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The losers and winners in the 2020/2021 Kenyan budget

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With Kenya’s economy still reeling from the ripple effects of Covid-19, the Treasury CS Ukur Yatani, did not have much good news for Kenyans. Yatani read his 2.7 trillion budget at the National Assembly on Thursday afternoon.

Here is a breakdown of the losers and winners in the 2020/2021 budget. It will take effect on July 1, 2020.

READ ALSO: The best gifts for father’s day 2020

Losers in the 2020/2021 budget

Excise duty on spirits will go up. LPG gas, which was previously not on the taxman’s radar will now be taxed 14 per cent. This means that Kenyans will pay Sh300 more for cooking gas.

The import duty for electrical parts has also been increased to 35 per cent from 25 per cent. This will help support local manufacturers of electrical parts and accessories.

With many businesses shifting online during the current Covid-19 pandemic, the government wants also to tap into their revenue. Online businesses will remit a 1.5 per cent digital service tax on online transactions.

Home Ownership Savings Plans (HOSPs) will be taxed; this will reduce many people’s ability to own a home. Landlords making Sh15 million and below will have to surrender 10 per cent of their revenue to the government.

The monthly income of retirees and those employees who earn bonuses and overtime allowances will also be taxed.

However, the import duty for iron and steel products has been maintained at 35 per cent. The import duty for paper, leather and footwear manufacturers has been maintained at 25 per cent.

The government is aiming at collecting Sh38.9 billion from the new tax measures.

ALSO READ: DCI arrests three suspects in connection with Mercy Cherono’s assault

Treasury Cabinet Secretary Ukur Yatani poses for a photo with colleagues after reading the 2020/2021 budget on Thursday. [Source: Rick Okinda/Twitter]

Winners in the 2020/2021 budget

Some of the biggest winners in the new budget are the maize and corn farmers as the seeds will be exempted from VAT.

“Inputs for making baby diapers will be imported duty-free under the East African Community Duty Remission Scheme,” CS Yatani said.

Textile and apparel manufacturers will get their inputs duty free. Raw materials for the manufacture of masks, sanitizers, ventilators, overalls, face shields and other Covid-19 personal protective equipment will also be duty-free.

Ambulance, medical, nursing and dental services have been exempted from VAT. In addition, the treasury CS has allocated Sh50.3 billion towards universal health care.

The telecommunication industry is a happy lot as the mobile phone assemblers will no longer pay import duty.

The Kenya Defence Forces and the National Police Service will no longer pay import declaration fees and the railway development levy.

“These charges reduce budgetary allocations of these institutions,” CS Yatani said.

To help them get back on their feet, the tourism and hospitality sector will be given a Ksh30 bn soft loan.

The government has not forgotten the youth as it has set aside Sh10bn for the Kazi Mtaani Program.

The government will give Kenyans who have not paid taxes in the past five years a second chance.

“The programme will run for three years. In order to encourage uptake of this plan, I propose to grant relief for penalties and interest in respect of what has been disclosed after payment of the principal tax,” CS Yatani said.

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Cover Story

Elizabeth Nzisa: The Firstborn Who Became a Mother Overnight

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While most teenagers spend their days focused on school, friendships, and dreams for the future, Elizabeth Nzisa, fondly known as Shiku, was forced to grow up much faster than she ever imagined. At only 17 years old, she found herself taking on the role of a mother to her three younger siblings after her family was hit by tragedy not once, but twice.

Her story, shared in an emotional interview, is a powerful reflection of strength, sacrifice and the deep bond between siblings. Elizabeth recalls the moment her life changed completely. Her mother died while giving birth to their youngest sibling, a baby boy. In the middle of that painful loss, their father walked away from the family, leaving Elizabeth alone with a newborn and two other young children to care for.

Mama yetu alipass 2024, Feb. Alipass akipata haka katoto kadogo. Dad naye akatuacha akaenda

 

Becoming a Mother Too Soon

She explains that she had no choice but to step up and become the parent in the house. She raised her youngest brother from the day he was born, and to this day he calls her mum, not knowing she is actually his big sister. That detail alone shows how much responsibility she carried at such a young age. She became the provider, the protector, the caregiver, and the emotional support for her siblings while she was still trying to understand life herself. With little help from relatives, Elizabeth had to find ways to survive, balancing school when she could, doing small jobs and making sure her siblings were fed, safe and loved.

The journey was not easy. She faced financial struggles, emotional exhaustion, and the pressure of trying to stay strong even when she felt overwhelmed. There were moments when she doubted herself and wondered if she was doing enough. Still, her story is not about defeat. It is about endurance. Elizabeth talks about finding strength through faith, support from the people around her, and the determination to keep her family together no matter how hard things became.

