Rotich’s Budget realistic, get down to work

Finally, Mr Henry Rotich read his second Budget since taking office.  To sum it up: it’s the usual! Nothing out of the ordinary; ambitious but no additional taxes on ordinary Kenyans.

The kind of budget that has no major winners or losers as the media would call it. And he was realistic about the challenges he faces in executing it.

Nonetheless, he was pretty optimistic that the economy will growth by an impressive 6.1 per cent, well above the region’s average.

He was well cognizant of the challenges the nation faces, particularly in the security sector, and he lavished it with a handsome budget.

The police, defence forces and the intelligence combined will receive Sh155 billion to finance equipment, logistics and additional manpower. Now that’s a tidy sum that can revolutionise the security forces in every aspect if they utilise the money well.

However, it is imperative to note that management remains the single most important challenge facing these institutions.

With all necessary equipment and motivation, if the decision making by the policy makers is wanting, security may continue to be a challenge. At least, for now, the ball will be in their court.

The dilapidated road sector will also receive over Sh117 billion to cover new roads, on-going works and decongestion of Nairobi. This will be a good investment, particularly for farmers and businessmen who require improved infrastructure to reduce their costs of production.

And to further address this concern, he has pumped over Sh44 billion into the energy sector, for the geothermal energy, and power transmission and rural electrification.

This should help the government in making a steady progress on the 5,000 MW target.

However, there are concerns that absorption of infrastructure funding is still pretty low, at around 40 per cent, which greatly undermines the overall development objectives of the government.

I also find his focus on agriculture essential, given the mounting concerns about food security. The allocation of Sh9.5 billion to irrigation projects will yield dividend in the long term in view of concerns about weather predictability in the traditional food basket area.

He has not left out subsidies for fertiliser and has also eliminated taxes on manufacturers of seeds. The proposal to spend over Sh12 billion on water pans and water supply is equally critical, especially in ASAL areas.

Mr Rotich has also done some pro-poor targeting too. He raised allocations to free primary education and free tuition in secondary schools by 33 per cent each.

The Government will actually spend Sh42 billion in this regard, and will recruit additional 5,000 teachers. It has also provided Sh17.4 billion for the laptops programme, which is the one things I do not approve of! It simply isn’t a priority; not in our rural schools where majority of our children are based.

I also commend the Government for continuing to support the vulnerable groups, such as the orphans, old age groups and others, with the Sh13.4 billion factored in the Budget.

 I do hope the relevant agencies will get these funds to the beneficiaries. Above all, the Sh8 billion allocated to NYS to recruit and train 21,870 youth is very commendable. NYS invariably inculcates discipline, and provides competencies to youth that is often an indispensable life-long skill.

Lastly, the counties got the Sh 226 billion as expected but without the additional Sh3.74 billion Senate had recommended for the Level 5 hospitals. 

It beats logic how the National Assembly committee failed to spare this amount for the past few months but could enhance its CDF a few days ago by Sh5 billion.

 Equally, the Treasury deserves a barb for entertaining these folks when these hospitals face imminent closure because they could not raise this paltry amount for the 11 hospitals affected.

The writer is a political economist and Mandera County Senator