• November 3rd, 2017
  • Posted by athanne

Why do we need Business Policies in Kenya

Why do we need Business Policies in Kenya

Business Policies in Kenya through practical experience and academic research both point to the central role of entrepreneurs in the process of economic growth and to the importance of public policy in creating the conditions under which entrepreneurial companies thrive. This can only be achieved if there are clear legal rules and well outlined policies in the regulation of enterprise. An earlier article  on Business Training in Kenya posed this as a challenge.

 Why do we need Business Policies in KenyaChallenges that face Business Policies in Kenya

The challenges that face Business Policies in Kenya include

  • Confusion
  • Selfish Political Ambitions
  • Lack of Co-ordination
  • Corruption
  • Delay in Solving Disputes

Confusion as a challenge facing Business Policies in Kenya

The first challenge that faces Business Policies in Kenya is confusion. A closer look at our economic structures and institutions, both governmental and private, exposes a mesh of confusion and jumbled up systems that clog the wheels of our economy; there is a mix-up in the institutions that are regulating entrepreneurship. For example; The Small and Medium size Enterprise, is it the same as Jua Kali? The Jua Kali sector has been touted to be under the Ministry of Labour. But then one would think that entrepreneurship would better be concentrated in the Ministry of Trade and Industry.

Selfish Political Ambitions as a challenge facing Business Policies in Kenya

The second challenge that affects Business Policies in Kenya is selfish political ambitions. The expanded coalition cabinet has resulted in overlapping functions throws another spanner in the works of an already jumbled up economic environment. The many ministries created to satisfy the expanded coalition government does not help the situation either.
The result is that we have sacrificed economic expedience at the altar of selfish political satisfaction.

Lack of Co-ordination as a challenge facing Business Policies in Kenya

Lack of Co-ordination as a challenge facing Business Policies in Kenya. There seems to be a clear lack of co-ordination among all these Ministries such that it is difficult to monitor entrepreneurship progress among the different groups as well as sustain the initiated projects. For example; the Ministry of Youth and Sports, through which the Youth Enterprise Fund is being disbursed, and the Ministry of Gender and Children Affairs where again there is a Women’s fund to help them set up business projects.

Corruption as a challenge facing Business Policies in Kenya
Another challenge that affects Business Policies in Kenya is corruption. Some institutions formed in Kenya are susceptible to being reduced to welfare associations for use when elections are around the corner, with the funds meant to boost entrepreneurship being dished out in the form of political hand-outs. The tiresome bureaucracies we create hamper efficiency and enhance corruption, therefore derailing economic growth.

Delay in Solving Disputes as a challenge facing Business Policies in Kenya

Last but not least challenge that faces Business Policies in Kenya is delay in solving policies. A look at our dispute resolution system also presents a similarly despicable scene. In the commercial world, it is inevitable that disputes will occasionally arise which will need to be dealt with as effectively and efficiently as possible. In Kenya, the main dispute resolution institution is the courts. However our courts are reeling in backlog of cases, greatly hampering the administration of justice. This is even exaggerated by the fact that Entrepreneurs mostly lack the time to go through the intricate and rigid Civil Procedure to resolve their internal disputes.

Conclusion and Recommendations for Business Policies in Kenya.

A clear policy, specifically tailored for entrepreneurs and industrialists, backed by sound legislations should be introduced.

Stop offering institutional solutions to systemic problems.

Sound legislation should be provided covering the finances granted to entrepreneurs.

Create a good business environment and facilitate quick and non adversarial resolution of entrepreneurship disputes.

Valuable ideas and thoughts given by great thinkers should be provided for means of implementing them.

Then along this smooth legal tarmac, we should be able to drive an equally roadworthy Entrepreneurship policy that would see this country arrive at the much desired Vision 2030.This will only happen if sound Business Policies in Kenya are to be made.

 

 

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