Kenya Panel Urges Scrapping New Taxes Amid Protests

A Kenyan parliamentary panel recommended that the government scrap some new taxes proposed as part of next year's budget, as hundreds of protesters angered by the measures took to the streets in the capital Nairobi.

The tax hikes, including new levies on cars and bread, are the latest effort by President William Ruto's administration to boost revenue and reduce borrowing, but they have triggered widespread opposition.

Last year, the government introduced a housing tax and increased contributions to the national health scheme in moves that also sparked protests.

Kimani Kuria, chair of the Kenyan parliament's finance committee, said the committee recommended amending the government's funding bill for the 2024/25 fiscal year to remove a new tax on car ownership, higher taxes on financial and mobile phone charges and the imposition of value-added tax on bread.

Police fire teargas to disperse hundreds of protesters demonstrating near the parliament building.

Human rights groups and the country's media council, which accredits journalists, accused police officers of using excessive force to stop the protests, including briefly detaining journalists covering them.

Amnesty Kenya said 201 people were arrested during demonstrations, including journalists, observers from human rights groups and protesters.

"We demand the immediate and unconditional release of all arrested protesters and observers. We call on the police to uphold its duty to protect and respect the rights of Kenyan citizens to assemble peacefully," it said on its X account.

Opponents of the latest tax hikes say they could harm Kenya's economy.

Some taxes in last year's finance law, including the housing levy, are still being challenged in court.