KNCCI Forge Stronger Ties to Accelerate Business Reforms and Investment Growth

May 5, 2025 / Nairobi, Kenya

The Principal Secretary for the State Department for Investment Promotion (SDIP), Abubakar Hassan Abubakar, has reaffirmed the government’s commitment in working closely with the private sector to improve Kenya’s investment climate. He called for streamlined collaboration and a unified approach in engaging with the State Department.

Speaking during a strategic briefing session with officials from the Kenya National Chamber of Commerce and Industry (KNCCI), PS Abubakar encouraged the Chamber to adopt a single point of engagement with the government that would provide a communication platform for enhanced coordination, efficiency and delivery of shared goals.

He commended KNCCI for its continued role in supporting business growth across the country and welcomed the Chamber’s insights on challenges facing the private sector. The PS emphasized that the government remains responsive to stakeholders and is prioritizing policy reforms that foster a competitive, inclusive, and investor-friendly environment.

During the meeting, KNCCI President Dr. Erick Ruto acknowledged the State Department’s pivotal support during last month’s successful World Chambers Federation (WCF) summit.  He revealed that KNCCI is preparing to celebrate its 60th anniversary in November—marking six decades of championing enterprise in Kenya—with a series of county-level exhibition events planned across the country, culminating in a national celebration.
Saying that the current strategic direction adopted by the KNCCI’s included supporting Kenya’s economic transformation, with achievements spanning the deepening its national footprint, advocating for business-friendly policies and facilitating local and international trade. 

Dr. Ruto also shared with PS Abubakar the key operational challenges experienced by its members that included delayed payments of pending bills, bureaucratic inefficiencies, infrastructure gaps, insecurity, unfair competition from imports, limited access to affordable credit, and the impacts of climate change. 

To address these challenges, the Chamber proposed several reforms including tax relief for MSMEs, improved access to credit, streamlined business permit processes, and enhanced labour skills development.
KNCCI also applauded the government for key reforms that have positively impacted the business environment. These include successful coffee and tea sector reforms, the rollout of the Hustler Fund, promotion of financial inclusion for the Youth and Women through the Uwezo Funds as well as the ongoing digitization through platforms like e-Citizen. 

Members acknowledged the infrastructure expansion efforts undertaken by the government as well as pursuance of macroeconomic stability measures such as the stabilization of the shilling and lower interest rates. They also expressed optimism over the proposed review of the Capital Markets Act under the upcoming Finance Bill 2025, which is viewed as a step toward strengthening Kenya’s investment framework.

The team agreed to maintain consistent dialogue and collaboration.  PS Abubakar assured the members of his open door policy in which SDIP is ever ready to support initiatives that align with investment promotion and the empowerment of Kenya’s business community.