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Mbadi Defends Government Privatisation Drive at Eldoret Forum

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ELDORET, Kenya — Treasury Cabinet Secretary John Mbadi has defended the government’s privatisation agenda and renewed calls for public participation in economic decision-making, saying citizen engagement is a constitutional obligation, not a policy option.

Mbadi spoke in Eldoret on Sunday as he concluded a three-day Regional Stakeholder Engagement Forum, bringing to an end similar consultations held in Migori and Kakamega counties.

The forums build on the National Budget Students’ Forum launched in Nairobi in December 2025 and earlier consultations with Bunge la Wananchi, part of efforts by the National Treasury to institutionalise structured public participation in public finance management.

Speaking during the Eldoret engagement, Mbadi said the scope of consultations had been expanded to include the business community, alongside youth groups and grassroots civic forums, in light of the government’s ongoing privatisation programme.

Feedback from earlier engagements, he said, had shown the need for sustained dialogue, particularly as the State restructures its role in commercial enterprises.

“Public participation is not just a good idea. It is a constitutional requirement,” Mbadi said, citing Article 201(a) of the Constitution, which demands openness, accountability and transparency in the management of public resources.

He said the government alone cannot adequately respond to challenges such as unemployment, skills gaps, digital exclusion, and governance deficits without collaborative approaches involving citizens and the private sector.

Mbadi emphasised the central role of young people in shaping economic policy, noting that youth account for more than 75pc of Kenya’s population.

“Young people must be involved in how public resources are planned, allocated, and used,” he said, calling for a shift towards participatory governance where citizens act as co-creators of public policy.

On privatisation, the CS said the policy marks a strategic economic shift aimed at improving efficiency, enhancing competitiveness, supporting fiscal consolidation, and deepening Kenya’s capital markets.

He assured stakeholders that the Treasury remains committed to sound macroeconomic management to create a stable environment for private sector growth.

According to Mbadi, the privatisation programme is anchored in the Bottom-Up Economic Transformation Agenda (BETA) and the Fourth Medium Term Plan (MTP IV), which prioritise sectors with high youth employment potential.

These include agriculture, micro, small and medium enterprises (MSMEs), housing, healthcare, and the digital and creative economy.

Treasury Cabinet Secretary speaking during a three-day Regional Stakeholder Engagement Forum in Eldoret on January 18, 2026.
Treasury Cabinet Secretary speaking during a three-day Regional Stakeholder Engagement Forum in Eldoret on January 18, 2026. Photo/John Mbadi/X

Mbadi acknowledged concerns raised during the forums over the high cost of living, unemployment, and governance transparency, saying the government views the engagements as a platform to convert public anxiety into constructive dialogue and policy action.

He disclosed that proposals submitted by students, including reforms to student financing, targeted grants for vulnerable learners, affordable accommodation and the creation of an emergency student support fund, will be consolidated for consideration in the FY 2026/27 budget and the medium-term framework.

The CS also invited Kenyans to submit comments on the draft 2026 Budget Policy Statement, which has been published on the National Treasury website ahead of its submission to Parliament in mid-February.

Mbadi urged citizens to engage meaningfully in both the budget-making and privatisation processes, saying private sector participation remains critical to financing infrastructure, improving service delivery and sustaining Kenya’s economic gains.

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