TSC Teachers Face Salary Payment Delays
Kenya Kwanza government is facing financial difficulties that have resulted in delayed salaries for employees in several government institutions. The Teachers Service Commission (TSC) is one such institution that has not received Ksh.8 billion in salary payments.
The government has been under significant financial strain for the past nine years, with 60 percent of its tax revenue going towards servicing debt. Six ministries, including the Ministry of Health, Ministry of Energy, and the Department of Regional Development and Northern Corridor Development, have not received their salaries for the month of March, with some owed up to Ksh.13.7 billion.
Between July 2022 and April 2023, the National Treasury paid Ksh.843 billion in debt servicing, out of a debt repayment schedule of Ksh.1.36 trillion for the financial year ending in June 2023. The high debt expenditure in January, February, and March of this year, with Ksh.132 billion, Ksh.58 billion, and Ksh.121 billion respectively, has contributed to the cash flow challenges that have led to delayed salary payments in the public service.
The Kenyan Revenue Authority had collected at least Ksh.1.39 trillion by the end of March, with the government borrowing up to Ksh.396 billion locally and Ksh.235 billion from the external market, raising at least Ksh.2 trillion to finance the government’s expenditure in the first nine months of the financial year.
However, expenditure trends show changing patterns, with the government spending Ksh.261 billion on development as of February this year, compared to Ksh.300 billion spent on development by February 2022 in the previous financial year.
The Ruto administration has spent Ksh.1.37 trillion on recurrent expenditure, Ksh.100 billion more than the previous administration around the same time last year. On county transfers, the current administration has paid out Ksh.183 billion, Ksh.10 billion less than last year.
The delayed disbursements have caused challenges in implementing county programmes and budget plans. To address the issue of delayed salary payments, the National Treasury has resolved to release over Ksh.31 billion for the month of January and plans to pay the pending amount in the coming weeks to reduce the backlog.
The Deputy President has assured the public that all salaries have been paid, and governors will receive another disbursement in a short time.
TSC Teachers Face Salary Payment Delays