Dodoma. The government anticipates collecting Sh1.56 trillion from its investments in public corporations in the 2025/26 financial year—a 40 percent increase from the Sh1.113 trillion revenue estimated for the 2024/25 fiscal year.
Presenting the budget estimates for the President’s Office [Planning and Investment] in Parliament on April 24, 2025, the responsible minister, Prof Kitila Mkumbo, said the revenue will be sourced from public corporations under the Treasury Registrar’s custodianship.
Key income streams include dividends from profit-making public entities, 15 percent contributions from the gross revenues of non-commercial institutions, loan repayments, interest earnings and other revenue avenues.
“As of March 2025, collections stood at Sh664.53 billion—representing 60 percent of the annual target and 86 percent of the target for the reporting period,” Prof Mkumbo said.
He attributed the strong performance to improved integration of government digital systems, notably PlanRep, ERMS, e-Watumishi, and enhancements in the MUSE platform, which have enhanced access to accurate financial data and promoted transparency and accountability.
“We are confident that the Sh1.113 trillion revenue target for the 2024/25 fiscal year will be met, especially given that a significant portion is expected in the fourth quarter,” he added.
The minister presented a Sh148.63 billion budget request for the 2025/26 fiscal year and outlined five strategic priorities for the Office of the Treasury Registrar (OTR).
These include improving public institution efficiency, enhancing oversight of public assets, and expanding non-tax revenue streams.
Among the major initiatives is the rollout of a Long-Term Strategic Plan that will guide public investment and asset management over a 25-year period from 2025/26 to 2049/50.
The plan aligns with the country’s long-term development vision.
Prof Mkumbo affirmed the government’s commitment to monitoring state-owned assets—both operational and those previously privatised, such as farms, factories, residential properties, and plots—to ensure optimal public benefit.
To reinforce non-tax revenue collection, the OTR is developing a digital dashboard to streamline operations, enable real-time data access, and improve governance and transparency.
Public institutions have been urged to allocate resources for ICT investments to support the initiative.
Further, the OTR will enhance governance frameworks for public institutions and companies in which the government holds equity.
This includes the implementation of updated performance evaluation systems and clear guidelines for government representatives on boards.
Key governance tools include the Treasury Registrar’s Circular No. 1 of 2023, the Government Expectations and Roles of Board Members Manual, the Board Performance Evaluation Framework, and guidelines for minority shareholding institutions.
Capacity building for OTR staff will also be prioritised to boost productivity and improve the quality of public service delivery.
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Britam half-year net profit hits Sh2bn on higher investment income
Insurer and financial services provider Britam posted a 22.5 percent jump in net earnings for the half-year ended June 2024, to Sh2 billion, buoyed by increased investment income.
The rise in half-year net profit from Sh1.64 billion posted in a similar period last year came on the back of net investment income rising 2.5 times to Sh13.27 billion from Sh5.3 billion.
“We are confident in the growth and performance trend that Britam has achieved, supported by its subsidiaries in Kenya and the region. Our business is expanding its revenue base while effectively managing costs,” Britam Chief Executive Officer Tom Gitogo said.
“Our customer-centric approach is fueling growth in our customer base and product uptake, particularly through micro-insurance, partnerships, and digital channels.”
The investment income growth was fueled by interest and dividend income rising 34 percent to Sh9.1 billion, which the insurer attributed to growth in revenue and the gains from the realignment of the group’s investment portfolio.
Britam also booked a Sh3.79 billion gain on financial assets at a fair value, compared with a Sh1.8 billion loss posted in a similar period last year.
The increased investment income helped offset the 12.7 percent decline in net insurance service result to Sh2.13 billion in the wake of claims paid out rising at a faster pace than that of premiums received.
Britam said insurance revenue, which is money from written premiums, increased to Sh17.8 billion from Sh16.6 billion, primarily driven by growth in the Kenya insurance business and regional general insurance businesses, which contributed 30 percent of the revenue.
The group has a presence in seven countries in Africa namely Kenya, Uganda, Tanzania, Rwanda, South Sudan, Mozambique, and Malawi.
Britam’s insurance service expense hit Sh13.6 billion from Sh11.3 billion, while net insurance finance expenses rose 2.6 times to Sh12.3 billion during the same period.
“Net insurance finance expenses increased mainly due to growth in interest cost for the deposit administration business driven by better investment performance. This has also been impacted by a decline in the yield curve, which has led to an increase in the insurance contract liabilities. The increase has been offset by a matching increase in fair value gain on assets,” said Britam.
Britam’s growth in profit is in line with that of other Nairobi Securities Exchange-listed insurers, which have seen a rise in profits.
Jubilee Holdings net profit in the six months increased by 22.7 percent to Sh2.5 billion on increased income from insurance, helping the insurer maintain Sh2 per share interim dividend.
CIC Insurance Group posted a 0.64 percent rise in net profit to Sh709.99 million in the same period as net earnings of Liberty Kenya nearly tripled to Sh632 million from Sh213 million, while Sanlam Kenya emerged from a loss to post a Sh282.2 million net profit.
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