Kenya's fuel tax cut: Populism or policy?

A fuel attendant serves a motorist at a fuelling station on Koinange Street in Nairobi County on August 14, 2025. 

Photo credit: File | Nation Media Group

The outlook for local oil prices had turned increasingly precarious. Kenya’s ambitious government-to-government (G-to-G) oil credit scheme recently faced a major threat after Gulf suppliers moved to invoke “Material Adverse Change” clauses.

These clauses allow for a renegotiation of terms upward when unforeseen circumstances—in this case, the escalating Middle East crisis—disrupt the status quo.

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Note: The results are not exact but very close to the actual.