This archive report was first published on 16 September 2021.
Kenya's economy is reeling from the effects of the Covid-19 pandemic, with the country's GDP shrinking for the first time in three decades last year.
The pandemic has led to huge job losses, with 738,000 jobs shed, and informal workers such as small traders and artisans bearing the brunt of those losses.
Despite restrictions still in place, including a nighttime curfew, the disease has infected almost 245,000 people in the country, including almost 4,950 fatalities.
On top of these challenges, the country's energy regulator has ended subsidies on petrol, diesel, and kerosene, leading to a record-high fuel price.
The price of petrol in Nairobi has increased by about six percent to a maximum of almost 135 shillings (about $1.2 or 1.0 euro) a litre.
Furthermore, a near five percent excise duty on fuel is set to be introduced from October 1, which will likely lead to further price increases.
Consumers are outraged, with many expressing their frustration at the government's decision.
"The increase in fuel is just ridiculous, it shows that the government is not in touch with the reality on the ground, how do they want us to survive," said James Mwangi, a second-hand car dealer in Nairobi.
"Any increase in fuel prices means an increase in many other things," he added.
Others are also feeling the pinch, with Mercilyne Njeri, a 35-year-old hotel worker, saying she is already trying to survive on 60 percent of her usual salary.
"The government is not realistic, you cannot increase fuel prices at a time we are suffering from tough economic times brought about by Covid-19 challenges," she said.
The Consumers Federation of Kenya (Cofek) has warned of a huge hit on the economy, with high costs of production, surge in food prices, transport, and overall, a higher cost of living.
"The foreign direct investments as well as consumer purchasing power will be driven south for a struggling economy reeling under the Covid-19 pandemic," it said in a statement.
