KRA raised Nairobi’s revenue by 15 per cent, official reveals

Tuesday, December 19th, 2023 03:30 | By
KRA Commissioner Annastacia Githumba
KRA Commissioner Annastacia Githumba. PHOTO/Print

The Kenya Revenue Authority (KRA) has said it has achieved a 15 per cent increase in overall revenue during the Financial Year 2020-2021 compared to 2019-2020 while overseeing revenue collection for the Nairobi County Government.

Annastaciah Githuba, the Deputy Commissioner of the County Revenue Division revealed that during the period (FY 2020-21), KRA reported a notable upswing in Nairobi’s revenue, rising from Sh8.49 billion in FY 2019- 2020 to Sh9.76 billion in FY 2020-2021.

She said there had been a 54 per cent increase in land rates, a 35 per cent surge in plans and inspections (building permits), and a remarkable 78 per cent boost in market revenue during the same period.

“The Authority was involved in the deployment of an effective revenue collection strategies and structure and the implementation of the 2019 Valuation Roll,” Githuba told a Nairobi County Assembly ad-hoc committee on Friday.

The committee is probing the county’s revenue collection systems.

Githuba (pictured) said KRA played a pivotal role in driving the growth through various initiatives.

These included the implementation of an Integrated Revenue Management System (NRS), a review and re-engineering of county revenue administration and collection processes, and capacity-building programmes for Nairobi County Government staff involved in revenue collection.

Deed transfer

Pursuant to the Gazette Notice No.1609 of February 25, 2020, and Gazette Notice 1967 of March 6, 2020, KRA was appointed as the principal agent for the overall collection of all Nairobi County Revenue.

The authority was involved in the collection of revenue on behalf of NCCG from March 16, 2020 to September 15, 2022 as per the deed of transfer.

However, it was not a smooth ride as KRA also recorded a decrease in revenue collection in the following year 2021-2022.

Githuba attributed the decrease to the slowdown of economic activities because of the General Election.

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