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Kenya Suspends $170 Million Contract Awarded to Safaricom

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A multi million dollar contract that was awarded to Kenya's Safaricom by the government has been suspended by the Parliament.

There had been concerns that the contract which is worth USD170 million for the supply of a national security communications network, should not be awarded to a private company.

The contract requires Safaricom to install hundreds of CCTV cameras with facial recognition software, create a national command and control centre and link nearly 200 police stations.

The National Assembly's Committee on Administration and National Security ordered the suspension of the contract after a three-hour meeting with senior government officials.

After the meeting, committee chairman Asman Kamama said "we are still not satisfied to give the project a clean bill of health,"

Due to the nature of the contract, the procurement was carried out under restricted tendering, which also raised concerns about the openness of the contract.

The mobile network itself said that it welcomed the suspension of the contract and would cooperate with the investigation so as to assuage the concerns.

The company's CEO is due to appear before the Parliamentary committee investigating the tender process.

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Tags: safaricom  Kenya