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State firms get back Sh6.73bn in blow to Ruto’s budget cuts

William Ruto

President William Ruto addresses parastatal chairpersons and Chief Executive Officers at State House, Nairobi.

Photo credit: PCS

What you need to know:

  • President Ruto in March directed parastatal heads to slash their recurrent budgets.
  • Parliamentary committee approves requests from at least 16 State departments.

State Departments have successfully lobbied lawmakers to reinstate at least Sh6.73 billion earlier chopped from the budgets of parastatals, dealing a blow to President William Ruto's plan to cut funding to State agencies by a minimum of 30 per cent.

The Select Committee on Budget and Appropriations (BAC) of the National Assembly has approved requests from at least 16 State departments to exempt parastatals under their watch from State House-led rationalisation plan.