BLOCKCHAIN TECHNOLOGY AND REVENUE ADMINISTRATION IN NAIROBI CITY COUNTY GOVERNMENT, KENYA

Abstract

In Kenya, revenue administration faces a myriad of challenges where there are issues of corruption, fraud, evasion, leakage, mismanagement, and inefficiency. These challenges affect the ability of the government to mobilize adequate and equitable revenues. The purpose of the study is to establish the blockchain technology and revenue administration in the Nairobi City County government. The objectives of the study are to determine the effect of Information transparency and data immutability influence revenue administration in Nairobi City County Government, Kenya. The study is anchored on Network Theory and The Theory of Artificial Immutability. The study adopted a descriptive research design because it was based on a review of the relevant literature to find appropriate instruments for data collection. The study unit of analysis was the Nairobi City County Government. The unit of observation was senior and middle-level staff drawn from the ICT and Revenue sections. Then, simple random sampling was used to assign a cluster sample. The researcher used Fisher, Laing, and Stoeckel (1983) formula to arrive at a sample of 384. The study utilized primary data collected using structured Likert scale questionnaires designed as per the study variables. The researcher used the ‘drop-and-pick-later’ method to administer questionnaires to the respondents. Collected data was analyzed by employing descriptive and inferential statistics as the data analysis techniques. The study also concludes that data immutability has a significant effect on revenue administration in Nairobi City County Government, Kenya. This study highlights the evolving potential of blockchain technology, the significant impact of distributed ledger technology, data redundancy, information transparency, and data immutability across various public sector functions, emphasizing its relevance in revenue administration systems. Further, the study concludes that information transparency has a significant effect on revenue administration in Nairobi City County Government, Kenya. The study also concludes that data immutability has a significant effect on revenue administration in Nairobi City County Government, Kenya. The researcher recommends that the Nairobi City County Government should prioritize the adoption of distributed ledger technology in its revenue administration processes. In addition, Nairobi City County Government should establish a comprehensive data governance framework that defines policies, procedures, and standards for managing data redundancy in revenue administration processes.

Key Words:Blockchain Technology, Revenue Administration, Information Transparency, Data Immutability

In Kenya, revenue administration faces a myriad of challenges where there are issues of corruption, fraud, evasion, leakage, mismanagement, and inefficiency. These challenges affect the ability of the government to mobilize adequate and equitable revenues. The purpose of the study is to establish the blockchain technology and revenue administration in the Nairobi City County government. The objectives of the study are to determine the effect of Information transparency and data immutability influence revenue administration in Nairobi City County Government, Kenya. The study is anchored on Network Theory and The Theory of Artificial Immutability. The study adopted a descriptive research design because it was based on a review of the relevant literature to find appropriate instruments for data collection. The study unit of analysis was the Nairobi City County Government. The unit of observation was senior and middle-level staff drawn from the ICT and Revenue sections. Then, simple random sampling was used to assign a cluster sample. The researcher used Fisher, Laing, and Stoeckel (1983) formula to arrive at a sample of 384. The study utilized primary data collected using structured Likert scale questionnaires designed as per the study variables. The researcher used the ‘drop-and-pick-later’ method to administer questionnaires to the respondents. Collected data was analyzed by employing descriptive and inferential statistics as the data analysis techniques. The study also concludes that data immutability has a significant effect on revenue administration in Nairobi City County Government, Kenya. This study highlights the evolving potential of blockchain technology, the significant impact of distributed ledger technology, data redundancy, information transparency, and data immutability across various public sector functions, emphasizing its relevance in revenue administration systems. Further, the study concludes that information transparency has a significant effect on revenue administration in Nairobi City County Government, Kenya. The study also concludes that data immutability has a significant effect on revenue administration in Nairobi City County Government, Kenya. The researcher recommends that the Nairobi City County Government should prioritize the adoption of distributed ledger technology in its revenue administration processes. In addition, Nairobi City County Government should establish a comprehensive data governance framework that defines policies, procedures, and standards for managing data redundancy in revenue administration processes.

Key Words: Blockchain Technology, Revenue Administration, Information Transparency, Data Immutability