Following the death of the third president of Kenya Mwai Kibaki on April 22, the Treasury is set to cease funding his office, a move that could offer a reprieve to taxpayers who have been contributing to the former head of state’s retirement benefits.
Kenyans have been coughing up hundreds of millions of shillings to cater to the purchase of a fleet of luxury cars, a fully-furnished office, and about 40 workers that he enjoyed since his retirement in 2013.
His staff will hence be at the bitter end of the stick as the majority will be laid off as the office will now be non-existent, with some being reemployed in various ministries and agencies.
This is in line with the constitution that stipulates upon the demise of a retired president, all operations in his office are to be concluded, and all retirement benefits withdrawn.
“The law demands that payment linked to the Kibaki’s retirement benefits be withdrawn upon death and we expect the office to be wound up over the next three months,” said a source who sought anonymity told the Business Daily.
The move by the Treasury is similar to what happened to his predecessor Daniel Arap Moi’s office, whose funding was withdrawn when he passed away on February 4, 2020.
In terms of how much was spent on the retirement benefits, Kibaki received a monthly pension of Kshs2.85 million that ran up to Kshs32.4 million annually.
By the end of the financial year ending in June, Kshs 98.6 million from taxpayer money was channeled into the office and in the next year beginning July 1, the Treasury has allocated Kshs 101.1 million for the same.
The offices of the former heads of states jointly spent Ksh 243 million in the fiscal year ending in June 2020, which was channeled to their benefits and the payment of staff with the exclusion of those drawn from the government including aides, press secretaries, and security officers who were paid Kshs 126 million by the parent ministry.
This will be the first time since 2002 that Treasury will not be funding the two offices.
The Treasury scrapped retirement and staff compensation allocations for the current sitting President beginning July of this year, which has signaled President Uhuru’s intention to remain in active politics.
He will however receive a monthly pension of Kshs 691,200 irrespective of his political affiliation, noting that the Treasury is ensuring that it steers clear of contravening the law in sections that block him from holding any office in a political party six months after retirement, as he is currently the leader of the Jubilee Party for a period of five years as well as chairperson of Azimio One Kenya Coalition.
If President Uhuru were to retire as expected, the Treasury would allocate Kshs 100 million to his retirement for a fully furnished office, aides, limousines, and allowances for housing, fuel, and entertainment.
