In a victory for President William Ruto’s administration, Kenya’s Supreme Court overturned an appeal court decision on Tuesday that declared the 2023 finance law unconstitutional.
After this year’s finance bill was withdrawn due to massive demonstrations, the administration had relied on the 2023 law to continue collecting taxes.
The 2023 finance bill, which increased fuel taxes, imposed a housing fee, and raised the highest income tax rates, triggered opposition-led protests and violence, resulting in nearly 60 deaths in June and July.
In response, Ruto opted to withdraw the bill for this year, delaying a payout from the International Monetary Fund (IMF).
Ruto argues that tax rises are necessary to fund development and reduce Kenya’s debt.
The IMF’s executive board is due to examine the new loan tranche on Wednesday, after Kenya’s compliance with the Fund’s requirements.
