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Kenya Finance Bill protests

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The Kenya Finance Bill protests are a series of ongoing decentralized mass protests in Kenya against a proposed tax increase by the Government of Kenya in Parliament.

Kenya Finance Bill 2024 protests
Protesters in Kenyan capital Nairobi
Protesters in Kenyan capital Nairobi
Date18 June 2024 – present (1 week and 2 days)
Location
Kenya
Caused by
MethodsProtests, demonstrations, civil disobedience, civil resistance, online activism, riots
StatusOngoing
Parties
Deaths, arrests and damages
Death(s)22[5]
Injuries31[6]
Arrested283
DamageThe Kenya Parliament building is set on fire

In May 2024, the Parliament proposed the "2024 Finance Bill", which would mainly alter the tax system to pay off debt.[7] The bill was heavily criticized by younger Kenyans especially concerned with the increase in taxes, and these younger Kenyans have "guided the protests".[8] They initially mobilized online using social media platforms like TikTok and Instagram.[9] Young activists circulated calls to action, translated the bill into several local languages,[9] used the artificial intelligence tool ChatGPT to answer questions about the bill,[9] and leaked the phone numbers of political leaders in order to allow protestors to spam them with SMS and WhatsApp messages.[9][10]

Peaceful protests began on 18 June in Nairobi, leading to widely condemned arrests. On 19 June, Parliament amended the bill, removing some controversial clauses.[11] However, the bill was nonetheless passed the next day, leading to nationwide protests and heavy clashes with security forces. On 25 June protestors stormed the Parliament buildings, leading to clashes with police that resulted in at least 22[5] deaths and numerous injuries.[12]

On 26 June, Kenyan President William Ruto addressed the nation and informed them that he would not sign the 2024 Finance Bill, stating that it will be withdrawn and he had come to an agreement with the MPs of his party for that to be their collective position.[13][14]

Background

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The Kenya Finance Bill protests trace back to the 2023 anti-government protests that followed the passing of tax reforms in the "Kenya Finance Bill 2023." These protests, which were led by former prime minister Raila Odinga, left six people dead and dozens injured.[15]

Initially emerging as an outcry on social media platforms like TikTok and X (formerly Twitter), the movement grew into physical protests on 18 June 2024, led largely by a predominantly young demographic and human rights activists. The protests spread nationwide on 20 June 2024, as police cracked down on demonstrators.[9][16]

The 2024 Finance Bill is the first in a series of tax reforms based on a Medium-Term Revenue Strategy (MTRS) devised and published by the Kenyan government in 2023 through the Ministry of National Treasury and Economic Planning. The MTRS aims to increase the tax-to-GDP ratio in Kenya from 13.5% to at least 20% from 2024 to 2027.[17] The figures from the MTRS are based on an International Monetary Fund estimate that Kenya has a potential of 25% tax-to-GDP ratio. Some of the suggestion of the MTRS are what informed the details of the Finance Bill 2024 including an annual circulation tax for all motor-vehicles and review of excise duty on petroleum products.[17]

Some of the major changes proposed in the original 2024 Finance Bill include:[18][19]

