Kenya Bill Could Limit Private Sector Innovation

Kenya’s proposed Public Sector–Private Sector Engagement Bill, 2025, aims to establish the Business Council of Kenya (BCK) as the primary vehicle for structured dialogue between government and the private sector. The bill seeks to streamline engagement, reduce fragmentation, and centralize interactions on issues such as taxation, regulation, investment facilitation, and trade.

The Problem Isn’t Engagement — It’s the Quality and Speed of Engagement

FINTAK has opposed the bill, arguing that while engagement should be improved, the proposed model risks achieving the opposite. The organization contends that a complex economy cannot be governed through simplified engagement architecture without losing essential elements like speed, technical depth, and diversity of perspective.

Kenya is Not One Economy — It is Many Economies Living in One Country

Kenya is often discussed as a single economic unit, but the reality is more complex. The country’s economy is a diverse ecosystem comprised of agriculture, mobile money, insurance, logistics, banks, informal markets, telecom infrastructure, university research, capital markets, and community SACCOs. This diversity necessitates a nuanced approach to policy-making.

The Romantic Myth of “One Voice” Collapses When the Details Arrive

The bill’s proposed framework requires industry bodies to register with BCK before engaging government and mandates policy proposals be channeled through quarterly submissions. FINTAK is concerned these measures create a gatekeeper and a delay mechanism, hindering agility in a rapidly evolving economy.

The Gatekeeping Risk: Who Gets In, Who Gets Heard, Who Gets Sidelined

The requirement for industry bodies to register with BCK raises concerns about excluding emerging sectors like regtech, climate fintech, and diaspora investment platforms, which often lack established associations.

The Hidden Institutional Problem: A Central Council Can Become a Policy Laundering Mechanism

There is a risk that a centralized engagement body could become a tool for government to claim legitimacy without genuine dialogue, potentially silencing dissenting voices and leading to watered-down policy.

The Better Model: Decentralised Engagement, Coordinated Outcomes

FINTAK advocates for a model that maintains sector-specific engagement at the ministry and regulator level, a network of councils feeding into a coordination layer, continuous consultation mechanisms, and private-sector ownership of councils.

Bottom Line: Kenya Needs a Chorus, Not a Soloist

The diversity of voices is an advantage, and Kenya should foster a system that incorporates input from small players, big players, technical experts, frontier innovators, and dissenting voices. FINTAK believes the bill’s approach risks weakening engagement and hindering the country’s economic progress.