Immediately after his swearing-in on Tuesday, September 13, President William Ruto got rid of fuel and food subsidies introduced by his predecessor Uhuru Kenyatta.
The move by the Head of State saw a sharp increase in the prices of basic commodities. For instance, pump prices shoot above KSh 200 per liter for the first time.
This saw the opposition wing and Kenyans who had been promised paradise launch attacks on the Kenya Kwanza government for increasing the prices of basic food commodities against their wish.
However, speaking during a prayer service to usher in the New Year at State House, Mombasa, the president defended some of the controversial economic policies of his new administration.
The First in Command revealed that the removal of subsidies on basic commodities had saved the country more than KSh 25 billion every month.
“We would be spending close to KSh 25 billion every month to subsidies on some of the projects or programs that were set out (by the previous administration)
“We have to do away with subsidies because otherwise, they would cost our economy big time,” William Ruto said.
Ruto further said that some of the decisions made by his predecessor including the introduction of fuel subsidies were not meant to benefit the hustlers but were made for political expediency because we had an election.
The president said ending subsidies for basic commodities had set a strong foundation for the country’s economic takeoff adding that he will not shy away from making tough decisions that will enable sustainable economic growth.
“We are focused on investing in areas that will drive our economy forward sustainably. I am confident that we have laid a foundation that will take our economy away from dependence on revenue debt to dependence on revenue that is raised locally,” he added.