googleSearch (CSE)

Development of the Nairobi County Trade and Markets Policy 2018 - Kenya National Chamber of Commerce and Industry (KNCCI) - Nairobi County


Markets infrastructure in Nairobi has neither been able to keep up with demand nor has it been maintained well. According to the draft 2018-2022 Nairobi County Integrated Development Plan, the physical planning ratio shows there should be a market for every 25,000 people. Based on that ratio, Nairobi has a deficit of 126 markets. This has resulted in an influx of hawkers and uncontrolled markets in the city centre and the suburbs respectively. Consequently, there has been constant conflict between the hawkers/informal traders and city authorities, as well as interference with normal operation of formal businesses operating in the city.

KNCCI Nairobi has been advocating the development of an appropriate Markets and Infrastructure (M&I) Bill for the county with a BAF grant of KShs. 2.815 million. However, when KNCCI Nairobi engaged with the recently confirmed County senior staff members on the M&I Bill, they were informed that the county needs to put in place an appropriate County Trade and Market Policy prior to developing an appropriate M&I Bill.

The Nairobi City County (NCC) has now drafted a Nairobi City County Trade and Markets Policy (CTMP), 2018 within the framework of the National Trade Policy, 2017. NCC recognizes that Nairobi is not only the capital city of Kenya; it is also a regional economic hub and a major transit route to a number of destinations in East and Central Africa. According to the draft NCTMP, economic activity in Nairobi contributes more than 60% to Kenya’s GDP.

The NCC Executive Officer for Trade requested KNCCI Nairobi to bring together key private sector actors to discuss their views on the draft policy. KNCCI organized a forum in July 2018 bringing together members of the Nairobi County Business Coalition and key MSME associations in the county to discuss the CTMP. The key issues raised at the stakeholders’ workshop held within July were:

  • The need to address MSME concerns in the development of the policy especially in relation to a provision of market spaces and market infrastructure; and the need to ensure that there is a direct correlation between revenue collection and service delivery.
  • The draft Policy lacks up-to-date information on markets, MSMEs, informal traders and other key statistical data in the county. Having this data would help ensure that the policy document provides an accurate description of market spaces and market infrastructure on which to base a suitable policy that addresses the needs of the business community in the county.
  • The private sector should not only be included in the policy formulation process, but also in the development of subsequent regulatory instruments, and the implementation process.

In March 2018, KNCCI signed an MoU with NCC with one of the provisions of the MoU being collaboration on the development of appropriate regulatory instruments. KNCCI seeks to lead the process of developing an appropriate CMTP in collaboration with the NCC. KNCCI expects this process will inform the development of an appropriate Trade and Market Infrastructure Bill.


Share this Issue