State House, Nairobi. [PHOTO/the-star.co.ke]
The repeat presidential elections are strongly affecting financial operations at State House and Parliament.
According to the Star, the two are among the state organs hit with drastic budget cuts as the economy struggles to find a balance three months into the financial year.
In a circular by the National Treasury, most recurrent budget lines had their allocations reduced by over 75 per cent except domestic travel that was slashed by 20 per cent.
A circular to all accounting officers dated September 25 shows the Treasury CS Henry Rotich saying that the Cabinet approved these cuts to reduce costs.
It comes just three months into the financial year and could heavily affect suppliers who rely on government tenders.
"Following low performance of revenue and emerging priorities, namely repeat of the presidential election, insecurity, drought response measures and GoK counterpart funds requirements, the Cabinet has approved austerity measures in the recurrent budget," Rotich said in the circular.
"The development budget has also been rationalised to accommodate the resultant budgetary requirements."
The government will now spend lesser on communication, training, foreign travel, routine maintenance, hospitality and purchase of vehicles and furniture.
"In view of this, the recurrent and development ceilings for GoK funded programmes have been revised as shown in Annex 1 and 2 of this letter. Accounting officers are urged to ensure that no commitment/expenditure is incurred beyond the revised ceilings," Rotich said.