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Residents in Kisii town say the high cost of fuel has left boda boda riders and matatu operators with no option but to raise fares to maintain their profit margins.

And to cope with the increase, many workers are now opting to walk — sometimes for long distances — to cut transport costs.

Raphael Chuma, a boda boda taxi rider, says the increment of fuel from Sh170 to Sh195 has affected his businesses and reduced its profit margins because many of his customers insist on paying the old fares.
The increase was a result of the revised Value Added Tax, which the government started implementing on July 1.

“I used to make Sh250 profit daily when the cost of fuel was Sh170,” he says. “Now, I make Sh50”.
Sometimes, his insistence on new fares and his customers’ insistence on the old sparks heated arguments between them.

Riders who are employed — and pay their employers a specific amount daily — are the most hit and often work late into the night to meet their targets.

Even as he grapples with a drop in his income, Chuma, who operates at Campus stage near Kisii University, says his landlord increased rent due to an upsurge of students, who pushed up demand for accommodation.

As a result, he and his colleagues had to move out and seek cheaper houses further.
Dennis Ayega, a butcher in the same area, says the high cost of living had compelled him to sell meat in grams to meet the specific needs of customers.

A kilo of beef and goat meat cost Sh500 and Sh600 respectively, but few people can afford a kilo. To cope, he has to sell the meat in small quantities to stay in business.“I sell meat of up to 50 grams and any amount the customer wants. I ensure that I meet the needs of my customers for me to realize a little profit. It is better to sell it that way or the meat goes bad,” says Ayega who also dabbles in farming.

This is the only area he enjoys some respite. A 50kg bag of DAP fertiliser now costs Sh4,950, but those who access subsidised fertilizer only pay Sh2,500, a sharp drop from Sh7,500 a few months ago.
He is also happy that a packet of maize flour now costs between Sh180 and Sh190 in supermarkets, a reduction from Sh220 in July. He attributes the drop to the ongoing harvesting of maize.

“Farmers sell two kgs of shelled maize at Sh150, down from Sh200 in June,” he says. “That is why the price of flour has also dropped in supermarkets.”

So, for him, it is not all doom and gloom.

Although the latest data indicates a drop in the cost of food, many Kenyans are yet to feel the impact, and some now say the government has failed to honour its pre-election pledge to tame inflation.
Njoroge Mwangi, alias Muteti, who hails from Gatundu North, in Kiambu, says the cost of fuel has shot to the roof, a situation that has negatively affected other sectors such as manufacturing.

Central Bank of Kenya acknowledges that the revised Value Added Tax (VAT) on fuel, which was increased from eight to 16 per cent, had made it difficult to tame fuel inflation even as food inflation maintains a downward trajectory.

Ugali relief

Muteti says that while President William Ruto has worked hard towards lowering the cost of basic food items by providing subsidised fertilizer, his government must work harder to ensure Kenyans enjoy better living standards through lowered cost of fuel. “We can only hope for the best from him but so far, he has disappointed us on matters of high cost of fuel,” Muteti says.
Mary Njoki, who also lives in Kiambu, differs.

“Ruto has given us cheap fertilizer and as a result, farmers can plant more and expect bumper harvests which will eliminate the food insecurity question,” she says. “Personally, I have nothing to complain about Ruto. We only need to give him more time to prove his ability”.