The Kenya Revenue Authority (KRA) announced on Monday, December 9, that it had collected Ksh1.005 trillion in the period between July and November 2024.
In a statement, KRA noted that this reflects a growth of 4.3% compared to Ksh963.7 billion collected in the same period last financial year when the Authority achieved the same milestone with Kshs1.009 trillion.
“Notably, revenue collected in the last 5 months (July November 2024/25) amounting to Kshs1,005.183 billion reflects a growth of 4.3% compared to Ksh963.746 billion collected in the same period last financial year,” the statement reads in part.
KRA further said that in spite of the progressive growth, the collection was affected by various economic indicators that directly drive revenue collection.
The Authority maintained that various indicators that significantly impact on revenue performance have generally moved contrary to expectations, with adverse impact on revenue mobilization.
Key among these indicators is the significant low domestic demand as indicated by the slowed Purchasing Managers Index (PMI) that averaged at 48.94 points in July – November 2024 indicating a contraction in the economic activities.
Also Read:Â KRA Announces Paid Internship Opportunities; How to Apply
This is also indicative of the modest growth in overall import values of goods by 1.0% in the five months of 2024/25, which is a main source of both raw materials and final consumer goods.
“Furthermore, the Government being a key consumer of VATable goods has applied austerity expenditure measures that negatively affect various key sectors over time,” KRA added.
ADVERT
KRA highlights the increase in Customs collections
At the same time, the Authority highlighted that Customs continues to record an above Ksh70 billion-mark monthly collection in the last 4 months (August November 2024/25).
Thus, cumulatively (July-November 2024) Customs revenue collections amounted to Ksh359.571 billion, a growth of 5.9% over Ksh339.678 billion realized in the same period of FY 2023/24.
Also Read:Â 5 Key Points for Corporate Taxpayers to Keep in Mind as KRA Intensifies Crackdown
Domestic taxes on the other hand amounted to Ksh643.790 billion in July November 2024, translating to a revenue growth of 3.5% over Ksh621.984 billion realized in July November 2023.
“KRA is confident that it will continue with the upward trajectory and achieve the set target to enable the government sustain the country’s economy,” the statement adds.
The Revenue Authority has stressed that it targets collecting 2.704 trillion by the end of the Financial Year 2024/2025.
Follow our WhatsApp Channel and join our WhatsApp Group for real-time news updates.
