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Controller of Budget Warns Sovereign Wealth Fund Bill Could Bypass Consolidated Fund Rules

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The Controller of Budget (CoB) Dr Margaret Nyakango, has raised sharp concerns over the Sovereign Wealth Fund(SWF) Bill, 2026, warning that, as currently drafted, it could allow billions in mineral and petroleum revenues to flow outside the country’s main treasury account.

CoB says the fund plan contains critical gaps that could undermine constitutional financial oversight and leave public funds exposed, pointing out its violation of Article 206 of the Constitution.

“This one formally establishes the fund as a body corporate with perpetual succession, a common seal, and the capacity to sue and be sued,” stated Nyakango.

She added, “However, we observed that the clause is silent on the fund’s relationship with the consolidated fund and with the control of budget’s authorization powers under Article 284.”

She notes that Article 206.1 demands that all national government revenues be paid into the Consolidated Fund first, recommending that those revenues pass through that account before being transferred to the Fund through parliamentary appropriation.

In this regard, she reiterates that the real risk that could be posed with this infringement is that the fund will operate as a parallel financial architecture outside the national budget framework, which is unconstitutional.

CoB further argues that the Bill does not make the issue of mineral and petroleum revenues clear, pointing out that it could go directly into the SWF, bypassing Parliament and the Consolidated Fund entirely, which could pose a monumental disaster in the near future.

Beyond the money trail, the office has flagged the Fund’s governance structure inside the Bill that gives the Cabinet Secretary of the National Treasury broad authority over withdrawals, a power the Controller of Budget says should rest with Parliament, not the executive.

“Then the next clause is the one that sets out permissible investment classes, risk management principles and the return objectives of the fund. And we observe that the mandate grants broad discretion to the board and the Cabinet Secretary,” flagged Nyakango.

This in and of itself is alarming as per CoB, citing it as “the most significant accountability gap in the entire Bill,” warning that giving such authority to a Cabinet Secretary without adequate constitutional checks “creates room for financial misuse.”

With these red flags raised, CoB recommended that no withdrawal be made without prior parliamentary appropriation, consistent with Articles 206 and 284 of the Constitution, and that every withdrawal carry express written authorisation from CoB before it is effected.

CoB also raised concerns about the Fund’s board composition, warning that the current appointment process lacks adequate safeguards against executive capture, which could create room for the government to sway board decisions without any independent pushback.

To address this, the office recommends a non-voting independent observer at all board meetings and that all board appointments go through a competitive, transparent process subject to parliamentary approval before any member takes office.

The investment mandate also came under scrutiny, with CoB noting that the Bill grants broad discretion to both the board and the Cabinet Secretary, with no measurable benchmarks, no external review mechanisms and no statutory investment policy prescribed.

This is particularly worrying because mineral and petroleum revenues, which form the bulk of the Fund’s projected income, are finite and non-renewable. Poor investment decisions, the office warned, would be irreversible, with no mechanism to course-correct.

The Controller of Budget is recommending a Statutory Investment Policy Statement approved by Parliament and reviewed every three years, alongside an independent investment advisory committee tasked with monitoring compliance and reporting directly to Parliament.

The office also wants a statutory withdrawal rule capping annual withdrawals as a percentage of the Fund’s total value, a safeguard designed to protect its long-term sustainability against short-term political pressures.

This implies that officers who authorise withdrawals beyond the prescribed limit should face personal, civil and criminal liability in the event of any mishap.

The SWF Bill 2026 is still at the public participation stage after being read for the first time on March 11, 2026-Kenyans.co.ke.

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National Assembly dismisses claims Sacco Bill is being rushed through Parliament

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The National Assembly has dismissed reports that the Sacco Societies (Amendment) Bill, 2025, is being rushed through Parliament, saying the proposed law is still undergoing public participation.

Through infographics shared on Facebook on Tuesday, July 14, 2026, Parliament said misleading information had been circulating online about the Bill, formally known as the Sacco Societies (Amendment) Bill, National Assembly Bill No. 32 of 2025.

Bill was published in June 2025

The National Assembly said the Bill was published on June 30, 2025, and had remained under consideration for more than 12 months.

It rejected suggestions that lawmakers were fast-tracking the proposed amendments without allowing enough time for scrutiny.

According to Parliament, the lengthy period between the publication of the Bill and its current consideration shows that it is not being rushed.

