Friday, April 15, 2016

MPs cutback on foreign trips saves taxpayers Sh294 million

Corporate News
The National Assembly chamber. MPs are expected to debate the Budget Policy Statement next week. PHOTO | FILE
The National Assembly chamber. Members of Parliament made a 17-fold cut on foreign trip spending in the six months to December, an unexpected move that saved the taxpayer a whopping Sh294 million. FILE 
By NEVILLE OTUKI, notuki@ke.nationmedia.com
In Summary
  • Foreign travel by senior government officials has recently sparked uproar among Kenyans who feel the expenses have not resulted in corresponding socio-economic benefits.
  • The lawmakers’ total pay shrunk to Sh3.9 billion from Sh5.1 billion while vehicle expenses reduced to Sh2 million, down from Sh19.2 million.
    Hospitality expenses dropped by Sh22 million to Sh104 million.

Members of Parliament made a 17-fold cut on foreign trip spending in the six months to December, an unexpected move that saved the taxpayer a whopping Sh294 million.
The Controller of Budget report shows that MPs spent only Sh18.3 million on travelling between last July and December, down from Sh313 million in a similar period a year earlier.
The report did not indicate the reason for the cutback on travel expenditure.
But MPs domestic travel remained unchanged in the review period at Sh1 billion.
The 349 MPs have in the past pushed for higher pay and perks, making them among the best paid lawmakers in the world.
This huge cash appetite has portrayed them as greedy in a country struggling with biting unemployment and poverty.
Travel is one of the perks that the lawmakers enjoy with some of them drawing in excess of Sh1 million in monthly mileage allowances, depending on the location of their constituency.
MPs are entitled to hefty monthly salaries and perks running into millions of shillings paid for by taxpayers.
The drop in the travel spend comes as the Treasury moves to implement austerity policy in public offices to free up cash for development and provision of basic services such as security, health and education.
Sparked uproar
Foreign travel by senior government officials has recently sparked uproar among Kenyans who feel the expenses have not resulted in corresponding socio-economic benefits. The overall expenditure by MPs in the six months to December dropped to Sh5.9 billion from Sh8.3 billion, or a Sh2.4 billion cutback, the Controller of Budget report shows.
The lawmakers’ total pay shrunk to Sh3.9 billion from Sh5.1 billion while vehicle expenses reduced to Sh2 million, down from Sh19.2 million.
Hospitality expenses dropped by Sh22 million to Sh104 million.
Treasury secretary Henry Rotich last November announced new austerity measures, involving deep cuts on non-essential budget items like travel, motor vehicle maintenance and conferencing.
This is expected to save taxpayers of billions of shilling a year and ease pressure on public coffers amid revenue shortfalls.
“I have suspended benchmarking tours, at both national and county governments and expect domestic travel to be rationalised,” Mr Rotich had said.
Principal Secretaries and chief executives of State corporations are also required to seek permission from relevant Cabinet secretaries and a formal approval by President Uhuru Kenyatta’s chief of staff Joseph Kinyua to travel abroad.
notuki@ke.nationmedia.com

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