The Directorate of Criminal Investigations (DCI) confirmed that those detained include Energy Principal Secretary Mohammed Liban, energy regulator chief Daniel Kiptoo, Joe Sang, and Energy Ministry chief economist Joseph Wafula.

Officials said the suspects were picked up from their homes and are being investigated under economic crimes laws for alleged failures to maintain proper records, stocks, and reserves of petroleum products.

The probe follows a government-to-government (G2G) fuel shipment flagged for elevated sulphur levels, which exceeded Kenya’s regulatory standards.

A quality assurance manager at the Kenya Pipeline Company halted distribution of the consignment and escalated the issue, effectively removing part of the supply from the market.

Authorities now believe that the decision to withhold the shipment contributed to recent fuel shortages, which had initially been attributed to geopolitical tensions in the Middle East, particularly relating to Iran.

Energy Cabinet Secretary Opiyo Wandayi previously ordered oil marketing companies to release hoarded fuel, warning that withholding stocks is illegal and breaches licensing obligations.

Government data shows that Kenya currently has about 16 days of petrol supply and 19 days of diesel, while jet fuel and kerosene stocks stand at roughly 49 days.

To stabilise the market, authorities plan to deploy KSh 17 billion ($130 million) from the petroleum stabilisation fund over the next three months to moderate pump prices.

The case is being closely monitored across East Africa, where landlocked countries such as Uganda rely heavily on Kenya’s fuel import and transit infrastructure.

Regional stakeholders have invested in Kenya’s pipeline system in recent years, highlighting its strategic importance for energy security.

Officials have also warned that escalating Middle East tensions could affect future fuel prices, although current shipments are largely unaffected.

The detained officials had not publicly commented on the allegations at the time of publication.

The post Kenya arrests senior energy officials over fuel supply, quality probe appeared first on Kampala Dispatch. This article was written by Michael Wandati for Kampala Dispatch.

The government is finalising a series of Revenue Enhancement and Compliance Measures for the 2026/27 financial year, targeting an additional Shs4.8 trillion. Of this, UGX2.3 trillion is expected from new tax policy changes, with the remainder to be raised through improved enforcement by the Uganda Revenue Authority (URA).

The reforms form part of a broader fiscal strategy anchored in the Public Finance Management Act, as Uganda seeks to reduce reliance on borrowing and strengthen domestic revenue mobilisation amid mounting debt obligations.

What the new tax measures propose

Key proposals include:

• Raising Pay-As-You-Earn (PAYE) to 40% for monthly incomes above UGX 10 million, up from 30%
• Increasing the tax-free threshold from UGX 235,000 to UGX 335,000
• Adding UGX 200 per litre on fuel excise duty
• Tripling sugar excise duty from UGX 100 to UGX 300 per kilogram
• Expanding taxes on property transfers, capital gains, and selected consumer goods
• 6% withholding tax on public entertainers

Finance State Minister Henry Musasizi has defended the proposals as necessary to sustain government expenditure.

Uganda’s 2026/27 budget is projected at UGX 84.209 trillion, with UGX 44.5 trillion expected to come from tax revenues.

Debate over fairness and economic impact

While some of the measures target higher-income earners, economists and lawmakers warn that indirect taxes, particularly on fuel and essential goods, could have the broadest impact.

Kira Municipality MP Ibrahim Ssemujju Nganda argues that such taxes are often less visible but more burdensome.

“For every litre of petrol, the government already charges between Shs1,350 and Shs1,550; the passenger ultimately pays,” he said.

Uganda’s tax base remains narrow. Of approximately 5.2 million registered taxpayers, only 2.5 million are active, with about one million salaried workers contributing through PAYE.

“When people see deductions on their payslips, that is when the pain becomes real,” Ssemujju said, warning that higher PAYE rates could significantly erode disposable incomes.

Amolatar Woman MP Agnes Atim Apea echoed concerns about equity, noting that Uganda’s tax-to-GDP ratio remains relatively low.

“Our tax-to-GDP ratio is still about 13–14%, which is low. But we must ask: who are we taxing, and at what cost to livelihoods and businesses?,” she said.

She also raised questions about tax exemptions, arguing that they often favour larger or foreign firms, leaving local enterprises at a disadvantage.

Rising prices and public concern

Civil society organisations warn that increasing levies on fuel and basic commodities could trigger a ripple effect across the economy, driving up the cost of goods and services.

Transparency International Uganda has cautioned that the timing of some proposals could worsen existing economic pressures.

David Kizito of the organisation said: “Increasing fuel taxes during global supply disruptions will raise pump prices. In a liberalised market, government cannot control the final cost.”

Higher excise duties on essentials such as sugar, he added, risk disproportionately affecting low-income households.

Accountability and public trust

Beyond the tax rates themselves, public debate is increasingly focused on how government revenues are spent.

