- It’s understood that the Treasury is avoiding breaching sections of the legislation that bars a retired president from holding workplace in a political get together six months after retirement.
- Voters are attributable to go to the polls on August 9 however Mr Kenyatta is not going to be on the poll attributable to a constitutional time period restrict of two five-year phrases.
- The legislation permits the Treasury to offer a retired president with a month-to-month pension of Sh691,200 regardless of political affiliation.
The Nationwide Treasury has omitted allocations for President Uhuru Kenyatta’s retirement workplace and workers from the price range for the 12 months beginning July, one other pointer to the Head of State’s quest to stay energetic in get together politics.
The price range estimates tabled in Parliament did not allocate an estimated Sh100 million that might have catered for a totally furnished workplace for the retired president, aides, limousines and different perks like home, gasoline and leisure allowances.
It’s understood that the Treasury is avoiding breaching sections of the legislation that bars a retired president from holding workplace in a political get together six months after retirement.
Voters are attributable to go to the polls on August 9 however Mr Kenyatta is not going to be on the poll attributable to a constitutional time period restrict of two five-year phrases.
Mr Kenyatta was in February supplied a five-year time period as head of Jubilee Get together and is listed as chairman of Azimio la Umoja One Kenya Coalition’s council, the car veteran opposition chief Raila Odinga used to launch his fifth bid for Kenya’s presidency.
The legislation permits the Treasury to offer a retired president with a month-to-month pension of Sh691,200 regardless of political affiliation.
The price range estimates tabled in Parliament present that the Treasury has created a brand new price range vote labelled gratuity for retired presidents from July 2022, which is coinciding with the top of Mr Kenyatta’s second and final time period after the August polls.
The brand new vote has been allotted Sh72 million for the 12 months beginning July and can improve to Sh79.2 million within the 2024 monetary 12 months.
The Treasury has additionally elevated an allocation for the retired presidents’ pension from the present Sh34.4 million, which caters for former President Mwai Kibaki’s retirement advantages, to Sh42.42 million beginning July subsequent 12 months.
This interprets to a further month-to-month pension of Sh666,700 and practically matches the quantity that will probably be attributable to Mr Kenyatta in keeping with the Presidential Retirement Advantages Act, 2003.
A retired president’s once-a-month pension is about at 80 p.c of his pensionable wage, which is equal to 60 p.c of Sh1.44 million month-to-month pay supplied to the sitting president.
He additionally has different perks like gasoline, home and leisure allowances, which pushes the general advantages above the salaries and allowances of prime chief executives of State-owned corporations like KenGen #ticker:KEGN , Kenya-Re #ticker:KNRE , and Kenya Energy #ticker:KPLC .
Advantages of the retired presidents have come underneath sharp focus, particularly up to now couple of years when allocations elevated by giant margins, at the same time as the federal government insisted that it had put in place austerity measures to include a rising public sector wage invoice.
In 2015, the Excessive Courtroom stopped the federal government from paying allowances value tens of millions of shillings to former President Daniel arap Moi, who died on February 4, 2020, and Mr Kibaki after discovering that they had been an pointless burden to the taxpayers.
The Legal professional-Basic has since appealed the choice, permitting them to proceed having fun with the excessive pay.
Sections of the legislation that the court docket nullified entitled the 2 to a Sh300,000 home allowance per 30 days, gasoline (Sh200,000), leisure (Sh200, 000) and utilities (Sh300,000).
The legislation additionally entitles them to 2 private assistants, 4 secretaries, 4 messengers in addition to 4 drivers and bodyguards, pushing the workplace and residential staff to 34 underneath the scheme funded by taxpayers.
Retired presidents are additionally entitled to 4 vehicles, together with two limousines, that are changed each 4 years. They’ve full medical cowl and totally furnished workplaces.
Apart from pension, Mr Kibaki enjoys the perks that President Kenyatta will probably be denied attributable to his dealings in a political get together.
“A retired president shall not maintain workplace in any political get together for greater than six months after ceasing to carry workplace as President,” says the Presidential Retirement Advantages Act.
Mr Kibaki has saved off politics since retiring in 2013. The Treasury has allotted him Sh100.1 million to run his workplace, up from the present Sh98.6 million.
Mr Kenyatta is supporting his former political foe, Mr Odinga, after the 2 made peace in early 2018, successfully sidelining Deputy President William Ruto, who has been vocal about his personal presidential ambitions.
Dr Ruto give up the ruling Jubilee Get together and is working on the ticket of the United Democratic Alliance (UDA).
Mr Odinga and Dr Ruto have been battling it out on the marketing campaign path, particularly in central Kenya, the place Mr Kenyatta’s ethnic Kikuyu votes are up for grabs.
The lavish exit package deal has additionally come underneath heavy criticism on grounds that a number of the retired State officers left workplace as wealthy males with property value billions of shillings and huge enterprise pursuits.
The Kenyatta household owns a big stake in Business Financial institution of Africa (CBA) that not too long ago merged with the listed NIC Financial institution to kind NCBA Group #ticker:NCBA —which is listed on the Nairobi Securities Alternate (NSE) #ticker:NSE .
The Kenyattas management about 13.2 p.c of the brand new entity, valuing their stake at Sh5.82 billion primarily based on the financial institution’s market valuation of Sh44.2 billion at shut of buying and selling yesterday.
Their investments embody Brookside Dairy and the upmarket resort chain, Heritage Lodges East Africa.
The household can also be linked to Media Max Firm — which owns K24 TV, Kameme Radio and The Individuals Every day newspaper — and 1000’s of acres of prime land throughout Kenya.