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School bursaries to take up to 40 percent of national government fund

President Dr William Ruto addressing learners at Joseph Kang’ethe Primary School in Kibera

President Dr William Ruto addressing learners at Joseph Kang’ethe Primary School in Kibera, Nairobi County on  November 29, 2022, during Day 2 of KCPE and KPSEA exams.
 

Photo credit: Dennis Onsongo | Nation Media Group

What you need to know:

  • Under the new law, the allocation to the educational bursary fund will be increased by five percent from the current 35 percent as in the NG-CDF Act, 2015.
  • Fighting climate change and developing digital hubs will also draw from the fund, with up to eight percent allocated to the new project areas.
  • President also signed into law the National Lottery Bill, 2023, which aims to enable the national government to raise funds to finance noble causes.


School scholarships will now receive up to 40 per cent of the National Government Constituency Development Fund (NG-CDF) after President William Ruto signed the NG-CDF Bill, 2023 into law.

Fighting climate change and developing digital hubs will also draw from the fund, with up to eight percent allocated to the new project areas.

Under the new law, the allocation to the educational bursary fund will be increased by five percent from the current 35 percent as in the NG-CDF Act, 2015.

"The additional allocation for education bursaries will play a key role in ensuring that students continue and complete their education," the President said.

The funding will also support other social services such as school feeding programmes, especially in drought-affected areas where students drop out of school in search of food and water.

It will also complement the government's efforts to reduce illiteracy by increasing access to education and improving transition rates from primary to secondary schools.

The Act also allocates a maximum of five per cent of the funds allocated per constituency to climate change mitigation activities, including afforestation, reforestation, community sensitisation and production of tree seedlings.

President Ruto said that since tackling climate change requires concerted efforts from both the public and private sectors, the allocation of NG-CDF funds for climate action will play a critical role in preventing further extreme and devastating weather conditions.

In addition, the Act has paved the way for the allocation of three per cent of the fund to be used to pay for the utilities, costs and maintenance of constituency digital hubs, which are key to enabling youth to acquire technology skills.

Creating jobs for the youth, Dr Ruto said, is a critical national agenda and requires harnessing advances in technology.

"The additional allocation will ensure that the youth receive the necessary support to acquire and enhance relevant skills.”

At the same time, the President also signed into law the National Lottery Bill, 2023, which aims to enable the national government to raise funds to finance noble causes.

This will be done through the establishment and management of the National Lottery Fund, the purpose of which is to retain and disburse the proceeds of the National Lottery.

The good causes include charitable purposes such as economic empowerment initiatives; sports, recreation, arts, culture and national heritage; signature transformation projects; and emergencies.

Under the new law, funding for good causes must include the promotion of social development, including universal health care; support for small business development and economic development activities; and the provision of scholarships.

In the sports sector, the good causes to be funded by the National Lottery include supporting national teams to participate in regional and international events; supporting the identification, nurturing and development of talent in sport and the arts; and facilitating training and capacity building programmes related to sport.

"The enactment of this Bill will not only provide an opportunity for Kenyans to participate in the National Lottery and win prize money, but will also ensure a mechanism for mobilising resources to support noble causes," said President Ruto.

"This in turn will go a long way in complementing the Government's efforts to address the social and economic needs of the country," he added.