This article was updated on November 7, 2018 (10h00). Ark Limited, mentioned in the original article, is a privately-owned organisation, and does not fall within the state-owned entities marked for sale.
Kenya’s Privatisation Commission has approved the sale of 26 poor-performing, state-owned corporations, including hotels, to raise funds to support the budget and cut down on government spend.
Included in the approved sale are Kabarnet Hotel, Mt Elgon Lodge Ltd, Golf Hotel Ltd, Sunset Hotel Ltd, and Kenya Safari Lodges and Hotels Ltd.
Also targeted are Kenya Tourism Development Corporation-associated companies, which include International Hotels Kenya Ltd, Kenya Hotels Properties Ltd, Mountain Lodge Ltd.
The sale is expected to increase activity on the Nairobi Stock Exchange as some are set to float shares through initial public offerings once privatized.
However, the plan has been delayed over the past few years due to bureaucracy in approval of the transactions by the Executive and the proposed parastatal reforms.
At present, there are 262 state corporations and agencies, but the government plans to reduce them to 187 by merging them to eliminate duplication, reports The Star, Kenya.
