President William Ruto’s government has sparked fresh outrage after increasing the fuel levy by an additional five shillings to use it as collateral for a massive 120 billion shilling loan.
This latest move is expected to add more financial pressure on ordinary citizens already struggling with high living costs.
According to reports, the government plans to securitise the fuel levy to borrow billions more as part of its strategy to manage public debt.
The decision has triggered widespread concern among economists and citizens who fear it will lead to higher fuel prices at the pump and increased inflation across the economy.
Critics argue that using future revenue from the fuel levy as collateral for new loans simply shifts the debt burden further into the future.
Kenyans already face higher costs of transport, goods, and services due to previous levies and taxes. This new increment is seen by many as another example of the government turning to citizens to finance its borrowing needs.
The move comes amid ongoing debates about public debt management and the sustainability of Kenya’s borrowing practices.
Supporters of the government say the funds will support essential infrastructure projects such as road repairs and maintenance. However, opposition voices warn that continued reliance on such measures risks deepening the country’s debt crisis and placing unnecessary strain on households.
As fuel prices rise once again, many Kenyans are questioning the impact on their daily lives and livelihoods.
The development has intensified calls for more prudent financial management and greater transparency in how public funds and loans are utilised.
