KRA Exceeded Revenue Collection Target In 2020 To Collect Sh1.67trn. It Has Collected Sh10.8trn In 8 Years

NAIROBI, Kenya, Nov 30- President Uhuru Kenyatta says the Kenya Revenue Authority (KRA) has for the first time in 8 years, exceeded its revenue collection.

This is despite the COVID-19 pandemic that strained the economy, at a period when it was already on its knees.

The first case of COVID-19 disease was reported in Kenya in March 2020, leading to the adoption of stringent protective measures that included dawn to dusk curfew.

As a result, millions lost their jobs instantly while others had to survive with a reduced salary.

But is amidst all this, that the President said KRA exceeded its target. In the second quarter of 2021, Kenya’s real GDP grew by 10.1pc, “the first such growth in the history of our economy.”

“For the first time in 8 years, KRA has exceeded its revenue collection target despite the COVID stress on the economy,” the President said during his State of the Nation address on Tuesday, at a bicameral sitting of Parliament.

“The KRA projected an Sh1.52 Trillion collection in tax during 2020 they collected Sh1.67 Trillion, which was in excess of their projected intention.”

“But on this note, I must also report on the sterling performance of KRA, not only under the COVID duress but in the last 8 years of My Administration.”

In the last 8 years, the President said KRA has collected Sh10.8 trillion cumulatively in revenue.

“This means that in just 8 years, KRA has collected the equivalent of Kenya’s total GDP. It also means that on average KRA collected Sh1.3 Trillion every year,” he said.

The notable contributors to this growth, the President said include the ICT sector, which grew by a significant 25.1pc in the second quarter of 2021.

“In fact, the ICT sector is, projected to become a prime mover of our economic growth in years to come,” he said.

The President also highlighted a myriad of measures adopted by his government, to cushion Kenyans and more so those in the Micro, Small, and Medium Enterprises.

“As an affirmation that our reforms on ease of doing business are bearing dividends, just last week we scored a global first. The President of the European Investment Bank was in the country to witness the official opening of the European Investment Bank FIRST regional hub outside of the European Union,” the President said.

“The Nairobi regional hub will cover eleven countries in Eastern and Central Africa and will act as a pilot for setting up of other EIB regional hubs into the future. This speaks to My Administration’s agenda to position Nairobi as an International Financial Centre.”