Teachers, doctors, MPs big winners in proposed budget

Business
By Josphat Thiong’o | Jun 06, 2024
KMPDU Secretary General Davji Atellah (left)  signs a return-to-work formula at the KICC, Nairobi, on May 8, 2024, effectively ending a 56-day nationwide strike. [Boniface Okendo, Standard]

Medical interns have a reason to smile after they were allocated Sh3.7 billion by Parliament to facilitate their deployment to hospitals.

According to the proposed Sh3.9 trillion 2024/2025 financial year Budget Estimates, the Health sector was among the winners with an allocation of Sh126.8 billion. Out of this, Sh3.7 billion is meant for deployment of medical interns to hospitals while a further Sh2.5 billion will be for community health promoters to support preventive healthcare.

The funds were allocated for deployment of medical interns to hospitals after the the doctor’s union, signed a return-to-work agreement with the government, following 8-week strike that paralysed healthcare services in the country.

The doctors went on strike to protest the decision by the government to reduce the medical interns pay from Sh200,000 to Sh70,000 and delayed deployment to hospitals.

Other allocations under the health vote are Sh3.7 billion to the Linda Mama programme and equipping of various hospitals and Kenya Medical Training Colleges (KMTC). This also included an allocation to the recently established primary health care fund and emergency and critical illness fund.

Parliamentary staff hired by MPs are also set to benefit in the proposed budget that is still under consideration after the Budget and Appropriations Committee recommended, they get a salary increment of 10 per cent.

Committee chairperson Ndindi Nyoro noted that the last salary review for  Parliamentary staff was in 2016.

“Many people take Parliament to mean MPs, we assume that the only people here are the elected leaders. There are also those employed here. We should note that parliamentary staff have not had salary increment since 2016, the constituency offices employees have also not had an increase of salaries. In this budget we are proposing additional resources of 10 per cent for both,” said Nyoro.  

MPs are also big winners after the committee recommended increased allocation of the National Government Constituency Development Funds (NG-CDF) from the current Sh40 billion to Sh62.9 billion while the National Government Affirmative Action Fund (NGAAF) has been increased by Sh500 million.

Other highlights include a Sh14.5 billion allocation towards electricity connectivity which will see each constituency receive Sh20 million towards the project.

“To ensure the last mile connectivity, I propose that each constituency receives these funds. Equitable power distribution will not only promote economic growth but the additional funds will help cover especially rural areas,” said Nyoro.

A sectoral approach to the budget estimates further reveals that the Educational sector received the lion’s share of this year's proposed budget which amounts to Sh654 billion (34.8 per cent of the entire budget) to be channelled towards capitation, infrastructure and staffing in schools.

The Teachers Service Commission (TSC) has allocated Sh351 billion for teacher resource management, the Free Day Secondary programme (Sh63.8 billion) and Junior Secondary School capitation (Sh30.6 billion). Loans for university and TVET students have been allocated Sh55 billion.

Further, Sh3 billion meant for the School Feeding Programme under the National Council for Nomadic Education in Kenya (NACONEK) was also reinstated.

The committee also proposed budgetary increments within the Education sector such as Sh6 billion for Public Universities to support continuing students under the old funding model of Differentiated Unit Cost (DUC) and an increase of Sh3 billion (Recurrent) for Higher Education Loans Board.

The committee also proposed increase of Sh1 billion (Development) for universities infrastructure as well as an increase of Sh500 million (Recurrent) funding for government sponsored students in private universities.

“The budget is aimed at economic turnaround in view of prevailing macroeconomic challenges. Key interventions include lowering the cost of living, creating employment opportunities, enhancing food security, improving the fiscal space, increasing foreign exchange earnings and promoting inclusive growth,” reads the budget estimates in part.

On the flip-side, MPs have proposed budget cuts under the university education vote and Technical Vocational Education and Training.

The Nyoro-led team wants a reduction of Sh 5.2 billion from Universities Funding Board meant for students joining university in September 2024, reduction of Sh90 million from TVET infrastructure support, reduction of Sh40 million from the Commission for University Education and Sh200 million from the Open University of Kenya.

They also want Sh130 million allocated for construction of 16  Technical Training Institutions (TTIs) reduced.

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