President William Ruto has signed into law three key pieces of legislation — the Income Tax Bill, the Special Economic Zones (Amendment) Bill, and the Technopolis Bill — during a ceremony held at State House, Nairobi.
In a communique after the signing, the President said the new laws are aimed at strengthening Kenya’s economy, attracting investment, and enhancing the country’s competitiveness as a regional business and technology hub.
On the Income Tax Act, President Ruto said the law seeks to streamline the administration of Capital Gains Tax and align Kenya’s tax framework with international best practices and taxation principles. He noted that the reforms will also reinforce ongoing efforts to improve the ease of doing business in the country.
Regarding the Special Economic Zones (Amendment) Act, the President said the legislation is designed to boost Kenya’s competitiveness by expanding the scope of special economic zones to include oil and gas activities, while harmonising tax incentives for businesses operating within the zones.
The law further strengthens the special economic zones framework by introducing a minimum licence tenure of 10 years, a move aimed at accommodating the long project cycles associated with large-scale capital investments.
In addition, the legislation broadens the sectors eligible for special economic zone status to include agro-processing, manufacturing, mining, advanced technology production, and petroleum operations.
Meanwhile, the Technopolis Act establishes a comprehensive legal framework for the establishment, development, and governance of technopolises in Kenya.
According to President Ruto, the law is intended to position Kenya as a leading destination for technology-driven enterprises, innovation, and research by creating integrated one-stop hubs for efficient government service delivery.
The government says the new framework is expected to attract global investment, talent, and innovation, while accelerating Kenya’s transition into a knowledge-based digital economy.
