Alarm as more companies flee Kenya for Tanzania and Ethiopian markets and render Kenyans jobless after RUTO’s order – Look! This is bad folks

Wednesday, March 27, 2024 – Legislators have raised an alarm over the massive exit of foreign companies from Kenya to the neighboring countries due to high taxes imposed by President William Ruto.

The Parliamentary Committee on Trade, Industry, and Cooperatives, led by Chairperson James Gakuya, faulted Ruto’s government's strenuous policies that have made private companies exit Kenya to set up shop in other markets.

While holding a consultative forum with the Ministry of Trade, the Committee attributed the recent trend of investor flight to hiked taxes and a tough operating business environment.

The legislators expressed concern that the companies are leaving Kenya for neighbouring East African countries such as Tanzania and Ethiopia where the MPs claimed the companies enjoy an overall better business environment including; better taxation policies, affordable electricity, and stable regulatory environments.

The committee chairperson while criticising the government revealed several Kenyans had been rendered jobless after private companies closed their Kenyan operations.

“Industrial area was a booming area, but today it is deserted. You cannot even be able to know whether that is the industrial area we all knew," Gakuya lamented.

The committee chairperson who was speaking to the press after the consultative forum noted while some migrated to the neighbouring countries, others migrated to China.

Gakuya noted the companies migrated to China to save on operational costs and ease the process of importing raw materials for their industries.


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