Treasury to Release Sh48.8 Billion Capitation to Schools Next week.
The National Treasury Cabinet Secretary, John Mbadi, has reassured school administrators that the government will release Sh48.8 billion as capitation for schools in the coming week. This amount represents half of the funds allocated for the academic year, with the remainder set to be disbursed later.
Mbadi attributed the delay in disbursement to inadequate funds caused by the country’s ongoing debt challenges. He assured schools that the funds would be deposited into their accounts soon to alleviate operational difficulties.
School administrators have expressed concerns over the delayed capitation, with some resorting to sending students home to collect fees. The Kenya Union of Post Primary Education Teachers had earlier issued a seven-day ultimatum for the funds to be released to avoid disruptions in school operations.
“Therefore, schools, please don’t worry. I am giving you my word that Sh48.8 billion for capitation will be in your school accounts because we are releasing it next week,” Mbadi told journalists.
Mbadi explained that the government had prioritized settling a Sh70 billion loan this week, which had taken precedence over other expenditures. However, he committed to ensuring capitation payments would follow promptly.
Other Financial Disbursements
The Treasury is also set to release Sh30 billion owed to counties for December by the end of January. Additionally, Sh75 billion will be allocated to cover civil servant salaries. The delay in county disbursements has forced some devolved units to borrow from commercial banks to meet operational needs, including paying county workers.
The CS emphasized that balancing the country’s financial obligations remains a challenge due to the mismatch between revenue collection and debt repayment demands.
While commissioning an Sh11 billion water project in Garsen constituency, Mbadi addressed the nation’s financial constraints, emphasizing the government’s commitment to transparency. The project is expected to benefit 300 households and 1,800 livestock.
He revealed that the country must settle bills amounting to Sh250 billion in January, while revenue collection stands at approximately Sh120 billion to Sh130 billion. He called for patience, noting that the Treasury would allocate funds equitably to avoid nationwide disruptions.
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Key Financial Commitments by the Treasury
| Disbursement | Amount (Sh) | Timeline |
|---|---|---|
| Capitation for Schools | 48.8 billion | Next week |
| County Funds (December Arrears) | 30 billion | By end of January |
| Civil Servant Salaries | 75 billion | January |
The CS reiterated his commitment to managing the country’s finances prudently, acknowledging the challenges while ensuring critical obligations are met efficiently.
“There is nothing to hide about the finances of Kenya. I am speaking to Kenyans openly because it is important that there is transparency and accountability,” he said.
Treasury to Release Sh48.8 Billion Capitation to Schools Next week
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