2020-21 FINANCIAL YEAR

Inside Treasury's Sh2.73 trillion 2020-21 budget

CS Yatani to read the budget in Parliament on Thursday

In Summary

•  Committee has approved Sh2.73 trillion spending for National and County governments in the 2020-21 fiscal year starting July 1.

• The Executive got the lion’s share of the national cake (Sh1.83 trillion) with the Judiciary and Parliament getting Sh18.05 billion and Sh37.7 billion respectively.

Treasury boss Ukur Yatani.
APPROVED: Treasury boss Ukur Yatani.
Image: FILE

A Parliamentary committee has approved Sh2.73 trillion spending for the national and county governments in the 2020-21 fiscal year starting July 1.

The Budget and Appropriations Committee approved Sh1.80 trillion for recurrent spending, Sh584.9 billion for development and Sh316.5 billion for the devolved units.

The Treasury, through the Kenya Revenue Authority, intends to raise Sh1.61 trillion to finance the budget with domestic and foreign borrowing expected to bridge the deficit.   

Committee chairman Kimani Ichung’wa (Kikuyu) tabled the report in Parliament last week for adoption to pave the way for the reading of the budget by Treasury CS Ukur Yatani on Thursday.

“The National Treasury projects that ordinary revenue will amount to Sh1.62 trillion (14.4 per cent of the GDP) in 2020-21; a decline from an estimated Sh1.64 trillion (16.1 per cent of GDP) ordinary revenue collection in 2019-20,” the report reads

The Executive got the lion’s share of the national cake (Sh1.83 trillion) with the Judiciary and Parliament getting Sh18.05 billion and Sh37.7 billion respectively.

In the Executive, ministries of Interior, Transport, Defence, Health and Education got a huge chunk of the budget.

The Presidency, which comprised Cabinet affairs, office of the Deputy President, State House Affairs and the newly created Nairobi Metropolitan Service, has been allocated a total of Sh36.63 billion.

Out of the gross allocation, the DP’s office will get Sh1.43 billion while NMS will get Sh28.41 billion to improve infrastructure, health services and road networks in the city.

The Ministry of Interior which is under ‘super’ CS Fred Matiangi, has been allocated Sh131.67 billion with the Police Service getting Sh95.95 billion.

The state department of Correctional Services will enjoy Sh28.10 billion with the prisons getting Sh27.75 billion of the department’s total allocation. State departments of Devolution and ASALs have been allocated Sh5.66 billion and Sh9.80 billion respectively.

The Ministry of Defence, which is charged with protecting the country from external aggression, has been given Sh115.48 billion in the next financial year.

The CS Raychelle Omamo-led Foreign Affairs Ministry has been allocated Sh15.75 billion with Sh13.69 billion of the amount going towards foreign relations and diplomacy.

And in the wake of the Covid 19 pandemic, CS Mutahi Kagwe’s Health Ministry has been allocated Sh111.70 billion.

Education got Sh239.17 billion. Out of the gross allocation, Sh24.94 billion will got to department of Vocational and Technical Training and University Education will get Sh113.31 billion.

Early learning and basic education will get Sh100.77 billon with the huge chunk channeled towards free primary and secondary (day) education.

The state department of Post Training and Skills Development has been given Sh150.94 million.

The Ministry of Treasury and Planning has been allocated Sh162.54 billion.

CS James Macharia’s Transport will get Sh189.57 billion (Infrastructure - roads), Sh47.91 billion (Transport), Sh2.51 billion (Shipping and Maritime), Sh17.05 billion (Housing and Urban Development and Sh3.49 billion (Public Works).

Ministries of Environment and Forestry and, Water have been allocated Sh16.12 billion and Sh77.70 billion. The Water ministry’s allocation will go towards addressing the perennial floods in various parts of the country.

CS Faridah Karoney’s Lands docket has been given Sh5.61 billion while CS Joe Mucheru-led ICT will get Sh19.55 billion in the next financial year.

Sports and Heritage has been allocated Sh18.07 billion to manage, develop and promote sports and culture with CS Charles Keter’s Energy Ministry getting Sh72.49 billion.

The committee has allocated the Ministry of Agriculture Sh56.15 billion, Trade (Sh11.50 billion) and Labour and Social Protection (Sh38.80 billion).

CS John Munye’s Mining and Petroleum Ministry has been allocated Sh4.83 billion with CS Najib Balala’s Tourism getting Sh23.64 billion.

Margaret Kobia’s Gender ministry got Sh25.57 billion while the Ministry of East African Affair, Regional and Northern Corridor Development got Sh4.18 billion.

State Law Office and Department of Justice got Sh4.66 billion, EACC (Sh3.11 billion), NIS (Sh39.05 billion), ODPP (Sh3.08 billion), Registrar of Political Parties (Sh1.34 billion) and Witness Protection Agency (Sh472 million).

NLC got Sh1.23 billion, KNCHR (Sh400.70 million), IEBC (Sh4.47 billion), CRA (Sh371.97 million), PSC (Sh2.62 billion), SRC (Sh459.73 million), TSC (Sh266.09 billion), NPSC (Sh806.32 million), Office of the Auditor General (Sh522 billion), Office of Controller of Budget (Sh622.98 million), CAJ (Sh494.68 million), NGEC (Sh429.65 million) and IPOA (Sh802.62 million).

Edited by R.Wamochie