National Government Budget Implementation Review Report indicates that Teachers Service Commission recorded the highest expenditure in first quarter between July 1 to September 30, 2018, of financial year 2018/2019.
The report by the Controller of Budget, Agnes Odhiambo indicates TSC marked the highest expenditure on Personnel Emoluments (PE) at Sh58.1 billion, which translated to 65.5 percent of the total PE expenditure as reported by the Ministries Departments and Agencies (MDAs).
Semi-Autonomous Government Agencies (SAGAs) held the second highest expenditure recording item current transfers at Sh55.5 billion, or 25.5 percent of the total recurrent expenditure with Domestic Travel being the third highest economic item at Sh1.7 billion followed by Rentals and Rates on Non Residential buildings at Sh1.1 billion.
Total expenditure by the National Government in the first three months summed to Sh429.3 billion.
This represented 16 percent of the annual gross estimates comprising of Sh217.7 billion on recurrent programmes by MDAs, signifying 20.3 percent of the gross recurrent estimates, Sh160.5 billion on Consolidated Fund Services (CFS), demonstrating a 16.7 percent of the annual gross estimates and Sh51.1 billion spent on development activities which represents an absorption rate of 7.6 percent.
Salaries/wages recorded the highest spending at Sh88.6 billion, representing 40.7 per cent of the total recurrent expenditure by MDAs.
The report however indicates that during the period, implementation of the budget faced many challenges like delaying in; release of funds by the National Treasury, uploading of procurement plans into IFMIS, and delay by MDAs to submit financial reports to the Controller of Budget.
“To overcome these challenges, the Office recommends timely release of funds to MDAs and prompt uploading of procurement plans by the National Treasury in order to enhance effective budget implementation,” concluded the report.