If the Kenyan National Construction Authority’s (NCA) proposed regulations become law, foreign firms undertaking civil works in Kenya will now only be allowed to bid for one project in a joint venture with a local firm.
NCA vice chairperson Isabella Wachira says the proposed regulations are currently being scrutinised by the National Assembly. She says the authority is hopeful the regulations will be enacted. “Foreign firms will be registered to do one project and our aim is to have these firms entrench their construction technology to local firms. We also want them to invest some of their profits in the country,” she said. The regulations come as a result of concern over the domination of Chinese firms in many public projects and the need to have equal participation of local and international firms in civil works. Chinese firms have reportedly been awarded many tenders for public projects because they have expertise, bid favourable prices, and are financially backed by the Chinese government.“Our government [Kenya] should do an affirmative action in terms of reducing interest rates so that the local construction firms can get cheap loans to prevent stalling projects when project financiers such as the Wold Bank delay funds,” said IQSK chief quantity surveyor Moses Nyakiongera.
(Source: The Star)