President William Ruto for the first time has addressed the government's controversial decision to privatise 11 parastatals including the Kenyatta International Convention Centre (KICC) and Kenya Pipeline.
While giving his opening remark at the Diaspora Investment Conference at KICC on December 13, 2023, Ruto clarified that the decision was arrived at based on a 10-year old government report which recommended the disposal of the government assets.
The President affirmed his commitment to seeing the process through.
"We are spending billions of shillings sustaining companies, we have 350 public entities that just take from the budget but some you ask, what is this one doing, so we are going to make a decision," Ruto stated.
From the alleged report, Ruto claimed that he was advised to put 150 government companies on sale, especially since they gobble up public funds, taking away from the public purse which he argued is against the public's best interests.
Claiming that it is one of the toughest decisions his regime will ever be forced to make, Ruto stated that the public companies are better off privatised.
This he said, will rake in revenue for the government and allow the State to optimise its existing resources.
In his statement, President Ruto exuded confidence that the decision to sell the parastatals was the right one and the move would be vindicated and appreciated 10 years down the line.
"I am just giving you an example of why we must save Kenya, and I promise you we are going to move this country in the right direction, we are going to make the difficult, smart decision" Ruto commented.
He further clarified that this is one of the ways the current government will be able to transform Kenya and as the President, he is ready to face the consequences.
"We are going to make those decisions because we must change Kenya," Ruto remarked.
On 27, November 2023, the National Government earmarked 11 parastatals for privatisation.
Besides KICC and Kenya Pipeline, the govt is also looking to dispose the Kenya Literature Bureau (KLB), Kenyatta International Convention Centre (KICC), National Oil Corporation (NOC) and Kenya Seed Company Limited.
Other state corporations the government is looking to sell include; Mwea Rice Mills, Western Kenya Rice Mills Limited, Kenya Pipeline Company, New Kenya Cooperative Creameries, Kenya Vehicle Manufacturers Limited, Rivatex East Africa Limited, and Numerical Machining Complex.
