President Ruto Orders Expansion of Local Content Bill to Regulate Foreign Participation in Small-Scale Trade
President William Ruto has directed that the Local Content Bill, 2025, currently before Parliament, be expanded to create a comprehensive framework governing foreign participation in small-scale trade and enterprise, following complaints from Kenyan traders over the growing presence of foreign nationals in the informal sector.
In a statement issued Tuesday, September 8, State House Spokesperson Hussein Mohamed said the directive followed an engagement last week during which the President received representations from traders concerned about the impact of foreign participation in small businesses on Kenyans whose livelihoods depend on such activities.
Government’s Dual Commitment
President Ruto reaffirmed the government’s responsibility to protect and expand economic opportunities for Kenyan citizens, particularly within the micro and small enterprise sector that sustains millions of households.
At the same time, he affirmed the government’s duty to safeguard the rights of foreign nationals lawfully resident, employed, investing or doing business in the country.
What the Expanded Bill Will Do
According to the statement, the expanded Bill will:
- ✅ Identify categories of economic activity that may be reserved for Kenyan citizens
- ✅ Provide legal certainty and protection for foreign nationals lawfully entitled to work, invest and conduct business in Kenya
- ✅ Create a framework governing participation in small-scale trade and enterprise
Commitment to Regional Integration
The government said its commitment to the East African Community (EAC) , regional integration and continental unity remains firm. Kenya will continue facilitating the movement of people, labour, services and capital in line with applicable legal frameworks, including through the African Continental Free Trade Area (AfCFTA) .
90-Day Regularisation Exercise
In the interim, every person conducting business in Kenya is required to comply with immigration, work-permit, registration and licensing requirements.
The government will carry out an orderly regularisation exercise over the next 90 days, coordinated by relevant agencies in consultation with the embassies concerned, to give affected persons a structured opportunity to regularise their immigration status and business operations.
Key Provisions of the Regularisation Period:
| Aspect | Details |
|---|---|
| Duration | 90 days |
| Administration | Fair, consistent, and without discrimination |
| Coordination | Relevant agencies in consultation with embassies |
| After 90 Days | Enforcement of rules firmly and strictly |
Protection Against Harassment
The statement warned that no individual or group has the authority to harass, intimidate, threaten or interfere with foreign nationals or their businesses. Anyone who does so will face firm action under the law.
“Legitimate concerns about economic opportunity can never justify discrimination, excuse lawlessness or sanction violence,” the statement read.
Kenya Remains Open and Welcoming
The government reiterated that Kenya will remain “an open, secure and welcoming country” while protecting opportunities for its citizens and honouring its regional, continental and international obligations.
Key Takeaways
- 📜 President Ruto orders expansion of Local Content Bill to regulate foreign participation in small-scale trade
- 🇰🇪 Government to protect economic opportunities for Kenyan citizens
- 🌍 Rights of lawfully resident foreign nationals to be safeguarded
- 🕐 90-day regularisation exercise for foreign nationals to comply with immigration and licensing rules
- 🛡️ No harassment of foreign nationals will be tolerated
- 🤝 Kenya remains committed to EAC and AfCFTA integration