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Economy

Select Kenyans to Receive Monthly Payments Under New Treasury Proposal

Judith MwauraBy Judith MwauraAugust 20, 2025No Comments4 Mins Read
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The government is considering a new plan that could see former councillors receive monthly cash payments under the Inua Jamii programme.

The proposal, which was recently presented by Treasury Cabinet Secretary John Mbadi, seeks to include ex-councillors who served for less than 20 years in government but have not been compensated.

Previously, there had been discussions about giving these leaders a one-off honorarium of Ksh200,000 as a form of appreciation for their service. However, according to Mbadi, that option is no longer legally possible.

Instead, the Treasury is pushing for a more sustainable solution through the Inua Jamii programme, which currently provides financial support to vulnerable groups such as the elderly, orphans, and people living with disabilities.

An honorarium is usually a single payment made to recognize someone’s contribution, particularly when the services they offered went beyond their official responsibilities. But in this case, Mbadi explained that legal restrictions have made it impossible to issue such lump-sum payments to the former councillors.

If this new plan is approved, the former councillors will start receiving Ksh2,000 every month as part of Inua Jamii’s regular cash transfers.

The proposal is especially significant because, at the moment, there is no legal framework that allows for direct compensation of the 328 councillors who served for fewer than 20 years.

Appearing before the Senate Committee on Labour and Social Welfare on Wednesday, August 20, Mbadi reminded lawmakers that the Senate had passed a resolution back in October 2018 recommending that the councillors be paid.

This resolution was also supported by findings from the Inter-agency Taskforce on honoraria and pensions for former councillors. However, despite this support, the Treasury has not been able to make payments because of legal hurdles.

“The delay in implementing the Senate resolution of 18th October 2018 and the recommendations of the Inter-Agency Task Force on the payment of honoraria and pensions to former councillors has been primarily due to legal constraints,” Mbadi explained during the session.

He went further to clarify that the Attorney General, in a legal opinion dated May 8, 2023, concluded that there was no legal foundation to justify a one-off payment of Ksh200,000 to councillors who served for less than two decades.

This meant the Treasury had to explore other alternatives, leading to the current proposal of monthly stipends under Inua Jamii.

The development comes only a week after the Ministry of Labour confirmed that it had released Ksh4.6 billion for Inua Jamii beneficiaries. These funds were meant to cover payments for the months of June and July, following delays that had left many beneficiaries without their June allocations.

In a statement released on Thursday, August 7, Social Services and Senior Citizen Affairs Principal Secretary, Joseph Motari, announced that more than one million beneficiaries of the programme would now receive Ksh4,000 each, representing two months’ payments.

Motari urged beneficiaries and their caregivers to ensure they collected the funds promptly, stressing the government’s commitment to supporting vulnerable Kenyans.

“The Ministry of Labour and Social Protection, through the State Department for Social Protection and Senior Citizen Affairs, has released Ksh4,607,668,000 for payment to 1,151,917 Older Persons and Persons Living With Severe Disabilities enrolled in the Inua Jamii Programme,” Motari confirmed.

This latest proposal, therefore, comes at a time when the government is under pressure to balance legal requirements with social welfare needs.

Should the plan be adopted, it would not only resolve the long-standing issue of compensating former councillors but also expand the reach of Inua Jamii, ensuring that more Kenyans who once served the country are included in its safety net.

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Judith Mwaura is a dedicated journalist specializing in current affairs and breaking news. She is passionate about delivering accurate, timely, and well-researched stories on politics, business, and social issues. Her commitment to journalism ensures readers stay informed with engaging and impactful news.

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