The Kenya Revenue Authority (KRA) faces a significant challenge in meeting its tax collection target for the current financial year, falling short by an anticipated Sh330 billion, as revealed by the Parliamentary Budget Office (PBO). Despite efforts, KRA’s collections have only reached 55 percent of the targeted Sh2.49 trillion since July last year, leaving a […]

In a significant development, Kenya’s sugar imports reached a seven-month low in February, marking a notable shift towards increased domestic production. According to the Sugar Directorate, only 42,381 tonnes of sugar were imported last month, a sharp drop from previous figures. This decline coincides with the resurgence of local production as factories resumed operations following […]

In a move to support affordable housing initiatives, the Kenya Revenue Authority (KRA) has initiated the deduction of the affordable housing levy (AHL) from March payslips, effective March 19, 2024. Under the new directive, all employers are mandated to deduct the AHL from employees’ gross salaries and contribute 1.5 percent of the employee’s gross monthly […]

The National Treasury of Kenya has disclosed that the government allocated Sh560 billion towards debt servicing in the first two months of the year. This expenditure is part of the broader effort to repay over Sh700 billion within the next four months, leading up to June. Data from the National Treasury reveals that between January […]

Kenya’s maize production is on the rise, thanks to favorable weather conditions. The latest assessment by the Kenya Food Security Steering Group (KFSSG) and the Ministry of Agriculture forecasts a maize yield of 4.2 million tonnes for 2024, marking a significant increase of 15-20 percent compared to the five-year average. The improved production is a […]

Kenyan Members of Parliament (MPs) led by Mbeere North MP Geoffrey Ruku are calling for a government-to-government (G-to-G) procurement model for fertilizers to address rising costs and ensure food security. The motion, currently pending in the National Assembly, aims to secure quality fertilizers at subsidized rates from surplus-producing countries. Mr. Ruku emphasized the need to […]

Recent data from the Central Bank of Kenya (CBK) underscores a notable increase in remittance inflows from Kenyans living abroad, reaching a record high of Sh52 billion last month. This represents a substantial 24.8% surge compared to the same period in the previous year, reflecting the resilience and commitment of the Kenyan diaspora amidst global […]

The Energy and Petroleum Regulatory Authority (EPRA) has announced a significant reduction in fuel prices for March-April, offering relief to both motorists and households. Effective immediately, Super Petrol prices will decrease by KSh 7.21 per litre, while Diesel and Kerosene will see cuts of KSh 5.09 and KSh 4.49 per litre respectively. This adjustment comes […]

The Kenyan Treasury is contemplating the introduction of a 16 percent value-added tax (VAT) on milk and bread to address concerns regarding tax disparities. Treasury Cabinet Secretary Njuguna Ndung’u highlighted the necessity of this move to realign tax policies, ensuring equitable distribution of benefits across income groups. Government studies reveal that the current zero-rated VAT […]

Kenya’s recent inclusion in the Financial Action Task Force (FATF) ‘grey list’ has raised concerns among local banks, highlighting potential hurdles in compliance and international transactions. Moody’s, a leading ratings agency, warns of increased costs for Kenyan banks due to heightened scrutiny and potential loss of correspondent relationships. Notably, KCB Bank Kenya, Equity Bank (Kenya) […]