Mashujaa Day: Ruto Outlines Tax Relief and New Graduate Internship Plans

President William Ruto has announced a major economic relief plan to exempt Kenyans earning Ksh32,333 or less per month from paying Pay As You Earn (PAYE) income tax.

The Head of State unveiled this historic proposal on Tuesday, October 20, 2026, during the 2026 Mashujaa Day celebrations hosted at the Kipchoge Keino Stadium in Eldoret, Uasin Gishu County.

According to President Ruto, the tax exemption aims to ease the high cost of living by ensuring low-income earners retain more of their monthly salary.

He stated that every single shilling saved from the tax relief will go a long way in helping families afford basic needs like food and school fees.

The PAYE tax exemption is part of a broader four-pronged financial package targeting structural legal amendments ahead of the upcoming 2027 General Election.

In another major relief measure, the President announced plans to entirely abolish stamp duty on all land transactions valued at Ksh1 million or below.

For properties worth over Ksh1 million, the National Treasury has already drafted new proposals to introduce progressive, affordable stamp duty rates.

Furthermore, the digital economy received a massive boost as the government pledged to eliminate the current 25 per cent import duty on mobile phones.

President Ruto emphasized that smartphones are no longer a luxury but an essential gateway to modern job opportunities and digital entrepreneurship for the youth.

To directly tackle youth unemployment, the Head of State also promised to expand the official government internship programme starting January 2027.

The expanded initiative will absorb 50,000 fresh graduates from various local colleges and universities, who will all be entitled to a monthly stipend.

While the internship rollout is explicitly set for early next year, the proposed tax and duty exemptions must first pass through parliamentary approval.

Kenyans will be watching closely to see how these ambitious financial reliefs impact local businesses, job creation, and overall household income.

Jema-writes feedback-opera-news-app@opera.com