Politics

Kenya’s Supreme Court overturns 2023 finance law verdict. What this means

Published

3 weeks ago

October 30, 2024

Following demonstrations that caused President William Ruto to rescind this year’s finance bill, the Supreme Court of Kenya has overturned an appeal court’s ruling declaring the 2023 financial law null and void.

The government primarily uses the finance bills to outline revenue-raising initiatives, and with the repeal of this year’s legislation, Ruto’s administration has been depending on the 2023 finance law to keep collecting taxes.

“We hereby set aside the Court of Appeal’s finding declaring the entire Finance Act 2023 unconstitutional,” the Supreme Court said in its ruling.

Following a spate of protests organised by the opposition last year, the 2023 law was challenged in court after Ruto’s government used it to hike the top personal income tax rate, implement a housing charge, and triple the value-added tax on fuel, among other measures.

After taking power in September 2022, Ruto’s administration attempted to enact a fresh round of tax increases this year, which infuriated many citizens and led to violent riots in June and July that claimed over 60 lives.

Shortly after the national legislature ratified this year’s version of the finance law, Ruto was obliged to withdraw it due to the disturbance, which also caused a delay in the approval of a fresh funding tranche from the International Monetary Fund.

Ruto has maintained that the tax hikes are required to pay off a significant amount of public debt and support development initiatives in Kenya, the largest economy in East Africa.

After Kenya met the goals established by the Fund in a review of its loan program, the executive board of the IMF is scheduled to convene on Wednesday to approve the new payout. The 2023 finance law was ruled unconstitutional by Kenya’s Court of Appeal in July, but the top court stayed the decision until it considered a government appeal.

Related Topics:Appeal Court Featured Kenya

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Politics

Mauritius’ Prime Minister to double as Finance Minister

Published

4 hours ago

November 23, 2024

Ifeoluwa Dada

In an effort to maintain a tight eye on the economy, Mauritius’ Prime Minister, Navin Ramgoolam, who took office this month following a resounding election victory, said on Friday that he would retain the position of finance minister for himself.

“We are doing an audit of the economy to see to what extent the outgoing government has destroyed it,” Ramgoolam told reporters in the capital Port Louis after he presided over the swearing-in of other ministers.

Ten years after he stepped down as prime minister, the seasoned politician returned to the position when his Alliance du Changement (ADC) alliance won 60 of the 62 seats in the national legislature.

The 77-year-old Ramgoolam said earlier this week that he would be auditing governmental finances. Before this, he was prime minister from 1995 to 2000 and again from 2005 to 2014.

Ramgoolam started a campaign in 2006 to streamline taxes and reduce bureaucracy to diversify the $10 billion economy beyond exports of sugar, textiles, and tourism.

Since then, the 1.3 million-person nation, which positions itself as a bridge between Africa and Asia, has developed into a major offshore financial hub and has been rated by the World Bank as the easiest location to do business in Africa regularly.

Politics

Mali’s junta names spokesman Abdoulaye Maiga new Prime Minister

Published

1 day ago

November 22, 2024

Ifeoluwa Dada

A day after dismissing Choguel Maiga for criticising the government, Mali’s governing junta named its spokesperson, Abdoulaye Maiga, as Prime Minister on Thursday, according to state broadcaster, ORTM.

A source close to Choguel Maiga told Reuters that the ruling generals were incensed by Maiga’s remarks over the weekend denouncing the junta’s inability to hold elections within the 24-month timeframe given for the return to democracy.

After promising to hold elections in February, the military authorities, who took control in two separate coups in 2020 and 2021, have put off the poll indefinitely, citing technological difficulties.

Choguel Maiga’s firing coincides with indications of growing discontent and disarray among Mali politicians, even those who first supported the coup and collaborated with the junta.

As the wait for elections continues, Choguel Maiga, a civilian prime minister who was installed by the military junta in 2021, is the most recent to lose support.

He was cited on Saturday as claiming he learnt of the junta’s decision via the media and that there had been no discussion regarding the delay of the elections inside the cabinet.

“It’s all happening in total secrecy, without the prime minister’s knowledge,” Choguel Maiga told reporters.

Before then, he had frequently stood up for Mali’s junta against criticism from foreign friends and neighbours in West Africa who denounced its repeated election delays and military collaboration with Russian mercenaries.

As government spokesperson, Abdoulaye Maiga, the new prime minister, has also made strong public remarks against France, the previous colonial master. One such speech was demanding French President Emmanuel Macron to stop his “neocolonial” and “condescending” behaviour.

Abdoulaye Maiga and Assimi Goita, the leaders of the junta, announced they had kept all of the important cabinet ministers in their portfolios in the new administration in a statement that was broadcast on state television ORTM.

The announcement said that Abdoulaye Maiga will remain minister of territory administration.