During the Labour Day celebrations on May 1, President William Ruto announced major reforms targeting workers’ welfare and economic growth.
He revealed that tax reliefs will now be applied directly to salaries to boost take-home pay, and that all pensions and gratuities—both public and private—will be tax-exempt. The president also announced immediate full tax deductions for SME equipment purchases, and highlighted NSSF savings of Sh280 billion over two years, aiming for Sh1 trillion by 2027. Additional gains were noted in agriculture, where cheaper fertiliser led to a 40% increase in maize yields, and coffee sector reforms raised payments from Sh110 to Sh150 per kilo.
