IN PHOTOS: Stakeholders engage in 2026 Budget Dialogue and Privatization of Infrastructure

The National Treasury has intensified its public engagement efforts regarding the management of state assets and the 2026 fiscal framework. During a regional townhall held at the Kiambu National Polytechnic on Sunday, senior government officials outlined the central role that private capital and public participation will play in the upcoming financial cycle. The event, titled the Central Regional Fora, focused on the twin pillars of privatization and budget transparency under the Bajeti Mashinani initiative.

Eng. Keda Seda, the Director General of the Public Private Partnerships Directorate, and Lawrence Kibet, who leads the State Department for Public Investments and Portfolio Management, were the principal speakers at the forum. Their presence in Kiambu signaled a concentrated effort by the executive branch to build consensus on policies that have frequently sparked national debate. For the construction and engineering sectors, the discussions provided critical insights into how the state intends to fund and maintain large scale infrastructure projects moving forward.

The privatization of state owned enterprises has become a key component of the government strategy to stabilize the national balance sheet. By inviting private sector participation, the Treasury aims to reduce the fiscal burden of underperforming assets while injecting expertise into sectors such as energy, transport, and water. During the dialogue, officials emphasized that privatization is not a wholesale sell off but a structured process designed to optimize the performance of public investments. This approach involves a variety of models, including the full divestiture of commercial entities and the use of long term lease agreements for strategic infrastructure.

Public Private Partnerships are central to this transition. As traditional debt financing becomes more expensive, the government is leaning on the PPP framework to deliver essential services and infrastructure. Eng. Keda Seda explained that the Directorate is currently overseeing a pipeline of projects that will rely on private developers to design, build, finance, and operate facilities. This shift requires a change in how local contractors and engineering firms approach the market. Instead of relying on immediate government payments, firms are now being asked to consider the long term viability and revenue generating potential of the projects they undertake.

The choice of Kiambu National Polytechnic as the venue for this dialogue was deliberate. As a hub for technical and vocational training, the institution represents the frontline of the labor force that will implement the nation’s infrastructure agenda. The government focus on technical skills aligns with the broader goal of ensuring that local professionals are equipped to handle the complex requirements of modern PPP contracts. Participants at the forum, including students and local business owners, expressed a desire for more clarity on how these high level financial strategies would impact local employment and small scale contracting opportunities.

Lawrence Kibet addressed the portfolio management aspect of the discussion, highlighting the need for rigorous oversight of public investments. The State Department for Public Investments and Portfolio Management is tasked with ensuring that state owned entities operate with greater efficiency and transparency. Kibet noted that the 2026 budget process is designed to be more inclusive, allowing citizens at the county level to voice their priorities. This bottom up approach, captured by the Bajeti Mashinani slogan, is intended to ensure that budget allocations reflect the actual needs of the populace, particularly in the areas of rural roads, water sanitation, and educational facilities.

The dialogue in Kiambu is part of a wider series of forums taking place across the country. These sessions are mandated by constitutional requirements for public participation, but they also serve as a strategic tool for the Treasury to manage public expectations. The privatization of assets has faced significant legal and social hurdles in the past. By engaging directly with stakeholders in the Central Region, the government is attempting to demystify the privatization process and highlight the potential benefits of private sector efficiency.

For the infrastructure industry, the primary takeaway from the Kiambu townhall is the increasing professionalization of asset management. The era of government as the sole financier of major works is giving way to a more integrated model where the private sector plays a co-equal role. This requires not only financial capital but also a high degree of technical competence and transparency in project delivery. As the 2026 budget takes final shape, the outcomes of these regional dialogues will dictate the pace and scale of construction activity across the country.

The forum concluded with a commitment from the Treasury officials to maintain an open channel of communication with the public. Stakeholders were encouraged to continue submitting their views on the budget and the privatization program through the established digital and physical platforms. The Central Regional Fora has set a precedent for how the government intends to navigate the complex intersection of public interest, fiscal necessity, and infrastructure development in the current economic climate.