Kenyan firms have called on the government to lower taxes and speed up payment of pending bills, warning that failure to do so could undo recent economic stability gains, according to the CBK Market Perceptions Survey.
Respondents said tax unpredictability and delayed government payments are the biggest obstacles to growth, particularly for SMEs and contractors reliant on public projects. Several firms described the delays as “crippling,” noting that some have been forced to downsize or seek costly loans to stay afloat.
The private sector urged the Treasury to streamline tax collection systems, simplify compliance, and restore timely disbursement of funds to suppliers. Businesses also pressed for policies to expand domestic demand and support local industries affected by import dependency.
While confidence in Kenya’s macroeconomic direction remains high, the survey suggests a growing disconnect between headline economic stability and on-the-ground business conditions.
