This archive report was first published on 26 September 2019.
On September 26, 2019, the National Treasury announced measures to cut non-essential spending as taxes trailed targets.
Acting National Treasury Secretary Ukur Yatani directed state officials to use internet calls and forgo benchmarking trips in a memo to all cabinet secretaries and accounting officers.
The measures aimed at improving spending discipline among state officers would be extended to counties, with a focus on reducing unnecessary expenses such as travel, entertainment, training, publicity, office rent, and car fuel bills.
These expenses cost taxpayers Sh46.6 billion in the year to June 2019, a 54.2 per cent increase from Sh30.2 billion in the previous financial year, and up from Sh17.8 billion in 2013.
Mr Yatani stated that the move would help contain expenditure pressures and already high levels of borrowing given the under-performance of tax revenue.
“The expenditure control measures outlined in this circular are aimed at enhancing prudent financial management by ensuring that we live within our means, create savings for the much-needed service delivery, and foster fiscal responsibility,” read Mr Yatani’s memo in part.
He also directed that the budget for buying newspapers be cut to one quarter of the current budget and airtime given to staff be trimmed by 30 per cent to encourage the use of cheaper internet calls.
Ministries have been directed to stop using newspapers to market their activities and instead use their websites.
Purchasing of office furniture will also be trimmed by 75 per cent for the next three years.
Mr Yatani further directed that all government-sponsored trainings be conducted locally and delegation for foreign travel led by cabinet secretaries be capped at four people.
All domestic air travel will now be on economy class, and all benchmarking and study tours have been suspended until further notice.
Officers using public vehicles for own trips, especially over the weekend, also face penalties.
