Gabriel Solomon of the GSMA, a global association for mobile operators, says his members are being unfairly targeted as a proxy for taxing the informal economy. East African mobile consumers already pay some of the highest sector-specific taxes in the world, he argues. It has reached the stage, he says, where “if you’ve got a hole in the budget then target telcos.”

Bob Collymore, Safaricom’s chief executive, says he understands the need to raise public funding to pay for infrastructure but worries that over-taxation risks “stifling what is still a nascent sector”.

Indeed, the value of mobile payments, which posted strong monthly rises throughout 2012, fell by almost 1% in January, the month the Kenyan transaction tax was first levied. The contraction reached almost 5% by March. A move back to stuffing bills in mattresses helps no one.

... not convincing at all!

... chaps buy shares in a company coz they see brilliant future in the company whether or not they are in the driving seat

He is just a conductor the driver is some else...kwanza this vodafone guys are very bogus they want to dictate the quota of directors they have...bringing in their person into a slot meant for a local...

KES 300M p.a??? Link???

@The optimist, you are too quick to "wow". Confirmation is needed for that figure. It doesnt look inorder

@mwekez@ji What is wrong with a wow!

Indeed, the value of mobile payments, which posted strong monthly rises throughout 2012, fell by almost 1% in January, the month the Kenyan transaction tax was first levied. The contraction reached almost 5% by March