This document presents the budget for the Public Administration and International Relations sector for the 2016/17-2018/19 medium term. It outlines the sector's composition, vision, strategic objectives, and key achievements from 2012/13-2014/15. The medium term priorities and financing plan are also presented, including the sector's programs, financial requirements and allocations, and existing resource gaps.

1. PUBLIC ADMINISTRATION AND
INTERNATIONAL RELATIONS SECTOR
2016/17 – 2018/19
MTEF BUDGET PRESENTATION
Presented By:
Dr (Eng) Karanja Kibicho, CBS
Principal Secretary , Ministry of Foreign Affairs and
International Trade
20TH NOVEMBER, 2015
1

2. Outline
1. Introduction/Sector Composition
2. Sector Vision and Mission
3. Strategic Objectives
4. Trends in Funding, 2012/13–2014/15
5. Trends in Expenditure, 2012/13–2014/15
6. Performance Review of Programmes (Key Sector Achievements)
7. Sector Medium Term Priorities, 2016/17–2018/19
8. Sector Financing Plan
 Sector Programmes for 2016/17–2018/19
 Financial Requirement/Allocation for 2016/17–2018/19
9. Key Outputs for the Medium Term 2016/17–2018/19
10.Cross Sector Linkages
11.Sector Emerging Issues and Challenges
12.Recommendations
13.Conclusion
2

3. INTRODUCTION/SECTOR COMPOSITION
The PAIR Sector Comprises 13 sub-sectors:
1. The Presidency
2. State Department of Planning
3. State Department for Devolution
4. Foreign Affairs and International Trade
5. National Treasury
6. Parliamentary Service Commission
7. National Assembly
8. Commission on Revenue Allocation
9. Public Service Commission
10. Salaries and Remuneration Commission
11. Office of the Auditor General
12. Controller of Budget
13. Commission on Administrative Justice
3

4. 4
INTRODUCTION/SECTOR COMPOSITION … (cont’d)
Semi-Autonomous Government Agencies
• The sector also hosts 37 Semi-Autonomous
Government Agencies (SAGAs).

5. SECTOR VISION AND MISSION
Sector Vision
Excellence in public policy and devolution management,
resource mobilization, governance and foreign relations.
Sector Mission
To provide overall policy, leadership and oversight in
economic and devolution management, public service
delivery, resource mobilization and implementation of
Kenya’s foreign policy.
5

6. SECTOR OBJECTIVES
The Sector will be guided by the following strategic objectives:
1. Provide overall policy and leadership direction for national
prosperity;
2. Promote prudent economic, financial and fiscal management
for growth and economic stability;
3. Promote Kenya’s international trade and articulate Kenya’s
Foreign Policy;
4. Promote good governance and accountability in the management
of public affairs at the national and county Governments levels;
5. Provide quality, efficient, effective, results based and ethical
public services for national development;
6. Enhance humanitarian response and affirmative action in ASALs
7. Enhance Intergovernmental Relations;
8. Promote a competitive business environment and public private
partnership
6

7. SECTOR OBJECTIVES (cont’d):
9. Promote public policy formulation, planning, coordination,
implementation, monitoring and evaluation of public projects for
national development;
10. Promote gender and youth empowerment, livelihoods for the
vulnerable groups and marginalized areas;
11. Strengthen national and county governments capacity for
implementation of devolution;
12. Attract, retain and develop competent human resource and
deepen Public Service reforms for national competitiveness and
transformation;
13. Strengthen national legislation and oversight over public
agencies and promote good governance;
14. Promote harmony, equity and fair remuneration for attraction
and retention of skilled staff in the public service; and
15. Oversee and facilitate implementation of the Constitution of
Kenya, 2010, the Kenya Vision 2030 and its Medium Term Plans
for national transformation. 7

