On Thursday night, (June 20, 2024), Nairobi witnessed a series of protests as Kenyans took to the streets to express their opposition to proposed tax hikes in a finance bill currently being discussed in parliament. Protesters dismantled CCTV cameras, set fire to tires, and blocked roads.
Earlier in the day, clashes between police and protesters occurred, with authorities deploying tear gas to disperse the crowds. Although the Kenyan Constitution guarantees the right to peaceful protests, organizers are required to notify the police in advance. Typically, the police grant permission unless there are security concerns.
The unrest followed a series of similar protests on Tuesday, during which more than 200 individuals were arrested. In response to the public outcry, some major tax proposals were dropped after a meeting between ruling party lawmakers and President William Ruto on Tuesday morning.
Kuria Kimani, the chairperson of the finance committee, announced that the proposal to introduce a 16% value-added tax on bread had been removed. Other debated levies that have been amended include a proposed 2.5% annual tax on motor vehicle insurance. Additionally, a proposed tax on goods that degrade the environment will now apply only to imported goods, in an effort to encourage local manufacturing.
President Ruto has defended the proposed taxes, asserting that the country needs to be financially self-sustaining. Legislative debates on the bill commenced on Wednesday, with a vote scheduled for Monday.
Last year’s finance law had already introduced a 1.5% housing tax on gross income for salaried individuals, despite concerns about its impact on Kenyans facing high living costs. The law also doubled the VAT on petroleum products from 8% to 16%.
(AP)
