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State contracts to women and youth cross Sh28bn

Gikambura Road

Contracted construction workers on the 1.2km Gikambura Road in Kiambu County on February 15, 2021.

Photo credit: Diana Ngila | Nation Media Group

Businesses owned by women, youth and persons living with disabilities bagged State tenders worth Sh28.6 billion in the year ended June 2024, rising 10.8 per cent from Sh25.8 billion a year earlier.

This is according to the latest statistical abstract published by the Kenya National Bureau of Statistics (KNBS).

An affirmative action programme, where public procuring entities set aside 30 per cent of their tenders to the special interest groups, had awarded a high of Sh41.2 billion in the fiscal year to June 2022.

Women have continued to be the biggest beneficiaries of Access to Government Procurement Opportunities (AGPO), taking tenders worth 14.9 billion in the year to June 2024.

This was up from Sh13.4 billion the year before. The number of tenders awarded to women rose to 14,422 from 11,861 over the period.

Businesses owned by the youth, described as those aged 18 to 35 years, were the second largest beneficiaries with tenders worth Sh10.5 billion.

This marked an increase from Sh9.4 billion the year before.

The number of government contracts awarded to the youth also jumped to 8,828 from 7,212.

People living with disabilities won bids worth Sh3.2 billion, up from Sh2.9 billion a year earlier.

The increase was partly driven by a higher number of contracts which rose to 2,038 from 1,633.

The government describes disability as a physical, sensory, mental other impairment which has an adverse impact on a person’s social, economic or environmental participation.

The tenders are awarded by State corporations, commissions, universities and colleges as well as county governments.

State corporations and county governments are the biggest spenders in the affirmative programme.

Some of the State corporations which have disclosed the value of deals awarded to the marginalised groups include Kenya Power. The State-owned electricity distributor gave contracts worth Sh600 million to the special interest groups in the eight months to February this year.

Kenya Power said it has allocated tenders valued at Sh1.8 billion in the current financial year under AGPO.

The programme was started by former President Uhuru Kenyatta in October 2013 to give women, youths and PWDs fair access to lucrative government tenders.

AGPO seeks to ensure that 30 per cent of government procurement opportunities are set aside for the youth, women and persons living with disability.

These tenders go to legally registered firms in the form of a sole-proprietorship, partnership or limited company in which the ownership in form of capital invested or shares owned should be at least 70 percent for the youth, women or PWDs.