Deputy President Kithure Kindiki has attributed the recent increase in fuel prices to the ongoing conflict involving Iran, saying the disruption has significantly affected global oil supply, insurance costs, and shipping expenses.
Speaking on Friday during an inspection tour of development projects in South Imenti Constituency, Meru County, Prof. Kindiki assured Kenyans that the government is taking steps to stabilize fuel prices and reduce the burden on households already grappling with a high cost of living.
“The cost of fuel, its insurance and shipping has shot up significantly because of the war in Iran. We are implementing every necessary action to stabilize fuel prices. The VAT has come down from 16 to 8 per cent. We are looking at other options to cushion Kenyans from the higher cost of fuel. We do not want Kenyans to suffer,” Kindiki said.
The Deputy President noted that the government had already reduced Value Added Tax (VAT) on fuel from 16 per cent to 8 per cent and released KSh5 billion to subsidize prices, while additional interventions are under consideration.
He emphasized that rising fuel costs are not unique to Kenya, arguing that countries across the world have experienced similar increases due to instability in the Persian Gulf region.
“The prices have increased sharply in every country in the world because of the war in the Persian Gulf, but we are keen to ensure Kenyans do not suffer because of the disruption,” he added.
Kindiki urged Kenyans to remain patient as the government works on measures aimed at minimizing the impact of high transport costs and inflation linked to expensive fuel.
Beyond fuel prices, the Deputy President used his Meru visit to inspect several ongoing government projects, including the nearly completed Nkubu-Rubiri-Kamurita Road and the Rubiri Last Mile Electricity Connection Project. He highlighted that Meru County has received more than KSh39 billion for road construction and rehabilitation, alongside KSh1.3 billion to connect at least 16,000 households to electricity.
The government is also investing in healthcare, affordable housing, markets, and upgrading Meru Referral Hospital to Level 6 status. Kindiki said these projects demonstrate the administration’s commitment to improving livelihoods ahead of the next election cycle.
He challenged political opponents to prepare for issue-based campaigns in 2027, saying the Kenya Kwanza administration would seek re-election based on completed projects and service delivery.