The National Treasury and Economic Planning have clarified reports that Ksh1.3 trillion has been withdrawn from exchequer accounts.
In a statement made on Sunday, March 2, Treasury Principal Secretary Dr. Chris Kiptoo underlined that all withdrawals were subject to strict legal and financial procedures, with each transaction being reviewed and approved by the Controller of Budget (CoB).
He highlighted that there had been no theft of public cash.
According to Treasury PS, the Treasury recognized that until the conclusion of the fiscal year 2023/24, exchequer requests and withdrawals were processed manually due to a lack of automation.
Nevertheless, all transactions adhered to public finance standards in spite of this laborious process.
In partnership with the Central Bank of Kenya (CBK) and the Controller of Budget, the Treasury implemented an automated system on July 1, 2024, to improve efficiency and accountability.
The objectives of this digital transformation are to decrease delays in fund delivery, enhance oversight, and expedite the processing of exchequer requests.
The Treasury went on to say that all National Government Ministries, Departments, and Agencies (MDAs) have been effectively integrated into the new system.
However, because of their distinct approval procedures, some transactions—such as debt payments, transfers to counties, the Judiciary Fund, and the Equalization Fund—were excluded from the first phase. It is expected that all transactions will be fully automated by the conclusion of the fiscal year 2024–2025.
Dr. Kiptoo underlined that in order to guarantee adherence to public finance regulations, all withdrawals—whether made physically or electronically—are subject to careful due diligence and examination.
Additionally, the Treasury promised the public that after it receives the formal report from the Controller of Budget, it will offer a thorough answer.
Concerns regarding the volume of withdrawals reported in the media, which supposedly eschewed the automated financial system intended to maintain openness and suggested financial malfeasance, prompted this clarification.
