Home Business Private sector firms promoting ethical business practices hit 840

Private sector firms promoting ethical business practices hit 840

0
PHOTO | Courtesy

At least 840 private sector companies in Kenya have so far pledged to rein in corrupt practices in their operations through the Code of Ethics for Business in Kenya institutionalized more than a decade ago.

The code which was established in 2012 jointly by Global Compact Network Kenya (GCNK), Kenya Association of Manufacturers (KAM) and the Kenya Private Sector Alliance (KEPSA) is meant promote and enhance the ethics of business conduct in Kenya in line with the Ten Principles of the United Nations Global Compact on Human Rights, Labour Standards, Environment, and Anti-corruption.

Speaking during the launch of the code, GCNK Judy Njino, with the rising number of signatories from the initial 44, there is need to support companies strengthen the implementation of the Code’s principles through information, skills, knowledge, and resources available in the newly launched portal.

“Private sector corruption has a serious societal impact as it distorts markets, weakens competition, and reduces the quality of goods and services. It also deprives citizens of their capital, which is vital for economic progress, as it comes in many forms such as bribery, money laundering, procurement fraud, and collusion,” said Njino.

According to the organizations, rule has helped businesses self-regulate and provided a clean business environment in Kenya among the signatories.

Latest data from the Ethics and Anti-Corruption Commission (EACC) indicates that bribery is a dominant form of corruption with an average of Ksh 11,625 paid in form of bribes. This is mostly paid by jobseekers and those seeking tenders.

“Private sector corruption can also manifest itself in various forms such as gifts and hospitality, fees and commissions, trading of information, and misleading financial reporting,” added Judy.

GCNK says a new online platform has also been activated for firms to access information and tools to support them in their anti-corruption compliance strategies.

Website | + posts