Kenya's President withdraws tax bill, introduces more austerity measures

President William Ruto withdraws the tax bill after countrywide protests in Nairobi, Kenya - 26 Jun 2024

A man watches as President William Ruto gives a televised address at State House in Nairobi where he withdrew the contentious Finance Bill 2024 following widespread protests. President William Ruto concedes to public pressure and withdraws the tax bill after countrywide protests. (Photo by James Wakibia / SOPA Images/Sipa USA) Source: AAP / James Wakibia / SOPA Images/James Wakibia / SOPA Images/Sipa USA

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Kenya's President William Ruto has announced he will not sign the Finance Bill 2024 into law following intense public outcry and violent protests. The bill, which proposed new taxes, led to thousands of demonstrators storming the parliament, resulting in at least 22 deaths as police opened fire.


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TRANSCRIPT

Kenya's president William Ruto has decided he won't sign into law a finance bill proposing new taxes that prompted thousands of protesters to storm the parliament the previous day, leaving several people dead as police opened fire.

"Having reflected on the continuing conversation around the content of the Finance Bill 2024, and 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 I will not sign the 2024 Finance Bill."

The government wanted to raise funds to pay off its debt, but Kenyans said the bill would have caused more economic pain as millions struggle to get by.

Along with withdrawing the finance bill, the president also announced some cuts in government spending.

"I am directing for immediate further austerity measures to reduce expenditure, starting with the office of the president, the entire presidency, and extending to the entire executive arm of government. Operational expenditure in the presidency be reduced to remove allocations for the confidential fort, reduce travel, hospitality, purchase of motor vehicles, renovations, and other expenditures."

On Wednesday, Kenyans faced the lingering smell of tear gas and military in the streets, a day after thousands stormed the parliament in an act of defiance that Mr Ruto says was an “existential” threat.

It was the biggest assault on Kenya’s government in decades.

The Kenya National Human Rights Commission says at least 22 people were killed in the clashes, some shot by police.

The president acknowledged there were deaths, without elaborating, called it an "unfortunate situation,” and offered condolences.

"The country witnessed widespread expression of dissatisfaction with the bill as passed, regrettably resulting in the loss of life, destruction of property, and desegregation of constitutional institutions. On my own behalf, and on behalf of these members and many other Kenyans, I send my condolences to the families of those who lost their loved ones in this very unfortunate manner."

Kenyan political activist Boniface Mwangi says President Ruto didn't really have a choice but to withdraw the tax hikes.

"He withdrew the bill because he knew that there is a revolution coming in this country. People were saying, if you pass the bill you go home, so Bill (nickname for William Ruto), go home with the bill right? So, the reason why he withdrew the bill is because he saw too much public pressure that he cannot pass that bill. He signs that bill, he signs his death warrant."

Some demonstrators like student Levy Rono say that despite Mr Ruto backing down, they will go ahead with a rally planned for Thursday, with many reiterating demands that he resign.

‘’The matter on how Ruto has taken the situation, you know this guy is very clever, you know even though he has refused to sign the bill, definitely after 21 days it will become a law, meaning we will have to adapt to it and as the youths we will have nothing to do, yeah so, what I will say to my fellow comrades, we are still going for this until we get what we want right.’’
 

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