Ruto reveals measures taken to cushion Kenyans from rising cost of living amid Middle East crisis
President William Ruto has assured Kenyans of safe measures undertaken by the government to cushion them from the economic shocks arising from the conflict in the Middle East.
In a statement on Friday, April 17, 2026, Ruto vowed to work out everything possible to ensure Kenyans do not feel the economic heat spiralling from the Middle East conflict.
“We will do everything possible to cushion Kenyans from the economic shocks arising from the conflict in the Middle East,” Ruto said.
“As I announced on Wednesday during my tour of Kisii County, we have reduced VAT on fuel by half, from 16 per cent to 8 per cent. To underpin this move in a legal framework, I have today assented to the Value Added Tax (Amendment) Bill, 2026, State House, Nairobi,” Ruto explained.
The President explained that the urgent amendment of the VAT Bill was a necessary step because a surge in the cost of fuel has a ripple effect on consumer goods and services.
While the reduction in VAT is expected to run for the next ninety days, Ruto has announced that the government has inserted a provision which will enable us to extend the application of the law should the conflict in the Gulf continue to affect oil prices.
“VAT will be in operation for 90 days; we have inserted a provision which will enable us to extend the application of the law should the conflict in the Gulf continue to affect oil prices,” Ruto stated.
Ruto further applauded the members of the National Assembly for their swift consideration and passage of the bill in a record one day.
“I thank the National Assembly for their swift consideration and passage of the bill in a record one day,” Ruto noted.

The VAT Bill
Ruto’s remarks come moments after he assented to the Value Added Tax Amendment Bill 2026, which seeks to regularise the slashing of VAT on fuel from 16% to 8%.
The president assented to the bill on Friday, April 17, 2026, at the State House, Nairobi. The VAT bill seeks to cushion Kenyans against rising fuel prices.
The Bill, which was sponsored by the Kilifi North Member of Parliament, Owen Baya, was introduced and passed in a record 1 hour on Thursday, April 16, 2026, in the National Assembly.
At the same time, the VAT bill will also regularise the price reduction effected on Wednesday night by the Electricity and Petroleum Regulatory Authority (EPRA), which saw the price of petrol lowered by Ksh9 and diesel by Ksh10.
The bill came hours after Ruto announced a 50% reduction in Value Added Tax (VAT) on fuel to cushion Kenyans from the shockwaves of the historic hike in fuel prices.
The Value Added Tax Amendment Bill of 2026, which effectively reduces the VAT on fuel from 16% to 8%, is expected to last for the next ninety days; however, should the situation persist, the MPs explained an extension of more days.













