Keep 97% Of Your Salary, We Want 3 %- Ruto

The plan, the Head of State addressed, would address the country’s housing, employment and manufacturing challenges.

Keep 97% Of Your Salary, We Want 3 %- Ruto
President William Ruto speaking during a service at Christ Church Cathedral, Kakamega County on June 18, 2023. /WILLIAM RUTO

President William Ruto on Sunday, June 18, yet again defended the contributions to the proposed housing levy under the Affordable Housing Programme, arguing that Kenyans' salaries would not be as adversely affected as they feared.

Speaking during a service at Christ Church Cathedral, Kakamega County, the President expressed that he would not stop in ensuring that the deplorable conditions Kenyans are living in will be addressed through the provision of affordable houses across the country.

The plan, the Head of State addressed, would address the country’s housing, employment and manufacturing challenges.

Ruto further asserted that he would lead by example in contributing to the programme, and shrugged off fears that Kenyans' salaries would be hit hard, noting that only 3 per cent of them would go to the programme as they retained 97 per cent.

"I shall lead by example in contributing that 3 per cent so that we create employment opportunities for the youth in Kenya. When we ask that we contribute 3 per cent of the salaries we are paid for the purposes of housing so that 1 million young Kenyans get jobs, someone is refusing to let go of 3 per cent, don't you have humanity?

"All we are asking for is 3 per cent and you will remain with 97 per cent as we create jobs for our youth," he assured.

Working with a blueprint from the model Singapore used to provide decent houses for their citizens, President Ruto added that Kenya must also follow suit and make tough decisions to actualize the plan despite being opposed by a section of Kenyans.

"Singapore was a slum like Kibera. Today, it is a first-world because they undertook their housing plans.

"If you want us to be like Singapore or Malaysia, or better than all of them, we must make the decisions they made. We must make tough decisions like Singapore did, how will Kenya change with a sufuria on your head?" he posed.

Ruto promised to create employment opportunities through the affordable housing project - noting that 10,000 houses would be constructed under phase 1 in Kakamega County. 

He added that this would require 50,000 workers such as electricians, architects, masons, carpenters and quantity surveyors.

The housing levy contribution by employers and employees was reduced from the proposed 3 to 1.5 per cent and will take effect once the President signs the Finance Bill 2023 into law.

The bill itself is still subject to a Third Reading, that is the Committee of the Whole House stage, set for Tuesday, June 20, where the whole House will seat in the form of a Committee to consider the Bill clause by clause. At the Committee of the whole House stage, any proposed amendments are to be Bill and a vote is taken on each.

The Finance Bill had sailed through the Second Reading in the National Assembly on Wednesday, June 14, with 176 Members of Parliament supporting it against 81 who opposed it.

Azimio la Umoja had whipped its members to reject the Bill in its entirety despite several concessions by the Kenya Kwanza counterparts and that those who violate the coalition resolution will face disciplinary action.

It also warned of a potential court battle should Kenya Kwanza take advantage of its numbers to pass the Bill.

Azimio MPs walking out of the chambers on June 15, 2023. /VIRALTEAKE