Budget office clears Sh54bn Treasury pay

The Controller of Budget has cleared the air over repayment of a Sh54 billion debt by the National Treasury without her authority.

Ms Agnes Odhiambo said her office had acknowledged grounds on which Treasury had serviced the syndicated loan of $600 million without her approval, adding that the payment had been audited by the Auditor-General and cleared.

“This is the only payment that has been made without my authority and the National Treasury has given reasons why this was made directly,” she said.

Mr Odhiambo played down any disagreement between them. “The relationship between my office and the National Treasury is professional and cordial. Those stating that we are at loggerheads must know that the issue has been resolved,” she said.

Last week, Ms Odhiambo had questioned the direct payments made from the Central Bank’s overdraft facility after a difference of Sh54.1 billion emerged between the exchequer releases of Sh39.95 billion which had been approved, and the actual expenditure of Sh94.26 billion.

This elicited worries of financial misdeeds similar to Anglo Leasing and Goldenberg returning to life.

Ms Odhiambo was speaking at a public forum in Nyeri County during a programme aimed at sensitising the public on the importance of public participation in budget-making, monitoring and reporting.