• Request will be on top of Sh80 billion approved by MPs in March.
• Yatani has presented to the National Assembly a second supplementary estimate, of which Sh26.9 billion has been provided to the recipient state entities under Article 223.
Image: MERCY MUMO
The National Treasury has asked Parliament to approve an additional Sh45.5 billion to fund the budget for the year ending June 2021.
Treasury CS Ukur Yatani on Monday told the Budget Committee of the National Assembly that the money will be used to address post-Covid-19 interventions and to regularise additional expenditure the state spent prior to MPs’ approval under Article 223 of the Constitution.
In a presentation to the committee chaired by Kieni MP Kanini Kega, Yatani said the Treasury has received requests for Sh162.5 billion since the approval of the first supplementary estimates.
Treasury said the additional requests are to support Covid-19 interventions, salary shortfalls and pending bills.
Yatani has presented to the National Assembly a second supplementary estimate, of which Sh26.9 billion has already been provided to the recipient state entities under Article 223.
“Ministries and State Departments have proposed re-allocations from within the approved budget estimates to address emerging issues in the implementation of the budget, including payment of pending bills,” the CS told MPs.
If approved, the budget for the current financial year will hit Sh3.03 trillion, comprising Sh1.2 trillion recurrent expenses and Sh705 billion in development spending.
At least Sh1.07 trillion is in respect of allocations to the Consolidated Fund Services – largely for debt repayment.
Treasury says it intends to finance the additional expenditure through budget rationalisation, additional local earnings and borrowing.
Yatani wants MPs to approve Sh15 billion already spent on road projects, Sh3.8 billion spent by the Health ministry, Sh3 billion on housing and Sh1 billion on water and sewerage projects.
The CS is also seeking approval for Sh1.6 billion spent on exploration and distribution of oil and gas, Sh1.7 billion spent by Treasury, Sh360 million extra cash to State House and Sh30 million spent by Defence ministry.
Yatani asked MPs to ratify expenditure of Sh250 million by the Wildlife department and Sh72 million for the office of the Director of Public Prosecutions.
“I want to assure this committee that the government shall continue to ensure that all funds allocated to the ministries, departments and agencies are utilised efficiently and effectively to achieve the intended services,” he told the team.
The CS said the request followed challenges with the implementation of the 2020-21 budget.
In March, MPs approved Sh80.7 billion extra spending for the government in budget shortfalls for the current financial year.
The lawmakers approved an increment of the total recurrent expenditure for 2020-21 by Sh19.1 billion and development spending by Sh61.6 billion.
The budget team during the approval cited a continued breach of Article 223 and asked that House committees ensure compliance.
The current financial year ends in eight days.
Edited by A.N