| Budget 2010/2011 |
| Written by Maria Galang |
| Friday, 11 June 2010 06:33 |
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Just as was the case last year, devolution of funds this years budget titled towards inclusive and sustainable rapid economic growth. Winners and Losers Probably, to many ordinary kenyans the 2010/2011 budget did not focus more on basic commodities like Unga and Sugar. This years budget emphasized on infrastructural development which the minister termed as a key driver of the economy this financial year. In a bid to promote poultry farming the minister exempted import duty on poultry related imports. Wheat farmers will be an excited lot as import duty has been reduced from 35 to 10 percent. Beer consumers will have to cough up a few more shillings for malt beer as the excise tax for beer has risen from 54 to 65 shillings per litre. The agony of pensioners waiting for their pension is over. The minister has proposed to restrict the claim time by up to 30 days. In a bid to address unemployemt among the youth, the 2010/2011 fiscal year budget proposes to establish a revolving fund through which the government will enter into a credit facility agreement with selected banks to support SMES. The government further committed 1 billion shillings to rehabilatate youth politechnics 560 million shillings for upgrading of colleges and 640 million shillings for expansion of facilities in other training facilities. Infrastructure development's allocation went up by 30 billion more than allocated in the last financial year. The health sector got a 1 billion shillings boost for hiring of nurses, public health technicians and community health workers , upgrading of hospitals, purchase of ambulances and motor cycles to be used by the community health workers. A further 4.4 billion shillings will be set aside for the purchase of drugs while people living with hiv/aids are also catered for in the budget. The future of generations were not left out, the education sector received a boost, with the free primary education programme receiving 2 billion shillings more, up from 7.2 bilion shillings allocated last year. Secondary schools were allocated 16.2 billion shillings towards free tuition. Northern kenya and rural areas also get an economic boost. Their perenial cries for proper roads have been heard. A road passing through Isiolo to link Kenya with Ethiopia will be constructed at a cost of 4.2 billion shillings. The rehabilatation of the Taveta - Voi road will cost us 700 m, this is expected to boost trade between Kenya and Tanzania. Each constituency will get an additional 27 million shillings for roads. Reactions After his maiden speech finance minister left kenyans up beat on the future last year expectitions were high before his second reading and matters were not helped by the news that it would hit the trillion shillings mark. A section of beer consumers decried the proposal by the finance minister arguing that the move will boost the consumption of illegal brews. However, bar owners say they will not increase beer prices immediately. Cabinet Ministers and Members of Parliament seemed to grasp the tricky balancing act the finance minister had to undertake and were upbeat that the projections were attainable. They assert that the budget for this financial year 2010/2011 will spur growth with its business friendly structure. The minister Franklin Bett, whose ministry was one of the biggest receiver of funds and the says they are up to the task despite the allocation falling below expectations. vice president kalonzo musyoka summed up the mood of the goverment..maintaining that kenya's economy way on an upward trend
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