Nairobi: Kenya Revenue Authority (KRA) has marked its 30th anniversary with a renewed commitment to digital transformation, voluntary compliance, and stronger partnerships in revenue mobilization, as it positions itself as a key driver of Kenya’s economic transformation.
According to Kenya News Agency, Cabinet Secretary for the National Treasury and Economic Planning, John Mbadi, commended KRA for its contribution to the country’s fiscal stability. Since its establishment in 1995, the Authority has been central to mobilizing domestic resources and fostering economic self-reliance. Mbadi highlighted that revenue collection has risen from Sh122 billion in 1995 to more than Sh2.5 trillion today, a growth that reflects institutional resilience and the shared commitment of taxpayers, stakeholders, and staff in building a fair and transparent tax system.
Mbadi pointed out that Kenya’s tax-to-GDP ratio remains relatively low at 16.8 percent compared to South Africa’s 25 percent. He projected that revenues in the 2025/26 financial year would rise to Sh3.4 trillion, equivalent to 17.5 percent of GDP, up from Sh3.1 trillion the previous year. “Achieving this target requires coordinated efforts across government, stronger private sector engagement, and deeper foreign direct investment,” he observed. He called for strict adherence to integrity, accountability, and transparency in tax collection and public spending, while advocating for automation of procurement and financial management systems to curb corruption.
KRA Board Chairman Ndiritu Muriithi emphasized taxation’s centrality in financing the state, noting that customs and border control functions extend beyond revenue mobilization to national security. Muriithi paid tribute to KRA staff, past and present, for steering the Authority through different eras of growth, from manual operations to the current digital-driven phase. He stressed the close link between revenue performance and fiscal health, pointing out that public debt essentially represents deferred taxation. Stronger resource mobilization, he asserted, would help reduce overreliance on borrowing while safeguarding sustainable growth.
Outlining the board’s vision, Muriithi mentioned that the next phase of KRA’s growth would focus on transforming the Authority into a service-oriented institution by simplifying compliance, improving customer experience, enhancing staff welfare, and creating space for innovation. “We aspire to build public trust in taxation similar to the Swedish model, where compliance is anchored on credibility and efficiency,” he added.
KRA Director General Humphrey Wattanga reflected on the Authority’s three-decade journey from manual systems to a digitally transformed administration. He highlighted the introduction of platforms such as iTax and the Integrated Customs Management System (ICMS) as crucial in simplifying compliance and improving efficiency, citing milestones like the crossing of the Sh1 trillion revenue mark in the 2014/15 financial year and Sh2 trillion in 2021/22. Wattanga explained that KRA’s digital transformation is guided by the OECD’s Tax Administration 3.0 framework, aiming for a seamless, data-driven, and taxpayer-centric ecosystem.
The Authority has introduced wider tax education programs, strengthened stakeholder engagement, and fostered closer collaboration with local administrations to nurture a culture of voluntary compliance. Wattanga underscored the role of staff in KRA’s success, pledging to nurture staff creativity, support professional growth, and strengthen welfare programs. As Kenya scales up investment in infrastructure, healthcare, and education, expanding the tax base remains a national priority.
Wattanga added that KRA’s Nine Corporate Plan is anchored on technology, reforms, and public trust, positioning the institution as a world-class tax administration aligned with global best practices. “As we chart the next 30 years, we are embracing a bold vision that demonstrates taxation can be simple, fair, and supportive of business growth. We want to build a credible, service-driven institution that supports economic opportunity and job creation,” Wattanga concluded.