Kenya is preparing for a major showdown on August 8, 2024, as the highly anticipated 'Nane Nane' protests are set to take place.
Organized by the Gen Z movement under the banner of #NaneNanemarch, these demonstrations promise to be the largest yet, with significant implications for both the government and the private sector.
As tensions rise, Dr. Abraham Korir Sing’Oei, Principal Secretary of Foreign Affairs, has made a strong call for regulating these protests, comparing them to pollution due to their disruptive impact on society.
Since June, Kenya has seen a wave of protests that have brought attention to various social and economic issues.
These protests have not been without consequences, particularly for the private sector, which has been struggling with continuous disruptions.
Dr. Sing’Oei, in a statement posted on X (formerly Twitter), highlighted the economic costs of these protests, stating that the burden is often transferred to the private sector.
"Like pollution, violent protests must be regulated before they cause irremediable public cost," he remarked.
Dr. Sing’Oei’s comments come in the wake of a report showing that Kenya's private sector experienced its slowest job growth since January 2024. This slowdown is part of a broader trend of economic uncertainty exacerbated by ongoing political instability.
The Stanbic Kenya and S&P Global monthly survey revealed a bleak outlook, with businesses hesitant to invest and consumer spending on the decline.
The economic impact of the protests has been significant. The Stanbic Kenya Purchasing Managers Index (PMI), a measure of private sector activity, fell to 43.1 in July from 47.2 in June, indicating a contraction. This was the second consecutive month of decline.
According to the survey, new orders and output have dropped to their lowest levels since April 2021, illustrating the tangible effects of the unrest on economic activity.
Analysts at Stanbic Bank and S&P Global noted that companies have scaled back purchasing activity and reduced stocks of inputs.
Although there has been a slight increase in employment, the growth has been marginal, marking the slowest rate in a seven-month streak of increasing staffing levels.
The report highlighted that various sectors, including agriculture, construction, wholesale and retail, services, and mining, have been affected.
However, the manufacturing sector showed some growth, providing a rare positive note in an otherwise challenging economic landscape.
The 'Nane Nane' protests aim to continue the push for significant reforms. While organizers have promised a peaceful demonstration, they have also warned against any attempts to disrupt the protest.
Previous protests have already led to notable changes, including the withdrawal of the controversial Finance Bill 2024, political reorganization, and a cabinet reshuffle.
Dr. Sing’Oei's call for regulation reflects the growing frustration with the current state of affairs and signals the government’s intent to address the economic fallout of continued protests.
"Part of the reason to regulate and firmly deal with violent and chaotic protests is that protestors do not internalize the cost of their actions," he commented.
This cost, he argued, is transferred to the private sector, which has been struggling under the weight of continuous disruptions.
The Foreign Affairs PS’s comparison of protests to pollution is a stark metaphor meant to underscore the severe impact of the unrest on the country’s economy and society.
Just as pollution can cause widespread and lasting damage if not controlled, so too can violent and chaotic protests disrupt the economic and social fabric of the nation.
The upcoming 'Nane Nane' protests are expected to draw significant attention both domestically and internationally.
The Gen Z movement, which has been at the forefront of organizing these protests, is pushing for substantial reforms and greater accountability from the government.
Their calls for change resonate with many Kenyans who are frustrated with the current economic and political situation.
The government, on the other hand, is faced with the challenge of balancing the right to protest with the need to maintain public order and economic stability.
Dr. Sing’Oei’s call for regulation suggests that the government is considering more stringent measures to control protests and mitigate their impact on the private sector and the broader economy.
The protests have also highlighted the deep-seated issues within Kenya’s economy. The private sector's slow job growth and the contraction in private sector activity reflect underlying challenges that need to be addressed.
Businesses are cautious about investing, and consumer confidence is low, creating a cycle of economic stagnation.
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