INTERNATIONAL CIVIL SOCIETY ORGANIZATIONS OPPOSE KENYA PLAN TO SIGN TREATIES WITH SINGAPORE AND COMOROS ISLAND

By Clive Ayuko and John Otieno

Nairobi, Kenya 19th August 2020


Governments like men are selfish and often enter into agreements with other governments for
various selfish reasons, most of which is in line with the improvement of its social, economic and
political interests. Treaties; however, unlike agreements made between men, those made between
governments (who are composed of men) are not straight forward processes, often require the
involvement of a number of players (Stakeholders) and may take a number of years before such ratification process
is concluded.

This is necessitated by the fact that decisions on treaties which once ratified become
part of Kenyan law, affect all Kenyans at large hence cannot be left in the hands of a single individual or entity thereby requiring the involvement of the public in the ratification
process.
Article 2 (5) of the constitution of Kenya 2010, Section 14 (4) (e) of the Treaty Making and
Ratification Act, 2012 (Rev) provides the legal framework for ratification of treaties by the
Government of the Republic of Kenya. These outline some of the requirement which include: a vigorous public
participation process on the subject matter, a parliamentary debate, calling for and receiving of public
submission on the same by appropriate Cabinet Secretary, a ratification process by the relevant Cabinet Secretary (Minister/Ministry incharge of the function) and lastly the National Assembly who has the final say in this
matter. In a gazette notice dated 13 July 2020 the Government of Kenya through the Cabinet
Secretary for National Treasury and Planning Amb. Ukur Yatan made known its intention to get into
agreements with the Government of the Republic of Singapore and the Government of Barbados for
the Avoidance of Double Taxation with respect to taxes on income.
Keeping in line with the modus operandi characteristic of treaty ratification in Kenya which argues
for comprehensive public participation among the major stakeholders to include the general public
called for REQUEST FOR COMMENTS ON THE AGEEEMENTS ON AVOIDANCE OF DOUBLE TAXATION
BETWEEN THE GOVERNMENT OF THE REPUBLIC OF KENYA AND GOVERNMENTS OF THE REPUBLIC
OF SINGAPORE AND BARBADOS RESPECTIVELY.

The Tax Justice Network Africa and the East African Tax Governance Network, both international Civil Society organizations CSO involved in public sensitization took issue with the new policy directive as outlined in their press release document dated 19th August 2020:

Nairobi, 19 August 2020 – Tax Justice Network Africa (TJNA) and the East African Tax and
Governance Network (EATGN) hereby caution the Government of Kenya (GOK) in its pursuit
of new double taxation agreements (DTAs) with the Government of Barbados and
Government of the Republic of Singapore.
Singapore is globally ranked as the 8th most aggressive tax haven allowing for extensive
avoidance and evasion of taxes from other jurisdictions around the world. Therefore, having
DTAs with both countries doubly places Kenya at risk of eroded tax revenues in a time of
increased debt strain.
In response to a notice issued by the Ministry of Finance, National Treasury and Planning, on
13 July 2020 requesting for public submissions on the respective treaties, TJNA and EATGN
welcomed the change in policy behaviour and submitted comments for the two DTAs on 17
August 2020.
This represents a fundamental shift on the inclusion of stakeholders in treaty making and
ratification processes in Kenya. However, we urge that this process moves beyond invitations
for comments to more constructive consultations, analysis and decision making that involves
other participants including the Kenyan parliament.
Having previously petitioned the High Court -and won- against the National Treasury on the
issue of public participation as related to the DTA with Mauritius, TJNA recognises this
significant step taken by government to begin opening up the process of policy making as
enshrined in the Kenya Constitution.
The Executive Director Mr Alvin Mosioma had previously stated “TJNA intends to ensure that
in future similar tax negotiations are not in contravention with the laid down laws and
procedures”.
Nevertheless, considering the increasing significance of tax havens in the loss of domestic
revenue, the Kenyan Ministry of Finance should note the following four points during this
process.
First, there’s a need to publicly explain why there’s an urgency to sign DTAs with known tax
haven jurisdictions such as Mauritius or Singapore instead of prioritising the implementation

