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Kenyan president drops tax proposals amid deadly protests, announcing austerity measures

Kenyan President William Ruto

NAIROBI, Kenya | Xinhua | Kenyan President William Ruto on Wednesday announced that his government had dropped tax hike proposals, which had sparked nationwide protests since June 18 when the financial bill was first made public.

Speaking at a news conference in Nairobi, Ruto said his government would institute austerity measures across the board after withdrawing the tax measures. “I am directing immediate austerity measures to reduce expenditure. Allocations for confidential votes in the presidency will be reduced, as well as travel and purchase of motor vehicles,” he said, adding that these measures would apply to counties and ministries.

Lawmakers passed the tax proposals contained in the Finance Bill 2024 Tuesday, as the government sought to raise an additional 346.7 billion shillings (about 2.67 billion U.S. dollars) to fund its 31 billion dollar budget for the financial year 2024-2025.

“Following the passage of the bill, the country witnessed protests and 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want nothing to do with this Finance Bill 2024, I concede and therefore will not sign it, and it shall subsequently be withdrawn,” Ruto said.

He noted that the austerity measures will be implemented across the government, including the Executive Office of the President, Parliament and Judiciary. Without the new taxes, he said, the government would shelve some development programs amounting to around 1.58 billion dollars. Some projects would be delayed, others postponed or canceled altogether.

Ruto also announced that his government would decisively deal with corruption to end wastage, one of the issues cited by 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.

At least six people lost their lives and some 214 others were injured in Tuesday’s protests, Ruto said, adding that he regretted the deaths and that the government would come up with a framework to ensure they were accounted for.

Independent sources, however, said that the number of those killed in Tuesday’s protests had risen to 13. The Nairobi City County Government confirmed a total of 12 bodies, with six at the City Mortuary and six at Mama Lucy Hospital mortuary, who were shot during the demonstrations, while one more was shot dead in western Kenya.

The president’s concessions were received with relief across the nation, with many Kenyans hopeful that peace would prevail. “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,” said office worker Grace Kanini.

The Kenyan president, in a televised address on Tuesday evening, termed the street protests treasonous, noting that his government would provide an expeditious response to the situation. He had directed security organs to use all means to thwart any threats to the country’s national security.

“It is possible that the criminals who reigned terror on innocent people and challenged our security organs are likely to continue with this behavior,” he said.

Despite the threats, protesters vowed to push on with fresh protests Thursday. The government announced Tuesday evening the deployment of the Kenya Defense Forces on the streets to help quell the protests. The move was ratified by the National Assembly Wednesday morning, according to Speaker Moses Wetangula. However, the High Court on Wednesday afternoon directed the government to stop the deployment of soldiers to different parts of the country, following a petition by the Law Society of Kenya against Defense Cabinet Secretary Aden Duale and the National Assembly, accusing them of contravening the law.

On Wednesday, as protesters vowed to continue with demonstrations, heavily armed security personnel patrolled the streets of Nairobi and other parts of Kenya. On social media, there was an outpouring of anger over the tax increases and the deaths of protesters. A majority of those who died were killed at the parliament as police opened fire on protesters who had breached security to storm into the institution.

Several institutions and international organizations expressed concern over Kenya’s deteriorating situation, calling for dialogue. “We recognize that dialogue forms the basis of our democracy. Therefore, we call upon all Kenyans to embrace tolerance and peaceful means of conflict resolution. We endeavor to join other Kenyans to find a win-win solution in the spirit of our purpose to create prosperity for Kenya through sustainable industrialization,” said the Kenya Association of Manufacturers in a statement.

United Nations Secretary-General Antonio Guterres also expressed sadness over the deaths and injuries from the protests. “I urge the Kenyan authorities to exercise restraint and call for all demonstrations to take place peacefully,” he said. ■

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