Leaders pose for a photo during the opening of the inaugural Research Conference on Competition and Consumer Welfare, organised by the Competition Authority of Kenya (CAK).
By Peace Muthoka
NAIROBI, June 4, 2026 — Kenya has renewed its push for fair and competitive markets as the government seeks to lower the cost of doing business, protect consumers and create an environment where enterprises of all sizes can thrive.
This agenda took centre stage on Thursday at the Weston Hotel in Nairobi during the official opening of the inaugural Research Conference on Competition and Consumer Welfare, organised by the Competition Authority of Kenya (CAK).
The two-day conference brought together policymakers, researchers, academia, regulators and industry players to deliberate on the growing role of competition and consumer protection in shaping inclusive economic growth.
Officially opening the conference, Principal Secretary at the National Treasury Dr. Chris Kiptoo said competitive markets are increasingly becoming central to Kenya’s economic transformation agenda, particularly under the Bottom-Up Economic Transformation Agenda (BETA) and the Fourth Medium-Term Plan.
He noted that fair competition should no longer be viewed merely as a regulatory matter, but as an economic policy tool capable of attracting investments, lowering business costs, supporting innovation and improving livelihoods.
“Fair competition is not merely a regulatory objective but a key economic policy tool for attracting investment, lowering the cost of doing business, strengthening consumer welfare and creating jobs,” said Dr. Kiptoo.
Even as Kenya remains one of Africa’s fastest-growing and most diversified economies, the Treasury PS said the country’s development ambitions will only be realised if markets remain fair, open and accessible to everyone.
He stressed that the government’s transformation agenda seeks to place ordinary citizens — particularly vulnerable communities and small businesses — at the centre of economic growth.
“Our transformation agenda puts the most vulnerable citizens, not just the most connected ones, at the centre of growth,” he said.
Dr. Kiptoo pointed to agriculture as one of the sectors where fair competition remains essential.
The sector contributes about 22.5 percent directly to Kenya’s Gross Domestic Product and supports millions of livelihoods through manufacturing, distribution and related services. It also employs more than 40 percent of the country’s workforce and sustains a majority of rural households.
However, he warned that anti-competitive practices, especially in agricultural input markets such as seeds, often increase production costs, deny farmers fair prices and weaken rural economies.
“When anti-competitive conduct distorts the seed market, it raises input costs, squeezes farmers out of fair prices and harms more than just one sector. Such conduct destabilises the livelihoods of millions of people,” he said.
Consequently, he argued that enforcing competition laws must also be viewed as a food security and poverty reduction strategy.
Beyond agriculture, Dr. Kiptoo highlighted the struggles facing Micro, Small and Medium Enterprises (MSMEs), which account for nearly 34 percent of Kenya’s GDP and employ approximately 15 million people.
Despite their significant contribution to the economy, many small businesses continue to struggle due to delayed payments, unfair contractual terms and barriers created by dominant market players.
According to the Treasury PS, one in five MSMEs fail within their first year, while only a third survive beyond ten years.
“In many cases, these failures are not because entrepreneurs lack talent, ambition or innovation, but because the playing field is not level,” he said.
He added that practices such as price-fixing and restrictive regulations continue to make essential goods and services inaccessible to many small businesses, thereby slowing economic expansion.
Against this backdrop, Dr. Kiptoo praised the Competition Authority of Kenya for its role in dismantling barriers to fair trade through market studies, regulatory reviews and policy recommendations aimed at creating a more competitive business environment.
“Competition is not just a regulatory concept. It is an economic policy instrument that directly shapes investment decisions, employment outcomes, the cost of living and the sustainability of our public finances,” he said.
At the same time, the conference highlighted emerging research showing how reforms in competition policy could unlock greater economic opportunities for Kenya.
Dr. Kiptoo referenced the Bridging Barriers study jointly released by the World Bank Group and CAK in December 2025, which found that Kenya’s regulatory environment remains restrictive to competition.
The report placed Kenya’s Product Market Regulation Index at 2.92 out of six and noted that 209 State-owned enterprises still operate in sectors where private competition could flourish.
If trade and investment barriers are addressed, formal employment could rise by 2.6 percent while Kenya’s real GDP may grow by nearly five percent by 2035, according to the findings.
“These are opportunities that competition enforcement must take up in order to support our economic growth and inclusivity agenda,” Dr. Kiptoo noted.
Additionally, he underscored the need to address bid rigging in public procurement, warning that billions of taxpayers’ money continue to be lost through anti-competitive practices.
Government procurement accounts for roughly 60 percent of the national budget and contributes between 10 and 13 percent of GDP.
“Every shilling lost to bid rigging is a shilling stolen from a school, a road or a hospital,” he said, while calling for stronger collaboration between CAK and the Public Procurement Regulatory Authority.
Meanwhile, Dr. Kiptoo reaffirmed the government’s commitment to strengthening the Competition Authority, revealing that more than KSh8 billion has been invested in the institution since 2011.
He further disclosed that the National Treasury is supporting the development of a Competition and Consumer Welfare Policy aimed at aligning competition enforcement with Kenya’s broader economic transformation goals.
The government is also backing the proposed Competition (Amendment) Bill 2025, currently before Parliament, which seeks to address emerging concerns within the digital economy, including algorithmic collusion.
Earlier, Competition Authority of Kenya Board Chair Charles W. Mahinda described partnerships and collaboration as the agency’s guiding principle in strengthening market regulation.
Mahinda said CAK has increasingly gained recognition globally, including through its leadership role in developing the African Continental Free Trade Area competition policy framework.
He added that Kenya has also taken leadership positions in international competition and consumer protection networks, helping the country adopt global best practices while strengthening institutional capacity.
“We have become active members of the global competition community, contributing to the practice and development of competition regimes worldwide,” Mahinda said.
As discussions continue over the next two days, participants are expected to generate research-backed recommendations that could shape future competition policies, legislative reforms and enforcement mechanisms.
Dr. Kiptoo challenged stakeholders to ensure the conference produces actionable outcomes capable of influencing real economic decisions.
“The value of this conference does not lie in the papers shared alone, but in what happens next. Research must close the gap between evidence and policy,” he said.
Ultimately, officials expressed optimism that stronger competition laws, fairer markets and better consumer protection could help an economy that works not only for large corporations,
