Latest news with #JohnMbadi
Time of India
26-05-2025
- Business
- Time of India
Kenya's government to sell more of its stake in Safaricom, finance minister says
NAIROBI: Kenya's government plans to sell more of its shareholding in telecom operator Safaricom , Finance Minister John Mbadi was cited as saying in Kenyan newspaper Business Daily on Monday. The government aims to raise 149 billion shillings ($1.16 billion) in the 2025/26 financial year through the sale of stakes in companies it has share in, including selling more of its ownership of Safaricom, Mbadi told the Business Daily in an interview. At present, the government owns a 35% stake in the operator after it sold a 25% stake in it via an initial public offering in 2008.
Reuters
26-05-2025
- Business
- Reuters
Kenya's government to sell more of its stake in Safaricom, finance minister says
NAIROBI, May 26 (Reuters) - Kenya's government plans to sell more of its shareholding in telecom operator Safaricom ( opens new tab, Finance Minister John Mbadi was cited as saying in Kenyan newspaper Business Daily on Monday. The government aims to raise 149 billion shillings ($1.16 billion) in the 2025/26 financial year through the sale of stakes in companies it has share in, including selling more of its ownership of Safaricom, Mbadi told the Business Daily in an interview. At present, the government owns a 35% stake in the operator after it sold a 25% stake in it via an initial public offering in 2008. ($1 = 129.0000 Kenyan shillings)
Reuters
07-05-2025
- Business
- Reuters
Kenya's 2025/26 budget proposals avoid new taxes after last year's riots
NAIROBI, May 7 (Reuters) - Kenya's government will not impose new taxes or increase existing ones in this year's budget proposals, the finance minister said, after deadly protests broke out last year against the government's measures to raise revenue. More than 50 people were killed when the youth-led marches broke out last June, forcing President William Ruto to abandon tax hikes worth 346 billion shillings ($2.68 billion), and causing a delay to funding from the International Monetary Fund. "The finance bill doesn't have to always adjust tax rates upwards," John Mbadi, the finance minister, told a televised meeting late on Tuesday. "The finance bill of this year is more on tax administration and trying to seal the loopholes and also make tax collection efficient." The government has sent a finance bill, which is usually the government's vehicle for amending laws to maximise revenue collection, to parliament for passage, part of the process towards the 2025/26 (July-June) budget presentation next month. It has also sent spending proposals that set the total expenditure at about 4 trillion shillings to parliament for debate and approval, including a budget deficit of 4.5% of GDP. "There are no new major tax measures," Mbadi said, adding that this year's finance bill is targeting extra revenue of 25-30 billion shillings. Critics have complained about a proposal in the tax bill that, if passed by parliament, will allow the tax authority to access financial information belonging to businesses and individuals, helping it to detect any tax evasion. Mbadi defended the proposal, saying many wealthy people do not pay their fair share of taxes and hide behind the legal provision that bars authorities from accessing certain data. "There are so many people out there operating big bank accounts and they cannot pay tax simply because they are protected by these kind of mischievous laws," he said. ($1 = 128.9000 Kenyan shillings)
Bloomberg
07-05-2025
- Business
- Bloomberg
Kenyan Leader Ruto Switches Tack on Taxes After Deadly Protests
Kenyan President William Ruto plans to scrap some tax breaks to help shore up the state's coffers, a change in strategy that comes after proposals to introduce new levies sparked deadly protests and nearly toppled his government last year before they were abandoned. The East African nation intends removing tax exemptions on mobile phones, pharmaceuticals, animal feed and other items, and curbing refunds and subsidies to limit tax expenditures currently estimated at about 400 billion shillings ($3.1 billion), Treasury Secretary John Mbadi said on a panel with Nairobi-based Citizen TV late Tuesday. The tax-rebate system was mired in corruption of 'unimaginable proportions,' with many fictitious claims being made, he said.
ME Construction
24-04-2025
- Business
- ME Construction
Kenya cancels $1.39bn highway deal with Vinci
Infrastructure Kenya cancels $1.39bn highway deal with Vinci By Kenya is adjusting its approach to large-scale projects such as roads in response to financial constraints The Kenyan government has terminated a US $1.39bn highway expansion agreement with Vinci Highways. The project could potentially be awarded to a Chinese contractor, as confirmed by government officials and sources familiar with the matter. The project, initially signed in Paris in 2020 during a visit by then-President Uhuru Kenyatta, aimed to transform a 140km single-lane road into a multi-lane highway connecting Nairobi to Nakuru, a city in Kenya's Rift Valley region. The Kenya National Highways Authority (KeNHA) expressed dissatisfaction with the deal, stating that it was not favorable to the country. The agreement would have required the government to cover the costs if insufficient vehicles utilised the road. KeNHA attempted to modify the contract, but Vinci refused to agree, leading the government to cancel the deal, as per a report. 'KeNHA requested a restructuring of the contract but the proposal was considered unbankable thus creating a stalemate,' the agency stated. This led to the issuance of a formal termination notice, effectively ending the deal before any construction had begun. The French-led group included Vinci Highways, Vinci Concessions, and private equity firm Meridiam. Two sources with direct knowledge of the government's plans revealed that the project is now expected to be handed over to a Chinese construction company, although the specific firm has not yet been publicly identified. This shift follows a high-level visit to Beijing earlier this month by Kenya's Finance Minister John Mbadi, who led a delegation for talks with senior Chinese officials. Local media have also reported that President William Ruto is scheduled for a state visit to China later this month, signaling a strengthening of bilateral ties. Kenya is adjusting its approach to large-scale projects like roads in response to financial constraints. To address these challenges, the country is collaborating with both Western and Chinese partners to develop its infrastructure and foster economic growth.
