Entry Instance

HTTP 200 OK
Allow: GET, PUT, PATCH, DELETE, HEAD, OPTIONS
Content-Type: application/json
Vary: Accept

{
    "id": 654004,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/654004/?format=api",
    "text_counter": 376,
    "type": "speech",
    "speaker_name": "Hon. Mulu",
    "speaker_title": "",
    "speaker": {
        "id": 1955,
        "legal_name": "Benson Makali Mulu",
        "slug": "benson-makali-mulu"
    },
    "content": "you go beyond 10 per cent, you need to explain. When you look at the Supplementary Estimates, we have gone beyond 10 per cent in so many areas in terms of adjustment. If you are serious in Budget matters, then we need to have many times items going beyond 10 per cent. As we move forward, this House must be firm in terms of laws where these items are increasing year by year. In the Supplementary Estimates, we have new programmes. It does not make any sense for new programmes to be introduced in the Supplementary Budget. You can easily introduce a new programme in the normal budgeting process. As we debate this today, we have about two months to the close of the year. I wonder why we are introducing new programmes at this time in the budgeting process when we do not have time to plan and implement. By the time we approve this Supplementary Budget, there will be no time for implementation of a new programme. In my view, we should not have new programmes in the Supplementary Budget. Ministries should plan for new programmes in the current Budget. We are already making the Budget for the 2016/2017 Financial Year and very soon, we will get the itemised Budget. They can include these new programmes in the Budget, so that we do not legislate in vain. For us to be effective in discussing Supplementary Budgets, we need to understand Budget performance. Last year in June, we approved a Budget and it would have made sense that when we are amending it, the House is given the performance of those particular outputs. When you say that you are amending this, then we can see you want to achieve 100 per cent. Maybe you have achieved 90 per cent and the remaining 10 per cent is achievable. Therefore, we can give you more resources. It would also make sense when you have only achieved 10 per cent and you tell the House to reduce the targets so that you can be realistic in terms of planning. That information is missing. The Executive is not helping this House in terms of information for us to budget effectively. We also have the overambitious micro-economic framework. Every time we are budgeting, a lot of assumptions are made in terms of our micro-economic environment, inflation rate, economic growth, employment rates and balance of payments. When you do an overambitious micro-economic framework, then your Budget is not founded on a firm foundation. That is why you will always adjust your Budget. The National Treasury has challenges in that area and most time they present their figures here, they are exaggerated. There could be a reason for that, but as long as you do not get it right, you will keep on adjusting. I will not be surprised if we get Supplementary Estimates II in a month’s time. This is a clear indicator that there are things that are being overlooked in the micro-economic framework. We also have the issue of public debt. Looking at the Supplementary Estimates, we have gone beyond the target in interest payment. In my view, this is a clear indicator that something is not right. If you read the Report of the Controller of Budget, you realise that we spend about Kshs200 billion to pay interest for public debt yet we keep on saying that we are within the internationally allowed public debt indicator. We need to be careful. We should avoid intergenerational balance. We are going to overburden our future generations to a level that by the time a kid is born in this country, it will be indebted to a level you cannot manage. As parents who expect to have grandchildren and great grandchildren, we will be playing with them if we do not control the public debt. This country is going to be indebted to a level that we will have to plead for debt write offs which are not common these days. On the Equalisation Fund, issues keep coming up. We are now in the fourth year and we keep allocating money which is not used. Why would we put money in the Budget, which is not 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."
}