Why the private sector’s role is critical

The Kenya Private Sector Alliance (Kepsa) has, like in the past, had an excellent working relationship with the Jubilee administration.

President Uhuru Kenyatta’s inauguration speech for his second and final five-year term has been lauded across the political divide.

He sought to strengthen the bonds uniting Kenyans at every level of society, while highlighting his commitment to accelerating development.

The successes during his first term, include improved business environment as indicated in the World Bank Ease of Doing Business report.

The physical and social infrastructure developments that have been key in laying the foundation for an economic take-off.

BUSINESS AGENDA

The other key issue is the transformation of the economy to achieve shared growth, decent jobs, universal health care and opportunities for all. Kepsa intends to integrate these into our third National Business Agenda (NBA-III), and align it with our goals for business.

These areas present opportunities the private sector can leverage on for increased investment to create jobs and wealth for this country.

The role of infrastructure as a driver of economic growth and development has never been more evident as highlighted in the United Nations 2030 Agenda for Sustainable Development, and is part of our agenda. The private sector recognises the infrastructure deficit as an obstacle both for regional integration and Africa’s ability to compete at the global stage.

Our comprehensive infrastructure development agenda focuses on affordable, reliable and increased power supply; improvement of transport and services; increasing housing supply; cascading ICT gains for private sector development; and better management of the extractives.

HOUSING

The ambitious government target of building some 500,000 new homes in five years is another area where we align. Access to adequate and affordable housing remains a major challenge in Kisumu, Mombasa and Nairobi.  There is a need to establish affordable housing and upgrade slum. The private sector will engage the government for more public and private sector investment to increase and upgrade low-medium income housing.

The informal sector will be the major source of jobs.  The private sector will have to play a critical role in finding solutions to the issue of youth unemployment.

The manufacturing sector should leverage Kenya’s strategic position as financial hub. 

The VW and Peugeot motor vehicle assembly plants; fertiliser blending factories; and Wrigleys in the confectionery industry; as well as, creation of 1,000 small and medium scale enterprises in agro-processing will complement the private sector push to attract increased investment to grow micro, small and medium enterprises.

DEVOLUTION

Kepsa proposed a similar initiative dubbed the ‘Kenya Rising Star and Scale-up Programme’ and also the setting up of a biashara bank, which were endorsed during last year’s presidential roundtable.

Our national agenda will focus on devolution; SMES as the backbone of the economy; accountability to ensure public resources are used efficiently; and that businesses do not fail due to mismanagement.

The private sector is also keen on strengthening social cohesion through initiatives such as the Mkenya Daima campaign that advocates peaceful coexistence and tolerance amongst Kenyans.

The world over, where business partners with the government, the economic transformation has been much faster than where the linkage is weak.

The private sector will work closely with the government, and other stakeholders to achieve these goals.

 Ms Kariuki is the CEO of the Kenya Private Sector Alliance (Kepsa). [email protected]