Ruto drums up support for taxes before Finance Bill vote

President William Ruto on Sunday made a strong pitch for his tax raising measures ahead of the crucial final vote on the Finance Bill on Tuesday.

The Head of State argued that the proposed taxes are necessary to jumpstart the economy and ensure the country does not over-borrow like the handshake regime of his successor retired President Uhuru Kenyatta.

Speaking during a service at Christ Church Cathedral Kakamega, Ruto said the country must start living within its means and urged MPs to approve the bill that is at the centre his bottom-up economic model.

The President cited the proposed housing programme as a game changer that will ensure millions of youths are engaged either at the building sites or in companies that manufacture building materials.

A 30 per cent tax on all imported building and construction materials, he noted, is an effort to boost local manufacturing.

“We have enough youths who have completed their training at polytechnics and TVETs who can help manufacture furniture, and that is one way of creating employment opportunities,” Ruto stated.

“We have a reason to build houses in Kenya. Our main target is not the house but employment through the 200,00 houses. We expect to create over one million jobs across the country.” 

He said his administration is planning to build 10,000 housing units in Kakamega county alone, which will translate to a maximum 50,000  new job opportunities to the local youths.

Ruto said the Finance Bill, 2023 will save the local industry which is facing collapse in some sectors like fishing and cement manufacturing.

He called on MPs to approve the bill when on Tuesday and allow the government to begin the transformation agenda.

The President at the same time turned heat on ODM leader Raila Odinga for threatening disciplinary action against opposition MPs who supported the bBill.

Ruto urged Azimio MPs to stand firm, ignore the intimidation and vote for the Finance Bill when it is brought to the House for the Third Reading on Tuesday.

ODM MPs Esther Passaris (Nairobi), Elisha Odhiambo (Gem), Caroli Omondi (Suba South) and Adow Mohmed (Wajir South) defied the Azimio position and voted for the bill.

The four MPs and 24 other Azimio lawmakers who did not vote have already been issued with a show-cause letter.

Making a joke about an ODM letter written to some members who allegedly defied the party position and voted in support of the bill, Ruto told the leaders to ignore threats as voters will have them to blame.

“You have been given a show-cause letter by your party. Before you read your party’s letter have you read the letter from your employers who are the people who voted for you? Please, read the employer’s letter first,” Ruto said.

“If you are an MP, are you going to vote against the bill so that we continue importing furniture, fish, cement and other things that we can produce locally and leave our youth to continue suffering?”

The President was accompanied by Prime Cabinet Secretary Musalia Mudavadi, Governors Ferdinand Barasa (Kakamega), Johnson Sakaja (Nairobi), area Senator Boni Khalwale and a host of MPs from the region.

Mudavadi called on members of the National Assembly to put the country first when they vote in Parliament on Tuesday.

The Prime CS said it is only through paying of taxes that the government can roll out some of the ambitious development programs it intends to start.

“When you reject tax measures how will the additional teachers be paid?” posed Mudavadi.

Nairobi Governor Sakaja said the country cannot afford to continue with more borrowing, insisting it is time to make the hard decision and "live within our means".

“As a country we have been living a lie, we have been living beyond our means. I know MPs you will be in Parliament on Tuesday make good decision,” Sakaja said.

Barasa also backed the tax proposals, saying time for politics is over and Kenyans must be ready to pay tax to ensure the two levels of governments deliver on their campaign pledges.

“As chairman of Finance and Planning committee, I want to confirm to you that on behalf of 47 governors we ware supporting your initiative to raise taxes,” Barasa said.

The President also announced his administration is working on policy papers that will see waiver of all Sh50 billion debts owed by the public millers in a bid to save the sugar sector from complete collapse.

He said the policy documents are now waiting for Cabinet approval before being taken to Parliament for ratification.