Kindiki defends economic policies in meeting with Kenyans in Namibia » Capital News
NAIROBI, Kenya, Mar 2 – Deputy President Kithure Kindiki has defended the Kenya Kwanza administration’s economic policies, stating that bold and often unpopular decisions are necessary to transform Kenya’s key sectors and shield the country from economic instability.
Speaking during a diaspora meeting in Namibia, Kindiki outlined the government’s progress in stabilizing macroeconomic indicators, increasing agricultural output, and reducing reliance on food imports, insisting that Kenya is on the right path to self-sufficiency.
Highlighting the agricultural sector as the backbone of Kenya’s economy, Kindiki stated that over 90 per cent of Kenyans derive their daily income from agriculture, livestock, fisheries, mining, and the blue economy.
These sectors, he noted, are at the center of the government’s transformation agenda, aimed at putting more money in the pockets of Kenyans.
He defended the controversial subsidized fertilizer program, arguing that when President William Ruto took office, previous subsidies were directed at millers instead of producers — a policy that failed to address the country’s food security challenges.
“Millers do not produce maize; they simply buy it. You cannot solve a food security problem by subsidizing millers. That’s why we shifted focus to subsidizing production,” Kindiki explained.
He credited the fertilizer subsidy program — which reduced fertilizer prices from Sh7,000 to Sh2,500 per 50kg bag — as a key factor behind Kenya’s increased maize production.
‘Agricultural revolution’
Kindiki assured that, with the current production levels, Kenya has enough maize to meet local demand without external imports.
“That intervention alone, combined with certified seeds and favorable weather, has resulted in what is nearly an agricultural revolution in just two years. For the first time, Kenya will not import a single bag of maize,” he noted.
In the sugar industry, Kindiki outlined the government’s new approach to stabilizing the sector, which includes the Sugar Bill, reviving sugar factories, clearing historical debts, and providing subsidized fertilizer to sugarcane farmers for the first time.
As a result, Kenya has significantly reduced sugar imports, narrowing the deficit that previously forced the country to rely on COMESA safeguards for 22 years.
“For the first time, Kenya has produced 920,000 metric tons of sugar, reducing reliance on imports to historically low levels,” he noted.
The Deputy President also highlighted increased earnings in tea, coffee, and other cash crops as indicators of economic recovery.
He stated that Kenya’s tea export earnings grew from Sh160 billion in 2022 to Sh181 billion in 2023, with projections reaching Sh210 billion in 2024.
In the coffee sector, farmers’ earnings for one kilogram of cherry rose from Sh60 in 2022 to Sh80 in 2023, and further to Sh101 in 2024.
Kindiki insisted that transforming a country requires difficult and sometimes painful decisions.
He criticized those who dismiss the government’s interventions, arguing that Kenya’s economic transformation cannot [be] achieved overnight.
“To a casual analyst, these efforts may seem scattered and insignificant. But this is how real economic transformation happens. We are stabilizing the economy, pushing Kenya out of poverty, and creating long-term macroeconomic stability,” he asserted.
‘Economic stability’
On macroeconomic stability, Kindiki emphasized that Kenya cannot achieve economic growth without first stabilizing key economic indicators such as inflation, currency strength, and interest rates.
He noted that, upon taking office, the Ruto administration inherited a rapidly weakening shilling, fluctuating food prices, and a private sector struggling under high interest rates and inflation.
However, he assured that Kenya’s economy is now on a steady path, citing a stabilized exchange rate and falling inflation as proof that government interventions are working.
The Deputy President also hailed diaspora remittances as Kenya’s largest source of foreign exchange, surpassing tea, tourism, and horticulture, which have traditionally dominated the country’s forex earnings.
“Diaspora remittances have now surpassed Sh500 billion, and our target, as outlined in our manifesto, is to push that figure to Sh1 trillion,” he said.
He reassured Kenyans in the diaspora that the government is working to unlock investment opportunities and address barriers preventing them from contributing more to national development.
Kindiki urged all Kenyans to support President Ruto’s economic transformation agenda, stressing the administration’s focus on long-term gains rather than short-term political convenience.
He warned against over-politicizing government programs, noting that Kenya’s economic future depends on sticking to the development blueprint outlined in the Kenya Kwanza manifesto.
“We are determined, under President William Ruto, to transform Kenya and make it better. Our policies are not random ideas — they are structured reforms rooted in the manifesto that got us elected. If we follow through, Kenya will be in a much stronger economic position in the coming years,” he stated.