The Kenya Revenue Authority (KRA) has hit the one trillion mark after collecting Ksh 1.030 trillion as of December 8, 2023.
In a statement, KRA noted that it has maintained an upward trajectory in revenue collection, after recording a 15.8% growth in November. This is after it collected Ksh 180.714 billion up from Ksh 156.095 billion collected in November 2022.
The authority also added that,
“Revenue collection has progressively increased in the last 5 months (July to November 2023/2024) after KRA collected Ksh 963.756 billion compared to Ksh 856.646 billion collected in the same period last financial year, representing a growth of 12.5%.”
This comes as President Ruto in his Jamhuri Day speech said that revenue collection in the country has improved following the digitization of the process through the e-citizen platform.
Key economic indicators affecting revenue collection
Despite the improvement in revenue collection, KRA says it has been affected by several key economic indicators such as the depreciation of the Kenyan shilling against the US dollar.
The authority added that the increasing price of key products like oil has also driven down import demand.
It also cited that,
“Revenue performance was also affected by low domestic demand as indicated by the slowed Purchasing Managers Index (PMI) that averaged at 47.18 points in July to November 2023 down from 48.66 points in July to November 2022.”
KRA targets to collect Ksh 2.787 trillion by the end of the 2023/2024 financial year to enable the government to sustain the country’s economy.
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