one that has already been developed by the East African Community (EAC) members, who
are Kenya’s largest trading partners.
Secondly, that further to submission of comments, the Barbados and Singapore tax treaties
will require parliamentary scrutiny and public debate under the Treaty Making and
Ratification Act of 2012 (TMRA 2012).
This is in line with the fulfilment of the monist principle in the Constitution; requiring approval
by the legislature on treaties that become part of domestic law, especially if they affect public
finance and the burden of taxation, as laid down in articles 1, 2.6, 114(2), 201 and 210(1) of
the Constitution
Thirdly, there is a need to evaluate both tax treaties in relation to how they are likely to
negatively affect Kenyan tax law. A cost benefit evaluation on the desirability of the Barbados
and Singapore tax treaties as specified in the TMRA is necessary.
This is especially because these treaties entail a restriction on tax sovereignty and have major
revenue implications; they grant tax benefits and exemptions to foreign investors not
available to Kenyan citizens or companies, resulting in reduction of government revenue and
directly affecting the public finances and the sharing of the burden of taxation (Constitution
Article 201).
Lastly, a public impact analysis on the risk of revenue loss will need to be shared for and
national debate. The revenue implications of the various benefits, and possible losses from
exemptions in tax treaties must be evaluated against the conceivable gains, or otherwise, of
attracting investment from abroad.

BOOK ON MANAGING SICKNESSES USING HERBAL REMEDIES LAUNCHES NEWER EDITION.

Nairobi, Kenya 22nd August 2020

The trust for indigenous Culture and Health (TICAH) has updated the Herbal and Nutritional guide to provide Kenyan families with comprehensive and practical information to prevent and treat common illnesses with food and plants.

The official launch of the book. Image courtesy Whistling African.

The new edition of the guide formally referred to as : ‘Using our Traditions’ A Herbal and Nutritional Guide for Kenyan families, is a product of rigorous research with experts and community engagements that began two years ago.

On the left is Trust For Indigenous Culture and Health Founding Director, Mary Ann Burris, Program Manager, Mary Elias (Middle), and Executive Director, Ms. Jedidah Maina, During the launch of the book. Image Courtesy Whistling African.

Speaking during the launch early yesterday afternoon at the National Museum in Parklands, Nairobi Executive Director of the Trust Ms, Jedida Maina said; ” The second edition combines information and strategies that are from our Kenyan traditions and cultures, and what is useful and available to us for the purpose of building healthy individuals, families and communities.

The Second edition of the Guide. Image Courtesy whistling African.

The second edition of the guide is more comprehensive than earlier edition and has management remedies for more diseases including lifestyle and various reproductive health related illnesses.

Standard Chartered Extends KShs 200 million credit line to Gertrude’s Hospital in fight against Covid-19

Nairobi: August 18th, 2020: Standard Chartered Kenya announced today that Gertrudes Hospital is the latest company to complete a drawdown from the Bank’s global USD1 billion COVID-19 financing commitment, underscoring its ongoing efforts to support local businesses in the pandemic response.

Standard Chartered’s extension of KShs 200 million credit line to Gertrude’s Hospital in fight against Covid-19 at preferential rate would be used to support the Hospital’s cash flow due to the additional requirements to treat covid-19.

Commenting on the impact of COVID-19 on people and the need to support businesses combating the pandemic, Birju Sanghrajka, Head of Global Banking, Kenya & East Africa said: “Coronavirus disease continue to put pressure on healthcare system in the country and many hospitals have had to adjust to this new reality which has also meant that they make additional investments in equipment and consumables. This line of credit will go a long way in helping the Gertrude’s provide additional personal protective equipment (PPE) requirements, additional staffing and manage its cash flow.”

Access to funds is a key factor in business recovery following a crisis of this magnitude. At Standard Chartered Kenya, and globally, our focus has been on supporting our long-standing and new partners to recover fully, and to contribute to the fight against the pandemic, added Mr. Birju

Gertrude’s Hospital Chief Executive Officer Dr. Robert Nyarango said the Covid-19 pandemic had put much pressure on hospitals and a strain on their resources.

