President William Samoei Ruto has ordered an immediate crackdown on foreign nationals illegally operating small-scale businesses reserved for Kenyan citizens, emphasizing that local traders must be shielded from unfair competition.
Addressing micro, small, and medium-sized enterprises (MSMEs) at State House, Nairobi, the President directed the Ministry of Investments, Trade and Industry to begin administrative enforcement starting Monday, making it clear that the government will not wait for pending legislation to pass before acting.
Trade Cabinet Secretary Lee Kinyanjui was instructed to launch the operation immediately upon returning from Addis Ababa, while foreign nationals operating within these designated sectors were given explicit notice to close their operations and exit the retail space.
To provide a permanent legal framework, a bill restricting foreign participation in designated local business sectors is currently before Parliament.
Industrialization Principal Secretary Juma Mukhwana has been tasked with collaborating alongside traders and key stakeholders to tighten the draft legislation and seal any loopholes.
Simultaneously, National Assembly Majority Leader Kimani Ichung’wah was urged to fast-track the measure through the legislature.
President Ruto underscored that the administration’s successful efforts to stabilize the national economy, curb inflation, strengthen the shilling, and boost global investor confidence were designed to attract genuine, high-value investment not international hawkers or small-scale traders competing directly with locals.
He clarified that foreign capital remains welcome, but a firm line will be drawn between investors who build production capacity, create jobs, and foster industrial growth, and foreign operators undercutting domestic micro-entrepreneurs.
Finally, the President urged Kenyan business owners to shift from simple buying and selling toward domestic manufacturing and value addition.
Encouraging local traders to leverage government support programs to scale up their operations into larger, sustainable enterprises, President Ruto reaffirmed the administration’s commitment to balancing foreign capital growth with the imperative to safeguard opportunities for Kenya’s domestic workforce and youth.
