Rotich to increase your cost of living with more VAT on food

The Treasury Cabinet Secretary Henry Rotich will read an Sh3.02 trillion budget for the financial year 2019/2020 Thursday in Parliament.

Here is the simplified allocation of the budget:

Total Amount: The National government has estimated the budget to be Sh3.02 trillion the highest Kenya has had since independence. The budget will be Sh10 million higher than the current one.

Education sector prioritized: A large sum of the budget will go to financing the education sector, which is Sh473.3 billion. The Infrastructure and ICT sector takes the second big share at Sh406.7 billion.

Raised VAT: The government is seeking to tax Kenyans more by raising VAT. This means the cost of living in Kenya will rise as the price of basic products such as food will go up.

Paying debts: Sh800 billion, which is a large part of the budget will go to repaying loans owned to foreign lenders. The Central Bank of Kenya puts the country’s debt at Sh5.4 trillion.

The CS says Kenya continues to meet its debt obligations with no arrears adding that public debt is within the acceptable levels.

Read Also: Interns to earn Sh25,000 in constituency jobs

Health: The health sector has been in the public eye for some time now for all the bad reasons such as the dilapidated state of hospitals, inadequate medicine, and few medical personnel.

The budget allocated for the sector is Sh93.0 billion which is considerably low for such a crucial sector that require more improvement.

The government has also stopped rollout of new projects to ensure ongoing projects are completed. – CS Rotich

Share News With Tv47 Do you have a groundbreaking story you would like us to publish? Please reach us through or WhatsApp: +254 7111 74 230. Contact Now
Show More

Related Articles

Back to top button