Budget deficits hinder my office's effectiveness, says CoB Nyakang'o

Controller of Budget Margaret Nyakang'o has raised concerns about budget gaps hindering her office's ability to audit several multi-million government projects.

While appearing before the National Assembly's Constitutional Implementation Oversight Committee (CIOC) on Tuesday, she emphasised that the budget deficit is negatively impacting the constitutional duties of her office.

Nyakang'o also raised issues regarding the discriminatory salary structure set for her office, which she believes is affecting staff retention and recruitment.

"If you look at our salary structure, we have been discriminated against compared to other similar offices in the country. In consultation with the Directorate of Public Service Management (DPSM), the office has developed a salary structure to attract and retain qualified staff," she said.

Another challenge she mentioned before the Githunguri MP Gathoni Wamuchomba-led committee was the frequent delays in the implementation of recommendations made by her office to accounting officers.

"Goodwill and budgetary support are needed for the efficient implementation," Nyakang'o added.

The Committee is also investigating the difficulties independent commissions face in fulfilling their constitutional roles.

Going further, Nyakang'o highlighted existing legislative gaps related to appointing her successor.

She pointed out that current laws do not clarify the procedure for declaring a vacancy after an eight-year term.

Controller of Budget Margaret Nyakang'o before the National Assembly's Constitutional Implementation Oversight Committee (CIOC) in Parliament buildings, Nairobi on September 17, 2024. (Photo: Handout)

"Section 9 (4) of the Act should be amended to allow the Controller of Budget to report on all facets of budget implementation as envisaged in the constitution. Under the current provisions, the Controller of Budget is barred from reporting on economic developments and outlook including revenue forecasts and receipts," Nyakang'o explained.

The CoB also addressed the impact of delayed regulations after their annulment by the Senate, which she said has been a significant obstacle.

She explained that the Senate raised concerns about the regulations not fully incorporating feedback from the National Treasury and suggested that proposed penalties were insufficient.

Despite these setbacks, Nyakang'o noted that her office has developed a revised draft of the regulations that includes the Senate's feedback.

However, budgetary constraints have limited their ability to engage the public in this process.

Additionally, the Committee inquired about why counties are using commercial banks instead of consolidating their funds with the Central Bank of Kenya (CBK).

"Counties have accounts in different banks instead of consolidating their funds at the CBK. We have investigated and sensitized the public on this," Nyakang'o stated.

Another major challenge mentioned by Nyakang'o is the lack of enforcement powers for her office.

"The Act leaves us with no teeth to bite, but our reports are proper," she emphasised.

While her office produces detailed reports, the responsibility for further action lies with other entities.

The controller of budget called for stronger media partnerships and public engagement to ensure accountability.