Sakaja pleads for loan relief as Matatu strike is suspended for talks

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Nairobi Governor Johnson Sakaja has urged financial institutions to grant temporary loan amnesty and flexibility to matatu operators following the two-day nationwide strike that paralysed transport services.

Speaking on Tuesday, Sakaja said the fuel-related strike had caused widespread disruption, affecting families, businesses and essential services across the country.

The governor noted that many operators were struggling under mounting economic pressure and called on lenders to ease repayment demands as negotiations continue.

His remarks came shortly after transport stakeholders agreed to suspend the strike for one week to allow high-level talks with the government.

Addressing a press conference on Tuesday, May 19, Interior Cabinet Secretary Kipchumba Murkomen said the suspension takes effect immediately and will run until Tuesday, May 26.

“Following consultations, it was agreed there was a need for negotiations at a high level within one week between now and May 26 and the strike is suspended to allow for negotiations,” said Murkomen.

Transport stakeholders confirmed they would resume operations during the negotiation period and urged operators to return to work to minimise further disruption.

“We are glad negotiations have started in earnest, and grievances have been noted by the government,” said Kushian Muchiri, chairperson of the Association of Matatu Transport Owners.

“On behalf of the association, we urge all operators to resume operations immediately to help Kenyans resume normal activities, but within seven days, we will have direction,” Muchiri added.

Federation of  Public Transport Sector chairman Edwin Mukabanah apologised to commuters affected by the strike and said discussions had intensified since Monday.

“We would like to apologise to customers inconvenienced by the strike. We have had serious conversations since yesterday, and we want to give negotiations a chance,” said Mukabanah.

He, however, warned that the strike could resume if the government fails to act within the agreed timeline.

“If this is not taken seriously within the time agreed, the strike will be back,” Mukabanah warned.

The agreement comes amid government efforts to stabilise transport costs as global fuel prices continue to rise due to geopolitical tensions.

Authorities said fuel subsidies and tax adjustments had been introduced to cushion consumers, including a Sh10 reduction in diesel prices and Sh12 billion in subsidies applied over the last two months.

Sakaja said he was ready to act as guarantor for operators servicing loans and appealed to lenders to show understanding during the crisis.

“I call on financial institutions to grant temporary amnesty and flexibility to investors in the public transport sector where many operators are struggling under the current economic pressure,” he said.

“We know people are suffering. Children have not gone to school, farm produce is stuck, the sick are stranded and businesses have been closed. I want to assure you that we have found a way forward after deliberations.”

The governor further urged lenders not to intensify loan recovery measures against operators.

“To financial institutions, we are in very extraordinary times,” Sakaja said.

While describing the fuel crisis as a global challenge, the governor cautioned against passing the burden to ordinary Kenyans.

“The crisis is global, let us not take it out on them. They are struggling, let us not auction them but let us go back to work as we negotiate so that we get a solution and address the issues at hand, as their guarantor in this negotiation,” he added.

In an earlier statement, Deputy President Kithure Kindiki warned against violence and destruction of property during protests, saying such actions threaten national stability.

“The use of violence, brazen armed robberies, arson and destruction of public and private property by criminal groups threatens our national interests and jeopardises the future of our nation,” Kindiki said.