To be rich, become an entrepreneur or politician

By XN IRAKI

KENYA: Every year, we get a list of the world’s richest people from Forbes magazine. Rarely have politicians dominated the list. This is not surprising.

Though widely seen as an avenue to making money in Africa, politics is a potholed road littered with the wreckage of men and women thought of as great but who, in reality, are shadows.

The list is usually dominated by people who went against the grain (ever tried planing a piece of wood from the wrong direction?). They are usually innovators who gave us new products and services that we pay a premium for.

Innovation

Who would have thought that one day we would pay for services and goods using M-Pesa? Or withdraw money through walls from ATMs? Who knew that one day we would take photos and view them instantly rather than wait for the cameraman at Christmas? Or that writing letters would cease…?

Those who are not innovators have exploited Mother Earth through mining and other transformations.

Why, then, do we see politics as the best avenue to riches?

It is about history. The first rich people most Africans saw were politicians, or their representatives such as the DCs.

They drove the first cars – though owned by the Government. What was never explained is that the loads of money the Government seemed to own was as a result of pooling.

Politicians have historically exploited this pool through awards of tenders and contracts. You think politicians fight for power because they love you so much?

In Kenya, the situation is exacerbated by the fact that the Government is the biggest resource, not oil or a dominating industry like software or pharmaceuticals like in India. It is also the biggest employer.

We also spawn few new ideas that can capture the imagination of entrepreneurs. Suppose we had 10 Safaricom-like firms in Kenya?

Unemployment

The other reason is unemployment. Members of county assemblies (MCAs) and MPs see their elected posts as employment, not service to the people. No wonder the proposal to increase the number of MPs and MCAs has always been popular.

MCAs, MPs and senators know that their employment may not go beyond five years. Traditionally, more 50 per cent do not return to office.

That insecurity is fuelling our representatives’ search for security. They want higher salaries, and more houses, cars, businesses and other assets by the end of five years. That is why they seek pensions and winding-up allowances.

The public is helpless; the alternative is to change the Constitution, which is not easy. By letting politicians and lawyers write the Constitution for us, we found ourselves in this rut. They took care of their own interests. 

Unlike in the private sector, efficiency is frowned upon in the public sector; it reduces money made by pseudo-entrepreneurs who only think short term.

If you made decisions too fast in committees, you reduce allowances. If a case ends too fast, lawyers make less money.

Now you can explain why progress is elusive in Africa.

What is the way out?

I think politicians should be paid based on their performance, like is done in the private sector. An independent body can evaluate this.

It seems the only option we currently have is to vote the non-performing reps out after they have eaten for five years.

Further, why not pay reps and MPs based on their education qualifications, too? Why should we pay an MP who holds a Ph.D  the same as a dropout?

Better alternative

A better alternative is to change the Constitution so that all our MPs and MCAs are volunteers.

Think of the men and women who have left a lasting legacy – from Mahatma Gandhi to Mother Teresa or the missionaries – who set up hospitals and schools. They probably would have done a worse job if they were paid.

We can also retrench our representatives and pay the few remaining ones very well .…

Finally, if our reps really want to make money, and lots of money, without the hassle of serving ungrateful wananchi (ask Amos Kimunya), why not become entrepreneurs? You will make money every minute without waiting for the end of the month.

The writer is a lecturer and MBA programme co-ordinator, University of Nairobi.