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"id": 193494,
"url": "https://info.mzalendo.com/api/v0.1/hansard/entries/193494/?format=api",
"text_counter": 76,
"type": "speech",
"speaker_name": "Mr. Kimunya",
"speaker_title": "The Minister for Finance",
"speaker": {
"id": 174,
"legal_name": "Amos Muhinga Kimunya",
"slug": "amos-kimunya"
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"content": "Mr. Speaker, Sir, as Members would be aware, the raw material for fertiliser is available in Uganda and Tanzania and the demand is available in Kenya. So, we are sorting out where exactly we would be placing that factory. In addition, resources have been allocated for various sectors such as agriculture, water and irrigation, infrastructure and security to reduce supply constraints, improve food production and reduce the distribution cost. It is expected that with measures to increase agricultural productivity, our farmers will take advantage of the high food prices to increase their production and thereby enhance our food security. Mr. Speaker, Sir, we have also set aside a total of Kshs4 billion for Civil Contingency 1148 PARLIAMENTARY DEBATES June 12, 2008 Fund, drought relief and budget reserve to be used in case of emergencies. The Government is also aware that in order to increase farm production and enhance food supply in our country, we have to improve farm productivity, reduce and manage the cost of inputs such as fertiliser and seeds to levels that are affordable to majority of our farmers. Among the key initiatives that we have taken is the provision of affordable credit to farmers. For instance, by the end of last year, a total of 25,000 farmers were awarded loans totalling over Kshs3 billion under the Seasonal Loan Credit Scheme. A further Kshs2 billion was disbursed under the Enterprise Loans Scheme. Mr. Speaker, Sir, a new Government initiative that is geared towards eradicating hunger and raising farm level productivity is the National Accelerated Agriculture Input Programme (NAAFAP). This programme has already yielded positive results leading to 36,000 farmers getting inputs in the form of fertiliser and seed. These farmers, and this is a good success story, have subsequently managed to increase their maize production sevenfold from producing four bags per acre to 30 bags per acre and substantially improving household food security. In 2008/2009, the Government will further expand the programme to target an extra 29,000 farmers and bring the total to 65,000 farmers. In addition the Government has and will continue to strengthen the capacity of the agricultural extension services by employing extra technical staff and providing them with transport and other facilities so that they can reach more farmers. In this regard, I have allocated an extra Kshs744 million for agricultural extension services and research. The Ministry of Agriculture has initiated a process of making fertiliser available to farmers at affordable prices. The Kenya Seed Company will further make seeds accessible to farmers at reasonable prices. To improve the welfare of the rural farmers, the Government in collaboration with local authorities will expand the wholesale fresh produce marketing infrastructure in Nairobi, as I said earlier, Mombasa, Kisumu and other major urban centres. In the medium-term, wholesale and retail markets will be established in all district headquarters countrywide to further promote business and encourage growth of agriculture. Mr. Speaker, Sir, the arid and semi-arid region (ASAL) has lagged behind in development since independence despite its potential in such areas as agriculture, fisheries, livestock, mining, energy sources and tourism. These piecemeal approaches to ASAL development have contributed to increased poverty and insecurity, high dependency on relief, deterioration of infrastructure and inadequate social services in the region. Mr. Speaker, Sir, demonstrating the resolve of this Coalition Government to address the unique challenges of the northern part of our country, the Ministry of Development of Northern Kenya and Other Arid Lands has been established as a first step towards mainstreaming the aspiration of the people of that region into a national development agenda. In going forward, we have identified a number of interventions which will be implemented to improve the living conditions of the ASAL areas. These interventions which will be executed by the respective Ministries but co-ordinated by the Ministry of Development of Northern Kenya and Other Arid Lands include rehabilitation and construction of roads, expanding the supply of clean drinking water, establishing abattoirs and mini-tanneries, school feeding programmes, rural electrification and livestock support through mobile extension services. In the year 2008/2009, Kshs2.4 billion has been allocated under the respective Ministries to finance these critical programmes within Northern Kenya. In addition to the funds that I have allocated under the various boards, this Budget allocates a further Kshs900 million towards the various projects in Northern Kenya and Kshs900 million towards the construction of the Garissa-Garsen- Hola Road that I talked about and another Kshs200 million for the improvement of Marsabit and Maralal water supplies. We are in the process of also identifying and negotiating funding for other programmes within that area. We June 12, 2008 PARLIAMENTARY DEBATES 1149 will come to you when that comes to a point where it can be committed. Mr. Speaker, Sir, touching on promoting development of affordable housing especially for the urban poor; most of the urban poor cannot afford descent housing due to high cost of housing in our urban areas. In order to facilitate faster development of affordable housing in Kenya, the Government will introduce in this House the Housing Bill and the Landlord and Tenant Bill. We are also committed to making housing accessible and affordable to Kenyans. In this regard, the Government, in collaboration with private sector players, will over the medium term construct about 200,000 low cost housing units annually using appropriate building technologies. The allocation of Kshs350 million in this Budget for the construction of low cost housing using appropriate technology, from the Government's perspective, demonstrates the importance this Government attaches to the welfare of its low income urban citizens. I have also allocated an additional Kshs500 million for the installation of physical and social infrastructure in the slums in 20 urban areas spread throughout the country. Effort will also be made through the local authorities to expand access to low cost affordable housing countrywide in order to allow Kenyans to own their own houses. On measures to expand the access to water and promoting the use of irrigation, we have in the past, grossly underutilised our irrigation potential and we need to address this to bring to an end the frequent food shortages and reduce pressure on food prices. The Government will, therefore, put additional investment in small holder and large irrigation schemes and systems, to measurably increase the amount of land under irrigation and expand agricultural output. To this end, we have set aside Kshs1 billion to start the development of multi-purpose water dams which I have said will also be constructed by our National Youth Service so that we achieve the twin objective of utilising our youth and also enhancing our water capacity. The Government will also, in the course of the year, table for debate the National Water Harvesting and Storage Policy to facilitate harnessing and harvesting of flood waters as well as the National Shared Water Resource Policy to promote equitable development of water resources nationally. Mr. Speaker, Sir, water shortage in urban areas and rural households is an issue of great concern and the Government remains fully committed to making water accessible to Kenyans. We will embark on an ambitious programme aimed at lifting water off the women's backs into the pipes countrywide, to facilitate access to clean drinking water."
}