This archive report was first published on 2 July 2021.
On July 2, 2021, President Uhuru Kenyatta signed the 2021 Finance bill into law, introducing significant changes to excise duty in Kenya.
One of the key changes was the increase in excise duty on telephone and internet data services from 15% to 20%.
As a result, Kenyans can expect to pay more for various services, including cooking gas, which will see a 16% increase in Value Added Tax, making it over Ksh300 per unit.
Additionally, the government increased the excise duty on bank loan fees to 20%, affecting access to credit for many Kenyans.
With lenders having already calculated and transferred the cost to borrowers, this move is likely to have a significant impact on the country's economy.
