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{
    "id": 1559147,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1559147/?format=api",
    "text_counter": 138,
    "type": "speech",
    "speaker_name": "Rongo, ODM",
    "speaker_title": "Hon. Paul Abuor",
    "speaker": null,
    "content": " Hon. Speaker, pursuant to the provisions of Standing Order 44(2)(c), I wish to request for a Statement from the Chairperson of the Budget and Appropriations Committee regarding the status of implementation of the Government’s directive to securitise a portion of the Road Maintenance Levy Fund (RMLF). The Government, through the Ministry of Roads and Transport, advised the Kenya Roads Board to initiate the securitisation of part of the RMLF amounting to Ksh7 per litre. This directive was aimed at raising urgent funds to settle the mounting pending bills in the road sector, which have continued to stall key infrastructure projects across the country. While the securitisation of future cash flows can be a viable financing mechanism under the Public Finance Management Act, 2012 Cap 412A, specifically Section 50 on public debt management, the implementation of such a strategy must be carried out transparently, within the framework of public finance principles enshrined in Article 201 of the Constitution of Kenya, 2010. Other principles include openness, accountability and responsible financial management that must be applied on the securitisation proposal. It is against this background that I request for the following: 1. The current status of the implementation of the securitisation of the RMLF as directed by the Government. 2. The legal and financial framework being used to implement this securitisation process, and whether there was approval of Parliament sought, as required under Section 50(2) and 53 Cap 412A of the Public Finance Management Act, where future revenue streams are pledged. 3. Amount expected to be raised through this securitisation arrangement, and the criteria that will be used to allocate these funds toward pending bills in the road sector. 4. Any guarantees or circulars issued by the National Treasury in connection with securitisation transactions, and the implications on public debt ceilings and fiscal sustainability. 5. Lastly, timelines set for the disbursement of the raised funds, and measures taken to ensure transparency and accountability during implementation. I thank you, Hon. Speaker. 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."
}