- Munya says some foreign firms use dubious means to flout contract rules
- Says culpable firms will be fined or denied future work in Kenya
Image: JOHN CHESOLI
Trade CS Peter Munya has put on notice foreign companies trying to circumvent a policy meant to ensure citizens get at least 40 per cent of jobs.
Government contracts with foreign firms have a subcontracting requirement thatat least 40 per cent of the goods used or services provided have to be locally sourced.
CS Munya has said some foreign firms have been using dubious means to flout the rule.
This, he said, denies Kenyans job opportunities.
“They usually give you something that is inferior like bush-clearing and other demeaning services. And then they overprice so that you refuse so they can tell the government they offered the 40 per cent but it was not taken,” Munya said.
He spoke at the Architectural Association of Kenya 2019 convention at Whitesands Hotel in Mombasa on Friday.
AAK president Mugure Njendu said they support the government policy to promote the local building industry, saying it was time Kenyan builders got value for their creative efforts.
“We are ready for the manufacture of future buildings because future buildings will not be built. They will be manufactured,” Njendu said.
She said the AAK is in full support of the Big Four Agenda, especially the affordable housing and manufacturing pillars.
“We are ready to explore the machinery for future building and be part of the designing and influencing of the industry,” Njendu said.
Munya said the government is looking for ways to effectively enforce the 40 per cent subcontracting policy.
This will include fining firms that overprice their products and services or denial of future work in Kenya.
“We will ensure that this happens so that the 40 per cent local sub-contracting is real. We are fine-tuning it to make sure it actually happens,” Munya said.
He said the government is committed to ensuring the buy Kenya build Kenya policy is enforced.
He said the government is in the process of preparing the white paper on the issue.
It will be a master list of goods that are locally manufactured and available to guide service providers to the government to know what and where to get them.
The service providers must use those products if they are to provide services to the government, the CS said.
“This list is not exhaustive. We will continue updating it as local capacity grows,” he said.