Ssemujju pointed to rising recurrent expenditure, including administrative costs such as vehicles, fuel, and allowances, even as public services remain under strain.

“The issue is not just collecting taxes, it is whether taxpayers see value for money,” he said.

Many Ugandans say the proposed measures come at a difficult time.

“The biggest pain is increasing taxes without tackling corruption or reducing government expenditure,” said Lillian Aber.

James Obed added: “Instead of lowering the cost of materials like cement, taxes are increasing while wastage continues.”

Others questioned whether policymakers are shielded from the real-life impact of such decisions, calling for spending cuts before new taxes are introduced.

Debt pressure and economic outlook

Uganda’s tax reforms, grounded in the Income Tax Act and the Excise Duty Act, must still be debated and approved by Parliament.

Analysts note that the proposals combine progressive elements, such as higher taxation on top earners, with regressive features that affect all consumers.

With public debt estimated at nearly UGX 130 trillion and interest payments consuming an increasing share of revenue, pressure on the government to expand its tax base is unlikely to ease.

The World Bank has previously warned that four in five Ugandan businesses fail within five years, citing high taxation and limited access to affordable credit among the contributing factors, raising further concerns about how the new measures could affect private sector growth.

The post Uganda’s new tax push sparks backlash as cost-of-living pressures mount appeared first on Kampala Dispatch. This article was written by Michael Wandati for Kampala Dispatch.

Speaking to local publication Vivid Voice News on Monday afternoon, Tuju said he took evasive action after realising he was being trailed, eventually abandoning his vehicle to avoid detection.

“My family is very traumatised… and I consider myself blessed because there are many Kenyans in unmarked graves,” he said.

He explained that he diverted onto a road where it would be difficult for the pursuing vehicle to follow, before leaving his car behind to mislead those tracking him.

Tuju’s disappearance had triggered widespread concern, with his family reporting that he had gone missing on Saturday while en route to a scheduled radio interview.

His mobile phone was switched off, and his vehicle was later found abandoned with hazard lights on in the Karen suburb of Nairobi.

Authorities had launched investigations and appealed to the public for information regarding his whereabouts.

Political reaction and public concern

The incident quickly drew political attention, with opposition leaders raising fears of a possible abduction.

Kalonzo Musyoka welcomed news of Tuju’s reappearance but warned of a broader pattern of insecurity.

“We thank God that our brother is alive and well,” he said.

“The truth of the matter is that there is an abduction squad in town.”

“Let everybody calm down and adhere to the principles of constitutionalism and the rule of rule,” he added.

Tuju himself referenced previous cases of enforced disappearances in Kenya, suggesting this influenced his decision not to seek help from law enforcement agencies.

Ongoing legal disputes

Beyond the disappearance, Tuju remains entangled in a long-running legal battle over properties linked to his company, Dari Limited.

The dispute involves lenders seeking to recover debts exceeding $15 million tied to assets in Nairobi. Courts have previously rejected several of his attempts to halt the auction process, although recent orders have temporarily blocked the transfer of the properties pending further hearings.

Tuju has also alleged that security officers previously raided his business premises in Karen, forcibly removing staff and taking control of the property, claims the government has not publicly addressed.

His lawyer, Paul Nyamodi, had earlier indicated that Tuju reported being followed by an unmarked vehicle shortly before his disappearance.

Tuju’s case comes amid growing public debate in Kenya over alleged enforced disappearances and the use of unmarked vehicles in security operations.

Rights groups have repeatedly called for accountability and transparency, warning that such incidents risk eroding public trust in state institutions.

While Tuju is now safe, the circumstances surrounding his disappearance, and the broader allegations he has raised, are likely to remain under scrutiny in the coming days.

The post Kenyan ex-foreign minister Raphael Tuju resurfaces after abduction fears appeared first on Kampala Dispatch. This article was written by Michael Wandati for Kampala Dispatch.

The launch marked the start of the 107-kilometre Kisumu–Malaba segment, a crucial link in the planned nearly 1,000-kilometre corridor stretching from the Port of Mombasa to the Ugandan border.

This extension aims to complete a seamless transport route connecting Kenya’s coast to Uganda and beyond. Once linked to Uganda’s planned Malaba–Kampala railway, the line is expected to become a backbone for East African trade.

Coverage of the groundbreaking was initially reported by Vivid Voice News our sister publication under the editorial leadership of Michael Wandati, who highlighted the transformative potential of the project for regional logistics and trade.

Officials project that the completed Nairobi–Kampala corridor could reduce travel time from about 14 hours to just four, while cutting freight costs by up to 35 percent, offering a major boost to efficiency and regional competitiveness.

Speaking at the ceremony, President Ruto described the project as transformative:

“It is in moments such as this… that the destinies of our people, our cities, and our nations are shaped.”

The SGR extension has faced several years of delays, mainly due to financing challenges after China reduced infrastructure lending under the Belt and Road Initiative. Construction had stalled more than 350 kilometres short of the Ugandan border, raising concerns about the railway’s long-term viability.

