Treasury faulted for ‘withholding funds’

By RAWLINGS OTIENO                                      

Kenya: The Treasury has been accused of failing to release funds meant for development projects in the 290 constituencies.

Up to Sh17.6 billion has not yet been released for the second and the third quotas, with some of the new constituencies not receiving funds.

Constituency Development Fund (CDF) Board Chief Executive Yusuf Mbuno said the Treasury had only disbursed Sh5.4 billion to implement projects in constituencies.

“We have made several requests to the Treasury for the money to be released, but up to now the money meant for the second and the third quotas has not been released,” said Mbuno.

Appearing before the CDF select parliamentary committee yesterday, Mbuno laid before the team a report showing disbursement of funds for the last four financial years.

Out of the 290 constituencies across the country, only 177 constituencies have received 40 per cent of the allocation.

The Moses Lessonet-led committee is, however, concerned that the process is sluggish and development projects already initiated in constituencies have stalled.

A total of 172 constituencies had the full amount of Sh17.1billion allocated to them during the 2012/2013 fiscal year.

ADMINISTRATIVE ROLES

The Treasury had also given Sh2 million to each constituency for administrative activities while Sh5.6 billion is still undisbursed.

But the committee members said there were fund managers running the kitty as self-help organisations and that the board must crack the whip if CDF is to be run in a professional manner.

The members asked the board’s chief executive to send circulars to all fund managers at constituency level, pending the passage of rules and regulations that will soon be aligned to the CDF Act 2013.

“You must bring all the circulars you have issued to the fund managers during next week’s meeting. There must be a person to whom the fund manager reports,” said Lessonet.

According to the report, poverty-stricken rural constituencies in former arid and semi-arid areas will take the lion’s share of the Sh23.06 billion CDF allocations while majority of those in towns will get the least.

Turkana West, Kinango, Mandera South, Mandera North and Magarini will each receive more than Sh100 million.

Embakasi West, Lamu East, Embakasi Central, Makadara and Embakasi East, are among the least funded constituencies, each receiving less than Sh62 million for development. 

Mandera South will get Sh124 million and Lamu East Sh60.2 million.