Most if not all... soon the Banks will be told u can only lend at x%...

I smell populism & corruption...

When prices cant be raised (e.g. bread) then quality drops!

The same can happen for unga/flour where lower quality maize or wheat is used... We all know not all maize or wheat is the same... Some is much better/tastier than others...

Even petrol has 'quality' e.g. I only go to Kenol, Shell or Total. None of the hashi or triton or others...

The GoK has an obligation to save its citizens not oil cartels set up by politicians...free markets have failed even in the U.S..in SA and Nam the Goverments sets the petrol pump price,tells the banks to lend at x%..removes VAT on basic goods like Unga...have the quality gone down=NO,are banks bankrupt=no probably most profitabe in Africa...this is long overdue...people cant suffer in the name of capitalism..BRAVO GOK!!!!

true indeed.

I thought folks here are more witty. This bill was a waste of time it will never come into law. Worse still Emilio is an economist, he probably will refuse to sign it and not say much because it's nonsensical. Kenya is a signatory to many trade treaties including Comesa, WTO, EAC. We would have to rescind our status in these treaties, and they mean a whole world. To me this bill just shows how FOOLISH our mpigs are, in this day age, price controls unless we are North Korea. The IMF, World bank and the usual suspects would never allow us to sign such a document and they have enough clout to force their way.

The deal stop lying about SA. Fuel is not fixed. VAT is allover the place including on medical services and medicines.

BULLSHIT... You are young so please read what I ask you to. I enjoy debating you but you have to read more.

1) Free markets have NOT failed. Nonsense! Read Schumpeter's CREATIVE DESTRUCTION. There are cycles. That is part of free markets.

2) The USA is not a free market. The so-called financial crisis was precipitated by lax lending standards caused by the GOVERNMENT/POLITICAL policy of funding & supporting Freddie Mac & Fannie Mae. What do you expect when governments step in? Warren Buffett warned about the FMs about 4 years ago...

3) S.Africa moved from a controlled economy pre-1990 where resources were allocated by race not by need or return. BTW, India controls downstream fuel prices. I read the Indian Govt spent BILLIONS 'subsidizing' the Oil Marketers (who still made losses) coz IMPORTS dont care what u sell it at!

4)Erm, what are you talking about VAT? VAT is a TAX. What has a tax got to do with quality unless u cant pass it on? Also note the Laffler Curve...

Please read what I have recommended... It will do you good!

Hehehe price control can bring innovation and massive profits to the likes of Unga i.e they will have a lot of customers in turn raking billion for their shareholders look at safaricom with their bamba 5 and Mpesa...also look at the divergence between the CBK rate and your banks lending rate...damn this banks operate with impunity...LoL.

Erm, how? Your argument makes little or no sense... Please explain...

How do price controls innovate?
Bamba 5 & M-Pesa not coz of price controls...

Like I said... u are making little sense... pls educate me...

@VVS i used Safcom's Mpesa and Bamba 5 as an example of on how innovation can change people lives i.e if we cap Unga at 5 bob its up to the company come up with ways to maximise their profits at that price...ofcourse Unga will have a lot of new customers(demand) because its now affordable...

@ the deal.... in this day and age there should be no price controls.
I second VVS and Kausha's sentiments. As an investor this policy does not augur well for the econmony / Country.
If i was to use your example of Safcom... or better yet Equity. Equity will still be an MFI lending to wanjikus and Nojoroge's in Central province if controls existed. They would not be permitted to operate as a bank Liberalization has opened up Kenyan markets.

As an investor i look at an investment as how i can create wealth for me, myself and I. This bill does not in way push my agenda. Remember the sponsor is one of the wealthiest Kenyans....controls would not have enabled him attain his wealth.
Wake up and smell the coffee. This is nothing but a populist bill. I think it was strategic that the GOK did not send its members to oppose the bill. During the referendum they do not want to antagonise wananchi.

KIbz will veto this bill.... It messes up with his 2030 vision/dream. Think about the corruption it will breed.....aka maize scandal last year when GOK imposed price controls in the wake of the severe drought.
This is a bad. baad,bad policy

@minto64 - You do know that ephraim maina was/is the owner of kirinyaga construction... which was involved in all sorts of shady deals!