Kenya has since adopted a new funding approach, including revenue from a railway development levy, to ensure the project’s completion.

The Kenya segment from Naivasha through Kisumu to Malaba is estimated at over $5.5 billion, while Uganda’s connecting line to Kampala is projected at about $3 billion.

The modern SGR draws inspiration from the historic Uganda Railway, built over a century ago to link the Indian Ocean to the interior. That line was once the economic backbone of the region, supporting the growth of cities such as Nairobi and Kisumu.

However, decades of underinvestment, ageing infrastructure, and the shift to road transport led to its gradual decline. The SGR aims to replace the old metre-gauge system with a faster, more efficient network aligned with the East African Community’s broader railway master plan.

Economic potential and regional stakes

According to Vivid Voice News reporting by Michael Wandati, the SGR is expected to unlock economic opportunities across western Kenya and the wider Great Lakes region by:

• Lowering transport costs for bulk goods
• Improving access to export markets
• Streamlining supply chains
• Supporting industrialisation along the corridor

Nearly 70% of cargo handled at Mombasa is destined for Uganda and other landlocked countries, underlining the corridor’s strategic importance.

For Uganda, the enhanced rail connectivity is critical to reducing import and export costs, which currently rely heavily on slower and more expensive road transport.

President Museveni has emphasised that delays in completing the railway have limited Uganda’s access to seaports, increasing costs for businesses.

Regional competition and strategic significance

The project also highlights competition over trade routes in East Africa. President Ruto has warned that Kenya’s position as the primary gateway to the region is not guaranteed, especially as neighbouring countries invest in alternative corridors.

Completing the SGR link to Uganda strengthens Kenya’s role as a logistics hub for East and Central Africa, connecting markets in Rwanda, South Sudan, and the Democratic Republic of Congo.

If completed as planned by around 2028, the Kenya–Uganda SGR link will represent a milestone in regional infrastructure development and serve as a model for cross-border cooperation and sustainable infrastructure financing.

The post Kenya and Uganda launch major SGR link to boost regional trade appeared first on Kampala Dispatch. This article was written by Michael Wandati for Kampala Dispatch.

Speaking during an engagement focused on promoting locally made products, Mr Museveni described content creation as a modern form of sales promotion that helps connect producers to consumers, particularly through social media platforms.

“What you are calling content is sales promotion for people to know about goods and people buy it. That should be supported, especially if you are promoting local products. Then you become a useful partner,” he said.

The President encouraged content creators to package Ugandan goods professionally for both domestic and international markets, adding that government backing would prioritise structured and organised groups.

“If you have got groups doing that, we shall support them,” he said.

Recognising the digital economy

President Museveni noted that the practice of promoting products through content is not new but represents an evolution of traditional marketing models. In earlier decades, companies relied heavily on radio and television advertising to build brand awareness.

He cited Nytil, a textile product manufactured in Jinja during the 1960s, as an example of how local brands were aggressively marketed across East Africa through conventional media.

“In the chain of wealth creators, a layer of operators has come up to use social media as an easy way of communication to package and present products to the consumers. That is useful,” Mr. Museveni said.

His remarks signal growing official recognition of Uganda’s digital creative economy, which has expanded rapidly in recent years as smartphone penetration and internet access have increased.

Platforms such as TikTok, YouTube, Facebook and Instagram have enabled Ugandan creators to monetise content through advertising partnerships, brand endorsements and cross-border marketing.

Strengthening the sector through a SACCO

The proposed Shs5 billion capital injection into a dedicated SACCO aims to provide structured financial support to organised content creators.

SACCOs in Uganda typically offer members access to credit, savings mobilisation and investment opportunities, tools that could help creators professionalise operations, invest in production equipment and expand their audience reach.

Government officials have increasingly emphasised the creative and digital industries as part of broader economic transformation strategies, particularly in tackling youth unemployment.

Uganda’s population remains one of the youngest globally, with a significant proportion engaged in informal or digital income-generating activities.

Industry observers say formal financial inclusion mechanisms could stabilise earnings in a sector often characterised by irregular income streams.

Economic context

The creative economy is gaining prominence across East Africa, with governments exploring policy frameworks to regulate digital monetisation, intellectual property protection and online taxation.

Uganda has previously introduced measures affecting social media usage, underscoring the complex relationship between regulation and digital entrepreneurship.

Museveni’s latest pledge positions content creators within the broader national development agenda, framing them as partners in promoting “Buy Uganda, Build Uganda” initiatives and strengthening domestic value chains.

If implemented effectively, the SACCO could serve as a pilot model for supporting emerging digital sectors through cooperative financing structures.

The post Museveni pledges Shs5 billion boost for content creators’ SACCO appeared first on Kampala Dispatch. This article was written by Michael Wandati for Kampala Dispatch.