Budgeting for the nation [Kenya]

Budgeting for the nation [Kenya]

First report from the Kenyan IEAs Budget Information Programme (BIP)

Looks at Kenya's budget practice and process and the new budgeting approach, the Medium Term Expenditure Framework (MTEF).

Finds that:

  • as an instrument for stimulating or inducing growth Kenya's budgetary process has been a serious failure
  • this is due to the inappropriate institutional and legal arrangements that govern the process
  • at all stages of the budgeting - formulation, enactment, implementation and monitoring serious loop-holes exist

The MTEF attempts to integrate the processes of budgeting, policy and planning. It outlines:

    priorities for allocation of public resources
  • measures for the most effective implementation of policies and expenditure programmes

The paper concludes that for the MTEF to work it requires committed will to ensure that policy priorities are not adjusted to political interests. It also needs strong management to ensure stated priorities are not distorted and enhanced revenue collection to avoid shortfalls.

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