Nairobi. President William Ruto has directed the Government to stop foreign nationals from engaging in small-scale hawking and trading, saying such businesses should provide opportunities for Kenyan traders.
Ruto issued the directive on Wednesday, September 2, after meeting representatives of Micro, Small and Medium Enterprises (MSMEs) at State House, Nairobi.
He said concerns had been raised over foreigners entering Kenya to sell goods such as duvets and other merchandise, putting them in direct competition with local hawkers and small-scale traders.
Ruto said a Bill before Parliament seeks to restrict foreign nationals from engaging in certain trading activities, urging traders and other stakeholders to examine the proposed legislation and identify loopholes that could allow foreigners to continue operating in restricted areas.
“We have a Bill in Parliament that there are some trading activities that foreigners can't do in Kenya. By law, nataka mketi chini na wafanyabiashara waangalie kwa sababu hatujapitisha so that we seal all the loopholes so that mtu asitoke China kuja kuwa hawker,” he said.
However, the President said the Government would not wait for the law to be enacted before taking administrative measures against foreigners involved in small-scale trading.
He said the measures could begin as early as next week, directing Trade Minister Lee Kinyanjui to act after returning from Addis Ababa.
“As we wait for the law to go on, administratively, from next week, Lee (Kinyanjui) akirudi kutoka Addis. Hawa wachuuzi ambao wanafanya biashara ndogo ndogo wafunge na wasipofunga...” Ruto said.
The President said Kenya's efforts to attract foreign investment were aimed at bringing in capital, creating jobs and supporting economic growth, rather than encouraging foreigners to compete with Kenyans in small-scale retail businesses.
“Hatujajenga investor confidence ndo hawkers wakuje Kenya. Ile tumejenga ni for investors, si traders and hawkers,” he said.
Ruto also directed National Assembly Majority Leader Kimani Ichung'wah to consult the Immigration Principal Secretary and establish the conditions governing permits issued to foreign investors and traders.
“Kimani Ichung'wah, call the Immigration PS, I want to know the investor permit,” he said.
The directive comes amid concerns from Kenyan small-scale traders over competition from foreign nationals operating in retail and other informal businesses.
The proposed restrictions are expected to form part of wider efforts to increase the participation of Kenyan citizens in small and informal businesses while maintaining the country's appeal to genuine foreign investors.
