Uhuru Among Four Owning More Wealth Than 22 Million Kenyans

Oxfam also revealed that Kenya’s richest 130 individuals own wealth equivalent to...

Marvin Chege Marvin Chege
Jan 19, 2023 - 10:10 Updated: Jan 19, 2023 - 10:15
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Uhuru Among Four Owning More Wealth Than 22 Million Kenyans
Former President Uhuru Kenyatta hands over the instruments of power to Kenya's fifth President William Ruto at Kasarani Stadium. /TWITTER

Despite handing over power to President William Ruto on September 13, 2022, former President Uhuru Kenyatta was ranked among four Kenyans amassing a cumulative net wealth of Ksh333 billion, which is more than 22 million Kenyans combined.

A report by Oxfam on Thursday, January 19 revealed that Kenya's fourth president is the fourth wealthiest person in the country with a net worth of Ksh60 billion.

However, the report warned that Uhuru's wealth was likely connected to his wider family. The Kenyatta family is known for its interests in a wide range of sectors, including banking, milk processing, transport, media, hospitality and land.

The analysis went on to state that Kenya's super-rich are amassing enormous wealth as the country continues its economic recovery from the impact of the COVID-19 pandemic, high prices of basic items, drought and unemployment.

From left: Former President Uhuru Kenyatta, Sameer Africa Group Chairman Naushad Merali, CEO Bedi Investments Jaswinder Bedi and Bidco Oil Refineries limited Chairman Bhimji Shah. /DAILY NATION

Oxfam also revealed that Kenya’s richest 130 individuals own wealth equivalent to 70 per cent of the country’s current budget (Ksh3.3 trillion), or 19 per cent of its Gross Domestic Product (GDP).

“The analysis shows that the increasing extreme wealth of the rich and increasing extreme poverty of the poor driven by low taxes on the richest Kenyans by virtue of tax breaks, incentives, avoidance and evasion, alongside unfairly higher taxes on poorest Kenyans, directly through income tax and indirectly through taxes on fuel, food and basic commodities, is a social ill and a shame,” Dr John Kitui, Oxfam Kenya’s Country Director, said in a press release.

The 1,890 individuals, about 0.003 per cent of Kenya’s population, own wealth equivalent to 37.8 per cent of Kenya’s Ksh12.09 trillion GDP by 2021.

“The analysis shows that there are 1,890 individuals in Kenya with a net worth of $5 million (Ksh615 million) or more, with wealth totalling $39.9 billion (Ksh4.9 trillion). This also includes 130 individuals with $50 million (Ksh6.15 billion) or more with a combined wealth of $18.7 billion (Ksh2.3 billion),” Oxfam stated.

Oxfam conducted the analysis together with the Fight Inequality Alliance, Institute for Policy Studies and the Patriotic Millionaires, showing a growing level of extreme wealth in Kenya.

Taxation has been named as the cause of the huge margin between the super-rich and the rest of the population.

Uhuru was ranked alongside Samir Naushad Merali, Bhimji Depar Shah and Jaswinder Singh Bedi. Merali is Kenya's wealthiest individual with a net worth of Ksh89.6 billion and became the wealthiest after inheriting the wealth left by the late businessman Naushad Merali, who passed away in July 2021.

The late tycoon garnered his fortunes from businesses spread across telecommunications, real estate, banking, agriculture and manufacturing.

As for Shah, he follows Merali in second with a net worth of Ksh85.6 billion. The founder of Bidco Group has amassed his wealth from manufacturing consumer goods, including famous brands such as Noodies Instant Noodles, Planet Soda, Kimbo cooking fat, and Gental Care. 

Bedi was ranked third for his work in textile manufacturing. He is worth an estimated Ksh77.1 billion.

Millionaires from 13 countries petitioned world leaders attending the World Economic Forum’s annual meeting in Davos, Switzerland, to tackle the problem of extreme wealth.

In a letter titled The Cost of Extreme Wealth, the millionaires claimed that in the last five decades, wealth has only been flowing upwards, with the only solution available being to tax the super-rich.

If a net wealth tax was introduced in Kenya at the rate of two per cent, an annual wealth tax on Kenya’s richest could raise Ksh90 billion. In the last decade, the analysis shows the richest Kenyans with a net wealth of Ksh.615 million and above have seen their wealth grow by 72 per cent.

The population of this category of Kenyans has equally grown by 134 per cent, with 1,890 Kenyans having a net worth of Ksh615 million or more.

An image of Nairobi's skyline. /FILE

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