Kenyan President Ruto backs down on tax hikes

Kenyan President William Ruto on Wednesday withdrew planned tax hikes following intense pressure from protesters who stormed parliament and launched demonstrations nationwide, threatening further action.

This move is seen as a significant victory for the youth-led protest movement that has become the most serious crisis of Ruto’s two-year presidency.

The protests, which began as online outrage over tax rises, grew into mass rallies demanding political change. Despite Ruto’s concession, many demonstrators vowed to continue protesting, with a rally planned for Thursday and calls for his resignation.

Ruto announced he would not sign the controversial finance bill, which included the tax increases, after clashes between police and protesters at the assembly and nationwide left at least 23 people dead and scores wounded.

“Listening keenly to the people of Kenya who have said loudly that they want nothing to do with this finance bill 2024, I concede. And therefore, I will not sign the 2024 finance bill, and it shall subsequently be withdrawn,” Ruto said in a televised address.

Vice-President Rigathi Gachagua urged young people to call off the protests to prevent further loss of life and property damage, blaming the intelligence services for poor advice that led to the unrest.

Despite Ruto’s climbdown, protesters remained defiant, repeating calls for his resignation and planning further actions. Social justice activist Boniface Mwangi called for a “1-million-people march,” while other protest movement members used the hashtag #tupatanethursday to rally support.

Opposition leaders, including former Vice President Kalonzo Musyoka, demanded more than just the withdrawal of the bill, calling for Ruto to step down due to the violence and deaths during the protests.

Ruto committed to starting a dialogue with Kenyan youth and implementing austerity measures, including budget cuts to the presidency, to address the fiscal deficit.

Even with Ruto’s concession, the situation remains tense, with the president caught between the demands of his citizens and international lenders urging deficit reduction. Kenya’s financial markets showed little reaction to the news, indicating ongoing uncertainty.

Protests have spread across at least 35 of Kenya’s 47 counties, including Ruto’s hometown of Eldoret. The demonstrations have seen heavy police presence and violence, with the Kenya Medical Association reporting numerous injuries and deaths.

The protest movement, initially sparked by proposed taxes on essential items like bread and diapers, has evolved into a nationwide call for comprehensive political and economic reforms.