Treasury Cabinet Secretary John Mbadi has challenged African countries to strive for financial independence through prudent domestic revenue mobilization policies to enhance revenue collection as opposed to reliance on external borrowing and foreign aid.

Mbadi says there is an urgent need for developing countries to increase tax bases as well as establish proper systems to actualize tax visibility.

Mbadi questioned why African countries have to line up in developed nations begging for financial aid while the same can be achieved through prudent revenue collection strategies.

Mbadi, who spoke at the launch of  East African Revenue Authorities Commissioners General (EARACG) Meeting in Nairobi, cited lack of streamlined tax collection policies, mismanagement and looting of public funds as some of the key reasons as to why Africa continues to be over reliant on financial aid.

“It is wrong for us Africans, some of whom senior government officials, boarding planes in expensive suits with huge delegations flying for long hours across Europe and America going to beg for financial aid,” Mbadi lamented.

According to the man in charge of Kenya’s finance docket, the attention of Africa’s traditional partners is slowly shifting away, and as a result, financial support is also going down by the day.

Despite the East African Community economy recording an average of 5.8 and 14.5 % in real and norminal terms respectively in the 2023/2024 fiscal year, tax revenue growth stands at 13.3%.

This, according to CS Mbadi, is an indication that tax collection is not keeping pace with economic growth; thus, the need to reasses tax policies and revenue strategies across the region to boost revenue collection.

The two-day meeting brings together Commissioners General from Kenya, Burundi, South Sudan, DRC, Uganda, Zanzibar, Rwanda, Somalia, and Tanzania Revenue Authorities to  to discuss regional tax challenges and solutions.