“The outbreak of the Coronavirus disease Covid-19 has meant that we now have to spend more to ensure every healthcare worker has appropriate PPE for their protection during this period. We also have had to increase our staffing to ensure that there is an adequate pre-screening process for patient safety and to identify potential COVID cases prior to entrance to the facility. This means additional investments in the necessary equipment and we are grateful to Standard Cratered Bank for extending the credit facility at a competitive rate,” Dr. Nyarang said.

The financing came at an opportune time and we are very grateful to Standard Chartered because we managed to consolidate all our obligations into one interest free payment.  This has been of great benefit to us considering the cash outlays required at this time of COVID-19 with a plunge in business and capital required to meet MOH guidelines for patient safety, added Dr. Nyarang.

Standard Chartered set up the $1 billion global financing commitment to extend not-for-profit financing to companies that provide goods and services to help the fight against Covid-19, and those planning the switch into making products that are in high demand to fight the global pandemic and a comprehensive support scheme for retail and business customers, including loan repayment holidays, fee waivers or cancellations and loan extension facilities.

TOO TIRED AND WANT GLAM DELIVERED TO YOUR DOOR SEE NEW COMPANY DOING JUST THAT

Nairobi, Kenya 19th August 2020

Africa’s leading retailer of home improvement and building material products and service solutions, Builders, is set to open its doors and launch online trading to residents of Nairobi at the Waterfront Karen on 20 August 2020.

Slightly delayed due to Covid-19 restrictions, this is the retailer’s first venture into East Africa and one that will give it a formidable presence in the region’s largest commercial hub. . The store comprises of almost 10 000 m2 of trading and dispatch space along with a garden center. And it is sure to offer something for everyone, from the renovation enthusiast and homeowner, to the small business owner and commercial contractor.

Builders is a one-stop building materials and home improvement destination providing solutions that save time and money so that everyone can live better. An important aspect of the business model is to empower and uplift the communities in which it operates and enhance the local economy.

Paint Section of the Store. Image courtesy Brightspark media.

The African chain adopts a multi-pronged approach by first ensuring that the Karen store will be managed and operated by local talent. When the store opens, over 140 Kenyan individuals will bring the Builders value and quality to life by helping people to find the solutions they need to live better.

An image of the new home fiiting retailers builders. Image courtesy Brightspark media.

Builders has also invested time and resources to procure some of the best local product and service providers. To date, there are over 30 local businesses that will ensure that the store’s shelves and yard are well-stocked and always available to deliver what the Builders’ customers expect and love. These Kenyan businesses include, but are not limited to, Doshi & Company, Longonot Farm, Robert Bosch East Africa, and Savannah Cement.

Lastly, Builders believes that it is important to get to know the local community and offer assistance where required. Aligned to their focus on education and early childhood development, Builders working with Hope Worldwide, has identified the Arise By Grace Centre in Kawangware as a beneficiary.

Making the most of our incredible product offering, Builders will support much-needed renovation of the centre, which will include the provision of paint and building supplies to help create a more vibrant and conducive learning environment. To kickstart the relationship ahead of the store opening, Builders provided food parcels to 150 families at the Arise By Grace Centre 14 August.

“At Builders Kenya we are committed to going beyond products and are focused on giving you solutions to make your project a successful and worthy experience”, said Mr. Eric Kinoti Mbaabu, Builders store manager.

For the first time, Kenyan customers will have access to Builders’ renowned ‘box format’ which carries an extensive product range covering building materials and home improvement requirements for flooring, paint, sanware, kitchens, lighting, electrical, appliances, garden, and much more.

A host of services such as paint tinting and mixing, glass cutting, kitchen design, pool water analysis and others will be available.

Please visit http://www.builders.co.ke for more information to shop online our latest deals.

