The 47 counties are owed 31.45 billion in January 2023 and Sh31.45 billion for February. The counties have also not received disbursements amounting to Sh29.6 billion for March, Governor Barasa told the Nation.
There is no development taking place and critical dockets like agriculture, health and education have been hurt, the county boss said.
The Nation learnt that in some counties, early childhood development education teachers and health workers are yet to receive their pay for up to two months, demoralising many.
The affected counties include Tharaka-Nithi, Kirinyaga, Nyandarua, Marsabit, Muranga, Laikipia, Kakamega, Bungoma, Busia, Vihiga, Nyamira, Kisii and Kisumu.
Sioni any other way around the economy where according to Kroll report, Gideon Moi had traceable wealth of up to 50 billion while the national budget was a mere 260 billion. That was 20 years ago!
When I talked about Industrialization I was told to read the Manifesto ..Yes the plan talk about state capture including an inquiry..we need it.We cannot industrialize just because you want
According to Pundit and the technocrats Kenyas economy would be turned around by confiscating Uhurus moneys.
Well here we are ..
?s=20KRA says the adjusted Value Adde Tax revenue target for FY2022/23 is Kes 330.0 billion. KRA says February 2023 VAT collections registered 100.3% performance pic.twitter.com/edWDtmJziS
— Julians Amboko (@AmbokoJH) March 7, 2023
Even if all the dynasties money were confiscated it wouldn't dent Kenya's economic problems. Besides it would take years if ever. Kenya is running budget deficit of $10b annually, our problem are recurrent expenditure and spending. overborrowing is caused by spending and bloated government. The solution would have been big bang economic approach ; deregulate, cut spending, privatize and cut taxes. We're only delaying the inevitable. Otherwise kenya economic growth will range between 4% to 6% depending on the weather and that's not enough to reduce poverty.
?s=20๐๐ฐ๐๐ง๐ ๐จ ๐๐จ๐ฎ๐ง๐๐ฎ๐ฉ ๐จ๐ ๐๐จ๐ฉ ๐๐ฎ๐ฌ๐ข๐ง๐๐ฌ๐ฌ ๐๐จ๐ง๐ญ๐๐ง๐ญ [๐๐ญ๐ก ๐๐ฉ๐ซ๐ข๐ฅ]:
— Mwango Capital (@MwangoCapital) April 6, 2023
1. The government's latest issue of a 10-Year treasury Bond was massively undersubscribed, registering a performance rate of only 17.85%:
Here is some perspective on why from @Sang252:โฆ pic.twitter.com/WeTMcOOWpc
Even if all the dynasties money were confiscated it wouldn't dent Kenya's economic problems. Besides it would take years if ever. Kenya is running budget deficit of $10b annually, our problem are recurrent expenditure and spending. overborrowing is caused by spending and bloated government. The solution would have been big bang economic approach ; deregulate, cut spending, privatize and cut taxes. We're only delaying the inevitable. Otherwise kenya economic growth will range between 4% to 6% depending on the weather and that's not enough to reduce poverty.
The solution would have been big bang economic approach ; deregulate, cut spending, privatize and cut taxes
Recurrent expenditure, which largely includes civil servants wages, usually gobbles up a significant amount of the revenue collected by the government monthly.
For instance, the Government of Kenya collected Sh1.83 trillion between July 1, 2022 and February 28, 2023. Out of this, Sh727 billion (40 per cent) was used on recurrent expenditure and Sh694 billion (38 per cent) on public debt.
Even if all the dynasties money were confiscated it wouldn't dent Kenya's economic problems. Besides it would take years if ever. Kenya is running budget deficit of $10b annually, our problem are recurrent expenditure and spending. overborrowing is caused by spending and bloated government. The solution would have been big bang economic approach ; deregulate, cut spending, privatize and cut taxes. We're only delaying the inevitable. Otherwise kenya economic growth will range between 4% to 6% depending on the weather and that's not enough to reduce poverty.
?s=20Cheap propaganda. We've been paid pic.twitter.com/ihdIdHcQAi
— Dr Boni Khalwale, CBS (@DrBKhalwale) April 6, 2023
The quasi-judicial state capture commission was to quicken the pace of slow moving EACC, ARA, courts, police.The Chinese have collateral for their loans e.g mombasa port, large scale farming would entail serious capital investment to recover their loans. And Northlands isn't even worth $1b as it is, for it be worth $5b a substantial construction investment is needed. Also kenya just doesn't have enough earners who can afford northland houses, so this is a longterm project e.g https://nation.africa/kenya/business/erdemann-s-sh7bn-2-720-house-plan-stalls-4172858 . Confiscating dynasty land isn't a panacea or even a bridge to alleviate Kenya fiscal problems.
