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{
    "id": 1352634,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1352634/?format=api",
    "text_counter": 2394,
    "type": "speech",
    "speaker_name": "Kikuyu, UDA",
    "speaker_title": "Hon. Kimani Ichung’wah",
    "speaker": null,
    "content": "PFM Act, 2012, required that the reports be submitted on a quarterly basis. As I had mentioned, the timely submission and consumption of these reports by the House will help to inform us and the country where we are in terms of our debt level so that we do not find ourselves in a position of continuously continuing to get into debt problems without knowledge, just because we do not have accurate information at the right time. I must re-emphasize, as the Committee has emphasized in its Report that the National Treasury, upon adoption of these reports, must ensure that they are submitted from the first quarter to the fourth quarter of every year in line with the fiscal calendar year of our Financial Year from 1st July to the end of June. I have also noted a recommendation by the Committee that says that, upon the adoption of this Report, the National Treasury should prioritise the sourcing and disbursement of concessionary finance. The concession finance contains what they have noted as a grant element, implying that larger borrowing can be sourced within minimum impact on debt sustainability by reducing the refinancing and interest rate risk. I know this particular recommendation because, as it is today, we have a problem with the Supplementary Budget that we passed last week, and on Tuesday, we passed its Appropriation Bill. If Members remember, we noted that within that Supplementary Estimates Bill, a figure of about Ksh143- 145billion is on account of the financing risk that comes with the exchange rate fluctuations within this Financial Year. Therefore, it is important that the National Treasury seeks to pursue more concessional loans so that we can enjoy those lower interest rates and do not expose ourselves to the financing risks and interest rate risks that we have previously exposed ourselves to. These reports will also help inform not only the House, but also the country. I had an occasion this morning to interact with a young Kenyan trader in Nyamakima who told me she was keenly listening to one of the local FM stations. I have no fear of naming the station. It is Kameme FM station. In this kamehemehe FM, an illiterate class eight dropout presenter – who I know hails from my constituency and has no understanding of anything in finance – was misinforming the country and listeners of Kameme FM that this country has borrowed to the tune of Ksh4.5 trillion in this Financial Year. The young trader in Nyamakima had the brain to decipher that if our budget is in the region of over Ksh3 trillion, there is no way the country would have borrowed Ksh4.5 trillion within one year. That is why the National Treasury must ensure that these reports are brought to the House and the Public Debt and Privatization Committee on a timely basis. When these reports come to the House, they help inform Kenyans on the right debt position of the country. We will avoid situations where illiterate radio presenters misinform Kenyans like those in kamehemehe FM. You will understand why a presenter who boasts of the ownership of Kameme FM is intent on deliberately misinforming the country about the level of debt and indebtedness that the current administration has got into. Factual and accurate information in accounting and economics is critical in decision-making. This House and the National Treasury cannot make credible decisions without factual, accurate and timely reporting. Recommendation 8.8 of the Committee says that the National Treasury should address factors that affect the timely and full disbursement of loan financing and submit a report to the National Assembly within 60 days of the adoption of this Report, indicating actions taken to increase the efficient disbursement of loan financing. Again, let me take this opportunity to commend the Public Debt and Privatization Committee. This tells you a lot about the Members of this Committee. You can see that they are in the House, unlike the Members of other committees of this House who, when their reports are debated, are not there. The Chair and the Vice-Chair of the Public Debt and Privatization Committee are here, and I commend them again for their leadership ability. Hon. Temporary Speaker, despite chairing this Sitting, you are also a Member of the Public Debt and Privatisation Committee. Hon Dawood, Hon. Kwenya Thuku, Hon. Makilap The electronic version of the Official Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Hansard Editor."
}