KISUMU,4th July 2026 -Treasury Cabinet Secretary(CS) John Mbadi has mounted a spirited defence of the government’s partial divestiture of its shareholding in Safaricom PLC, terming criticism by opposition “negative energy” in economic governance.
Speaking to journalists in Kisumu on Saturday, Mbadi said the transaction was a “well thought-out and deliberate strategic move” designed to sustain the social contract between the government and Kenyans.
He emphasized that the government had conducted extensive public participation before paving the way for Parliament approval of the sale.
“I personally took the initiative to conduct extensive public participation even before Parliament undertook the same. I traversed the former provinces of this Republic and engaged in extensive consultation,” Mbadi said, listing engagements in Migori, Kakamega, Nakuru, Eldoret, Kiambu, Meru, and Kilifi.
The Treasury CS took particular issue with opposition leaders Kalonzo Musyoka, Justin Muturi, and others who have challenged the divestiture in court.
He questioned their sudden interest in Safaricom, pointing out that similar sales occurred during previous administrations.
“President Moi divested a portion of the shares. President Kibaki also did the same at a time when Kalonzo was part of the government as a senior minister. Now when President Ruto is divesting 15%, it becomes an issue,” Mbadi said.
He stressed that unlike previous divestitures where proceeds were absorbed into general budgetary support, this administration is investing the funds into a National Infrastructure Fund for commercially viable public projects.
“This money is not going to be used for general budgetary support. We are not going to consume it. We are investing that money. We are converting it into another asset,” Mbadi said. “If it goes to the JKIA airport, we will be seeing the terminals that have been developed. If it goes to the expansion of Nairobi-Namanga road, we will see a dual carriageway there.”
The CS defended the government’s adherence to the rule of law, noting that the process was halted when the High Court issued conservatory orders and only proceeded after the Court of Appeal lifted those orders.
“The action that the government took is actually in compliance with the principles of the rule of law,” Mbadi stated.
Mbadi said the substantive matter remains live and the government will participate fully while respecting judicial independence.
He dismissed opposition threats to escalate the matter to the Supreme Court, accusing them of politicizing an economic transaction.
“This is an economic matter, an investment to the public that should not be politicized”, Mbadi said.
Mbadi also defended the valuation and timing of the transaction, asserting his professional competence in financial matters.
“I don’t expect Kalonzo, JB Muturi and the rest to have a lot of knowledge. They can have some knowledge but not a lot of knowledge. To the extent now they want to contradict what I have done, I think that would be unfair to my profession,” he said.
The transaction, undertaken in pursuant to Section (87 A) of the Public Finance Management Act, followed National Assembly approval and what the CS described as meticulous public participation conducted in line with Articles 10 and 118 of the Constitution.
