Is Kenya Headed to a Major Economic Slump Down?

Kenya might be heading to a major economic recession as the government struggles to finance its deficit. The transport sector continues to pay the heaviest price as the government through the Energy and Petroleum Regulatory Authority (EPRA) has chosen to increase fuel prices.

Kenyans turned to social media to complain about the increase. According to a statistical survey conducted by Nation Media Group comparing the fuel prices of the three East Africa countries, Kenya’s price was the highest. The average petrol price in Kenya is Kshs.122.81, in Tanzania is Kshs.93.67 and in Uganda is Kshs.116.22.

Kenya’s debt of about Kshs.9 trillion has already hit the ceiling. Earlier this year, the government of Kenya indicated that it had planned to raise the debt to Kshs.12 trillion. Kenyans should brace for tougher times ahead as they will bear the burden of financing the loan, which might take eons to repay.

Treasury Cabinet Secretary Ukur Yatani recently claimed that the government will seek Kshs.124 billion Eurobond loan to repay the country’s maturing loans.

As the country continues struggling to meet its financial targets, the government of Uhuru Kenyatta plans to hold a national plebiscite to amend the constitution.

The Building Bridges Initiative (BBI) that seeks to alter Kenya’s constitution was endorsed by a majority of County Assemblies. It is yet to be approved by the Senate and the National Assembly, before being sent to the people for final approval.

Covid-19 pandemic exacerbated the problem as the government fall short of its revenue target. The pandemic led to massive job losses and business shut down. The government cushioned low-income earners during the nascent stages of the pandemic by cutting down on their tax collection.

Comments

How Human Noise Kills Marine Species, as revealed by Scientists

Scientists have warned that the discord of noise made by humans is harming marine species . A comprehensive assessment revealed that large noise from human activities was as harmful as pollution, overfishing and climate change . The study that was conducted by the Journal Science exposed how marine animals can hear from far distances than they can see or smell. According to a report published in the Guardian, most of the marine life uses sound to catch prey as well as attracting a mating partner. Prof Carlos Duarte of King Abdullah University in Saudi Arabia argued that: “Marine animal can only sea up to around 10 meters, smell up to around a hundred meters, but they can hear across the entire ocean basins.” The research concluded that sound “is very important in the marine ecosystems, and noise is pervasive, affecting animals at all levels .” The increasing cacophony in the marine habitat is interfering with how marine animals respond to various survival...

Carbon dioxide to Make Jet Fuel, Study Reveals

Photo Source: twitter.com Aircrafts release a lot of carbon dioxide in the atmosphere which contributes to climate change. A research that was conducted by Science News and reported on December, 22 2020 stated that there was a new iron-based catalyst that has been invented to convert carbon dioxide into jet fuel. It is only a matter of time that carbon dioxide pumped to the atmosphere by planes could be sucked and used to power the same. The air travel’s footprint in carbon emissions could be tremendously curtailed, if the carbon dioxide that is released is recycled to generate fuel. As per Science News reports, Air transport contributes to about 12 percent of the entire transportation carbon-related emissions. Unlike cars, aircrafts cannot carry bigger batteries which can be run on electricity generated from wind or solar panels. The current breakthrough in the conversion of carbon dioxide to fuel involves cheap ingredients such as iron and transformed through a single s...

Why Mt Kenya Leaders are wary about Change of Guard

As 2022 succession battle gains momentum in Kenya, leaders drawn from Mt Kenya region have become more concerned of their political future and survival. Mt Kenya region is predominantly occupied by the agikuyu, ameru and aembu communities. The region has produced three out of the four presidents. It boosts about the tyranny of numbers, thus making the region a battle ground for leaders from other region seeking to succeed President Uhuru Kenyatta. Central alone produced Mzee Jomo Kenyatta, Mwai Kibaki and Uhuru Kenyatta as presidents. The only other Kenyan president drawn out of the region was Daniel Arap Moi. In the recent past, the region has gone against the tide of State operatives as a sign of revolt over what they term as negligence from the government, despite electing one of their own to the much coveted seat. Deputy President William Ruto has taken advantage of the brewing rebellion through making serious political forays in Central and its vicinity. ODM leader Rail...

Phode News Hub

Search This Blog