Nairobi. February, 17. 2023- Mareeg.com-Kotamraju Prasad- Director SESS Solution Ltd during a Public Service Governance Business conference in Nairobi. Photo: PSG
By Bernard Mulwa
A Public Service Governance lobby group has appealed to the government of Kenya for a reduction of the cost of doing business as it seeks to form a task force which will look into business establishment laws, taxation, regulation, policies, International trade agreements and public infrastructure that either facilitate or hinder the optimal cost regulation of a product from raw material to processing, value addition and distribution chain.
Ambassador Esther Waringa, President of Public Service Governance challenged the government to focus on industrialization as one of the key area which will bring employment and invest in solar power as a source of energy for manufacturing which is a key factor that determine the cost of end products like maize flour, rice, sugar, bread, cooking oil and other basic commodities. She further said, Kenya as a country must diversify its revenue collection avenues other that too much taxation on businesses.
The lobby is working with the Energy and Petroleum Regulation Authority (EPRA), Kenya Power and Lightning Company and independent Power producing agencies to facilitate reduction of petroleum levies, “the government of Kenya must also focus on trade, agriculture, industrialization and tourism as main revenue earners for Kenya other than capitalizing on taxation from the already struggling business” she said the task force is expected to work with Ministry of trade and industrialization, Ministry of Finance, Kenya Association of Manufacturers and other Semiautonomous agencies in charge of investment policy regulation in Kenya.
According to the latest World Bank annual report ratings, Kenya is ranked 56 positions among 190 economies in the ease of doing business. The ranking of Kenya improved to 56 positions in 2019 from 61 in 2018.
As a country, Kenya is lucking political will and good measures put in place. Mr. Kotamraju Prasad- Director SESS Solution said the government needs to provide Capital at a lower interest rate and introduce entrepreneur training centers. The use of Artificial Intelligence system can apply to solve problems and predict which areas will be more affected, he observed.
Startups, Technology, knowledge and sharing best practices in other parts of the world will enhance the ease of doing business in Kenya. Mr. Prasad stressed that the government needs to focus on what is most important and through the application of business technology, Kenya will be able to address the question of food security.
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