Busia Senator Okiya Omtatah has questioned the missing KSh 300 billion flagged in a new public audit by Auditor General Nancy Gathungu. The audit covers funds raised through government bonds between 2017 and 2023. It shows that the National Treasury collected KSh 2.97 trillion from domestic borrowing over that period. Only KSh 2.67 trillion reached the Consolidated Fund. The remaining KSh 300 billion has no clear trail.
The audit also shows that much of the traced KSh 2.67 trillion went to domestic debt payments. Little of it supported development projects. This pattern now matches a broader trend. A growing wage bill and rising debt service leave fewer resources for projects that improve daily life. Counties and national agencies commit most revenue to salaries, allowances, pensions, and interest payments. The space for actual services shrinks each year.
Omtatah says the KSh 300 billion gap is part of this larger pressure. Public borrowing covers holes in the budget created by recurrent obligations. When the state raises money through bonds, the money should enter the Consolidated Fund and be used through transparent channels. When records fail to show where the money landed, the load on taxpayers grows because the debt must still be serviced.
“KSh 300 billion cannot simply disappear. Money does not vanish. It is made to vanish. Those responsible must be held personally liable.” Said Omtatah
He says the gap sits in a period when households feel the effects of high wage costs at the national and county levels. As wage obligations grow, the Treasury relies on domestic borrowing to keep the system running. When borrowed funds cannot be traced, the country drifts into higher debt and lower service delivery.
Omtatah cites Articles 201 and 206 of the Constitution, which require full disclosure in the handling of public money. He says mismanagement of bond proceeds harms the country because these funds carry interest obligations that shape future budgets. A large wage bill and mounting debt service then crowd out water, school supplies, health equipment, and other basic needs.
He has vowed to take the matter to Parliament, to the courts, and to the public until a clear explanation is placed on record. He says he will pursue the issue until Kenyans know where the money went.
