In June 2025, Kenya’s Parliament firmly rejected a controversial proposal in the Finance Bill 2025 that would have handed the Kenya Revenue Authority (KRA) sweeping powers to access citizens’ personal and financial data without judicial oversight.
What Was at Stake?
The Finance Bill’s Clause 52 sought to repeal a key safeguard in the Tax Procedures Act—Section 59A(1B)—which protects customer data and trade secrets from indiscriminate access by the tax authority. Had the amendment passed, KRA could have directly obtained sensitive data such as mobile money records, bank transactions, and other financial information without the need for a court-issued warrant.
This was not the first attempt. A similar measure had been floated in December 2024 but was rejected after facing widespread criticism.
Why Parliament Said No
Parliament’s Finance Committee concluded that the proposal was unnecessary, unconstitutional, and a threat to fundamental rights. Their reasoning included:
- Violation of Privacy: Article 31 of Kenya’s Constitution guarantees the right to privacy. Granting unrestricted access would erode this protection.
- Adequate Existing Law: Section 60 of the Tax Procedures Act already empowers KRA to obtain necessary data, provided they secure a judicial warrant.
- Strong Opposition: Civil society groups, professional bodies, and the Law Society of Kenya argued the proposal undermined due process, eroded trust, and risked creating surveillance infrastructure.
- Risk of Overreach: Amnesty International Kenya and other rights groups warned that the lack of safeguards could open the door to mass surveillance.
Implications for Data Governance in Kenya
The decision is a landmark moment for data governance. It underscores three critical lessons:
- Checks and Balances Matter – Judicial oversight remains a non-negotiable safeguard against potential abuse of power.
- Public Trust is Fragile – Data-driven governance must be anchored in transparency and accountability. Overreach damages the social contract.
- Revenue Collection vs. Privacy – Governments across Africa are under pressure to increase tax revenues, but such efforts must not come at the expense of constitutional rights.
Looking Ahead
While this rejection is a victory for privacy, the debate is far from over. The push for broader data access powers is likely to resurface in future fiscal discussions. The challenge will be ensuring revenue mobilization strategies are compatible with rights-respecting data governance.
Kenya’s decision sends a clear message: economic reforms must not undermine the constitutional foundations of privacy and trust.