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    Politics & Govt

    List of Government Organizations to be Privatized- Privatization Programme

    Hillary KangwanaBy Hillary KangwanaMay 31, 2025

    List of Government Organizations to be Privatized- Privatization Programme

     

    APPROVED PRIVATIZATION PROGRAMME

     

    INSTITUTION AND CURRENT PUBLIC SECTOR

    SHAREHOLDING

    OBJECTIVES         TO        BE         ACHIEVED

    THROUGH PRIVATIZATION

    1. KenGen – GOK: 70% i.          Mobilization       of        resources        for additional investments;

    ii.          Enhancement    of     transparency     and corporate governance;

    ii.       Broadening of shareholding in the economy;

    v.       Development of the Capital Markets; and

    v.       Raising of resources to support the Government budget.

    2.Kenya         Pipeline                    Company Limited – GOK: 100% i.          Mobilization       of        resources        for additional investments;

    ii.          Enhancement    of     transparency     and corporate governance;

    ii.       Broadening of shareholding in the economy;

    v.       Development of the Capital Markets; and

    v.       Raising of resources to support the Government budget.

    3.  Kenya     Ports     Authority                        – Eldoret                        Container                        Terminal                                 – GOK: 100% Completed      in      1994      but      has      not      yet                             been operationalized.                                      Privatization                          to                             address operationalization to serve the Great Lakes Region and Southern Sudan.

    Will enhance Kenya’s and regional competitiveness and facilitate investment and economic growth.

    4. Kenya Ports Authority –

    Outsourcing of Stevedoring Services – GOK: 100%.

    To improve efficiency in delivery of services through mobilization                      of                private                                 sector                    financial and management resources.
    5.     Kenya      Ports         Authority                – Development of Berths No. 11 – 14 – GOK: 100% Capacity expansion through mobilization of private sector capital and management resources.
    6. Chemelil Sugar Company – ADC: 96.21%and DBK: 1.42%. To meet Government – COMESA Sugar Safeguard commitment to privatize sugar companies. Will mobilize resources to support expansion and modernization programme for the company.
    7. South Nyanza Sugar Company Limited – GOK: 98.8%, ICDC: 0.7%

    and IDB: 0.3%.

    To meet Government – COMESA Sugar Safeguard commitment to privatize sugar companies. Will raise

    funds for the rehabilitation of the mill.

    8.     Nzoia      Sugar      Company         – GOK: 97.93%, IDB Capital Limited (0.94%). To meet Government – COMESA Sugar Safeguard commitment to privatize sugar companies. Will address the excess debt situation and mobilize resources to support expansion and modernization programme.

     

    INSTITUTION AND CURRENT PUBLIC SECTOR

    SHAREHOLDING

    OBJECTIVES         TO        BE         ACHIEVED                                   THROUGH PRIVATIZATION
    9.  Miwani      Sugar     Company                             Ltd. (Under receivership). GOK: 49% To meet Government – COMESA Sugar Safeguard commitment to privatize sugar companies. Will address the excess debt and the financial and human

    resource needs of the company.

    10. Muhoroni Sugar Company Ltd. (Under receivership) – ADC: 16.9%, Development Bank of Kenya: 0.3% To meet Government – COMESA Sugar Safeguard commitment to privatize sugar companies. Restructuring and privatization will address the excess debt and the resources required by the company.
    11.     Kabarnet      Hotel     –           KTDC: 98.2% Mobilization of resources to rehabilitate and modernize   existing               facilities.                                                           Privatization proceeds will also support the industry through additional loans by KTDC. Recommended privatization method will also address the best option for

    ownership and management of hotels owned by KTDC.

    12.    Mt   Elgon     Lodge     Limited           – KTDC: 72.92%; Kitale Municipal Council: 13.54%; and Trans-Nzoia County Council: 13.54% Mobilization of resources to rehabilitate and modernize   existing               facilities.                                                           Privatization proceeds will also support the industry through additional loans by KTDC.

