In a compelling plea to the government, young entrepreneurs in Kiambu County’s Micro, Small, and Medium Enterprises (MSMEs) sector have voiced their concerns over the detrimental impact of increased taxation on their businesses. During a Jiinue Growth Programme MSME training session organized by the Kenya National Chamber of Commerce and Industry in Kiambu town on Wednesday, these youths highlighted the grave consequences of excessive taxation coupled with a lack of capital, which they argue has driven them out of business.
Ann Mwangi, a poultry farmer, shared her firsthand experience, shedding light on the significant rise in production costs over the past two years. “I am a poultry farmer. Two years ago, the cost of production was manageable, but now it has doubled, and the market is volatile,” she lamented. Mwangi elaborated on the challenges she faces, citing the soaring prices of essential resources. “I used to buy a bag of chicken feed at Sh2,800, but now it is retailing at Sh4,200. Additionally, my monthly electricity tokens have surged from Sh1,000 to Sh2,800, making it increasingly difficult to sustain my business,” she explained.
The sentiments echoed by Mwangi resonate with numerous young entrepreneurs in Kiambu County, who are grappling with similar hardships. The burdensome tax regime, combined with the escalating cost of living, has stifled the growth prospects of MSMEs, pushing many to the brink of closure.
Addressing the gathering, representatives of the Kenya National Chamber of Commerce and Industry acknowledged the pressing need for government intervention to alleviate the plight of MSMEs. They emphasized the pivotal role that small businesses play in driving economic growth and urged policymakers to reconsider the imposition of additional taxes.
The appeal from Kiambu County’s youths underscores the urgency for a holistic approach towards supporting MSMEs, which form the backbone of Kenya’s economy. As the nation strives to recover from the economic downturn exacerbated by the COVID-19 pandemic, it is imperative for the government to implement policies that foster an enabling environment for entrepreneurship to thrive. In response to the impassioned plea from the MSME sector, stakeholders anticipate constructive dialogue between policymakers and industry representatives to devise pragmatic solutions aimed at alleviating the tax burden on small businesses. The collective efforts of government, industry players, and grassroots entrepreneurs are crucial in charting a path towards sustainable economic recovery and inclusive growth in Kiambu County and beyond.
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