The Senate and Kenya Private Sector Alliance (Kepsa) have advocated for the elimination of bureaucratic obstacles impeding investment in counties, emphasizing that streamlined regulations and efficient service delivery are essential for driving economic expansion, drawing investors, and reinforcing devolution.
During the opening of the Senate Liaison Committee Roundtable with Kepsa, Senate Deputy Speaker and committee chair Kathuri Murungi stated that counties must promptly tackle persistent inefficiencies that continue to deter investors despite ongoing devolution reforms.
He highlighted that investors continue to face unpredictable licensing processes, numerous levies, disjointed regulations, delayed payments and bureaucratic obstacles that complicate business operations.
“Too many investors still encounter unpredictable licensing systems, multiple levies, fragmented regulations, delayed payments and bureaucratic bottlenecks,” Murungi said, noting that such difficulties hinder innovation, discourage investment and weaken devolution’s potential.
Counties, he observed, remain vital economic engines but are held back by administrative inefficiencies that impede service delivery and reduce investor confidence.
The problem, he pointed out, involves not only policy formulation but also weak implementation of existing laws designed to enhance the business environment.
“The divide between sound policy and effective implementation is what this Roundtable aims to bridge,” he said.
“We must eliminate the excessive bureaucracy suffocating our counties to unlock their full potential as centers for agribusiness, manufacturing, digital innovation, tourism and commerce.”
He mentioned that despite the County Licensing (Uniform Procedures) Act, 2024 being in place, its application remains inconsistent across counties.
Beyond licensing issues, the discussions addressed wider structural challenges affecting investment, including inadequate logistics systems, insufficient utility services, obsolete market infrastructure, fragmented markets, and high agricultural production costs.
Additional concerns raised encompassed deficiencies in digital infrastructure, cybersecurity and data protection problems, and inefficiencies at critical trade points like the Port of Mombasa, all of which diminish county competitiveness.
The enduring partnership between the Senate and Kepsa also received significant attention, with Murungi acknowledging its role in achieving key legislative reforms that support investment and economic growth.
He referenced laws such as the Climate Change Act, the Public Procurement and Asset Disposal Act, the National Electronic Single Window System Act, and the Sustainable Waste Management Act as notable outcomes of this collaboration.
Numerous Bills currently before Parliament, including the Artificial Intelligence Bill (Senate Bill No 4 of 2026), the Cooperative Societies (Amendment) Bill, and the Startup Bill, are also benefiting from private sector contributions.
“This roundtable continues that tradition. It is not just a discussion forum. It is a strategic platform for collaborative problem-solving where legislation meets implementation and where policy aligns with the practical realities of conducting business in our counties,” he said.
Murungi encouraged counties to enhance institutional capacity, improve regulatory efficiency, modernize market infrastructure and establish reliable service delivery systems to attract investors.
He also stressed the need for improved coordination between national and county governments to eliminate overlapping responsibilities and reduce excessive charges that burden businesses.
“These are not theoretical concerns. They directly impact employment, livelihoods and the ease of conducting business throughout our 47 counties,” he said.
He urged participants to advance from discussion to action, with the Senate committing to expedite necessary legislative measures and strengthen oversight to ensure compliance.
The private sector, he added, continues to play a crucial role in shaping reforms through practical experience and proposals.
The meeting concluded with a renewed appeal for counties to become more predictable, efficient and appealing to investors in order to attract investment, create employment and strengthen devolution nationwide.