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Views invited on bill seeking to benefit local contractors

Members of the public have been invited to give their views on a Bill seeking to give locals firms an edge over foreign firms in government contracts.

The Public Procurement and Assets Disposal (Amendment) Bill, 2020 by Thika Town Mp Patrick Wainaina comes at a time when many local contractors have been complaining that Chinese contractors are winning every contract including small road repairs.

The Bill is now before the Finance Committee chaired by Homa Bay Woman MP Gladys Wanga will compel county and national government to pay contractors within three months of supply if passed.

The bill is also pushing to increase the threshold set for local firms Sh500 million to Sh1 billion.  The Sh 500 million has locked out many kenyans businessmen with financial muscles to take up state contracts.
Special groups like people with disabilities, gender and the youth have also been considered.

In the proposal, Hon. Wainaina is seeking to have local contractors considered even in a situation where their quote is one and a half times more than that of foreign contractors..

It also seeking to increases the amount international contractors must source locally to 60% from the current 40%.

On top of the criteria of awarding contracts, the price must be within 15%.

The parliament is call for public views with an intention to amend the bill to fill gaps that might be used by rogue contractors to quote unrealistic and low prices just win the contract.

“It would also deter companies from quoting an unrealistically high price for a contract whose actual cost is low,” the notice reads in part.

Kenyans have been given until August 11 to forward their submissions to the Clerk of the National Assembly on the proposal.

Elsewhere views are also being sought on a bid by Bonchari MP Oroo Oyioka  that is seeking to have Central Bank of Kenya to regulate digital money lenders.

Hon. Oyioka wants a regime where the CBK regulates how providers give digital finance products and services with an aim of sealing gaps in the framework governing digital borrowing and lending.



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