The National Assembly has approved the 2023 Budget Policy Statement (BPS) paving the way for the final phase of the budget-making process for the Financial Year 2023/2024.

The passage of the BPS in the House is the culmination of an elaborate consultative process between the National Assembly, Treasury, and other stakeholders including the Commission on Revenue Allocation (CRA), County Governments, Controller-of-Budget, the Parliamentary Service Commission (PSC), Judicial Service Commission (JSC), Ministries, Departments and Agencies as well as the public and other interested persons or groups.

While tabling the Budget and Appropriations Committee Report in the House on Wednesday, the Chairperson Hon. Ndindi Nyoro, said the team interrogated 20 Departmental Committees in regards to their BPS Reports and gave consideration to the submissions from public participation and also held a consultative forum with the National Treasury to realign the BPS to the government policy framework.

“I request for approval of the BPS Report for 2023/24 and approval of the Budget ceilings for the FY 2023/24 as contained in the 1st schedule of the Report”, said Hon. Nyoro

The BPS is a Government policy document that sets out the broad strategic priorities and policy goals to guide the National Government and the County Governments in preparing their budgets for the subsequent financial year and over the medium term.

BPS is anchored on five pillars and 12 enablers which include Agriculture, Micro, Small and Medium Enterprises, Housing and Settlement, Healthcare, Digital and Creative Economy. The aforementioned pillars and enablers in the BPS are expected to contribute towards six strategic objectives including lowering the cost of living, creating employment opportunities, eradicating hunger, improving fiscal space, increasing foreign exchange earnings and promoting inclusive growth.

The preparation of the BPS is a consultative process that involves seeking and taking into account the current Government priorities and challenges in economic management. The approval of the BPS is a critical green light to set in motion several other budget-making processes which have to be completed before the end of the 2022/2023 Financial Year.

Following this approval, the Treasury is expected to develop and issue guidelines for the Medium-Term Expenditure Framework Budget, before submitting the Draft Budget Estimates and Finance Bill to the National Assembly for consideration.