MPs demand clear plan as Treasury delays Sh864 million payments to media houses
MPs sought to understand how GAA ensures that the information reaches the target audience across the country, even as the agency claimed it had saved the government money with this model.
The National Treasury is facing scrutiny over outstanding payments to media houses totalling approximately Sh864 million, a delay that has disrupted their operations.
On Thursday, the National Assembly Committee on Communication, Information and Innovation raised concerns about the lack of a clear plan to settle the debt.
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The committee expressed frustration after learning that the Treasury is still in the process of verifying the pending bills.
Led by Committee Chair, Dagoretti South Member of Parliament John Kiarie, the MPs warned that continued delays in settling these obligations could undermine government credibility.
They called for the development of a concrete strategy to resolve the issue once and for all.
“How much do you owe media houses? If you don’t have exact figures, just say so, and we can work towards getting clear answers,” Kiarie told Treasury officials.
He made the remarks during the meeting with Broadcasting and Telecommunication Principal Secretary Stephen Isaboke, Government Advertising Agency (GAA) Director Michael Okidi, and other officials from the Ministry.
Okidi told the committee that the debt represents historical pending bills that were forwarded to the Treasury for verification, and the agency has been following up on the matter.
However, Kiarie pushed back, noting that the media houses are professional entities run by Kenyans, and it is unacceptable to appear before Parliament without accountability for holding back money that is crippling businesses and destroying careers.
Both PS Isaboke and Okidi assured the committee that the verification process is ongoing and expressed hope that it would be completed soon to allow for payment.
In addition to the pending bills, the committee questioned the effectiveness of GAA.
The MPs argued that the agency, in its current form, lacks key departments such as an audit bureau of circulation, digital media, innovation and research, creatives, monitoring and evaluation, production, and operations, raising doubts about its value for money.
Given GAA’s mandate to manage public sector advertising, the committee said the agency should have a more comprehensive structure.
They also questioned the effectiveness of the current advertising strategy, which involves placing advertisements in a single newspaper once a week.
MPs sought to understand how GAA ensures that the information reaches the target audience across the country, even as the agency claimed it had saved the government money with this model.
Okidi, however, defended the scheme, noting that under the current contract, the government is saving about Sh758 million annually.
“We pay Sh9 million a week compared to Sh24 million under the old contract. The annual expenditure for the old contract was Sh1.19 billion, but now it is at Sh432 million,” Okidi explained.
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