Illicit Alcohol Trade Costs Kenya Billions, Threatens Public Health

Illicit Alcohol Trade in Kenya: A Growing Crisis Kenya faces a significant challenge in the form of a booming illicit alcohol trade. A recent report by the Alcoholic Beverages Association of Kenya (ABAK) reveals a staggering statistic: 60% of all alcohol sold in the country is unregulated and untaxed. This alarming figure has serious implications for public health and the national economy. The ABAK study indicates a 27% increase in the consumption of illicit alcohol since 2022. This surge is largely attributed to high taxes on legal alcoholic products, making them prohibitively expensive for many consumers. As a result, there's been a rise in the popularity of homemade brews like chang'aa and busaa, along with a significant increase in the smuggling of alcohol. Eric Githua, Chairperson of ABAK, emphasizes the impact of this illicit trade, stating, "Illicit alcohol prevents our country from attracting further investments because of the level of illicit that we have. Illicit also reduces the revenue for our great republic." The government's lost tax revenue last year due to this issue amounted to a staggering 120 billion shillings. The video underscores the urgent need for tax reforms and stricter regulations on ethanol to control the illicit alcohol trade, ensuring consumer safety and safeguarding government revenue. The ABAK is actively calling for these changes to address this critical public health and economic issue.