This archive report was first published on 27 July 2019.
Government officials have stated that they will not interfere with Safaricom's process of searching for a new CEO after the death of Bob Collymore. ICT Cabinet Secretary Joe Mucheru emphasized that the telco is capable of picking its own management team.
Speaking on Friday, Mucheru stated, 'They are in the process of doing so and we are confident that the board will do this.'
Notably, Mucheru had previously expressed a desire for a Kenyan to fill the vacant CEO post, stating on July 3, 'I don't think the government position has changed, we would still love to see a Kenyan. However like any other company, they (Safaricom) have a choice as to who they want to be their CEO.'
At present, former Safaricom CEO Michael Joseph is heading the telco on an interim basis. Joseph revealed in a past interview that he was picked because senior officials at the company are not ready to fill Collymore's shoes.
Joseph also intimated that the search for Collymore's successor began 18 months ago but stalled due to demands and pressure from various corners.
Regarding the possibility of Safaricom being split into different entities due to its dominance in the market, Mucheru stated that the government will not oblige, citing concerns that this could drive away prospective investors from the Kenyan market.
According to Mucheru, 'The government will not split Safaricom; if they decide to do it that's up to them but we will not force them or impose regulations that will force the company to split.'
He further emphasized that Safaricom's share in voice revenues has been declining and they need other revenue streams to allow for innovation and expansion of the company.
As reported in the latest CA quarterly report, Safaricom still leads the pack in terms of market share, although its edge dropped to 62.4 percent from 63.3 percent recorded in the preceding quarter.
