Hello and welcome to the Evening Brief Newsletter where popcorns are sizzling over UDA drama.
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Govt Gotta Bow
Roughly two weeks ago, the National treasury awakened the collective Kenyans' anger after releasing the Finance Bill 2024, laden with new taxes and levies while writing off several crucial services.
After a weeklong introspective, however, the National Assembly Budget and Appropriations Committee chaired by Ndindi Nyoro has clawed back several proposals in an effort to soften the public's blow.
First off, he explained that the proposal downgraded the expenditure to curb the government's appetite for foreign loans, successfully hiving nearly Ksh200 billion.
What Nyoro is Saying: "The reason we downgraded the budget in terms of expenditure, is because we also want to rationalise the amount of money we are anticipating to borrow as a country. At the budget policy statement level. the country was looking forward to borrowing around Ksh700 million. In this estimate, we have brought down that deficit to around Ksh514 billion.
Here are four changes the committee reversed after uproars and intense discussions;
School feeding programme: In mid-May, the Treasury was under attack after the bill proposed scrapping the school feeding programme under the stewardship of the National Council for Nomadic Education in Kenya (NACONEK).
The Budgets Committee, however, has confirmed that the programme will be back in session and allocated Ksh3 billion in its first phase and the strengthening of suppliers in the sector.
"I want to assure Kenyans that we have already considered so far the money that will be going to NACONEK to advance the course of school-going children in the areas where they need support in terms of food. Therefore, the school feeding programmes are there. We have provided for the money and it will continue uninterrupted," he explained.
JSS Interns: For weeks, interns serving under the Junior Secondary School (JSS) teachers had taken to the streets accusing the state of failing to employ them on permanent and pensionable terms.
Teacher unions argued that the interns topped 46,000 and demanded employment for all of them and an upgrade of their salaries from their measly Ksh17,000.
Nyoro confirmed that the committee in consultation had reached an agreement and allocated billions toward employment.
"The Budget and Appropriations Committee, again consulting with the relevant departments, have provided resources for the confirmation of JSS interns into permanent and pensionable terms. We do these because they have already done a great job so far," he stated.
It is still being determined whether all the teachers will be absorbed. Kenyans.co.ke earlier reported that a tentative agreement would employ only 26,000.
Devolution: For the better part of the year, the Council of Governors locked heads with the state with the former demanding allocation to counties to top Ksh400 billion while the latter decried a trimmed-down national basket.
Nyoro confirmed that after intense negotiations, the money was topped to Ksh400.1 billion and will be expected to enrich devolved healthcare, Agriculture, and ECDE among other sectors.
"We have been able to hold mediation processes and concluded yesterday and this committee, the President as well as all the agencies involved, we have come to a conclusion that we all must support devolution. We have made major changes in the division of the revenue bill and have added the equitable share from the previous Ksh375 billion into the current figure which will be proposed for approval. The figure will be Ksh400.1 billion," he stated.
Council of Governors Chairperson Anne Waiguru celebrated the feat hinting that COG was happy with the discussions.
SHIF: As the state plans to roll out the Social Health Insurance Fund (SHIF), replacing NHIF, the Committee noted that it is seeking to boost the health funds with an extra Ksh25 billion.
The proposal is likely to boost the estimated national expenditure. Nyoro, however, argued that healthcare was too important and warranted the excesses.
Other funding will be directed toward the Higher Education Loans Board and public universities.
"The proposal before us from the National Treasury has been Ksh3.14 trillion. After looking at the gaps we need to bridge, this committee will decide on adding some extra money to our expenditure.
The resources including universities for HELB and infrastructure, school feeding programme, SHIF (seed funds will get more than Ksh25 billion) will receive extra funding," he explained.
Catch Up Quick: Manufacturing and business sectors are, however, still upset believing that the bill will fend off foreign investors and shoot prices of food upwards. Cooking oil is expected to increase by 80 per cent
Gachagua is a Big Boy
Over the past week, Deputy President Rigathi Gachagua refused to entertain political attacks with claws aimed at political frenemies and the media
Today, the DP penned a strongly worded letter to the Media Council of Kenya demanding an apology from Daily Nation over a critical story of him angling to take charge in a new party. Gachagua was elected under UDA headed by his boss William Ruto.
The Demand: "This one-sided false and concocted story is laced with innuendos and malice... To associate His Excellency the Deputy President with another political party, especially one with questionable association can only have been done in bad faith, with the sole intention of undermining His Excellency's role as the Deputy Party Leader of the United Democratic Alliance (UDA) Party."
"The article also clearly violates the tenets of professional journalism that demand objectivity, balance, and fairness. In this regard, we demand a retraction of this fabricated article and an apology with the same prominence."
Keeping UDA Members in Check: Over the weekend, the DP unleashed veiled attacks on allies of President William Ruto, including Kapseret MP Oscar Sudi, whom he accused of meddling in Mt Kenya politics and ill-advising the Head of State.
"There are politicians from Rift Valley who have partnered with others in the Mt Kenya region and have decided to plan 2027 politics. Why do you want to succeed the president while he is still alive? We are good people, so the problem is a few leaders from this region (Rift Valley) who are ill-advising the President on Mt Kenya politics," he stated.
Sudi fired back telling the DP not to censure his trips across the country and defended his wealth allowing him to traverse the country as well as without, including making wealth in Tanzania.
UDA wrangles: On Tuesday, the fallout transcended UDA management forcing its SG Cleaophas Malala to order several politicians within the party including Sudi to cease their attacks against Gachagua or have disciplinary action taken against them. Among those censured were Sudi and Nyeri Governor Mutahi Kahiga.
He also issued a warning to Cabinet Secretaries Kipchumba Murkomen of Transport, Moses Kuria of Public Service, and Aisha Jumwa of Gender directing them to cease political activity per the law.
"We must uphold the values and principles that guide our party to ensure that we deliver on our promises to the Kenyan people," he stated.
Not Having It: Sudi, however, dismissed Malala arguing that he was not qualified to be the Secretary General of President William Ruto's party. “Elevated MCA suffering from illusory superiority, thinking he matches Raphael Tuju's caliber," stated Sudi.
Kahiga, who was also a subject of the censure, fired back claiming that Malala was unfit to hold the position and must be removed in the next party elections.
"We have come from an era of being gagged and threatened for speaking our minds. UDA was never built on such tenets and the earlier our ANC acting SG in UDA understood that, the better for him. I have reviewed my statement many times and given the same circumstances, I would say exactly what I said then and say it in the same way," he stated.
Here are five other stories we are keeping tabs on for you.
- A vegetable oil manufacturer tells Parliament that he might shut down his company over a harsh business environment.
- President William Ruto gets candid on how his meeting with Mohamed Hamdan Dagalo, generally known as Hemedti, almost collapsed the Sudan peace talks.
- Kenyan top export; A 2016 viral video of a man who hangs on a chopper makes waves in Indian politics.
- Education Ministry revises the dates students across pre-primary, primary, and secondary schools will break for the second term's half term.
- The Transitional Presidential Council in Haiti has selected former Prime Minister Garry Conille to be the interim Prime Minister ahead of Kenyan police deployment in a few weeks.
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This newsletter was written by Derrick Kubasu and edited by Brian Muuo.
Washington Mito contributed to the content.
Graphics prepared by Adongo Kyalo.
