Nairobi Governor, Johnson Sakaja, on Thursday, June 29, increased business permit charges for various traders operating in the city.
In the 2023/24 Ksh40 billion budget presented to Nairobi County Assembly by Finance County Executive Charles Kerich, Sakaja emphasised that the increased fees would be crucial in facilitating the efficient management of essential facilities such as hospitals and markets.
"The increase of existing charges to cover the cost of service delivery with direct impact on the quality of service given to the citizens.
"All the funds collected will be used to improve the County Health facilities and put them at par with the private health centres," Kerich stated in Sakaja's inaugural budget as city boss.
To enhance fairness and proper collection of the permit charges, Sakaja classified the businesses into different categories. In the new format, hyper supermarkets will be charged Ksh40,000.
Mega supermarkets operating in the city must pay Ksh30,000 to acquire business permits. Butcheries and retail service shops will pay Ksh4,000, and kiosks Ksh1,000.
Under the new regulations, traders renting premises owned by Nairobi County will pay Ksh2,000 to acquire permits as Sakaja seeks funds to sustain his Ksh40 billion budget.
In the previous regime, business owners were charged depending on units and space occupied. Sakaja thus harmonised charges to eliminate unlawful business practices within the city.
Besides unveiling new business permit charges, he also introduced a new levy capped at 2 per cent of the annual rates for all properties within the city.
"Increase pool tables charges to control betting activities and enhance revenue," the Nairobi County Government budget indicated.
In a drastic move, Sakaja, in his inaugural budget, revealed plans to review advertisement charges, including those displayed on motorbikes and three-wheelers.
"Review the Planning charges and increase County revenues by the inclusion of various advertisement forms that had not been captured in the previous Finance Acts, small increments in fees by a small percentage to encourage compliance and remove ambiguity and properly classify all advertisements to differentiate each type and category that is on motorbikes, 3-wheelers, mobile advertisements and street displays," Sakaja announced.
