• November 10th, 2017
  • Posted by athanne

Kenya Business Review:Dealing with Licenses in Kenya

This article talks about Dealing with Licenses in Kenya. In this topic a good example is given by a lawyer who has long been active in her family’s retail business. Her dilemma was evident in that she asserted during this diagnostic, that someone would simply give me a list of what I am expected to do, including how long it takes and how much it costs, so that our business can comply with the law. When this happens businesses in Kenya will definitely prosper and will definitely boost the economy.

Barriers Facing Dealing with Licenses in Kenya

Dealing with Licenses in Kenya affects businesses in Kenya in the following areas;

  • General regulatory environment,
  • Licensing regime,
  • The City Council,
  • Private sector associations,
  • Media,
  • The legal profession


Dealing with Licenses in Kenya Kenya Business Review:Dealing with Licenses in KenyaGeneral Regulatory Environment

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One of the barriers facing Dealing with Licenses in Kenya is the general regulatory environment. Kenyan businesses face a host of regulations, enforced by panoply of potential regulators and it applies to all aspects of the economy example retail, general import and export and plants and plant production. Poor regulation has long been a concern in Kenya. Shortly after the election, there was a concerted effort to make national and local government institutions more business-friendly, especially to the country’s smallest traders. However, implementation of such reforms didn’t eventually come to pass thus causing a barrier to Dealing with Licenses in Kenya.


Licensing Regime as one of the Barriers facing Dealing with Licenses in Kenya

In Dealing with Licenses in Kenya it describes that any construction licensing regime involves a variety of national and local government institutions, including various national authorities, local planning and land registration authorities. Those agencies charged with enforcing the law must be equipped, willing, and able to coordinate their respective licensing processes. The business registration process for construction companies is perceived as cumbersome obtaining a Single Business Permit each year can prove time-consuming and full of rent-seeking opportunities on the part of local authorities.


The City Council

One of the barriers of Dealing with Licenses in Kenya is dealing with the city council. Kenya’s most recent ranking for  the city council describes them as tainted by arbitrariness, sluggishness, attitudes toward customer service that are not merely unfriendly, but actually hostile, and rampant corruption. Beyond Nairobi, municipal officials are regarded as buying time with delay and using their ability to charge fees as an excuse to avoid improving their internal operations. To improve Dealing with Licenses in Kenya is that better management of funds would lead to less corruption.


Private Sector Associations

Private sector associations have an effect on Dealing with Licenses in Kenya. At the local level, chambers of commerce are active, but tend to lack the resources they need to achieve their many goals. They also do not yet exhibit awareness of their collective capacity to influence policy at relatively minor expense. For example, it does not appear that local exposure of corrupt officials by private associations take place. On the other hand, individual businesses tend to be resigned to paying bribes as an unavoidable cost of doing business. One owner of a manufacturing company said that he feels less badly about the pressure to pay bribes when the official seeking the informal payment at least says “please.”



Dealing with Licenses in Kenya is faced with another barrier that is media. The persistence of poor governance, especially corruption, is a bit difficult to understand in light of how much publicity it gets. Newspapers, television, and radio, though not without their biases, do an effective job of reporting government abuses, and Transparency International Kenya makes critical contributions to public discussion about poor governance through its annual Kenya bribery index.

The Legal Profession

One of the barriers facing Dealing with Licenses in Kenya is the legal professions. Although most small businesses cannot afford legal assistance when going through the more basic licensing procedures, larger, more complex businesses do rely on counsel for various regulatory requirements. Kenya is well supplied with lawyers. Although the high end of the legal profession is considered well qualified, pressure to participate in corrupt practices is high. Smaller businesses and individuals who cannot afford the better qualified lawyers are at risk of being exploited through corrupt or self-enriching tactics of unprofessional attorneys.

Business Training in Kenya has more.

Recommendations on Dealing with Licenses in Kenya

One of the steps of Dealing with Licenses in Kenya is that there should be development of short, simple, sector-specific guidance for small and medium sized enterprises.


Conduct a nation-wide survey of the relative business-friendliness of each major local authority.


Engage in highly publicized, collective resistance to regulatory abuses. Private companies should be encouraged to keep trying to find ways to hold their public officials accountable.


Develop customer service programs for government agencies. It concerns the widespread behavior of officials who do not view themselves as public servants. Government servants should access training and also seek customer feedback and reward workers for superior performance.


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Monitor and support the regulatory reform strategy.


Creation of an electronic registry for business licenses, which should be envisioned as being the final word for Dealing with Licenses in Kenya.

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Posted in : Kenya Business Review