Government releases Sh6 billion CDF cash

MPs on Tuesday threatened to impeach Treasury CS Njuguna Ndung'u over the delay in releasing CDF cash.

In Summary
  • The government sent Sh6 billion to the CDF Board on Tuesday afternoon.
  • MPs gave the Treasury one week to wire the Sh63B for this financial year.
MPs drawn from Azimio and Kenya Kwanza addressing a press conference on the delayed disbursement of CDF cash at Parliament buildings on January 9, 2024 / LUKE AWICH
MPs drawn from Azimio and Kenya Kwanza addressing a press conference on the delayed disbursement of CDF cash at Parliament buildings on January 9, 2024 / LUKE AWICH

The government has bowed to pressure and released the Sh6 billion National Government Constituency Fund (NG-CDF).

The Star has established Treasury released Sh6 billion to the Constituencies hours after lawmakers threatened to initiate impeachment against Cabinet Secretary Njuguna Ndung'u.

Sources at the Treasury told the Star the money hit NG-CDF Board accounts on Tuesday afternoon.

“The Board received Sh6 billion on Tuesday, this translates to each Constituency receiving Sh20 million each,” a source at the NG-CDF board told the Star in confidence.

This is the first disbursement in the 2023/24 financial year.

The figure is however Sh4 billion less than what President William Ruto promised his administration would this week disburse towards CDF.

On Sunday, President Ruto while in Sugutek in Uasin Gishu county, said Sh10 billion would be disbursed this week.

Speaking to the Star, Rarieda MP Otiende Amollo – who on Tuesday led the bipartisan caucus of MPs pushing for immediate disbursement of the Fund termed the disbursement inconsequential.

He wondered why the Treasury did not implement Ruto’s Sh10 billion promise.

“The head of state misled the nation, last year he committed that by December 20 all bursaries monies would be paid and the speaker confirmed, three days ago he said he had released the money.  How can a head of state mislead the nation twice,” Otiende said on the phone.

The lawmaker added that the Sh6 billion is a drop in the ocean and inconsequential for the over-starved constituencies.

“That is just nonsensical, it is less than a third and because fees are paid when students are reporting that is underwhelming, it is a drop in the ocean,” charged the Raried MP.

Constituencies are entitled to at least Sh43 million for bursaries, 35 per cent of the total allocations.

Late last year, the lawmakers amended the NG CDF Act raising the bursary allocation to 40 percent.

Schools reopened on Monday for the start of this year's academic calendar. Form Ones will join from next week.

Most students especially in secondary schools, colleges and universities rely on CDF bursaries for their fees.

MPs from both sides of the political divide on Tuesday demanded the release of Sh63 billion CDF threatening to send home Prof. Njuguna.

In a rare show of unity, the lawmakers threatened to initiate impeachment proceedings against Treasury boss Njuguna Ndung'u if the cash does not hit constituencies’ accounts in seven days.

The MPs said they would push for a special meeting to initiate the impeachment process if they do not receive the money by next week on Tuesday.

 “We demand that the entire allocation of the CDF must be released within seven days as is due, if that is not done, we will call for a special sitting of the House, and draft an appropriate motion against the CS Treasury and the NG-CDF board or any other entity as we may determine at the time," Otiende said.

“Schools have no classes and they depend on the release of these funds to construct new ones. Children have also reported back to school and are expecting to benefit from the bursaries which unfortunately have not been released from the beginning of this financial year up to now,” Kabuchai MP Majimbo Kalasinga added.

Some of the MPs included Stephen Mogaka (West Mugirango), Martin Wanyonyi (Webuye East), John Makali (Kanduyi), Majimbo Kalasinga (Kabuachai), Robert Ngui (Yatta), Julius Mawathe (Embakasi South), Millie Odhiambo (Suba South), Joshua Oron (Kisumu Central) and Sam Atandi (Alego Usonga).

Others were James Nyikal (Seme), Mark Mwenje (Embakasi West) and Walter Owino (Awendo) among others.

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