The Kenyan government has reversed its 30% shareholding rule for foreign companies operating in the country. Implemented in 2016, the rule required foreign companies to cede at least 30% of their shareholding to Kenyan citizens. Failure to comply would result in a fine. The World Bank had warned that this rule would deter international investments. However, the government has now decided to delete the equity participation subsection to attract more investments and position Kenya as a competitive digital hub. This move is believed to have been influenced by e-commerce giant Amazon, which plans to establish a presence in Nairobi. Similarly, South Africa has a similar shareholding rule for internet service providers (ISPs), requiring them to sell 30% equity to historically disadvantaged groups. Starlink, for example, has not expanded into South Africa due to this requirement. Despite opposition, the South African government has not shown willingness to reverse the rule.

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