Kenya’s government has backpedalled on some proposed taxes in this year’s controversial finance bill after protests erupted on Tuesday. Police fired tear gas and used water canons to disperse angry protesters in the capital, Nairobi.
The parliamentary finance committee eventually did away with the proposed 16% levy on bread as well as the taxes on cooking oil and mobile money services.
The policy about-face was announced by Kuria Kimani, the Chairman of the Parliamentary Finance Committee, at a press briefing attended by President Ruto.
Other proposed taxes that have been stepped down include one on motor vehicles. He also announced a reversal on a proposed eco-tax that targeted products seen as harming the environment.
Since assuming power two years ago, President William Ruto has introduced several new and unpopular taxes intending to eliminate the country’s national debt of nearly $80 billion.
He recently appealed to Kenyans to accept more taxation, arguing that they were undertaxed, but he admitted it would be difficult for many.
Mr Ruto did not make any remarks during the briefing, but the move, viewed as yielding to public pressure, will be perceived as a setback for his government.
Lawmakers are scheduled to debate the finance bill on Wednesday, prompting protests in the capital.
