Kenyan President William Ruto has ordered a crackdown on foreign nationals operating small-scale businesses in the country, directing authorities to begin enforcement from Monday, September 7, 2026.
Ruto issued the directive on Wednesday, September 2, while addressing Micro, Small and Medium Enterprise (MSME) traders at State House in Nairobi.
The President said businesses such as hawking and small-scale retail should primarily be reserved for Kenyan citizens, arguing that foreign nationals should not compete with locals in low-capital businesses.
“From next week, all traders doing those small businesses should close them,” Ruto said.
He added that Kenya had worked to improve investor confidence and stabilise its economy, but said such efforts were intended to attract investors capable of creating jobs and expanding production, rather than foreigners entering small-scale trading.
“We have not built investor confidence for hawkers to come to Kenya,” Ruto said.
“The investor confidence we have built is for investors to come to Kenya, not hawkers and traders. People should not confuse us.”
Ruto also pointed to a Bill currently before Parliament which seeks to legally identify areas of economic activity that should be reserved for Kenyan citizens.
He directed National Assembly Majority Leader Kimani Ichung’wah and Trade Cabinet Secretary Lee Kinyanjui to accelerate the legislative process.
The President further directed the Ministry of Investments, Trade and Industry to begin enforcement against foreigners engaged in businesses considered inappropriate for non-citizens, even as the proposed legislation is being considered.
Ruto maintained that Kenya remains open to foreign investment but said foreign investors should focus on businesses that create employment, increase production and contribute more significantly to the economy.
He also urged Kenyan traders to move beyond buying and selling and explore manufacturing and other productive sectors, saying the government was working to create opportunities for local entrepreneurs.
The directive has raised questions about its potential impact on foreign nationals, including Nigerians and other Africans who operate small businesses in Kenya. However, reports indicate that the immediate focus is on small-scale activities such as hawking and small retail rather than legitimate large-scale foreign investment.
The move comes amid wider concerns about tensions involving foreign traders in parts of Africa, particularly following recent xenophobic incidents in South Africa.
