Ruto signs three major economic Bills into law to boost investment push

President William Ruto has signed into law three major economic Bills aimed at reshaping Kenya’s investment and innovation landscape, in a move the government says will improve investor confidence, support industrial growth and modernise the country’s economic framework.

The President assented to the Income Tax (Amendment) Bill, 2026, the Special Economic Zones (Amendment) Bill, 2026 and the Technopolis Bill, 2024 during a State House ceremony held under Article 115 of the Constitution.

The new laws are expected to strengthen tax administration, widen incentives for investors operating in special economic zones and establish a stronger legal structure for technology-driven cities and large-scale strategic projects.

During the ceremony, State House Deputy Chief of Staff Josphat Nanok said the Income Tax (Amendment) Bill, 2026 seeks to “rationalize the administration of capital gains tax in order to align the tax regime with international best practices,” while also improving ease of doing business and facilitating corporate restructuring.

Officials said the law is expected to streamline the handling of capital gains tax and support companies undergoing restructuring processes as part of broader reforms targeting a more investor-friendly business environment.

The Special Economic Zones (Amendment) Bill, 2026 expands the scope of special economic zones to cover oil and gas-related activities as the government moves to attract more investment into the energy sector.

The law also aligns tax incentives within the zones and introduces licensing periods of up to 10 years for major investors, subject to annual compliance checks, in a move designed to support long-term capital-intensive projects.

According to officials, the changes are meant to encourage investment in key sectors including manufacturing, logistics and energy while also supporting petroleum exploration and infrastructure development.

The Technopolis Bill, 2024 establishes the legal and governance framework for technology-focused hubs across the country.

Under the law, technopolis authorities will have powers to contract, borrow, invest and oversee large innovation ecosystems as the government seeks to position Kenya as a regional technology and innovation centre.

The legislation is also expected to support the growth of integrated innovation hubs that will bring together government services, research institutions and private sector players under one system.

Officials said the law strengthens plans to develop globally competitive technology cities such as Konza Technopolis and attract more digital investment into the country.

State officials described the three new laws as part of a wider government strategy to deepen reforms in taxation, investment regulation and innovation-led growth.

They said the legislation is intended to improve policy certainty for investors while aligning Kenya’s economic laws with global trends around the digital economy, energy transition and special economic zones.

The government further expressed confidence that the new legal framework will support efforts to accelerate industrialisation and increase foreign direct investment into the country.