Forum > Kenya Discussion
A economic avalanche is coming
patel:
Nikubaya...businesses slowly grinding to a halt soon the bottom will fall out. All eyes on the dollar.
hk:
--- Quote from: gout on September 30, 2017, 12:33:42 PM ---'Emerging priorities' with shrinking revenues. Austerity and capitalism do not mix.
--- Quote ---“Given that the economy has not generated new resources to finance the emerging needs, we are proposing to re-organise the planned expenditures for the financial year”.
In the brief dated September 25, he has also asked accounting officers to reduce their spending in a series of austerity measures on 13 areas.
For instance, budgets for domestic travel and subsistence costs have been reduced by 20 percent while all others, such as routine maintenance, purchase of vehicles, training, hospitality, advertising and several others have been slashed by 75 percent.
--- End quote ---
http://www.nation.co.ke/news/Stalemate-over-fresh-poll-takes-toll-on-businesses/1056-4118168-format-xhtml-paqfdfz/index.html
--- End quote ---
Cutting out waste and running a lean system is good a thing. This should have been the norm, there's so much waste in government that need to be cut out. This if done properly as a private struggling company would, it could yield huge savings reducing need for debt and high taxation. It'd be interesting to find out what percentage of development funds was utilized in last yr budget and how much is lying idle, yet every week treasury is going to the market to raise debt.
hk:
--- Quote from: Parkerpen on October 03, 2017, 06:17:51 PM ---How come counties did not get their allotment?
Govt should run even though elections are going on.
--- End quote ---
It's a supplementary budget, meaning additional funds that were not earlier allocated.
hk:
--- Quote from: patel on October 03, 2017, 06:58:04 PM ---Nikubaya...businesses slowly grinding to a halt soon the bottom will fall out. All eyes on the dollar.
--- End quote ---
CBK has $7.5b reserve http://www.businessdailyafrica.com/markets/news/Forex-reserve-rises-above-five-months-of-import-cover/3815534-4101474-pkpmbk/index.html and increasing. Because with economic slowdown it means even imports have reduced which is leading to increased dollar reserve thus buttressing the shilling.
Georgesoros:
--- Quote from: hk on October 03, 2017, 07:56:43 PM ---
--- Quote from: Parkerpen on October 03, 2017, 06:17:51 PM ---How come counties did not get their allotment?
Govt should run even though elections are going on.
--- End quote ---
It's a supplementary budget, meaning additional funds that were not earlier allocated.
--- End quote ---
Am not sure I agree with the way central govt just dishes out money on the hope that counties will use the money well. Most counties have not even come up with plans for basic instructor - water. Instead they are busy buying the biggest SUVs. Central should come up with partnerships where they can contribute 50% to a project if the county can raise another 50%. You'll see more projects coming up if they use their model. AM sure Uhuru or Ruto do not have any idea of such.
The idea of borrowing money and throwing it at counties will never work as long as most of these MCAs have no experience running anything.
Navigation
[0] Message Index
[#] Next page
[*] Previous page
Go to full version