Treasury Cabinet Secretary Prof. Njuguna Ndung’u has called for heightened collaboration between the national and county governments, as well as the private sector to mobilize financing for infrastructural developments.
He said modernization of infrastructure was critical in spurring trade and investment, thus boosting economic growth across regions.
Prof. Ndung’u stressed the need for strengthening the Public Private Partnership (PPP) framework to leverage the private sector to deliver public projects that have strong economic, commercial, and environmental benefits.
The CS cited PPPs as a viable solution for the government, which he noted was constrained by difficult economic conditions and huge public debts that hindered efficient implementation of its fiscal policy.
“County governments can use the Public Private Partnerships framework as well to deliver public goods at the local levels to promote and enhance the business ecosystem,” he said.
Further, Prof. Ndung’u stated that the national government has developed robust transportation infrastructure across the country over the years, easing the movement of goods and people to the markets.
“Public investment in the infrastructure is important at the private sector level, since it lowers transaction cost thus enhancing traders’ profitability,” the CS observed.
In the Financial Year 2023/2024, he added, the government has committed to continue expanding critical public infrastructure including roads, airports, railways, sea and ICT to foster trade.
Increased public investments, Prof. Ndung’u stated, could help improve local trade, increase jobs and wealth creation as well as promote growth and economic vibrancy across the country.
The CS made the remarks while gracing the first Kenya Business Ecosystem Summit held in Kisumu County on Friday.
He challenged the Governors to utilize the relative comparative advantages that their respective counties possess to build a strong base and strong economic vibrant units at the county level.
Additionally, the CS hailed the partnership between the national and County governments to construct industrial and aggregation parks in all 47 counties to promote manufacturing, and agriculture and create jobs.
“These Industrial Parks will be centers of aggregation and value addition to farmers and the manufacturing industries. The most important thing is that investors will find nice and secure markets for their products,” Prof. Ndung’u stated, adding that the initiative would raise productivity, create jobs at the county level, and secure income for all the players.
“I urge investors to take advantage of the opportunities being provided by the county and national government. In particular, we are encouraging investment in sectors with enormous impact and linkages to the rest of the economy to improve income and household wealth,” he pleaded.
The business convention was organized by the Lake Region Economic Bloc (LREB) in partnership with the IMC People Ltd.
It brought together investors, institutional leaders, government representatives, aspiring entrepreneurs, business leaders, and other stakeholders to exchange ideas, learn from experts, and explore opportunities for growth and collaboration in various industries.
The meeting was also attended by the Governors from the LREB including Prof. Anyang’ Nyong’o (Kisumu), Kenneth Lusaka (Bungoma), Dr. Wilber Otichilo (Vihiga), Simba Arati (Kisii), Amos Nyaribo (Nyamira), James Orengo (Siaya), Deputy Governors and County Executive Committee Members (CECMs).
By Robert Ojwang’