There are so many intended and unintended economic benefits for confiscating dynasties wealth. Take Kenyatta's and Mo'is land - give prime land to Chinese to repay their loans and then build us affordable housing and engage in large scale farming or just divide it out to those stuck in slums.
Northlands only is costed at $5B.
In banking, Treasury is at the mercy of Kenyattas and Ndegwas despite forex criminalities.
The 100 billion ufool used outside budget should be surcharged to his estate. Now he is getting millions before nurses and doctors. These evils were to be stopped!
https://www.businessdailyafrica.com/bd/economy/uhuru-kenyatta-starts-receiving-his-sh1-32m-monthly-pension--4186538
What to deregulate ? https://nipate.net/index.php?topic=14901.0 , cut taxes from corporate, excise, vat to payroll taxes. Spending, every ministry has bloated budget and is over staffed.QuoteThe solution would have been big bang economic approach ; deregulate, cut spending, privatize and cut taxes
Does Ndii not know this or is this something he is working on?
cut spending where? deregulate what? and cut taxes in what industries?
The problem is gov is unable to borrow.CBK is behind the curve and has to increase rates. High interest rates low growth is what we're sleep walking into, meanwhile world bank raises eurobond default risk https://www.businessdailyafrica.com/bd/economy/world-bank-wary-of-kenya-s-ability-to-retire-sh264bn-eurobond--4187468 .
17% subscription for 10yr bond at 14%.
Now treasury might resort to taking overdraft from central bank - printing money?s=20๐๐ฐ๐๐ง๐ ๐จ ๐๐จ๐ฎ๐ง๐๐ฎ๐ฉ ๐จ๐ ๐๐จ๐ฉ ๐๐ฎ๐ฌ๐ข๐ง๐๐ฌ๐ฌ ๐๐จ๐ง๐ญ๐๐ง๐ญ [๐๐ญ๐ก ๐๐ฉ๐ซ๐ข๐ฅ]:
— Mwango Capital (@MwangoCapital) April 6, 2023
1. The government's latest issue of a 10-Year treasury Bond was massively undersubscribed, registering a performance rate of only 17.85%:
Here is some perspective on why from @Sang252:โฆ pic.twitter.com/WeTMcOOWpc
CBK is behind the curve and has to increase rates. High interest rates low growth is what we're sleep walking into, meanwhile world bank raises eurobond default risk https://www.businessdailyafrica.com/bd/economy/world-bank-wary-of-kenya-s-ability-to-retire-sh264bn-eurobond--4187468 .
Angolas battle against corruptionhttps://african.business/2023/03/finance-services/angola-creates-15bn-fund-from-recovered-assets
Despite having retrieved approximately $15bn in stolen assets, SENRA believes that there could be well over $100bn in unrecovered assets that could top up the investment fund if repatriated.
According to SENRA, members of the dos Santos family, former government officials, and ex-managers of state-owned companies illegally transferred some $150bn abroad between 2001 and 2017.
The process of recovering these assets is complicated as they are scattered around many countries across the world, each with their own financial legislation.
The Angolan attorney generals office reported that requests for cooperation have already been made to Switzerland, the Netherlands, Luxembourg, the United Kingdom, Singapore, Bermuda, the United Arab Emirates, Mauritius, Monaco, Malta, the Isle of Man, and others.
Retrieving billions of dollars from these countries commercial banks might have an adverse effect on their finances, causing problems for Angola. Last June, SENRA director Eduarda Rodrigues said that Angola needed to find financial mechanisms to repatriate the money without causing harm to other countries.
What to deregulate ? https://nipate.net/index.php?topic=14901.0 , cut taxes from corporate, excise, vat to payroll taxes. Spending, every ministry has bloated budget and is over staffed.
