President Uhuru’s legacy project a mirage as MPs propose budget slash
The Kenya Kwanza Alliance (KKA) led by Deputy President William Ruto, Musalia Mudavadi and Moses Wetangula of Ford Kenya have accused the government of wanting to borrow more money at a time when Kenyans are suffering.
This has so far prompted allies to the DP to propose amendments to the Budget Policy Statement 2022 to provide resources for Hustlers.
Members of Parliament (MPs) have proposed that borrowing in a given fiscal year be limited to Sh400 billion, or 3.2 per cent of GDP (GDP).
The National Assembly Budget and Appropriations Committee stated the country’s budget hole of Sh846 billion was likely to surpass the Sh9 trillion debt ceiling in a report released on February 15.
When the deficit exceeds Sh400 billion, the National Treasury will only borrow an amount equal to 3 per cent of GDP, or the total value of all products and services generated in the country.
The idea comes after Treasury has written to the Clerk of the National Assembly declaring its decision to jettison the present Sh9 trillion legal debt ceiling and replace it with one based on GDP.
Kieni MP, Kanini Kega advocated a national government budget ceiling of Sh1.63 trillion.
The administration gets Sh1.56 trillion, Parliament Sh50.2 billion, and the judiciary gets Sh18.9 billion, according to the recommendation.
The country’s equitable share stands at Sh370 billion.
Kimani Ichung’wa, Kikuyu MP and Wilson Sossion, a Nominated MP want the budget ceilings lowered to Sh177 billion and apportioned to small enterprises and counties.
Ichungwa urges MPs to set aside Sh50 billion for loans to Covid-19-affected Micro, Small and Medium Enterprises (MSMEs).
In order to fund the kitty, he seeks budget cuts to the President’s Office, Defense, and Interior Ministries.
The MP also wants the budget to boost counties from Sh370 billion to Sh495 billion, citing President Uhuru Kenyatta’s promise of extra money to counties.
The proposal will automatically affect the president’s Big 4 agenda, considered as the ‘apple of his eye’ amid the end of his term.
Sossion, for one, is requesting that Sh2 billion be included in the budget to fund Teachers Professional Development by the teachers’ employer, TSC.
The proposal, however, has already been considered by the Budget Committee led by Kieni MP Kanini Kega in its recently tabled report in Parliament.
The Kega-led panel has set a spending ceiling of Sh1.55 trillion for the executive branch of government and Sh18.9 billion for the judiciary.
In the 2019 budget, the Office of the Auditor General would get Sh6.4 billion from the approved allocation to the national government.
BAC reported that it received additional requests amounting to Sh125 billion from the departmental committees following requests by MDAs.
Among those considered in the additional provisions is the Education Ministry, which is set to get Sh4 billion for CBC infrastructure.
MPs have also recommended Sh20 billion for primary schools, while the secondary schools’ budget is set to be capped at Sh81 billion.
The committee has also recommended an additional Sh2.5 billion to the Teachers Service Commission for the recruitment of 500 secondary school teachers.
The commission has also been provided with an additional Sh2.5 billion for teacher professional development – CBC training.
