President William Ruto’s affordable housing initiative faced a hurdle today as the Court of Appeal declined the government’s request to continue collecting the housing levy. The panel of judges cited public interest in awaiting the resolution of legal issues before extending the levy.
Undeterred by the setback, President Ruto reaffirmed his commitment to the housing plan during his visit to Meru County. He expressed disappointment at the court’s decision, emphasizing the need for time to finalize legislation supporting the initiative.
“While we were in the process of creating a guiding law, the court’s decision limits our progress. However, we will appeal to ensure the continuation of our program, particularly in creating job opportunities for Kenyan youth,” stated President Ruto.
Echoing the sentiment, National Assembly Majority Leader Kimani Ichung’wah acknowledged the ruling while assuring that Parliament would draft new legislation to facilitate the housing levy and associated projects.
The legal dispute centers on the levy’s legality and fairness. A previous High Court ruling deemed the levy illegal, highlighting its discriminatory nature towards formal employment. The appellate court questioned the wisdom of allowing an unconstitutional law to remain in effect during the appeal process.
As the legal proceedings unfold, the government remains committed to addressing the housing crisis. Plans are underway to introduce new legislation supporting affordable housing initiatives and bolstering nationwide job creation efforts.
By: Montel Kamau
Serrari Financial Analyst
28th January, 2024
