Labour Cabinet Secretary Alfred Mutua and his Public Service counterpart Justin Muturi have warned that government programmes could be hampered should their projected budget be reduced.
Appearing before the Senate Committee on Labour and Social Welfare, Mutua noted that the 2025 Budget Policy Statement allocates Ksh24.48 billion for the Inua Jamii programme, which is almost half of the money needed.
Consequently, he hinted that the Ksh2,000 usually transferred to elderly persons could be reduced by 50 per cent.
"CS Mutua highlighted the likely reduction of monthly stipends under the Inua Jamii cash transfer programme for older persons from Ksh2,000 to Ksh1,000 due to a Ksh19.85 billion shortfall. The BPS allocates Ksh24.48 billion against a requirement of Ksh44.33 billion," Parliament noted in its statement.
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"This revelation followed a call by Senator Okongo Omogeni (Nyamira) to increase the stipend to Ksh4,000 and to consider reinstating bank transfers alongside M-pesa disbursements."
Meanwhile, Muturi cautioned that the number of recruits of the National Youth Service (NYS) could soon be reduced owing to budgetary shortfalls.
"Public Service CS Muturi expressed concern over the 40.9% budget ceiling in his ministry’s budget, noting that the allocated Ksh9.896 billion for the 2025/26 financial year fell far short of the Ksh24.17 billion required," read the statement in part.
"He warned that this shortfall could derail the implementation of a presidential directive to increase National Youth Service (NYS) recruitment from 10,000 to 100,000 by 2027/28."
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