Kiharu MP Ndindi Nyoro has launched a scathing attack on the government’s proposal to channel pension funds into infrastructure development, saying the move places workers’ savings at serious risk for minimal returns.
Speaking during a public forum in his constituency, Nyoro criticized the plan to invest National Social Security Fund (NSSF) contributions in infrastructure projects, calling it another scandal in the making.
“The NSSF kitty should be invested in a project with optimal returns. Infrastructure is not one of them and in my opinion, this is a bad financial decision.”
Nyoro questioned the financial logic behind investing pension money in infrastructure.
“If infrastructure development was such a lucrative sector, all the private sectors would have invested there because of the high returns,” he added.
The former chair of the parliamentary budget committee accused the Kenya Kwanza administration of turning to pension funds after exhausting traditional borrowing avenues. He asserted that the government has borrowed so heavily that it has run out of room to seek new loans.
Government Too Lazy to Revive Economy
Nyoro didn’t hold back in his criticism, accusing the administration of lacking the creativity needed to jump-start the economy. He claimed the government is looking for an easy way out—at the expense of civil servants’ hard-earned money, which will have far-reaching consequences on the country’s financial stability.
“Civil servants’ money should not be used in such a manner. The government has the responsibility of creating a conducive environment for economic growth so that it can generate more revenue,” he added.
He further claimed the government has borrowed heavily through securitisation schemes without proper parliamentary oversight. According to Nyoro, the state has already borrowed Ksh175 billion via the fuel levy fund without Parliament’s approval.
“The government will pay double the amount which is further adding to the financial burden that the country already has,” he warned.
Nyoro urged the government to adopt prudent fiscal management and slow down on borrowing. “The government must exercise prudent use of public resources and go slow on borrowing to avoid getting deeper into debts because it might take such a long time to recover,” he said.
The lawmaker at the same time opined that the government should leverage the country’s assets to generate money instead of borrowing.
