CBK highlighted some of the challenges but left Kenyans on their own, Musalia Mudavadi said.
- The Coronavirus is redefining our lives in very threatening ways, right across the entire global community. Apart from major travel bans across countries, simple but harsh realities are catching up with all of us. We are learning how so interconnected we are, through such simple things as sanitation and social distancing.
We are getting to appreciate better that we share numerous spaces with each other – in stores and market places, in places of worship, schools, hospitals, public transport and in very many other places. In the face of the new virus, it is becoming of grave concern where we go, what we do and whom we share space with.
2. Managing the implications of Covid – 19 is a big challenge to all of us as individuals, families, countries and as the global community. In this regard, I wish to hail the Kenya Government for the measures so far taken to minimize – if not arrest – further spread of the virus in our country. I take note that the positive cases so far reported remain fairly low. I am prayerful that further spread and transmission will be fully arrested. I hail the efforts so far made by H.E President Uhuru Kenyatta in addressing this challenge.
3. Apart from transmission and spread, other fundamental concerns remain, however. Most significantly are concerns in matters of livelihoods and the economy. Our economy is in danger at all levels – including the individual level, corporate levels, in business and at the national State level. We have never faced the kind of economic challenge that now lies ahead of us.
The Government needs a more focused, structured and
coordinated approach with other key stakeholders, in the management of the economic fallout from the virus. We must not wait for things to happen and react to them. We must take charge from the outset, especially since we do not know how long the present crisis around fear of infection will last.
Kenyans need safety nets in the management of their recurrent monthly financial concerns. Apart from worries about the spread of the virus, there are major financial worries occupying the citizen’s mind. There are monthly rents, mortgages, bank loans, monthly bills and other recurrent concerns that will come to worry our people.
While the Central Bank of Kenya (CBK) has made some effort to intervene, this still leaves a lot to be desired. CBK has highlighted some of the challenges but left Kenyans on their own. It cannot be done that way. A more coordinated State-led initiative is required. There is need to consider temporary reduction in corporate and personal taxes, as well as taxes on goods and services – particularly those that are classified as essential. Blanket extension of time to meet statutory deadlines is also necessary. This includes payment of taxes and licenses or, in the alternative, temporary suspension of penalties arising from late compliance.
Stronger regulatory action to protect the already economically weak majority of Kenyans from unjustifiably high prices and unfair trade practices by unscrupulous business people.
Financial support to exporters who will suffer losses as a result of the sharp decline in their international markets. Many of these are in the agricultural sector which is one of the largest employing sectors in Kenya. Management of the energy sector for sustained stability in this season is also of the essence.
Government needs to ensure that there are measures in place to sustain fuel availability, as well as other forms of energy, without availability getting punitive to the consumer. Similarly, food supplies and healthcare must be protected against both genuine shortages and unscrupulous manipulation.
Citizens and businesses will need safety nets, including protection against evictions by landlords. They also need protection against bank loan interests in these difficult and
uncertain times. The State must provide a clear lead in this regard.
H. E. Musalia Mudavadi, EGH
ANC PARTY LEADER
