Murang’a: Residents have expressed diverse opinions on the proposed sale of part of the Safaricom shares owned by the government to Vodacom. Currently, the government of Kenya owns about 35 per cent of Safaricom shares, the Vodacom Group owns about 40 per cent, while public shareholders including ordinary Kenyans own 25 per cent. The government intends to raise funds for building roads, electricity, water projects, airports and other critical infrastructure, while reducing borrowing and without increasing taxes.
According to Kenya News Agency, a public participation forum held at Murang’a University of Technology revealed mixed reactions from residents. Concerns over transparency and accountability were prominent. Edith Kimani, a resident, questioned the sustainability of selling national assets, noting the ongoing need for funds to maintain infrastructure. Mary Mwangi, another resident, also opposed the sale, arguing that the government should effectively utilize existing tax revenues instead of resorting to selling shares.
Ian Otieno, a student leader at the university, voiced his opposition by suggesting that the government should prioritize closing revenue leakages through combating corruption before considering the sale of national assets. He also recommended that if the sale proceeds, Kenyans should have the opportunity to purchase shares.
Conversely, Stephen Waithaka supported the sale, proposing a split where Vodacom would acquire 10 per cent and the public 5 per cent, allowing Kenyans to retain some ownership. Murathi Magochi also backed the sale but expressed concerns about foreign control over Safaricom. Stephen Mwangi supported the sale with a caveat for enhanced transparency, suggesting a post-2027 election timeline to prevent misuse of funds for campaign purposes.
Kesses Member of Parliament Julius Rutto, who chaired the forum, commended residents for their participation. He assured them that measures would be enacted to ensure the funds from the sale are used appropriately. If the government proceeds with selling 15 per cent of its shares, it will retain 20 per cent ownership, and Vodacom’s stake will rise to 55 per cent. The sale is expected to generate approximately Sh204 billion, with an advance payment of Sh40 billion against future dividends and a repayment plan of Sh55 billion over six years using dividends from the remaining shares.
Present at the forum were Bomachoge Borabu MP Nolfason Barongo, National Government Administrative Officers led by Murang’a East Deputy County Commissioner Charles Muriithi, and various community leaders.
