Business & Money
Central Bank Leads Kenya’s Wealthiest Parastatals in 2024
Treasury attributed the 8% growth in assets to the appreciation of property, plant, and equipment, along with rises in investments and long-term receivables. As of June 30, 2024, assets for state corporations, autonomous agencies, and public funds reached Sh9.807 trillion, up by Sh616.83 billion from the previous year.
The Central Bank of Kenya (CBK) retains its position as the nation’s wealthiest parastatal, as revealed in the latest consolidated financial report for state corporations, autonomous agencies, and public funds for the year ending June 30, 2024.
Central Bank Kenya’s assets grew to Sh1.96 trillion, up from Sh1.78 trillion the prior year.
The Kenya Airports Authority held onto second place with Sh1.06 trillion in assets, while Kenya National Highways Authority (KeNHA) rose to third, replacing Kenya Railways Corporation (KRC).
KeNHA’s assets increased to Sh808 billion from Sh768.34 billion, while KRC’s fell from Sh983.29 billion to Sh788.78 billion.
The report also highlights an 8% growth in total assets among state corporations, reaching Sh9.8 trillion as of June 2024.
Treasury attributed this growth to the appreciation of property, plant, and equipment, and increased investments and long-term receivables.
“As of June 30, 2024, state corporations, autonomous government agencies, and public funds’ total assets amounted to Sh9.807 trillion, compared to Sh9.19 trillion as of June 2023, an increase of Sh616.83 billion (8%),” Treasury noted.
Key asset growth areas included property, plant, and equipment (Sh218.02 billion), investments (Sh31.19 billion), and long-term receivables (Sh69.89 billion).
Among Kenya’s over 300 parastatals and autonomous agencies, other significant asset holders include Kenya Electricity Generating Company (Sh491.29 billion), National Social Security Fund (Sh399.16 billion), Kenya Power (Sh351.85 billion), Kenya Ports Authority (Sh350.89 billion), and Kenya Electricity Transmission Company (Sh243.98 billion). The Kenya Deposit Insurance Fund (Sh224.33 billion), the University of Nairobi (Sh218.26 billion), and the Kenya Urban Roads Authority (Sh170.09 billion) also rank among the wealthiest.
These entities primarily hold long-term assets like property, infrastructure investments, and government bonds.
Their contributions underscore the renewed focus of President William Ruto’s administration on divesting from underperforming parastatals, a move aligned with IMF recommendations.
However, a recent High Court ruling declared the Privatisation Act unconstitutional, presenting a challenge to the government’s goal to privatise 35 state entities, with plans to sell the first 11 already in motion.