Kenya directs institutions to spend 50% of IT budgets locally

Kenya’s software developers are set to benefit from government’s order that require all public institutions to spend half of their IT budgets on the local market.
The move has been hailed by many IT analysts who say the directive will bring about vast business opportunities locally and open the sector to the global market.

“The Government being the biggest consumer of goods and services will mean that the local developers have a ready market for their products,” said Alex Gakuru, a member of Skunk works, a group of local software developers.

Gakuru was speaking to Business Daily Africa in Nairobi.
He added that the development would lead to the private and Non-governmental organisations taking the cue from the Government, and building the market.

With the growth of mobile phone industry and the increase of Internet usage in the country, the move could also spur more innovative software on mobile phone applications for education, commerce and health.

Information and Communication minister, Samuel Poghisio, told the media that the decision was aimed at boosting the local industry as well as creating job opportunities.

Poghisio asked the multinationals in ICT industry to offer special development tools, training, certification and marketing support to local software developers.

“The Government is keen on promoting local software development by encouraging a scheme to ensure that at least 50 per cent of Government software procurement is sourced from local developers,” said Poghisio.

In this year’s Budget, the Government allocated Sh700 million towards the establishment of an ICT park, which, among other things, is to host software developers.

Although the industry was previously fragmented with poor coordination, wizards were now working together seeking solutions to enterprise challenges and collaborating with policy-makers, Government agencies and trainers.

Information Permanent Secretary, Bitange Ndemo, announced that his ministry will take the lead in the initiative by acquiring some of the software from the local developers.

“We have skilled manpower that can develop software like on the management systems and these people should be given a chance to develop the small and medium-sized enterprises,” said Dr Ndemo.

By ITnewsAfrica.com Reporter