(NAIROBI, KENYA) – East African Community (EAC) nationals can live, work and run businesses in Kenya without paying for a work permit, even as a pronouncement by President William Ruto to bar foreign nationals from operating micro and small enterprises stirs unease in the region.
The pronouncement has particularly unsettled nationals of EAC countries such as Burundi, who have moved to Kenya in large numbers over the years. The Business Daily reviews what EAC nationals need to live, work or do business in Kenya.
East African nationals do not pay any fee to register for a work permit that allows them to engage in small scale business in Kenya. This applies to nationals from the eight partner states of the EAC: Kenya, Uganda, Tanzania, Rwanda, Burundi, South Sudan, the Democratic Republic of Congo and Somalia.
Citizens of other EAC partner states have the right to live, work, trade and establish businesses in Kenya under the EAC Common Market Protocol and Kenyan immigration laws.
Under Kenya’s immigration laws, an EAC national who wants to live in Kenya must obtain the Class R permit. The Class R permit is a free, multi use work and residence permit issued only to citizens of EAC partner states. It is a gratis work and residence permit for EAC nationals who wish to live, work or run a business in Kenya.
If you are a national of any EAC partner state doing small business in Kenya, you are required to regularise your stay under the new law. However, individuals who are not classified as prohibited immigrants do not qualify under that law, nor do foreigners or people who intend to reside in Kenya to work, trade, invest or practise a prescribed profession.
To stay in Kenya, one must first be issued with the Class R permit. EAC nationals need to visit the Kenya eFNS portal on eCitizen and apply for a Class R permit. This new law is captured under a gazette notice in the Kenya Citizenship and Immigration Amendment Regulations 2024, issued by the Prime Cabinet Secretary and CS Foreign and Diaspora Affairs, Musalia Mudavadi.
Class R is intended for all skill levels, from workers and entrepreneurs to investors, as long as activities do not fall under other specific permit requirements. The permit itself is free. The processing fee is KES 0 ($0 / GBP 0), and the issuance fee is KES 0 ($0 / GBP 0).
But if you intend to trade, EAC nationals, including foreign nationals, must comply with local business licensing, registration, tax laws and professional regulatory standards, such as specific requirements for regulated professions like law or medicine.
Just like Kenyan local traders, operating small scale businesses or informal trade requires proper documentation and compliance with Kenyan regulatory frameworks under county governments as well as at the national level.
Among the documents you will need are a valid passport, a cover letter explaining what you do, a KRA PIN if you are doing business, and a police clearance for small traders. You will then be required to pay about KES 5,000 ($39 / GBP 31) per year for Alien Registration, which is the Foreign National ID. The application starts online, but you must print the forms and submit them physically at Immigration offices at Nyayo House in Nairobi.
Class R holders may work, start a business, invest or practise a profession in Kenya without needing a separate work permit.
They can also bring spouses and dependent children, who enjoy dependent or EAC resident status. The permit confers full legal status to live and work in Kenya. However, it is not a pathway to citizenship; it is a temporary permit. Class R holders must still obtain employment passes or licences for regulated jobs, if required by local authorities.
The Class R permit is typically issued for one or two years. Renewals are also fee free. The permit can be renewed before expiry by repeating the application process through eCitizen.
EAC nationals can apply for Kenyan permanent residence after seven years of continuous residency, subject to conditions under the Immigration Act. It is the legal way to live, work and trade in Kenya as an EAC citizen, and your right is protected by the EAC Common Market Protocol, which calls for six freedoms including free movement of goods, services, labour and capital as well as the Right of Establishment and the Right of Residence.
With the free movement of persons, EAC nationals have the right to enter, move freely, stay and exit partner state territories without a visa.
The EAC Common Market Protocol provides for six freedoms, namely free movement of goods, labour, services and capital, then the right to residence and the right to establishment. Under free movement of labour and workers, the Treaty grants workers the right to accept employment offers and move across borders without discrimination. Under the free movement of services, it is the right of EAC nationals to provide services across borders without nationality discrimination. The right of establishment grants EAC partner states citizens the right to set up and manage businesses, companies or professional practices in any partner state.
The East African Community Treaty does not treat or recognise all citizens or nationals of Kenya, Uganda, Tanzania, Rwanda, Burundi, South Sudan, the Democratic Republic of Congo and Somalia as foreigners. Under the Treaty for the Establishment of the East African Community, the term “foreigner” is not explicitly defined as a standalone word; instead, the treaty formally defines a “foreign country” under Chapter 1, Article 1 as “any country other than a Partner State”.
Citizens of the EAC partner states are not considered foreigners relative to other member states in the context of community integration rights such as the Common Market Protocol principles governing the free movement of goods, labour, services and capital, though they remain subject to local laws and immigration procedures of host partner states.
The EAC Treaty lays emphasis on non discrimination and transparency: treating citizens of other partner states equally without bias based on nationality, and providing open access to laws, regulations and administrative guidelines affecting other members.