8. TRENDS IN FUNDING, 2012/13 – 2014/15 (RECURRENT)
8
Subsector
Approved Estimates (Kshs. Millions) Actual Expenditure (Kshs. Millions)
2012/13 2013/14 2014/15 2012/13 2013/14 2014/15
Presidency 5,851.49 5,214.77 7,218.64 5,356.28 4,807.24
6,446.97
State Department of
Planning
11,229.78 12,169.10 15,319.70 11,037.00 11,826.70
14,704.20
State Department for
Devolution
27,923.30 4,921.95 4,336.83 16,456.30 4,728.99
4,321.99
Foreign Affairs and
International Relations
11,153.00 12,267.55 13,415.35 10,484.00 11,767.75
12,588.12
The National Treasury 22,552.08 24,663.35 29,814.51 24,132.77 23,068.70
29,349.83
Parliamentary Service
Commission
12,979.00 22,649.00 22,375.00 11,604.00 20,762.00
21,388.00
Commission on Revenue
Allocation
323.00 268.00 271.00 258.00 283.00
263.00
Public Service Commission 773.00 676.00 811.00 773.00 679.00
786.00
Salaries and remuneration
Commission
492.70 506.60 840.10 344.60 431.50
661.90
Auditor General 1,940.00 2,242.60 2,805.70 1,730.10 2,025.00
2,669.80
Controller of Budget 272.10 341.30 363.50 137.40 282.80
338.30
Commission of
Administrative Justice
188.44 254.73 355.78 189.59 244.26
318.85
Total 95,677.89 86,174.95 97,927.11 82,503.04 80,906.94 93,836.96

9. TRENDS IN FUNDING, 2012/13 – 2014/15 (DEVELOPMENT)
9
Approved Budget (Kshs. Millions) Actual Expenditure (Kshs. Millions)
Sub Sector 2012/13 2013/14 2014/15 2012/13 2013/14 2014/15
Presidency 2,705.53 1,447.56 1,236.63 2,304.01 1,438.14 1,057.24
State Department of
Planning 29,998.10 50,584.50 56,110.00 22,943.67 39,157.53 58,319.00
State Department for
Devolution 5,420.13 5,969.82 9.72 4,788.20 4,321.82 2.25
Foreign Affairs and
International
Relations 445.00 341.50 1,625.70 372.00 284.60 1,227.60
The National Treasury 20,497.53 10,520.64 41,489.29 11,567.04 7,287.83 27,199.32
Parliamentary Service
Commission 2,263 2,435 4,075 1,563 1,405 -
Commission on
Revenue Allocation 22.00 2.00 6.00 18.00 2.00 3.00
Public Service
Commission 35.00 207.00 168.00 49.00 206.00 163.00
Auditor General 66.5 1043.5 510.3 54.3 1022.1 80.4
Controller of Budget 109 30.2 32.4 103.2 23.9 30.5
Commission of
Administrative Justice 27.8 42.63 44.12 26.63 39.91 36.57
Total
61,589.59 72,624.35 105,307.16 43,789.05 55,188.83 88,118.88

10. Performance Review of Programmes (Key Sector
Achievements)…/1
The resources allocated in 2012/13 - 2014/15 Medium Term
period facilitated the sector to achieve the following:
• Distributed 32 mobile clinics to counties
• Conducted special audit and routine audits for state
corporations
• Held the 6th Global Entrepreneurship Summit (GES)
• Published and launched the Kenya Foreign Policy and Kenya
Diaspora Policy
• Deepened Kenya’s foreign relations and engagement through
coordinating outbound and inbound state/official visits and
signing of bilateral frameworks of cooperation
• Established and operationalized new diplomatic Missions
including construction and refurbishment of government
owned properties abroad.
10

11. Performance Review of Programmes (Key Sector
Achievements) …/ 2
• Promoted International Trade through negotiation of several
bilateral trade agreements and MOUs
• Conducted capacity building of various Diplomats in the
region in various fields such as trade negotiation, peace and
security among others
• Conducted capacity building to Government of South Sudan
Officials in public administration
• Provided support to county governments on development
planning and protocol
• Coordinated implementation of area-based community
development programmes such as: Community Dev’t Trust
Fund programmes, Community Empowerment & Institutional
Support Project, Programme for Agriculture & Livelihoods in
Western Communities, among others. Published and
disseminated macroeconomic policies and development plans
11

