The Supreme Court of Kenya has issued conservatory orders, temporarily halting parts of the Court of Appeal’s ruling that declared the Finance Act, 2023, unconstitutional. This action follows appeals lodged by the Cabinet Secretary for National Treasury and Planning and four other government officials challenging the appellate court’s decision.
Earlier this year, on July 31, 2024, the Court of Appeal struck down the Finance Act, citing procedural errors in its passage. This ruling created significant uncertainty regarding the government’s financial and operational frameworks, prompting the appellants to seek relief from the Supreme Court.
The Supreme Court’s review focused on concerns about the legislative process used to enact the Finance Act, particularly regarding public participation and adherence to Article 114 of the Constitution, which regulates financial legislation. The Court recognized that these issues need further judicial examination and should be addressed during the full appeal hearing.
In issuing the conservatory orders, the Supreme Court highlighted the need to maintain governmental stability and prevent disruptions in public administration. The orders effectively suspend the Court of Appeal’s decision to invalidate the Finance Act, allowing the government to continue its operations while the legal dispute is resolved.
“The conservatory orders are crucial to prevent potential disruptions in government activities,” the Supreme Court stated.
The consolidated appeals, including Petitions E031, E032, and E033 of 2024, are set for an expedited hearing in September 2024. The outcome of this hearing is highly anticipated, as it will significantly impact Kenya’s legislative process and the future of the Finance Act, 2023.
