The government has released Ksh6.5 billion to cushion Kenyans from high fuel prices, President William Ruto has announced.
The President also said the government has reduced Value Added Tax (VAT) on fuel products from the rate of 16 per cent to 8 per cent, for the next three months, to further moderate prices.
He gave an undertaking that the government will continue monitoring the conflict in the Middle East – between the United States and Israel on the one hand, and Iran on the other – to ensure that the effects of fuel price increases are moderated.
President Ruto explained that this will ensure Kenyans are not subjected to higher fuel prices as a result of the conflict that has disrupted global fuel supply and led to surging oil prices.
“We are going to make sure that we cushion the people of Kenya from high prices of fuel,” he said.
President Ruto explained that the government has also ensured that the country has adequate supply of fuel, thanks to the Government-to-Government fuel arrangement.
He noted that many countries across the globe are currently facing fuel shortages coupled with high fuel prices.
“The G-to-G fuel arrangement has made Kenya a very competitive fuel destination,” he said.
He assured the country that the government will continue monitoring the situation to ensure the economy is not adversely affected by the global fuel challenge.
At the same time, the President said it was unreasonable for people to plan demonstrations over rising fuel prices, noting that the challenge is global.
He added that the solution lies in ending the war in the Middle East.
The President spoke in Kisii County during the final day of his development tour of the county.