Kenya’s policy and regulatory environment in 2024 was characterised by numerous policy pronouncements amidst significant public discontent. As 2025 approaches, the space promises to be even busier, with critical issues to monitor. Below are notable developments to watch.

1. The AUC chairperson contest

Kenya entered the race for the African Union Commission (AUC) chair, endorsing former Prime Minister Rt. Hon. Raila Odinga. This contest, initially featuring four contestants, has now narrowed to three and promises to be a high-stakes battle. It will serve as a litmus test for both President William Ruto and Hon. Raila Odinga, especially in light of their recent political camaraderie.

2. National AI strategy

A draft National Artificial Intelligence (AI) Strategy, under the stewardship of the Ministry of Information, Communication, and the Digital Economy, is expected to be unveiled for public participation in 2025. This strategy, shaped by extensive stakeholder consultations, is poised to position Kenya as a leader in AI adoption and innovation within the continent.

3. The Finance Bill, 2025

The 2024 Finance Bill was marred by public unrest, leading to its eventual withdrawal. The government’s enactment of the Tax Laws Amendment Act, 2024, provided temporary relief but failed to assuage widespread discontent. The Finance Bill, 2025, is likely to face increased scrutiny and citizen participation, testing the government’s capacity to balance fiscal needs with public sentiment.

4. Principal secretaries’ reshuffle

The Public Service Commission’s recent call for applications for the role of Principal Secretaries hints at impending changes in this critical tier of government. Speculation is rife that 2025 will see President Ruto make significant appointments, realigning his administration to meet emerging governance priorities.

5. Political realignments

Kenya’s political landscape is expected to witness intensified realignments. President Ruto’s recent overtures to former President Uhuru Kenyatta and his inclusion of Raila Odinga’s allies under a broad-based government umbrella point to strategic political consolidation. Former Deputy President Rigathi Gachagua is also warming up to defunct Azimio leaders, including Kalonzo Musyoka, signalling further shifts.

6. Public Participation Bill, 2024

The long-awaited Public Participation Bill, 2024, currently pending before the National Assembly, could finally see progress in 2025. Legislators are expected to prioritise this framework when Parliament resumes on February 10, 2025, aiming to address the contentious issue of public participation in governance.

7. Cap on data roaming charges

The East African Council of Ministers is set to deliver its decision on the proposed cap of 65 cents per megabyte for data roaming charges. The verdict, expected in May 2025, will be forwarded to the Heads of State Summit for final ratification, potentially transforming the region’s telecommunications landscape.

8. Interoperable payment system

The Central Bank of Kenya (CBK) has signalled plans to establish an interoperable payment system to integrate all payment platforms. As this conversation gains momentum in 2025, it could redefine digital financial transactions and foster greater efficiency in the financial ecosystem.

9. Kenya-US relations

With Donald Trump’s return to the White House, Kenya’s diplomatic and trade dynamics with the US are set for recalibration. Key issues to watch out for in this regard include the expiration of AGOA, the rollout of the Strategic Trade and Investment Partnership (STIP), and the appointment of a new US Ambassador following Meg Whitman’s departure. These developments will be critical in shaping Kenya’s international trade and investment policies.

10. Cloud first policy

Kenya may follow South Africa’s lead in developing a regulatory framework for cloud services. Ongoing discussions, led by the Ministry of ICT and key stakeholders, signal that 2025 could be the year these regulations come to fruition. The policy will likely focus on fostering cloud adoption, ensuring data security, and aligning with global standards.

11. Sustainable waste management EPR regulations

The National Environment Management Authority (NEMA) is intensifying its focus on environmental conservation with the publication of the Sustainable Waste Management (Extended Producer Responsibility) Regulations, 2024. These regulations place the onus on producers to manage the lifecycle of their products, emphasising recycling and waste reduction. Their implementation in 2025 will be a pivotal moment for Kenya’s environmental policy.

In conclusion, 2025 promises a dynamic year for Kenya’s policy and regulatory landscape, with significant shifts across political, economic, and technological domains. These developments will require strategic navigation by policymakers, businesses, and citizens alike.