Reports that the Treasury is under pressure to set new rules for donor-funded projects is a welcome and long-overdue development.
It was shocking to learn that hundreds of millions of shillings have remained unutilised due to the failure to fully absorb donor funds.
We support the National Assembly’s move to direct the Treasury to develop a framework that will address the challenges within three months.
The ministry has been tasked to develop a plan that will address the slow absorption and procurement issues.
It is worrying that despite the country yearning for development funds, there is a slow absorption of funds that have been donated for the same. For example, Sh1.05 billion from Sh2.03 billion that the Global Fund allocated to Kenya in 2017 has not been utilised. This was equivalent to 52 percent budget under-absorption. Development projects cannot be completed successfully if we are unable to fully and properly utilise the monies that have been allocated for the same.
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