Sharp Daily
No Result
View All Result
Wednesday, July 9, 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

The Finance Bill 2023 to Push Up Unemployment

Patricia Mutua by Patricia Mutua
May 30, 2023
in News
Reading Time: 2 mins read

Unemployment rates have risen in the past few years, with 2021 recording an unemployment rate of 5.7%, up from 4.3% recorded in 2018. This has been attributed to high population growth and large numbers of the labour force who don’t have the skills employers are looking for (skill mismatch), coupled with troubled economic times. However, statistics show a decline in the unemployment rate in Q4 2022, recording a 4.9% unemployment rate, down from 5.3%, which was recorded in Q3 2022.

With the government more focused on increasing the tax base on the back of increased pressure to deliver its promises to the citizens, the tax burden in the country is bound to increase if the bill becomes law. During the public participation stage before the national assembly, the private sector, the Kenya Private Sector Alliance (KEPSA), said that Kenya is risking the loss of 100,000 jobs if the bill becomes law due to business closures. The union of manufacturers argued that Kenya was risking losing 150 bn if the bill became law. The Kenya Association of Manufacturers (KAM) describes the additional taxes as double taxation that would repel investors from Kenya as it would be an uncertain hub for business.

Read more: Impact of Finance Bill 2023 On Taxpayers

To lower the unemployment rates in the country, the government should empower the informal sector, which employs over 80% of the working population. The proposed increase in taxation for micro businesses from 1% to 3% turnover tax will be a burden, especially for those microbusinesses with gross year sales below Kshs 1,000,000, considering a decrease in the minimum group cap from the existing Kshs 1,000,000 to Kshs 500,000KES gross year sales.

RELATEDPOSTS

Balancing between inflation and unemployment

May 5, 2025
A general view shows the entrance to the Nakumatt supermarket within the Village market complex mall, in Nairobi, Kenya, November 7, 2017. Picture taken November 7, 2017. To match Insight KENYA-RETAIL/ REUTERS/Thomas Mukoya

How poor corporate governance led to Nakumatt’s collapse

February 25, 2025

Additionally, reducing the maximum cap for income tax of 30% from 50,000,000KES to 15,000,000KES for business people should be reviewed, as it would be unfavourable in the current economic situation. The government should also provide a favourable business environment for foreign investors, just as it wants to support local manufacturers.

Previous Post

The Rise Of AI: Finance Jobs Likely To Be Replaced

Next Post

KCB Group Injects an Additional SH1.2 Billion in its Ugandan Unit

Patricia Mutua

Patricia Mutua

Related Posts

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
News

Co-op Bank posts KES 6.9 billion profit in Q1’2025

May 16, 2025

LATEST STORIES

The importance of Investment Policy Statements (IPS) for pension schemes in Kenya

July 4, 2025

Understanding Life Cover as an Additional Benefit in Retirement Benefit Schemes

July 4, 2025

Del Monte foods files for bankruptcy in USA

July 3, 2025

Lessons from the Kuramo-TransCentury fallout

July 3, 2025

Private vs Public Pension Funds in Kenya

June 30, 2025

The mechanics of currency manipulation

June 27, 2025

Understanding how to access your pension savings in Kenya.

June 27, 2025

What happened to president Ruto’s economic dream?

June 27, 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