Public spending, devolution top Henry Rotich National Treasury agenda

By Macharia Kamau

Nairobi, Kenya: National Treasury Secretary Henry Rotich has promised to mainstream public spending and deepen devolution to spur economic growth.

In a brief remark he made while assuming office, Rotich said his ministry would prioritise allocations to line ministries to maximise on usage of funds allocated, an approach he strongly believes would sustain economic growth and create more jobs.

“We will also work with the private sector to ensure favourable environment for business,”  said Rotich during a press briefing at Treasury Building, yesterday.

Among the most immediate jobs he promised to embark on is the creation of an inter-ministerial unit within Treasury that would help ministries identify priority areas.

He noted that getting priorities right among different ministries would help the country achieve double-digit growth in the coming years.

Mr Rotich also said he would be keen on the full implementation of the Public Finance Management Act (2012) that has set out to reform the Treasury by changing the rules in management of public funds. The Act has set up the National and County Treasures and spells out how the two will be relating.

Another immediate task for Rotich is the national budget for 2013/2014 financial year, where he said the Treasury would heavily focus spending on agriculture, industry and infrastructure in a bid to sustain economic growth and create jobs.

“Growth is picking up, inflation is below the targeted rate and generally the macro economic environment is fairly satisfactory. Treasury will try and maintain the stability that we have struggled to bring to this level,” explained Rotich. He noted with the current levels of inflation and interest rates, the economy would post better performance this year.

Rotich is a Treasury insider and until his appointment to the Cabinet, he has been the head of macroeconomics, with a role of formulating policies geared at a sustainable public spending, as well as drawing up budget documents.

He has previously worked with the Central Bank and the local office of the International Monetary Fund (IMF).

Rotich will be President Uhuru Kenyatta pointer man to manage the Sh1.6 trillion country’s Budget, the biggest ever in country’s history.

Rotich has the daunting task of raising more funds to bank roll the ambitious pre-election promises made by  Uhuru’s Jubilee coalition on education, agriculture, internal security and health.