NAIROBI, Kenya — Opposition leaders have rejected the proposed National Infrastructure Fund Bill, warning that the Sh5 trillion initiative could weaken parliamentary oversight and be misused ahead of the 2027 General Election.
Addressing the press on Thursday, the leaders argued that the proposed fund would create a financial vehicle operating outside the scrutiny of Parliament. They warned that such an arrangement could allow the Executive to deploy significant public resources without adequate accountability.
Former Deputy President Rigathi Gachagua accused the government of pursuing a structure that could influence the next election cycle.
“Can you trust William Ruto on anything? What we know is that they are creating a fund that will not go through Parliament,” Gachagua said, alleging that the fund could become a vehicle to manipulate the 2027 General Election.
The leaders condemned both the National Infrastructure Fund Bill, 2026 (National Assembly Bill No. 1 of 2026) and Sessional Paper No. 3 of 2025, which proposes the partial divestiture of the Government of Kenya’s stake in Safaricom PLC.
In a joint statement, the opposition described the proposals as “a dangerous and coordinated assault on Kenya’s constitutional framework of public finance management, the long-term integrity of strategic national assets, and already battered public trust in state stewardship.”
They argued that Kenya’s infrastructure challenges stem not from a lack of financial instruments but from governance failures.
“Kenya’s infrastructure deficit is not institutional. It is a consequence of execution failure, procurement corruption, and fiscal opacity,” the statement said.
The opposition also warned that the proposed fund could operate outside the safeguards provided by Article 206 of the Constitution, which governs the management of public funds.
“The National Infrastructure Fund risks creating a semi-autonomous financial reservoir where Cabinet-level officials can deploy significant public resources without annual parliamentary approval, the very arrangement Article 206 was designed to prevent,” the statement read.
The leaders further accused Treasury Cabinet Secretary John Mbadi of misleading Parliament about the legal status of the proposed fund. They cited an affidavit filed at the Milimani High Court on March 3, 2026, in which Mbadi reportedly stated that the entity would be structured as a limited liability company rather than a public fund.
According to the opposition, this contradicts earlier assurances given to parliamentary committees that the fund would be subject to parliamentary oversight.
They urged Parliament to summon Mbadi under Article 153(4) of the Constitution to reconcile his statements before legislators with his testimony in court.
The opposition also raised concerns about plans to partially divest government shares in Safaricom, describing the telecommunications giant as a strategic national asset central to Kenya’s digital infrastructure.
They noted that Safaricom supports critical platforms, including M-PESA, e-Citizen, and other government digital services.
“Divesting even partially to plug short-term fiscal gaps is the economic equivalent of a family selling its most productive farm to cover annual household shopping,” the statement said.
The leaders cited the company’s FY2024 dividend payout of Sh48.08 billion as evidence of its value to the state.
They also warned that reducing government ownership without clear restrictions could expose the company to national security risks, particularly if foreign state actors acquire shares.
Drawing parallels with the Kenya Pipeline Company IPO, the opposition claimed that previous asset transactions have suffered from overvaluation, weak investor participation, and lack of transparency.
DAP-K party leader Eugene Wamalwa said the coalition would move to court to stop debate on the bill in Parliament.
The proposed National Infrastructure Fund would operate as an independent entity tasked with mobilizing capital for large infrastructure projects. It would be able to raise funds from pension schemes, private investors, climate finance facilities, and sovereign wealth funds.
Government officials argue the structure would accelerate infrastructure financing without placing additional pressure on the national budget.
However, the opposition insists that Kenya’s challenge lies in governance and accountability rather than access to new financial vehicles.
“The United Alternative Government stands on the side of constitutional integrity, fiscal discipline, and the long-term strategic interests of the Kenyan people,” the leaders said. “We call on this Parliament to do the same.”
