NAIROBI– Kenyan President William Somoei Ruto has ordered significant cuts in the federal budget along with other government reforms to pay off a crushing debt burden in a move seen as a concession to popular disapproval of a tax bill that sparked violent protests.
Following weeks of protests during which dozens of people reportedly were killed, Ruto withdrew a finance bill intended to raise US 2.7 billion dollars most of it from tax increases to pay off debt.
President Ruto has instead offered a compromise in a plan is to cut US 1.39 billion dollars from the budget and borrow the difference and in order to make it work, he said that his government will eliminate 47 State Corporations with overlapping or duplicative functions and reduce by 50% the number of government advisors, among many other actions.
Ruto also said that filling the positions of chief administrative secretaries is suspended, and government funds will not be used for the operations of the offices of the First lady, the spouse of the Deputy president and the Prime Cabinet Secretary.
He also disclosed that public servants who attain retirement age of 60 years shall be required to immediately proceed on retirement with no extensions and government purchase of new motor vehicles is suspended for 12 months, except for security agencies, and all nonessential travel by state and public officers is suspended.
Meanwhile President Ruto has formed an independent taskforce to carry out a comprehensive audit of the country’s public debt.
The President, addressing the nation today, noted that the taskforce will be required to provide a detailed report within the next three months.
He explained that the report would be critical in providing transparent information to the public and assess how public resources have been spent over time.
The President said he has appointed an independent taskforce to carry out comprehensive, forensic audit of our public debt and report to him in the next three months
He said that this audit will provide people with clarity on the nature of our debt, how public resources have been spent and proposal for managing our resources in a sustainable manner that does not burden future generations.
Additional Repoting from VOA Africa
