Treasury allots Sh40 billion to state departments in the wake of the withdrawal of Finance Bill 2024.
Several government ministries have received Shs40 billion from Treasury as part of their financial allotments.
The State Department for Investment Promotion received Sh600 million, the County Aggregation received Sh1 billion, the Ministry of Education received Sh29.7 billion, the Ministry of Agriculture received Sh4.6 billion, and the Ministry of Roads received Sh2 billion from the Treasury.
For the third term, the Ministry of Education will receive Sh1.6 billion to fund Free Primary Education, Sh14.1 billion for Free Day Secondary Education, and Sh6.1 billion for Junior Secondary Education.
Additionally, the government has given Sh2.8 billion to the Universities Fund Board to support the growth and administration of public universities and Sh5.1 billion to the Higher Education Loans Board (HELB) to offer financial aid to students seeking higher education.
In addition, the State Department for Irrigation provided Sh2.6 billion to the National Irrigation Authority (NIA) and the Treasury gave Sh4.6 billion to the Ministry of Agriculture. These funds are intended to improve irrigation projects, which are essential for food security and sustainable agriculture, especially in arid and semi-arid areas.
The National Cereals and Produce Board (NCPB) has been given a total of Sh2 billion by the government to settle outstanding invoices pertaining to the fertilizer program for the long and short rains in the 2023–2024 fiscal year.
In order to support the New Kenya Cooperative Creameries (KCC) Ltd., a major participant in the dairy industry, in improving its operations, the National Treasury has also given KCC Sh800 million.
The Financial Inclusion Fund, sometimes referred to as the Hustler Fund, has received a total of Sh500 million under Enterprise Development. This fund supports small and medium-sized firms (SMEs), which in turn promotes economic growth and job creation.
The County Aggregation and Industrial Parks have been granted Sh1 billion by the Treasury to assist in the development of industrial parks throughout counties, promoting regional industry and economic diversification.
In order to strengthen Kenya’s ability to draw in foreign investment and increase exports, the Treasury also gave Sh600 million to the Export Processing Zones Authority, which is run by the State Department for Investment Promotion.
The Finance Bill 2024 was withdrawn in the midst of countrywide demonstrations spearheaded by Generation Z, who felt it was punishing and ill-timed.
President Ruto retracted it and decided not to sign it into law as a result.
The National Treasury estimates that Kenya’s GDP would expand by 5.5 percent in 2024. The country’s budget, which totals approximately 30 billion dollars, was unveiled on June 13 for the fiscal year 2024–2025. The budget focuses on maintaining this growth.
The Finance Bill 2024, which was withdrawn and caused protests by young people, aimed to raise an extra $2.67 billion through new taxes.
Treasury allots Sh40 billion to state departments in the wake of the withdrawal of Finance Bill 2024.
