Nairobi, Kenya – (African Boulevard News) – The Kenyan government has proposed a new finance bill that targets a range of goods and services, including petrol and beauty products. The move is expected to impact businesses and consumers alike, with prices set to rise across the board. The measures are aimed at boosting revenue for President William Ruto’s cash-strapped government, but small businesses are set to bear the brunt of the new proposals.
According to the new finance bill, which is set to be introduced in the coming weeks, petrol and diesel prices will rise by 10 per cent, while beauty products will be subject to a 16 per cent Value Added Tax (VAT). The new taxes are expected to generate billions of shillings in revenue, but many Kenyans are concerned about the impact on their wallets.
Small businesses will be particularly hard hit by the new proposals, with some experts predicting that many may struggle to stay afloat. The Kenya Association of Manufacturers (KAM) has expressed concerns about the impact of the new taxes on businesses, saying that they will increase the cost of production and ultimately hurt local industry.
“The proposed taxes will make our products less competitive in the market and may lead to job losses in the sector,” said KAM CEO Phyllis Wakiaga.
The new taxes have also been met with resistance by ordinary Kenyans, who are already struggling to cope with high living costs. Many have taken to social media to express their frustration, with the hashtag #StopTheTax trending on Twitter.
“The government needs to find other ways to raise revenue. Kenyans are already struggling to make ends meet,” said Nairobi resident Jane Muthoni.
Despite the concerns raised by businesses and consumers, the government has defended the new proposals, saying that they are necessary to fund key development projects and improve public services.
“We understand that these taxes may be unpopular, but they are necessary to ensure that we can provide the services that Kenyans need,” said Treasury Cabinet Secretary Ukur Yatani.
As Kenyans brace for higher taxes, many are hoping that the government will find ways to ease the burden on small businesses and low-income earners. However, with the new finance bill set to be introduced in the coming weeks, it remains to be seen how the government will respond to these concerns.
