A recent report by the Mo Ibrahim Foundation has ranked Kenya 10th among African countries on tax and revenue mobilisation, with a score of 67.9 points in 2025. This ranking highlights Kenya's challenges in expanding its domestic revenue base amid persistent collection shortfalls. The foundation's scoring system assesses African governments' ability to mobilise different revenue streams.
The Mo Ibrahim Foundation report noted that Kenya's score improved by 4.6 points from 2015, and the country is among 16 African states classified as showing "increasing improvement". This classification indicates that Kenya's 2025 score was higher than in 2016, and the country was improving at a faster rate from the midpoint of the period in 2021.
South Africa led the continent's tax and revenue mobilisation with a score of 92.4, followed by Côte d'Ivoire at 83.3 and Namibia at 80.0. Lesotho, Senegal, Mauritius, Seychelles, and Botswana also ranked ahead of Kenya. The report highlighted a large gap between the top-ranked country, South Africa, and the 10th-ranked country, Kenya, with a 24.5-point difference.
Kenya continues to struggle to meet its revenue targets, forcing the National Treasury to rely more heavily on domestic borrowing to bridge budget financing gaps. The Kenya Revenue Authority collected Sh1.81 trillion in ordinary revenue in the nine months to March 2026, missing its Sh1.98 trillion target by Sh161.9 billion.
Corporation tax recorded the largest shortfall among the major tax heads at Sh60.3 billion, followed by Pay As You Earn at Sh50.1 billion and value-added tax at Sh42.8 billion. Excise duty missed its target by Sh19.2 billion, while investment income was Sh43 million below target.
The government has faced pressure to offer tax relief to cushion households and businesses from economic shocks. The Mo Ibrahim Foundation found that the average score for tax and revenue mobilisation declined by 1.5 points between 2016 and 2025 across Africa. The report noted that this deterioration, although minor, highlights the growing gap between expectations and the reality of administrative capacity on the ground.
Rwanda and Kenya were among the 16 countries showing increasing improvement, while Somalia, Democratic Republic of Congo, South Sudan, and Sudan were among the bottom 10. The East African Community was the only regional economic community to record a positive average 10-year change in its score, driven largely by Somalia's efforts to establish a standardised National Revenue Authority.
Key points
- Kenya ranks 10th in Africa on tax and revenue mobilisation with a score of 67.9 points.
- South Africa leads the continent with a score of 92.4.
- Kenya's score improved by 4.6 points from 2015.
