By Judy Maina
NAIROBI, Kenya – Kenya’s Finance Bill 2025, a sweeping piece of legislation aimed at overhauling the country’s tax system, is set for its first reading in Parliament today, igniting fierce public and political debate over its potential impact on civil liberties and economic transparency.
The bill proposes significant amendments to several existing laws, including the Income Tax Act, Value Added Tax (VAT) Act, Excise Duty Act, and the Tax Procedures Act. Among its most contentious provisions is a clause that would authorize the Kenya Revenue Authority (KRA) to access personal financial data from banks and mobile money platforms in a bid to curb tax evasion.
Supporters of the bill within President William Ruto’s government argue the reforms are necessary to broaden Kenya’s tax base and reduce the country’s growing fiscal deficit.
Treasury officials maintain that enhanced data access would enable the KRA to pursue high-net-worth individuals and businesses who have historically evaded taxation.
However, opposition leaders and civil society groups have strongly pushed back, warning that the proposed powers would give the state unprecedented oversight over private financial transactions and could be abused for political or commercial gain.
“This is not just a finance bill—it’s a surveillance blueprint,” said Rigathi Gachagua, leader of the newly formed Democratic Change Party (DCP), who has vowed to rally public resistance against the legislation.
“The government wants to peek into the wallets of ordinary Kenyans while ignoring systemic corruption and wasteful spending at the top.”
Gachagua’s remarks come amid growing public discontent over rising inflation and shrinking household incomes, with many Kenyans viewing the new proposals as punitive rather than reformative.
The Finance Bill’s rollout has coincided with the arrest of a digital rights activist, Rose Njeri, who developed a tool allowing citizens to register opposition to the bill. Her detention last week has further inflamed concerns over shrinking civic space and digital freedoms in Kenya.
In response to mounting criticism, lawmakers from the ruling Kenya Kwanza coalition have defended the bill’s intent, arguing that the economic reforms are critical to Kenya’s long-term financial stability.
“This government inherited an economy on life support,” said one senior legislator aligned with the Treasury.
“Tough decisions have to be made to rescue it. That means closing tax leakages and ensuring everyone pays their fair share.”
The Finance Committee is expected to conduct public hearings in the coming weeks before the bill proceeds to second and third readings.
Analysts predict the legislation could pass with some amendments, depending on how public and parliamentary feedback is managed.
Meanwhile, activists and opposition leaders are preparing for countrywide protests, setting the stage for a potential showdown between the state and its critics.
“This is not just about taxes,” said political economist Wanjiru Kamau. “It’s about the direction Kenya is taking—toward greater transparency or deeper control.”
