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Kenya’s National Treasury noted that the funds from the Susan Thompson Buffett Foundation would be allocated to the State Department of Medical Services
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The nation’s healthcare sector encounters fiscal difficulties following US President Donald Trump’s freeze on assistance as part of a new foreign policy initiative.
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Geopolitical economist Aly-Khan Satchu suggested that the organization might be collaborating with USAID to address the funding gap created by Trump’s suspension of assistance.
The .co.ke correspondent Japhet Ruto boasts more than eight years of expertise in covering finance, business, and technological news. His deep understanding provides valuable perspectives on Kenya’s and the world’s economic patterns.
Kenya is set to receive a KSh 3.8 billion grant from the Susan Thompson Buffett Foundation, a nonprofit organization founded by wealthy businessman Warren Buffet. This contribution forms part of the external financing allocated for Kenya’s budget plans covering fiscal years 2025/2026.
How Warren Buffett’s grant will be spent
The budget estimates from the National Treasury suggest that the funding from the foundation will be handed over to the State Department of Medical Services.
Following this, US President Donald Trump halted funding for the United States Agency for International Development (USAID) and decreased international contributions.
Geopolitical economist Aly-Khan Satchu suggested that the organization might be collaborating with USAID to address the budget shortfall resulting from Trump’s suspension of aid.
The charitable foundation operates independently from Berkshire Hathaway and focuses solely on philanthropy. It seems likely that a strong case was presented regarding the funding gap and its significant repercussions, which were received favorably. Additionally, these organizations might have collaborated with USAID and possibly addressed shortages in areas where commitments had been made,” Aly stated to .co.ke.
According to Citizen Digital, the resources will be utilized to improve national healthcare provisions.
NTV reported that Treasury Secretary John Mbadi stated the government plans to assess the present budget with an emphasis on crucial sectors. He also mentioned that implementing this pause would lead to a funding gap of Ksh 52 billion for the financial year 2024/2025.
How did Kenyans react?
.co.ke
sampled some comments online:
Msufi Mkavu:
Hold on a moment! How does this get reflected in the budget? And how is it protected from sudden corruption within the Ministry of Health?
Simon Jordan:
The project accounts for 18.1% of the KSh 20.93 billion allocated to Kenya’s State Department of Medical Services.
Raymond Otieno:
As we all understand, this won’t affect healthcare. If donated fertilizers end up being sold for KSh 2500 after altering the soil, and climate change funds are redirected to unknown destinations, then this fresh financing will make no difference either.
Jimmy Mayore:
The presidency is allocating more funds for unnecessary refurbishments and hiring unproductive consultants.
Peter Mwai:
Buffett’s contribution isn’t just philanthropy—it’s power bundled with vast wealth. Kenya does not require conditional external ‘assistance’.
@watu_saba:
There needs to be clarity regarding how gathered and contributed monies are utilized within this nation; otherwise, these funds might merely serve as election resources reserved for 2027.
@cunnincocoon:
“What interests does this man have in our health sector. With this government, we have learnt to question everything.”
@MironeOfficial:
“Entrepreneurs invest…What is he investing?”
@doubleblackTkd:
He’s promoting a specific plan within the healthcare industry. Be cautious of them.
@iamJeffCFC:
Where will the funds end up? In the hands of just a few individuals.
@luwigyy:
Even post-COVID-19, our well-being remains threatened. Is it possible for the government to reassess its stance?
What is the projected budget for the fiscal year 2025/2026?
The National Treasury unveiled the Budget Policy Statement (BPS) for fiscal year 2025/2026, raising Kenya’s total budget estimates from KSh 3.98 trillion in 2024/2025 to KSh 4.26 trillion.
Including appropriations-in-aid, revenues are expected to total KSh 3.39 trillion, where ordinary revenue makes up KSh 2.84 trillion.
The government will disburse KSh 436.7 billion to counties, while KSh 725.1 billion will be allocated to development projects, and KSh 3.1 trillion for recurrent expenditure.
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