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Botswana cuts spending on cars as Kenya fumbles

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A vehicle used by a Kenyan Cabinet minister. Botswana has slashed buying of new State vehicles by 85 per cent, saving its economy Sh2 billion. /Liz Muthoni 

By Mwaura Kimani and Wene Owino  (email the author)
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Posted  Monday, July 13  2009 at  00:00

In his speech last month, the Finance Minister froze purchase of new vehicle units, except for security purpose, with any new procurement only being allowed under exceptional circumstances.

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“The Government must cut the massive spending on non-priority areas and instead channel the funds into initiatives that improve the harsh business environment,” said Patrick Obath, the chairman of the Federation of Kenya Employers (FKE) in a recent interview.

“It should invest in infrastructure, boost private sector investment, scale down on non priority expenditures and remove unnecessary bureaucratic procedures for business operations.”

In Botswana, the Transport Establishment Review Committee (TERC) of the Ministry of Transport said the cut-down was informed by the realisation that some government vehicles are under-utilised.

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