Uhuru wants VAT on fuel reduced
President Uhuru Kenyatta has proposed a reduction of VAT on petroleum products from 16 percent to 8 percent following what he terms as concerns from Kenyans over the rising petrol prices that are affecting the cost of living.
During the Friday briefing from the State House, Uhuru said he now expects ERC to reduce prices of petrol in Nairobi from Sh127 to Sh118 and diesel Sh127 to Sh118 and that of diesel from Sh115 to Sh107 once Parliament approves.
“I have spent the last few days listening to views and it is clear that you are all concerned with rising petrol prices,” said Uhuru.
Uhuru maintained that the country is facing a financing dilemma and that he had proposed cuts on spending and austerity measures in all arms of the government to cut down on expenditure.
“I want to assure Kenyans that their taxes will be used well. I have increased funding to Judiciary, to ODPP and other investigative agencies.”