By Maggie Njuki
The Parliamentary Group of the National Super Alliance meeting today under the chairmanship of Party Leader Raila Odinga, have agreed to support the president’s proposal to cut the 16 per cent levy put on petroleum products to 8 per cent.
In a raft of conditions given, NASA said that it recognizes and appreciates the precarious situation the country is in with regard to meeting its development needs through the budget.
Even as NASA gave a timeline of one year in supporting the proposal, the party also made certain key proposals which indicated that If the government makes a genuine effort to implement those proposals, there will be no need for extension of VAT beyond one year.
In statement to newsrooms they further said if however nothing is done on these proposals, NASA will move a motion in the next budget to scrap VAT on fuel entirely like it did this time.
In the one year that the proposal is floated to run, the NASA leadership called on austerity measures to be introduced across the board.
These austerity measures must include among others Elimination of extravagance and waste as well as tamed borrowing and ambition.