@Standard

Food prices to climb as IMF strikes where it hurts most - 7 months ago, 19 Aug 00:06

Vincent Achuka

It appears Kenyans will have to dig deeper into their pockets to survive as the government remains mum on conditions set by the International Monetary Fund (IMF).

The expected reintroduction of VAT on fuel will be the latest in a string of conditions set by the IMF that will also include removal of tax exemptions on kerosene and sugar. A report that was to be released by the IMF at the end of a review of Kenya’s financial situation in July is yet to be made public.

However, the stringent conditions set by the international lender aimed at cutting down borrowing and wastage by the government have already seen an introduction of 12 per cent duty on mobile money transactions and an order by President Uhuru Kenyatta to freeze new projects.

It is also part of the reason why the government intends to repeal the interest rate controls effected in 2016 arguing that this will ...
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