Over the years, she made sure her siblings stayed in school, had food on the table, and grew up feeling loved despite everything they had lost. What could have been a completely broken home became a family held together by her sacrifice and commitment.

Many viewers reacted emotionally, saying the story moved them to tears. Some described firstborn daughters as second mothers, while others said her life shows the kind of courage people rarely see but should never forget.

 

Click here to read our March issue 2026

Continue Reading

Cover Story

Elizabeth Nzisa: The Firstborn Who Became a Mother Overnight

Published

on

While most teenagers spend their days focused on school, friendships, and dreams for the future, Elizabeth Nzisa, fondly known as Shiku, was forced to grow up much faster than she ever imagined. At only 17 years old, she found herself taking on the role of a mother to her three younger siblings after her family was hit by tragedy not once, but twice.

Her story, shared in an emotional interview, is a powerful reflection of strength, sacrifice and the deep bond between siblings. Elizabeth recalls the moment her life changed completely. Her mother died while giving birth to their youngest sibling, a baby boy. In the middle of that painful loss, their father walked away from the family, leaving Elizabeth alone with a newborn and two other young children to care for.

Mama yetu alipass 2024, Feb. Alipass akipata haka katoto kadogo. Dad naye akatuacha akaenda

 

Becoming a Mother Too Soon

She explains that she had no choice but to step up and become the parent in the house. She raised her youngest brother from the day he was born, and to this day he calls her mum, not knowing she is actually his big sister. That detail alone shows how much responsibility she carried at such a young age. She became the provider, the protector, the caregiver, and the emotional support for her siblings while she was still trying to understand life herself. With little help from relatives, Elizabeth had to find ways to survive, balancing school when she could, doing small jobs and making sure her siblings were fed, safe and loved.

The journey was not easy. She faced financial struggles, emotional exhaustion, and the pressure of trying to stay strong even when she felt overwhelmed. There were moments when she doubted herself and wondered if she was doing enough. Still, her story is not about defeat. It is about endurance. Elizabeth talks about finding strength through faith, support from the people around her, and the determination to keep her family together no matter how hard things became.

Over the years, she made sure her siblings stayed in school, had food on the table, and grew up feeling loved despite everything they had lost. What could have been a completely broken home became a family held together by her sacrifice and commitment.

Many viewers reacted emotionally, saying the story moved them to tears. Some described firstborn daughters as second mothers, while others said her life shows the kind of courage people rarely see but should never forget.

 

Click here to read our March issue 2026

Continue Reading

Cover Story

Endometriosis and sex: How to make intimacy pain-free

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There is no doubt that endometriosis can affect a woman’s way of life. The condition slews a couple of conditions, painful sex being one of them. Penetration pulls and pushes any tissue growth behind the vagina and lower uterus.

Although symptoms may differ from woman to woman, here are some things you can do to lessen your pain and ensure you have some good time:

Take a dose of painkillers

Take an over the counter painkiller that sits well with your body before intercourse and incase pain persists, take another one as prescribed.

Track your cycle and try at certain times of the month

Most women with endometriosis experience excruciating pain during their period and ovulation. Keep track of your cycle so that you can know when you are ovulating. You can use apps like my calendar and flo period tracker to track your periods. This will help you know when best to engage in sexual intercourse.

READ ALSO: Crucial Facts About Endometriosis Everyone Should Know About

Use lube

Vaginal dryness is not something to be ashamed of and if you happen to have it, lube should be your best buddy. Make sure to use any silicon or water based lubricant anytime you feel like your vagina is dry. Ensure the application is of good amount to achieve a wet area.

Explore alternatives

Talk with your partner about things that turn you on and bring you pleasure. Just to mention a few; mutual masturbation, foreplay, kissing and mutual fondling. Sex does not have to mean intercourse.

Try different positions

Experimenting different positions can teach you and your partner which ones hurt and the ones that bring direct pleasure with no or less pain. Positions that are considered better vary from person to person so take the time to explore and learn yourself with your partner.

Find the right rhythm

Finding the right rhythm can help you experience less discomfort during sex. Quick thrusting or deep penetration can aggravate pain. Talk to your partner about that which you do not like and find ways that will satisfy the both of you like exchanging positions so that you can control the speed and rhythm.

Bottom line

Intimacy does not have to be boring, painful or make you hate the condition that you have. Talk openly about your feelings around sex and penetration and what would help to ease your concerns.

Our FREE  e-paper March Issue is here!
As we celebrate our women this month, we bring you the best stories and the most inspiring features to get you going.
Click HERE to read!

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