Beaten in two previous meetings, openers David Watts and Majid Haq got Scotland off to a flying start when they punished the Kenyan pace bowling attack of Thomas Odoyo and Peter Ongondo.
Enjoying a wicket that favours batting, Watts (58) and Haq (71) put on 103 for the first wicket.
It was only the spin of young Hiren Varaiya and Steve Tikolo (3-46) that put the breaks on the well-oiled Scottish side that progressed to 254-8 in their 50 overs.
Thomas Odoyo was the only batsman to take the game to the Scottish spinners as Kenya capitulated to 177 all out -- the first time that they have lost a match in the tournament.
They will now need to beat Canada on Monday to make sure of their place in the final.
Canada kept their hopes alive when they defeated Ireland by six wickets at the Nairobi Jaffreys club.
Canada, inspired by a brilliant 122 from Ashish Bagai went on to upset Ireland who had made 308 -- the highest score of the tournament -- after being put to bat first.
Ryan ten Doeschate scored an unbeaten 110 to lead the Netherlands to an emphatic eight-wicket victory over winless Bermuda.