Strait of Hormuz trade route – a move that triggered an escalation in attacks in the region – to see if a deal could be made.

    Brent, the global benchmark for crude, fell by 1.7% to $108 (£79.56) a barrel, while US-traded oil fell by 1.6% to $100.60.

    The price of oil jumped by more than 6% earlier in the week as attacks across the Middle East intensified, but has since gradually eased.

    Global energy prices have surged since Tehran threatened to attack ships trying cross the Strait of Hormuz, in retaliation against US-Israeli strikes since 28 February.

    About a fifth of global oil and gas shipments cross the strait.

    Oil prices overall have been higher since the US-Iran conditional ceasefire, which was announced on 8 April and later extended.

    Trump said on social media on Tuesday that Project Freedom, the name of the US-led effort to move ships through the channel, would be “paused for a short period of time to see whether or not the Agreement can be finalized and signed”.

    He added that “Great Progress has been made toward a Complete and Final Agreement with Representatives of Iran”. Trump said the US would continue to block ships transiting to and from Iranian ports – a move designed to put pressure on Iran’s economy.

    To traders, pausing Project Freedom is “a sign that Washington is willing to give diplomacy another chance,” said Charu Chanana from investment firm Saxo.

    She added, however, that it is not a turning point.

    “The key question for oil traders is whether this leads to real progress in reopening trade through the Strait of Hormuz,” said Chanana, an investment strategist. “For now, there is little evidence of that.”

    US Secretary of State Marco Rubio also told reporters that the initial US-Israeli offensive in Iran was over, as Washington’s objectives had been met.

    “We would prefer the path of peace. What the president would prefer is a deal,” Rubio said.

    Iran has not responded to Rubio’s remarks. The country’s parliamentary speaker Mohammad Ghalibaf said earlier: “We know well that the continuation of the status quo is intolerable for America, while we are just getting started.”

    Project Freedom, which Trump said was meant to ease the flow of energy through the channel, had tested the ceasefire between the sides.

    The US said it struck several Iranian “fast boats” in the channel, while the United Arab Emirates also accused Iran of launching strikes on one of its oil ports – a claim Tehran has denied.

  • Ruto launches charm offensive to woo Tanzanian investors

    Ruto launches charm offensive to woo Tanzanian investors

    President William Ruto’s two day state visit to Tanzania culminated in a historic address to the country’s parliament with an appeasement to build a strong economic partnership.

    In an effort to mend the mistrust that has existed between two of the largest economies within the East African Community, President Ruto called for stronger ties which will support economic growth, job creation for the youth and enhance regional intra-trade which currently stands at 15-20pc.

    “The time has come for our generation to move beyond incremental progress towards decisive integration because our biggest barrier is not infrastructure or policy, it is the quiet mistrust that pervades our relations. That suspicion has cost us time, opportunity and prosperity and we can no longer afford it,” said President Ruto.

    The visit comes amid quiet tension that has existed between the two neighbouring countries often coming to surface at the border points.

    In a move aimed at enticing investors, the president called for stronger economic cooperation with Tanzania backed by recent investments by Tanzanian companies in Kenya within the last three years.

    Among Tanzanian companies that have acquired interest in Kenyan include Taifa Gad which established a plant in Mombasa, Amsons Groups which acquired Bamburi Cement and Taarifa Limited owned by billionaire Rosatam Azziz which acquired majority stake in Nation Media Group from Aga Khan Fund for Economic Development (AKFED).

    “These are companies that have invested in Kenya over the last three years. With recent strategic investment from Tanzanian investors in Kenya, I expect this value of investments to more than double by the end of this year,” said Ruto.

    Currently, total investment by Kenyan firms in Tanzania amount to at least Ksh 219 billion ($1.7b) which have supported job creation, skills transfer and strengthening of local capacity in various sectors including manufacturing, energy, logistics, financial services, and agriculture.

    On the other hand, Tanzanian investments in Kenya have grown in recent times to reach Ksh 43 billion spanning media communication, energy and manufacturing.

    “These cross-border investments are not merely flows of capital; they are powerful catalysts for expanding trade. The deepening interdependence of our manufacturing and agro-processing sectors is driving sustained demand for raw materials, while spurring investment in value addition and integrated supply chains for export,” President Ruto told Tanzanian legislators.

    According to official data, bilateral trade between the two nations is currently valued at an estimated Ksh 111B ($860m) and is expected to reach Ksh 120 billion this year with sustained investments.

    In an effort to ensure the two countries maximize opportunities under the African Continental Free Trade Area (AfCFTA), the president further urged for stringer investment cooperation to realize capital intensive regional projects.

    These include the planned expansion of railway connectivity from Voi through Singida and onwards to Burundi to open regional hinterlands and unlock new trade routes and markets, and the proposed Shinyanga-Mabuki-Kilgoris- Rongai power interconnector will is expected to expand transmission capacity, strengthen the Eastern Africa Power Pool.

  • Gambling regulator mulls tighter rules to tame addiction

    Gambling regulator mulls tighter rules to tame addiction

    Gambling Regulatory Authority (GRA) has said the new rules governing the industry will ensure enhanced protection for consumers.

    This comes amid growing gaming industry in Kenya and Africa backed by growing digital technologies.

    We will ensure we have robust regulations to protect Kenyans. We are will invest in serious systems where they will be able to help us screen the players. You are screened and the system would be able to see your behaviour and if your behaviour is negative we see what happens,” said Joseph Limo, Chairman GRA.

