Time to regulate CSR in Kenya!

Corporate Social Responsibility(CSR) is a hot potato in the Kenyan corporate scene these days. And not without reason! With advertising regulation becoming the norm and the Kenyan public ever becoming more sensitive of their rights, the media houses have toned down their advertising content. The advertising agencies PR firms in their turn took to suggesting CSR as an opportunity for indirect marketing and building customer loyalty.

This is not to say that CSR is entirely new in Kenya.Certainly not! If CSR implies a corporate person giving back,in a manner of speaking,to its community(the employees,consumers and general public),then it is at its maturity in Kenya. Even as early as the seventies,companies were into sponsoring popular groups like football teams in order to catch on the sentiments associated with the group in luring the public to consume their product. But this was more of association marketing than CSR because all it entailed was sponsorships.

CSR in today's Kenya is  hailed aspect of the broad  corporate governance of the firms. So that,it serves it is evidence of good and responsible citizenship of the company involved.

But while it is not denied that most firms are genuine in the endeavour, there is no checks to see that the noble venture is not abused by unscrupulous corporate players and their members.  Already, there is reliable evidence that CSR is being used a way of circumventing the advertising regulations already alluded to. For instance, long advertising features of CSR projects inundated with advertisements is a constant feature. It is not suggested that this is an illegality.

The problem is that the process of undertaking CSR exists in a legal vacuum. The practioners of this laudable and potential activity may be undertaking things appropriately now,but what is the guarantee that this will last? Considering how well CSR is doing as a publicity machine, soon we will have to content with suits deriving from exercise of CSR or CSR agreements and activities gone sour. One can also say with certainty than spoilers will join the bandwagon soon.

Matters can be arrested by enactment of a regulation of corporate social responsibility practice in Kenya. It need not be a parliamentary enactment. It should also not be curtailed by being restricted to listed or major companies. Even professional companies including law firms should be encouraged to participate in CSR after all many have branded and are conforming to international practices. A CSR policy also need to be encouraged by expanding the take benefits attaching to CSR. That way,fostering development will not be a government preserve anymore.

The best regulator of CSR,it is proposed is the Minister of Finance assisted by registrar of companies.

The ball is on the government court to give back to the corporate community by way of CSR regulation. It is the least it can do!