Protesters attempt to block a vehicle as police deploy water cannons to disperse the crowd during a demonstration against Kenya’s proposed finance bill in Nairobi. Img source: cyprus-mail.com
June 26, 2024 Story by: Editor
Kenyan President William Ruto announced the withdrawal of planned tax hikes on Wednesday, responding to intense pressure from protesters who stormed parliament and demonstrated nationwide. This move is seen as a significant victory for the youth-led protest movement that, within a week, transformed online discontent over tax increases into mass rallies demanding political change, marking the most serious crisis of Ruto’s two-year presidency.
Despite Ruto’s concession, some demonstrators, via social media, insisted on continuing with a planned rally on Thursday, reiterating their calls for his resignation. The President declared he would not sign the finance bill containing the tax hikes a day after clashes between police and protesters resulted in at least 23 deaths and numerous injuries, according to medical reports.
“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 And therefore, I will not sign the 2024 finance bill, and it shall subsequently be withdrawn,” Ruto stated in a televised address, surrounded by applauding lawmakers. Vice President Rigathi Gachagua urged the youth to cease protests to prevent further loss of life and property damage, criticizing the intelligence services for poor advice that led to the chaos.
“There would have been no mayhem, but they slept on the job,” Gachagua commented, demanding the resignation of the head of the National Intelligence Service. Protesters remained defiant, calling for Ruto’s resignation and pledging continued street action. Boniface Mwangi, a notable social justice activist, called for a “1-million-people march” on social media platform X, stating, “The arrogance is gone, but the lies are still there.”
The protest movement continued to mobilize support online with the hashtag #tupatanethursday, translating to “see you on Thursday” in a mix of Swahili and English. Senior opposition leader and former Vice President Kalonzo Musyoka echoed the sentiment, stating on X that withdrawing the bill was insufficient and calling for Ruto’s resignation. “Many Kenyans died. Many Kenyans suffered serious injuries. It is currently beyond the Finance Bill, 2024,” Musyoka said.
The International Monetary Fund expressed concern over the unrest, stating, “Our main goal in supporting Kenya is to help it overcome the difficult economic challenges it faces and improve its economic prospects and the well-being of its people.”
Ruto announced that the bill would return to parliament with a recommendation to delete all its clauses and promised to initiate a dialogue with Kenyan youth. He also mentioned plans to implement austerity measures, including budget cuts to the presidency, to address the fiscal deficit. Describing the loss of life on Tuesday as “very unfortunate,” Ruto indicated a shift towards more fiscal responsibility.
Kenya’s sovereign dollar bonds remained relatively stable despite the finance bill’s rejection, with Tradeweb data showing bonds trading between 74.6 and 95 cents on the dollar, the lowest being the 2034 maturity bonds. On Tuesday, police opened fire on crowds that gathered around parliament and later breached the senate and national assembly chambers shortly after lawmakers passed the tax measures and forwarded them to the president.
The Nation newspaper reported protests in at least 35 of Kenya’s 47 counties, spanning from major cities to rural areas, including Ruto’s hometown of Eldoret in his ethnic Kalenjin heartland. The Kenya Medical Association confirmed that 23 people were killed and 30 were treated for bullet wounds, with numerous others injured in Nairobi.
Social media posts called for occupations of State House, the president’s office and residence, on Thursday and local offices of the World Bank and IMF on Friday, although it was unclear if these calls were from individuals or a broader movement. Heavily armed police patrolled the quieter-than-usual streets of Nairobi on Wednesday.
The protests, initially sparked by online outrage from young, tech-savvy Kenyans over proposed taxes on bread and diapers, evolved into a nationwide movement demanding the complete removal of the finance bill. Thousands took to the streets in Nairobi and other cities during two days of protests last week as the online movement gained momentum.
While the current demonstrations lack an official leader and have distanced themselves from traditional political opposition figures, some of Ruto’s main rivals celebrated his concession. “Self-preservation has kicked in,” opposition senator Edwin Sifuna posted on X.
Lawmakers had already removed some tax hikes from the final version of the finance bill on Tuesday, including those on bread and cooking oil, but added others to avoid a budget gap. Source: Reuters