  • Introduction of an "Eco Levy" on all imported products that harm the environment such as sanitary towels, diapers, motorcycles, tyres, plastic packaging, electronic devices, audio-visual recording equipment, radio equipment, and electronic equipment.
  • Amendment to the data protection act that limited access to bank and mobile money statements of Kenyans by the Kenya Revenue Authority (KRA) without a court order. This would allow the KRA to have access to financial accounts of any citizen at their sole discretion.
  • Introduction of a 2.5% motor vehicle tax with a minimum of KSh 5,000 and a maximum of KSh 100,000. This was later amended to remove the ceiling.
  • Extension of the time that the Kenya Revenue Authority can issue a decision from 60 to 90 days.
  • Introduction of a minimum top-up tax of 15% on resident individuals or entities with a permanent presence in Kenya, affiliated with multinational groups earning over EUR 750 million annually in at least two of the previous four years preceding the first year of income.
  • Withholding tax on payments made for goods supplied to public entities at 3% for residents and 5% for non residents.
  • Increase of the Road Maintenance Levy from KSh 18 to KSh 25 per litre of fuel, which will raise the price of fuel even further.
  • Introduction of a withholding tax on interest from infrastructure bonds with a maturity of at least three years at the rate of 5% for residents and 15% for non-residents.
  • Introduction of a withholding tax of 5% for residents and 15% for non-residents on any sale in shops hosted by any digital marketplace. The digital marketplace would be required to withhold the required amount and remit it to the government.
  • Change of tax status of ordinary bread, transportation of sugarcane from farms to milling factories, locally assembled mobile phones, electric bikes, solar and lithium ion batteries, and electric buses from tax-exempt to standard which would introduce a 16% VAT on the items.
  • Change of tax status for fertilizers, pesticides and fungicides from zero-rated to exempt which means that the tax on these items is still zero but manufacturers can no longer claim VAT on these items.
  • Change of how excise duty is calculated for alcoholic beverages, cigarettes and tobacco-based products to increase collection on those items. This could see the tax on alcoholic beverages and cigarettes increase by up to 40% or higher for more potent alcoholic beverages.
  • Introduction of a 25% excise duty on vegetable and seed oils and 5% duty or KSh 27,000 per tonne on coal (whichever is higher).
  • Increase of excise duty to 20% for financial services transactions, telephone and internet services, lottery, betting, gaming, and advertisements on the internet and social media.

Casualties

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Despite being mostly peaceful, the protests resulted in at least two deaths and around 200 injuries.[20] One police officer lost both forearms when a tear gas canister ignited after he delayed releasing it.[21][22] In addition, two demonstrators died from injuries incurred during the protests on 20 June.[10][23] Journalists and observers were among those injured.[16]

Kenya's independent policing review body, the Independent Policing Oversight Authority (IPOA), launched a probe into the fatal police shooting of protesters with live ammunitions during the 20 June protests.[24]

Reactions

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The protests have seen international and local reactions on since 19 June, with many online demanding the cancellation of the bill. Among them was Anonymous, a decentralized international hacker group, which warned President Ruto and the parliamentarians that it would launch cyber attacks.[25]

Amidst the 20 June nationwide protests, "football Twitter," a soccer sub-culture on the X platform, simultaneously threw their support behind the protesting youths, rallying the world around Kenya by amplifying the use of hashtag #RejectFinanceBill2024.[26]

On 23 June, Ugandan opposition leader and activist Bobi Wine voiced his support for the protests. Encouraging the protesters, he said, "Power to you, the young people of Kenya. You are speaking up and your voices are being heard far beyond the Kenyan borders. We hope your leaders too are listening! We continue to stand in solidarity with you. Viva." Many other international celebrities have also shown their support for the protesters. They shared posters of demonstrations and other banners.[27][28]

On 23 June, during Holy Mass at the Cathedral of the ADN, YSC members called the Finance Bill 2024 a common "enemy" for well-meaning Kenyans. They urged the congregation to familiarize themselves with the details of the Bill and appealed for prayers to ensure its rejection.[29]

On 24 June, the Azimio Coalition party led by minority leader Opiyo Wandayi said it had unanimously rejected the Finance Bill 2024 in its entirety. It requested that its members at the Parliament who submitted amendments to the bill withdraw them immediately.[30]

Gideon Moi, Kenyan politician and party leader of the Kenya African National Union condemned the arrest and abduction of people perceived to be leaders of the protests. He said an attempt to suppress the voices of those who bear the brunt of over-taxation, unresponsive economic policies, and lack of accountability on the part of the government through unlawful tactics, is unacceptable.[31]

Human rights groups such as Amnesty Kenya, Kenyan associations of content creators, lawyers, medical officers, human rights defenders, and twenty-seven international organizations have unanimously added their voices to the protests against the bill, calling for uninterrupted internet access during the nationwide protests on 25 and 27 June. Earlier, rumours had spread that the Government of Kenya would shut down the internet during the scheduled protests to impede communication among the protesters.[32]