    Speaking during the inaugural iGaming Africa Summit, Limo said the rules will ensure there is a framework for counselling gambling addicts.

    Under the new Gambling Control Act, GRA will also deploy a system to monitor all the gaming activities in the country and protect investors by blocking illegal operators and also ensure there is no tax evasion.

    GRA says currently there are over 200 gambling operators in Kenya who will be reassessed for licensing under the new regime.

    “Because of the technology that we will be bringing into place, we will have the capabilities of identifying problematic gambling habits that can be nipped in the bud long before it becomes a challenge,” said Peter Karimi, GRA Chief Executive Officer.

    He added, ”Many solutions have been brought to the fore. For instance we are finding mechanism to exclude the use of immovable assets as part of the gambling wagers so that people do not steak family money or property in pursuit of a high.”

    However as the landscape in the sector continues to shift, industry stakeholders attending the summit called on the government to ensure regulations for not stifle growth of the sector.

    “Africa’s gaming industry is no longer a frontier market, it is a growth market. The infrastructure is maturing, the talent is here, and the appetite from both operators and players has never been greater. The IGA Summit exists to ensure that growth is structured, inclusive, and lasting,” added Jeremiah Maangi, CEO iGaming AFRIKA.

    According to a report by GeoPoll, last year, mobile phones have firmly established themselves as the preferred platform for betting across Africa.

    The report indicates that at least 94pc of respondents who participate in gambling reported that they place their bets using a mobile phone.

    The two days summit brought together policymakers, regulators, investors and gaming firms from across the globe.

  • Kenya, Tanzania commit to grow bilateral trade to Ksh 309B

    Kenya, Tanzania commit to grow bilateral trade to Ksh 309B

    Two of East African Community (EAC) largest markets are targeting to smoothen diplomatic relations in support of bilateral trade which has been held back by non-tariff barriers.

    According to President William Ruto who is on a two-day state the two countries are seeking additional Ksh 195 billion worth of trade and investments.

    “Kenya and Tanzania have set a target of Ksh 130 billion in new trade and Ksh 65 billion in fresh cross-border investments. To achieve this ambition, we must deliberately bring down hurdles that hinder free movement of people, goods and services,” said President Ruto.

    The new commitments by the President Ruto and his Tanzanian counterpart President William Ruto will see bilateral trade grow from the current Ksh 113 billion to Ksh 309 billion.

    President Ruto said the new trade and investment will be accelerate by the removal of non-tariff barriers which have been seen by business leaders in the region as a hindrance to enhance trade volumes.

    “Business and trade will grow exponentially if non-tariff barriers are eliminated, including border delays, non-harmonised standards, and restricted market access. This is the reason we have set ourselves a June 30, 2026 target to ensure all these barriers are removed,” he added via his official X account.

    Latest data by the Kenya National Bureau of Statistics (KNBS) indicate that Kenyan exports to Tanzania fell to Ksh 63.6 billion last year, compared to Ksh 67.2 billion reported in 2024.

    On the other hand, imports from the neighbouring country declined by 14pc to Ksh 50.5 billion from Ksh 58.7 billion over the same period.

    Ruto also stressed on the need for the Joint Business Council to become the central platform for structured collaboration.

    Speaking during the Tanzania-Kenya Business Forum in Dar es Salaam on Monday, President Ruto added that the Tanzania-Kenya Business Forum will be institutionalised as an annual event to review progress, track implementation, and unlock new opportunities.

    “We reaffirmed our steadfast resolve to provide a stable, predictable, and enabling environment, anchored on regulatory clarity, investor protection, and private sector-led growth,” he noted.

    The two day state visit by the president will conclude on Tuesday after a historic address to the Tanzanian parliament.

  • Germany warns EU will retaliate if US raises auto tariffs to 25%

    Germany warns EU will retaliate if US raises auto tariffs to 25%

    Germany warned on Monday that the European Union is prepared to take countermeasures if the United States moves ahead with plans to sharply increase tariffs on European automobile imports.

    German Vice-Chancellor and Finance Minister Lars Klingbeil urged Washington to honor a previously reached tariff agreement with the EU, cautioning against further escalation.

    He emphasized that while Germany seeks a “joint solution” rather than escalation, they are “prepared if an escalation were to occur.”

    His remarks came after US President Donald Trump said in a social media post that Washington would increase tariffs on EU-made automobiles this week. Trump accused the bloc of failing to comply with a bilateral trade deal, adding that the new policy would impose a 25% tariff on European cars while exempting vehicles manufactured in the US.

    The proposed tariff hike has raised alarm among German economists, who warn it could significantly impact the country’s export-driven automotive sector. Germany accounts for a substantial share of EU car exports to the US, making it particularly vulnerable to trade restrictions.

    The Kiel Institute for the World Economy estimates such measures could reduce Germany’s real economic output by around 0.3%, adding pressure to an economy already facing sluggish growth.

    EU officials have reiterated that the bloc is ready to take “proportionate countermeasures” to defend its economic interests. Policymakers in Berlin and Brussels are reportedly considering retaliatory tariffs on US goods if Washington proceeds with the planned increase.

    Despite the rising tensions, German officials continue to stress the importance of negotiation, leaving the door open for a diplomatic resolution to avoid a broader transatlantic trade dispute.