Sharp Daily
No Result
View All Result
Wednesday, July 30, 2025
  • Home
  • News
    • Politics
  • Business
    • Banking
  • Investments
  • Technology
  • Startups
  • Real Estate
  • Features
  • Appointments
  • About Us
    • Meet The Team
Sharp Daily
  • Home
  • News
    • Politics
  • Business
    • Banking
  • Investments
  • Technology
  • Startups
  • Real Estate
  • Features
  • Appointments
  • About Us
    • Meet The Team
No Result
View All Result
Sharp Daily
No Result
View All Result
Home News

KAM raises alarm on regulatory challenges and dollar scarcity in Kenyan industries

Editor SharpDaily by Editor SharpDaily
November 10, 2023
in News
Reading Time: 2 mins read

The Kenya Association of Manufacturers (KAM) has highlighted critical concerns affecting the manufacturing sector during discussions with a visiting team from the International Monetary Fund (IMF). Primary issues raised by KAM include delays in Value Added Tax (VAT) refunds, taxation challenges, regulatory burdens on manufacturers, and a shortage of US dollars in the market.

One significant focal point emphasized by KAM is the extended delay in the remittance of VAT refunds. The lobby group emphasized that such delays have a cascading effect on the manufacturing industry, particularly impeding the timely procurement of raw materials for processing.

The industry’s dependence on these raw materials and intermediate goods, coupled with a shortage of US dollars, disrupts production schedules and presents challenges for manufacturers.

In a released statement, KAM outlined how the fluctuation in the availability of the US dollar directly impacts manufacturers’ ability to promptly meet import payment obligations. This situation not only affects the procurement of essential raw materials but also hampers the overall production efficiency of the sector.

RELATEDPOSTS

International Monetary Fund

How Kenya’s move away from IMF Loans could reshape its economic future

May 26, 2025

Kenya seeks new IMF loan as debt pressure mounts

March 18, 2025

These concerns arise as the Kenya Revenue Authority (KRA) prepares to implement regulations mandating all business operators to issue electronic tax invoices. Failure to comply with this requirement could result in penalties twice the tax due. The move is part of KRA’s efforts to enhance visibility into stock movements, allowing for cross-checking with presented receipts.

KRA’s notice specifies that all businesses, regardless of VAT registration status, must electronically generate and transmit their tax invoices to the electronic Tax Invoice Management System (eTIMS). Additionally, the Authority warns that any business expenditure lacking support from an electronic invoice after January 1, 2024, will not be deductible for tax purposes.

The articulation of these industry concerns to the IMF team sheds light on the intricate challenges faced by the manufacturing sector in Kenya. The shortage of US dollars and delays in VAT refunds present immediate hurdles requiring concerted efforts from both industry stakeholders and regulatory bodies to ensure the resilience and growth of the manufacturing landscape in the country. As these issues gain attention, collaboration and strategic solutions will be crucial to fostering a more conducive environment for Kenya’s manufacturers.

Previous Post

Kenya plans partial early Eurobond repayment to reassure markets

Next Post

President Ruto pushes for asset financing integration in Hustler Fund expansion

Editor SharpDaily

Editor SharpDaily

The latest in business, real estate, education, investments, tech and entrepreneurship, brought to you daily. Reach us through thesharpdaily@gmail.com

Related Posts

commercial illustrator
News

Why Kenyan private equity firms should consider continuation funds as an exit strategy

July 23, 2025
Business

Del Monte foods files for bankruptcy in USA

July 3, 2025
News

Private vs Public Pension Funds in Kenya

June 30, 2025
Investments

Investor shift to long term bonds drives oversubscription in CBK’s reopened auction

June 19, 2025
News

The real price of Israel – Iran Conflict for Kenya.

June 19, 2025
Economy

Resilient but strained: Kenyan firms speak out in May 2025 CEO survey.

June 19, 2025

LATEST STORIES

Shri Krishana Overseas lists on NSE

July 25, 2025

Why young professionals should care about pensions

July 23, 2025

How Kenya can reinforce fiscal rules to prevent recurrent budget overruns

July 23, 2025
commercial illustrator

Why Kenyan private equity firms should consider continuation funds as an exit strategy

July 23, 2025

Transferring Your Retirement Benefits Between Pension Schemes in Kenya

July 23, 2025

Invest in stability: introducing the Cytonn USD money market fund

July 18, 2025

The Importance of Asset Diversification on Kenyan Pension Funds

July 18, 2025

Park your money where it grows: Why more Kenyans are turning to Cytonn Money Market Fund

July 16, 2025
  • About Us
  • Meet The Team
  • Careers
  • Privacy Policy
  • Terms and Conditions
Email us: editor@thesharpdaily.com

Sharp Daily © 2024

No Result
View All Result
  • Home
  • News
    • Politics
  • Business
    • Banking
  • Investments
  • Technology
  • Startups
  • Real Estate
  • Features
  • Appointments
  • About Us
    • Meet The Team

Sharp Daily © 2024