In a society where success is evaluated by the amount of wealth you control, Philip Ndegwa’s investing risk-taking would be simply assessed.
Ndegwa, who ascended from government officer to third governor of Kenya’s Central Bank, was purportedly the first Kenyan to bank one billion shillings.
Ndegwa, who attended Alliance High School and Makerere University, began working for the government as an economic and planning counselor in 1965.
After several years as chairwoman of numerous institutions, notably Kenya Commercial Bank, he was appointed the second Governor of the Central Bank of Kenya in 1982, succeeding Duncan Ndegwa.
The Ndegwa family is linked with old money in Kenya, and they are among the country’s wealthiest families.
By the time he died in 1996, he had amassed property worth Sh9 billion, a large wealth at the time and even today, and one that most Kenyans read or hear about.
But Ndegwa’s family still controls one of Kenya’s most solid fortunes, which dates back to 1974, when Ndegwa created First Chartered Securities, an indigenous investment firm with about 20 civil servants and business moguls as stockholders.
In the year 2000, the Nairobi offices of the Economic Review magazine, which was then a leading authority on Kenyan economics and business, witnessed unprecedented enthusiasm.
Forbes magazine received a tip-off from a financial analyst while compiling a list of Kenyans who had made riches in the private sector.
Forbes eventually settled on two names, Philip Ndegwa, the former governor of the Central Bank of Kenya and Kenneth Matiba, a well-known businessman and politician whose riches vanished as a result of a political witch hunt and poor management.
Forbes asked the Economic Review editorial staff if Ndegwa was the first Kenyan to reach one billion shillings in fortune. Indeed, he was the first Kenyan to be publicly acknowledged as having banked one billion.
Even now, only a few Kenyans can pull off such a feat.
Ndegwa was the Central Bank of Kenya’s third governor, succeeding Leon Baranski and Duncan Ndegwa. He served from 1982 to 1988.
He graduated from Alliance High School and then attended Makerere University before going on to Harvard University.
The patriarch of one of Kenya’s wealthiest families joined the public service in 1965 as an economic counselor.
He would then be permanent secretary in several ministries, including Agriculture, Finance and Economic Planning.
Ndegwa built his money by co-founding First Chartered Securities with 20 other state officials. This was an indigenous investing firm that still provides income for his family.
The company then purchased a 100% share in ICEA, which merged with Lion of Kenya Insurance to establish ICEA Lion Group. The astute economist also invested 24.98% in NIC Bank.
In 2012, this shareholding was worth Ksh5.22 billion. He also invested in real estate through AMbank House and the famous Riverside Estate in Nairobi.
By 1999, the property portfolio was valued $100 million due to its insurance business alone. First Chartered Securities also invests in logistics, agriculture, beverages and milling.
It is believed to own three tea estates and tea processing facilities.
Ndegwa’s family also has a significant stake in Unga Group through Victus Limited.
The Ndegwas once held an interest in Inchcape Shipping, the largest dry shipping facility between Cairo and Cape Town.
Nairobi Airport Services (NAS), a catering company, was originally one of First Chartered Securities’ various holdings.
Among Ndegwa’s major accomplishments was his role in the privatization of Kenya Airways.
He has also served as chairman of other boards, including ICEA, First Chartered Securities Limited, and Kenya Commercial Bank, where he served as executive chairman.
Ndegwa was also the chairman of Kenya Pipeline Company, Kenya Revenue Authority, Kenya Airways, The Agricultural Finance Corporation and The Society for International Development’s Kenya chapter.
He also worked as an International Economic Expert at the United Nations and as an assistant director for the UN Environment Programme.
