Change of tack as rising rents in world capitals eat into Foreign Affairs budget

Foreign Affairs and International Trade cabinet secretary Amina Mohamed. PHOTO | DIANA NGILA

What you need to know:

  • Documents tabled in Parliament show rents paid by foreign missions now account for a fifth of the ministry’s recurrent budget of Sh17.9 billion or Sh3.58 billion.

The Foreign Affairs ministry is seeking to buy properties to house Kenyan diplomats and embassies as rising rents in major world capitals eat deep into its budget.

Documents tabled in Parliament show rents paid by foreign missions now account for a fifth of the ministry’s recurrent budget of Sh17.9 billion or Sh3.58 billion.

The recurrent budget has been rising over the past four years, leaving less funds for development projects such as opening new missions that are crucial for expanding Kenya’s diplomatic presence.

“In order to reduce such expenditures, the ministry plans to acquire either through construction or purchase, for embassy/mission offices and staff houses,” government records indicate.

MPs have raised the red flag over the runaway recurrent costs.

“The cost of renting and leasing of buildings to house chanceries, ambassadors’ residences and staff houses abroad is very high and such costs are unsustainable in the long run,” Parliament’s Budget and Appropriations Committee says in its latest report.

“The ministry should adopt austerity measures and rationalise their staffing levels in foreign missions.”

The ministry has recently been hit by financial shortfalls, hampering efforts to open new missions and trade commission offices to shore up Kenya’s international relations and economic diplomacy.

It was expected to open trade commission offices in key commercial capitals like New York, Shanghai, Frankfurt, Johannesburg and Brussels, but this has not been achieved.

“It is observed that the ministry’s policy of expanding Kenya’s diplomatic presence has not made significant headway due to inadequate funding,” MPs said in the report.

The cash shortfall has also cooled plans to open new missions in Morocco, Malawi, Senegal, Djibouti and Cuba alongside consulates in Arusha, Kismayu, Hargeisa, Garowe and Goma.

The ministry says it faces financial challenges in assisting Kenyans in distress abroad.

“The committee recommends that the Budget and Appropriation committee approves the ceiling of Sh19.509 billion as it appears in the budget policy statement.”

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