Budget reading Thursday as MPs end revenue share row
Treasury and National Planning Cabinet Secretary Amb. Ukur Yatani presenting the national budget in the National Assembly on June 10, 2021. PHOTO | JEFF ANGOTE | NMG
President Uhuru Kenyatta will today (Tuesday) assent to the Division of Revenue Bill, paving the way for the Treasury Cabinet Secretary Ukur Yatani to read the Sh3.31 trillion budget for the financial year starting July on Thursday.
The budget speech, which is read traditionally in the first or second week of June has been fast-tracked to enable timely approval of the estimates of revenue and expenditure to be included in the Appropriation Bill.
Parliament's term ends two months to the August polls, meaning the House must clear all important business before June 9.
President Uhuru Kenyatta will today (Tuesday) assent to the Division of Revenue Bill, paving the way for the Treasury Cabinet Secretary Ukur Yatani to read the Sh3.31 trillion budget for the financial year starting July on Thursday.
National Assembly Speaker Justin Muturi said the Bill, which shares government revenues raised between the counties and the national government, will be presented to the President for signature after the Senate backed the version approved by the National Assembly.
Delays in seeking an agreement on the Division of Revenue Bill between the Senate and National Assembly had threatened to scuttle the reading of the budget on April 7.
The budget speech, which is read traditionally in the first or second week of June has been fast-tracked to enable timely approval of the estimates of revenue and expenditure to be included in the Appropriation Bill.
Parliament's term ends two months to the August polls, meaning the House must clear all important business before June 9.
The speech will indicate new taxation measures and policy interventions that will guide the implementation of the Sh3.31 trillion budget.
These measures will be contained in the Finance Bill, which must be tabled in Parliament ahead of April 30.
The Division of Revenue Bill, 2022 has allocated the National Government Sh1.76 trillion, counties (Sh370 billion) and Equlisation Fund (Sh7 billion).
The Bill has been stuck in the Senate for months after the lawmakers refused to pass it pending an agreement on the County Grants Bill that shares Sh39 billion conditional grants.
A mediation committee last week struck a compromise that saw the Senate approve the Division of Revenue Bill and the County Grants Bill last Thursday.
Mr Muturi had last week warned that Mr Yatani will not read the Sh3.31 trillion budget on April 7 unless Parliament approves the Division of Revenue Bill, 2022.
“It will be unconstitutional for Mr Yatani to deliver the budget highlights. He will not be allowed to set his feet here unless that Bill is passed.”
The High Court in 2020 ruled that the Division of Revenue Bill must be approved by Parliament before the tabling of Budget Estimates and reading of budget speech.
A three-judge bench in a High Court petition number 277 and 232 of 2019 ruled that future budget policy pronouncements unveiled in Parliament without the inclusion of the division revenue bill will be unconstitutional.
