Matatu fares could be reduced by Sh10 following into effect of the 8% VAT on Petroleum products after President Uhuru Kenyatta signed into law the Finance Bill 2018 on Friday.
According to Matatu Owners Association Chairman Simon Kimutai, who spoke on a local radio, they are considering reducing bus fare in Nairobi by about Sh10 in all routes.
“Matatus will only reduce its fares accordingly after evaluating the 8% VAT and how it will affect fuel prices and the Matatu business. The fare will reduce after consultation with all the saccos and it will be between Sh10 and Sh20,” Kimutai said.
The Energy Regulatory Commission (ERC) has already announced lower fuel prices decreasing pump prices per liter of Super petrol and Diesel by Sh8.80 and Sh7.35 respectively in Nairobi.