President William Ruto has officially signed four pivotal bills into law in a high-profile ceremony at State House, Nairobi — a move expected to reshape government enterprises, strengthen county financing, modernize capital markets, and tidy up outdated tax legislation.
The signing, held on Friday morning, was witnessed by a powerful delegation including National Assembly Speaker Moses Wetang’ula, Treasury CS John Mbadi, Attorney General Dorcas Oduor, MPs Kimani Ichung’wah and Millie Odhiambo, Narok Senator Ledama Olekina, and several other lawmakers.
Among the four new laws, the Government-Owned Enterprises (GOE) Bill 2025 stands out as a major reform targeting transparency, corporate governance, and performance of state corporations.
Passed by the National Assembly on November 14, the GOE Bill introduces a comprehensive governance framework for state-owned entities, many of which have struggled with mismanagement, political interference, and unsustainable operations.
Key Provisions in the New Law:
Transparent Board Appointments: All independent board members must now be recruited through open, competitive processes.
Stricter Performance & Governance Standards: Enterprises will operate under enhanced corporate governance controls to ensure accountability and long-term sustainability.
Creation of the National Infrastructure Fund (NIF): The law provides the legal foundation for NIF, a key financing vehicle for large-scale national infrastructure projects.
Public Service Obligations: The government may assign select enterprises non-commercial obligations, but within clear guidelines to avoid excessive financial burden.
This reform is expected to streamline operations, curb losses in key state corporations, and create a more investment-friendly environment.
The County Governments Additional Allocations Bill 2025 unlocks an extra Ksh70.6 billion for counties in the 2025/2026 financial year.
These funds include:
Ksh9.98 billion for settling doctors’ salary arrears
Support for Community Health Promoters (CHPs)
Funding for County Aggregation & Industrial Parks
Other conditional and unconditional allocations from national government and development partners
The move is expected to ease financial pressure on devolved units and accelerate development programmes across the country.
The Capital Markets Amendment Bill 2025 modernizes Kenya’s capital market regulations by:
Reviewing licensing requirements for market intermediaries
Streamlining compliance processes
Enhancing transparency and operational efficiency
The reforms aim to stimulate investment, strengthen investor confidence, and make Kenya more competitive in the region’s financial markets.
The President also assented to the repeal of the Provisional Collection of Taxes and Duties Act (1959) — a law that previously allowed Parliament to impose new taxes before full legislation was enacted.
The statute had been declared unconstitutional in 2018, prompting its formal removal from Kenya’s legal framework.
From strengthening state corporations and boosting county development, to modernizing financial markets and cleaning up archaic laws, the four bills mark a significant milestone in the administration’s governance and economic reform agenda.
Analysts say the reforms could improve investor confidence, enhance service delivery, and foster long-term fiscal discipline — but their success will depend heavily on implementation and political goodwill.
Leave a Reply