Monday, June 5, 2023 – More than 1,000 Chief Executive Officers (CEOs) have voiced their apprehensions regarding certain propositions advocated by President William Ruto’s administration.
They assert that these proposals have the potential to impact their businesses within the upcoming year.
In a Market Perception Survey published by the Central Bank of Kenya (CBK) on Saturday, the CEOs expressed concerns over the proposal to increase some taxes.
They also expressed worry that the increase in fuel prices and taxes were among the factors which could cripple their venture’s operations in the next 12 months.
Besides fuel, they cited the weakening of the Kenyan shilling and reduced liquidity as part of their fears towards the now unpopular proposals contained in the 2023 Finance Bill.
Among the issues that raised concern among the CEOs is the government plan to impose a 3% levy on all workers to support Ruto’s Affordable Housing Agenda.
In the proposal contained in the Finance Bill 2023, employers would also give 3% to match their employees’ contribution to the housing scheme.
Most CEOS opposed the plan maintaining that it could lead to massive job losses. They implored Ruto to postpone the plan.
However, Ruto insisted that the plan could not be postponed. He further dismissed claims that the 3% deduction was a tax, insisting it was a levy.
The Kenyan DAILY POST.