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Govt is serious about public service fiscal discipline, Mudavadi

NAIROBI, Kenya, May 22 – The government has reiterated its commitment to entrench fiscal discipline in the public sector in a move to enhance efficiency, transparency, accountability and prudent management of public resources in service delivery.

This will encompass the ability of a government to sustain smooth monetary operation and long-standing fiscal condition.

Monitoring and comparatively evaluating the progress in the ratio of revenue receipts to the total revenue expenditure will form a huge chunk of what the government is working towards achieving.

This was contained in the speech by the Prime Cabinet Secretary Musalia Mudavadi, read on his behalf by The Principal Secretary, State Department for Legislative Affairs in the Office of the Prime Cabinet Secretary, Aurelia Rono, at the official opening of the second phase of the economic governance programme between Kenya and South Africa at the Kenya School of Government, in Mombasa County.

Rono who was representing the Prime Cabinet Secretary has lauded the collaboration between the Kenya School of Government and the South Africa National School of Government for their joint effort and collaboration towards the realization of a common agenda in policy and economic governance for the benefit of the citizens of these two countries.

“This being part of the first undertakings after the signing of the bilateral agreement between President William Ruto and his South Africa counterpart Cyril Ramaphosa back in November 2022, it is highly commendable that such a program is taking shape,” said PS Rono.

In a speech read by the Principal Secretary, on behalf of the Prime Cabinet Secretary Musalia Mudavadi, it is said the programme will act as a catalyst that empowers government officers to reach their full potential in serving the citizens by growing their individual’s expertise and therefore enhancing upward mobility within the service.

“Giving an example of Kenya’s public service which is relatively young, this program targets serving pubic officers in their nascent years within the service. Since they are beginning to display signs of future potential, we ought to empower them at an early stage to ensure progressive growth within the civil service,” said Mudavadi.

“The myth that our public service in Kenya is filled with dinosaurs (old-fashioned or unable to adapt to modern times) is just hearsay,” added Mudavadi in his speech.

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“Out of a 394,792 strong mainstream civil service that comprises of national government civil service, police, teachers and county employees, those under 40 years form 50% and those under 50 years old form 77% of the workforce.”

The programme is anchored on crucial frameworks of Sustainable Development Goals (SDGs), Africa’s Agenda 2063, the Kenya Vision 2030 which we are just 7 years shy of actualizing it as a nation and; Kenya’s Bottom-Up Economic Transformation Agenda (BeTA) a road-map under the current Kenya Kwanza administrations’ economic empowerment program dubbed the PLAN; and South Africa’s National Development Plan (NDP).

These frameworks aptly provide a comprehensive roadmap for development to African countries’ crucial adapting sectors of agriculture, industrialization, social protection, fiscal policy, and debt management.

“We are working towards acquainting the public service work force with the much-needed skills and knowledge know-how so that we can be able to increase efficiency across multiple fronts in productivity and production, food security, exploration of our blue and ocean economy, manufacturing, environmental protection, social security and protection, mobilization of resources and job creation with the target being enhanced global competitiveness for sustainable development,” said Mudavadi.

The Prime Cabinet Secretary noted that in a move to achieve quality and high living standards among our citizens, improve the lives of all citizens and their well-being with the continent, consistency in the implementation of inclusive workable policies thus remains paramount.

Experts note that across Africa’s public services, it can be said that fiscal discipline is the main undoing. Therefore, impacting knowledge on fiscal discipline regarding policy formulation, implementation and accountability remains to be a key component of economic governance as a breath of fresh air.

“Africa must embrace the importance of sound fiscal policies that support domestic resource mobilization, prudent public financial management and regional integration to achieve debt sustainability if we have to survive in an increasingly competitive and protectionist world.” pointed out Mudavadi.

“For the Kenya Government, our aim to promote fairness and stimulate economic growth targets, and end regressive taxation is by reviewing all business licenses and capping license fees at 1.5% of total turnover. Expanding the tax base by supporting farmers and informal traders to increase their incomes and become tax compliant is crucial.” added Mudavadi.

Mudavadi in his speech further noted the urgency of reducing the public debt through prudent management of external debts, that currently amounts to over 70% of the Gross Domestic Product, GDP. This he said will largely be realized through prioritizing domestic resource mobilization and the reduction of reliance on non-concessional foreign borrowing.

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“We will ensure borrowed funds are used primarily for productive and inclusive projects, well outlined and with a clear plan. Implementing fiscal consolidation and discipline measures will also reduce the budget deficit and stabilize the debt-to-GDP ratio. transparency and accountability in public debt management are paramount.” said Mudavadi.

His sentiments on prudent utilization of public resources come in the wake of a stern warning issued by President William Ruto to all government officers in the public sector that his regime will not at any point tolerate corruption, mismanagement of public resources, laxity and lack of transparency and accountability in running of government and public affairs.

The training on economic governance is purposely designed to strengthen the capacity of senior policy makers within the public services of the Republics of Kenya and South Africa has a core objective aimed at building public service capacity in innovation, policy formulation and implementation.

This being in the context of integrating national, regional and global complexities in each country’s policy environment.

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