NAIROBI, Kenya, April 21 – The Salaries and Remuneration Commission (SRC) has announced that the expenditure on personnel emoluments (PE) of county governments is expected to increase by Sh8.21 billion in the first quarter of the financial year (FY) 2023-2024.
In a statement, SRC stated that spending will increase from Sh41.79 billion during a similar period in the 2022–2023 FY to Sh50 billion, representing a 19.6 percent growth.
PEs are salaries and allowances derived from employment.
“In FY 2023/2024, the expenditure on Personnel Emolument (PE) is projected to increase from Ksh 41.79 billion in the first quarter to Ksh 50 billion, representing a 19.6 percent growth,” SRC stated.
Furthermore, the commission also pointed out that the total expenditure of devolved units in the second quarter of FY 2023/2024 will also increase to Sh137.73 billion, which is more than the same period in FY 2022/2023.
“The total expenditure of county governments in the second quarter of FY 2023/2024 is projected to increase to Ksh 137.73 billion, representing a 52.4 percent expenditure growth, compared to the same period in FY 2022/2023,” the commission said.
SRC attributed this growth to the ballooning of the county government’s expenditure.
Furthermore, SRC has pointed out that PE expenditure is projected to increase from 42.1 percent in the first quarter of FY 2023/2024 to 46.9 percent in the second quarter of FY 2023/2024, which it termed “above the threshold.”
“Weighed against the 35 percent threshold set by PFM Regulations, 2015, the PE expenditure, as a proportion of the total expenditure, is projected to increase from 42.1 percent in the first quarter of FY 2023/2024, to 46.9 percent in the second quarter of FY 2023/2024. This is still above the threshold,” it stated.
