By Bwana Joackim
The Institute of Certified Public Accountants of Kenya (ICPAK) has described the revenue targets in the 2021/2022 budget estimates as overly ambitious.
The Institute said that the actual revenue collection might fall below the target and could widen Kenya’s fiscal deficits by more than the projected Sh. 952 billion.
“We feel that the projected ordinary revenue is too optimistic especially in light of the economic ruins brought abought by the covid-19 pandemic,” Said ICPAK chair Rose Mwaura.
According to 2021/2021 budget estimates, the treasury targets Sh.3.77 trillion from local collection including Appropriations in Aid (AIA) and ordinary revenue.
The AIA are projected at Sh.2 trillion, while the ordinary revenues are projected at sh.177 trillion.
Mwaura said focus should instead be on reducing expenditure and increasing efficiency in spending.