On Friday, June 9, the Agriculture and Livestock Committee of the National Assembly requested that the Treasury add Ksh500million to the 2023/2024 budget to cover debts.
According to the committee, the funds will be used to repay debts incurred as a result of former President Uhuru Kenyatta’s suspended maize flour subsidy program, which was implemented in 2022.
The funds would also be used to pay off the Grain Mill Owners Association’s (GMOA) outstanding bill, as the organization had not been fully paid before the program was suspended.
MPs were looking into the multibillion-dollar program that had been halted by President William Ruto when he took office in September 2022.
Njuguna Ndung’u, Treasury Cabinet Secretary, is scheduled to read the budget to Parliament on June 15 at 3 p.m.
Ruto’s administration has proposed a budget of Ksh3.6 trillion, up from Ksh3.39 trillion last year.
According to the Treasury, Ksh700 billion will be obtained by borrowing and replacing it with Kenyan taxes.
Notably, the proposed Finance Bill 2023 includes tax increases in various sectors to assist the government in collecting funds to steer the country.
Ruto expects Kenya Revenue Authority (KRA) collection to increase to Ksh2.571 trillion.
