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Auditor General Raise Red Flag over Spending of Billons Without Approval

William Samoei Arap Ruto, President of Kenya

Auditor General, Nancy Gathungu, has raised concern over both the Jubilee and Kenya Kwanza administrations’ moves to spend billions without approval from Parliament.

The Supplementary Budget Expenditure Report published by Gathungu’s office covering the period between 2014 and 2023 shows that cumulatively, both governments spent a whooping Ksh597.7 billion without authorisation.

In the document, Gathungu reports that both administrations failed to account for the money within the required timeframe as stipulated by the 2010 constitution.

Article 223 of the constitution stipulates that the government is required to seek Parliament’s approval within two months after spending money that has already not been appropriated.

“In any particular financial year, the national government may not spend under this Article more than ten per cent of the sum appropriated by Parliament for that financial year unless, in special circumstances, Parliament has approved a higher percentage,” reads the constitutional provision.

The Auditor General raised concerns that this may have been a way to misappropriate public funds over the years.

Per the report, in the 2018/19 financial year, the previous government spent Ksh128 billion without approval from the members of parliament.

Meanwhile, after taking over, Ruto’s government spent the largest amount without approval during the period under review. For instance, the report points out that the government spent Ksh147.3 billion in the  2022/2023 Financial Year.

The report also revealed that the Ruto administration spent Ksh7.4 billion to purchase subsidised fertiliser when farmers were in harvesting season.

Gathungu also exposed government health facilities which acquired supplies worth billions pointing out that Ksh187 million worth of supplies have never been used.

Similarly, the Auditor General noted that Kenya may have lost Ksh2 billion in the construction of 10,000 classrooms with some of them later being deemed unfit for use.

Besides spending by the Health and Education ministries, The Treasury was also accused of buying bank shares amounting to Ksh6.3 billion in trade banks namely; the Eastern and South African Trade Development Bank and Africa-Export Import Bank (AFREXIM) bank.

“Our request on Eastern and Southern African Trade Development Bank Shareholding has not been responded to to date. As a result, we were unable to confirm the purchase of shares and to determine whether any benefits may have accrued to the Government of Kenya,” Gathungu stated.

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