Increasing taxes and failing to simultaneously check on
governments spending is most likely one of the economic grave mistake that a
country can afford to commit. Superficially it may appear as an upright and a viable
solution of putting the economy in check or a channel to accumulate more funds
into the treasury but I beg to differ. With this, all we could possibly be
doing is infringing pain and unnecessary turmoil to our citizens and doing
nothing at all to the budget spending which most likely than not, isn’t going to
change positively with even a single dollar. It will be equivalent to putting
up a massive input and setting up a by far larger output that dry drain the
economy, stagnant will then be our position forever no matter the effort.
I agree with every economist out there that fiscal policies,
hypothetically appears an effective channel for nursing an economy. However, if
poorly implemented they can turn into a time bombs that can easily retard the
economy and in a worst scenario trip us into what economist would designate as
hyperinflation. Thus, as the government resolves in this financial quagmire
they should be ardent to exercise the maximum levels of caution so that the projected
objective is realized, less we likely to sink into situations worse than those
experienced in Zimbabwe.
I must also say that our government by virtue of having feeble
unions to bargain for better wages and salaries has been spared the risk of
inflation that comes as a consequence of gradual surge in consumers levels of
income and goods and services prices. This situation though should not be
assumed to be a lasting state of events especially with the trending state of
revolution among African countries where folks are bit by bit becoming aware of
their rights and indulgences provided in their constitutions. Then there should
be accurately specified strategies to keep every economic development in watch
because a time is possibly on its way when economic policies may not be
adequately sufficient to counter the forces of inflation and other economic
downslides.
Then those in government should come in terms with the
reality that leadership is something more than cruising in big vehicles and
sitting on the most lavish pews both in the parliament and their offices. They
need to go slow on the government coffers if the picture of the Kenya
painted in the vision 2030 will get
anywhere close to its realization.