Kenyan President William Ruto Reinstates Fuel Subsidy After Violent Protests
The Kenyan government has reinstated a small subsidy to stabilise retail fuel prices for the next 30 days after months of violent protests against the rising cost of living.
Ruto removed fuel and maize flour subsidies in September last year after taking office and increased taxes this year.
The subsidies had put in place by his predecessor Uhuru Kenyatta but Ruto said he preferred subsidising production rather than consumption.
The move was also aimed at cutting government spending as the government seeks to get a handle on debt repayments, reported Al Jazeera.
However, the subsidy cuts as well as recent tax hikes have increased living costs and contributed to violent anti-government protests in recent months.
On Monday, the Energy and Petroleum Regulatory Authority (EPRA) announced that the maximum retail price of a litre of petrol would remain constant at 194.68 shillings ($1.35).
The Government will shoulder an increase of 7.33 shillings ($0.05) through a price stabilisation fund.
Fuel prices shot up when Ruto removed the subsidies and spiked again in July after the government doubled the fuel tax.
More: Pindula News
