What Kenyans should expect in 2017/18 budget

janet ndila

March 28, 2017 10:30 AM

Treasury officials have now revealed that Kenyans will be expected to...

Finance CS Henry Rotich

Treasury officials have now revealed what Kenyans should expect ahead of reading the budget statement on Thursday.

Treasury Principal Secretary Kamau Thugge and Director of Budget and Economic Affairs Dr Geoffrey Mwau, said that Kenyans should not expect an increase in taxes.

Thuggge and Mwau stated that economy in the country was growing despite the high cost of living being experienced by the common mwananchi.

“If you look at it from the expenditure side, expenditure is growing. In fact, it’s driving our GDP.

"Today, and I’m sure you have seen this, you open a mall like Two Rivers, Kenyans flock there to spend and they have not reduced in Galleria or in any other mall,” Mr Mwau said.

The two officials said that the middle class was growing very fast in the country as compared to the previous years.

“You can see people spending on the weekends, they are going to Dubai in huge numbers. Kenyans are the second largest visitors to Dubai, other than Indians. Where does this money come from? The middle class is growing,” Mr Mwau added.

Ahead of the budget, President Uhuru Kenyatta expressed concern over the ballooning wage bill by civil servants.

Kenyatta announced that all politicians would take a pay cut after the August 8 elections in a bid to adopt a report by the Salaries and Remuneration Commission (SRC).

In 2016/17, the National Treasury submitted Sh2.3 Trillion national budget and targeteda revenue collection of Sh1.49 billion up from Sh1.29 billion in the last financial year.

janet ndila