All these will be rewarding crony capital and the entrenched dynasties whie punishing the poor further.Recovering stashed petrol dollars is easier in a commodity export driven economy. State capture in kenya as per ndii is mainly regulatory capture meaning unwinding the regulatory framework would reduce crony capitalism. Its actually the reason why lucid ndii suggested to amnesty on corruption. Severance pay is one time payment that reduces recurrent payments which is kenya's biggest fiscal problem. The government is running out of options, borrowing cost is escalating and tax collection can't plug the gap.
Why should lowly paid staff be the ones to pay for the sins of dynasties while we continue to subsidise these dynasties? Where will money for golden handshakes come from??What to deregulate ? https://nipate.net/index.php?topic=14901.0 , cut taxes from corporate, excise, vat to payroll taxes. Spending, every ministry has bloated budget and is over staffed.
Its actually the reason why lucid ndii suggested to amnesty on corruption. Severance pay is one time payment that reduces recurrent payments which is kenya's biggest fiscal problem. The government is running out of options, borrowing cost is escalating and tax collection can't plug the gap.
?s=20You dont know how often I find myself wishing we had let dynastic brats stay to take us down Sri Lanka so we can have a proper revolution. I would much rather be beheading the imbeciles than cleaning up their sh** https://t.co/0zFUwFrqpw
— David Ndii (@DavidNdii) April 8, 2023
Which plan is that?QuoteIts actually the reason why lucid ndii suggested to amnesty on corruption. Severance pay is one time payment that reduces recurrent payments which is kenya's biggest fiscal problem. The government is running out of options, borrowing cost is escalating and tax collection can't plug the gap.
How would an amnesty stop the extreme greed of people in Kenya?
And when you say the government is running out of options, Ndii doesn't think so (he seems to think his plan will work)
Spooked debt market will either demand high yields on longterm debt to the tune of 18% or shortterm debt with yields of 12-14% which will exacerbate refinancing cost. Mind you government isn't retiring debt only refinancing. Anyone who's reliant on government will be in dire financial straits.
What is the alternative for Banksters or pension funds - now the gravy train in forex has been shut (spread now is 5 shs) - and I see coop reduced lending to 13%. Most banks despite being allowed to raise interest rate - are stuck with 15% - as aggressive SACCOs - offer 11%. So awash with depositer/investment cash - they have little option - or watch their money eaten by inflation.Coop is a sacco bank, if I were a trader I'd short the stock. The bank is reliant on civil servants , that's a treacherous position to be in. Treasury will most likely will tilt its debt offering to short term and the banks will feast on that.
They either lend kenya gov at 14% or lend the private sector at 13% - and contend with NPL at 13%.Spooked debt market will either demand high yields on longterm debt to the tune of 18% or shortterm debt with yields of 12-14% which will exacerbate refinancing cost. Mind you government isn't retiring debt only refinancing. Anyone who's reliant on government will be in dire financial straits.
Coop is a sacco bank, if I were a trader I'd short the stock. The bank is reliant on civil servants , that's a treacherous position to be in. Treasury will most likely will tilt its debt offering to short term and the banks will feast on that.
Saccos are everywhere in kenya - both civil and private sector employees belong to one.Government is more desperate than banks, let the government withdraw from the market and see what happens.
Banks have very little places to park money.
I think Kenya gov should just put down their feet - like they did in forex market - and banksters will bend over.
Again they can lend to gov at 15% risk free - or lend private sector 15% minus 15% NPL
In short, gov has them by their balls.
Only a conflicted gov like we had with Uhuru would kowtow to banksters.
Gov need to play hard-ball - on interest rates - there is no where else they will take their money.
It is better to delay payments - than raise interest rates to 18 percent - that would be insane.Coop is a sacco bank, if I were a trader I'd short the stock. The bank is reliant on civil servants , that's a treacherous position to be in. Treasury will most likely will tilt its debt offering to short term and the banks will feast on that.
Government is more desperate than banks, let the government withdraw from the market and see what happens.
It's a game of who blink first. Let see how it pans out in the next few months. Ruto has to lay the ground rules early like kibaki did. He must take hard decisions. He has 5 or 10yrs - so anything stupid he does know - will hurt him next year.Government is more desperate than banks, let the government withdraw from the market and see what happens.
Which plan is that?
You are right. He has to lay the ground rules, but the only people who currently see these rules as positive are supporters. Kibaki appointed professionals, and all worked as a team, while Ruto has appointed Kindikis and all others that is as stupid stuff like Gachagua. No intelliegnce left. As a result, investors have lost confidence.