Scores of Ugandan traders and other East African informal vendors operating in Kenya have begun exiting the country, arriving at border points like Busia in panic. The sudden departure follows a sweeping directive issued by Kenyan President William Ruto ordering government authorities to enforce strict laws against foreign nationals operating small-scale retail and hawking businesses without proper documentation.
The policy, which officially took effect on Monday, September 7, targets low-capital informal businesses including street vending, small retail kiosks, and hawking that have traditionally provided livelihoods for hundreds of thousands of regional migrants across major Kenyan urban centers like Nairobi.
Affected Ugandan traders were seen arriving at the Busia border post carrying luggage, merchandise, and personal belongings as they returned home to avoid potential harassment, administrative closure, or arrest by enforcement officers.
The Kenyan government framed the policy as a measure to protect economic opportunities for local Kenyan traders who have faced mounting financial pressures, rising inflation, and increased competition in the informal sector. Protests and complaints by local business groups in Nairobi and other major towns recently escalated, accusing non-citizens of taking over micro-retail activities.
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In response, Kenya’s Ministry of Trade and regional authorities directed enforcement agencies to crack down on foreign nationals engaging in small-scale business activities without valid work permits or business licenses. Officials accused some foreign visitors of misusing tourist visas to operate informal shops and street stalls.
However, the rapid enforcement has triggered anxiety across the East African Community (EAC) regional bloc. While EAC protocols guarantee the free movement of goods, services, and labor, national laws still govern local trade licensing and work permits creating a complex friction point for informal cross-border traders.
Kenya’s Principal Secretary for Foreign Affairs, Korir Sing’oei, sought to calm tensions, clarifying that the policy is not an outright deportation of foreign nationals, but an enforcement of statutory regulations.
He emphasized that foreign traders possessing valid work permits, business licenses, and immigration clearance remain protected under Kenyan law and are free to operate.
Despite these assurances, many small-scale Ugandan and Burundian vendors operating on micro-capital say obtaining expensive formal work permits within the short timeframe is unviable. Unwilling to risk confiscation of goods or detention, many have chosen to pack up their operations and return home.
The influx at border crossings is expected to continue throughout the week as regional leaders monitor the impact on cross-border informal trade.
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