Kenya: Nairobi Building Approvals Rise Sh18bn to Sh84bn in Five Months

What the report says

Nairobi County saw a sharp rebound in building approvals in the first five months of 2026, according to data cited by Capital FM and attributed to the Kenya National Bureau of Statistics (KNBS). The reported value of approved projects rose to Sh84.14 billion between January and May, up from Sh65.9 billion in the same period a year earlier, an increase of Sh18.24 billion.

Residential developments made up the biggest share of the gain, with approvals increasing by Sh9.7 billion to Sh61 billion. Non-residential buildings also grew, rising by Sh8.6 billion to Sh23.1 billion. The report said the higher approvals point to stronger construction activity in the capital, especially after a weaker period in 2025.

Capital FM said the rise comes amid continued demand for land and housing in some of Nairobi’s higher-end neighborhoods. It cited separate market data showing price increases in several prime suburbs, alongside mixed trends in the apartment market. That broader context suggests the city’s property sector is still uneven, even as approved building values recover.

The article also noted that Nairobi had recorded a decline in building approvals during 2025, which KNBS linked to high interest rates and rising construction costs. Against that backdrop, the latest figures may indicate improving conditions for developers, though the report does not say whether the trend will continue.