Global Compact Network Kenya, Kenya Association of Manufacturers and the Kenya Private Sector Alliance have relaunched the Code of Ethics for Business in Kenya.
The Code is a principles-based collective action Initiative that aims to promote and enhance the ethics of business conduct in Kenya in line with the Ten Principles of the United Nations Global Compact on Human Rights, Labour Standards, Environment, and Anti-corruption.
Officially launched in March 2012, the Code is a guide to ethical business practices in Kenya especially among the private sector and has grown from 44 signatories to over 840 signatories.
According to Global Compact Kenya Executive Director, Judy Njino, with the high number of companies committing to the Code, there’s an opportunity to support companies strengthen the implementation of the Code’s principles through information, skills, knowledge, and resources available in the newly launched portal.
She explained that business suffer immensely from the cost of corruption, and this cost country up to 17 percent of their GDP and has an effect on business performance, sustainable development, global trust, and economic stability.
“Private sector corruption has a serious societal impact as it distorts markets, weakens competition, and reduces the quality of goods and services," said Njino
Corruption comes in many forms such as bribery, money laundering, procurement fraud, and collusion.
"Private sector corruption can also manifest itself in various forms such as gifts and hospitality, fees and commissions, trading of information, and misleading financial reporting,” added Njino.
The Code has gained global recognition as a principles-based collective action initiative designed to foster a cleaner business environment in Kenya.
The Code has helped businesses self-regulate and provided a clean business environment in Kenya among the signatories.
With bribery being a dominant form of corruption, the recent survey by the Ethics and Anti-Corruption Commission paints a grim picture of the current state of corruption in Kenya.
The survey reports that the National Average bribe increased from Sh6,865 in 2022 to Sh11,625 in 2023.
The survey adds that Kenyans paid the highest bribes when seeking employment (Sh163, 260), applying for a passport (Sh74,428) and while obtaining tenders (Sh17,000).
KAM Deputy Head of Policy Research & Advocacy, Mirriam Bomett urged all stakeholders to seize the momentum generated by the re-launch and translate dialogue into action.
She noted that KAM is working with the Kenya Judges and Magistrates Association to develop an Anti-Corruption Guidebook to provide a quick reference on cases for Judges and Magistrates as well as outline the jurisprudence in anti-corruption judgments.
