Mulu & Abuja Law

Kenya’s PBOs Beyond the excitement and the mixed bag of fortunes

Kenya’s PBOs: Beyond the excitement and the mixed bag of fortunes

July 10, 2024

It’s a new dawn in Kenya’s NGO arena, the stakeholders are excited as the more than a decade’s wait has culminated in the gazettement of 14th May 2024 as the day the Public Benefits Act, 2013 was operationalized repealing the more than three-decade old NGO Co-ordination Act, 1992. Now that the excitement and the dust has settled it is time we take a look at what this means for the rebranded Public Benefits Organizations (PBOs) as the new Act comes with a raft of changes and a bag of goodies. As the bearer of good news, let us dive straight into the goodies. Registering as a PBO under the PBO Act unlocks a treasure trove of benefits such as; Tax exemptions Direct government financing Preferential treatment in public procurement and contribution to the policy process. Apt benefits if you consider the vast gains of having PBOs in the areas of legal aid, education, poverty eradication, governance and various other sectors that PBOs play an indelible role in. Beyond the goods, we must appraise ourselves with what having the new Act means. For starters it means a new name. Out with the old Non-Governmental Organization (NGO) tag and in with the new Public Benefits Organization (PBO) moniker. Beyond the name, it also means a new regulatory authority dubbed the Public Benefits Organization Authority and replacing the NGO Co-ordination Organization Board. With a new regulatory authority comes new registration procedures such as having a one tier application away from the two tier system of applying for name reservation, waiting for approval then commencing the application process. The strict timelines of 60 days is also the icing on the cake as it gives a level of certitude to the application process. However, with the good comes the interesting. The PBO Act recommends that all registered NGOs will have a grace period of one year before they are required to re-register under the PBO Act. This is where the rubber will meet the road as the registration process will come with its own share of complexities. For instance, the assets under the previous NGOs names will require a transfer to the new PBOs, the liabilities as well. The foreign Employees’ work permits are also non-transferable under the Kenya Citizenship and Immigration Act. A very dicey situation for the PBOs over the next one year. The CS and Parliament need to look at this eleven-year-old provision and ask themselves if the mischief it intended to cure then is still at play now. Another interesting perspective of this particular registration provision is that it intends to bestow the PBO status on PBOs registered under the PBO Act only. However, it also allows for other entities to have the same status even when where they have been registered under a different legal regime. Bestowing such a status on a differently registered entity would negate the purpose of registering under the PBO Act to get the PBO status and take us back to the era of different legal regimes. Maybe the regulations will provide clarity on this conflict. International Organizations have not been forgotten in the new dawn […]

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Revised Rates

New Revised Rates For Citizenship And Immigration Services In Kenya

July 10, 2024

Since the beginning of March 2024, the Ministry of Interior and National Administration effected the new  immigration revised rates as had been published via a gazette notice Vol.CXXV-No.241 dated 1th November 2023. Per the immigration department, the new rates reflect the prevailing economic state as the repealed rates came into effect years ago, and are not in tandem with the rates charged by some of the progressive countries with stringent immigration policies. Revised Rates The new rates have since then been actualized on the immigration system where: Work permit (Class D) issuance fee has been revised to Kshs.500,000/-per year from the previous Kshs.200,000/- per year. Investors revised rates will now pay Kshs.250,000/- Class G permits per year, while previously they paid Kshs.100,000/-. The same rates will apply to Class B (Agriculture and Husbandry); Class C(Prescribed Professions); Class F(Specific Manufacturing); and Class K (Ordinary Residents). The only rates that remain unchanged are those applicable to approved religious and charitable activities: Class G) which remain at Kshs.50,000/-, and refugees (Class M) that will continue to be issued gratis. The permit application fee has been revised upwards by Kshs.10,000/- to Kshs.20,000/- While that of the Class I permits has been increased from Kshs.1,000/- to Kshs. 5,000/-. Foreigners applying for a special pass valid for 3 months will now pay $600 issuance fees. This is a departure from the previous charge of Kshs.45,000/-. The immigration system has already been configured to invoice for this fee in US Dollars. Foreigner Certificates, commonly known as alien cards application fee has also seen revised rates upwards to Kshs.5,000/-. This fee is yet to be implemented on the system, and is therefore among the changes that are expected to be seen in the coming days. Likewise, re-entry passes issued to dependants of permit holders will now be charged Kshs.5,000/- from the previous Kshs.1,000/- per year. New Services and Charges Besides the revised government fees, new elements have also been introduced to immigration practice to presumably make the management of foreign nationals more efficient and also increase the government revenue base. For example, there has been introduced an express work permit service at a charge of $10,000/-. The Immigration portal is yet to implement this feature but the changes are still expected to be implemented. There is also the introduction of Kshs.50,000/- cancellation fee for work permits, which service was not previously charged. Again, there is introduced a charge for failure to apply for an Alien Card and also for replacement of a lost Alien Card at Kshs.2,000/- eTA versus VISA system Alongside the services offered under the eFNS section, the visa section has also undergone significant changes, starting with the replacement of the visa system with the electronic travel authorization (eTA). All foreigners traveling into the country, including those who were visa exempt, are now required to register and obtain authorization to travel into the country through the eTA system. Those liable to pay for an eTA will be charged a fee of $30. Departing from the multiple visa system, travellers will be required to apply for an eTA each time they leave and re-enter the country and […]

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