Billionaire businessman Jimnah Mbaru has welcomed a proposal that seeks to require all Kenyans with income to mandatorily save 40 per cent of their earnings.
The proposal is being pushed by Narok Senator Ledama ole Kina who has pledged to sponsor a bill in the Senate which will encourage saving culture among citizens.
"I agree with Senator Ledama ole Kina that Kenyans should not eat everything or 100% of their income. They should save some of their income as the Chinese or the Japanese do. Kudos Senator," Mbaru tweeted on Monday.
According to Ledama, if his bill will be passed, every citizen will be required to save almost a half of their income, which will not be taxed and will be loaned to the State and be paid at an interest.
"Enough is Enough! We must change the future of Kenya. Every Kenyan must be guaranteed of a future. To do so, I shall introduce a bill in Parliament, which mandate every Kenyan to save 40% of their earnings (untaxed) in a special Government fund & do away with Tax on CAPITAL GAINS," the Senator said on Monday.
"Once the Fund is in place, the Government can borrow from it and pay for development projects & stop borrowing from foreign countries!! Citizens can also use their credit towards buying their own homes regardless of their contributions. Whatever is not utilized earns an interest," he added.
For the unemployed Kenyans, Ledama proposes they be provided with free training to equip them with skills which will enable them to secure jobs or venture in self-employment.
"For those who don’t work we pay for their training until they get a job!! We must now build our Human Resource & Create Job’s for our Citizens! Watch this space! Inculcate self reliance through work not welfare," said the first-time legislator.