On 8 September 2026, State House announced a 90-day regularisation exercise for foreign nationals doing business in Kenya. The 90-day regularisation window is not a new law, and it does not change any offence already on the statute book. It is a stated pause before the government begins enforcing four existing requirements firmly and strictly: immigration status, work permits, business registration and licensing. This article explains what each requirement means in law and what a foreign business owner should check before the window closes.
What the 90-day regularisation statement says
According to The Star’s report of the statement by State House Spokesperson Hussein Mohamed, agencies will run an “orderly regularisation exercise” over the next 90 days, in consultation with the embassies concerned, and will administer the requirements “fairly, consistently and without discrimination”. At the end of the period, the requirements “will be enforced firmly and strictly in accordance with the law and due process”. The statement also says that every person conducting business in Kenya must comply, that lawful foreign investors remain protected, and that only authorised State agencies may enforce the law, so no individual or group may harass or threaten foreign nationals or their businesses.
Two points about what the statement does not say. First, it gives no end date. Counting 90 days from 8 September lands on 7 December 2026, but that is arithmetic, not an official date, so plan to be compliant well before it. Second, the statement refers to proposed legislation that could reserve some small-scale activities for Kenyan citizens. That is a proposal, not law, and this article deals only with requirements that already exist.
Requirement one: lawful presence
Section 34 of the Kenya Citizenship and Immigration Act, 2011 provides that a person who is not a citizen shall not enter or remain in Kenya unless they hold a valid permit or pass. A non-citizen’s presence is unlawful unless they hold a valid work permit, residence permit or pass.
A visitor’s pass is not a licence to trade. Regulation 30 of the Kenya Citizenship and Immigration Regulations, 2012 bars the holder of a visitor’s pass from any employment, paid or unpaid, and from any other income-generating activity, without the written permission of an immigration officer. Doing so is an offence, and the pass is treated as expired from the date the activity begins.
Requirement two: a permit that matches what you actually do
Section 53(1)(m) of the Act makes it an offence for a non-citizen to engage in any employment, occupation, trade, business or profession, whether or not for profit or reward, without authority from a work permit or an exemption under the Regulations. Section 53(1)(n) makes it an offence to employ someone whom you know, or have reasonable cause to believe, is doing so. On conviction, section 53(2) provides for a fine of up to KES 500,000, imprisonment of up to three years, or both.
The permit must also fit the activity. Under section 41(1), a permit ceases to be valid if the holder fails, without the Director’s written approval, to start the permitted activity within ninety days, stops it, or engages in a different employment, occupation, trade, business or profession from the one the permit was issued for. A permit issued for employment with a particular employer therefore does not, on the wording of section 41(1)(c), support running your own shop.
The usual route for a foreign owner is Class G. Under the Seventh Schedule to the Regulations, Class G covers a person who intends to engage in a specific trade, business, consultancy or profession and who has obtained any licence, registration or other authority needed, has sufficient capital and other resources at their own free disposition, and whose activity will benefit Kenya. Our guide to Class G investor permits explains how to evidence each limb, and our guide to work permit classes covers the alternatives.
Requirement three: registration
The statement lists “registration” alongside immigration and licensing. We read that as meaning the business itself must exist lawfully: a company, partnership or business name registered with the Business Registration Service, tax registration with the Kenya Revenue Authority, and current statutory filings. A foreign national trading informally, with no registered entity behind them, is the most exposed case.
Registration also cannot wait for the permit. Class G requires that any necessary licence, registration or other authority has already been obtained, so the entity and its approvals come first. Our guide to the cost and timeline of setting up a foreign-owned company sets out the sequence.
Requirement four: licensing
Trade licensing is largely a county function. Paragraph 7(b) of Part 2 of the Fourth Schedule to the Constitution assigns “trade licences (excluding regulation of professions)” to county governments, and each county makes its own licensing law. The Kiambu County Trade Licence Act, 2016, for example, states that it gives effect to that paragraph. Expect to need a county licence for each county in which you trade, and separate sector licences where your activity is regulated by a national body.
A practical checklist for the window
- Check every owner’s, director’s and manager’s passport, pass or permit: its class, expiry, conditions, and whether the work they actually do is the work it authorises.
- Fix mismatches now. Do not assume that a pending application lets you work. Section 53(1)(m) speaks of authority “by a work permit”, and an application is not one.
- Confirm that the entity’s registration documents, tax registration and statutory filings are current.
- Confirm that each premises has a current county trade licence and any sector licence, and diarise the renewal dates.
- Keep one compliance file per business, ready to produce. Regulation 24 allows the Director of Immigration Services to visit places of business, with or without prior notice, to verify information and monitor compliance with permit and pass conditions.
How We Can Help
Clay & Associates Advocates advises foreign investors on permit strategy, entity set-up and the sequencing of licences. Our guides to relocating a foreign team to Kenya and work permit fees cover the mechanics. To review your position before the window closes, contact our Regulatory & Compliance team.
Sources: The Star, “State gives foreign traders 90 days to regularise business status” (8 September 2026); Kenya Citizenship and Immigration Act, 2011, sections 34, 41 and 53; Kenya Citizenship and Immigration Regulations, 2012, regulations 24 and 30 and the Seventh Schedule; Constitution of Kenya, Fourth Schedule; Kiambu County Trade Licence Act, 2016.
Frequently asked questions
Does the window mean I can keep operating without the right permit until it closes?
No. As reported, the statement promises guidance and fair administration during the period. It does not say the offences in the Act are suspended, and we have not found anything that amends them. Treat the window as time to fix problems, not as permission to continue outside the law.
I own the company. Do I still need a work permit?
Section 53(1)(m) applies to any non-citizen who engages in a business, whether or not for profit, so ownership does not remove the need for authority. Whether your role falls within an exemption in the Regulations has to be checked against your facts.
What is the penalty for working without authority?
Under section 53(2), a fine of up to KES 500,000, imprisonment of up to three years, or both. A permit can also cease to be valid under section 41 if you work outside the activity it was issued for.
Who enforces the requirements?
The statement says enforcement belongs exclusively to duly authorised State agencies. In practice that means immigration officers under the Act and county licensing officers under county law.
