Reforming Public Finance Management in Kenya: Implementational Challenges on the Principle of Openness and Accountability in Public Finance Management

Abstract

Research done by the World Bank reveals that a majority of African countries have weak PFM systems. As a result, the abuse of the principle of openness and accountability in relation to public resources is rife. The PFM system in Kenya, being no exception to the findings by the World Bank, has witnessed a number of challenges which result in the limited adherence to the principle of openness and accountability. This is despite the codification of the principle in the supreme law of the land, the Constitution of Kenya. This study identifies the challenges that hinder the effective implementation of the principle of openness and accountability in the PFM system. Despite the existence of a Constitution which is considered progressive, openness and accountability continues to be sacrificed at the altar of selfish interests and disregard of the laws as codified. This Research Project critically analyses the effectiveness of the legislation governing PFM in Kenya in relation to holding sacrosanct and promoting the principle of openness and accountability. An in-depth discussion of the challenges facing the implementation of openness and accountability ensues in the study, with useful lessons to the challenges being sought from an analysis of the South African perspective. Overall, this study argues that whereas there may be some weaknesses in the law governing PFM in Kenya, the same are not weak to the extent that they cannot yield the desired outcome. In fact, this study argues that the problem of implementation of openness and accountability is not the law but rather, the people of Kenya, both in the government and the citizenry in general. This is established by conducting a multidisciplinary study, rather than limiting the same to the law. It concludes that there is need to approach the challenges by changing the narrative altogether and embedding within the country, a culture where people hold dearly, leadership and integrity.