A cloud of financial distress hangs over hundreds of retailers across Kenya, with business owners now pushing for urgent tax reprieve after suffering devastating losses during recent youth-led demonstrations.
The Retail Trade Association of Kenya (RETRAK) is calling on the Kenya Revenue Authority (KRA) to suspend or waive tax obligations for traders whose businesses were wrecked during the anti-Finance Bill 2024 protests.
The association says many retailers, especially in areas like Kiambu, saw their stock looted and premises vandalised, pushing them to the brink of collapse.
Retailers are not just grappling with destroyed goods and damaged infrastructure. Many, RETRAK says, have been left with empty shelves, frozen accounts, and looming tax demands.
RETRAK’s Chief Executive Officer, Wambui Mbarire, explained that dialogue with the Ministry of Investments, Trade and Industry had already begun, with follow-up meetings planned to push for concrete action.
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“We had a meeting with the CS of MITI last week, and we are going to be having a follow-up meeting. We have specific (requests), especially for those people who got totally destroyed because one KRA is going to come knocking, so can we get some relief?" Wambui posed.
"And if we can’t get 100 per cent relief, can we get into an agreement to pause my payments so that I may be able to rebuild and then come back and pay for you, especially in this case where I have seen a lot in the news about people’s accounts being frozen?”
Her concern is not just about financial strain, but survival itself. According to Mbarire, some traders are starting from scratch, and demanding immediate tax payments from them would be fatal.
“We do not want these retailers to get into that because then you have really killed them. So, we are hoping that KRA will give us a listening ear, and hopefully we will be able to find a way to keep those people who really are technically starting from scratch again to get some relief that allows them to restart and then be able to get back on board,” she added.
This wave of demonstrations—fuelled by public anger over proposed tax hikes—paralysed commercial activity for several days in July and June. Thousands of young Kenyans marched across towns and cities, not only to mark Saba Saba Day but also to voice their rejection of the now-withdrawn Finance Bill.
The protests, though largely peaceful, were marred by scattered incidents of looting and destruction.
Retailers in urban centres responded by shutting down stores, as clashes between protesters and police escalated. Foot traffic dwindled to near zero.
By RETRAK’s own assessment, the sector lost approximately Sh2 billion during the unrest, mostly from stolen goods and damaged property.
While business across the country has gradually returned to regular trading, the aftermath for many retailers remains grim. Kiambu stood out as the worst-hit region, while Kitengela—unlike last year—escaped relatively unscathed.
RETRAK believes the burden of rebuilding should not rest solely on the shoulders of struggling traders. Their appeal to KRA is not just about back taxes, but about survival, fairness, and recovery.
As the government prepares its next steps, many businesses are quietly hoping their plea will not fall on deaf ears.