The National Assembly Departmental Committee on Finance and National Planning on Tuesday conducted a Public Participation in Mombasa on six Bills that are currently under consideration by the House.
Mombasa residents convened at Tononoka Social Hall in Mvita constituency to give their views to the Kuria Kimani-led committee.
Among the issues raised by the residents were the taxation of charity materials imported from abroad, the ease of doing business and access to funds and other resources for people with disabilities (PWDs), women, and youth, and creating a conducive environment for investors who want to establish businesses in the country.
“Investors bringing raw materials to the country for manufacturing get an incentive because they are creating jobs, but if you bring in a finished product, then you will have to pay tax,” said Baringo North Member of Parliament Joseph Kipkoros, a member of the committee.
Kipkoros added that the law protected local businesses and creators from unfair competition from international players.
The residents also raised issues on digital lenders and the interest charged when taking loans.
“We want to know the government’s criteria to regulate these credit companies. How much interest should they charge when giving out loans?” posed Millicent Awuor from Changamwe sub-county.
Kigumo Member of Parliament Joseph Munyoro said the amendment will protect Kenyans from being exploited by financial institutions.
“Currently, creditors are just giving business loans and charging interest however they want. When you take a loan from a bank, the interest is always the Central Bank of Kenya rate plus four percent. You cannot be paying an interest of more than 21 percent. These loans people are taking, you will find them paying up to 20 percent per month and 200-300 percent in a year, which is not fair,” said Joseph Munyoro, a member of the Finance Committee.
“The Business Laws (Amendment) Bill, 2024 will provide penalties for financial institutions who exploit Kenyans beyond what the law requires,” added the Kigumo Member of Parliament.
On tax amnesty, residents also called for tax exemptions for items like wheelchairs and crutches needed by people with disability (PWDs) to make them more affordable.
Zuleikha Abdalla from Shimanzi ward in Mvita Constituency called for a public review audit saying “It has become very difficult for PWDs, women, and the youth to get tenders in Mombasa. We are not getting the 30 percent allocated to us.”
Meanwhile, some residents raised concerns that their opinions are never taken into consideration when Bills reach the floor of the House.
Committee Chair Molo MP Kuria Kimani assured residents that all their views will be taken to account, urging the youth to show up for public participation forums.
“We have simplified how Kenyans submit their views, through the use of social media platforms and other media outlets, and emails. We have so far received more than 1,000 messages or opinions through our emails,” said Kuria Kimani.
“These public participation proceedings are recorded in the Hansard and can be accessed in the future, so come give your views,” encouraged the Molo MP.
The three-days public participation was carried out in Isiolo, Bungoma, Siaya, Mombasa, Taita Taveta, and Kericho.
The Bills being subject to public participation are: The Public Finance Management (Amendment) (No. 3) Bill, 2024 seeks to provide for financial management in the case of transfer of functions.
PFM (Amendment) No 4 Bill 2024 is meant to improve the accounting standards for better transparency and governance.
The Public Procurement and Asset Disposal (Amendment) Bill, 2024 aims to amend the Public Procurement and Asset Disposal Act (Cap. 412C). The amendment includes prioritizing local products and technology transfer plans.
The Business Laws (Amendment) Bill, 2024 proposes to expand the Central Bank of Kenya (CBK) regulatory mandate to include non-deposit-taking credit providers such as digital lenders, peer-to-peer lenders, and credit guarantee businesses.
Tax Procedures (Amendment) Bill 2024 proposes to amend section 37E of the Tax Procedures Act to extend the tax amnesty which lapsed on June, 30th.
Another Bill is the Tax Laws (Amendment) Bill 2024.
