New border posts triple KRA custom revenue

The Busia OSPB is major entry and exit point between Kenya and Uganda. FILE PHOTO | NMG

What you need to know:

  • Simplified procedures have attracted traders into the cross order business as well as reduced smuggling hence the increased revenues.

The Kenya Revenue Authority (KRA) says it has tripled custom revenue collections in its seven border points after it began operating one-stop border posts in June 2016.

The move, which put together bureaucrats involved in cross-border clearance processes under one roof, has also cut cargo clearance time from the previous three days to just under 1 hour, the agency said.

KRA Western Regional Coordinator Kevin Safari said the simplified procedures have attracted traders into the cross order business as well as reduced smuggling hence the increased revenues.

“With a faster and a simpler process, traders have had no incentive to use illegal channels to bring in goods into the country as they are assured of a faster and a more transparent process,” Mr Safari said during a tour at the Busia border point.

“We have also reduced the time they would take to cross the border meaning they can trade more volumes which is also a revenue boost for us.”

The Busia OSPB which is major entry and exit point between Kenya and Uganda has a one-stop clearance point for cargo and people, with various government agencies sitting in one office to fasten the clearance procedures.

Kenya has 35 gazetted entry and exit points with four more being proposed in the Western border with Uganda.

PAYE Tax Calculator

Note: The results are not exact but very close to the actual.