The government is set to take more loans and cut down on tax collection in the financial year, Treasury Cabinet Secretary John Mbadi has revealed.
Through a gazette notice, the Treasury announced that Kenya is now targeting collections of Ksh2.4 trillion ($18.5 billion) for the fiscal year through June, three per cent below a revised target of Ksh2.475 trillion.
The decision was mainly informed by deadly Gen Z-led protests that arose from the 2024 Finance Bill that forced President William Ruto to drop the controversial tax plans on everything from bread to diapers. "This economy was shut for two months.
That affected revenue collection," Mbadi explained to lawmakers in a past engagement this week.
