Kenya has entered into a bilateral agreement with Belgium aimed at eliminating double taxation and curbing tax evasion for businesses and individuals operating between the two countries. The deal, signed on Tuesday, September 30, at the National Treasury offices in Nairobi, is expected to enhance tax certainty and foster cross-border trade and investment.
The signing ceremony was witnessed by Treasury Cabinet Secretary John Mbadi and Belgium’s Ambassador to Kenya, Peter Maddens. Speaking after the event, CS Mbadi underscored the importance of the agreement, noting that it will create predictability in tax matters while promoting fairness and transparency.
“This framework is designed to eliminate double taxation, create predictability in tax matters, and foster cross-border economic activity,” said Mbadi. He added that the agreement would also help prevent tax evasion, creating a more equitable system for both nations.
Mbadi emphasized that the deal is not only about taxation but also about strengthening diplomatic and economic relations. He linked the agreement to the momentum generated during the 2024 Kenya-Belgium Political Consultations in Brussels, where both countries pledged to expand cooperation in trade and investment.
Highlighting Kenya’s strong economic performance, Mbadi noted that the country’s nominal GDP currently stands at Sh15 trillion ($121.3 billion), supported by sound macroeconomic policies and a dynamic services sector. He also cited Kenya’s geographical advantage as a regional hub and its skilled workforce as factors that continue to attract foreign investors.
On his part, Ambassador Maddens welcomed the signing, describing it as a strategic milestone. “This agreement fills a key gap in our bilateral framework and opens new opportunities for cooperation in trade, business, and investment,” he said.
The deal follows a similar double taxation agreement signed between Kenya and the Czech Republic just a week earlier, underscoring the government’s commitment to streamlining cross-border tax policies and attracting foreign investment.
