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Eric Magale, Postdoctoral Research Fellow, University of Pretoria

Kenya protests show citizens don’t trust government with their tax money: can Ruto make a meaningful new deal?

Each year, the Kenyan government tables a finance bill outlining measures for funding the national budget. In the past, these bills have scarcely attracted public attention. This changed dramatically in 2023, with President William Ruto’s first budget following his election victory the year before.

Ruto inherited an economy battling high food and fuel prices in addition to a heavy debt burden. His budget policy response, however, added to the crisis by doubling the tax on fuel, increasing income taxes and introducing a levy to fund his pet project of affordable housing. He justified higher taxes as a necessity imposed by high debt repayment costs.

Even though there was clear public outrage with the Finance Bill 2023, government-allied legislators used their majority in parliament to pass the bill with little debate. The new taxes set off the first popular tax protests mobilised by opposition parties. The demonstrations fizzled out but public debate continued with regular fuel price increases and more new levies proposed.

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