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EDITORIAL: President has to stop unnecessary spending

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By EDITORIAL
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The revelation by the Controller of Budget that the government spent Sh7.5 billion on travel in five months makes nonsense of President Kenyatta’s declaration that he wants austerity in public spending.

That so much money is spent on non-essential items is depressing, considering that the country is facing economic stagnation and high cost of living while priority projects have stalled due to lack of funds.

Kenyans are acutely aware of priorities they want the government to focus on, among them education, health, food security and infrastructure.

Thousands of Kenyans are starving due to the prolonged drought. Relief food and water rations are sorely needed in many of the counties.

But that is not forthcoming due to lack of cash. Grain farmers, especially in the North Rift, are stuck with their produce because they cannot sell it to the National Cereals and Produce Board for there is no money to pay them.

In the education sector, schools are congested following enhanced admission of students. Yet there is an acute shortage of teachers and facilities due to a cash crunch.

Similarly, the health sector is paralysed due to lack of cash to employ personnel and procure equipment, medicine and other provisions. Clearly, these are vital sectors that require proper financing.

Amid this, the government is sagging under the weight of debt, which has climbed to astronomical levels to nearly hit that dangerous threshold of 70 per cent of gross domestic product, after which there would be a meltdown.

Not long ago, Treasury Cabinet Secretary Henry Rotich spelt out a raft of measures to contain public spending with emphasis on curbing non-core expenditure. This came against a backdrop of spiralling public spending against declining revenue.

For years, the Kenya Revenue Authority has consistently failed to meet its collection targets.

Not to lose the fact that taxes are increasing every other time, making life unbearable for individuals and businesses. Unsurprisingly, many investors have shipped out of Kenya due to the high cost of doing business.

What the report shows is lack of coordination within government and poor enforcement of rules and policies.

Paradoxically, although the government spends a fortune on official trips, there is no return on investment — those who travel do not give feedback or share learnings that can help the country to progress. Most of the trips are not necessary and should be stopped forthwith.

The government must prioritise its spending and ensure citizens get value from their taxes. President Kenyatta, therefore, has to end this profligate spending in government. Fiscal discipline is paramount if the country is to make any progress.



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