The Kenyan government has issued new directives to manage the ongoing reforms affecting state corporations, which involve mergers, dissolutions, and restructuring. In a May 16, 2025, letter to the Attorney General and all Cabinet Secretaries, Chief of Staff and Head of Public Service Felix Koskei outlined the measures being taken to support the implementation of these reforms. The letter introduced a Cabinet-approved moratorium, which prohibits any changes to staff organization, salary structures, or the rollout of new capital projects in affected state corporations. It also halted the recruitment or contract renewal of Chief Executive Officers and officers serving under contract terms once their tenure ends. “All ongoing recruitment processes in any cadre are to be halted immediately,” Koskei stated. “Any implementation or approval of new human resource policies, personal emoluments and benefits, staff reorganization, or capital projects is hereby suspended.” The reforms will result in a total of 42 state corporations being merged into 20 entities, 25 corporations being dissolved, and six corporations undergoing restructuring to align their mandates with performance expectations. Four public funds and 13 professional bodies currently designated as state corporations will also be declassified. Some of the state corporations that have been merged include the University Fund, which has been integrated with the Higher Education Loans Board, and the Kenya Tourism Board, which has been merged with the Tourism Research Institute. In the agriculture and natural resources sectors, the Agricultural Finance Corporation has merged with the Commodities Fund, and the Kenya Forest Service and Kenya Water Towers Agency are now operating as a single entity. In the legal and infrastructural sectors, the Kenya Law Reform Commission and National Council for Law Reporting have been merged, and the Kenya Rural Roads Authority and Kenya Urban Roads Authority have been merged to streamline road infrastructure management. The Tourism Promotion Fund and Tourism Fund are now a single entity, and the Kenya National Trading Corporation has merged with the National Cereals and Produce Board to improve food distribution and national grain reserves. Several agencies have been dissolved, and their functions transferred back to the relevant ministries, including the Kenya Tsetse Fly and Trypanosomiasis Eradication Council, Kenya Fish Marketing Authority, and CEMASTEA. Other entities dissolved are the President’s Award – Kenya, Nuclear Power and Energy Agency, Kenya National Commission for UNESCO, Kenya Film Classification Board, National Council for Nomadic Education in Kenya (NACONEK), and LAPSSET Corridor Development Authority.