A new proposal wants budgetary allocations to parastatals, ministries and county governments pegged on performance.
The guidelines by the Monitoring and Evaluation committee were yesterday presented to the Planning ministry PS Julius Muia for onward submission to the Cabinet for approval.
“The proposed policies emphasise more on sanctions rather than benefits based on the government entity’s performance,” said M&E director Samson Machuka yesterday.
He said the new policies aim at enhancing transparency in project rollout and implementation.
Public institutions that do not properly utilise their allocations will be penalised by being awarded less funding in the subsequent financial year.
Data collated by the department will be used to determine resource allocation such that good performers receive more allocations and vice versa.
Public institutions will be expected to provide progress reports on projects based on budget usage, timeliness and the quality of the work.
With a budget allocation at Sh250 million, Machuka said the funds are not enough for the department to effectively carry out its mandate.
They are therefore proposing one per cent of the government’s development budget which is about Sh10 billion.
“Each ministry and agency will also have to establish a separate M&E budgetary allocation of at least one per cent to cater for monitoring and evaluation activities,” he said.
PS Muia said the M&E policy would equip government with the ability to hold state bodies accountable for tax payer funds, there by weeding out corruption.
“This will ensure resources are allocated properly and are used for the intended purpose, picking out potential graft practices for further investigation,” he said.
“This will help us with the current challenge in budgetary allocations due to lack of adequate data,” Kitui Central MP Makali Mulu said yesterday.