Kenya parliament passes proposed 2025 finance law

Kenya's parliament on Thursday voted to approve this year's proposed finance law, denying the revenue authority's request to get unrestricted access to taxpayers' data on account of privacy concerns and constitutional safeguards.
Kenya's President William Ruto speaks at a press conference after police officers shot protesters demonstrating against Kenya's proposed finance bill 2024/2025 in Nairobi, Kenya, 25 June 2024. Reuters/Monicah Mwangi/File Photo
Kenya's President William Ruto speaks at a press conference after police officers shot protesters demonstrating against Kenya's proposed finance bill 2024/2025 in Nairobi, Kenya, 25 June 2024. Reuters/Monicah Mwangi/File Photo

The government is under pressure to avoid a repeat of last year's unrest after protests against proposed tax hikes led to over 60 deaths and forced President William Ruto to abandon plans to raise 346 billion shillings in taxes.

Lawmakers voted by acclamation to approve this year's law, clearing the way for President Ruto to sign and approve it.

Kenya's parliamentary finance committee rejected on Monday a proposal that would have granted the Kenya Revenue Authority (KRA) the access to the data.

The provision included in this year's finance bill had drawn a public backlash over alleged privacy violations. The committee said existing laws allowed KRA to access financial data with a court warrant, rendering the proposal unnecessary.

Finance Minister John Mbadi last week presented to parliament a 4.29 trillion-shilling ($33bn) budget for the 2025/26 (July-June) fiscal year.

This year's finance law aims to raise an extra 30 billion shillings ($233m), mainly through boosting tax compliance.

($1 = 129.0000 Kenyan shillings)

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Reporting by George Obulutsa; editing by Ammu Kannampilly and Ed Osmond

 
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