President William Ruto convened an emergency meeting on Tuesday to confront the impending surge in fuel prices, spurred by hints from Energy Cabinet Secretary Davies Chirchir of a potential price adjustment.
The meeting was held in response to growing concerns about the impact of rising fuel costs on the economic well-being of Kenyan citizens.
The Chairman of the National Assembly budget committee, Ndindi Nyoro, disclosed to Ghetto Radio that President Ruto had called upon the leadership of the Kenya Kwanza party to address the crisis, which has the potential to exacerbate the economic challenges facing the nation.
Nyoro emphasized that the government is actively working to steer the economy in the right direction and is committed to mitigating the anticipated surge in fuel prices.
In an effort to reassure the public, Nyoro stated, “Fuel prices will not rise to the predicted levels.” The assurance is intended to alleviate concerns and uncertainties regarding the potential financial burden that higher fuel costs could impose on Kenyan households.
The situation that prompted this emergency meeting was Chirchir’s statement on Monday, made during a session with the National Dialogue Committee (NADCO).
Chirchir suggested that fuel prices might experience an upward trajectory if the ongoing conflict in Gaza involving Israel were to persist. This declaration generated a strong reaction from the public, with many expressing their dismay over the prospect of further fuel price hikes.
President Ruto’s decision to convene a crisis meeting reflects the government’s commitment to addressing the looming fuel price crisis and preventing its adverse effects on the Kenyan economy.
As the nation grapples with economic challenges, the government’s swift response to this issue signifies a proactive approach to safeguarding the financial stability of its citizens.
The meeting serves as a platform for government officials and leaders to discuss potential strategies and solutions to mitigate the impact of rising fuel prices and ensure the continued economic well-being of the Kenyan people.
“I read an article in the Financial Times the other day that because of the Hamas and Israeli War, the international prices could go up to USD150 (per barrel) and that would literally mean our products going to a high of Ksh300 at the pump,” CS Chirchir told National Dialogue Committee.
The comments came out even as the Central Bank of Kenyan (CBK) noted that global crude prices have dropped, with neighbouring Tanzania reducing their pump prices.
Nyoro defended Chirchir stating that the Energy CS was misquoted by the media.
The Kiharu MP stated that Chirchir had meant that fuel prices would rise only if the current international climate remained constant.
Additionally, Nyoro announced that Kenya Kwanza had inherited a crumbling economy and it would be impossible to reduce prices of all commodities at once.
Ruto’s administration in the short term will seek to reduce prices of basic commodities and products like Unga and fuel according to Nyoro.