Rédaction Africa Links 24 with Kenyans.co.ke
Published on 2024-02-18 17:18:49
Nairobi Governor Johnson Sakaja made an announcement on Sunday, February 18, directing the immediate payment of one-year licenses for “mama mbogas” and other small-scale businesses in Nairobi. He stated that starting that week, Nairobi County Executives would intensify revenue collection efforts.
Sakaja also ordered that all cess payments for businesses operating long-term would be transitioned to Unified Business Permits with immediate effect. He emphasized, “Any business that runs consistently at one spot for over six months will be required to acquire a Unified Business Permit (UBP) including in markets and also those allowed to operate on road reserves.”
To further justify this move, Sakaja pointed out that the UBP was a more cost-effective option in the long term compared to daily cess payments. He also highlighted that daily cess payments often did not reach county headquarters, leaving small businesses vulnerable to daily harassment from “kanjos.” As a result, the governor directed the quick adoption of technology to increase revenue collection, monitor compliance, and facilitate payments.
The decision to switch to UBPs for small businesses was reached during a revenue mobilization meeting chaired by Sakaja and attended by County Executives, Chief Officers, and Directors in charge of Revenue Collection and Sub County Administration. Sakaja expressed optimism that this move would set a record in revenue collected for Nairobi County since the inception of devolution.
He also emphasized that the digitization of the system and strict cashless policy would ensure a significant increase in Own Source Revenue numbers. By having small businesses switch to UBP, the governor envisioned sealing leakages, enhancing efficiency, and surpassing revenue targets.
The UBP was initially introduced on January 1 to streamline the issuance of various business licenses. It combines business, fire, food, health, and advertising licenses into one, simplifying the process for small business owners.
The governor recognized the potential of technology and efficient revenue collection in achieving the county’s financial goals. By implementing these changes, he aimed to provide a conducive environment for small businesses while ensuring sustainable revenue generation for Nairobi County.
In conclusion, Governor Sakaja’s directive to transition small businesses to Unified Business Permits reflects a strategic approach to revenue collection and operational efficiency. With these reforms in place, Nairobi County is poised to experience improved revenue numbers, reduced bureaucratic hurdles, and a supportive environment for small-scale enterprises.
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