The treasury will start disbursing the Ksh44.8 billion National Government Constituency Development Fund (NG-CDF) in weekly batches of Ksh2 billion from Friday, December 9, in total defiance of an existing court ruling that outlawed the kitty.
In a new twist, the Treasury Cabinet Secretary, Njuguna Ndung’u, reportedly sought the opinion and interpretation of the Supreme Court ruling from the new Attorney General, Justin Muturi, who advised him to release the cash.
On Thursday, December 1, the Treasury CS wrote to Parliament, updating it on the major developments.
The NG-CDF kitty has been at the centre of heated debate in the August house, with MPs putting aside their political differences to support its continuity.
“I wish to bring to your attention the fact that I have received a statement from the CS Treasury regarding the effect of the Supreme Court’s decision on the matter of the NG-CDF Act and the accrued liabilities of the Constituency Development Fund (CDF) and NG-CDF,” stated the Speaker of the National Assembly Moses Wetangula.
In the AG’s opinion on the kitty to the treasury, the fund technically remains in force as the ruling affects the CDF Act 2013 and not the NG-CDF Act 2015.
“Based on the foregoing guidance, the Attorney General has therefore advised that the NG-CDF Act of 2015 technically remains in force until the express declaration is formally made by the High Court,” Wetangula stated.
“A declaration is hereby made that the Constituency Development Fund Act, 2013 is unconstitutional,” a section of the verdict from the five-judge bench read.
The lawmakers are fighting to increase the NG-CDF allocation by at least five per cent of total government revenue, pushing it to Ksh88 billion in a year.
Currently, the law allocates CDF 2.5 per cent of the total national revenue.
President William Ruto had urged MPs and senators to protect the CDF kitty and establish another fund to allow them oversight monies sent to counties.
“I believe there is a way NG-CDF can be aligned to the tenets of the Constitution,” the President said in his inaugural address to Parliament.
On December 1, Ugunja MP, Opiyo Wandayi, claimed that almost 90 per cent of lawmakers would lose their seats if the NG-CDF kitty was to be scrapped.
Wandayi, the leader of the minority, claimed that CDF was one of the aspects they rode on during campaigns.
In September 2021, the Supreme Court illegalised the CDF Act 2013, barring the treasury from releasing the monies.
MPs, however, voted to maintain the NG-CDF in a new formula, further prolonging the 9-year-old court tussle between the August house and various civil society groups.
