Political Interference Puts Kakamega Gold Investments at Risk

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The Kakamega gold belt is one of Kenya’s most promising mining areas. British owned Shanta Gold Kenya Limited plans to invest $208 million (Sh26.86 billion) in underground mining. The company estimates gold deposits worth $5.28 billion (Sh683.04 billion). This highlights the huge economic potential.

The Kenya Chamber of Mines (KCM) warned that political interference and local tensions could scare away investors. Kenya is actively seeking fresh capital for its mining sector.

A public forum organised by Nema turned violent last month. Residents stormed a local primary school. They accused officials of ignoring concerns over displacement and compensation. Police responded with force. Four civilians died, over 30 were injured, and 63 were arrested.

KCM chief executive Brian Simiyu, however, emphasised the importance of due process and protecting Kenya’s investment climate. “KCM remains committed to a lawful and respectful environment for all stakeholders,” he said. He confirmed that Shanta Gold is a licensed investor under the Mining Act 2016. He also recognised the role of artisanal and small-scale miners in Kakamega and Vihiga counties.

Balancing Investment and Community Interests

Political leaders from Western Kenya voiced concerns. Also, Trans Nzoia Governor George Natembeya and Kakamega Senator Boni Khalwale accused the state of allowing a foreign driven land grab. They argued that the Sh3 billion compensation package is too low compared to the gold’s value of Sh683 billion.

The government also highlighted efforts to formalise the artisanal mining sub sector. Cooperatives now register officially, improving compliance. Harry Kimtai, Principal Secretary for the State Department of Mining, said formalisation increased gold exports. “The registration of ASM cooperatives has boosted formal operations,” he said.

The Kakamega gold belt shows the balance between attracting investors and protecting communities. Kenya must maintain dialogue, ensure fair compensation, and protect stability. These steps are critical for turning gold resources into real economic benefits.

Also read about: How Cyrus Jirongo Leveraged Moi’s Era to Shape His Political Career

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