Bill currently before the National Assembly committee

The Sacco Societies Amendment Bill is currently before the National Assembly’s Departmental Committee on Trade, Industry and Cooperatives.

The committee is conducting public participation and receiving views from members of the public and other stakeholders.

The submissions are expected to help the committee assess the proposed amendments before presenting its recommendations to the National Assembly.

What happens after public participation?

After the public participation process is concluded, the committee will prepare a report containing its findings and recommendations.

Parliament said the views submitted by members of the public and stakeholders could inform further amendments to the Bill.

The proposed legislation will then proceed to the National Assembly for consideration by MPs.

This means the Bill has not yet completed the legislative process and could still be amended based on the submissions received during public participation.

Bill will be forwarded to Senate

The National Assembly also clarified that the Bill will not proceed directly for presidential assent after being passed by MPs.

Because the proposed legislation concerns county governments, it will be forwarded to the Senate for consideration in accordance with the Constitution.

The Senate will be required to consider the Bill before it can complete the parliamentary process and be presented for presidential assent.

Parliament urged members of the public to rely on verified information about the Sacco Societies Amendment Bill instead of unconfirmed reports circulating online-PeopleDaily.Digital.

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Digital house-hunting platform bets on technology to reshape Nairobi’s rental market

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NAIROBI, Kenya, July 14 – A growing shift towards digital property searches is changing how Kenyans find rental homes, with real estate technology platform Reemio positioning itself as a solution to longstanding challenges.

This included fraudulent listings, costly house searches and limited market transparency.

As younger, tech-savvy consumers turn to online platforms to make purchasing decisions, the company says digitizing the rental process could improve efficiency for both tenants and landlords while lowering transaction costs.

“Our niche is to solve the problem of house hunting and also bring trust into that process. We use technology to connect renters and landlords,” said Kimani.

Kimani said the platform seeks to address inefficiencies that have traditionally made house hunting expensive and time-consuming.

Instead of physically visiting multiple properties, users can browse verified listings, take virtual tours, compare amenities and access information on additional costs such as water charges, electricity bills and service fees before scheduling physical viewings.

Beyond improving convenience for tenants, Reemio argues that technology can help landlords reduce marketing costs, shorten vacancy periods and reach a wider pool of prospective tenants, including Kenyans living abroad.

The company says its platform also generates market data that can help property owners and developers better understand evolving consumer preferences, although its long-term impact will depend on wider adoption of digital property platforms and continued investment in trustworthy online real estate marketplaces-Capitalfm.co.ke.

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ORPP edges two parties closer to joining Kenya’s political arena

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The Office of the Registrar of Political Parties (ORPP) has issued a notice for the provisional registration of two proposed political parties, opening a seven-day window for members of the public to lodge objections.

In a notice published by the Registrar of Political Parties and Chief Executive Officer J.C. Lorionokou, the ORPP announced that the Social Democratic Party of Kenya (SDP) and the People’s Alternative Voice (PAV) are in the process of being provisionally registered under Section 5(2)(a) of the Political Parties Act.

The ORPP, a State office established under Section 33 of the Political Parties Act and Article 260 of the Constitution, said its mandate includes registering and regulating political parties as well as administering the Political Parties Fund.

According to the notice, the Social Democratic Party of Kenya (SDP) has adopted pink, white and sky blue as its official party colours, with the slogan “Change – Mageuzi.” The party’s symbol is the acronym SDP enclosed inside a circle.

The party’s listed founder members are Nyangong’ Duncan Nyumbah, Omwandasi Jared Dishon and Kinyua Mary Wacuka.

The founders of PAV are listed as Odenyo John Fitzgerald Elly, Nyando Rachel Mmboga and Ali Hussein Kiplangat.

The Registrar said particulars of the two proposed political parties have been published on the ORPP website to facilitate public scrutiny as required by law.

Any person wishing to oppose the provisional registration of either party has seven days from the date of publication of the notice to submit objections either in writing or in person to the Office of the Registrar of Political Parties at Lion Place, Fourth Floor, Waiyaki Way at Karuna Close, Nairobi.

The provisional registration marks the first step in the legal process of establishing a political party in Kenya.

Kenya has 91 fully registered political parties. The ORPP’s updated register indicates that, as of January 2026, there were 91 parties that had met the legal requirements for full registration under the Political Parties Act-STAR.

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