Raila vows to oppose the move by the government to privatize 11 parastatals
Opposition Leader Raila Odinga has pledged to oppose the government’s initiative to privatize 11 state-owned enterprises.
Odinga ridiculed President Ruto, asserting that he has been ineffective in leading the nation, resulting in widespread corruption across various ministries and a surge in the cost of living.
“These people have failed that’s why there’s increased corruption and that’s why they want to privatize the 11 institutions. We know they want to sell them to their friends and we have told them we will oppose that,” he said in Shinyalu, Kakamega County.
The National Treasury has initiated the process of divesting government shares in 11 state-owned enterprises with the aim of generating significant funds and releasing the capital currently invested in supporting their operations annually.
The public is invited to provide their feedback on the proposed sale of these state-owned enterprises, with the deadline for submissions set for December 11.
Among the eleven State Corporations slated for privatization, the Kenyatta International Convention Centre (KICC) is included. Other entities in line for privatization encompass the Kenya Literature Bureau (KLB), National Oil Corporation of Kenya (NOCK), Kenya Seed Company Limited (KSC), Mwea Rice Mills Ltd (MRM), Western Kenya Rice Mills Ltd (WKRM), and Kenya Pipeline Company Limited (KPC).
Additionally, the New Kenya Cooperative Creameries Limited (NKCC), Numerical Machining Complex Limited (NMC), Vehicle Manufacturers Limited (KVM), and Rivatex East Africa Limited (REAL) are part of this privatization initiative.
Lawmakers from Azimio La Umoja have indicated their intention to resist the privatization plans proposed by the Kenya Kwanza Alliance government, arguing that the nation is heading in the wrong direction.
Lugari MP Nabii Nabwera expressed concern over the soaring cost of living in the country, emphasizing that the government has not implemented any measures to alleviate the financial burden on Kenyans.
“We wont endorse things that have not been given a nod by the wananchi. Those issues must be brought to the wananchi through the referendum,” said Nabwera.
The government justifies the decision to privatize its listed state corporations as part of a broader strategy for fiscal consolidation and promoting economic development by generating additional revenue.
The rationale behind this initiative is to enhance efficiency within the economy by fostering increased private sector involvement. The government believes that encouraging more private sector participation will render the economy more responsive to market forces and foster healthy competition.