On 25 June, Secretary-General of the United Nations António Guterres urged Kenya's police and security forces to "exercise restraint," stating that he was "deeply concerned over the reported violence that we've seen."[33]

The United States called for calm, and 13 Western nations, including Canada, Germany, and Britain, expressed being "especially shocked" by the scenes outside parliament.[34] US Secretary of State Antony Blinken reportedly spoke with President Ruto to urge restraint.[14]

The Kenya Conference of Catholic Bishops (KCCB) condemned the killing of protesters who were killed on June 25 protests.[35]

Timeline of events

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13 May to 18 June — Online mobilization

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The #RejectFinanceBill2024 movement commenced on TikTok before spreading to X, with the dissemination of the anti-tax campaign further facilitated by platforms such as Instagram and WhatsApp.[36]

Initially, the movement began as a call to action for citizens to urge their members of parliament to vote against the bill by publicly sharing the phone numbers of various parliamentarians. When it became evident that this approach was ineffective, posters calling for a demonstration on Tuesday, 18 June 2024, began circulating on all social media platforms, encouraging widespread participation in protests against the bill. This culminated in the emergence of the hashtag #OccupyParliament.[37][38]

18 June — Day 1

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The first day of protests saw hundreds of Kenyans take to the streets of the capital, Nairobi, to demonstrate against the bill. They urged members of parliament to vote against the bill in the passing of the 2nd reading held on 20 June 2024. In what was largely a peaceful protest, Kenyans, whose original intention was to sit outside the parliament buildings were thwarted by the police who lobbied tear gas canisters at them. Nairobi Police Commander Adamson Bungei stated that no group had been granted permission to protest.[39] 210 people were arrested, and tear gas was used by police. Concerns about looting led to the temporary closure of multiple businesses.[40] Despite these arrests, demonstrations and a planned sit-in outside parliament buildings continued.[40][41] The Law Society of Kenya and human rights organizations in Nairobi and across the world condemned the violence of police against the protesters. Journalists were also assaulted in the protests, leading to condemnation from the Media Council of Kenya and several media outlets in Kenya.[42][43] In spite of the violence, there were no deaths on either side on the first day of protests.

In response to the police violence, Kenyans took to social media platforms like X and publicly published personal information of the police officers captured in photos or videos committing violence against peaceful protesters. They published identification numbers, phone numbers and family details.[44]

All arrested individuals were released the next day following lobbying from the Kenyan people, political leaders and human rights groups like Amnesty International.[45]

19 June — Day 2

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In response to the public outcry voiced across the country, the budgetary committee proposed some amendments to the bill striking out some of the controversial sections of the bill.[46][47] Some of the amended items include:

  • Removal of the 16% VAT on ordinary bread, transportation of sugar cane, financial services and foreign exchange transactions.
  • Removal of the 2.5% motor vehicle tax.
  • Reversal of the proposed 20% excise duty on mobile money payments to the current 15%.
  • Removal of excise duty on imported eggs, potatoes and onions.
  • Removal of the clause allowing the Kenya Revenue Authority to have access to financial accounts of Kenyans without a court order.

However, scores of Kenyans were not satisfied with the amendments. They took to the streets again to protest against the bill and vowed never to stop until the entire bill was scrapped. This gave birth to the emergence of the hashtag #RejectNotAmend.[48]

20 June — Day 3 (Protesters killed by police)

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The third day of protests preceded a House sitting for the second reading of the Finance Bill. Thousands of Kenyans in 19 of the country's 47 counties, including the capital Nairobi and the cities and towns of Mombasa, Kisumu, Eldoret, Meru, Lodwar, Kakamega, Kisii, Nakuru, Nyeri, Nanyuki, and Kilifi, took to the streets again to urge MPs to vote against the bill during the parliamentary sitting held that day.[49]

The results of the parliamentary voting were 204 against 115[50], with the majority of MPs voting for the bill.[51]

In the week that led to the introduction of the bill, disgruntled youths leaked the phone numbers of the involved parliamentarians and bombarded them with calls and texts. They expressed dissent and urged them to reject the bill.[52]

