Proposal For Govt Officers To Fly Economy Class For Specific Flights- NADCO Report

The National Dialogue Committee (NADCO) recommended a raft of stringent measures aimed at rationalizing its expenditure for the next three years to allow Kenya's economy to recover and ultimately reduce the cost of living.

NADCO in its 296-page report presented electronically to the Principals representing The Kenya Kwanza and Azimio La Umoja Leadership, that is President William Ruto and former Prime Minister, Raila Odinga, made proposals that mostly touched on reducing government spending, particularly on local and international travel.

The committee recommended that the National Executive, Parliament, Judiciary, County Executives, County Assemblies, Constitutional Commissions and Independent Offices should reduce their travel budget by 50 per cent. 

In particular, NADCO recommended all state and public officers to travel in economy class for flights of not more than four hours, a matter which could prompt the government officers to make use of commercial flights.

Wiper Leader Kalonzo Musyoka (Left) and National Assembly Majority Leader Kimani Ichung'wah (Right) presenting the National Dialogue Committee (NADCO) report on November 25, 2023. /KIMANI ICHUNG'WAH

"All State and Public officers to travel in economy class for flights of not more than four (4) hours," read the report in part.

Azimio la Umoja had proposed to reduce the budget for local and international travel by public servants by 30 per cent, however, NADCO recommended that all arms of government reduce their travel budgets by 50%.

NADCO also recommended the reduction of allocations to hospitality and office general supplies by 50 per cent.

Furthermore, the national and county governments shall adopt the Zero-Based Budgeting approach to enhance accountability, rapidly reduce wastage of public funds and address the challenge of incremental budgeting.

NADCO also recommended that the government develop a Policy on productivity, wealth creation and shared prosperity to foster and ensure a conducive policy environment for industrial development and productivity.

This will be done through incentives for building and promoting local manufacturing, reduction in the cost of energy, improved infrastructure and ease of doing business including the simple, clear, fair, and user-friendly tax system, among others.

"The National Treasury shall by February 2024 undertake and complete a comprehensive review of the national tax policy and taxation regime with the objective of evaluating all tax instruments, enhancing tax revenue, expanding the tax base, lowering the tax burden on Kenyans, improving revenue collection, with a view to make Kenya a competitive investment destination," added the report.

Ruto Welcomes NADCO Report Recommendations

Meanwhile, President William Ruto on Sunday, November 26 welcomed the recommendations by NADCO, citing the practicality of the provisions in the final report.

“You’ve heard that those in charge of the Dialogue are done with that work, and we applaud them for finishing that task, let us join hands and take Kenya forward,” Ruto stated while addressing congregants at the Priesthood Fellowship in Kahawa West, Roysambu Constituency.

“They have given recommendations all those recommendations are okay. Where they said we lessen Government spending by 50%, I have done that already. For those calling for lessening to be done by 30%, I suggest that they increase it to 50% for Kenya to move forward. We must learn to live within our means.”

However, both Azimio and Kenya Kwanza failed to reach a consensus on a number of proposals on the matter of the cost of living, including the reduction of Value Added Tax (VAT) on fuel from 16% to 8%, and scrapping of the housing levy, the twin issues in the Finance Act 2023.