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‘Kinship tax’ puts the brakes on business – Kenyan study measures the impact of helping family

By Munir Squires, Assistant Professor, Vancouver School of Economics, University of British Columbia
Imagine working hard to build your business, only to find that your success brings about a wave of requests for help that you can’t turn down. This is a reality for many in African communities, where sharing income is a deeply rooted tradition. In fact, 93% of Kenyans I surveyed in a study of entrepreneurs believed that success in business led to financial demands from friends and family.

Research has highlighted that resource sharing within African communities serves as a crucial social safety net. It helps in the


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