The Ministry of Tourism has moved to clarify reports circulating online alleging plans to privatize beaches and islands along Kenya’s coastline.
In a statement on Tuesday, October 28, State Department for Tourism Principal Secretary John Ololtuaa described the claims as misleading and made in bad faith.
He insisted that the government remains the custodian of all beach land and resources and has no intention of transferring ownership to private entities.
Ololtuaa added that the ongoing discussions on tourism development are purely consultative and guided by existing laws.
"It is important to clarify that proposals made during public participation cannot possibly endorse any form of privatization or inform policy formulation as imputed in some social media outlets without being subjected to scrutiny as demanded by strictures provided by the law," he said.
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Ololtuaa explained that while the private sector is involved in tourism development, its role is limited to investment, innovation, and service delivery under government regulation.
"In any case, beach land and resources remain under the ownership and management of the National Government. The private sector only provides investment, innovation, and service delivery under regulated agreements," he added.
As such, Ololtuaa dismissed claims that the National Government is attempting to bypass established laws to create questionable investment opportunities in the tourism sector.
"On that note, it is critical to state without any equivocation whatsoever that any premature conclusion alleging that the National Government intends to bend established legal provisions to engage in illegitimate creation of investment opportunities in the tourism sector is both far-fetched and can only be uttered in complete bad faith by whomsoever," he further said.
Ololtuaa explained that the Tourism Act requires the Ministry of Tourism to develop a National Tourism Strategy to guide how the industry is managed, marketed, and regulated.
"The Tourism Act mandates the Ministry responsible for tourism in Kenya to prepare a National Tourism Strategy outlining how the sector will be marketed, managed, and regulated. A draft National Tourism Strategy has, therefore, been developed and shared with stakeholders to invite public comments and input before it is finalised," he stated.
According to Ololtuaa, the draft strategy is built around three pillars, including efforts to enhance Kenya’s beach tourism experience through product re-engineering and improved visitor experience.
"The strategy is essentially built around three key pillars, one of which focuses on re-engineering Kenya’s tourism product development to enhance the overall visitor experience. Under this pillar, one of the strategic directions is to enhance Kenya’s beach tourism experience.
"Specifically, page 50 of the draft strategy proposes identifying and designating certain beaches and islands for special concessions as imagined along global best practice," he explained.
Ololtuaa said while some members of the public have suggested the country should adopt different approaches to tourism development, the government remains guided by existing laws and regulations.
"Buoyed by this general thrust, participants in our continuing public engagement have questioned why our model should not veer off from the prevailing convention.
"However, noting as we do that we are governed by established policies and legislations such as the Wildlife Conservation and Management Act (2013) and the Public Procurement and Asset Disposal Act as well as KWS's internal guidelines the Government remains aware that some proposals made may not feasible or even actionable," he concluded.
Elsewhere, earlier in the month, the government set March 31, 2026, as the completion date for the privatization of the Kenya Pipeline Company (KPC).
In a notice on Thursday, October 9, Privatization Commission Chairman Faisal Abass confirmed that the process has cleared all major procedural and legal hurdles following cabinet and parliamentary approvals.
"Following the approval of the Privatization Method for the Kenya Pipeline Company (KPC) Limited (hereinatter referred to as the Company) by the Cabinet, the subsequent tabling of the requisite Report in the form of a Sessional Paper before the National Assembly by the Cabinet Secretary for the National Treasury and Economic Planning, and the approval thereof by the National Assembly on 1st October 2025, and in accordance with the provisions of Section 30 of the Privatization Act, 2005, the Privatization Commission hereby gives notice of the approved transaction," the notice read.
According to Abass, the objectives of the privatization include ensuring that the process delivers both economic and social impact while promoting wider participation in Kenya’s capital markets.
He said the move presents a strategic opportunity to unlock the company’s full potential while ensuring broad national benefits.
It is also aimed at enabling the government to raise funds budgeted for the 2025/2026 financial year, which are required to implement key economic and social objectives.
Additionally, the plan seeks to empower ordinary Kenyans to own a stake in one of the country’s most profitable and strategic enterprises, thereby promoting inclusive economic growth and strengthening transparency and corporate governance through stock exchange listing and regulatory oversight.
Abass added that the privatization is also expected to enhance operational efficiency and drive innovation within the company.
He explained that proceeds from the transaction will support critical development priorities, reduce reliance on borrowing, and deepen Kenya’s capital market.
The process, he said, is also designed to balance economic empowerment, national interest, and institutional modernization in a way that benefits both the public and the wider economy.
Abass further confirmed that the transaction would be executed through the stock market, allowing Kenyan citizens and institutions to buy shares directly.
"In compliance with Section 25 (a) of the Privatization Act, 2005, the National Assembly has approved the privatization of Kenya Pipeline Company (KPC) Limited through an Initial Public Offer (IPO) of shares on the Nairobi Securities Exchange (NSE)," the notice added.
