Browsing: Inflationary pressures

Trends suggest Kenya has outstanding resilience due to the quick bounce seen after the last election. Analysts believe the future leader must actively concentrate on transformation to allow the coupling of infrastructure investments to overall sustainability.

The future administration must establish legislation supporting political stability and social harmony to unleash industrial sector development. The adjustments will generate jobs, attract international investors, and lessen import dependency.

In the construction sector, the price of steel and cement has increased exponentially. And, things are not getting better.

The Kenya Transporters Association has instructed its members across the country to raise freight rates by at least 5 per cent in order to maintain their companies under the current circumstances. The notification issued on March 14 was to help the freighters avoid a total collapse of the sector.

In a petition to parliament, the Consumers Federation of Kenya called for the elimination or reduction of the current 16.5 per cent value-added tax on liquefied petroleum gas to 8.5 per cent.

Pressure from the International Monetary Fund (IMF) put the treasury under pressure to increase the VAT on all petroleum goods in 2018. The IMF said that the implementation of the VAT would ensure that the government is able to meet its financial obligations.