    Recommended privatization method will also address

    the best option for ownership and management of hotels owned by KTDC.

    13. Golf Hotel Limited – KTDC: 80%; Kakamega Municipal Council: 20% Mobilization of resources to rehabilitate and modernize   existing               facilities.                                                           Privatization proceeds will also support the industry through additional loans by KTDC.

    Recommended privatization method will also address

    the best option for ownership and management of hotels owned by KTDC.

    14.        Sunset     Hotel               Limited  – KTDC: 95.4%; Kisumu City: 4.6% Mobilization      of      resources      to             rehabilitate     and modernize existing facilities.             Privatization proceeds will support the industry              through additional             loans by  KTDC.

    Recommended privatization method will also address the best option for ownership and management of

    hotels owned by KTDC.

    15.      Kenya Safari Lodges and Hotels      Limited:      KTDC:             63.42%; KWS 0.02% Mobilization of resources to rehabilitate and modernize existing facilities. Privatization proceeds will support the industry through additional loans by KTDC.

    Recommended privatization method will also address the best option for ownership and management of hotels owned by KTDC.

    16.               KTDC               Associated Companies:           (i)                      International Hotels Kenya Limited – KTDC: 40%; (ii) Kenya Hotels Properties Limited     –      KTDC:      33.83%;                      (iii) Mountain Lodge Limited – KTDC: 39.11%;                       and      Ark     Limited                             –

    KTDC:5.64%

    Privatization    proceeds    will     support    the industry through additional loans and investments by KTDC.

     

    INSTITUTION AND

    PUBLIC SECTOR SHAREHOLDING

    CURRENT   OBJECTIVES         TO        BE                                   ACHIEVED PRIVATIZATION THROUGH
    17. National Bank of Kenya GOK 22.5%; NSSF: 48.05% – To mobilize resources to support the Bank’s future growth, support the growth and stability of the financial sector and the capital markets, enhance corporate governance, broaden shareholding and to recoup part of Government investment to finance other development projects.
    18. Consolidated Bank of Kenya: Deposit Protection Fund – 50.2%; and shares allocated to a number of        State                       Corporations            and Government         institutions                  on account   of         deposits            placed by

    them in the weak banks merged to form Consolidated Bank: 48.8%

    To mobilize necessary resources to support the Bank’s future growth, support the growth and stability of the financial sector, enhance corporate governance and broaden shareholding.
    19.       Development Kenya: ICDC: 89.3% Bank of To release funds invested by ICDC for lending to industry and other enterprises. Will address the bank’s financial and management resource needs. Will pass financial and operational risk from Government to the

    private sector.

    20. Agrochemical and Food Corporation – ADC: 28.2%; and ICDC: 28.8% To address financial and management resource needs. Also to address the company’s excess debt.
    21. Kenya Wine Agencies – ICDC:

    72.6%

    To guarantee its continued existence and viability.
    22.       East       African              Portland Cement- NSSF: 27%; GOK: 25% Mobilization of resources for additional investments, enhancement of transparency and corporate governance, broadening of shareholding in the economy, development of the Capital Markets and raising of

    resources to support the Government budget.

    23. Kenya Meat   Commission –

    GOK: 100%

    Restructuring and privatization will address KMC’s future

    viabilityand the required financial and management resources.

    24.         New Kenya  Co-operative

    Creameries – GOK 100%

    Privatization    of     the    Company     will                                address governance and sustainability of its operations. future
    25.          Numerical                 Machining Complex                 –        Kenya                           Railways

    Corporation: 51%; & University of Nairobi: 49%.

    It’s restructuring and privatization will utilization of the company’s idle assets. address the
    26. Isolated Power stations Concessioning      approved     by      Parliament            through Sessional Paper on Energy in October 2004. Inclusion of the        Isolated Power  Stations in                                 the            Programme                         will

    facilitate    comprehensive   review   of   the                       appropriate privatization method.

     

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