NAIROBI, Kenya – President William Ruto has signed the Sovereign Wealth Fund Bill into law, paving the way for the establishment of Kenya’s first Sovereign Wealth Fund in a move aimed at strengthening public finance management, protecting national wealth and supporting long-term economic growth.
The Bill was assented to during a ceremony at State House, Nairobi, creating the legal framework for the establishment, governance and management of the fund.
The government says the fund will enable Kenya to save surplus public resources, finance strategic national investments and provide a financial cushion during periods of economic uncertainty.
Under the new law, Kenya will adopt a structured approach to managing national wealth by separating resources into savings for future generations, economic stabilisation and strategic infrastructure investments.
The Sovereign Wealth Fund is expected to invest surplus revenues generated from natural resources and other public assets, ensuring the country’s wealth benefits both current and future generations while reducing exposure to economic shocks.
Government officials say the fund will also support priority development projects, strengthen fiscal sustainability and improve the country’s financial resilience through prudent management of public resources.
The legislation introduces governance structures designed to enhance accountability, transparency and oversight in the management and investment of the fund, measures the government believes will boost public confidence in the use of national resources.
The enactment of the law aligns with the government’s broader economic reform agenda, which seeks to strengthen financial governance, improve public finance management and accelerate sustainable economic development.
With the establishment of the Sovereign Wealth Fund, Kenya joins a growing number of countries that have created sovereign wealth funds to safeguard national assets, stabilise their economies and support long-term development through strategic investments.
The government also expects the fund to enhance investor confidence by providing a predictable framework for managing public wealth while promoting inclusive economic growth and long-term fiscal stability.