Uhuru budget ignores Raila, Ruto poll promises

Details have emerged of what President Uhuru Kenyatta’s team intends to provide in the next financial year's budget.

The next budget is falling squarely within the transition to a new administration.

Some of the allocations as stated in the Division of Revenue Bill, 2022 may affect the promises made by former Prime Minister Raila Odinga and Deputy President William Ruto.

The two, who are frontrunners in the Uhuru succession race, are already rallying their supporters on various courses that their administrations would intervene on should they win the election.

For instance, Raila has promised Sh6,000 monthly stipend for extremely vulnerable households and a child support package for single mothers – projected to cost Sh100 billion.

However, the outgoing administration has only set aside Sh29.8 billion for the continuation of the social protection programmes President Uhuru Kenyatta rolled out when he assumed power.

The Division of Revenue bill says the money would go towards paying stipends for elderly persons, orphaned and vulnerable children, child welfare, presidential bursary and severe disability.

DP Ruto, on the other hand, has been rallying his backers that he’d put money in the hands of small scale traders – Hustlers, to boost cash flow in the economy under the ‘Bottom-Up’ model.

His team lost their push for a Sh50 billion budgetary allocation towards the Hustler Fund during a vote in the National Assembly on the Budget Policy Statement 2022.

With the budget process set to conclude on April 30, the incoming administration may have to make do with the provisions in their first year of forming the government.

DORB sets the limits within which the government revenue is shared from the Consolidated Fund by the various government agencies.

President Kenyatta’s transition budget seeks to provide additional funding for security agencies, agricultural interventions, and parliament.

At least Sh50 billion has been proposed for Parliament and Sh18.3 billion for the Judiciary.

The MPs’ budget is rising on account of exit perks for outgoing members and vehicle grants for newcomers.

A chunk of revenue - to the tune of Sh930 billion, however, will go towards debt repayment starting July, albeit lower compared with the Sh1.173 trillion paid this financial year.

The bill sets aside Sh90.7 billion to fund matters of national interest, being an increment of about Sh7 billion compared with the current year.

“These are expenditures which relate to projects and programmes critical to the achievement of the country’s economic development objectives, social wellbeing of citizens, and have significant resource investment requirements,” the bill sponsored by Kieni MP Kanini Kega reads.

Security apparatus is tipped for Sh3 billion more from the vote, with the proposed allocation of Sh25.9 billion for enhancement of security operations.

The money, the bill states, would go towards the purchase of police vehicles, security helicopters and improvement of equipment used by Kenya Defence Forces.

President Kenyatta’s administration further seeks to provide Sh14.7 billion for national irrigation and fertilizer subsidy programmes.

At least Sh14.4 billion has been set aside for youth empowerment programmes – usually funding for the National Youth Service and associated programmes.

The Jubilee administration also appears keen on the continuity of the primary schools' laptops project with the proposed allocation of Sh1.3 billion towards the venture.

The government would also cater to next year’s KCPE, KCSE, and Grade 6 CBC examinations to the tune of Sh4.5 billion.

Debt repayment has also overtaken allocations towards other national obligations bestowed on the national exchequer, which would be provided Sh560.7 billion.

Of these, Sh143 billion would be provided for pensions, constitutional salaries and other benefits payable to state officers.

Allocations to Constitutional Commissions has also increased by Sh22 billion to Sh321 billion – on account of increased allocations to the Independent Electoral and Boundaries Commission.

The money would be shared between commissions namely CRA, SRC, National Land Commission, National Police Service Commission, and TSC.

Independent offices – Controller of Budget and Office of Auditor General – have been allocated Sh6.9 billion in the next financial year.

The State Law Office and the Office of the Director of Public Prosecutions would be provided with Sh8.7 billion should MPs approve the bill.

Other statutory bodies such as the EACC, Political Parties Registrar, Witness Protection Agency, IPOA, and National Gender and Equality Commission have been allocated Sh8.5 billion.

President Kenyatta’s administration has also set aside Sh5 billion for emergencies and Sh7 billion towards Equalization Fund.

A balance of Sh547 billion would be shared between the two levels of government, of which counties have been allocated Sh375 billion – Sh5 billion in conditional allocations.

The national government is left with Sh172 billion in revenues for funding other obligations of the state.