NAIROBI, Kenya, Jun 12 – Kenya has signed an avoidance of double taxation agreement with Singapore that will ensure income earned in any of the two countries is not subject to double taxation.
This brings to 21 the number of countries Kenya has signed avoidance of double taxation agreements.
Treasury Cabinet Secretary Henry Rotich says the agreement will ensure efficient administration of tax.
He says Kenya has also entered into an agreement with Singapore to promote investments in both countries.
Rotich says the move comes at a time the country is focusing on the big four agenda and will be seeking Singapore investors to take up opportunities.
As of 2017, trade deficit between Kenya and Singapore hit Sh5.86 billion in favor of Singapore.
Kenya’s export to Singapore include Tea, fruits and nuts, crude vegetables, while Kenya’s major imports from Singapore were fixed vegetable fats, synthetic fibres and polymers among other products.
“Singapore through the Singapore Business Federation has expressed investment interest in Kenya in the areas of shipping, logistics, ports, water solutions, ICT, consumer electronics, general trading, construction equipment, and conference services,” Rotich said.
“The agreements are also designed to encourage investor confidence by setting high standards of investor protection applicable in international law. It further addresses the treatment of the investment in as far as expropriation and compensation is concerned among other provisions,” he added.