GLAM FOR YOUR HOME OR OFFICE SEE WHERE OTHERS ARE GETTING IT

By Clive Ayuko

Nairobi, Kenya 20th August 2020

David Muguku director water front (left) watches on as Erick Kinoti (middle) , Jane Kwamboka Country HR manager, Builders Kenya during the launch. Image courtesy Bright Spark Media
From left Charlene Waiganjo, Chair at South African Women Association, Middle, Mr. Erick Kinoti, Store Manager Builders Ms. (right) Zanele Sanni (South Africa High Commission Nairobi, Kenya) Counselor economic) at the launch. Image courtesy Bright Spark Media

Early today at 7:00 am in the Karen Waterfront area of Nairobi a new store opened its doors to various Kenyans. It opened its doors to Kenyans who want doors – various types of doors- for the various rooms in their homes and offices, it opened it’s doors to the the young family that needs home fitting for their new home, or for their new bouncing baby’s room, it opened its doors to hoteliers in need of furniture and fittings befitting the needs of hosting a king and or a queen, a president, a prime minister, and any other high calibre guests with a high affinity for exquisite interior decor.

It opened it’s doors to the subsistence gardener in need to herbs and flowers to better the ambience of the environments they spend most of their time and also giving them the tools to tend to such flora, it opened its doors to families who will at one time wish to share a barbecue meal in their backyard or go out camping. It opened its doors to all Kenyans in need of various types of fitting for their personal home or office space.

Image of sofa set in display at the newly launched store. Images courtesy the Whistling African/ Clive Ayuko

The newly launched 10,000 square meters building housing the construction and building materials retailer Builders; an investment valued at Ksh500 million with 150 full-time employees will be the go-to-place for all who wish to make the places they spend most of their time heavenly.

NMS to Build 24 Health Facilities In Informal Settlements

By Clive Ayuko

Nairobi, Kenya Friday 7th August 2020

Speaking as the Chief Guest during the handing over of donations of Personal Protective Equipment PPE’s by Equity Group to Mama Lucy Kibaki Hospital in Umoja area of Nairobi earlier today. Nairobi Metropolitan Services Director General Maj Gen. Mohammed Mbadi said that Mama Lucy Kibaki Hospital will be upgraded to level 4 Hospital and in the next few months and Nairobi Metropolitan Services NMS will be constructing 24 Health facilities in informal settlements to ease the strain that the Covid pandemic has on referral Hospitals within Nairobi. The ground breaking, Mr Mohammed Badi said will is scheduled to happen on Monday.

Nairobi Metropolitan Services Director General Maj Gen Mohammed Badi as He leaves during conclusion of the event. Image courtesy Whistling African

Also Present at the Event was Equity Group CEO Dr. James Mwangi, Group Chairman Prof Isaac Macharia, Managing Director of Kenya Association of Manufacturers Ms Phyllis Wakiaga among other guests.

Government and Industry Fast-Track Measures To Save Flower Industry from EU-banned Moth

Nairobi, Kenya 31st July 2020

The Kenyan government and agricultural industry are launching an urgent offensive against a
moth that has infested 70 types of crops, from roses to citrus fruits and capsicums, prompting a
surge in Kenyan export rejections by the European Union, and an EU review that could now see
a growing proportion of the country’s flower and horticultural trade fail.
The EU defines the False Coddling Moth (FCM) as a quarantine pest, meaning that fresh
produce containing the moth cannot be allowed into the European market. However, random
checks of fresh imports from Kenya have found increasing numbers to be FCM-infested, with
rose exports, in particular, driving a sharp increase in rejected consignments.
As a result, the EU, which in January 2018 began checking one in every 20 rose consignments
from Kenya for infestation by the moth, last year lifted that checking rate to one in every 10
consignments. This year’s review of the checking rate may maintain this rate or may now
increase it to one in every four consignments, or even to one in two, or a 50 per cent checking
rate by January 2021.
This would see Kenya move to the same regime as Tanzania, where the prevalence of the moth
on its roses saw EU import checks increased from 15 per cent in 2018 to 50 per cent last year.
The potential losses for Kenya could amount to as much as 40 per cent of cut flower sales,
estimate experts, prompting a crisis meeting last week of agricultural industry players, the State
Department of Trade, and the Ministry of Foreign Affairs, on ways of tackling the infestation.
“FCM is now present on more than 70 host plant crops. However, we are working with the
Kenya Plant Health Inspectorate Services, Pest Control Products Board, and the Netherlands
government to address the issue,” said Clement Tulezi, Kenya Flower Council’s CEO.
“Active ingredients have now been identified to contain the pest and the Pest Control Products
Board (PCPB) is carrying out more tests. We cannot afford to lose the market,” said Tulezi.
The cut flower industry earned Sh113bn in 2018, accounting for 73.6 per cent of total fresh
horticultural earnings. But, according to Europhyt Interceptions, the moth has caused a jump in
rejected imports since then, predominantly of roses, peppers and Gypsophila. Altogether, the

