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The Hydropower Boom in Africa: A Green Energy Revolution Africa is tapping into its immense hydropower potential, ushering in an era of renewable energy. With monumental projects like Ethiopia’s Grand Ethiopian Renaissance Dam (GERD) and the Inga Dams in the Democratic Republic of Congo, the continent is gearing up to address its energy demands sustainably while driving economic growth.
Northern Kenya is a region rich in resources, cultural diversity, and strategic trade potential, yet it remains underutilized in the national development agenda.
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A Clear Break from 2024’s Chaos
The Finance Bill 2025, recently approved by the Cabinet and awaiting Parliament’s review, is not just another economic document—it's a pivot away from the turmoil of 2024. Last year’s Finance Bill was met with fierce public resistance that escalated into nationwide protests and even the storming of Parliament. That forced the government to withdraw the bill entirely. This year's version is the direct consequence of that fallout—a tactical retreat dressed as reform.
Fiscal Deficit Cuts Without New Tax Burdens
The Ruto administration is aiming to cut the fiscal deficit to 4.5% of GDP, down from 5.1%. But unlike before, they’re not achieving this through added taxes. Instead, the focus is on reducing wastage and plugging loopholes. The plan hinges on improving tax collection efficiency, tightening up refund systems, and revising tax laws to eliminate exploitative gaps—particularly those related to exaggerated tax refund claims and exemptions.
Support for Business and Workers
One of the most notable features of the new bill is its pro-business tilt. Small enterprises will be allowed to deduct the full cost of tools and equipment in the year of purchase—a liquidity boost aimed at keeping businesses afloat. In the labor sector, employers will now be required to automatically apply all PAYE reliefs. This ends the tedious process of employees applying for refunds through the Kenya Revenue Authority.
A Long-Awaited Win for Retirees
Retirees finally get some recognition in this version of the bill. All gratuity payments—whether from public or private sources—will now be tax-exempt. This offers financial relief to thousands of elderly Kenyans and signals a softening in government policy toward post-retirement income.
New Reforms Across Key Sectors
Alongside the Finance Bill, the Cabinet approved additional legislative measures:
1.A Public Finance Management (Amendment) Bill requiring counties to maintain emergency funds.
2.A Judges Retirement Benefits Bill aimed at securing judicial independence through better retirement provisions.
3.Major healthcare infrastructure investments in Bungoma and Kericho, addressing longstanding gaps in public health systems.
Kenya Eyes Bigger Diplomatic Footprint
In a surprising diplomatic move, the Cabinet also approved the opening of a new consulate in Port-au-Prince, Haiti. This aligns with Kenya’s expanding role in international peacekeeping and foreign policy presence, especially in crisis-hit regions.
Parliament Holds the Final Say
The Finance Bill 2025 now moves to Parliament for debate. With public memory of 2024’s protests still fresh, the political class is under pressure to tread carefully. The government has sent a clear message: it is listening, it has retreated, but it is not backing down entirely. The strategy now is reform with restraint.
1 comment
edc001
8mo ago
#The blood Parliament is still fresh in our minds though, dear Mishy.