One-third of the Kenyan government's total public spending for 2011-2012 fiscal year was unaccounted for, Auditor General Edward Ouko told the National Assembly Monday (October 7th).
Of the 920 billion shillings ($10.8 billion) spent in 2011-2012, 303 billion shillings ($3.56 billion) "can be regarded as not having been properly accounted for", Ouko said, according to Kenya's Daily Nation.
Of the 252 financial statements examined by the auditor's office, only 15 could be considered "clean", he said. This is an improvement from the previous year, however, when none of the statements were deemed clean.
The statements' problems included unsupported expenditure, unauthorised spending, un-cleared balances, excess expenditure, and misallocation of expenditure items, among others. Several ministries and departments also opted to prepare their statements on a cash basis, presenting further accounting challenges.
Ouko warned that if mismanagement of the government's budget is not fixed, it could spread to the county governments.
"The situation will definitely be more complicated and intricate when county governments come on board, as this problem will be devolved to all the 47 of them," he said.