Kenya: IMF Advises Kenya to Rethink New Environmental Tax to Avoid Economic Fallout

The International Monetary Fund (IMF) has warned the Kenyan government of the dire consequences of enacting a new environmental tax proposal that was put in motion last month.

The Ministry of Environment, headed by Cabinet Secretary Aden Duale, is proposing an Environmental Restoration Levy on all imported finished products.

According to the IMF, the government should be mindful of introducing such levies and steer clear of unintended consequences by conducting upfront an economic impact…