How did the East Africa Protectorate begin in 1895?

The East Africa Protectorate was established in 1895 following the financial failure of the Imperial British East Africa Company. While the company had been granted a royal charter in 1888 to administer the British sphere in East Africa, it struggled with inadequate resources and significant debt incurred from its involvement in Uganda.1

To resolve these financial difficulties, the British government intervened in 1895 by paying the company £250,000 to surrender its charter for the territory that is now Kenya. Upon this transfer, the British government formally proclaimed the East Africa Protectorate. Sir Arthur Hardinge was appointed as the first commissioner, though he initially continued to reside in Zanzibar, where he served as consul general, reflecting the limited importance the British government initially placed on the new protectorate.12