Raila's failed AU bid drove Sh48.8 billion in extra spending, budget report reveals

The government sought an additional Sh48.8 billion to fund campaigns for Raila Odinga’s African Union Commission (AUC) chairperson bid and President William Ruto’s local visits, a new budget review report has revealed.

According to the Controller of Budget Margaret Nyakang’o’s third quarterly National Government Budget Implementation Review Report for the 2024/25 financial year, the Foreign Affairs Ministry and State House were among 16 Ministries, Departments and Agencies (MDAs) that made the requests. The report covers spending between July 2024 and March 2025.

The Foreign Affairs Ministry asked for Sh523.8 million to support Raila’s campaign for the top continental post, but only Sh216.3 million was approved.

Despite Kenya deploying a large campaign team, including President Ruto and over 100 Members of Parliament at the AUC summit in Addis Ababa in January 2025, Raila lost to Djibouti’s Foreign Minister Mahamoud Ali Youssouf.

State House also requested an additional Sh1.5 billion for local tours, hospitality, rent, fuel, utilities, and motor vehicle maintenance. Nyakang’o approved Sh1.15 billion for those purposes.

“During the first nine months of FY 2024/2025, the Controller of Budget authorised a total of Sh42.22 billion under Article 223 of the Constitution. All the affected additional funding was regularised in Supplementary II budget estimates as required by Article 223 (2) of the Constitution, except for Sh1.24 billion disbursed by the World Bank and spent by the State Department for Social Protection and Senior Citizen Affairs under the Kenya Social and Economic Inclusion Project,” reads the report.

However, Nyakang’o expressed concern about the continued reliance on Article 223 to fund obligations that could be anticipated during regular budgeting. She pointed out that poor planning and weak implementation continue to affect the national budget.

She said in-year changes to programme output targets made performance tracking difficult, while slow progress in completing development projects further disrupted implementation.

“There is a need for improved fiscal planning and enhanced revenue collection, particularly from Appropriations-in-Aid.

To strengthen expenditure management, government agencies should reduce reliance on Article 223 by ensuring better upfront budgeting for known expenditures,” the report adds.

Among other funding requests, the National Police Service asked for Sh2.3 billion for the Multi-Agency Security Support Mission in Haiti. The Controller of Budget only approved Sh1 billion.

Meanwhile, the State Department for Roads’ request to reallocate savings from the Roads Annuity Fund to finance the Illasit-Njukini-Taveta Road was rejected.

The State Department for Broadcasting and Telecommunication’s request for Sh627.6 million to settle pending bills through the Government Advertising Agency was slashed to Sh354.3 million.

Nyakang’o approved Sh1.75 billion requested by the State Department for Public Health to pay salary arrears for doctors under the 2017–2021 collective bargaining agreement.

However, the Sh1.5 billion requested by the State Department for University Education for Moi University was cut to Sh500 million.

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The report also shows Nyakang’o approved Sh19.6 billion to settle guaranteed debt on behalf of Kenya Airways.