Startling Revelation: Only Ksh.259B Allocated to Development out of Ksh.2.1 Trillion, Discloses Controller of Budget

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Startling Revelation: Only Ksh.259B Allocated to Development out of Ksh.2.1 Trillion, Discloses Controller of Budget

In the past nine months, the National Government and County Governments have utilized an all-time low budget allocation for development projects.

According to the Third Quarter Budget Expenditure Report published by the Controller of Budget Margaret Nyakang’o. Both governments prioritized the payment of salaries and other recurring expenses over development projects.

According to the Controller of Budget, only Ksh.259 billion, or 17%, of the Ksh.2.1 trillion spent by the national government over the past nine months was allocated to development.

Counties were worse off after spending only 12.4% of the Ksh.239.67 billion made available to them over the past nine months, or Ksh.29.73 billion.

The largest portion of the budget, Ksh.135.85 billion (56.7%), has been used to pay salaries, while Ksh.74.09 billion (30.9%) has been spent on operations and maintenance.

During his remarks at the report’s launch, Nyakang’o was quick to absolve Governors of responsibility for the low spending on development, instead blaming declining revenue.

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“We cannot blame anyone for low absorption because we have not given them enough resources,” she said.

“When revenues are limited, you should prioritize the most pressing needs, which in this case are salaries. “Development suffers when cash flows are limited,” Nyakang’o added.

According to Nyakango, the underutilization of development funds has been exacerbated by counties’ ineffective revenue collection.

“We have an issue with the own-source revenue, they (counties) are barely scratching the surface,” said Nyakang’o.

The report identified 22 counties for failing to meet fifty percent of their own revenue goals.

Included are the counties of Kwale, Embu, Kisumu, Kakamega, Taita-Taveta, Tharaka-Nithi, Busia, Nairobi City, Garissa, Tana River, Nandi, and Mandera.

Others are Wajir, Makueni, Homa Bay, Kisii, Kajiado, Nakuru, Murang’a, Kericho, Vihiga, and Nyamira counties.

Startling Revelation: Only Ksh.259B Allocated to Development out of Ksh.2.1 Trillion, Discloses Controller of Budget

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