ADVOKS GLOBAL · KENYA
Government Owned Enterprises Act
7. Guiding principles
Edition: 2025-11-27 · In force
7. Guiding principles
The following principles shall apply when determining a request for the establishment of a Government Owned Enterprise—(a)the role for a Government Owned Enterprise to fill a gap left by the market forces;(b)a Government Owned Enterprise shall operate on commercial principles and with a defined commercial income stream that substantially supports the associated commercial activities;(c)where activities involving tax expenditures demonstrate that public expenditure is less effective in achieving the national government objective but can effectively be undertaken on a commercial basis; and(d)there is no overlap or duplication of functions when establishing a Government Owned Enterprise.