Vihiga officials target Sh200 million in own revenue
Vihiga Governor Wilber Ottichilo.
The Vihiga County government aims to collect Sh199.1 million from its own sources beginning on July 1 as part of a plan to address a Sh700 million deficit in its 2022/23 Sh5.8 billion budget.
The proposed budget, now before the cabinet, shows a post-election spending plan in which the devolved unit expects to receive Sh5.1 billion in equitable share.
To plug the deficit, Governor Wilber Ottichilo proposes to raise its targets in own-source revenue in the new fiscal year.
Missed targets
The county government has struggled to meet its targets in the last four financial years, with the blame laid on the outbreak of the Covid-19 pandemic and pilferage.
In the 2022/23 budget, the county will also seek grants and loans totalling Sh417.3 million.
Even if the county raises more money from its own sources and gets the grants and loans, it will still have a financing gap of Sh84 million.
Finance executive Alfred Indeche said the county will strive to continue maintaining a deficit-free budget.
In his message contained in Vihiga’s Medium Term Debt Management Strategy, Mr Indeche explained that maintaining a deficit-free budget is intended to secure the county's creditworthiness before external borrowing is pursued.
"We will maintain a balanced budget without any deficit. The only debts that affect the county are contingency, creditors and statutory liabilities (pending bills)," he said.
The 2022/23 budget proposes reintroducing the purchase of certified seeds for Sh11.5 million so as to boost food security.
Another Sh11 million will be used to buy dairy cows (Sh5 million), pigs (Sh2 million), apiculture (Sh2 million) and dairy goats (Sh2 million) for farmers.
A similar programme under which farming groups get domestic animals to boost milk and egg production in the largely rural county has existed since 2018.
In the proposed 2022-23 budget, the crucial health sector gets the highest allocation, Sh1.4 billion, for its development and recurrent expenditures.
An additional allocation of Sh110.6 million will pay for leasing medical equipment.
The office of the governor will be the lowest spender, with a cap of Sh259.8 million.
The county assembly's allocation is capped at Sh627 million.
