High Court Halts Government's Sale of Safaricom Shares

The High Court of Kenya has issued an injunction halting the government's planned sale of its shares in Safaricom, pending the resolution of a constitutional dispute. The decision, delivered on April 18, 2026, comes after a petition was filed challenging the legality of the sale, arguing that it violates constitutional provisions regarding public assets.

Background of the Case

Safaricom, Kenya's leading telecommunications company, has a significant portion of its shares owned by the government. In an effort to raise funds, the government announced plans to sell a portion of its stake. However, this move was met with opposition from various stakeholders who questioned the transparency and legality of the process.

Legal Arguments Presented

The petitioners argue that the sale of government shares in Safaricom without proper parliamentary approval contravenes Article 227 of the Kenyan Constitution, which mandates that public assets be disposed of in a manner that is transparent and accountable. They also contend that the sale could potentially lead to a loss of public control over a strategic national asset.

Implications of the Court's Decision

The High Court's decision to halt the sale underscores the judiciary's role in ensuring that government actions comply with constitutional requirements. This ruling may set a precedent for future transactions involving public assets, emphasizing the need for adherence to legal and procedural standards.

Public and Market Reactions

The injunction has elicited mixed reactions from the public and market analysts. While some view it as a necessary step to uphold constitutional principles, others express concern about the potential impact on investor confidence and the government's fiscal plans.

As the legal proceedings continue, stakeholders await further developments to determine the future of the government's stake in Safaricom and the broader implications for public asset management in Kenya.