By Sharon Mwaniki, Muthoni Maina
Prof. Njuguna Ndung’u, CS National Treasury and Economic Planning, on June 13th read the Budget in Parliament. The theme is Sustaining Bottom-up Economic Transformation Agenda, Fiscal Consolidation, and Investing in Climate Change Migration and Adaptation for Improved Livelihoods.
The total government budget is Ksh 3,992.0 billion, broken down as follows: education (sh 656.6 billion), health (sh 127 billion), agriculture and food security (sh 84.9 billion), energy, infrastructure, and ICT (sh 477.2 billion), environment protection, water, and natural resources (sh 110.1 billion), general economic and commercial affairs (sh 43.1 billion), interest payments, pensions, and net lending (sh 1,213.4 billion), social protection and affirmative action (sh 68 billion), GJLO (sh 247.8 billion), county shareable revenue (sh 400.1 billion), public administration and international relations (sh 344.4 billion), and national security (sh 219.4 billion).
The agenda recognizes the importance of managing the cost of living through well-functioning markets to enhance income generation, productivity, availability, and affordability of goods and services for all citizens.
The overall budget and financing is Ksh 3,992.0 billion (22.1% of GDP). The total revenue is Ksh . 3343.3 billion (18.5% of GDP), and grants are Ksh 51.8 billion (0.3% of GDP).
The deficit is 597.0 billion (3.3% of GDP). Deficit financing net foreign financing ksh 333.8 billion (1.8% of GDP) and net domestic financing ksh 263.2 billion (1.5% of GDP).
The BETA intervention targets five core priority areas, namely: Agricultural Transformation and Inclusive Growth, Micro, Small and Medium Enterprises, Housing and Settlement, Healthcare and Digital Superhighway and Creative Industry.
The agricultural transformation and inclusive growth have been allocated ksh 54.6 billion which is to be distributed to different sectors to provide adequate and affordable capital to all farmers.
The micro, small and medium enterprises has been allocated 5 billion to the hustler fund, ksh 200 million to the youth enterprise development fund, sh 162.5 million to the Centre for Entrepreneurship project and Ksh 1.9 billion to the rural Kenya financial inclusion facility.
The housing and settlement have received sh 92.1 billion allocation to turn the housing challenge into an economic opportunity to create quality jobs for the youth directly and indirectly.
To provide affordable healthcare sh 127billion has been allocated to provide fully publicly financed primary healthcare systems, install a digital health management information system, set up a fund for improving health facilities, set up an emergency medical treatment fund, establish national insurance funds that cover all Kenyans, and avail medical staff who would deliver universal health coverage.
The digital superhighway and creative economy have been allocated Ksh 16.3 billion to enhance productivity and overall competitiveness.