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RUTO ANNOUNCES PAYE TAX RELIEF, CHEAPER PHONES AND 50,000 INTERNSHIPS ON MASHUJAA DAY

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RUTO ANNOUNCES PAYE TAX RELIEF, CHEAPER PHONES AND 50,000 INTERNSHIPS ON MASHUJAA DAY

ELDORET, KENYA — October 20, 2026

 

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President William Ruto has announced four proposed measures aimed at easing the cost of living, making land ownership more affordable and expanding employment opportunities for young Kenyans during the 2026 Mashujaa Day celebrations in Eldoret.

 

Speaking at Kipchoge Keino Stadium, where Kenya marked the national holiday on Tuesday, October 20, Ruto said his administration was seeking to ensure that the benefits of economic progress reach ordinary citizens, particularly workers earning modest incomes and young people struggling to secure employment.

 

Among the key proposals is the exemption of Kenyans earning KSh32,333 or less per month from Pay As You Earn (PAYE) income tax. The President said the proposals would be presented to Parliament beginning next week.

 

Ruto explained that the measure would leave lower-income workers with more money to cater for household needs, including food, transport and other essential expenses.

 

Ruto Announces 50,000 Internship Opportunities

 

The President also announced plans to expand the national internship programme to accommodate 50,000 young Kenyans from January 1, 2027, with each beneficiary receiving a monthly stipend.

 

According to Ruto, the placements will be allocated through a transparent, digital and merit-based system. The government also intends to introduce incentives to encourage private employers to provide meaningful work experience.

 

He said the programme was designed to address the difficulties many graduates face when seeking employment without prior experience.

 

“Too many young people cannot secure employment without experience, yet cannot gain experience without employment,” the President said.

 

The proposed expansion comes amid continued concerns over youth unemployment and the difficulties young people face when transitioning from education to the labour market.

 

Mobile Phones Could Become Cheaper

 

In another major announcement, Ruto said the government had proposed removing the 25 per cent import duty on mobile phones.

 

He argued that mobile phones had become essential tools for education, business, banking and employment, particularly for young people seeking opportunities in the digital economy.

 

The proposed tax change is intended to make smartphones more affordable and enable more Kenyans to access digital services and income-generating opportunities.

 

However, the proposal will require the relevant legislative and administrative processes before implementation.

 

Government Proposes Stamp Duty Relief on Land Transactions

 

The President further revealed that the National Treasury had developed proposals to exempt land transactions valued at KSh1 million or less from stamp duty.

 

The government also intends to introduce progressive stamp duty rates for higher-value transactions.

 

Ruto said the measures would help reduce the cost of acquiring and transferring land, improve security of land ownership and make property ownership more accessible to ordinary Kenyans.

 

The proposal is among the measures the administration says will reduce financial barriers facing households seeking to acquire property.

 

Ruto Defends His Administration's Economic Record

 

During his address, the President reviewed his administration's performance over the past four years, highlighting programmes in housing, agriculture, healthcare, education, infrastructure and employment.

 

He said the government had connected hundreds of thousands of Kenyans to employment opportunities abroad and expanded initiatives targeting young people in the digital economy.

 

Ruto also cited affordable housing projects and youth enterprise programmes as part of efforts to expand economic opportunities across the country.

 

He maintained that the government's development agenda was focused on ensuring that every region and community benefits from national progress.

 

President Calls for Accountability Ahead of 2027 Elections

 

With the next General Election approaching in 2027, Ruto urged Kenyans to assess leaders based on their development records, policies and plans rather than ethnic or personal affiliations.

 

He acknowledged that young people had taken to the streets to express frustrations over the cost of living, taxation, unemployment and the pace of change.

 

The President said citizens retained the right to question government decisions and demand accountability, adding that leaders must remain answerable for the commitments they make.

 

He also defended the broad-based government arrangement, saying cooperation across political divides could help advance national development.

 

Honouring Kenya's Heroes

 

The celebrations brought together national leaders and Kenyans from different parts of the country to honour individuals who contributed to the country's independence, democracy and development.

 

Ruto paid tribute to freedom fighters, including Koitalel Arap Samoei, Mekatilili wa Menza, Dedan Kimathi and Field Marshal Muthoni wa Kirima, as well as Mzee Jomo Kenyatta and the Kapenguria Six.

 

He said the sacrifices made by Kenya's heroes should inspire the current generation to protect constitutional freedoms, promote equality and expand economic opportunities.

 

The 2026 national celebrations were held in Eldoret, with Uasin Gishu, Nandi and Elgeyo Marakwet counties jointly hosting the event.

 

The President concluded by urging Kenyans to work together in building a country where every citizen has a fair opportunity to succeed.

 

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