Plan to have Capital Markets and Retirement Benefits merge
Capital Markets Authority chairman Kung’u Gatabaki (left), Treasury financial secretary Mutua Kilaka and acting CEO Paul Muthaura (right) during the launch of CMA’s strategic plan at the Hilton Hotel in Nairobi on September 26, 2013. The taskforce wants Capital Markets Authority (CMA), Insurance Regulatory Authority (IRA), Retirement Benefits Authority (RBA) and Sacco Societies Regulatory Authority (SASRA) merged under the Financial Supervisory Services to be established. SALATON NJAU
What you need to know:
- In the tourism sector, the taskforce wants the Tourism Finance Corporation merged into the Kenya Development Bank (KDB).
The report on parastatals by a presidential taskforce proposes radical and far-reaching changes and reforms.
The taskforce wants Capital Markets Authority (CMA), Insurance Regulatory Authority (IRA), Retirement Benefits Authority (RBA) and Sacco Societies Regulatory Authority (SASRA) merged under the Financial Supervisory Services to be established.
It proposes that the Kenya Revenue Authority be renamed the Internal Revenue Service (IRS). It however suggests that the Customs Department be transferred to the yet to be established Kenya Citizens and Foreign Nationals Management Service.
The team further wants the establishment of the Kenya Development Bank (KDB) by merging Kenya Industrial Estates (KIE), IDB Capital, Industrial and Commercial Development Corporation (ICDC), Agricultural Finance Corporation (AFC) and Tourism Finance Corporation and the creation of the Kenya Export-Import Bank (Kenya EXIMBANK).
It proposes that the Kenya Investment Corporation (KIC) be established by merging Export Promotion Council (EPC), Kenya Investment Authority (KenInvest), Kenya Tourist Board (KTB) and Brand Kenya Board (BKB).
It also proposes the establishment of the Biashara Kenya by merging Micro and Small Enterprises Authority, the Youth Enterprises Development Fund (YEDF), the Women Enterprise Fund (WEF), the SME Fund and the Uwezo Fund.
In the tourism sector, the taskforce wants the Tourism Finance Corporation merged into the Kenya Development Bank (KDB).
It also wants the Kenya Film Commission (KFC) renamed Kenya Film Development Service and its regulatory functions transferred to the Kenya Film Classification Board.
In the health sector, the taskforce recommends that the National Hospital Insurance Fund (NHIF) be run as a standard medical insurance scheme under the Insurance Act and the Health Services Regulatory Agency established as the regulator for the sector.
It further proposes that the National Social Security Fund (NSSF) Board of Trustees be made to comply with the Retirement Benefits Authority Act “with immediate effect.”
It proposes that the functions of the National Social Security Assistance Authority be undertaken by the Ministry of Devolution and Planning and the Local Authorities Provident Fund (LAPF) converted into a pension scheme for county government employees.
It proposes further deliberations to determine the future of Kenya Rural Roads and Kenya Urban Roads authorities, and that it runs the Kenya National Highways Authority (KeNHA) in line with the Fourth Schedule of the Constitution which places the functions of road traffic and the construction and operation of national trunk roads under the national government and county transport including county roads, street lighting, traffic and parking under county governments.
