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Public universities on the spot over Sh34b statutory deductions

By Irene Githinji
Wednesday, September 30th, 2020
University and Research Principal Secretary (PS), Simon Nabukwesi.
In summary

Public Universities are yet to remit statutory deductions amounting to Sh 34 billion, University and Research Principal Secretary (PS), Simon Nabukwesi has said.

Nabukwesi said some of the universities with high amount of unpaid remittances are Moi, Egerton, Technical University of Kenya and the University of Nairobi.

The PS said the universities may require a bail out to be able to meet their obligations.

Deteriorating status

He said the unremitted payments include Kenya Revenue Authority, pension scheme dues, insurance premiums, Sacco contributions, National Social Security Fund and National Hospital Insurance Fund.

“Universities have been experiencing unprecedented financial challenges. The total amount owed is Sh34 billion.

KRA and other institutions realised after a long time that there is accumulation of unremitted deductions,” said the PS.

He made the remarks yesterday when he appeared before the National Assembly Education Committee as MPs decried the status of universities.

Members of the committee, which was moderated by Bomachoge Borabu MP Zadoc Ogutu, put the PS to task to explain the deteriorating status of universities and why focus is on Technical, Vocational Education and Training  institutions.

Nominated MP  Wilson Sossion said the status of universities depicts a ‘sinking’ sector, whose resources have vanished.

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