Kindiki: Fuel prices could have hit Sh400 without government intervention

Deputy President Kithure Kindiki has warned that fuel prices in the country could have climbed to as high as Sh300 to Sh400 per litre if the government had not stepped in to stabilise the market.

He said the intervention has helped shield Kenyans from a sharper shock linked to rising global oil costs.

The DP spoke on Monday, May 18, 2026, during an engagement with grassroots leaders from Tharaka Nithi County.

Kindiki attributed the pressure on fuel prices to a global crisis tied to ongoing tensions involving the United States, Israel and Iran, which he said had disrupted supply chains.

He explained that the situation had affected shipping routes after the Strait of Hormuz was effectively closed, forcing vessels to take longer routes while insurance costs for transporting fuel went up. He added that these factors had pushed import costs higher across many countries, including Kenya.

“Kama serikali haingekuwa imechukuwa hatua kadhaa, bei ya mafuta ingekuwa imefika Sh300 ama Sh400,” Kindiki said.

He noted that the government had already taken steps to cushion consumers, including cutting value-added tax on fuel from 16 per cent to 8 per cent. He also said Sh12 billion from the Fuel Stabilisation Fund had been used to help keep pump prices from rising further, arguing that without these measures, prices would already have crossed Sh300 per litre.

On further action, Kindiki said President William Ruto had directed an interministerial engagement involving the National Treasury, Energy, Transport and Interior ministries to meet stakeholders and identify additional measures to stabilise the transport sector.

“President William Ruto has ordered an interministerial engagement of Cabinet Secretaries responsible for the National Treasury, Energy, Transport and Interior to engage with stakeholders to see what additional measures are necessary, and to make sure normalcy in the transport sector returns as soon as possible.” Kindiki said

He acknowledged that Kenyans have the right to demonstrate over the cost of fuel and the rising cost of living, but warned that criminal acts such as looting, arson, blocking roads and robbery during protests would not be tolerated. Security agencies, he said, would act firmly against those engaging in unlawful behaviour.

Kindiki further appealed for calm, saying the government was still assessing additional options to prevent further pressure on fuel prices and protect the economy from external shocks beyond Kenya’s control.