Cost of mobile phones in Kenya set to increase by 16%

Mobile phone manufactures are criticizing the move by the parliament to pass the controversial VAT bill of 2013 which they say will make all mobile handsets in the country expensive and unaffordable.

The different handset manufactures affected by the bill say they will raise the prices up by 16% and this could lead to job losses in the ICT sector and kill local technology innovations.

Back in 2009, the government exempted Mobile phones from paying VAT which helped to increase subscriber penetration and brought a big and positive impact into the ICT sector .

Source: The Star