The Kenyan government has halted its plan to impose multiple tax hikes in a controversial bill as police fired tear gas at protestors who gathered near the country’s parliament building.
“The Finance Bill has been amended to remove the proposed 16 percent VAT on bread, transportation of sugar, financial services, foreign exchange transactions as well as the 2.5 percent Motor Vehicle Tax,” the presidency said in a statement on Tuesday. Tuesday’s protest, which was dubbed “Occupy Parliament” saw the arrest of about 210 people which included journalists and observers from Rights Groups.
Rights group Amnesty Kenya said that some of its staff members observing the protests were arrested.
“We demand the immediate and unconditional release of all arrested protesters and observers,” the group said.
According to Nairobi Police Commander, Adamson Bungei, no group has been granted permission to protest in the capital. Continuing, he said that the right to peaceful protests is guaranteed in the Kenyan constitution of which organizers are required to notify the police beforehand. Unless there are security concerns, the police approve of such requests.
However, Kenya Law Society President Faith Odhiambo said that police used tear gas on lawyers at a Nairobi police station as they sought to see their clients.
The proposed tax changes are part of recent efforts by President William Ruto’s administration to boost revenue and reduce borrowing. Last year the government introduced a housing tax, hiking contributions to the national health scheme as this triggered protests. Last month, the president defended the proposed taxes, saying the country must be financially self-sustaining.
“The whole principle is that you must live within your means,” he said. “I persuaded and I made a case to the people of Kenya that we must begin to enhance our revenue.”
Opposition leader Raila Odinga urged legislators to scrutinize the bill and vote to remove clauses that would burden the poor.
“It is worse than the one of 2023, an investment killer and a huge millstone around the necks of millions of poor Kenyans who must have hoped that the tears they shed over taxes last year would see the government lessen the tax burden in 2024,” he said in a statement in early June.
Lawmakers are expected to hold a debate on Wednesday and Thursday to vote on the legislation underpinning the budget.
Source: AP News, Reuters
