Nairobi, April 19 : Thousands of Kenyans are bracing for job losses as 62 companies officially shut down, with others warning of imminent closures within the next few months.
This wave of shutdowns has already led to widespread layoffs across sectors such as manufacturing, retail, ICT, and other service industries, compounding the country’s high unemployment challenges.
The Registrar of Companies, in a gazette notice dated Thursday, April 17, announced the dissolution of at least 62 companies.
The majority of the dissolved companies were involved in financial services, real estate, construction and land investments, with others operating in agribusiness, pharmaceutical, education, consultancy and transportation sectors.
Deputy Registrar of Companies Hiram Gachugi announced that the companies ceased to operate in the country effective April 8.
“Pursuant to section 897 (4) of the Companies Act, it is notified for general information that the undermentioned companies are dissolved,” read the notice in part.
Some of the entities, firms and Companies dissolved include:
Model Pharmaceuticals Plc, Neel Suppliers Limited, New Solta Company Limited, Paza One Management Limited, Posiflex Academy Limited, Ovaji Management Limited.
Agate Investment Company Limited, Agroflow Equipment Limited, Almashjary Company Limited, Anselm Design Limited, Ardhi Yetu Limited, Arkshyne Limited.
Esled Consulting Limited, Forwon Company Limited, Global Property Partners Limited, Grow with Hope Foundation, Hoffman & Company Limited.
Asmasunil Limited, Attitude Homes Limited, Azelia Investments Limited, Bihaab Limited, Equatorial Drilling and Mining Supply Limited.
Jinan Contractors Limited, Joyrry Kiota Kibichi Enterprise Limited, Juvanda Company Limited, Kitracont Limited, and Locabs and Services Company Limited.
Mambo Lucky Company Limited, Mara Vista Real Estate Limited, Hoinco Limited, Matrix Agribusiness Development Centre Limited, Huduma Masters Limited, and Mawqif Consultancy Limited were also listed.
Sky Mamba Investments Limited, Transways Investments Limited, Rareh Matiri Hydro Power Limited Treasure Ireland Limited, and Ucmas Nakuru Limited.
Additional firms include Montessori Plus Centre Limited, Dorisun Company Limited, Obest (Kenya) Company Limited, Ewas Scrap Metal Dealers Limited, and Northways Shuttle Limited.
Also appearing on the list are, Prime Ridge Resort and Investment Limited, Rahman Commodities Company Limited, alongside, Robkor Limited, Scala Systems Limited, Shofor Limited, and Sky Horse Company Limited.
The dissolution also extended to Waterman Creme Limited, Xin Da Import and Export International Trade Company Limited, Ymm Freight Limited, Yovgiev Group Limited, Zambeco Kenya Trading Limited, and Zapi Capital Limited.
At the same time, the Registrar of Companies issued a 90-day ultimatum to 133 other companies, warning that they risk dissolution if they fail to comply with regulatory requirements.
" Pursuant to section 894 (3) of the Companies Act, it is notified that the expiration of three (3) months from the date of this Gazette, the names of the under-mentioned companies shall unless a cause is shown to the contrary be struck off the register of companies and the company shall be dissolved,” Gachugi warned.
According to Section 894 of the Companies Act, if the Registrar believes a firm is not operational, they may send an inquiry letter. If no response is received within the stipulated period, the company faces deregistration after a three-month notice in the Kenya Gazette.
Additionally, companies can apply for voluntary deregistration, provided the request is submitted by their directors or a majority of them in accordance with regulations.
These mass closures and layoffs underscore the tough business environment in Kenya. The Federation of Kenya Employers (FKE) reported that the formal private sector shed 70,000 jobs between October 2022 and November 2023. FKE attributed these losses to high interest rates, unpredictable market conditions, and frequent changes in government policies and regulations.
