NAIROBI, Kenya, Dec 17 – Treasury Cabinet Secretary John Mbadi has ruled out further tax increases on Kenyans, including on pay-as-you-earn (PAYE), saying such measures would “milk Kenyans dry.”
Speaking at an event in Nairobi, Mbadi said the government is considering reducing taxes instead.
“We cannot take more loans, that is the reality. We can’t tax you more. In fact, we should reduce taxes. That is what the government is thinking about,” he said.
The remarks come amid ongoing economic pressures, including high unemployment, rising inflation, and constrained government spending.
In 2024, the government faced public backlash after introducing the 1.5 percent Affordable Housing Levy and increasing National Social Security Fund (NSSF) contributions to 6 percent of employees’ monthly earnings, measures that further reduced take-home pay.
