Swedish Tax Agency/Kenya Revenue Authority 2 - Swedish Tax Agency/Kenya Revenue Authority 2 from 2021

Since 2014 Sida has financed two contributions at the Kenya Revenue Authority (KRA):*Cooperation between KRA and the Swedish Tax Agency (Skatteverket, STA), working to improve corporate risk management, tax compliance risk management, data warehouse, and change management (contribution no. 51110077, SEK 44.7 million 2014-2019) *The procurement, installation and implementation of Data Warehouse Business Intelligence (DWBI) at KRA (contribution no. 51110081, SEK 35.0 million since 2014 and still on-going). The support was characterized by significant delays in KRA's procurement of DWBI and in the consultant's installation and implementation of DWBI, by a somewhat difficult relationship between KRA and STA, and by the seemingly limited engagement of KRA's senior management in the cooperation.The support was the subject of an independent evaluation: G Moran, A Jansson, and J Ranguma, Evaluation of the Sida-supported development cooperation with the Kenya Revenue Authority (Sida Decentralised Evaluation 2019:26). The evaluators found that the support was relevant, generally effective and efficient, the big challenge being the slow procurement and implementation of DWBI. The Swedish support coincided with a significant increase in tax collection, a huge increase in the tax base, and what appears to be significant increase in tax compliance, although it is unclear how much of these improvements can be attributed to the Swedish support. The evaluation recommended that Embassy consider supporting …a few follow-up activities and missions aimed at (a) bringing senior management on board and (b) ensuring that the capacity of KRA is enhanced in the areas of business intelligence and analytics (pp. xi-xii).KRA requested that the support to DWBI be extended and that additional support be provided for capacity building and technical assistance for the DWBI project, specifically data governance, advanced analytics development and deployment, change management and sensitization, and the roll-out of risk profiling (Annastaciah Githuba, letter to Anna Jardfelt, Request for Extension to the Specific Agreement for the Datawarehouse and Business Intelligence Project Funding and Capacity Building & Technical Assistance (KRA, 2019-09-24)). Since the request, Sweden and Kenya have agreed to extend the support via the DWBI contribution.STA has submitted terms of reference for an inception period (SEK 485,000 until 2020-06-30), during which KRA and STA will develop a project proposal – including a budget, areas for cooperation, an activity plan, a results matrix and a risk matrix – for a one-year cooperation between KRA and STA 2020-07-01 to 2021-06-30. KRA has approved the terms of reference (Jacinta Nduku Mulwa, e-mail to James Donovan, Re: FW: Utkast – ToR och Budget för Inception Phase - KRA och STA cooperation (KRA, 2020-01-27).