President William Ruto spotlighted the Creative Economy Bill 2026 as a cornerstone of national development during his historic speech as the first head of state to address Nairobi’s members of the county assembly since the 2010 constitution was promulgated.
"As Nairobi rises, so too must its identity as the creative and cultural habitat of this region," Dr Ruto said on April 9.
"That is why we are advancing the Creative Economy Bill 2026 and putting in place an incentive framework to make Nairobi the sub-Saharan capital of film and content creation."
President William Ruto during his address at the Nairobi County Assembly.
Photo credit: Wilfred Nyangaresi| Nation Media Group
The Creative Economy Bill is proposed to replace outdated laws by establishing a unified framework for innovation, talent development, and entrepreneurship across the visual, performing, literary, and audio-visual arts.
Central to this initiative is the creation of the Kenya Audio-Visual and Cinema Commission to promote the industry, and the Kenya Audio-Visual Regulatory Authority to oversee content classification and licensing.
Furthermore, the Bill introduces the Kenya School of Film and Creative Arts to formalise training and establishes a Creative Industry Development Fund to provide financial support.
By integrating creative products into capital markets and educational curricula, the legislation aims to position the sector as a primary driver of national economic growth.
However, the Bill introduces significant powers of State intervention.
Section 26(2)(e)(iv) empowers the Kenya Audio-Visual Regulatory Authority to issue takedown orders. This authority to forcibly remove audio-visual works—including film, television, animation, gaming, and new media like extended reality (XR), applies to content deemed unclassified, prohibited, or in contravention of any law.
While an appeals process exists through the Communications and Multimedia Appeals Tribunal, the scope for abuse remains a concern. Takedown orders are part of a broader range of administrative penalties, including monetary fines, the suspension or revocation of licenses, and the total closure of non-compliant entities.
The provision allowing for the restriction of content based on "cultural considerations" and "public interest" under Section 25(b) has been criticised for its vagueness.
Furthermore, the Bill includes removal clauses for leadership within creative institutions. Board members and executives can be removed for "gross misconduct" or "incompetence"—terms that critics fear could be used to purge leadership for political reasons.
Practitioners are also not protected from repealed laws once the new Bill is adopted. Section 44(4) states that the revocation of a license under the new Act does not indemnify a person from liabilities incurred under the now-repealed Films and Stage Plays Act.
This is reinforced by Section 43(3), which provides for legal continuity by stipulating that any act done under previous legislation is deemed to have been done under the new Act.
Creatives must also pay for mandatory licenses for almost all activities, including production, distribution, exhibition, and operating streaming services. The definition of "streaming" remains loosely defined in the Bill.
Despite the industry’s reliance on copyright, Section 5(2) explicitly states: "This Act shall not apply to aspects relating to intellectual property rights." By excluding IP rights, the Bill creates a regulatory framework for distribution without addressing the underlying ownership or protection of those works, which remains under the jurisdiction of the Copyright Act.
Under Section 38, the Cabinet Secretary is mandated to maintain a register of individual creatives, groups, and associations. While designed as a formal record, the requirement for prescribed payments for official searches introduces an administrative cost for those seeking to verify practitioners. The power to set these fees is delegated entirely to the Cabinet Secretary.
Despite these hurdles, the Bill offers potential benefits. It mandates a framework for creative products to be traded in capital markets, potentially turning art into a formal investment asset. It also proposes State-mandated digital infrastructure, including internet connectivity and cloud services, to lower costs for creators.
Other incentives include a Creative Voucher System for training and equipment, and the Recognition of Prior Learning (RPL) for veterans. The Kenya School of Film and Creative Arts will be tasked with certifying the skills of self-taught practitioners, allowing them to gain formal qualifications.
Finally, the Bill recognises a modernised industry scope, including high-growth sectors such as gaming, animation, and augmented reality (AR), while separating the promotion of the industry from its regulation.
