Good morning,
On Sunday evening, President William Ruto defended his government’s plans to sell 11 state agencies, including KICC and the cash-rich National Oil and Kenya Pipeline Company.
The government has also listed the Kenya Literature Bureau (KLB), Mwea Rice Mills Ltd (MRM), Western Kenya Rice Mills Ltd (WKRM), New Kenya Cooperative Creameries Limited (NKCC) and Numerical Machining Complex Limited (NMC) as potential investment opportunities for interested parties.
A report released by Kenya National Civil Society Centre (KNCSC) on Monday, however, warned that putting up the corporations for sale would largely disrupt the socio-economic status of the country.
The critics predict retrenchment and massive job losses, high rates of income inequalities, and aggravated inflation while noting that the move would worsen the already strained employment sector.
During the interview with media houses on Sunday, Ruto defended the move and promised that affected employees would be offered jobs in other corporations.
Do you think selling the state corporations is the right move by the government?
Meanwhile, here are the stories making headlines on Opera News today:
“Don’t compare Kenya to Rwanda” Murkomen Defends Govt
Transport Cabinet Secretary Kipchumba Murkomen now says the political system in Rwanda is the reason why the implementation of government projects runs smoothly in the country, making Kigali a benchmark for many countries in the East Africa region and beyond.
Speaking on Citizen TV’s Monday report show, Murkomen appeared to dismiss those who keep comparing Kenya and Rwanda in terms of development, stating that while Nairobi is a democratic nation, Kigali is an autocracy where “whatever the President says is the law.”
Auditor General Puts Ruto’s Govt on Spot Over Sh 16bn Loan
In line with his mandate of auditing the government’s transactions, auditor General Gathungu has tabled another report alleging how the national treasury disbursed a shareholder loan amounting to sh 16bn to KQ.
Nancy Gathungo claims that Kenya Airways failed to establish a separate account of the loan even after the national treasury made the disbursement without legal documentation.
Treasury’s Emergency Loans Hit Record KSh91bn
Emergency loans the Treasury has tapped directly borrowing from the Central Bank of Kenya (CBK) have hit a historical record Sh91.13 billion, revealing the extent of the exchequer’s cash crunch.
The overdraft facility largely helps the Treasury to finance short-term needs when it faces a cash shortage, including urgent payment requirements such as salaries and other priority recurrent expenditures like debt repayments.