The House approved the following measures yesterday:
Contractual obligations – it amended the Law of Contract Act (Cap. 23) so as to cushion the public from liability for not honouring contractual obligations as a result of the economic effects associated with COVID-19 pandemic.

The House has inserted new section 3A to the Act so as to exclude a contract which was existing prior the commencement of this section, the COVID-19 pandemic shall be construed as a “force majeure” or natural act of God.

Listing in CRB – the Assembly has amended the Banking Act (Cap. 488) to protect persons unable to service their loans due to prevailing economic difficulties arising from COVID-19 pandemic from being referred to the Credit Reference Bureau (CRB) for listing as loan defaulters.

Variation of contractual terms in relation to loan repayment plans – amended the act to require financial institutions to prescribe other alternative repayment arrangements including providing for deferred payments, where a customer has defaulted

...or is unable for any reason to meet the existing contractual obligations. This intervention will cushion Kenyans from bank charges that would have increased their financial burden due for repayment as a result of accumulated charges levied for non-repayment.

Protection of employees – the House amended the Employment Act, No.11 of 2007, so as to cushion employees from possible job losses and allow employers to put in place mechanisms for retaining employees in the event of inability to pay salaries.

The law now prohibits employers from terminating contract of service, dismissal or coercion of an employee to take salary pay cuts.Employers who are unable to meet their obligations are now to arrange with their employees to take unpaid leave of absence instead of sacking them.

Exemption of VAT on Personal Protective Equipment (PPEs) –Zero rated the production of Personal protective equipment& facemasks,for use by medical personnel in hospitals and clinics,or by members of the public in the case of a pandemic or a notifiable infectious disease.

Easing access to housing mortgages - the House removed restrictions on use of Retirement Benefit Scheme funds to secure a mortgage loan.With the amendment passed by the House, Kenyans enrolled to the scheme can now use a percentage of the funds for purchase of a residential house