President William Ruto’s government is set to prioritize job creation and salary increases in its Sh4.5 trillion budget for the fiscal year starting July 1. According to the National Treasury, the budget plan outlines key measures aimed at reducing unemployment, with a particular focus on sectors like education, security, and youth empowerment.
A key highlight of the budget is the substantial increase in recruitment across various public sectors. The government plans to recruit 40,000 young people for the National Youth Service (NYS) and 10,000 new police officers. Additionally, 18,000 teachers for secondary schools and 4,000 for primary schools will be hired, contributing to long-term improvements in the education sector. The government also plans to hire 3,500 seafarers as part of the Vijana Baharia program. These efforts align with Ruto’s broader goal of addressing youth unemployment and improving security and education in the country.
The government also intends to provide salary increases for police officers, prison warders, and university lecturers, a move designed to improve the conditions of civil servants and enhance public sector morale. The total allocation for salaries is expected to increase significantly, with notable rises for sectors including security, education, and healthcare.
The budget aims to tackle the budget gap left after the Finance Bill 2024 collapsed due to widespread protests last year. Following the failure of the tax law, which had targeted raising about Sh345 billion, President Ruto’s administration is focusing on recovering some of those cuts. Treasury officials have proposed an additional Sh440 billion in funding for various ministries, aiming to restore some of the planned cuts that previously impacted recruitment and sector growth.
Despite the government’s emphasis on job creation, critics argue that the budget fails to address the underlying issue of economic productivity. Kitui Central MP Makali Mulu called for a focus on increasing citizens’ purchasing power, suggesting that while the proposed budget increases may stimulate demand, it doesn’t directly resolve the nation’s fiscal problems.
Nonetheless, with Ruto’s support in Parliament, the budget is likely to pass easily, and the increased spending will potentially push forward the government’s economic transformation agenda, aiming for long-term growth and stability.
