A proposal in the Street Vendors Bill, 2023, that seeks to impose fines of up to Sh200,000 on street traders has drawn sharp opposition from lawmakers, government officials, and market stakeholders, who argue the penalties are excessive and risk worsening the plight of thousands of Kenyans who rely on informal businesses for survival.
The Bill aims to regulate and recognise street vending activities across the country by providing a legal framework for the sector. However, during a stakeholder engagement session with the National Assembly Trade Committee on Tuesday, June 16, 2026, participants warned that punitive sanctions would undermine the very traders the law intends to protect.
Legal counsel Phillis Kamau, representing market groups from Kiambu County, defended street vendors and urged MPs to reconsider the proposed fines. She said traders have long endured harassment from county enforcement officers and warned that introducing heavy penalties would give officers more power to intimidate and victimise them.
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“Street vendors are among the most vulnerable members of society, many of whom depend on daily earnings to support their families,” she said, adding that government efforts should focus on protecting and empowering traders rather than driving them deeper into poverty.
Members of the committee echoed the concerns, with Starehe MP Amos Mwango describing the penalties as unrealistic.
“The proposed fine of Sh200,000 is too harsh for such business people. Most of their businesses are barely worth Sh10,000, and it is therefore unrealistic to impose such a fine on them,”
Starehe MP Amos Mwango
Officials from the State Department for Micro, Small and Medium Enterprises (MSMEs) and the State Department for Trade also opposed the sanctions, arguing that the fines are punitive and could negatively affect small traders already struggling under difficult economic conditions.
Meanwhile, the Kenya Union of Domestic, Hotels, Educational Institutions, Hospitals and Allied Workers (KUDHEIHA) backed the broader objectives of the Bill but called for the complete removal of the fines. The union instead proposed the introduction of administrative penalties not exceeding Sh2,000, saying such measures would be more practical and proportionate for small‑scale traders.
The committee is expected to review all stakeholder submissions, alongside public views gathered from hearings across several counties, before drafting its final report on the Bill.
By Masaki Enock
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