Privatisation of state-owned assets on the cards

President William Ruto announced that Kenya plans to privatise several state-owned assets through initial public offerings to boost private sector investment and reduce reliance on external debt, according to Peoples Gazette. Speaking at the London Stock Exchange, Ruto said the government would begin by listing the Kenya Pipeline Company on the Nairobi Securities Exchange. He said: ‘We are committed to a structured, time-sensitive programme that identified and prepared a robust pipeline of key government assets to be privatised through the stock exchange or improved through private sector participation.’ Ruto emphasised that developing domestic capital markets could help Kenya reduce its dependence on foreign loans. The move came as Kenya explores new funding avenues after scrapping tax increases worth more than 346bn Kenyan shillings ($2.68bn) following deadly nationwide protests last summer and a shift toward austerity.

Full report in Peoples Gazette