The Federation of Kenya Employers (FKE) has commended the government, through the Kenya National Highway Authority (KeNHA), for improving road infrastructure in the country to accelerate trade between towns.
The improvement of road networks, FKE Executive Director Jaqueline Mugo said, has enabled the fast and efficient movement of goods and services in the country.
“The Mombasa-Malindi road, now under construction, will add credit to the infrastructure once completed as it will greatly improve communication between the two towns,’’ he told the 62nd FKE Coast Region Annual General Meeting (AGM) in Mombasa.
More than 50 employers from the region attended the AGM, which was guided by the theme “Leading Enterprises in Uncertain Times”.
The employers reviewed the current developments in the labour sector, the government’s policy directions, and their impact on creating a conducive business environment that will attract investment and the growth of enterprises in Mombasa.
The government’s decision to maintain the current wage levels during the Labour Day celebration was applauded by the employers. They said it will promote the sustainability of their enterprises in the prevailing economic times.
The employers are upbeat that the manufacturing sector, which is reeling from the effects of COVID-19 and the importation of cheap goods, will improve.
Mugo noted that the labour sector in Mombasa Region continues to face challenges, mainly driven by the current high cost of doing business and other current macro-economic trends.
She said, “The high cost of living remains the greatest challenge Kenya faces and may morph into a social crisis of a monumental level. We appeal to the executive and parliament to address this matter by involving all stakeholders in the process of developing policies that reduce poverty and enhance economic growth”.
Transporters lauded the relaxation of cargo to be moved by the Standard Gauge Railway (SGR) by the Kenya Kwanza government.
However, they urge the government to implement policies that enable fair distribution of cargo between roads and SGR to guarantee the sustainable performance of the transport sector.
“The region appreciates the government’s decision to move the port back to Mombasa. This has had significant positive effects on the region and the nation’s economy and infrastructure,’’ said Mugo, adding that the relocation of port operations back to Mombasa has enhanced efficiency and productivity.
Mugo said the SGR has undergone tremendous transformation through the reduction of transport costs, improved service delivery, and creation of jobs in the areas where it passes through.
“The SGR has significantly improved the movement of cargo within the East African region. The railway line provides faster and more efficient transportation for goods from the Mombasa port to Nairobi and beyond, allowing for quicker and cheaper movement of goods, which in turn boosts business and trade,’’ she said.
By Sadik Hassan
