Mombasa Urged to Improve Infrastructure and Curb Revenue Leaks to Boost Business Compliance
A recent two-week study by the Coast Civil Society Network for Human Rights (CCSNH) has called on Mombasa County to prioritize infrastructure improvements and address significant revenue leakages to increase compliance with trade licensing fees. The study, conducted in December 2024, focused on the Mvita Sub-County and revealed that 14,808 businesses were mapped, with 18,562 sub-businesses operating under the permits of principal licensees.
Key findings highlighted gaps in service delivery, such as inadequate drainage systems, poor road maintenance, irregular waste collection services, and insufficient street lighting. The lack of proper infrastructure is especially problematic for businesses in Tononoka and Ganjoni wards, where 40% of business owners reported security concerns due to poor street lighting, making it unsafe for businesses to operate at night.
The study also uncovered widespread mistrust in licensing and enforcement practices. It was reported that 50% of businesses had experienced bribery demands from enforcement officers in exchange for avoiding penalties. To address these challenges, the CCSNH recommended that the County Government of Mombasa leverage technology to improve transparency in the licensing process, combat corruption, and ensure fair service delivery.
Further recommendations include engaging business owners in decision-making processes, especially when it comes to tariff setting and resource allocation. Establishing consultative forums and quarterly feedback platforms would help foster better communication between businesses and local government officials, ensuring businesses have a voice in policy-making.
To improve the business climate in areas like Majengo, Old Town, and Tudor, the study called for upgrades to drainage systems, better waste collection, and road maintenance. Additionally, lowering initial licensing fees for businesses in underserved areas was proposed to encourage informal businesses to formalize.
CSCNH Chairman Zedekiah Adika praised Mombasa’s efforts in revenue collection, noting that the county is performing well in gathering funds from businesses. He suggested lowering Single Business Licensing fees to allow more businesses to join the formal revenue bracket. Mvita Sub-County alone contributes approximately Sh276 million in trade licensing fees, making up 45% of the total estimated revenue potential of Sh600 million for the entire county.
The study also emphasized the importance of leveraging Mombasa’s natural resources to diversify revenue streams. It called on County Assemblies to be more open to public input when formulating policies and enacting legislation to ensure that revenues collected are reflected in improved public services.
The CCSNH concluded by urging the County Government to take swift action in addressing infrastructure gaps and ensuring accountability in service delivery to enhance Mombasa’s business environment and increase revenue collection.
Mombasa Urged to Improve Infrastructure and Curb Revenue Leaks to Boost Business Compliance
