State House, the official residence of President William Ruto, has overshot its budget for the half-year ending December by Sh447 million, contradicting the austerity measures announced by the Ruto administration.
Expenditures at State House totalled nearly Sh5.37 billion during the six-month period, exceeding the target of Sh4.92 billion set by the Treasury's budgetary review report.
The majority of this overspending, accounting for 92.39 per cent, went towards recurrent bills such as maintenance, administration, and employee compensation.
State House's spending on running costs alone reached Sh4.68 billion between July and December, surpassing the allocated budget by Sh420 million.
Additionally, expenditure on development programs exceeded the budget by 5.19 per cent, amounting to Sh689 million.
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According to the Budget Review and Outlook Paper for the current fiscal year, the expenditures need to be maintained at appropriate levels.
In order to maintain the primary balance consistent with the fiscal consolidation path, expenditures have to be maintained at the levels approved in printed estimates,β document stated.
βIn this respect, additional spending pressures will be accommodated within the approved ceilings, that is reallocation possibilities, except those of the security and education sectors.β
Despite the Treasury's emphasis on maintaining approved expenditure levels to support fiscal consolidation, the State House received an additional Sh2.53 billion in the supplementary budget last year.
This additional funding raised the full-year budget for State House affairs to Sh9.84 billion, distinct from the Executive Office of the President, which manages operations at Harambee House.
The overspending at the State House comes at a crucial time when Kenya is implementing fiscal austerity measures, primarily through increased taxation.
The government aims to reduce the budget deficit from 5.6 per cent of GDP in the previous financial year to 4.4 per cent in the current one, and further to 3.9 per cent in the subsequent year.
As the State House grapples with expenditure challenges, maintaining fiscal discipline and adhering to approved budgets remain imperative for the effective management of public resources.