Kenyan President William Ruto has announced the withdrawal of proposed tax increases that had ignited nationwide protests since 18 June, when the financial bill was first made public. Speaking at a press conference in Nairobi, President Ruto stated his administration would implement austerity measures across all sectors following the decision to abandon the tax proposals.
“I am directing immediate austerity measures to reduce expenditure. Allocations for confidential votes in the presidency will be reduced, as well as travel and the purchase of motor vehicles,” Ruto declared, adding that these measures would also apply to counties and ministries.
The Finance Bill 2024, which sought to raise an additional 346.7 billion shillings (approximately 2.67 billion US dollars) to fund the government’s 31 billion dollar budget for the financial year 2024-2025, was passed by lawmakers on Tuesday. However, following its passage, widespread protests erupted, leading to the destruction of constitutional institutions.
“Listening keenly to the people of Kenya, who have said loudly that they want nothing to do with this Finance Bill 2024, I concede and therefore will not sign it, and it shall subsequently be withdrawn,” President Ruto announced. He indicated that the government would need to shelve certain development programmes amounting to around 1.58 billion dollars due to the absence of new taxes. Some projects would be delayed, others postponed, or cancelled altogether.
In his address, President Ruto also committed to tackling corruption to curb wastage, an issue highlighted by the protesters. To unify the country and chart a new way forward, he called for a meeting with various stakeholders, including the youth, to listen to their concerns.
“There is a need as a nation to pick up from here and forge ahead together into the future. After getting rid of the Finance Bill, we will have a conversation as a country on how we manage the mounting debt and budget deficits, and we will engage young people and listen to their views,” Ruto said.
The protests on Tuesday resulted in at least six fatalities and injuries to 214 others, according to President Ruto, who expressed regret over the deaths and pledged that the government would ensure accountability. Independent sources, however, reported that the death toll from Tuesday’s protests had risen to 13, with the Nairobi City County Government confirming 12 bodies and one more fatality in western Kenya.
The President’s concessions were met with relief across the nation. “I am happy with what the President said today. This is what Kenya needs to move forward. There should be no more protests and deaths,” commented office worker Grace Kanini.
In a televised address on Tuesday evening, President Ruto had termed the street protests treasonous and directed security forces to use all necessary means to address any threats to national security. Despite these threats, protesters vowed to continue with fresh demonstrations on Thursday.
The government announced the deployment of the Kenya Defence Forces to the streets on Tuesday evening to help quell the protests, a move ratified by the National Assembly on Wednesday morning. However, the High Court later directed the government to halt the deployment of soldiers following a petition by the Law Society of Kenya.
As protesters pledged to persist with demonstrations, heavily armed security personnel patrolled Nairobi and other parts of Kenya on Wednesday. On social media, there was widespread anger over the tax increases and the deaths of protesters, with the majority of fatalities occurring at the parliament where police had opened fire on demonstrators who had breached security.
Several institutions and international organisations have expressed concern over Kenya’s deteriorating situation and called for dialogue. The Kenya Association of Manufacturers issued a statement urging tolerance and peaceful conflict resolution, emphasising the importance of dialogue for democracy.
United Nations Secretary-General António Guterres also expressed sadness over the deaths and injuries resulting from the protests, urging Kenyan authorities to exercise restraint and for demonstrations to remain peaceful.