In a graduation ceremony at Garissa University attended by President Ruto, people could be seen chanting "Reject Finance Bill 2024" as the presidential motorcade drove through the town.[53]

Security forces were deployed to contain the protests, and in a bid to disperse the protesters, the police used water cannons and tear gas against them. There were also allegations of the use of live ammunition against the protesters. As a result, more than 200 people were injured, with 8 considered to be in critical condition, according to the Kenya Red Cross society.[54][22] One protester was reported dead after being shot by a law enforcement officer.[20] Another protester, who was injured during the protests after a tear gas canister hit him, died on 22 June 2024.[55]

In reaction to the killings of protesters, the youths declared "7 days of rage" and called for a national strike on 25 June to protest police brutality against fellow demonstrators.[56][57]

23 June

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The Government of Kenya said President Ruto was ready for conversations with the protesters, saying that he was "proud of our young people."[58][59] Nevertheless, protesters called for a nationwide strike on 25 June 2024 to further their demands.[60]

Catholic youths in Nairobi's Archdiocese joined protests against calling it an "enemy" for its potential to overtax citizens and promote oppression. They appealed for prayers and public understanding of the bill's implications. Kenyan Catholic Bishops supported the youth, condemning the bill's punitive taxes and urging the government to address protesters' concerns thoughtfully and peacefully.[61]

Kenyans in Dallas led by the Roots Party leader George Wajackoyah protested against the bill.[62]

24 June

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Hundreds of youths from Lamu County staged street protests against the bill. The protesters condemned the government for pushing what they termed as an "unrealistic agenda."[63]

The Government of Kenya said it would allow the planned nationwide protest scheduled for 25 June. The Interior Security Cabinet Secretary, Kithure Kindiki, stated that those who wished to demonstrate could go ahead as long as the protests remained peaceful.[64]

Rights groups called for uninterrupted Internet during protests.[65]

25 June — Day 4

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Main article: 2024 Parliament of Kenya attack

Protesters, numbering in the thousands, managed to break through police barricades and entered the parliamentary complex. Amnesty International Kenya reported that police fired live rounds, injuring many protesters. In the chaos, a section of Parliament housing offices was set on fire, further escalating the situation. Heavy gunfire from police officers continued as they struggled to control the defiant crowd.[66]

President Ruto later denounced the protests, calling them "treasonous."[33] The Ministry of Defence stated that the military had been deployed to support the police.[33]

26 June

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In a press conference with news outlets, the president of the Kenya Medical Association, Simon Kigondu, said that at least 13 people had been killed,[67] adding that he had never seen "such level of violence against unarmed people."[68]

Deputy Azimio opposition leader Martha Karua termed the deployment of the Kenya Defence Forces unconstitutional.[69] Hours later the chief azimio opposition leader Raila Odinga said in a statement "The Constitution[70] seems to have been suspended. We cannot allow that. The government has unleashed brute force on our country's children and more seems to be on the way. We cannot allow that," Instead he called on the government to consider dialogue with Kenyans opposed to the Finance Bill 2024.[71]

The Law Society of Kenya sued Defence CS, Aden Duale, and the National Assembly over military deployment. It urged the court to suspend the decision to deploy the military pending a hearing and determination of the case.[72][73] It also called upon the International Community to conduct an independent investigation on the security operations on the Githurai [74] area the previous night.[75]

In the evening the Kenya National Human Rights Commission said that at least 22 people were killed, and their Commission chairperson Roseline Odede told journalists that 300 others were injured and 50 people were arrested.[76]

President Ruto addressed the nation, saying that he would not sign the 2024 Finance Bill, stating that, "the people have spoken."[14] He added that it will be withdrawn and he had come to an agreement with the MPs of his party for that to be their collective position.[13][14] Despite this, protestors said they will go ahead with a "One Million People March" on the following Thursday, with plans to "block roads leading to the capital,"[14] and calls to occupy the State House in Nairobi.[14]

See also

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References

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