Kenya, Whose Hawkers Are Everywhere, Cracks Down on Foreigners Operating Small Businesses

What the report says

Kenya has started enforcing restrictions on foreign nationals operating in hawking and other small-scale retail businesses, a move that comes amid a broader debate about informal trade in East and Central Africa. According to Nile Post, the policy was announced after President William Ruto told traders at State House in Nairobi on September 2 that foreigners should not be competing with Kenyans in low-capital businesses commonly run by local traders.

The measures have drawn attention to foreign traders and migrants already active in Kenya’s informal economy, including people from Somalia, Ethiopia, Burundi and the Democratic Republic of Congo, as well as some Chinese operators of small retail shops. The article says the crackdown is especially significant for urban refugees and migrants who rely on petty trade for income. It also reports that some Burundian nationals in Nairobi have begun seeking help at their embassy as uncertainty grows over their status and livelihoods.

In a statement on September 6, Investments, Trade and Industry Cabinet Secretary Lee Kinyanjui said visa-free entry does not automatically allow a person to work or run a business in Kenya. He said foreigners must still meet immigration, work permit and other legal requirements, and that some visitors had allegedly used tourist or investor status to do work outside the terms of their stay. The government said those found breaching immigration rules could face visa revocation.

The report adds that Kenya says it will still welcome lawful foreign investment and that enforcement should remain orderly and consistent with East African Community commitments and regional free-movement rules.