KANU party leader Gideon Moi has issued a stark warning, asserting that the Finance Bill, 2024, if passed without amendments, will exacerbate poverty levels across Kenya.
In a passionate plea on Tuesday to the National Assembly Finance and Planning Committee, Moi emphasized the necessity of incorporating the concerns and recommendations of economic experts and the public into the final report on the bill.
“These current proposals will harm the purchasing power of Kenyan households and threaten disposable incomes; the committee must learn from past shortcomings in public participation to truly represent citizens’ interests,” Moi said.
Moi criticized the government’s strategy of aggressive taxation amid economic downturns, warning of its counterproductive nature and potential revenue shortfalls.
“I specifically condemn the proposals to tax essential financial services because such measures contradict efforts to promote financial inclusion and alleviate poverty.”
Additionally, Moi raised concerns over the motor vehicle circulation tax, labeling it as double taxation that could hinder the insurance sector’s growth and negatively impact consumers. He also cautioned against increasing taxes on basic food items, citing the risk of exacerbating starvation and malnutrition.
“We should prioritize industrialization and manufacturing to stimulate economic growth and job creation, focus on value addition to expand the tax base and generate sustainable revenue for public programs, and address challenges like corruption and regulatory complexity to improve the business environment,” Moi stated.
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