Evaluation of Kenya Subsidy Removal and the Pain that follows

Subsidy withdrawal is a choice that may have far-reaching effects on any economy. Many people in Kenya have different opinions on this choice, especially those in the general public who will be directly affected. The purpose of this paper is to assess the aftereffects of Kenya’s subsidy cut.

Kenya’s subsidy elimination was an attempt to establish economic stability. However, it has caused a spike in the cost of basic necessities, which has had a knock-on impact on the living conditions of the typical Kenyan. Price increases for necessities like food, petrol, and utilities followed swiftly on the heels of the subsidy cut.

The elimination of subsidies has also had a significant effect on SMEs. These companies are the backbone of the Kenyan economy, but they have been hammered hard by rising production and operating expenses. Because of this, many people have lost their jobs and business activity has slowed, making an already difficult situation much worse.

The elimination of the subsidy has also contributed to a widening income inequality. The wealthy can easily adapt to the rising cost of living, while the working poor and middle class are struggling more than ever. As a result, there has been an upsurge in crime and social instability as individuals try to make ends meet.

Subsidy cuts in Kenya have had a significant social impact. While the goal was economic stability, the common person has had to endure more suffering as a result. The government must strike a balance between economic security and citizen well-being. The general public must be protected against the devastating impacts of these types of economic practises.

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Evaluation of Kenya Subsidy Removal and the Pain that follows