Best Money Market Funds in Kenya (July 2025)

Top Performers, Rates & Investment Guide

The Kenyan investment scene is changing fast, and Money Market Funds (MMFs) continue to attract investors seeking stable and competitive returns. As of July 4, 2025, Cytonn, Gulpac, and Kuza MMFs lead the pack. Here’s a full analysis of Kenya’s top-performing MMFs, how they compare to Treasury Bills (T-Bills), the current inflation rate, and what this means for investors.

Why Money Market Funds Remain a Top Investment in Kenya

With high interest rates, rising inflation, and economic uncertainty, Kenyans are turning to safe and flexible options for preserving capital. Money Market Funds have become a popular choice thanks to their:

• Daily compounding interest
• Quick liquidity (withdraw in 2-3 days)
• Low risk (short-term government securities and high-grade papers)
• Better returns than bank savings accounts

But not all MMFs are equal. Let’s look at how they’re performing now.

Top 30 Money Market Fund (KES) Yields – As of July 4, 2025

Below is the latest ranking of 30 licensed Money Market Fund managers in Kenya, their previous and current annualized yields, and the net after-tax returns (15% withholding tax applied):

How Do These MMFs Compare to Treasury Bills?

Here’s a look at the current T-Bill rates in Kenya as of June 2025:

Verdict: Most MMFs are currently outperforming 91-day and 182-day T-Bills after tax, and a good number are on par or better than the 364-day T-Bill.

Read: Top 30 Money Market Fund (MMF) Rates in Kenya

Inflation and CBR Insights

• Inflation Rate (June 2025): 3.8%
• Central Bank Rate (CBR): 9.75%

This means most top-performing MMFs are delivering real returns above inflation — crucial for preserving purchasing power.

Key Takeaways for Investors

1. Top Performers:
   • Cytonn MMF still leads with 13.44% gross return and 11.42% after tax.
   • Gulfcap MMF and Kuza MMF follow closely.
2. Safe Alternatives to Bank Deposits:
   With most savings accounts offering <5%, these MMFs offer better value for your idle cash.
3. Diversification Tip:
   Don’t put all your money in one MMF. Diversify between 2–3 funds with high and stable yields.
4. Short-Term Strategy:
   MMFs are perfect for short-term goals (1–12 months) or emergency funds. For longer periods, consider bonds or real estate-backed products.

What to Watch

• Daily Rate Fluctuations:
  As seen, yields change frequently. Monitor performance before committing.
• Management Fees & Terms:
  Always check fund charges, redemption rules, and fund manager transparency.
• Licensing and Regulation:
  Invest only in CMA-licensed fund managers in Kenya to avoid scams.

Final Thought: Should You Invest in MMFs Today?

Absolutely. If you’re looking for a low-risk, high-yield, and flexible investment in Kenya, MMFs remain one of the best options in 2025. Choose a top-performing fund like Cytonn, Kuza, or Lofty Corban, and monitor your returns. With inflation under 4% and interest rates stable, now is a great time to take advantage of compounding returns.

Pro Tip:
Want to automate savings into MMFs? Use platforms like Chumz App, Mali (Safaricom), or fund-specific apps to invest as little as KES 100 daily and grow your wealth passively.

Sources: CentWarrior, Fund Managers’ disclosures, Business Daily, Central Bank of Kenya.