When Lilian Nyawanda picked up the call on April 8, she knew instantly that her career had entered a defining stretch.
On the line was the chairman of the Kenya Revenue Authority (KRA) board, Ndiritu Muriithi, informing her that she had been selected to serve as acting commissioner-general following the abrupt exit of Humphrey Wattanga.
The appointment, pending a substantive hire, placed her at the helm of one of Kenya’s most consequential institutions, mid-financial year, with revenue targets looming.
The tax authority had by the end of March collected Sh2.038 trillion by the end of March-the first time it had crossed the Sh2 trillion mark within nine months. But that meant the authority was facing an almost impossible task of raising Sh932 billion in the final three months of the current financial year to meet its Sh2.97 trillion annual revenue target set by the National Treasury.
Dr Nyawanda’s reaction to the news from Mr Muriithi was measured. ‘Mixed feelings,’ she told the Business Daily in an interview on April 22.
‘KRA is an institution that has transcended different seasons… but the mandate remains. We still have targets to hit.’
That sense of continuity, rather than disruption, defines Dr Nyawanda’s early days in office. She is not positioning herself as a reformer tearing down systems, but as a technocrat intent on refining and scaling what already works.
Yet the real test is whether the model she built in the customs can be replicated across a tax authority that has struggled to meet broader annual revenue targets over the years.
Before her elevation to the top-most managerial position at KRA, Dr Nyawanda served as Commissioner for Customs and Border Control, a department that has in recent years outperformed targets even as domestic taxes units lagged. The contrast has not gone unnoticed, and now forms the basis of expectations around her leadership. Her explanation for customs’ success is neither accidental nor singular.
It is, she insists, the result of deliberate design.
‘We focused on efficiency, transparency and technology-driven service delivery,’ Dr Nyawanda says. ‘It’s really a combination of reforms.’
At the heart of this approach is a quiet but far-reaching overhaul of how goods are cleared into the country.
The shift has done more than streamline operations. It has introduced layers of accountability and visibility that were previously fragmented. Officials can now track clearance times, monitor decisions, and reduce discretion at the point of release–long seen as fertile ground for rent-seeking.
Complementing this is a growing reliance on non-intrusive inspection technology. Scanners, which are linked to a central analysis hub, have reduced the need for physical cargo checks, allowing compliant goods to move faster while flagging suspicious consignments.
For trusted traders, the experience is even smoother. Through the authorised economic operator programme, hundreds of vetted companies get expedited clearance, with compliance verified retrospectively through audits rather than upfront delays.
The cumulative effect, Dr Nyawanda argues, is that revenue growth becomes a by-product of better systems rather than the sole objective.
‘As you give taxpayers a good experience, revenue becomes a secondary issue that flows,’ she says.
Now, the challenge is translating that success to domestic taxes-the Large and Medium Taxpayers as well as Micro and Small Taxpayers divisions which account for the bulk of KRA’s collections, but have faced persistent shortfalls.
Dr Nyawanda insists the process has already begun. The same principles of technology, process engineering, accountability, and taxpayer facilitation are being applied to large, medium and small taxpayer segments.
But she is careful not to frame this as a break from the past: ‘It’s not really a different approach…It’s leveraging what exists and taking it a notch higher.’
That continuity may reassure insiders, but it also raises questions about whether incremental adjustments will be enough for an institution under growing pressure to plug revenue gaps amid a strained fiscal environment.
Even as reforms take root internally, Dr Nyawanda is clear that the biggest gains lie in expanding the tax base, particularly in the informal sector. She acknowledges that revenue targets are set within government budget frameworks and can at times appear ambitious, but insists KRA’s focus is on maximising compliance rather than contesting the numbers.
‘We are doing our best, but there’s still room for more,’ she says, pointing to technology as a key enabler in simplifying processes and onboarding more taxpayers.
A major priority, she adds, is bringing micro and small enterprises into the tax net through sustained engagement and taxpayer education. Few institutions in Kenya attract as much public scrutiny as KRA, and Dr Nyawanda steps into office with a familiar perception challenge: that the authority is quick to enforce but slow to refund.
She does not dismiss the criticism outright. Instead, she situates enforcement within the broader context of compliance: ‘Enforcement has its place,’ she says, pointing to smuggling and entrenched non-compliance. ‘But our approach is to ensure there is a fair process before we get there.’
On refunds, she acknowledges delays but points to structural constraints, particularly budgetary allocations from the National Treasury. While funding for refunds has increased, she concedes that turnaround times are not yet where they should be.
The balancing act – between firmness and fairness – will likely define her tenure, especially as KRA intensifies efforts to widen the tax net without stifling economic activity.
If enforcement shapes KRA’s external image, corruption remains its most persistent internal threat.
Dr Nyawanda approaches the issue with a mix of pragmatism and assertiveness. She describes corruption as a systemic challenge, not unique to KRA, but insists the authority is taking deliberate steps to confront it.
Among these is the iWhistle platform, which allows anonymous reporting of misconduct. The tool has generated a steady stream of cases, leading to disciplinary action against staff and exposing non-compliant taxpayers.
‘It may look simple, but it has had an impact,’ she says.
KRA has also embedded integrity assurance officers across departments, strengthened cybersecurity systems to reduce human interaction and conducted lifestyle audits on staff suspected of unexplained wealth. The aim is not just enforcement, but culture change.
‘Corruption has no place at KRA,’ Dr Nyawanda says. ‘We are committed to building a transparent and accountable institution.’
Her confidence in system-driven reform is rooted in a career that straddles both sides of the tax divide. After starting at KRA as a graduate trainee, she moved into the private sector, taking up roles at Deloitte, East African Breweries, and later Diageo, where she handled customs and excise matters across multiple African markets.
The experience, she says, exposed her to the realities businesses faceg.
‘You understand the pain of the taxpayer,’ she says. ‘It’s about making it a win-win.’
That perspective has informed her push for stakeholder engagement, including opening up customs processes to dialogue with industry players and feeding those insights into policy proposals at both national and regional levels.
Away from policy and performance metrics, Dr Nyawanda’s life is defined by structure and support.
Her days begin early, with a routine that includes devotion and a 30-minute workout-a discipline she says is essential not just for health, but for mental clarity in a demanding role.
Balancing work and family, she admits, is imperfect. ‘It’s never really a perfect balance,’ she says, crediting a strong support system-her spouse, children and close network-for keeping her grounded.
Dr Nyawanda’s appointment may be temporary, but the expectations are anything but….With just weeks to the close of the financial year when she took office, and a longer-term mandate to stabilise and grow revenues, her tenure is being watched closely, not just within KRA, but across government and the private sector.
Her bet is clear: that systems, not slogans, will deliver results.
Whether that bet pays off will determine not only her legacy as acting Commissioner-General, but also whether she becomes the first woman to convert a caretaker role into a permanent one. For the time being, she is focused on the task at hand.
‘The institution must continue,’ Dr Nyawanda says.