NAIROBI, Kenya, Dec 8 – The National Assembly has invited Kenyans to submit views on the government’s proposed sale of a 15 percent stake in Safaricom, a move that follows last week’s government announcement that it had already secured Sh244.5 billion in proceeds from the transaction as part of a broader infrastructure-funding strategy.
The public participation window opens after the tabling of Sessional Paper No. 3 of 2025, which outlines the State’s plan to offload 6.01 billion shares equivalent to 15% of Safaricom while retaining a strategic 20% stake and two board seats.
The Sessional Paper has been referred to the Finance and National Planning Committee and the Public Debt and Privatisation Committee for review, as required under Section 87A of the Public Finance Management Act.
“Article 118(1)(b) of the Constitution requires Parliament to facilitate public participation and involvement in the legislative and other business of Parliament.”
“Any sale of the National Government’s shares in a government-linked corporation must be approved by the Cabinet and by a resolution of the National Assembly to ensure fiscal prudence, parliamentary oversight, and reinforce transparency and accountability in the management of public investments.”
Last week, Treasury disclosed that under the deal, Vodacom Group will also acquire Vodafone Kenya’s entire interest, consolidating control and lifting its total shareholding in Safaricom to 55 percent.
The government will maintain a 20 percent stake, with the remaining 25 percent held by the public.
Treasury Cabinet Secretary John Mbadi said the divestment reflects strong investor confidence in the telco and aligns with ongoing fiscal reforms.
According to the Sessional Paper, the offer price of Sh34 per share represents a 17% premium on Safaricom’s six-month average of Sh27.50.
The State will additionally receive Sh40.2 billion upfront from Vodacom in lieu of future dividends on the residual 20 percent stake.
Safaricom, valued at Sh1.158 trillion, remains the Nairobi Securities Exchange’s largest counter and a strategic national asset.
The Paper argues that the stake sale to Vodacom already a dominant shareholder will reinforce the telco’s competitiveness, deepen capital markets and reduce the government’s exposure to future share dilution.
Parliament is now seeking feedback from shareholders, employees, customers, regulators and the public.
Memoranda must be submitted to the Clerk of the National Assembly by January 8, 2026.
The divestiture is part of the State’s broader push to raise non-tax revenues, cut reliance on debt and free up fiscal space to fund mega infrastructure projects across the country.
