KRA’s customs tax revenue hit Sh3bn daily in September

Containers await clearance at the Port of Mombasa / FILE

The Kenya Revenue Authority (KRA) has reported Sh85.1 billion in monthly customs tax collection for September, a historic high. 

This has surpassed the earlier record of Sh82.6 billion realised in January 2025.

This September, customs collections exceeded the monthly target of Sh81.3 billion by Sh3.8 billion, achieving a performance rate of 104.7 per cent. 

The revenue agency has attributed the increased customs collection to a series of reforms aimed at enhancing revenue collection efficiency. 

The result also marks a year-on-year growth of 18.8 per cent compared to the same period in the previous financial year.

The performance was driven by strong collections from trade taxes of Sh51.7 billion against a target of Sh50.7 billion, reflecting a 22.1 per cent growth from the corresponding period last year and a performance rate of 102 per cent, while petroleum taxes recorded an exceptional 109.2 per cent performance rate by collecting Sh33.4 billion against a target of Sh30.6 billion. 

It has, for instance, cited the establishment of a central release operations office.  

Under this innovative system, head verification officers operate from a central location and randomly allocate release stations to verify and clear goods. 

"This process has minimised human contact, ensuring more objective cargo release decisions and closing potential revenue loopholes," KRA's Customs commissioner, Lilian Nyawanda, said.

According to her, the reform has significantly improved cargo release turnaround times.

"These outstanding results underscore KRA’s unwavering commitment to continuously improve tax collection systems and processes to meet revenue targets consistently."

The revenue authority has, in the past three years, introduced high-tech solutions to increase clearance efficiency.

In 2022, it installed two more drive-through scanners at the Port of Mombasa to complement the Standard Gauge Railway drive-through scanner and three other fixed scanners.

The new scanners will now enable KRA to scan 100 per cent per cent containerized cargo imported and exported through the Port of Mombasa.

The non-intrusive equipment will enhance global trade facilitation and promote the integrity of the supply chain by detecting concealed and mis-declared cargo, which not only creates unfair competition but also poses a risk to the security and safety of society.

The drive-through scanners can scan more than a hundred  20-foot containers per hour.

It takes a few seconds to scan a container, unlike the scenario with fixed scanners, which have a performance of approximately six minutes per container and an average of 10 containers per hour.

The Rift Valley region contributed immensely to the growth, which translates to a collection of close to Sh3 billion, courtesy of increased activities at the Eldoret International Airport.

Abdi Malik, KRA chief manager, Customs and Border Control, Rift Valley, the elevation of Eldoret to a city status has activated social and economic activities in the region, with the airport surpassing its revenue collection for the first three months of the year.

In the first quarter of the current financial year, EIA collected Sh567 million against a target of Sh458.64 million, achieving a performance rate of 123.65 per cent, with a surplus of Sh108.4 million.

The airport shed collected Sh1.803 billion against a target of Sh1.694 billion in the last financial year, achieving an overall performance rate of 106.44 per cent and a surplus of Sh109.06 million for the financial year 2024/2025.

Generally, the Rift Valley region, which covers a wider region stretching from Naivasha, collected Sh3.1 billion against a target of Sh2.62 billion, representing a performance of 118.4 per cent in the past financial year.

Main revenue contributors for the region were the Eldoret International Airport (EIA), Car and General in Nakuru, and the Jumbo AAA at the Naivasha Special Economic Zone.