Why addressing Gen Z's cry against unjust systems requires more than short-term fixes

A group of youth storm Muindi Mbingu Street in Nairobi during Gen Z-led anti-Finance Bill 2024 protests on June 27, 2024. [Boniface Okendo, Standard] In recent weeks, Kenya has witnessed an unprecedented uprising led primarily by young Kenyans who are fed up with the government's failure to heed the people's will. The trigger for this revolt by Generation Z is the parliament's approval of new taxation measures, which the youth argue are not only punitive but oppressive and exacerbate an already unbearable cost of living. This Gen Z movement represents more than just a protest against taxes; it is a cry for economic justice and an end to policies that disproportionately burden the younger generation. Economic Climate Kenya's cost of living has been on a relentless upward trajectory, with the prices of basic necessities becoming increasingly unaffordable for the average citizen. This trend shows no sign of abating, and forecasts suggest that prices will continue to rise in the coming years. The youth, already struggling with high unemployment rates and limited economic opportunities, find themselves shouldering the burden of economic policies that seem to favor the wealthy and well-connected. Historically, a rising cost of living has been a powerful driver of political change. From the French Revolution to the Arab Spring, periods of high inflation and economic hardship have often precipitated significant social and political upheavals. The current situation in Kenya appears to be following this pattern. The youth are not only protesting against taxation; they are challenging a system they perceive as fundamentally unjust. The link between economic hardship and political revolution is well-documented. High inflation erodes the purchasing power of ordinary citizens, leading to widespread discontent and social unrest. Last week's demonstrations across the country are a manifestation of this historical trend. As prices surge, many Kenyans find that the food they could afford yesterday is now beyond their reach. This economic strain is particularly pronounced for the youth, who lack the financial resources to cushion themselves against such shocks. The notion of 'cost of living' often carries with it a sense of inevitability, as if inflation is a natural phenomenon beyond human control. However, the pain that Kenyan households are currently feeling is not an unavoidable consequence of market forces. Rather, it is the direct result of fiscal decisions made by the government over many years. Decisions characterized by fiscal irresponsibility, such as excessive borrowing and inefficient use of resources, have led to the current crisis. The lessons from history underscore that when the cost of living spirals out of control, it often becomes the catalyst for profound societal shifts, as seen in the French Revolution, the rise of Nazism, and the Arab Spring, where economic distress fueled widespread demands for political and social transformation. The Role of Government Policies There is nothing natural about a system that privileges those who have accumulated capital over those who have not. Kenya's reliance on expensive debt to finance government spending is a prime example of fiscal irresponsibility. This approach has created a vicious cycle of borrowing and repayment that stifles economic growth and places an undue burden on future generations. Moreover, rampant wastage and corruption within the government exacerbate the situation. Funds that could be used to improve public services and create economic opportunities are often siphoned off through corrupt practices. This mismanagement not only hampers development but also erodes public trust in government institutions. The Gen Z Perspective For Kenyan Gen Zs and Millennials, the current protests are about more than just immediate economic concerns; they are about securing a future where they can thrive. This generation, more than any before it, is connected, informed, and unafraid to speak out. They see the disparities in wealth and opportunity and understand the long-term implications of current economic policies. Many young Kenyans feel that their government has failed to represent their interests. They argue that the burden of taxation falls disproportionately on those least able to afford it, while the benefits of government spending are enjoyed primarily by the elite. This sense of injustice is fueling a broader demand for systemic change. Addressing the grievances of Kenya's youth requires more than short-term fixes. It necessitates a comprehensive approach to economic reform that prioritises fiscal responsibility, equitable taxation, and sustainable development. Here are some potential solutions that could help mitigate the high cost of living and restore public trust in the government: Fiscal Responsibility - The government must adopt more prudent fiscal policies, reducing reliance on expensive debt and focusing on the efficient use of resources. This includes curbing corruption and wastage to ensure that public funds are used effectively. Progressive Taxation - Implementing a more progressive tax system can help redistribute wealth more equitably. This means higher taxes on the wealthy and corporations while reducing the tax burden on low- and middle-income earners. Economic Diversification - Diversifying the economy can create new employment opportunities and reduce dependency on a few key sectors. Investing in technology, manufacturing, and green energy can drive sustainable growth. Social Safety Nets - Strengthening social safety nets, such as unemployment benefits and food assistance programs, can provide immediate relief to those hardest hit by economic hardships. This also helps to stabilize the economy by maintaining consumer spending. Education and Skills Training - Investing in education and vocational training can empower the youth with the skills needed to compete in a global economy. This not only improves individual prospects but also drives innovation and economic growth. Transparent Governance - Building a transparent and accountable government is crucial for restoring public trust. This includes implementing anti-corruption measures and ensuring that government actions are open to public scrutiny. What's the Way Forward? The revolt of Kenya's Gen Z against the government is a powerful reminder of the deep-seated economic and social issues facing the country. The high cost of living, driven by fiscal irresponsibility and systemic inequality, has reached a tipping point. The youth are demanding not just immediate relief but a fundamental rethinking of economic policies and governance. Addressing these challenges requires bold and decisive action. The government must listen to the voices of the younger generation and work towards creating an economy that is fair, sustainable, and inclusive. Only then can Kenya hope to overcome its current crisis and build a brighter future for all its citizens. To achieve these reforms, the government needs to engage in meaningful dialogue with the youth and other stakeholders. This means creating platforms for inclusive participation where the voices of the marginalised are heard and their concerns addressed. Moreover, collaboration with civil society organizations, the private sector, and international partners can provide the necessary support and resources to implement these changes effectively. By fostering a culture of transparency, accountability, and active citizen involvement, Kenya can lay the foundation for a more resilient and equitable society. This is not just a challenge for the current administration but a collective responsibility that requires the commitment and effort of every Kenyan. Only through unity and shared purpose can the nation overcome its economic challenges and ensure a prosperous future for all generations. The writer is a global Tax Consultant

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