American businesses challenge government on trade

American businesses have faulted the Government for not implementing promises meant to facilitate trade.

Under the umbrella of the American Chamber of Commerce (AmCham), the businesses put the government to task on issues like taxation, and promotion of free trade.

On taxation, AmCham appreciated that the government was seeking to fund the Big Four but said that taxation was spiralling and becoming unpredictable.

“Unpredictable, excessive taxation inhibits businesses on accelerating reinvestment needed for growth in output and job creation,” said AmCham Board President Phillipine Mtikitiki.

She was speaking on Thursday during the 2020 AMCHAM economic outlook forum.

She further advocated for regulations and taxation that focused on increasing the tax base.

“We must grow the economic pie so that we have more to distribute towards long term investment for both public sector infrastructure and private sector capabilities,” said Mtikitiki.

Mtikitiki said that access to markets was still a challenge and supported efforts for a possible Free Trade Agreement (FTA) between Kenya and the US.

She warned that “doublespeak” was hurting business due to cross border trade policies where countries supported but still maintained non-tariff barriers and protectionist policies.

“We are seeking, Kenya to lead the way and follow the rules agreed between countries within East Africa and the seamless consolidation of economic regulations between counties,” she said.

At the same time, she commended both President Uhuru Kenyatta's directive to help clear pending bills and the government's efforts to process VAT refunds.