Businesses lost more than Sh120m during CORD demos, report says
Many businesses in Nairobi remained closed during the anti-IEBC protests earlier this year. PHOTO | DIANA NGILA
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A report by KEPSA has also cautioned that foreign investors could reconsider owing to political volatility.
It also observed that the protests could lead to a fall in rental income for landlords in the CBD as demand for space would dip.
The business community has called for greater engagement between political leaders to stem losses attributed to anti-IEBC demos, saying that they dented Nairobi's reputation globally and made investors nervous.
A report by the Kenya Private Sector Alliance (KEPSA) indicated that local businesses including banks, transport operators, small business owners and hawkers in the capital lost over Sh120m, cautioning that foreign investors could reconsider owing to political volatility.
KEPSA’s chief executive Caroline Kariuki observed that the protests could also lead to reduction of rental income for landlords in Nairobi’s Central Business District (CBD) as demand for space would dip.
“Falling property prices, closure of businesses, loss of investor confidence and increased destruction of business by demonstrators means Kenya’s economy will be hard hit since businesses will post lower revenues and hence lower taxes,” said the report.
CORD coalition parties have held five demonstrations which involved walking along main Nairobi streets before eventually congregating outside IEBC offices to demand its commissioners resign or be ejected from office.
The opposition leaders cited lack of confidence in their ability to conduct free and fair elections.
The report also commended media coverage of the demos for providing live updates but criticised the display of gory images of police brutality and looting, saying it created a false impression among tourists that Kenya was on fire.
“Tourists will keep away and travel advisories will follow when foreign governments see violence portrayed in our headlines. We need to explain that businesses were going on albeit some level of skirmishes rocking a section of Nairobi, not the entire city,” it said.
While the report focussed on the Nairobi CBD as a case study, businesses in Kisumu, Nakuru and Mombasa were also hit hard by the demonstrations.
In Kisumu, protesters attacked Naivas and Tumaini supermarkets and looted them.
