Government Proposes New Oversight Model for Tourism Funds Management
Tourism Ministry seeks to separate levy collection from fund management to boost transparency and efficiency in Kenya's tourism sector.
By John Mtongoi Newsroom
August 20, 2026
2 min read
The Ministry of Tourism and Wildlife has proposed reforms to separate the collection of tourism levies from the management and disbursement of the resulting funds. This move aims to enhance transparency, accountability, and operational efficiency within the sector.
Currently, the Tourism Fund collects a 2% levy from regulated hotels and restaurants, which is then distributed to government tourism institutions such as the Kenya Tourism Board (KTB), Tourism Research Institute (TRI), Bomas of Kenya, and Kenya Utalii College.
Under the proposed amendments presented to the National Assembly Departmental Committee on Tourism and Wildlife, the Tourism Fund would continue to collect the levies, while the Cabinet Secretary for Tourism would take on the oversight role of managing and disbursing the funds. This includes policy formulation, setting levy amounts, and establishing disbursement conditions.
Tourism Cabinet Secretary Rebecca Miano emphasized the need to modernize the legal framework to better reflect current sector realities and support sustainable growth. She highlighted that the reforms would foster improved coordination, institutional efficiency, and create a more conducive environment for investment and innovation.
Tourism Principal Secretary Julius Bitok likened the proposed structure to the existing financial management model where the Kenya Revenue Authority collects taxes and the Central Bank of Kenya oversees funds allocation. He noted that this clear separation would enable better planning and execution of tourism programs.
The parliamentary committee, chaired by Maara MP Kareke Mbiuki, is reviewing the Bill alongside other amendments aimed at aligning Kenya's tourism laws with global standards. These include merging KTB and TRI and restructuring semi-autonomous agencies.
Mbiuki called for broad public participation to build consensus and urged the Ministry to expand the tourism levy base beyond traditional hospitality to cover platforms like Airbnb.
The committee has also received input from the Office of the Attorney General, Kenya Law Reform Commission, TRI, and KTB as part of its ongoing deliberations.
