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Originally published by Nation Business
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business
February 7, 2026
1d ago

CS Kinyanjui sued for failure to effect Finance Act part

CS Kinyanjui sued for failure to effect Finance Act part

The CS breached the law by failing to effect an exemption in the Act, court heard...

✨ Key Highlights

Trade Cabinet Secretary Lee Kinyanjui is facing a lawsuit for allegedly failing to implement a part of the Finance Act 2025 that exempted unprocessed glass used by local manufacturers from excise duty. This legal action highlights growing concerns over policy execution and regulatory certainty in Kenya.

  • Businessman Peter Indasi filed a petition at the High Court, seeking declarations that the Cabinet secretary breached the law by not effecting the exemption.
  • The dispute centers on a 35 percent excise duty or Sh500 per square meter on imported float glass, from which local processors were to be exempt.
  • The Kenya Revenue Authority (KRA) and the Attorney General are also named as respondents, with the Kenya Association of Manufacturers (KAM) joining as an interested party.
  • The delay has prevented legitimate processors from importing float glass duty-free, undermining the objective of promoting domestic manufacturing and value addition.

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Part of the Day's Coverage

NSSF Flagged for Irregular Payments, CBK Sets Bank Capital Rules, and CS Sued Over Finance Act - February 2026

The Auditor General has flagged the National Social Security Fund (NSSF) over irregular payments of acting and special duty allowances exceeding Sh21.2 million. This was due to employees serving in acting capacities beyond the allowed six months without proper approval. In a separate directive, the Central Bank of Kenya (CBK) has mandated that all banks must achieve a minimum core capital of KSh 5 billion by December 2026, and KSh 10 billion by the end of 2029. This directive has caused unease among smaller Tier 3 banks. Additionally, Trade Cabinet Secretary Lee Kinyanjui is facing a lawsuit for allegedly failing to implement a part of the Finance Act 2025. The lawsuit concerns a provision that exempted unprocessed glass used by local manufacturers from excise duty.

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