Finance desk war delays Nairobi’s spending plan

Nairobi Governor Mike Sonko. FILE PHOTO | NMG

Service delivery in Nairobi could suffer with the power tussle at the Finance department now threatening to disrupt budget making.

The county government has missed the deadline for the tabling of the County Fiscal Strategy Paper (CFSP), a critical policy document in the funding of a county budget, amid wrangles at the county treasury where two executives are claiming the docket.

Nairobi County Assembly Budget committee Chairperson Robert Mbatia said the county now runs the risk of not having a budget and even if it will have one, then it will be delayed "and can be challenged in court".

The delay could breach the deadline for tabling of the estimates, which should be done by April.

Mr Mbatia stated that the delay in the passage of the estimates could plunge City Hall into a financial crisis. Last year, the county government tabled a Sh35.3 billion budget estimate, later revised to Sh36.98 billion, for the financial year ending June 30, 2020 towards the end of the month of June.

Mr Mbatia said the county government should have tabled the CFSP before the county assembly no later than February 28 for it to be approved by March 15, 2020.

He said the document is crucial to determining how big the budget should be tied to revenue, total spending, and total deficit.

The document is also used to determine what share of the budget should go to each of the major sectors, in a process known as ‘setting the ceilings’.

“The timeliness are very clear in law that the document, together with the Debt Management Strategy Paper, are tabled on the February 28 and must be dispensed with by the 15th of March,” he said.

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