Kenya: Ichung'wah Says Those Complaining of KICC Privatization Are Ignorant

30 November 2023
Capital FM (Nairobi)
By Sharon Resian

Nairobi — National Assembly Majority Leader Kimani Ichung'wah has described those complaining about the sale of Kenyatta International Conference Centre (KICC) as ignorant.

Speaking on Friday in Parliament, Ichung'wah stated that the Privatization Act clearly outlines the selling of any government assets as a means of the government withdrawing its previous investment either through initial public offering or join venture with a strategic investor.

He said Kenyans shouldn't have a problem when the government sells off some of its assets, instead they should be conversant with the constitution.

"I have heard many people speaking of how the government is selling off assets, speaker ignorant people are not looking at the Privatization Bill which states very clearly how government will divest from investment it had made in the past whether it is through initial public offering or identification to join venture with a strategic investor or outright sale," he said.

Ichung'wah said the government will gain a lot if the KICC is sold to a private sector company with experience managing businesses because it is situated in a prime area of the City of Kenya.

He disputed allegations that government assets are being sold to fund other endeavors, stating that the government is permitted by law to do so.

"I have heard them say KICC is being sold. KICC today, 90 per cent of the tenants I think is parliament. Paying peanuts because it is government to government and this is a prime location in our CBD," he said.

"If for instance KICC is leased to chain of hotel that can run in the private sectors who are expertise, you can imagine the amount of money government will be able to generate."

This comes as the National treasury and Economic Planning on November 26 marked 11 state corporations for privatization, under the newly proposed Privatization Act 2023 arguing that the move will generate more state revenue and boost the country's economy.

The treasury also noted that the privatization move will save some state-owned corporations which are facing poor financial performance.

The listed parastatals include the Kenya Literature Bureau (KLB), Kenya Seed Company Limited (KSC), Mwea Rice Mills Ltd (MRM), and Western Kenya Rice Mills Ltd (WKRM).

Others are Numerical Machining Complex Limited (NMC), Kenya Vehicle Manufacturers Limited and Rivatex East Africa Limited (REAL).

Read the original article on Capital FM.

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