Ruto says Kenya ready to privatise 35 firms after enactment of law

Friday, November 24th, 2023 05:40 | By
Ruto says Kenya ready to privatise 35 firms after enactment of law
President William Ruto addresses wananchi during the 60th Madaraka day national celebrations at Moi stadium in Embu on June 1, 2023. PHOTO/ JOSEPH KANYI

PRIVATISATION:  President William Ruto says he will facilitate the listing of up to 35 State-owned corporations on the securities exchange despite a previous promise to list at least five by September, a commitment that did not materialise.

Acknowledging the challenges faced in the initial attempt to list the first five State-owned companies on the stock exchange, Ruto expressed his determination to overcome hurdles and push forward with an even more ambitious agenda.

Lucrative companies

“We have otherwise very lucrative companies but they are trapped in government bureaucracy when the services they are offering can actually be better offered by the private sector,” he said in Nairobi.

“So we will make these opportunities available and I want to tell our Kenyan private and public sectors that opportunity is coming and they should prepare for being part owners,” Ruto added.

He underscored the importance of injecting private capital into State-owned enterprises through the stock exchange, emphasising its potential to enhance transparency, attract investments, and spur economic growth.

During his address, Ruto challenged the secretariat of the African Securities Exchanges Association (ASEA) to ensure that resources are strategically channelled into investments aimed at mitigating the impacts of climate change.

The President highlighted the role of capital markets in financing green initiatives, calling for collaboration between governments, corporations, and financial institutions to address environmental challenges.

By urging the secretariat to prioritise climate change mitigation efforts, Ruto demonstrated a keen awareness of the interconnectedness between economic activities and environmental sustainability.

The ambitious plan to list 135 State-owned corporations on the stock exchange signals a significant shift in economic strategy, as the government aims to leverage private sector participation for the benefit of both the economy and the environment.

More on Business