Principal Secretary for Public Investments and Assets Management Cyrell Odede Wagunda has unveiled an ambitious reform agenda to streamline state corporations and standardising asset management across government.

Appearing before the National Assembly’s Public Debt and Privatisation Committee chaired by Shurie Abdi Omar, Mr Odede detailed sweeping measures that will enhance transparency, eliminate inefficiencies and improve returns on public assets.

Wagunda revealed that, as of June 30, 2025, the national government’s total asset portfolio stood at Ksh4.9 trillion (37.622 billion), with state corporations accounting for the bulk of the holdings.

He said the valuation stems from ongoing efforts to compile and harmonise asset registers across ministries, departments and agencies.

“This process is about bringing order and structure to how government assets are identified, valued and managed,” Wagunda told the committee.

A key pillar of the reforms is the rollout of the electronic government procurement (EGP) system to address widespread inconsistencies in public procurement pricing. The platform is expected to standardise costs for commonly purchased goods and curb wasteful expenditure.

“This system is the way to go. We have seen situations where this water, when it is bought here, could be Ksh100. When it goes to another state department, it is Ksh500… This system is bringing standardisation so that we can cut wastage in government,” the principal secretary explained.

The committee was also briefed on the first phase of state corporation reforms, which will see 23 entities merged into nine new government-owned enterprises, alongside the dissolution of 16 others, including six regional development authorities.

The restructuring is aimed at reducing duplication, lowering administrative costs, and enhancing operational efficiency.

Committee Chair Mbalambala MP Shurie Abdi Omar welcomed the reforms but emphasized the need for rigorous oversight, particularly on large-scale infrastructure projects undertaken through public-private partnerships (PPPs).

“I personally wish to visit the sites so that it will be good for us to see so that when I am told this PPP project is done, then I can confidently stand on the floor of the House and say yes,” he said.

Lawmakers, however, raised concerns about whether PPP projects are delivering value for money. Nyaribari Masaba MP Daniel Manduku questioned the cost-effectiveness of some agreements.

“The first concern is yes, you gave projects and the figures. From where you sit and based on market trends, do you think we are attaining value for money in some of these projects?” he posed.

In response, Wagunda, alongside officials from the PPP directorate, defended the framework, noting that all projects undergo rigorous feasibility studies, including lifecycle-based value-for-money assessments that compare PPPs with traditional procurement models.

The committee heard that at least ten PPP projects are currently under implementation, including the Nairobi Expressway and the Kenya Defence Forces housing project, where 500 residential units have already been completed – offering early signs of progress in the government’s infrastructure partnership model.

• A Tell Media / KNA report / By Joseph Ng’ang’a