Focus on Covid-19 jabs and not lockdowns, trade groups insist
A dog walks at the Jomo Kenyatta Public Beach in Mombasa County on August 4, 2021. The Parliamentary Committee on Trade, Industry and Cooperatives wants the Mombasa County government to reopen Jomo Kenyatta Public Beach which has remained shut for almost two years.
Trade associations from retail, hospitality, and transport and entertainment sectors have backed calls for opening of the economy, urging the government to focus on vaccinating Kenyans instead of continued lockdowns.
They spoke last week a day after President Uhuru Kenyatta announced extension of the Covid-19 containment measures, including the nationwide night curfew, and continued limited hours for operation of bars, restaurants and other entertainment outlets.
Players also accused policemen of extortion and carting away products from bars and restaurants in the guise of enforcing Covid-19 protocols.
Bar, Hotels and Liquor Traders Association Chairman Simon Njoroge said the group had decided to support a motion before the National Assembly calling for the end of economic lockdowns in the country.
“MPs need to show that they care for the suffering of those hard hit by the pandemic by supporting the motion in the National Assembly urging the executive to eliminate all forms of lockdowns, curfews and travel restrictions and replace them with economically friendly containment measures and vaccination campaigns,” Mr Njoroge said.
Traders argue that what Kenya needs is an aggressive vaccination drive, which will make it safe for the economy to open up as has been witnessed in the Western countries, as opposed to the trend of locking the economy and constraining business growth.
Lifting restrictions
In the boda boda sector, Mr Samuel Ng’ang’a, who represented the association said lifting restrictions would enable a resumption of the 24-economy that has been a big boost to the sector.
Mr Ng’ang’a said many boda boda operators in the country have been affected adding that some banks have repossessed many vehicles acquired on loans and whose owners were unable to service them after onset of the Covid-19 pandemic, leaving more than 400,000 families suffering.
“We have seen this already in the matatu sector and the enforcement is ongoing. Most businesses operate the same way, taking loans from banks and repaying them the same way, and it’s time we began talking about how all Kenyans can be enabled to resume operating normally but safely,” said Mr Boniface Gachoka, representing bar owners.
Players complained that despite a relaxation of some measures by Tourism Cabinet secretary Najib Balala, allowing restaurants to operate until 9pm, police were still harassing operators and forcing them to close at 7pm.
“These new protocols are meant to guide the hospitality sector’s operations as we work towards a resumption of operations, which will be aided by increased vaccination and the adherence to the protocols. Unfortunately, we have had an alarming increase in police harassment of bars, restaurants and other establishments over the past three weeks,” said Pubs, Entertainment and Restaurant Association of Kenya (PERAK) Nairobi chairman Frank Mbogo.
Mr Cyrus Githaiga, the national coordinator of the Market Traders Association, said restrictions of the hospitality sector have had a ripple effect on the fresh produce sector.
“Hotels and restaurants are the biggest consumers of fresh produce and when they are forced to shut down, we are some of the biggest losers. There has been discrimination even with vaccinations and we need this to end,” said Mr Githaiga.
Hotel industry
Their complaints come about a week after the Central Bank of Kenya (CBK) released the hotel industry survey, showing that many players in the industry are against the night curfew, which has reduced their operating hours thus curtailing recovery.
The report stated that only 13 percent of players in the hospitality industry hope to resume normal levels of operation by the end of this year.
Banks are also reporting that among businesses most constrained and which have high cases of failing to honour their loan obligations fall in the hospitality and tourism sectors, with KCB stating that of the Sh95 billion gross NPLs it reported in the first half of 2021, 17 percent constituted players in the sectors.
The CBK’s hotel industry survey in June indicated that 42 percent of hotels believe their business will only get back to normal, once they are allowed to resume 24-hour operations.
“On average, 13 percent of hotels expected to resume normal levels of operations by end of 2021. This is a decline from the 18 percent recorded in the May survey, with respondents attributing the decline to persistence of the pandemic,” the report noted.
