The Kenya Revenue Authority (KRA) has kicked off the second half of the 2025/26 financial year on a strong footing after surpassing its December revenue target, driven by robust growth in domestic taxes and a historic performance by Customs.
KRA collected KSh307.6 billion in December 2025 against a target of KSh285.0 billion, translating to a 108 per cent performance rate and a 29.3 per cent growth compared to the same month last year.
Exchequer revenue stood at KSh284.3 billion, exceeding the target of KSh261.8 billion by KSh22.5 billion. This represented a 108.6 per cent performance rate and a 30.1 per cent year-on-year growth.
Customs and Border Control delivered the standout performance, collecting KSh85.9 billion against a target of KSh83.0 billion, a 103.5 per cent achievement and a 23.5 per cent increase from the KSh69.6 billion collected in December 2024. The December outturn marked the highest monthly customs collection in KRA’s history, surpassing the previous record of KSh85.2 billion set in October 2025.
The strong customs performance was largely driven by oil taxes, which grew by 23.9 per cent and achieved a 103.7 per cent performance rate. Key contributors included value added tax on oil imports, import duty on oil, the railway development levy, petroleum development levy, petroleum regulatory levy and the road maintenance levy.
Non-oil taxes also posted solid results, recording a 103.4 per cent performance rate and 23.4 per cent growth, supported by a 14.9 per cent increase in non-oil import values.
Meanwhile, Domestic Taxes collection reached KSh221.3 billion in December against a target of KSh201.6 billion, representing a 109.8 per cent performance rate. Domestic tax revenue grew by 31.7 per cent, up from KSh168.1 billion collected in December 2024.
KRA said it remains optimistic about meeting its KSh2.97 trillion revenue target for the 2025/26 financial year, which requires a 15.4 per cent growth from the KSh2.57 trillion collected in the previous financial year.
The Authority attributed the strong performance to improved compliance and thanked taxpayers for timely filing and payment, noting that sustained revenue growth is critical to supporting Kenya’s economic stability.
