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Kenyan businesses face rising political risks, civil unrest as economic concerns ease – Report

News 9 Kenya by News 9 Kenya
October 15, 2025
in Business
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Kenyan businesses are preparing for a challenging year ahead, following recent Gen Z-led protests.

Closed shops in Nairobi CBD. Photo/Courtesy.

Political instability and civil unrest are now considered the biggest threats, according to the World Security Report 2025 by Allied Universal and G4S.

The report shows that 45% of Kenyan chief security officers (CSOs) identify political instability as their top concern, with civil unrest close behind at 43%.

These figures are significantly higher than the regional average. More than 20% of companies expect protests to affect them directly, the highest rate in Sub-Saharan Africa.

Concerns about economic instability have decreased, with 41% now worried about it, down from 52% last year. Fraud remains a major threat, cited by 41% of firms, and is mainly driven by financial pressures.

Laurence Okelo, Managing Director of G4S Kenya, said security teams are strengthening protections.

“Political and civil unrest can cause costly damage and undermine investor confidence. While economic concerns are easing, companies must continue to build resilience,” said Okelo, in a press statement seen by News Nine.

Physical security budgets will increase for 79% of Kenyan businesses, one of the highest rates in the region. The main areas of expenditure are new technology and infrastructure (83%), risk assessments (71%), and regulatory compliance (66%).

The report surveyed 2,352 CSOs in 31 countries, including 58 from Kenya, and collected views from 200 investors managing over $1 trillion in assets.

Gen Z protests caused significant losses, particularly in retail and hospitality. Almost half of Kenyan firms reported revenue losses linked to security issues, and many also faced higher insurance costs.

Investors warn that a major security event could reduce a company’s value by up to 32%.

Christo Terblanche, president of G4S Africa, said fraud remains the top threat, but he is optimistic about new investments in smart security and AI video surveillance.

Tags: G4SGen Zspolitics
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