12. Performance Review of Programmes (Key Sector
Achievements) …/3
• Published Public Policy Research and Analysis reports
• Tracked and reported on implementation of Second Medium
Term Plan through Annual progress reports
• Held campaigns on population control measures
• Increased intake and training of youth through the NYS
programme
• Continued to empower Youth, Women and PWDs Groups
through catalytic fund
• Produced annual, quarterly and monthly statistical
publications and reports
• Transformed public service through various interventions e.g
placing MDAs on performance contracts, review of schemes of
service, establishment of Huduma Centres
12

13. Performance Review of Programmes (Key Sector
Achievements) …/4
• Supported devolution process through development and
dissemination of Civic Education Curriculum, County model
laws, Public participation and Devolution sector policy
• Provided relief food and non-food materials to non-food
secure communities and people affected by emergencies
• Provided humanitarian support and resettled IDPs
• Implemented drought management initiatives in ASALs
• Developed National Public-Private Partnerships Regulations
• Enhanced capacity for internal audits through development of
Internal audit guidelines and Value for Money Standards &
Guidelines
• Rolled out IFMIS module to all counties
13

14. Performance Review of Programmes (Key Sector
Achievements) …/5
• Reviewed Legal and regulatory frameworks governing public
procurement
• Conducted capacity building among institutions implementing
public financial management reforms
• Enhanced and rolled out electronic project management
information system (e-ProMIS) to MDAs and Counties.
• Built capacity of the Market Competition Authority so as to
eliminate restrictive trade practices through development of
merger enforcement and consumer guidelines/ sensitization
• Enacted laws and provided oversight over usage of public
resources
• Developed and distributed model county revenue laws to
guide counties in drafting of legislation
14

15. Performance Review of Programmes (Key Sector
Achievements) …/6
• Made recommendation on division of revenue between
national and county governments
• Built capacity of County Public Service Boards and County
Assembly Service Boards
• Conducted Job re-evaluation for State Officers in County
Governments
• Conducted national and county audits, and specialized audits
• Handled and resolved public complaints through the
Ombudsman office
15

16. SECTOR MEDIUM TERM PRIORITIES …/1
1. Provide policy direction and coordination of functions of
Government Ministries, Departments and Agencies.
2. Maintain macroeconomic stability for sustained economic growth
and development.
3. Expand and strengthen Kenya’s diplomatic representation and
engagement for increased political and socio-economic
development.
4. Promote international trade and investments for global
competiveness, national development and shared prosperity
5. Entrenchment of devolution for enhanced service delivery and
equitable development.
6. Coordinate implementation and tracking of the Vision 2030’s
Second Medium Term Plan [MTP II], 2013-2017, for national
transformation.
16

17. SECTOR MEDIUM TERM PRIORITIES …/ 2
7. Strengthen human resource capacity in the national and county
governments for effective service delivery.
8. Promote competition for consumer and business protection.
9. Promote gender equality and socio-economic empowerment of
women and the youth. Resettlement of IDPs and other vulnerable
groups.
10. Promote equitable revenue sharing between national and county
governments, and among county governments.
11. Promote financial management and enhance revenue for both
national and county governments.
12. Transform human resource in Public Service to enhance
professionalism, efficiency and effectiveness in service delivery.
13. Enhancement of Public Service delivery.
17

18. SECTOR MEDIUM TERM PRIORITIES …/3
14. Provide and disseminate comprehensive, integrated, accurate and
timely national statistics for policy formulation.
15. Promote accelerated and sustained socio-economic development
in arid and semi-arid lands and end drought emergencies in Kenya
Strengthen legislative capacity, representation and oversight
function of Parliament.
16. Uphold and promote the national values and principles of
governance and values and principles of the Public Service.
17. Ensure a competitive and fiscally sustainable public wage bill.
18. Promote accountability in the use of public resources through
timely audit reports.
19. Enhance monitoring and reporting of budget implementation of
national and county government to Parliament.
20. Address maladministration and promote fairness in public service
delivery. 18

