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11mo ago

Kenyan Government Backs Down on Tax Hikes Following Mass Protests

Amid nationwide demonstrations, authorities retract controversial tax proposals to address public discontent.

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Demonstrators protest against proposed tax hikes in a finance bill that is due to be tabled in parliament in Nairobi, Kenya, Tuesday, June 18, 2024. Civil society groups say that despite the dozens of arrests, demonstrations and a planned sit-down outside the parliament buildings will continue. (AP Photo/Andrew Kasuku)
Demonstrators protest against proposed tax hikes in a finance bill that is due to be tabled in parliament in Nairobi, Kenya, Tuesday, June 18, 2024. Civil society groups say that despite the dozens of arrests, demonstrations and a planned sit-down outside the parliament buildings will continue.
Kenyan police officers walk away from a street covered in tear gas during a demonstration against tax hikes in downtown Nairobi on June 18, 2024.

Overview

  • Proposed 16% VAT on bread and higher levies on mobile money services have been scrapped.
  • More than 200 protesters were arrested during clashes with police in Nairobi.
  • Protests were largely organized by Gen Z activists using social media platforms like TikTok.
  • The Finance Bill 2024 still faces opposition, with calls for its complete withdrawal.
  • The government aims to reduce reliance on external borrowing by increasing domestic revenue.