The Ministry of Transport overspent its development budget by Sh6.2 billion as it rushed to complete President Uhuru Kenyatta’s legacy project just one month before the fiscal year’s end.
According to the most recent exchequer data, which was released by Treasury Secretary Ukur Yatani, the cost of building roads and bridges came to about Sh69.25 billion in the 11 months that ended in May, compared to a revised budget of Sh63.04 billion for the whole fiscal year.
As per section 36(9) of the Public Finance Management (National Government) Regulations, 2015, this corresponds to a 9.84 per cent overspending, which is just under the allowed 10 per cent cap.
A supplementary budget that exceeds 10 per cent of “the approved budget projections of a program or sub-vote unless it is justified” is prohibited from being approved by lawmakers.
Unless it is for an unexpected and unavoidable requirement, the provision prohibits lawmakers from approving a supplementary budget that is greater than 10 per cent of “the approved budget projections of a program or sub-vote.”
This prepares the National Assembly, which recessed indefinitely on June 9 in preparation for the elections on August 9, for the department’s request for approval of the additional monies through the Treasury secretary.