Forecast: What Businesses Should Prepare For In 2026

Inflation is reportedly easing and investor confidence is slowly improving.

This provides a better business environment and businesses should be stepping into 2026 with some positivity; but where will opportunities be?

Huu sio mwaka wa kubahatisha , ni mwaka wa planning smart.

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One of the biggest Kenya 2026 market trends ni serious digital adoption. AI is no longer only for corporates. Businesses across sectors are using AI for:

● Content creation

● Customer support

● Accounting and invoicing

● Ideas refinement

Manual processes are slowly becoming a thing of the past.

If approvals, records, or customer communication are still offline, uko nyuma.

Digital adoption is now basic survival, not a flex.

KRA is watching more closely. In 2026, tax compliance will be stricter, especially for SMEs and online businesses.

Expect:

● Wider use of e-invoicing (eTIMS) - umefile returns vile inafaa?

● Increased audits

● New rules targeting digital and other areas of income

Keep separate business accounts, file returns on time, and set up proper records early. Being small doesn’t mean being invisible.

KRA imeamua kubadilisha mchezo. Starting January 2026, every income tax return you file will be cross-checked, number by number, against data already sitting in their systems.

Hii si story ya big companies pekee, individuals, SMEs, na even side hustles wote wako ndani. So kuelewa mapema ni muhimu, otherwise unaweza jipata na tax issues bila kujua.

Going forward, KRA won’t just take your word for it. The figures you declare will be auto-matched with three main data sources:

● TIMS / eTIMS invoices – sales zako lazima zi-match na invoices zilipitia system

● Withholding Income Tax records – tax ilikatwa lazima ionekane

● Customs import declarations – kama una-import goods, numbers lazima zi-align

Bottom line? If your records hazipatani, system itaona. No more guesswork, ni data vs data.

Kenyan customers wanataka fast services, convenience, and transparency.

Ku keep customers satisfied as a business, one must ensure best experience and pricing. Also include:

● Mobile-first payments

● Responsive support

● High demand for quick delivery

Businesses zita communicate clearly and deliver consistently will win - si story nyingi na explanations once customer amelipia service ama product.

2027 is Kenya's election year and campaigns usually start earlier than expected and most likely it will be from mid 2026 going forward.

This brings both opportunity and uncertainty. Consumer sentiment and people spending can fluctuate with political campaigns.

Businesses should anticipate:

● Higher spending in certain sectors like retail, events,

● printing and media

● Potential policy or regulatory shifts

Kuwa politically aware, manage cash flow carefully, and avoid speculative investments during tense periods.

Remember: campaign hype can create short-term demand, but long-term planning still matters.

Is your business ready for 2026?