LG OPENS PRODUCT EXPERIENCE ZONE FOR ITS ThinQ Products

Nairobi, August 04, 2020 – LG Electronics has today launched its  LG ThinQ Experience Zone in Kenya, designed to let visitors experience its artificially intelligent products, at the Sarit Centre.

The ThinQ Zone located in the recently re-launched Hotpoint’s largest retail store will be the first of its kind, giving consumers the exclusive opportunity to witness firsthand information on how the company is enabling the smart, premium lifestyle experience. This will be the first of the experience zones for LG ThinQ to be set up in East Africa.

Part of Hot Points Store in Sarit Centre Westlands Nairobi hosting the LG ThinQ Experience section. Image Courtesy Whistling African.

Speaking at the event, LG’s Marketing Manager, Mr. Haewoong Im said  “LG continues to pursue innovation to improve home living and we are now excited to be bringing that same passion and technology leadership in Kenya as we continue to enhance the shopping experience and comfort of Kenyan consumers.”

L-R William Kamore (LGEEF Senior Trainer & ISM Support) LGE, Derek Haew at the launch. Image Courtesy Hill and Knowlton Strategies

The facilities will be used to further bolster the company’s Artificial Intelligence footprint in the country, with the firm set to work closely with their esteemed trade partners in a way of developing and communicating their state of the art AI-powered technologies.

The LG ThinQ zone is  located at the Hotpoint shop on the ground floor of the Sarit Centre and it will feature LG’s latest premium product lineup equipped with ThinQ technology which includes OLED TVs, the recently launched NanoCell TVs, the AI DD Washing Machine, InstaView Refrigerators, DualCool Floor Standing Air Conditioners among other home appliances.

“AI is the next frontier in technological evolution and as leaders in home appliances and consumer electronics, we have a responsibility to make AI more approachable in order to improve their quality of life for homeowners.” added Mr Kim.

Underpinning smart home ecosystem is the LG ThinQ technology, which integrates appliances and electronics with AI and deep learning algorithms to deliver a more intuitive experience for users. With the LG ThinQ Experience Zone, the company aims to raise awareness of how a smart home ecosystem can be built and tailored to the needs of the individual.

LG Electronics plans to expand the LG ThinQ Experience Zone to other towns in the country as well as in the East Africa region.

LG’s ThinQ technology focuses below elements:

Ease-of-Use

LG ThinQ-equipped integrated products can be monitored and operated via the simple use of a smartphone app. Elevating convenience a step further, LG’s advanced OLED and NanoCell AI ThinQ TVs also features natural language processing, enabling voice-activated control via the Magic Remote.

Personalization

LG ThinQ is designed to work in sync with each user in the household, who may use the same devices in different ways. LG InstaView can be programmed to align with the home’s daily rhythm by recognizing peak use periods and adjusting for optimal cooling.

Efficiency

LG InstaView can monitor usage patterns and automatically run in save mode during hours less frequently used for optimal energy consumption.

EAST AFRICA CONSTRUCTION GIANT TO SET FOOT IN KENYA

Nairobi, Kenya 19th August 2020

By Clive Ayuko

East Africa construction and building materials retailer Builders is set to expand into East Africa with its first store in the region’s largest commercial hub, Nairobi, Kenya.

