Privatization is most likely to be successful with active political leadership and initiative. These factors are apparent in the privatization of Kenya Airways. The Kenyan government issued a policy statement that outlined the importance attached to privatization. Philip Ndegwa, the newly appointed Chairman of Kenya Airways, clearly and publicly stated his support for privatization of Kenya Airways. A special committee, made up of key government and airline officials, was dedicated solely to the task of ensuring that the privatization was carried out effectively and in the best interests of the Kenyan public. Relevant facts and objective, independent analyses of the policy issues relating to the privatization were presented to the highest levels of authority. These actions made clear the government's commitment to privatizing Kenya Airways and to carrying out the privatization in a way consistent with the general public interest.
Providing accurate and detailed information about the enterprise and the privatization process lessens opportunities for corruption, builds investor confidence, and helps to build clear, shared understandings about the nature of the transaction. As part of the effort to attract a strategic investor, the IFC prepared, on behalf of Kenya Airways, a detailed Information Memorandum. A strategic industry investor is, by definition, an investor expected to play an active role in providing operating expertise and technology to its partner. Providing detailed information about the enterprise's operation provides a clear signal that the enterprise is prepared to work closely with a strategic investor. Bids from potential strategic investors were scored according to an explicitly stated, quantitative method. This method helped to focus policy makers attention on the characteristics sought in a strategic investor and provided a disciplined way to evaluate bids. When shares were offered to the general public, a detailed Prospectus, readable and understandable to the average citizen, was made widely and publicly available. The Prospectus included detailed balance sheet and income statements, as well as an independent accountant's report. Providing such information emphasizes the importance attached to potential shareholders making an informed investment choice and subsequently bearing the risks and potential rewards of that choice.