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Kenya's government has scrapped some proposed taxes in this year's controversial finance bill, including a 16 percent levy on bread, after public outcry.
The announcement by MPs came as police fired tear gas and water cannons to disperse angry protesters in the capital, Nairobi.
Dozens of people have been arrested, and lawyers earlier joined chanting crowds at the city's central police station demanding the release of those detained.
Since coming to power in 2022, President William Ruto has introduced a series of new and unpopular taxes aimed at wiping out the country's nearly $80bn (£63bn) national debt.
But critics of the latest proposals fear they will stifle economic growth and lead to job losses.
Some protesters marching in the capital called for the president to resign, chanting, “Let's cry! Let's cry.”
The U-turn on the new finance bill was announced by Parliamentary Finance Committee Chairman Kuria Kimani at a press briefing attended by President Ruto as well as other lawmakers from the ruling coalition.
His finance team is gathering public feedback on the bill and said the decision to drop some proposals was made to protect Kenyans from the rising cost of living.
Other proposed taxes that have been scrapped include taxes on cooking oil, mobile money services and motor vehicles, which critics say will also hurt the insurance industry.
Mr Kimani also announced the reversal of a proposed eco-tax targeting products that have a negative impact on the environment, such as packaging, plastics and tyres.
It was met with backlash with many arguing that it would increase the cost of essential goods such as nappies, sanitary towels, computers and mobile phones.
Mr Kamani said that the levy would now be applicable only on imported goods.
Mr Ruto did not speak or react during the briefing – but the move, seen as bowing to public pressure, would be a blow to his government.
He recently urged Kenyans to accept more taxes, arguing that they are in fact undertaxed, but acknowledged that this would be difficult.
Taxes on salaries, fuel and gross sales have been increased in the past two years.
A housing levy of 1.5% of a worker's monthly salary, which goes towards building affordable housing, has also been introduced.
A new higher health insurance levy is also due to come into effect soon.
Lawmakers are scheduled to debate the finance bill on Wednesday, hence the protests in the capital.
The police have arrested several people for organizing the protests.
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image source, Getty Images/BBC