Kenya: Economy Needs a Tougher Tax System

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When Kenya's government spokesman Dr. Alfred Mutua asserted that Kenya's budget is 95 per cent financed by domestic revenue and hence will not be bullied by anti aid threats; I wondered whether he was aware that the generators of the revenue were directly affected by post- election crisis.

Some companies are downsizing and those that are not are faced with a 40 - 50 per cent excess capacity. When we read of the perishing of over 1,000 Kenyans and 300,000 displaced; we ought to realize that Kenya is losing in terms of man-hours and productivity. Even in the so called peaceful zones of Kenya, traumatized workers are underperforming.

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