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{
    "id": 1051797,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1051797/?format=api",
    "text_counter": 34,
    "type": "speech",
    "speaker_name": "Sen. Kibiru",
    "speaker_title": "",
    "speaker": {
        "id": 13196,
        "legal_name": "Charles Reubenson Kibiru",
        "slug": "charles-reubenson-kibiru"
    },
    "content": "favourable weather and on-going investment in strategic priorities of the Government under the Big Four Agenda. One of the issues that came up when the Big Four Agenda is mentioned is that every other stakeholder, other than the National Treasury, were asking what are the milestones that have been made so far on the Big Four Agenda. What is it that we can say, feel and touch as a result of the Big Four Agenda? It is not Sen. Charles Kibiru, the Chairman, who is asking that, but it is the stakeholders who are casting doubt that the National Treasury was not clear in the BPS and illustrate whether there are milestones that are tangible and have touched many people when it comes to issues of the Big Four Agenda. Maybe they are there, but on the BPS, we could not put a finger to the milestones. Mr. Speaker, Sir, progressing, I just want to mention that I will be looking at subtopics, just to mention one or two issues in the interest of time. I will start with the fiscal policy. For those who have looked at the report, the 2021 BPS projects revenue, including Appropriation-in-Aid in the Financial Year 2021/2022 to be Kshs2 billion, which is about 16.4 per cent of Gross Domestic Product (GDP) as compared to Kshs1.8 billion, which is about 16.6 per cent of GDP in the current financial year. The Committee, however, noted that the revenue measures proposed are similar to what had been proposed in the previous year. The National Treasury personnel are not innovative and thinking widely. It was the feeling of the Committee that there was nothing new in the proposals that they have put in terms of making sure that we realize the targets that they had put. The Committee further observed that the total revenue by the end of January, 2021 was Kshs937 billion against a target of Kshs1 trillion. This represents a short fall of about Kshs122 billion. Going by the reported shortfall, it is the view of the Committee that the projections may not be achieved. It came out that more often than not, we are only able to achieve what is readjusted after the budget in the supplementary budget. The Committee observed that the fiscal deficit target set for the Financial year 2021/2022 and the medium term is unrealistic. It is projected that the fiscal deficit, including grants as a share of GDP, will decline from -9 per cent in 2021 to -3.9 per cent in 2024. However, given the public expenditure pressures, recurrent in nature, especially from the wage bill and security sector related and collection of lower than targeted revenue, the projected fiscal deficit path is unlikely to be achieved. That is an observation we made. Most of the stakeholders, including committees of the Senate, concurred with that observation. Mr. Speaker, Sir, on inflation rate, the National Treasury is promising that we will remain within the target which is between 2.5 per cent and 7.5 per cent in 2021. We have seen an increase in the prices of fuel and cereals. We pray that this does not push the inflation rate beyond the National Treasury‘s proposals in the BPS."
}