Mbadi’s recovery plan must be people-centred
National Treasury Cabinet Secretary John Mbadi’s five-point plan to cushion workers and other Kenyans from the heavy burden of taxation is a step in the right direction.
It is not lost on citizens and the authorities that just three months ago President William Ruto’s government faced its most severe political and economic test over the 2024 Finance Bill.
So strong was public sentiment against the bill that thousands of young people, called Gen Z, led deadly countrywide mass protests against it, forcing the government to hastily withdraw it from Parliament.
The youth-led protests were buoyed by the vigorous constitutionally guaranteed opposition to the bill expressed in various platforms including Parliament, which bore the brunt of public wrath for the unpopular taxation measures legislators had nonchalantly rubber-stamped.
Whatever power it may think it controls over the citizenry, the government and Parliament must remain alive to the indelible power and authority the Constitution has bestowed on the people on matters that directly affect them – political, economic and social – including taxation.
Mbadi must be reminded that he owes his appointment to the coveted but challenging position at the helm of the Treasury to the people. It is common knowledge that the Gen Z protests not only forced the withdrawal of the finance bill but also caused political restructuring.
Observers have pointed out that were it not for the intervention of opposition leader Raila Odinga and his ODM party (of which Mbadi was chairman), President Ruto’s government apparatus was in mortal danger.
In his relatively short time at the exchequer, Mbadi must have studied the harsh economic realities that prompted such vehement opposition to the government’s taxation measures, however much they were intended to partially address the country’s economic doldrums.
The Constitution is centred on the people and its framers purposely designed it that way, with its core values of distribution of power and resources to the grassroots, hence devolution (a two-trier national and county governments) and the Bill of Rights.
Thankfully, Mbadi must have recognised this fundamental principle of the Constitution because in his five-point plan he pledged that the Treasury will expedite the payment of multibillion-shilling pending bills that have virtually brought county governments to their knees.
Much has been achieved since the advent of devolution 10 years ago and counties hold the key to vibrant socio-economic and infrastructure development. Both governments must work closely to ensure devolution succeeds.
The Treasury CS must ensure that never during his tenure will county governments complain they have not received their constitutionally guaranteed allocations on time. The engine for economic recovery and growth is in the counties and the private sector.
Notably, he must impress upon his two principals (Ruto and Raila) on the need for quick and full implementation of the negotiated National Dialogue Committee (NADCO) report, which brought a semblance of political stability to the nation.
Mbadi could have adapted his professional background to recognise that expanding the manufacturing and value addition industry to create more jobs and reviewing the tax collection regime to ensure equity is the panacea for Kenya’s economic woes.
With more money circulating among workers and the informal sector and access to loans for small and medium enterprises, the path to economic recovery will be guaranteed.
Wananchi are anxiously looking forward to the fulfilment of Mbadi’s plans.
— The writer comments on national affairs; [email protected]