Insight type: Legal Alert

International commerce continues to undergo a period of rapid and tumultuous change. In 2022, the global litigation landscape has been dominated by two global crises: the COVID-19 pandemic and the war in Ukraine. These two large-scale humanitarian crises have had a profound impact on the global economy.

The Government through the Minister of Labour, Youth, Employment and Persons with Disability recently published subsidiary legislation through GN 687 dated 25 November 2022, the Minimum Wage Order, 2022 (the Order) repealing the Minimum Wage Order of 2013. The Order is made under Section 39 (1) of the Labour Institutions Act and will come into force on 1 January 2023. It will apply to all employees and employers in all private sectors.

The Court of Appeal of Kenya (D. Musinga, (P), H. Omondi & K. Laibuta JJA) through a judgment delivered on Friday, 2 December 2022 upheld the High Court decision that declared the Minimum Tax unconstitutional and the Minimum Tax guidelines void.

Tax dispute avoidance and resolution procedures are essential to the effective and efficient functioning of all tax administrations as well as ensuring certainty and predictability for businesses. Both these elements are critical for building an international tax system that supports economic growth and a resilient global economy.

There is no doubting that more and more people are open to digital banking, especially in the wake of the COVID-19 pandemic, which has pushed “traditional” banking onto digital channels. In a recent report published by N26, a fully digital bank headquartered in Berlin and Accenture, 69 percent of the respondents were open to digital-only banking[1]. The report surveyed 47,810 respondents (i.e., consumers of banking and insurance services) across 28 markets including Asia, Africa, North and South America, Europe and Australia.

The United Arab Emirates (UAE) Data Protection Law came into force on 2 January 2022. The Executive Regulations to the Data Protection Law will be released shortly, after which businesses will have six (6) months to ensure that their data protection policies around personal data and consent are fully compliant with the Data Protection Law.

One of the key outcomes of the recently concluded COP27 was the historic decision to set up a fund to help vulnerable countries respond to losses and damages related to the adverse effects of climate change. In this feature, we focus on the discussions that have led to the establishment of the fund and highlight some of the provisions of the funding arrangement agreed upon by the Parties. The article also summarises, briefly, other outcomes of COP27 and provides highlights on what governments, private parties and civil societies should look out for in the run-up to COP28.

Trade operations under the Africa Free Continental Trade Agreement (AfCFTA) have begun, with Kenya shipping its first batches of locally-made car batteries and tea to Ghana. This process was made possible following the launch of the Guided Trade Initiative by the AfCFTA’s Secretariat – an initiative aimed at testing and demonstrating the efficacy of the legal framework of the AfCFTA instruments and obtaining feedback from the institutional national systems in the participating countries.

The Finance Act, 2022 (the Finance Act) was published on 30 June 2022 to make amendments to a raft of laws in Tanzania including the Income Tax Act and the Value Added Tax Act.

The National Pension Commission (Commission) recently announced the introduction of the Guidelines on Accessing Retirement Savings Account (RSA) Balance towards Payment of Equity Contribution for Residential Mortgage by RSA Holders (the Guidelines). The Guidelines, which were passed in line with the provisions of Section 89 (2) of the Pension Reform Act 2014 (the Act), allow Pension Fund Administrators (PFAs) of RSA holders to utilise part of their retirement savings as an equity contribution to secure residential mortgages.