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Kenya set to reintroduce tax hikes. Will protests follow?
The Kenyan government is reintroducing the controversial tax plan that fueled young Kenyans’ protests earlier this summer. President William Ruto scrapped the $1.2 billion plan at the end of June after demonstrations turned deadly, but the government faced a funding shortfall as a result, downgrading its credit rating over concerns about Kenya’s ability to service its $78 billion public debt.
When he ditched the bill, Ruto vowed to address the concerns of young Kenyans, who have struggled to find jobs in an economy failing to keep up with population growth. They argued that rather than increase taxes, the government should crack down on corruption.
Disillusioned youth are increasingly inciting civil unrest across Africa, where by 2030, 42% of the world’s young people will reside. Youth-led protests were also seen in Uganda and Nigeria this summer, and last week, more than 400 young people gathered at the UN offices in Nairobi for the Africa Youth Forum 2024 where they expressed their discontent with leaders they feel are denying them political and economic opportunities.
We will be watching to see whether reintroducing the tax plan reignites protests in Kenya, and whether young people across Africa can turn their discontent into political change.
Kenyan-inspired protests spread across Africa
Kenyan President William Rutonominated four opposition ministers to his new “broad-based” cabinet on Wednesday to appease growing government dissatisfaction – a move that's already being labeled a corrupt bribe by protesters. Earlier this month, Ruto fired most of his cabinet after weeks of student-led protests against proposed tax hikes and government corruption led to 50 deaths and calls for his resignation.
Wednesday's move came after last week’s appointment of 11 ministers – six of whom had been in the previous cabinet – drawing concerns that Ruto’s pledges for radical change were just words and that he will continue to choose personal politics over national interests. Protesters have been urged to accept Ruto’s concessions and engage in constructive dialogue, but demonstrations continue as Ruto refuses to step down.
New Kenyan-inspired protests. These calls for change are now being echoed across the continent. In Uganda, youths inspired by their Kenyan counterparts have taken to the streets in anti-corruption protests – a move authoritarian President Yoweri Museveniwarned was “playing with fire.” Ugandan forces besieged the activists’ headquarters on Monday, and authorities arrested more than 40 people – including three opposition lawmakers – at banned protests the following day.
Hoping to mirror the successes of Kenyan protests, young Nigerians have also taken to social media to organize a demonstration on Aug. 1 against the ongoing cost-of-living crisis. Nigerian President Bola Tinubu has called on youths not to join the “sinister” protests, as the government begs for more time to address economic hardships.
Double duty: Kenya and Bangladesh try to balance domestic crises with Haiti aid
Haiti’s Prime Minister Garry Conillecalled for gangs to surrender their weapons and recognize the state’s authority late Wednesday, as a Kenyan-led police mission there enjoys some early success.
Some 200 officers arrived in late June and are trying to take back the capital from gangs that launched a series of highly coordinated attacks in February, ousting former Prime Minister Ariel Henry and seizing about 80% of the capital. The mission received another 200 Kenyan officers on Tuesday, and, within the coming months, the multinational force is expected to see recruits from other countries, including Bangladesh. But oddly enough, both Nairobi and Dhaka are facing severe challenges to law and order at home.
Kenya is entering its second month of deadly protests calling for the resignation of President William Ruto. But Ruto has doubled down, banning protests in Nairobi mere hours before a demonstration was planned for Thursday. Protests are likely to continue and will be met by a violent police response.
Meanwhile, in Bangladesh, at least 32 people have been killed in police clashes during nationwide, student-led protests this week. The young activists are demonstrating over quotas that reserve 30% of government jobs for relatives of veterans of Bangladesh’s 1971 War of Independence. Protesters announced they will force a nationwide shutdown in response to the police brutality in one of the most severe challenges yet to Prime Minister Sheikh Hasina, who has ruled for 20 years.
We’re watching for signs of whether the security mission’s main contributors feel they need to put their own houses in order before helping Haiti.
