Most real estate jobs exported, says lobby

AAK chief executive Jacob Mwangi and president Mugure Njendu. PHOTO | DIANA NGILA 

By JAMES KARIUKI
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Hiring foreign contractors to implement public and private sector jobs is denying Kenyans a chance to build fit-for-purpose developments and jobs, a professional group has said.

The group noted that local cultures and their uniqueness ought to be captured in various
developments but foreign contractors are implementing most projects and fully repatriating revenue.

“We are exporting jobs and revenues enjoyed by foreigners at the expense of Kenyan professionals and jobless Kenyans. We have the technical knowhow for handling various projects but these foreign contractors have ignored our pleas for a 30-70 percent project value allocation between local and foreign players,” said Architectural Association of Kenya (AAK) President Mugure Njendu.

She said AAK’s six-month research showed up to 85 percent of all projects under implementation favoured foreign contractors, consultants and imported machinery.

Ms Njendu urged for inclusion of locals in new projects saying Kenya is impoverishing its people by allowing foreign contractors to implement projects that can be done locally from conception to construction.

Construction Project Managers chapter chairman Douglas Ochong’ said the electricity sector is the hardest hit with up to 93 percent of project costs undertaken by foreigners with Kenyans left to carry out low-paying jobs.

AAK, said Ms Njendu had in the past engaged Transport cabinet secretary James Macharia over the issue but little has been achieved.

“Any foreign company in China is by law allowed to handle only 30 percent worth of project cost while the 70 percent is reserved for joint ventures with local companies. This boosts technology transfer that creates local capacity for various trades,” she said.