Speaking on the state of fuel prices and the broader economic outlook, Mbadi said Kenya’s situation is largely influenced by international developments beyond the government’s direct control.
He noted that tensions in key oil-producing regions have created uncertainty in global markets, leading to fluctuations in fuel supply and sustained pressure on pump prices locally.
Mbadi cautioned that if the situation in the Middle East escalates or continues for an extended period, Kenya could face even more severe pressure on fuel availability and pricing.
He further stated that even President William Ruto has limited capacity to fully resolve the crisis, given its global nature and the country’s reliance on imported petroleum products.
“Even the President has limited capacity to resolve it,” he indicated, emphasizing that domestic policy measures alone cannot fully insulate Kenya from international market shocks.
The Treasury CS explained that Kenya, like many other import-dependent economies, remains exposed to fluctuations in global oil prices, which are heavily influenced by geopolitical tensions and supply disruptions.
He added that the government is closely monitoring the situation and will continue to explore possible interventions aimed at cushioning citizens from the impact of rising fuel costs.
These measures, he said, may include targeted subsidies, fiscal adjustments, and other policy options depending on the availability of resources and the evolution of global oil markets.
Mbadi’s remarks come at a time when Kenyans are already grappling with high fuel prices that have pushed up transport costs and contributed to increased prices of essential goods and services.
Transport operators and consumers have expressed concern over the sustained rise in fuel prices, warning that continued increases could further strain household budgets and slow down economic activity.
The government has, however, maintained that it is working within its means to stabilize the situation, while ensuring continued fuel supply in the country despite global pressures.
Officials have also pointed out that maintaining fuel availability remains a key priority, even as authorities consider long-term strategies to reduce vulnerability to external shocks.