Kiharu MP Ndindi Nyoro has issued a stern warning over Kenya’s rising fuel prices and what he describes as unconstitutional borrowing practices by the government. Speaking on Tuesday, Nyoro dismissed the Ministry of Energy’s claim that global oil price increases were behind the latest pump price surge, terming the explanation misleading.
“Global oil prices peaked last year, not this year,” Nyoro asserted, accusing the government of deliberately distorting facts to justify the high cost of fuel. He pointed instead to domestic causes primarily excessive taxation and the securitisation of fuel levies as the true culprits.
Nyoro revealed that Kenyans pay more than KSh 80 per litre of petrol and KSh 76 on other fuels in taxes and levies alone. He argued that in a country with domestic oil production potential, tax policy should serve as a cushion against price volatility, not a burden on citizens.
Of particular concern to the MP was a little-known KSh 7 per-litre levy quietly introduced in 2023, even as global oil prices were dropping. Nyoro claims this move denied Kenyans the relief they would have otherwise enjoyed from falling international prices.
More alarmingly, Nyoro alleged that the government has securitised this levy using it as collateral to borrow KSh 175 billion without parliamentary approval or public disclosure. “This borrowing is not captured in official debt records, and Parliament was never consulted,” he said, adding that the lack of transparency undermines constitutional financial oversight.
The Kiharu legislator questioned the identity of the lenders, the interest rates involved, and the overall impact on Kenya’s fiscal stability. “We are spending money today that belongs to future budgets,” Nyoro warned. “This risks mortgaging the country’s revenue streams and cripples long-term financial planning.”
He further cautioned that if such borrowing practices are normalized, future governments might pledge other public revenues such as VAT, PAYE, or NHIF contributions, compromising Kenya’s financial sovereignty.
Nyoro’s remarks have intensified scrutiny of the government’s fiscal practices at a time when Kenyans are grappling with high living costs and growing public debt.