The store, covering almost 10 000
m2 of trading and dispatch space and garden centre, will bring a wide range of high-quality DIY,
home improvement and building materials products and services to the Waterfront Karen from the
end of August 2020.
This will bring the total number of Builders stores beyond South Africa to 9 and demonstrates a firm
intention to entrench its presence on the continent. Kenya will join Botswana, Mozambique and
Zambia as regions outside the retailer’s stronghold for continued growth. As with each venture into
a new territory, Builders’ investment of KES 500m represents a commitment to bolster the local
economy. The retail chain has created employment opportunities for around 400 individuals during
the construction phase and around 145 local staff once the store is trading.
Builders is an established brand providing solutions for whatever you want or need to live better.
Whether you’re a DIY enthusiast, a homeowner, a small business or large contractor, Kenyans will
soon experience the power to get it done.
The product range will cover building materials and home improvement requirements for flooring,
paint, sanware, kitchens, lighting, electrical, appliances and much more. A host of services such as
paint tinting and mixing, glass cutting, kitchen design, gardening products, pool water analysis and
others will be available trade credit. Everything to ensure that Kenyan customers find the best
solutions for all their building, construction and DIY needs.
In an effort to ensure that we remained customer-focused, our product and service offering may
vary based on customer requirements. Please visit http://www.builders.co.ke for more information or our
latest deals.

Textile Recycling Groups Urge Kenyan Officials to Quickly Finalize Secondhand Clothing Importation Guidelines

ABINGDON, Md. (July 29, 2020)— The Secondary Materials and Recycled Textiles Association (SMART) and the European Recycling Industries’ Confederation (EuRIC) are urging Kenyan trade and health officials to quickly finalize guidelines for the safe handling of secondhand clothing (Mitumba) imports so that economic benefits of the industry may be rapidly restored.

On April 1, 2020, industry representatives were notified by the Kenya Bureau of Standards (KEBS) that the country’s importation of used garments and shoes had been suspended until further notice. KEBS said it was implementing the ban as a precautionary measure to prevent the spread of the novel coronavirus (COVID-19). However, as SMART and other stakeholders pointed out, numerous studies have shown that COVID-19 may be detectable on hard, non-porous surfaces like plastics and metals for hours and potentially up to 2 to 3 days, and it is even less likely to survive on soft, porous surfaces like textiles including rugs, carpets, shoes and clothing, new or used. Used clothing that is shipped overseas is typically in transit for weeks, if not months at a time – far longer than the virus has ever been shown to survive on even the most hospitable non-porous hard surfaces.

On July 6, 2020 President Uhuru Kenyatta outlined his plans for the phased reopening of Kenya from its COVID-19 lockdown. In his statement, he instructed Mitumba trade to resume following the development of guidelines by the ministries of trade and health. Within the last month, the local Mitumba Association provided draft protocols to the committee tasked with reviewing the safety protocols. The association is awaiting the Kenyan government’s final approval of the draft procedures.

“SMART welcomes President Kenyatta’s lifting of the ban on the importation of secondhand clothing. These imports provide countless Kenyans access to high quality, affordable clothing which, through buying, selling, repairing and/or altering imported secondhand clothing and shoes, generates tens of thousands of jobs in Kenya, allowing workers to support themselves and provide for their families,” said SMART’s Executive Director Jackie King. “There is absolutely no supporting evidence that COVID-19 can be transmitted through secondhand textiles,” she continued. “We are urging Kenyan officials to move quickly to finalize reasonable guidelines so that this vital industry can resume its critical activities.”

“EuRIC entirely understands that governments take measures to legitimately protect workers who deal with the further processing of secondhand textiles. However, based on robust scientific findings, it is very unlikely that those workers can spread or get infected by handling these textiles due to the low environmental stability of COVID-19 on the textile surface combined with the average shipping time

from Europe to Kenya” said EuRIC Textiles President Mariska Zandvliet and continued: “We very much welcome the lifting of the ban as well as the development of sound guidelines on how to do so.”