Auditor-General: No value for money in Sh1.2bn Talanta Sports City Stadium project

Questions have emerged over the expenditure of Sh1.2 billion on a sports ground where the Talanta Sports City Stadium is being built.

A recent audit of the State Department for Sports also reveals that Sh300 million from the Sports, Arts, and Social Development Fund cannot be accounted for in the financial year ending June 30, 2024.

The report by the Auditor-General highlights financial challenges within the department, including funding shortages, delayed disbursement to sports federations, and pending bills exceeding Sh300 million.

It also notes the lack of an audit committee, contrary to legal requirements.

The Talanta Sports City Stadium is set to host the 2027 Africa Cup of Nations, which Kenya will co-host with Uganda and Tanzania. Construction of the 60,000-capacity stadium began on March 1, 2023, and is expected to be completed by December this year.

Gathungu stated that a physical audit revealed the project led to the demolition of two football pitches, two restrooms, and access roads that had previously been constructed.

Additionally, street lights on the property were not functioning, and a chain-link fence built around it had been vandalised.

“In the circumstances, the value for money to be realised from the expenditure of Sh1,200,290,692 could not be confirmed,” Gathungu stated.

Her findings contradict former Sports Cabinet Secretary Ababu Namwamba’s assurances that most of the existing facilities at Jamhuri Posta Ground would remain intact.

Namwamba, during the project's ground-breaking ceremony on March 1, 2023, stated that the contractor had agreed to relocate some structures within the venue. The ceremony was presided over by President William Ruto.

The development of the Jamhuri Posta Sports Ground was initiated during former President Uhuru Kenyatta’s administration to promote talent growth in the country.

According to Gathungu, the project included the construction of three football fields, one rugby pitch, access roads, and landscaping.

Funds transfer

Gathungu also questioned the transfer of Sh300 million from the Sports, Arts, and Social Development Fund to the Ministry of Health for equipping a Level 4 Hospital in Sololo, Marsabit County.

She stated that there were no expenditure reports to confirm how the funds were used.

Other Topics To Read

• Headlines
• Sports
• Talanta Sports City Stadium
• sports audit
• State Department for Sports
• Auditor-General: No value for money in Sh1.2bn Talanta Sports City Stadium project
• Sports

In total, Sh14.2 billion was transferred from the fund to different government agencies and sports organisations, with Sh1.1 billion allocated to social development, including universal health care.

The audit report indicates that the State Department for Sports had a budget of Sh17.6 billion but received Sh15.9 billion, resulting in a funding shortfall of Sh1.6 billion.

Similarly, the Sports, Arts, and Social Development Fund received Sh14.6 billion instead of the Sh16.2 billion allocated, creating a shortfall of Sh1.4 billion. Additionally, Sh260 million of the Fund’s budget was not utilised.

“The under-funding and under-performance affected the planned activities and may have impacted negatively on service delivery to the public,” Gathungu noted.

Of the Sh14.2 billion transferred from the Fund, Sh11.5 billion was allocated to sports federations for developing local sports.

However, despite federations submitting their budgets on time, the audit report reveals that fund disbursements were often delayed, sometimes by up to two months after events had already taken place.