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Kenya can avoid foreign loans if rich individuals, corporates remit taxes honestly – report shows ▷ Kenya News




– Jesuit report shows glaring inequality in sharing tax burden, with the poor bearing much of the weight

-It says most wealthy entities have hired well-paid tax lawyers, consultants and auditors to help them evade taxation

.- Report confirmed KRA boss’ remarks that there is enough money locally that Kenya does not need to borrow loans

.- KRA has in recent days intensified crackdowns on billionaire tax cheats as it seeks to ensure fairness in taxation

Kenya could do without development aid if all wealthy individuals and major corporates were to remit their taxes to the government the same way ordinary citizens and small businesses do, a report has shown.

The report, dubbed Tax Justice & Poverty, corroborates recent remarks by Kenya Revenue Authority (KRA) Commissioner General Githii Mburu that there is enough money in the local economy that the country does not need to borrow loans.

READ ALSO: Moses Kuria demands Kipchumba Murkomen’s resignation for criticising Uhuru

Kenya can avoid foreign loans if rich individuals, corporates remit taxes honestly - report shows

Building housing offices in Nairobi. Photo: Nation
Source: UGC

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The study, jointly conducted by the Jesuit missions in Kenya, Zambia and Germany, highlights massive inequality in the sharing of the country’s tax burden, showing how the poor continue to sustain the economy while corporate and private wealth holders continue to under declare their income and dodge taxation in the process.

“While there is transparency regarding earnings from dependent labour, e.g. via PAYE mechanisms, comparable transparency does not exist regarding the income of wealthy people which arises from different sources such as labour, capital, rent, dividends of business ownership etc,” the report states.

“As a consequence, a (relatively) higher tax burden rests on small and medium businesses and small and medium income holders, even upon poor people who cannot avoid paying VAT,” it adds.

READ ALSO: Kenyan spoken word artiste wins Oscar of African Creativity Award 2019

On top of lack of transparency regarding holders of private and corporate wealth, the study paints a picture of a well-oiled scheme put in place to avert detection.

“There is – secondly – an overwhelming comparative tax knowledge of highly paid specialists,namely tax lawyers, tax consultants and tax auditors engaged by and working for private and corporate wealth holders, which is compounded by chronic understaffing and lack of requisite equipment and militates against efficient and effective collection of tax revenues,” it reads in part.


The reality of growing tax evasion, the report states, is reflected in the low number of taxpayers officially in the millionaire bracket compared to the extremely high number of known dollar millionaires in the country and the moderate pace at which the national economy has been growing.

“After our research it is obvious that Kenya could do without development aid if they were able to tax justly and fairly that which is produced and owned in their own countries,” the report states.

To achieve this, it recommends that tax administration in the country needs to be strengthened and legal options available to tax officials improved.

Even more importantly, it says Kenya would need assistance from developed countries, for example, by receiving data regarding non-taxed assets hidden by private and corporate wealth holders.

“This would curb illicit financial flows leaving African states for developed countries; it would reduce corruption, since there would no longer be places to hide those assets,” the report reads.

This, it notes, would at the same time assist African states to gain financial independence, somany years after having obtained political independence, as was summed up by former KRA boss Michael Waweru with the famous slogan that “Kulipa ushuru ni kulinda uhuru” (to pay taxes is to safeguard independence).

KRA has in recent days intensified crackdowns on billionaire tax cheats as it seeks to ensure fairness in taxation

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Kind man offers to help single fathers with Christmas goodies for kids ▷ Kenya News




– A man has offered to help single dads around Durban, South Africa this Christmas

– Sihle Mazibuko posted on his twitter handle asking fathers who were unable to buy their children gifts to DM him

– Sihle said his aim was to put a smile on these children’s face

A man has become an online sensation after he reached out to single fathers who couldn’t afford to buy Christmas gifts for their children and offered to pay for them himself.

Sihle Mazibuko had earlier posted on his tweeter handle calling out single dads who were low on cash but wanted to spoil their kids so as to put a smile on their faces.

READ ALSO: Mike Sonko summoned in Voi court on Wednesday for assaulting senior police officer

READ ALSO: Senator Moses Kajwang wants Murkomen, Kilonzo Jnr barred from representing Sonko in graft case

His tweet went viral with the majority of the users praising him for his kind act.

Twitter user Tsholo94 said:

“This is so sweet!”

JablileAzande said:

“Act of kindness, may God bless you”

DragonLady_SA said:

“You are so kind. God bless you”

KakazaNomfundo said:

“You will be blessed hundred fold for your good deeds!”

Laboentsa said:

“Good South Africa needs people like you”

READ ALSO: Baringo: 2 dead, 15 hospitalised after eating githeri

In Kenya, Nyali MP Mohammed Ali alias Moha Jicho Pevu kicked off the Christmas mood with gifts for police officers in his constituency.

The outspoken politician took to his social media where he shared photos gifting the officers with the animals as well as KSh 100,000 in appreciation for their dedication to service delivery.


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AfDB Commits €345 Million to Kenya and Tanzania




Kenya and Tanzania will benefit from African Development Bank (AfDB) €345 million financing package for road construction support representing 78.5% of the total €399.7 million project cost.

Furthermore, AfDB says that the projects will touch over three million citizens in Tanzania and Kenya.

In Kenya, the bank supports Mombasa-Lunga Lunga/Horohoro road with the European Union (EU) contributing a grant of €30 million, 7.7% of the total project cost to GoK.

On the other hand, the funds will fund phase I of the Tanga-Pangani-Bagamoyo road in Tanzania.

This first phase involves the construction of 175 km of road sections:  the 121 km Mkanga-Pangani road section in Tanzania and the 54 km Mombasa-Kilifi road section in Kenya.


Furthermore, the project will also link the ports of Dar es Salaam, Tanga and Mombasa, and stimulate the blue economy in coastal areas.

East African transport corridors network, connecting Kenya and Tanzania will benefit producers, manufacturers and traders, farmers and fishermen with improved access to local and regional markets.

Moreover, there are spillover benefits for landlocked countries Democratic Republic of the Congo, Burundi, Rwanda, Uganda and South Sudan that depend on Mombasa as gateway to global markets.

The road crosses regions with high rates of youth unemployment. In light of this, the project includes a vocational training component for 500 unemployed youth (half of them women) to acquire marketable skill and improve their economic prospects.


37 African Countries to Benefit from ADF’s $7.6 Billion Fund

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Garissa 50 MW Solar Plant Connected to National Grid –




The President presided over the commissioning of the Garissa 50 MW Solar farm constructed at a cost of KSh13 billion.

According to Xinhua, China Jiangxi Corporation for International Economic and Technical Co-operation (CJIC) designed and built the plant in conjunction with the Kenya Rural Electrification Authority (REA).

Read Also: Kenya ranked third in renewable energy capital investments


The solar farm is the largest in East and Central Africa placing Kenya as a leader in renewable energy.

Speaking at the commissioning ceremony, President Kenyatta said that the solar farm indicates broader strategy to harness 400MW from the vast solar resource.

Moreover, President Uhuru opines that Garissa town and its environs will have a stable power connection.


Africa’s First Hybrid Renewable Energy System established in Meru

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