2 .
MAY 2017
Saving Grace
Continued from pg . 1
The US-made DA-50 UAV was initially tested in 2015 over the Mkomazi National Park . It is equipped with an infrared camera ; the DA-50 can fly multiple day and night missions sending back real time images to officers on the ground . “ This is a great solution to the poaching crisis , it is fast , discreet and accurate and it can be deployed across all of the country ’ s national parks and game reserves ... it can be done effectively and in a manner difficult for poachers to escape or counter ,” he said .
The crisis Early last year , elephant poachers killed a British helicopter pilot Roger Gower who was on an anti-poaching mission . Every day in Tanzania , poachers mow down at least 30 elephants -a crisis that demands urgent , multifaceted and comprehensive intervention . This is not to say that nothing has been done to stop the killing of over 10,000 jumbos every year in Tanzania , rather , despite ongoing efforts , the carnage remains . There are major breakthroughs worth noting including arrest of the ‘ Ivory Queen ’, a Chinese woman accused of leading the illicit ivory trade for decades and being behind the smuggling of over 700 tusks that represent the killing of over 350 elephants ; that is , she is responsible for the death of one elephant almost every single day . The crisis has sparked a worldwide outcry and for the past half-decade , Tanzania has become infamous so much so that it is listed among ‘ the gang of eight ’ that is eight countries propagating the killing of elephants and sale of their ivory . Others are Kenya , Uganda , Malaysia , Vietnam , the Philippines , Thailand and China .
“ Elephants could disappear from one of Africa ’ s most important wildlife reserves within six years unless industrial scale poaching is stopped and mining is brought under control ,” WWF has warned .
Three years ago on 13th November , then Minister of Natural Resources , Lazaro Nyalandu signed the Arusha Declaration on Wildlife Crime that marked Tanzania ’ s declaration of war on poaching . The declaration also committed eight other African nations to the initiative and reaffirmed Tanzania ’ s ‘ National Strategy to Combat Poaching and Illegal Wildlife Crime ’. The United Nations ’ group of institutions and development partners played a central role in the implementation and realization of the initiative . Three years down the road , the partnership and support has been acclaimed as successful providing unprecedented support to law enforcement in Tanzania and the partner countries . However , experts agree that the wildlife crisis is much more complex than just law enforcement . Speaking recently in Dar es Salaam at a CEO Round Table ( CEOrt ) meeting , the Minster of Natural Resources and Tourism , Prof Jumanne Maghembe who delivered the keynote speech , said , while there have been setbacks , the future is promising . “ The private sector has been repeatedly referred to , in principal , as a necessary partner to launch this more complete and effective campaign ; their integration into the institutional mechanics was effectively left on hold … all that has changed ,” he said . In 2014 , even before the Arusha meeting at which the Minister formalized the national strategy , the private sector established the Private Sector Anti- Poaching Initiative ( PSAPI ) the brainchild of Godfrey Simbeye , CEO of the Tanzania Private Sector Foundation ( TPSF ). The logic is irrefutable . Wildlife tourism is an indispensable element of the Tanzanian economy and the Private Sector must bring together its energy and capacity to ensure wildlife is protected . Under Simbeye ’ s leadership , PSAPI went a step further , providing not only support in principal but in action as well . The CEOrt meeting marked another step in developing Tanzania ’ s anti-poaching campaign . At the meeting , the Tanzanian
Phil Jones Martin UAV chief of operations preparing for take off in Mkomazi national park . Photo Credit UAV
development community and the government came together and in effect , asked the private sector , represented by PSAPI and TPSF to join the fight . A stakeholder project was structured to bring consensus to the varying views of public and private interests . This went side by side with incubation of the various related wildlife conservation projects referred to as ‘ components ’. It included vital aspects such as integrating local communities and the civil society into the national anti-poaching campaign . However , implementing solutions on
Unmanned Aerial Vehicle on display . Photo Courtesy of UAV
UAV anti-poaching surveillance is not easy , even with the best plans in place . In Tanzania , and most African countries , there are no UAV regulations in place for this new technology . Building the required capacity therefore involves negotiating the bureaucratic landscape , working with organizing authorizations and developing relationships with the security forces , the civil aviation authorities and whatever department may put their hand up and stake a claim in these activities .
Kenya ’ s future ahead
Continued from pg . 1
There has been a lot of talk on netting the informal sector to include them in contributions to the national basket . Again , it being an election year there was not a lot of backing for this as the informal sector composes a majority of the deciding electorate . Concessions were made in personal taxation . The CS proposed to further expand the tax brackets by 10 % and increase the personal relief by another 10 % to bring it to KES 1,408 per month . Salaried Kenyans will now have a few extra coins in their pockets . What this effectively means is that a person earning below KES 13,706 per month will not have their income subject to tax . The highest tax band will begin at KES 47,059 up from the current KES 42,781 . The exemption from tax of bonuses , overtime and retirement benefits paid to low income earners , introduced in the 2016 Finance Act , will remain . Low income earning employees will continue to receive these benefits tax-free and also including school fees paid to their children . Other goodies dished out were the zero rating of maize , wheat flour and bread . This was in a bid to contain the skyrocketing price of basic foods . Inflation in the first three months had hit 15 % mainly as a result of the draught . The new tax relief effective immediately was extended in the hope that it would stem the rise in cost of food . The CS further intimated that he would reverse the provision should the producers of these goods not pass on the benefit to the consumers . In his Speech , the CS also made proposals to amend various laws , which will in effect give recognition to Islamic financing tools . The Public Finance Management Act will be amended to provide for issuance of Sukuk bonds ( Islamic bond ) as another source of financing for development projects . The Income Tax and VAT Acts will also get amendments to recognize this as an income stream . Subsequently , Islamic finance return has now been included in the definition of ‘ interest ’ for tax purposes . In the case of VAT , this will now be an exempt source of income .
The biggest blow was dealt to the betting , gaming and lotteries industries . The CS proposed to increase the tax to a harmonized 50 % up from 7.5 % betting tax , 5 % gaming tax and 12 % lotteries tax . The tax is applicable on revenues after winnings have been paid out to the players . It has been widely misconceived that the tax would be borne by the players . Players will remain unaffected , as they will continue to receive their full winnings . However , investors in the gambling industry will be adversely affected .
Tax Rate ( KES )
The new 50 % tax is not a final tax . The investors in betting , gaming and lotteries firms will also be expected to pay 30 % corporation tax on profits earned after accounting for expenses . The whole motivation behind this was that the industry was not regulated and the seeming social effects it was having on citizens .
Current Tax Band Per Month
10 % 11,180 12,298
15 % 10,534 11,587
20 % 10,534 11,587
25 % 10,534 11,587
30 % 42,781 47,059
Stakeholders have aired concerns about the handling of these issues . The move could see a proliferation of the underground betting industry and relocation of the investors to other jurisdictions . Most of the gambling platforms are based online which means they can still be accessed whether the companies have registered locally or within a different jurisdiction . The only hurdle they would have to overcome is money collection and payment points . Most gamblers have become
Proposed Tax Band per Month accustomed to the ( KES )
Mpesa platform , which is now also accessible to the Commissioner . The Cabinet Secretary widened his reach to give him unfettered access to Mpesa records without necessarily requiring a court order .