Raila: Why I endorsed Fuel Tax

NASA leader Raila Odinga has endorsed the downgrading of the fuel taxation from 16 percent to 8 percent by President Uhuru Kenyatta.

Odinga says the country could not afford to zero rate petroleum products due to the competing financial demands.

The former prime minister says President Kenyatta was in a fix and could not yield to pressure from Kenyans to scrap the fuel taxation.

He additionally said the country has to repay debts and must strike a balance between repayments while at the same time running the government.

“Currently, development work is being financed by donor money. The revenue being collected in the country is paying government workers and restocking medicines in public hospitals. If fuel taxation is zero-rated then the workers’ salary will be slashed and we will not have medicine in our hospitals,” he said.

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