‘It is retrogressive’ – Atwoli condemns proposal seeking to imprison individuals ‘hoarding’ foreign currency
By Mary Ouko, October 5, 2023
Central Organization of Trade Unions (COTU) boss Francis Atwoli has slammed the recently proposed Forex Hoarding Bill 2023 which seeks to imprison or fine individuals who ‘hoard’ foreign currency for more than 45 days.
In a statement, Atwoli expressed utmost disappointment in the proposal terming it a retrogressive, repressive and archaic piece of legislation.
While condemning the proposal, the COTU boss also claimed that the proposal is likely to affect job creation and freedom of workers.
“This bill, which seeks to imprison or fine individuals for ‘hoarding’ foreign currency beyond 45 days, is a retrogressive, repressive, and archaic piece of legislation that runs counter to the principles of economic progress and investor-friendly policies that will affect job creation and the freedom of workers.
“COTU (K) firmly believes that Kenya has evolved beyond the era where individuals were required to declare their currencies when travelling in and out of the country. The proposed Forex Hoarding Bill, 2023, if passed, would be a step backwards, reminiscent of colonial-era practices that stifled individual freedoms and intimidated investment in the country,” the statement reads in parts.
Continuing his spiel, the outspoken trade unionist also noted that the proposal is detrimental to investors’ confidence and discourages individuals and businesses from participating in international trade and currency exchange.
He, however, encouraged the parliament to instead formulate legislation that encourages the free and unconditional flow of capital so long as individuals can account for the capital and that the funds in question are not proceeds of money laundering.
This, according to Atwoli, would foster an environment conducive to investment and economic growth.
COTU (K) CONDEMNS PROPOSED FOREX HOARDING BILL, 2023
— Francis Atwoli NOM (DZA), CBS, EBS, MBS. (@AtwoliDza) October 5, 2023
The Central Organization of Trade Unions (Kenya), COTU (K), wishes to express its strong condemnation of the proposed Forex Hoarding Bill, 2023. This bill, which seeks to imprison or fine individuals for ‘hoarding’ foreign… pic.twitter.com/JXe0lHfB4v
“Kenya has made significant strides in its economic development and international trade relations taking in mind that we have witnessed the rise of numerous multi-millionaires and start-ups striving to become unicorns, which is a testament to the entrepreneurial spirit and innovation of our people.
“COTU (K) believes that punitive measures like those proposed in the Forex Hoarding Bill, 2023, are detrimental to investor confidence. Such measures discourage individuals and businesses from participating in international trade and currency exchange. In today’s globalized world, it is essential that we encourage the free flow of capital and support an open, flexible, and investor-friendly regulatory environment,” Atwoli said.
Adding: “As COTU (K), we believe that Kenya should continue to embrace progressive economic policies that encourage investment, create jobs, and promote prosperity for all its citizens. We hope and trust that Parliament will reject this archaic and retrogressive bill in totality,”