Former Deputy President Rigathi Gachagua has sharply criticised President William Ruto’s directive targeting foreign nationals engaged in small-scale businesses, comparing the move to former Ugandan dictator Idi Amin’s 1972 expulsion of Asians from Uganda.
Gachagua said Kenya risked repeating mistakes that contributed to Uganda’s economic decline after Amin ordered tens of thousands of people of South Asian descent to leave the country.
In a statement, the former deputy president recalled that Amin gave Indians, Bangladeshis and Pakistanis living in Uganda 90 days to leave in August 1972.
According to Gachagua, about 80,000 people were expelled and their businesses and properties were subsequently taken over by the state and allocated to individuals.
He argued that the policy damaged Uganda’s economy as foreign investors lost confidence and new investors became reluctant to enter the country.
Gachagua drew a direct comparison with Ruto’s recent remarks on foreign nationals operating small businesses in Kenya, accusing the President of creating uncertainty among foreign investors.
“Unfortunately, 54 years later, Kenya’s new dictator Ruto has caused panic among foreign investors,” Gachagua said.
He claimed that more than 400 Indian businessmen had already shut down their investments following what he described as pressure from government-linked individuals to surrender shares in their businesses.
Gachagua also alleged that some Indian families were at risk of losing properties whose leases were expiring, claiming that government officials were involved in efforts to take over the properties.
The former deputy president further singled out Tata Chemicals, alleging that the company had been targeted after refusing demands for a KSh9 billion payment or a 40 per cent stake in the business.
Gachagua did not provide evidence publicly to substantiate the allegations, and the claims should therefore be treated as allegations.
Ruto’s position, however, has been that Kenya must protect local entrepreneurs from competition in low-capital businesses while continuing to welcome genuine foreign investment.
The President has said foreigners should not come to Kenya to engage in activities such as hawking and petty retail, arguing that the country’s efforts to attract foreign capital are intended to create jobs, expand production and strengthen the economy.
Gachagua maintained that the government’s approach was damaging investor confidence and warned that Kenya could suffer economically if foreign investors became reluctant to establish or expand businesses in the country.
He said investors he had met during his stay in the United States had expressed concerns about the business environment in Kenya.
Gachagua subsequently appealed to the international community to intervene, arguing that foreign investors must be assured that their businesses and property rights are protected.
“Kenya is not Mr. William Ruto’s personal property,” Gachagua said, insisting that the country must remain open to legitimate investment while protecting the interests of its citizens.