19. Sector Financing Plan:
Sector Programmes For 2016/17-2018/19 …/1
The Following are the Sector programmes for 2016/17 to
2018/19- Programme Based Budgeting approach based on
international standards
1. State House Affairs
2. Deputy President Services
3. Cabinet Affairs
4. Government Advisory Services
5. Economic Policy and National Planning
6. National Statistical Information Services
7. Gender & Youth Empowerment
8. Public Service Transformation
9. Monitoring and Evaluation Services
10. General Administration Planning and Support Services –
Planning
11. Devolution Services
12. Special Initiatives 19

20. Sector Financing Plan:
Sector Programmes For 2016/17-2018/19 …/2
13. Accelerated ASAL Development
14. General Administration Services – Devolution
15. General Administration, Planning and Support Services –
Foreign Affairs
16. Foreign Relations and Diplomacy
17. International Trade and Investments
18. General Administration, Planning and Support Services –
National Treasury
19. Public Financial Management
20. Economic and Financial Policy Formulation and
Management
21. Market Competition and Creation of an Enabling Business
Environment
20

21. Sector Financing Plan:
Sector Programmes For 2016/17-2018/19 …/3
22. Senate Affairs
23. Legislation, Representation and oversight
24. General Administration, Planning and Support Services –
Parliamentary Service Commission
25. Inter Government Revenue and Financial Matters
26. General Administration, Planning & Support Services –
Public Service
27. Human Resource Management & Development
28. Governance and National Values
29. Salaries and Benefits Management
30. Audit Services
31. Control and Management of Public finances
32. Promotion of Administrative Justice 21

22. 22
Sector Financing Plan:
Financial Requirements & Allocation for
2016/17 - 2018/19
Baseline Requirements
(Kshs. Millions)
Allocations
(Kshs. Millions)
Resource
Gap
Public Administration
and International
Relations
2015/16 2016/17 2017/18 2018/19 2016/17 2017/18 2018/19 2016/17
Vote:
Recurrent 115,465.13 189,279.98 205,824.56 220,835.57 121,888.00 144,888.00 149,332.00 67,391.98
Development 127,889.00 158,427.00 165,951.13 165,217.14 124,277.00 143,094.00 148,809.00 64,150.00
Total 243,354.13 347,706.98 371,775.69 386,052.72 246,165.00 287,982.00 298,141.00 131,541.98

23. Financial Requirements by Sub-sector for 2016/17-2018/19 (Recurrent)
23
Sub Sector
2015/16 Printed
Estimates
(Kshs Millions)
2016/17 Requirement
(Kshs Millions)
2016/17 Allocation
(Kshs Millions)
Resource Gap
Presidency 5,950.56 10,367
6,219.68 4,147.32
State Department for planning 19,791.62 29,786 20,511.88
9,274.12
State Department for Devolution 2,300.79 13,174 3,671.71
9,502.27
Foreign Affairs and International
Relations
13,135.86 23,903 13,297.91
10,605.09
The National Treasury 43,216.46 73,969 46,509.40 27,459.61
National Assembly 15,156.59 16,076 15,447.52 628.48
Parliamentary Service
Commission
8,920.41 10,618 9,058.97
1,560.00
Commission on Revenue
Allocation
345.58 681 365.35
315.65
Public Service Commission 1,126.40 2,266 1,202.60 1,063.40
Salaries and remuneration
Commission
722.83 884.6 559.52
325.08
Auditor General 3,736.49 6,143 3,950.08 2,192.92
Controller of Budget 580.83 618.38 598.89 19.49
Commission of Administrative
Justice
480.71 794 493.49
300.51
Total 115,465.13 189,279.98 121,888.00 67,391.98

24. 24
Financial Requirements for 2016/17-2018/19 (Development)
Sub Sector
2015/16 Printed
Estimates
(Kshs. Millions)
2016/17
Requirement
(Kshs. Millions)
2016/17
Allocation
(Kshs. Millions)
Resource Gap
Presidency
1,846 4,855 1,846
3,009
State Department for
planning
61,713 91,720 61,713
30,007
State Department for
Devolution
9,389 19,971 9,389
10,582
Foreign Affairs and
International
Relations
1,402 12,168 1,349
10,819
The National
Treasury
49,770 88,377 46,211
42,166
Parliamentary
Service Commission
3,200 3,800 3,200
600
Public Service
Commission
167 350 167
183
Auditor General
402 2,110 402
1,708
Total 127,889 223,351 124,277 99,074

