On Saturday, Kyagulanyi expressed his alarm over Kenya's decline from being seen as a beacon of hope in the East African region to a country now "associated" with the abduction of young citizens who are critical of the government.
In his state-of-the-nation address on Thursday, Ruto said the deals had been cancelled based on "new information provided by our investigative agencies and partner nations".
The president's allies in parliament have accused Gachagua of undermining the government, promoting ethnically divisive politics, having a role in fuelling the deadly protests that rocked the country in June, and of being involved in corruption.
The protests highlighted growing frustrations among the younger population, prompting the President to take decisive action in reshaping his government.