(3 minutes read)
· Kenya’s Finance Cabinet Secretary Ukur Yatani tabled a Ksh2.79 trillion (US$27.9 billion) budget for the 2020-21 fiscal year
that seeks to kick-start the economy at a faster pace to come out of the slowdown cast by the Covid-19
· The government has now pegged the GDP growth for the current year to as low as 2.5 per cent from 6.1 per cent compared to last
year’s growth of 5.4 per cent
· Kenya has proposed a Ksh56.6 billion ( US$566 million) Economic Stimulus Program to boost economic activity, provide livelihoods and enable businesses to recover from the adverse effects of Covid-19
Kenya’s Finance Cabinet Secretary Ukur Yatani tabled a Ksh2.79 trillion (US$27.9 billion) budget for the 2020-21 fiscal year that
seeks to kick-start the economy at a faster pace to come out of the slowdown cast by the Covid-19.
This year’s budget is being presented at a time when the global economy is shrinking, domestic revenue collections are at an all time
low in the midst of an increased government spending to mitigate the fault lines of the Covid-19.
Mr Yatani spelt out a combination of monetary and fiscal stimulus in order to recover over 1.7 million jobs lost in three months. The
government has now pegged the GDP growth for the current year to as low as 2.5 per cent from 6.1 per cent compared to last year’s growth
of 5.4 per cent. Kenya has proposed a Ksh56.6 billion ( US$566 million) Economic Stimulus Program to boost economic activity, provide
livelihoods and enable businesses to recover from the adverse effects of Covid-19. The revival of the micro, small and medium industries is
a major part of the package, setting apart an outlay of over US$ 100 million. Focus on building a robust network of high quality roads,
railways and port facilities with an allocation of Ksh172.4 billion (US$1.72 billion) are the other important proposals in the Budget.
About Ksh497.7 billion ( US$4.97 billion) will be used to support the education system by building additional classrooms in secondary
schools and recruiting 10,000 interim teachers etc also figure in the budget proposals.