25. 25
Resource Requirements and Allocations by Economic
Classification – Recurrent
Baseline Requirements
(Kshs. Millions)
Allocations
(Kshs. Millions)
Public
Administration
and
International
Relations
2015/16 2016/17 2017/18 2018/19 2016/17 2017/18 2018/19
Gross
115,465 189,279.98 205,824.56 220,835.57 121,888.00 144,888.00 149,332.00
AIA 1,410 1,495.24 1,551.45 1,610.40 342.00 342.00 342.00
Net 114,055 187,785.97 204,273.11 219,225.17 121,546.00 144,547.00 148,990.00
Compensation
to Employees 43,981 71,317.67 80,724.46 87,169.11 44,931.00 56,763.00 58,466.00
Transfers 24,714 35,525.69 37,366.39 36,805.00 25,613.00 25,613.00 26,557.00
Other
Recurrent (O
& M)
46,770 82,438.10 87,733.31 96,861.63 51,344.00 62,512.00 64,309.00

26. 26
Resource Requirements and Allocations by Economic
Classification – Development
Baseline Requirement
(Kshs. Millions)
Allocation
(Kshs. Millions)
Public
Administratio
n and
International
Relations
2015/16 2016/17 2017/18 2018/19 2016/17 2017/18 2018/19
Gross 127,889.00 158,427.50 165,951.13 165,217.14 124,277.19 143,094.22 148,809.31
GOK 100,640.00 142,025.23 152,181.96 150,617.97 97,080.22 115,897.25 121,612.34
Loans 3,802.00 1,977.82 1,977.82 1,977.82 3,801.97 3,801.97 3,801.97
Grants 23,391.00 14,367.45 11,735.35 12,565.35 23,339.00 23,339.00 23,339.00
Local A.I.A 56.00 56.00 56.00 56.00 56.00 56.00 56.00

27. Key Outputs for the Medium Term, 2016/17 – 2018/19 …/1
The following are the key medium term outputs for the Sector:
• Improved State Houses and State Lodges infrastructure
• Effective communication of Presidential functions and information
• Strengthened diplomatic representation and engagement.
• New Kenya missions abroad opened and honorary consuls appointed
• Export markets in foreign markets established and increased Foreign
Direct Investment through international trade and investment
promotions
• Annual Presidential Report on compliance to article 10 and 232 of the
constitution
• Enhanced Kenya’s image, prestige and global competitiveness
• Efficiency monitoring system audits in identified MDAs conducted
• Effective policy advisory through the Cabinet Office
• Quarterly reports on Policy advisories to State Corporations
• Macroeconomic policies and plans developed
• Statistical publications and reports produced and disseminated
27

28. Key Outputs for the Medium Term, 2016/17 – 2018/19 …/2
• Public Policy Research and Analysis publication produced
• Monitoring and Evaluation reports prepared and disseminated
(Annual Progress Reports, Public Expenditure Reviews, Mid-Term and
End-Term Evaluation of MTP II)
• Monitoring and evaluation of Vision 2030 flagship projects conducted
• Socio economic empowerment of communities through
implementation of targeted projects and programmes Women, Youth
and PWDs Affirmative services provided
• Youth mentorship and sensitization services provided
• National youth training services provided
• Youth empowerment services provided
• Gender capacity building services provided
• Human Resource Management and Development services
• Public service delivery transformation through Huduma Kenya
Centres
28

29. Key Outputs for the Medium Term, 2016/17 – 2018/19 …/3
• County development planning support services provided
• Intergovernmental relations guidelines disseminated in counties
• County assets and liabilities valued and verified, functions unbundled
and county functions transferred
• Successful Annual Devolution and Sector Conferences held
• Institutional framework to facilitate implementation of civic
engagement programmes established Support to resettlement of
IDPs
• Disaster preparedness and mitigation coordinated
• Structure for Ending Drought Emergencies both at the National and
County level coordinated
• Devolution and ASALs policies developed and implemented
• National Budget produced
• External resources mobilized
• Accounting systems and reporting format reviewed and developed
29

