COTU opposes forex hoarding bill 2023

Nairobi, Kenya, Oct 5 -The Central Organization of Trade Unions (Kenya) COTU, has strongly condemned the proposed forex hoarding bill 2023.

The bill seeks to imprison or fine individuals for ‘hoarding’ foreign currency beyond 45 days.

Through a press statement the union terms the bill as a retrogressive, repressive and archaic piece of legislation that runs counter to the principles of economic progress and investor-friendly policies that will affect job creation and the freedom of workers.

The union believes that Kenya has evolved beyond the era where individuals were required to declare their currencies when traveling in and out of the country

It therefore says that if the bill is passed it will be a step backward and reminiscent of colonial era practices that stifled individuals freedoms and intimidated investments in the country.

COTU further notes that Kenya has made significant strides in its economic development and international trade relations taking in mind that the country has witnessed the rise of numerous multi-millionaires and start-ups striving to become unicorns, which is a testament to the entrepreneurial spirit and innovation of Kenyans.

’’If anything COTU would like to encourage the parliament of Kenya to come up with legislation that encourages the free and unconditional flow of capital so long as individuals can account for the capital and that the same is not out of money laundering,’’ COTU’s statement read.

COTU further says that it believes that punitive measures like those proposed in the forex hoarding bill 2023, are detrimental to investors confidence. The union says that those measures discourage individuals and businesses from participating in international trade and currency exchange.

‘’In today’s globalized world, it is essential that we encourage the free flow of capital and support an open, flexible and investor friendly regulatory environment,’’ the statement further reads.

Finally COTU reiterates that it believes Kenya should continue to embrace progressive economic policies that encourage investment, create jobs and promote prosperity for all its citizens