Margaret Nyakang’o, the Controller of Budget (CoB), has declared the current budget creation process to be unconstitutional. During her appearance before the Constitution Implementation Oversight Committee (CIOC), led by Githunguri MP Gathoni Wamuchomba, Nyakang’o stated that her office is not responsible for rectifying any legal discrepancies.
The committee expressed concerns that the budgeting practices in Kenya may not align with constitutional requirements, particularly referencing Article 221, which demands transparency in both revenue and expenditure estimates.
Nyakang’o pointed out, “My office has identified flaws in the budget-making process, specifically the lack of clear presentation of revenue estimates. The Constitution stipulates that both revenue and expenditure figures must be submitted to Parliament; hence, it is unconstitutional to present one without the other.”
Wamuchomba expressed disappointment that Members of Parliament have been participating in an unconstitutional budgeting framework. “We are only being presented with expenditure details, but where are the revenue estimates? This departure from constitutional protocol is intolerable,” she asserted.
Furthermore, the committee expressed concerns regarding the status of independent offices and constitutional commissions. Wamuchomba noted, “Despite their constitutional duties, many of these institutions, such as the Ethics and Anti-Corruption Commission (EACC) and the National Gender and Equality Commission (NGEC), are grappling with severe financial constraints.” She added that only three independent entities—the Judiciary, the Public Service Commission (PSC), and the Teachers Service Commission (TSC)—have seen increases in their budgets, while other critical oversight bodies have experienced cuts.
Nyakang’o also highlighted a significant shortfall in the Pension Fund, amounting to Sh23.47 billion, partially due to rising public debt. “We cannot afford to underfund pensions. The growing public debt is impacting beneficiaries’ entitlements, yet my office lacks the authority to address or correct this issue,” she explained.
A primary concern raised by the committee was the CoB’s lack of enforcement authority. Nyakang’o noted the office’s limited oversight capabilities regarding various budgetary aspects, such as grants and revenues, which she identified as a significant limitation. “We are restricted from reporting on numerous budget components, including economic development, grants, and loans. It is imperative that Section 94 of the CoB Act undergoes revision,” she asserted.
