The Auditor General has flagged Sh8 billion allocated to the Hustler Fund in the financial year ending June 2023 as unaccounted for, despite the National Treasury disbursing the amount to the State Department for Cooperatives Development during the period Auditor General Nancy Gathungu has said in her report for the year ending June 2023 that the state department spent Sh14 billion despite having an approved budget of Sh22.96 billion.
This means there was an under-absorption of Sh8.2 billion, which represents 36 per cent of the entire allocation.
Cooperatives Principal Secretary, Patrick Kilemi, who appeared before the National Assembly Public Accounts Committee (PAC) chaired by Butere MP Tindi Mwale, was at pains to explain how the money was spent, as the Auditor General raised questions of underfunding, which came in the way of implementing planned activities.
He, however, acknowledged that a budget of Sh20 billion was allocated towards the Hustler Fund for the financial year. "The department made a request for the transfer of Sh12 billion to the Hustler Fund which were processed and transferred but no request was made for processing the balance of the final batch of Sh8 billion, thus an under-absorption," the PS explained.
