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Dozens Arrested in Kenya Protests Over Proposed Tax Hikes in Finance Bill

The Africa Agenda by The Africa Agenda
June 18, 2024
in News
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Dozens Arrested in Kenya Protests Over Proposed Tax Hikes in Finance Bill

Police in Kenya’s capital, Nairobi, have arrested dozens of protesters opposing proposed tax hikes in a new finance bill scheduled for parliamentary discussion. Demonstrators, organized by civil society groups, continued their protests and sit-ins despite the arrests and police actions.

Nairobi Police Commander Adamson Bungei stated that no group had received permission to protest. Although Kenya’s constitution guarantees the right to peaceful assembly, organizers must notify the police in advance. Police resorted to tear gas to disperse hundreds of demonstrators, leading to temporary business closures due to fears of looting.

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Protester and lawyer Wanjohi Gachie called on police not to arrest or harm demonstrators, asserting they were advocating for the rights of all Kenyans against the financial burden imposed by the proposed tax hikes.

In a meeting with ruling party MPs and President William Ruto on Tuesday morning, some of the bill’s major tax proposals were dropped. This includes the removal of a 16% VAT on bread and changes to a proposed 2.5% annual tax on motor vehicle insurance. Additionally, a proposed environmental tax will now apply only to imported goods to promote local manufacturing.

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President Ruto defended the necessity of the proposed taxes, emphasizing the need for financial self-sustainability. “The whole principle is that you must live within your means,” Ruto stated, urging the enhancement of revenue.

Opposition leader Raila Odinga urged MPs to reject any clauses that would exacerbate the financial strain on Kenyans, calling the bill “an investment killer” and detrimental to the poor. Opposition figure Kalonzo Musyoka indicated that weekly protests would resume if the bill is approved without significant amendments.

The bill will be debated in parliament starting Wednesday, with a vote expected on Monday. Last year’s finance law introduced controversial taxes, including a 1.5% housing tax on gross income and a doubling of the VAT on petroleum products from 8% to 16%, further straining Kenyans grappling with a high cost of living.

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