Hard Numbers: Sen. Menendez found guilty, Protests turn deadly in Kenya, China’s readers scoop up Vance’s book, Rwanda’s early vote count in, Bangladeshi protests claim lives
16: Sen. Bob Menendez of New Jersey was found guilty on Tuesday of all 16 counts in his federal corruption trial, including bribery, acting as a foreign agent (a first for a US senator), and fraud. Prosecutors said “he put his power up for sale,” lending support in exchange for money, gold bars, and other bribes in a yearslong scheme. He faces decades in prison when he’s sentenced on Oct. 29.
1: One person was killed Tuesday in violent anti-government protests that resumed in Kenya less than a week after Kenyan President William Rutodismissed most of his cabinet to demonstrate his commitment to make radical changes to the demonstrators. The protests first broke out last month – 39 people were killed, and demonstrators breached the Parliament building – in response to a deeply unpopular finance bill that aimed to raise $2 billion in taxes to offset worsening economic crises. Ruto backed down from the tax, but protesters are still demanding that he resign.
10: After his selection as Donald Trump’s vice-presidential running mate, JD Vance’s memoir “Hillbilly Elegy” – which highlights difficulties faced by the white working class in America – sold out immediately in China, and online prices for used versions there increased tenfold. Since its release in 2016, the book has become one of China’s best-sellers, but Vance does not return this affection. In fact, he has called China America’s greatest threat.
99.15: Rwanda’s electoral commission reported that President Paul Kagame secured his fourth term in Monday’s election, with early reports showing him winning 99.15% of the vote. This is not a big surprise given that the election was deemed by many as neither free nor fair. Kagame has been in power for over 30 years, and he stands accused of cracking down on dissent and political opposition.
5: At least five people were killed on Tuesday in Bangladesh during ongoing violent protests calling for an end to public-sector job quotas that ensure 30% of government jobs are reserved for family members of Bangladesh War of Independence veterans. Clashes first broke out Monday at universities and have since spread nationwide, with tens of thousands taking to the streets to voice their anger over persistent high youth unemployment.
Kenyan president fires cabinet in bid to retain power
In the wake of mass protests over proposed tax increases that turned deadly last month, Kenyan President William Ruto fired the bulk of his cabinet on Thursday, signaling that he’s willing to make radical changes.
Protests broke out in June in response to a finance bill passed by parliament to raise over $2 billion in taxes. The demonstrators brought chaos to Nairobi, killing 39 people and breaching the nation’s parliament building. The violence forced Ruto to abandon the bill, and he’s been implementing a series of measures to reduce government spending. With his cabinet reshuffle — he sacked all but his deputy president and prime cabinet secretary — Ruto hopes to quell angry protests calling for his resignation by showing he’s listening and willing to be more flexible.
Ruto said he would “immediately engage in extensive consultations across different sectors and political formations, with the aim of setting up a broad-based government,” which could mean the possible inclusion of opposition parties in the new government.
What now? Cash-strapped Kenya will be forced to dig into other country’s pockets, widening their already worrisome foreign deficit amid a worsening cost-of-living crisis. And although protesters celebrated this as a victory, Kenyans have demonstrated that they are happy to take to the streets when they’re unhappy.
Eurasia Group analyst Imani Jaoko explains this may be enough to stop the protests, but one “can’t rule out the prospect that future missteps could galvanize the protesters ... who seem pleasantly surprised by their newfound power and are keen to build on it.”
Kenya’s president does a 180 after deadly protests
Kenyan President William Ruto on Wednesday caved to the demands of protesters and scrapped a controversial finance bill. The legislation, which would’ve raised taxes on a population already struggling with high living costs, sparked mass protests that led to a deadly police response this week.
“I will not sign the 2024 finance bill,” Ruto said Wednesday amid widespread outrage over the deaths. “The people have spoken.”
What’s next? The move will appease Western donors, older voters, and certain lobbying groups who backed the young protesters but also want to see calm restored, says Imani Jaoko, a Nairobi-based analyst for Eurasia Group.
