Dozens of arrests during protests in Kenya against planned tax increases in finance law

NAIROBI, Kenya – Dozens of protesters have been arrested in Kenya’s capital Nairobi amid ongoing protests against proposed tax increases in a finance bill set to be presented to parliament.

Civil society groups expect that the demonstrations and a planned sit-in in front of the parliament building will continue despite the arrests.

Nairobi police chief Adamson Bungei said on Tuesday that no group had been given permission to protest in the capital. The right to peaceful protest is guaranteed in Kenya’s constitution, but organizers must notify police in advance. Police generally give the green light unless there are security concerns.

On Tuesday, police fired tear gas grenades at hundreds of protesters and forced shops to temporarily close for fear of looting.

Lawyer Wanjohi Gachie said he was protesting on behalf of all Kenyans who might be affected by the tax increases.

“I urge the police not to arrest or beat us because we are also fighting for their rights,” he said.

Some key tax proposals in the bill were dropped following a meeting between ruling party MPs and President William Ruto on Tuesday morning.

Finance Committee Chairwoman Kuria Kimani said the proposal to introduce a 16% VAT on bread had been dropped.

Other taxes that have sparked debate and been amended include a proposed 2.5% annual motor vehicle tax to be levied on insurance.

In order to promote local production, a proposed tax on environmentally harmful goods will also be amended so that it only applies to imported goods.

Ruto defended the proposed taxes last month, arguing that the country must be financially self-sustaining.

“The principle is that you have to live within your means,” he said.

“I have convinced the people of Kenya and made it clear to them that we must start increasing our revenues,” Ruto added.

Opposition leader Raila Odinga urged MPs to carefully examine the bill and vote to remove clauses that would burden the poor.

“It is worse than that of 2023, an investment killer and a huge millstone around the necks of millions of poor Kenyans who must have hoped that the tears they shed over taxes last year would lead to the government reducing the tax burden in 2024,” he said in a statement in early June.

Opposition politician Kalonzo Musyoka said that if the finance bill is passed as proposed, the weekly protests would resume.

MPs are expected to debate the bill starting Wednesday, with the vote scheduled for Monday.

Last year’s Finance Bill introduced a 1.5% housing tax on gross employee income, despite fears that this would further burden Kenyans already struggling with high living costs. The bill also doubled the value added tax on petroleum products from 8% to 16%.