Treasury Cabinet Secretary John Mbadi has come out fighting, staunchly defending the government’s decision to offload a portion of its stake in Safaricom. Amid accusations of "selling the family silver," Mbadi argues the move is a strategic necessity to unlock capital and stabilize the country’s shaky fiscal position.

The sale has sparked a heated debate in financial circles, with critics warning that the government is losing its grip on the country’s most profitable company. However, speaking in Nairobi, the CS dismissed these fears, framing the transaction not as a loss, but as a portfolio rebalancing act designed to plug budget deficits without accruing more expensive commercial debt.

"We Need the Cash"

Mbadi’s defense hinges on liquidity. "We are sitting on assets that can generate the cash we desperately need for development," he argued. The Treasury boss insisted that the sale was conducted transparently and at a competitive market rate, ensuring the taxpayer got value for money. He cautioned against sentimental attachment to state assets when the economy requires pragmatism.

• The Strategy: Divesting from mature assets to fund infrastructure and service debt.
• The Critics: Opposition leaders argue this erodes national sovereignty over critical telecommunications infrastructure.
• The Market: Safaricom remains the NSE’s bellwether; any government movement on its shares sends ripples through the entire bourse.

Selling the Crown Jewel?

Safaricom is more than just a company; it is the engine of Kenya’s digital economy. Mbadi’s gamble is high-stakes. If the proceeds are used wisely, he will be vindicated. If they vanish into recurrent expenditure, history will remember him as the man who sold the golden goose to pay the electricity bill.