Budget Watchdog Flags Nairobi’s Ballooning Wage Bill

Controller of Budget Flags Excessive Spending
Controller of Budget Margaret Nyakang’o raised concerns on December 22. Moreover, she revealed Nairobi County spent 69 per cent of revenue on salaries within three months.

Billions Spent on Staff Compensation
Nairobi County allocated Ksh4.7 billion to staff compensation between July and September. Additionally, the report questioned contract allocations and casual workers’ hiring practices.

Revenue Sources Detailed
The county received Ksh6.6 billion during the review period. This included Ksh3.4 billion from the National Treasury and Ksh2.5 billion in own-source revenue.

Development Projects Neglected
Despite receiving billions, Nairobi spent Ksh5.3 billion on recurrent costs. Consequently, only Ksh202.2 million went to development projects.

Health Sector Dominates Wage Bill
Employee compensation stood at Ksh4.79 billion. Furthermore, the health sector consumed Ksh2.03 billion, representing 42 per cent of the wage bill.

Assembly Allowances Questioned
The Nairobi County Assembly spent Ksh12.7 million on committee sitting allowances. This covered 124 MCAs during the three-month period.

Rising Operational Costs
Operational and maintenance costs rose by 207 per cent compared to last year. Moreover, the environment docket absorbed over half of development spending, including Ksh150 million for machinery.

Pending Bills and Revenue Arrears
Nairobi owes contractors and suppliers Ksh82.8 billion in pending bills. Additionally, the county accounts for 43 per cent of national revenue arrears, totaling Ksh67.01 billion.

Payroll Controls Urged
Nyakang’o urged Sakaja’s administration to implement strict payroll controls. She also called for HRIS integration and issuance of Unified Personnel Numbers to all staff.