Suley2019
JF-Expert Member
- Oct 7, 2019
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"Ripoti kutoka Afisi ya Msimamizi wa Bajeti inaonyesha taswira yenye kiza kutokana na takwimu zinaonesha kuwa asilimia 83 kubwa ya mapato yote yaliyokusanywa na serikali yametumika kwa malipo ya deni.
Msimamizi wa Bajeti, Bi. Margaret Nyakango, ambaye alijitokeza mbele ya Kamati ya Bajeti na Matumizi, alisema kati ya bajeti ya Ksh. Trilioni 4.18 kwa Mwaka wa Fedha wa 2022/23 ambao unategemea sana ukusanyaji wa Mamlaka ya Kodi ya Kenya (KRA), deni la umma lilitarajiwa kutumia asilimia 83 ya mapato, ikibakisha asilimia 17 tu kwa programu nyingine za serikali.
Hii inamaanisha serikali itahitaji kuchukua mikopo zaidi kuendeleza shughuli zake."
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A report by the Office of the Controllerof Budget is painting a gloomy picture with statistics indicating that awhopping 83 per cent of all revenues collected by the government have been spenton debt repayment.
The Controller of Budget Margaret Nyakango, whoappeared before the Budget and AppropriationsCommittee, stated that out of the Ksh.4.18 trillion budget in the 2022/23 Financial Year which heavily relies onKenya Revenue Authority (KRA) collections, public debt was set to consume 83percent of the revenues, leaving a paltry 17 percent for other governmentprograms.
"The debt as of 30th Juneis Ksh.10.25 trillion surpassing the legal limit," said Nyakango.
An 18 percent spike in publicdebt means the exchequer will have to dig deeper to raise funds to meet itsobligations to settle the Ksh.5.42 trillion external debt and Ksh.4.83 trilliondomestic debt.
While the Kenya RevenueAuthority (KRA) is targeting to collect Ksh.2.7 trillion by the end of the2023/24 financial year, the greaterchunk of the collections would go intodebt servicing.
Nyakango also took issue withpublic expenditure at both levels of government especially how recurrentexpenditure continues to gobble up more public funds.
For instance, out of the Ksh.3.6trillion allocated to the national government, 38 percent of the funds cateredfor salaries, allowances, contributions and wages of staff at the rate of Ksh.542.46billion.
Foreign travel has also beenflagged as a leading drainer of public funds. Despite a memo from the Head of Public Service limiting official travel for government officials, the Controller of Budget revealed that Stateofficers consumed Ksh.20 billion inforeign and domestic travel.
The National Assembly emerged as the highest spender sinking Ksh. 4.8 billion into local traveland another Ksh.1.5 billion into foreigntravel.
Hospitality too took up Ksh.8.6 billion with the Office of the Presidentleading the pack by taking up 2.34 percent while the polls body IEBC came a closesecond spending Ksh.2.1 billion.
Despite President WilliamRuto's order to counties to settle approved pending bills so as to facilitatethe circulation of monies and boost the economy, pending bills have instead risen to Ksh.727.74 billion from Ksh.685.62billion. Under the prevailing circumstances, it is unlikely that the trend willchange at any time.
Nyakango recommends that it isnecessary to match existing loans with the project it funded to establishwhether the country is getting value for money.
Another proposal that islikely to stir controversy was a suggestion that the National Treasury explores other currencies in seeking funds so as to minimise the pressure of the shillingwhich continues to depreciate by the day.
She further urged thegovernment to cut its coat according to the size of its cloth.
Msimamizi wa Bajeti, Bi. Margaret Nyakango, ambaye alijitokeza mbele ya Kamati ya Bajeti na Matumizi, alisema kati ya bajeti ya Ksh. Trilioni 4.18 kwa Mwaka wa Fedha wa 2022/23 ambao unategemea sana ukusanyaji wa Mamlaka ya Kodi ya Kenya (KRA), deni la umma lilitarajiwa kutumia asilimia 83 ya mapato, ikibakisha asilimia 17 tu kwa programu nyingine za serikali.
Hii inamaanisha serikali itahitaji kuchukua mikopo zaidi kuendeleza shughuli zake."
---
A report by the Office of the Controllerof Budget is painting a gloomy picture with statistics indicating that awhopping 83 per cent of all revenues collected by the government have been spenton debt repayment.
The Controller of Budget Margaret Nyakango, whoappeared before the Budget and AppropriationsCommittee, stated that out of the Ksh.4.18 trillion budget in the 2022/23 Financial Year which heavily relies onKenya Revenue Authority (KRA) collections, public debt was set to consume 83percent of the revenues, leaving a paltry 17 percent for other governmentprograms.
"The debt as of 30th Juneis Ksh.10.25 trillion surpassing the legal limit," said Nyakango.
An 18 percent spike in publicdebt means the exchequer will have to dig deeper to raise funds to meet itsobligations to settle the Ksh.5.42 trillion external debt and Ksh.4.83 trilliondomestic debt.
While the Kenya RevenueAuthority (KRA) is targeting to collect Ksh.2.7 trillion by the end of the2023/24 financial year, the greaterchunk of the collections would go intodebt servicing.
Nyakango also took issue withpublic expenditure at both levels of government especially how recurrentexpenditure continues to gobble up more public funds.
For instance, out of the Ksh.3.6trillion allocated to the national government, 38 percent of the funds cateredfor salaries, allowances, contributions and wages of staff at the rate of Ksh.542.46billion.
Foreign travel has also beenflagged as a leading drainer of public funds. Despite a memo from the Head of Public Service limiting official travel for government officials, the Controller of Budget revealed that Stateofficers consumed Ksh.20 billion inforeign and domestic travel.
The National Assembly emerged as the highest spender sinking Ksh. 4.8 billion into local traveland another Ksh.1.5 billion into foreigntravel.
Hospitality too took up Ksh.8.6 billion with the Office of the Presidentleading the pack by taking up 2.34 percent while the polls body IEBC came a closesecond spending Ksh.2.1 billion.
Despite President WilliamRuto's order to counties to settle approved pending bills so as to facilitatethe circulation of monies and boost the economy, pending bills have instead risen to Ksh.727.74 billion from Ksh.685.62billion. Under the prevailing circumstances, it is unlikely that the trend willchange at any time.
Nyakango recommends that it isnecessary to match existing loans with the project it funded to establishwhether the country is getting value for money.
Another proposal that islikely to stir controversy was a suggestion that the National Treasury explores other currencies in seeking funds so as to minimise the pressure of the shillingwhich continues to depreciate by the day.
She further urged thegovernment to cut its coat according to the size of its cloth.
