Strike over high fuel prices paralyses transport and business across Kenya

Kenya suffered widespread transport and business disruptions on Monday after public service vehicle operators withdrew services over soaring fuel prices and mounting operating costs.

Thousands of commuters in Nairobi, Mombasa, Kisumu, Nakuru and Eldoret and towns were left stranded as matatu operators, truckers, boda boda riders and taxi associations joined the nationwide protests, triggering long walks and severe traffic disruption.

The protests were triggered by sharp increases in pump prices, which pushed petrol in Nairobi above Sh214 per litre, while diesel, critical for transport and logistics, surged past Sh242.

The latest price increases have deepened pressure on businesses and households already struggling with elevated taxes, rising electricity costs and stubbornly high prices of essential commodities.

Gridlock pain

On Monday, major roads leading into Nairobi city centre were barricaded with bonfires and stones, forcing private motorists to turn back while businesses delayed opening due to low customer and employee turnout.

Roads such as Thika Road, Mombasa Road, Jogoo Road and Waiyaki Way experienced intermittent disruption as protesters blocked sections of carriageways, forcing many to abandon travel plans altogether amid fears of escalating unrest.

Businesses operating in Nairobi’s central business district reported lower customer traffic and reduced operations as transport challenges disrupted supply chains and employee movement.

Several schools and colleges also experienced disruption after parents struggled to secure transport for learners, forcing some institutions to temporarily shut down.

Inflation risk

The demonstrations followed last week’s fuel price review by the Energy and Petroleum Regulatory Authority, which raised petrol prices by Sh16.65 per litre and diesel by Sh46.29 per litre.

Diesel prices have now risen by over Sh80 a litre in the past two review cycles, significantly increasing costs for transport operators, manufacturers, retailers and logistics firms heavily dependent on road transport networks.

Higher transport costs are expected to feed directly into inflation through increased prices of food, manufactured products, farm inputs and retail goods over the coming weeks.

Transport operators have accused the government of overburdening businesses and consumers through taxes and levies embedded in fuel prices despite worsening economic conditions and stagnant household incomes.

Political heat

The heightened pressure on the government comes as Kenya pursues aggressive revenue mobilisation targets aimed at narrowing fiscal deficits and supporting ballooning debt repayment obligations.

The unrest also comes as Kenya prepares for another politically sensitive budget cycle, rekindling memories of the 2024 anti-Finance Bill demonstrations, where economic grievances escalated into a broader national debate around taxation and governance.

Treasury officials have defended the latest fuel pricing adjustments, arguing that the government has already cushioned consumers from more severe international oil market volatility and currency pressures.

The latest wave of demonstrations comes at a delicate moment for President William Ruto’s administration, which continues to face scrutiny over taxation policies and the broader management of the economy.

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