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PUBLISHED ON July 15th, 2021

KRA bets on Sh2.6bn port tech plan to increase revenues

The Kenya Revenue Authority (KRA) has expressed optimism it will surpass Sh1.86 trillion 2021/2022 target as it moves to seal revenue loopholes and end illicit trade at the Port of Mombasa through adoption of technology.

The operationalisation of the Sh2.6 billion ICT project funded by the World Bank will connect all 23 cargo checkpoints at the Mombasa port with the KRA main office in Nairobi to increase efficiency in cargo clearance and monitoring movement of goods.

The project, which is the first phase of the Sh50 billion Eastern Africa Regional Transport, Trade and Development Facilitation Project, will be fibre optic-based Metropolitan Area Network (MAN) and Local Area Networks (LANs) connecting Mombasa port and KRA’s Nairobi headquarters.

Before the ICT project was launched, all the 23 cargo checkpoints were being manned differently and there was a delay in decision making on whether to verify cargo whenever there is suspicion on mis-declaration or any illicit cargo detection.

KRA commissioner, corporate support services, David Kinuu said the new ICT infrastructure will improve efficiency in revenue collection.

“Last fiscal year, KRA managed to surpass its target but with the new investments we are making, we shall surpass Sh1.86 trillion,” said commissioner Kinuu.

The project which started in 2015 will also involve improvement of road and ICT infrastructure along Northern Corridor and once completed, will connect Kenya and South Sudan through fibre optic, hence reduce time and cost of doing business.

In the project, KRA will ensure there is harmonization of customs and other border management, risk management and control procedures, designing of a One Stop Border Post (OSBP) at Nadapal/Nakodok, strengthening of the cross-border management unit of KRA including enhancing its coordination with other border agencies and supporting the implementation of an intergrated border management system.

Mr Kinuu said KRA has already put in place measures to ensure the implementation of the Memorandum of Understanding (MoU) between Kenya Customs and South Sudan Customs Services relative to information exchange and use of common procedures and to facilitate use of ICT for revenue collection.

The project is also responsible for the construction and or rehabilitation of the fibre optic cable from Nadapal/Nakodok to Eldoret. The road works have registered an average completion rate of 77 per cent with some sections already completed.

“The project includes the A1 highway construction from Eldoret to Nakodok and fibre optic cable that will increase internet connectivity in the region,” said Deputy Project Coordinator World Bank Funded Projects Judith Kerich.

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