Rédaction Africa Links 24 with Kenyans.co.ke
Published on 2024-02-23 09:50:55
The Azimio coalition raised concerns about the government’s 2024 Budget Policy Statement which was published by the Treasury, pointing out various issues and potential implications for Kenyans. The Treasury stated that the policy measures were designed to enhance economy-wide efficiencies, create a conducive environment for business growth, and lower the cost of living. However, Azimio criticized the statement, describing it as flawed and unattainable, and warned Kenyans to prepare for double taxation.
Azimio alleged that the government intended to double tax every adult in excess of Ksh27,000, placing a significant financial burden on the ordinary citizens, including Mama mboga, Boda-Boda riders, and those working in the construction industry. They claimed that the increased taxes would be spread across various sectors, with education being one of the areas affected. The BPS proposed the application of Value Added Tax (VAT) on educational services, particularly extra-curricular activities, which would result in higher school fees for parents.
The coalition also accused the government of devising inflated and unrealistic budgetary figures without clear measures of how it would raise the necessary funds. They argued that the proposed BPS would adversely affect the middle class and called for transparency in the budget planning process.
In addition, Azimio objected to the Housing Levy bill, which aims to fund the Affordable Housing Program, describing it as unfair, discriminatory, and unconstitutional. They urged the Members of Parliament who supported the bill to be held accountable and criticized the bill’s passage through the legislative process, indicating that some Azimio MPs who publicly opposed the bill did not attend a crucial parliamentary session where the bill was approved.
Azimio further expressed dissatisfaction with the government’s management of the exchange rate of the local currency against the dollar, claiming that the shilling was artificially manipulated and fluctuating unsustainably. They condemned the regime for reckless borrowing and accused the administration of increasing its spending by over Ksh400 billion, despite warnings of debt distress and risk of default.
The coalition highlighted the regime’s failure to fulfill its promise of reducing borrowing and criticized the administration for borrowing at a high rate of 22 percent from the domestic market. They claimed that the Kenya Kwanza regime had borrowed close to Ksh2 trillion in just one and a half years, which they viewed as detrimental to the country’s financial stability.
Overall, Azimio’s statements and warnings about the government’s budget policy and financial management reflect a strong stance against what they perceive as detrimental economic policies, and indicate the potential impact on the well-being of Kenyan citizens. Their criticisms emphasize the need for transparent and responsible fiscal planning to ensure sustainable economic growth and stability.
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