Kenya’s "Crown Jewels" Under Threat: The United Alternative Government Issues Scathing Critique of New Infrastructure Fund and Safaricom Divestiture

   In a blistering press statement released today, the United Alternative Government (UAG) has called on the National Assembly to flatly reject two major government proposals, labeling them a "coordinated assault" on Kenya’s constitutional and financial integrity. The opposition’s defiance centers on the National Infrastructure Fund Bill, 2026, and a plan to sell off a portion of the state’s stake in Safaricom PLC.  

  The UAG argues that these moves are being pushed at a time of "acute stress" for Kenya’s fiscal credibility, following what they describe as a lack of transparency in the recent Kenya Pipeline Company (KPC) IPO.   

Wiper leader Kalonzo Musyoka flanked by UAG co-principals gives a media address 

   The Infrastructure Fund: "A Solution in Search of a Problem"

  The UAG contends that Kenya’s infrastructure challenges stem from procurement corruption and execution failure, not a lack of available funds. They raise several red flags regarding the proposed Sh5 trillion National Infrastructure Fund:  

 Oversight Risks: The UAG notes that Kenya already has over 60 public funds operating outside the Consolidated Fund, which the Controller of Budget has flagged as a major governance risk.  

 Constitutional Violations: The statement argues the fund violates Article 206, which requires all public revenue to flow through the Consolidated Fund to ensure parliamentary oversight.  

  Misleading Testimony: Perhaps most damaging is the allegation against Treasury CS John Mbadi. The UAG claims Mbadi filed a court affidavit on March 3, 2026, admitting the "fund" is actually a private limited liability company that hadn't even been incorporated when he was pitching it to Parliament as a public entity.  

  "A Cabinet Secretary who assures Parliament of a Sh5 trillion vehicle's constitutional status, then swears under oath to its private, unincorporated nature... has misled the legislature," the statement reads.  

                    

    Selling the "Crown Jewels"

  The second point of contention involves Sessional Paper No. 3 of 2025, which outlines the partial divestiture of Safaricom. The UAG likens this to a "family selling its most productive farm to cover annual household shopping".  

  Beyond the loss of dividend income—which totaled KSh 48.08 billion in FY2024—the opposition warns of significant national security risks. Safaricom's infrastructure currently supports critical systems including:  

 •M-PESA digital payments  

 •e-Citizen and Huduma Namba  

 •National security communication systems  

    The UAG argues that the government has failed to specify who would be allowed to buy the shares or what "golden share" mechanisms would remain to protect the public interest.

         Lessons from the KPC IPO

    The UAG points to the Kenya Pipeline Company (KPC) IPO as a "cautionary tale". They claim that process was marred by overvaluation, a lack of competitive advisor selection, and weak participation from retail investors. Until the government can execute such transactions with credibility, the UAG insists it cannot be trusted with an asset as significant as Safaricom.  

     Summary of UAG Demands

  The opposition has laid out a series of demands to halt these "distractions" from Kenya's development deficit:  

   Proposal UAG Demand

   Infrastructure Fund Bill Reject entirely; audit all existing extra-budgetary funds first.

Safaricom Divestiture Withdraw the Sessional Paper; conduct an independent strategic asset review.

General Asset Sales Suspend,all divestitures pending a Parliament-approved National Asset Management Policy.

   The statement concludes by urging Parliament to stand for fiscal discipline and the long-term interests of the Kenyan people rather than "elite capture".