New dawn in the offing as Western leaders strike deal to boost economy

By Stephen Makabila

Kenya: Leaders from Western Kenya moved a step closer to establishing a vehicle they will use to promote Luhya unity as well as promote the welfare of locals by setting up a micro finance community bank.

The 27 MPs who attended a meeting in Nairobi said the bank, the Mulembe Investment MicroFinance, would have a proposed initial capital base of Sh1 billion and would be used to drive the region’s economic turn-around. It will get some of its funding from counties, which are permitted to invest a maximum of Sh250 million for such ventures, and shareholders.

But although the bank was presented as a business vehicle, it emerged from the meeting that it would be used to rally together the Luhya community so that they are better able to bargain their political fortunes ahead of the 2017 General Election.

Last week’s meeting hosted by Busia Senator Amos Wako was the third in a series of conferences held to establish a community bank to be launched in a month’s time.

The bank is tailored to spur development in the region and improve the welfare of five million people of whom 60 per cent live below the poverty line even though the area has rich agricultural potential. “But beyond the economic thrust will be a spirited pull to promote Luhya unity,” said Wako.

He said because his political ambitions did not transcend beyond his Busia senatorship, he might be the best-placed and most acceptable individual to bring together other Luhya leaders in what has been an elusive quest to promote unity.

“I have been through enough as Attorney General for 20 years and now Senator. My only ambition is for Luhya unity and economic gain. We must forge ahead and bring the Luhya Nation together,” Wako added.

“If you are united and strong economically, it will not be hard to achieve national leadership. Poverty exposes us to manipulation,” he observed.

The group now wants to expand the forum’s membership by inviting other stakeholders. “The next meeting will not be a dinner for three or four hours, it will be a retreat bringing together elected leaders, former elected leaders, professionals, and businessmen,” said Wako.

Key political players behind the initiative who attended last week’s meeting included Bungoma Senator and Senate Majority Leader Moses Wetang’ula, Kakamega Senator Bonny Khalwale, the chairman of Luhya Elders Forum, nominated MP Patrick Wangamati, Funyula MP Paul Otuoma and Budalang’i MP Ababu Namwamba.

Initial plan

Others present were former Standard Chartered Bank CEO Richard Etemesi, who will provide technical advise, Emuhaya MP Wilbur Otichilo, Bungoma Governor Ken Lusaka and former minister Burudi Nabwera who represented the Luhya elder’s forum.

 Leaders from the county governments of Kakamega, Busia, Vihiga and neighbouring Trans-Nzoia will also join the group, Likuyani MP Enock Kibugunchy said.

The initial plan is to bring on board influential leaders from the region and mobilise them to generate cash for the bank. Khalwale pointed out that the law allows each county government to allocate Sh250 million for investments. But although the bank will chiefly be concerned with improving the welfare of people in Western Kenya, local leaders want to use it as a rallying centre to boost the level of voter registration.

While the region had over four million eligible voters ahead of the March 4, 2013 polls, less than half registered to vote, and this is what leaders want to address through sustained awareness campaigns ahead of 2017. Although the region’s 54 elected MPs and senators had been invited, some skipped the meeting because they had been informed it would be a forum to install Wetang’ula as overall Luhya leader.

However, Khalwale dismissed this as propaganda “That was misinformation. However, my appeal is that Wetang’ula and I are the longest serving elected leaders from Western, and we are ready to offer leadership to boost unity efforts,” said Khalwale.  There are those, however, who still see Wetang’ula as the most senior elected leader from the region by virtue of being the Senate Minority Leader and Ford-Kenya supremo.  Last week, Khalwale underscored the need to bring key political leaders from the region such as Amani leader Musalia Mudavadi and former Members of Parliament Soita Shitanda and Cyrus Jirongo, noting they may work against the initiative if not incorporated.

“We need to have them on board. For success, it has to be an all inclusive initiative,” added Khalwale.

Amani coalition leader Moses Mudavadi welcomed the proposal and said it would promote economic development. He added: “It is unfortunate that it is only the Western region that has never had a working caucus or parliamentary group in the history of various parliaments. I often marvel at the ability of other MPs to rally regional causes as a team despite political party affiliation.

Pull together

Central for instance has never had homogeneity of party representation put always pull together. My hope is this initiative will lead to a strong caucus devoid of personality and personal interests. I will encourage that,” said Mudavadi.

During the meeting, Wetang’ula proposed the inclusion of more leaders to the forum. “Each of the 18 houses of the Luhya should give us 50 names of promising businessmen, women or professionals who can be part of the initiative when we meet next,” said Wetang’ula.

In the final resolutions, the MPs agreed unanimously that all leaders should champion the formation of this community bank and ensure the Sh1 billion target is raised in 30 days. They also resolved that each of the 18 Luhya sub-tribes table names of 50 potential share holders willing to invest in the new venture, bringing the number of shareholders to 900.

Likuyani MP Dr Enock Kibunguchy raised the issue of expanding the initiative to accommodate non-Luhyas, since Western was not homogenous.