With the highly anticipated ‘Nane Nane’ protests set to unfold on August 8, 2024, Kenya is bracing itself for another significant showdown between demonstrators and the government.
The upcoming protests, touted to be the largest yet, come amidst escalating concerns about the economic repercussions of ongoing unrest.
Principal Secretary of Foreign Affairs, Dr. Abraham Korir Sing’oei, on Tuesday, August 6, called for strict regulation of what he describes as violent protests, drawing a stark comparison to pollution.
Sing’oei, in a statement posted on X, labelled the protests, which began in June, as a form of societal pollution. He argued that the repercussions of such unrest are borne by the private sector, which has been struggling under the weight of continuous disruptions.
“Part of the reason to regulate and firmly deal with violent and chaotic protests is that protestors do not internalise the cost of their actions,” Sing’oei commented.
“This cost is transferred and borne by someone else—the private sector. Like pollution, violent protests must be regulated before they cause irremediable public cost.”
The PS’s call for regulation comes in response to a report indicating that Kenya’s private sector experienced the slowest job growth since January 2024.
This downturn reflects a broader trend of economic uncertainty exacerbated by persistent political instability. The Stanbic Kenya and S&P Global monthly survey paints a bleak picture: businesses are hesitant to invest, and consumer spending has waned, mirroring the overall cautious sentiment pervading the market.
The economic impact of the protests has been palpable. The Stanbic Kenya Purchasing Managers Index (PMI) dropped to 43.1 in July, down from 47.2 in June. This figure, which signals a contraction in private sector activity, represents the second consecutive month of decline and reveals the substantial disruptions caused by the protests.
New orders and output have plummeted to their lowest levels since April 2021, reflecting the tangible effects of the unrest on economic activity.
According to analysts at Stanbic Bank and S&P Global, “Companies scaled back purchasing activity and stocks of inputs in July, but continued to raise employment.” They noted that while job creation persisted, the pace was only marginal and the slowest in a seven-month streak of increasing staffing levels.
The report highlighted that the protests have affected various sectors, including agriculture, construction, wholesale and retail, services, and mining. Nonetheless, the manufacturing sector recorded some growth, providing a rare beacon of optimism in an otherwise challenging economic landscape.
The upcoming protests, which have been organised by the Gen Z movement under the banner of #NaneNanematch, aim to continue the push for significant reforms.
The organisers have promised a peaceful demonstration but have also issued warnings against any attempts to disrupt the protest.
This ongoing unrest has already prompted notable changes, including the withdrawal of the controversial Finance Bill 2024, political reorganisation, and a cabinet reshuffle.
Dr. Sing’oei’s call for regulation is not only a reflection of the growing frustration with the current state of affairs but also a signal of the government’s intent to address the economic fallout of continued protests.
