Prime Cabinet Secretary Musalia Mudavadi has given President William Ruto's proposed tax adjustments a nod of affirmation and dismissed claims by the opposition that they're exploitative to Kenyans.
Mudavadi said it's unrealistic for the Opposition to be judgmental about the tax interventions by contrasting the current economic conditions with how things were a decade ago.
"The Opposition claims that when Narc took power in 2003, the economy was worse, but they were able to put the country back on track without raising taxes," Mudavadi said.
His remarks were in reference to the proposed adjustments of monthly NHIF and NSSF contributions which the Azimio has opposed.
Mudavadi warned that it's dangerous for an opposition that is supposed to oversight the government of the day to hold it accountable on the basis of past events.
"Nostalgia can be dangerous for an opposition that is supposed to oversee a current government. You do not contrast similar things, you compare them," he said.
The Prime CS added that the Kenya Kwanza administration has practical policies which once implemented, will overshadow the Narc track record.
"I don't know what informs anyone that the Kenya Kwanza government will not surpass the Narc achievements given our realistic plan," Mudavadi said.
The Opposition Azimio has been critical of Kenya Kwanza's proposed tax regime which the William Ruto-led government said is aimed at achieving self-sustenance and reduce over-reliance on borrowing.
Ruto has also said he won't renege on plans to have NSSF contributions increased from the Sh200 flat rate to six per cent of workers’ monthly salaries.
He said the move is aimed at inculcating the culture of saving among Kenyans and ensure they have more funds upon retirement.
The President has also proposed changes for adjustments on the National Health Insurance Fund (NHIF) where those earning higher salaries will pay more.
In the proposals, contributions by workers earning more than Sh100,000 will be calculated as 1.7 per cent of their pay as opposed to the fixed monthly contribution of Sh1,700.
This is aimed at expanding health coverage for Kenyans and enable the national insurer to increase its funding towards universal health plan.
But Azimio has opposed the proposals terming them as taxes, a claim Mudavadi dismissed.
"NSSF contributions are not taxes. The government is encouraging working Kenyans to save enough through NSSF to insure themselves in retirement," he said in a statement on Tuesday.
Under the saving plan, for every penny a worker saves, the government tops up an equal amount.
"The final beneficiary is that retiring Kenyan worker. Labeling these noble contributions tax is atrocious," Mudavadi said.