30. Key Outputs for the Medium Term, 2016/17 – 2018/19 …/4
• Integrated Financial Management Information System re-engineered
• Access to Government Procurement Opportunities policy
implemented
• Nairobi International Financial Centre and diplomatic hub established
• Economic and financial policies formulated; fiscal and monetary
policies monitored and analyzed
• Electronic project management information system (e-ProMIS)
enhanced and rolled out to MDAs and Counties
• Annual debt report & medium term debt strategy published
• Affordable credit disbursed to micro, small and medium–sized
enterprises
• Parliamentary Bills introduced and Motions considered
• Parliamentary oversight over usage of public resources provided
• Recommendations on vertical and horizontal division of revenue
formulas
30

31. Key Outputs for the Medium Term, 2016/17 – 2018/19 …/5
• Operationalization of the Mwongozo code of governance, national
cohesion and values
• Human resource management policies developed /reviewed
• Guidelines on norms and standards of public service developed and
reviewed
• Comprehensive job evaluation report for the entire Public Service
• Strengthened legal framework for management of Remuneration
and Benefits
• Audit reports issued by the Auditor General’s office
• Timely approval of MDAs exchequer requisitions by the Controller of
Budget
• Quarterly production of the budget implementation review reports -
COB
• Addressed and/or resolved of public complaints on
maladministration of justice.
• Increased Ombudsman service delivery points 31

32. CROSS SECTOR LINKAGES
• The Sector mandates cuts across all other sectors.
• The Sector Provides overall leadership and policy
direction in the conduct and management of public
affairs.
• It coordinates Government business, foreign policy and
relations, planning and budgeting, devolution affairs,
mobilization and management of both financial and
human resources, remuneration and benefits
management and general development of the public
service
32

33. EMERGING ISSUES & CHALLENGES …/1
The Sector has identified the following emerging issues &
challenges that may affect the implementation of programmes:
• Macroeconomic instability – such as high inflation and
interest rates and depreciation of the local currency – can
lead to higher prices of goods and services and reduced
revenue collection;
• Huge Public Service Wage Bill, which consumes about 50%
of ordinary revenue, reduces funds available for
development;
• Litigations by institutions, individuals and groups that lead to
high cost to government and delays in implementation of
policies and programmes
33

34. EMERGING ISSUES & CHALLENGES …/2
• The fluctuation of the Kenyan Shilling against the major
currencies and volatility of the exchange rate markets has led
to foreign exchange losses emanating from remitting funds to
Kenyan Missions abroad, debt repayment and payment of
mandatory subscriptions to international organizations;
• The increasing frequency and intensity of impacts of climate
change which may result to vulnerability of the communities,
thus necessitating reallocation of resources from priority
programmes;
• Understaffing in some MDAs as a result of re-organisation of
the Government in 2013
34

35. RECOMMENDATIONS …/1
• Lobby for adequate resources to ensure implementation of
increased number of programmes as a result of expanded
Sector mandate
• Fast tract implementation of the ambitious sector priorities by
involving the Private Sector through the PPP framework. This
would facilitate funding of some priority projects that would
normally be shelved due to scarcity of public resources.
35

36. RECOMMENDATIONS …/2
• Enhancing staff capacity and development through provision of
adequate training resources to meet the demands of a modern
public service; and
• Strengthen the monitoring and evaluation of projects and
programmes to enhance transparency, accountability and
timely generation of status reports for projects under
implementation- plans under way to harmonize the e-PROMIS
and the National Integrated Monitoring and Evaluation system.
36

37. 37
CONCLUSION
• The Sector has outlined the key targets it intends to achieve within the
2016/17 to 2018/19 MTEF period through implementation of 32
programmes that are geared towards achieving a diverse set of defined
objectives, outcomes and outputs.
• The Sector recognizes the need to progressively respond to the
emerging issues and challenges through putting in place various
measures aimed at enhancing service delivery within the various
subsectors and autonomous and semi-autonomous agencies.

38. 38
THE END
Thank You For Your
Attention