Raila promises private sector incentives to boost exports if elected

Tax breaks and export reward schemes are some of policy interventions the Orange Democratic Movement (ODM) Party Leader, Raila Odinga has promised Kenya’s private sector.

The former Prime Minister who is gunning for the presidency in the coming general election slated for August has told corporate Kenya that he will prioritize increasing the country’s export volumes if elected into office.

Raila has pledged to reform the country’s export and promotion policies to make Kenya more attractive to international investors.

According to data from the Central Bank of Kenya, exports registered an 11.7% growth to Kshs. 765 billion in 2021 up from Kshs. 685 billion in 2020.

The increase was buoyed by strong performance in the agriculture sector especially horticulture and coffee that registered double digits growth.

The Orange Democratic Movement (ODM) Party Leader also told the Kenya Private Sector Alliance (KEPSA) that if elected he will prioritize incentive the export sector to ensure more SMEs join the export market.

Odinga added that this will be achieved by among other ways introducing tax rebates to firms in the export sector and shifting to the export of processed agriculture goods.

To ensure the export sector is competitive Raila said he will unveil an award scheme of the best exporter.

The private sector called for more private-public partnerships to maximize the country’s export potential.

According to KEPSA, harmonizing the tax regimes and enhancing governance will attract more investors to establish their bases in the country thus lowering the import bill that now stands at 1.8 trillion shillings in 2021.