Treasury boosts Immigration Department’s budget to tackle delays in issuance of crucial documents
The Treasury clarified that the new funding model is a one-off arrangement meant to meet specific needs.
The government has allowed the State Department for Immigration and Citizen Services to retain 20 per cent of the revenue it collects from issuing key documents like passports, identity cards, and birth certificates.
According to the National Treasury, the temporary measure aims to resolve persistent cash flow issues that have hindered service delivery.
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The department’s appropriations-in-aid (A-i-A) budget has surged to Sh3.9 billion for the 2023/24 financial year, a significant increase from the Sh1.3 billion allocated in the previous year.
A-i-A are funds collected by government ministries and agencies for services they provide, with spending allowed at the source upon approval by the Treasury and Parliament.
The funding boost follows a recommendation from MPs that the department retain a fifth of the charges collected from providing essential documents. The measure is intended to address delays caused by insufficient resources or equipment breakdowns, which have previously prevented applicants from obtaining travel and identification documents on time.
In the draft 2025 Budget Policy Statement, the Treasury confirmed the temporary nature of this funding model, stating: “It is important to note that the A-i-A allocation to MDAs (ministries, departments and agencies) is not pegged on percentage collection but on assessed needs of the MDA.”
One-off arrangement
The Treasury further clarified that the new funding model is a one-off arrangement meant to meet specific needs.
“In the FY 2023-24, the National Treasury provided Sh1.3 billion as appropriation-in-aid to the State Department for Immigration and Citizen Services to help address cash flow challenges. In the FY 2024/25 budget, the department has been allowed to utilise A-i-A amounting to Sh3.9 billion in compliance with the resolution of the National Assembly to address challenges on the issuance of documents such as passports, identity cards, and birth and death certificates,” reads the draft policy.
The issuance of passports and identification documents is a major source of non-tax revenue for the government.
During the last financial year, the department generated an estimated Sh19.5 billion from document issuance.
However, a proposal by the Interior Ministry to increase charges for services such as ID replacement and birth or death certificate applications was rejected by lawmakers in December.
The Registration of Persons (Amendment) Rules had sought to impose a Sh300 fee for new ID applications and Sh1,000 for registration or corrections to birth and death records. Lawmakers declined the proposal, citing insufficient public participation in drafting the regulations.
The National Assembly’s Budget and Appropriations Committee, led by Kiharu MP Ndindi Nyoro, also raised concerns about government agencies underestimating their revenue targets during budget planning.
The committee noted in its July report that this practice results in revised targets mid-year. It highlighted that appropriations-in-aid form a significant part of national government financing, amounting to Sh400 billion in the proposed FY 2024/25 budget.
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