NAIROBI, Kenya, NAIROBI, Kenya, Aug 24 -Kenya’s pension assets have for the first time exceeded the Sh3 trillion mark, rising 12.66 percent in the six months to June 2026 as schemes cut their exposure to government securities and increased their investments in quoted equities.
Pension assets under management rose to Sh3.17 trillion in June from Sh2.81 trillion in December 2025, reflecting a Sh356 billion increase over the six-month period.
Government securities remained the largest investment category at Sh1.495 trillion. However, their share of total pension assets fell to 46.35 percent from 52.14 percent in December, bringing exposure to government paper below half of the industry’s portfolio.
At the same time, pension schemes increased their holdings in quoted equities to Sh439.32 billion from Sh312.84 billion, pushing their share of total assets to 14.37 percent from 11.13 percent.
The shift points to greater diversification of pension investments, with schemes allocating more funds to assets outside government securities.
Guaranteed funds were the second-largest investment category at Sh597.07 billion, accounting for 19.35 percent of total pension assets.
Immovable property followed with Sh257.95 billion, or 7.97 percent of the portfolio.
The four largest investment categories — government securities, guaranteed funds, quoted equities and immovable property — accounted for 88.04 percent of pension assets in June, down from 90.43 percent in December.
Other investments also recorded growth during the period.
Offshore investments rose to Sh104.99 billion, while private equity holdings increased to Sh43.10 billion. Cash and demand deposits stood at Sh65.56 billion.
Pension schemes also held Sh43.81 billion in commercial paper and non-listed bonds, Sh53.37 billion in fixed deposits and Sh37.52 billion in listed corporate bonds.
Investments in Real Estate Investment Trusts (REITs) stood at Sh19.61 billion, while unquoted equities accounted for Sh7.81 billion and infrastructure debt instruments Sh770 million.
The growth extends a longer-term expansion of Kenya’s pension industry, with assets rising from Sh1.52 trillion in June 2022 to Sh1.98 trillion in June 2024 and Sh2.53 trillion in June 2025.
Assets then increased to Sh2.81 trillion in December 2025 before crossing the Sh3 trillion mark six months later.
While government securities remain the biggest destination for pension savings, the latest figures show schemes gradually spreading investments across equities, offshore assets, private equity, property and other instruments.