But the young voters who spearheaded the demonstrations “are not going to relent,” adds Jaoko, because people have died, and they see this U-turn as coming too late.
Ruto initially pledged a strong response to the protests, which also called for his resignation. Though he’s done a 180, it actually “emboldens” the demonstrators, says Jaoko, who are now aiming not only for the finance bill but “the administration’s failures in whole.”
Still, older voters, among other groups, will probably push the young protesters to “take the ‘win,’” adds Jaoko, noting that it’s unlikely the calls for Ruto to resign will reach a level where he feels compelled to step aside.
Protests turn deadly as Kenyans storm Parliament
Kenyans enraged over a new finance bill that would increase taxes attempted to storm Parliament in Nairobi on Tuesday, prompting police to use live ammunition. Part of the building was set on fire, and multiple people were reportedly killed.
The demonstrations, which have also spread to other major cities and led Kenya to deploy the military, have been “a long time coming” and reflect the general mood across the country, says Caroline Gray, a Fulbright scholar based in Nairobi.
Kenyans — especially the younger generation, which is driving the protests — are fed up with the high cost of living and rising unemployment. “These proposed tax increases on everyday, basic goods have pushed people over the edge,” says Gray.
The protesters wanted lawmakers to scrap the bill, which aims to ease Kenya’s sizable debt burden, but it was pushed through Parliament on Tuesday. President William Ruto can now either sign the legislation or send it back for amendments.
Many young Kenyans who once supported Ruto feel betrayed and are now calling for his resignation. “They feel Ruto is taking instruction from the IMF,” says Gray, which recently gave Kenya additional loans to help with its financial problems – but with conditions to ensure repayment.
Meanwhile, the Kenyan government just sent a large police force to help quell gang violence in Haiti, which bolsters the view among the population that Ruto is “not working for them but for his global image,” Gray adds.
The president has two weeks to act on the legislation. Ruto on Tuesday pledged a tough response to the “treasonous” protests. In the meantime, if Ruto doesn’t make changes to the bill or other concessions, Gray says the protests are likely to “continue and escalate.”
Hard Numbers: Kenyans march against femicide, Corruption costs Ukrainian defense, Germans protest far right, Evergrande tries to avoid liquidation (again), Say more than ‘Oui’ to Paris!
14: So far this year, 14 women have been murdered as a result of gender-based violence in Kenya, and thousands took to the streets in Kenya’s capital, Nairobi, on Saturday in response. Nearly a third of Kenyan women face physical violence at some point in their lives, while 13% are victims of sexual violence, according to a 2023 government report.
40 million: The country’s security service, SBU, says five employees from a Ukrainian arms company have been charged with conspiring with officials to embezzle nearly $40 million from defense coffers. The money, meant for buying mortar shells to aid the fight against Russia, has been seized and returned to the defense budget. But the incident signals how Ukraine’s battle against corruption continues.
100,000: Protests were held in 30 German cities on Saturday, with up to 100,000 people demonstrating against far-right extremism in Deutschland. The protests – coincidently held on International Holocaust Remembrance Day – were a rebuke of the anti-immigrant rhetoric peddled by the increasingly popular Alternative for Germany party, or AfD, just months ahead of three major regional elections in eastern Germany where the AfD tends to do well.
$300 billion: A court in Hong Kong ordered Chinese property development giant Evergrande to liquidate as it struggles to restructure debts to service over $300 billion in liabilities. It is unclear whether China will allow foreign investors to seize Evergrande assets, and there are fears of major ramifications for the Chinese economy as a whole.
A2-B1: If you dream of moving to Paris, you’ll need to dust off your Petit Larousse and embrace the subjunctive. While French competence was previously only required for those seeking French citizenship, a new law passed on Saturday requires anyone applying for multi-year residency to prove they understand French at the A2 level (advanced beginner). And a 10-year residency card now requires a B1 (intermediate) level of proficiency.