Details of President Ruto’s Talks with IMF Chief on Finance Bill 2024 Withdrawal
President William Ruto reportedly engaged in a conversation with IMF Managing Director Kristalina Georgieva following the retraction of the controversial Finance Bill 2024.
Reuters, a globally recognized media organization based in London, reported that the conversation took place over the phone.
Diplomatic sources, speaking to the UK-based media house, verified this interaction.
While the precise details of the discussion remain unclear, it was noted that the main topics were the contentious Bill and the ensuing protests over the tax proposals.
The IMF has been under scrutiny recently due to its stance on tax and revenue measures that the Kenyan government needs to implement.
The IMF has been advocating for reforms in Kenya’s tax administration with the primary goal of broadening the tax base and ensuring efficient tax utilization. Ruto highlighted that the original Finance Bill 2024 was projected to generate nearly Ksh300 billion for the government.
However, post-amendments in Parliament, the expected revenue dropped to slightly over Ksh200 billion.
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These funds were earmarked for financing various development programs in the 2024/2025 fiscal year.
During the protests, the IMF expressed concern over the violence but did not clearly state their position on the Finance Bill. They committed to assisting Kenya in achieving its revenue and development objectives.
“We are deeply concerned about the tragic events in Kenya in recent days and saddened by the loss of lives and the many injuries. Our thoughts are with all the people affected by the turmoil in the country.
“The IMF is closely monitoring the situation in Kenya. Our main goal in supporting Kenya is to help it overcome the difficult economic challenges it faces and improve its economic prospects and the well-being of its people,” stated Julie Kozack, the IMF Director of Communications.
Following the Finance Bill’s withdrawal, the government is expected to reassess the budget presented in Parliament in June.
Ruto, during a Cabinet meeting on Thursday, June 4, affirmed that his administration would eventually be vindicated once Kenya meets its development goals.
“Our plan is good and solid and, in the fullness of time, we shall be vindicated,” he stated.
Details of President Ruto’s Talks with IMF Chief on Finance Bill 2024 Withdrawal