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SBS MBA Participants Lead Governors in County Development Spending

SBS produces some of the best leaders and managers in Africa. A recent report, ‘How Governors spend your Money,’ published in the Daily Nation on Friday, 6th February, is the latest testament to this fact. The report, prepared by the World Bank, was based on findings on spending on development projects as a percentage of the total allocation that the governors received during the 2013/2014 financial year.

The two leading counties, Wajir and Turkana, with 58% and 57% spending respectively are led by governors who have gone through SBS’s Masters in Business Administration (MBA) for executives. Wajir Governor Hon. Ahmed Abdullah, an alumnus of the 2011 class, led his county to the top position while Turkana Governor Hon. Josphat Nanok, currently a Modular MBA student, took second place in a total of 47 counties.

The two counties were also among the top 10 counties that spent at least 30% of their budgets on development projects unlike other counties which have gone against public policy by spending most of their allocations on salaries, office expenses, and fuel. “High recurrent administrative expenditure and weak revenue mobilization could undermine the devolution objective of improving service delivery,” says the report.

The report says this trend could ‘crowd out’ growth initiatives. It paints a picture of wastage and lethargy in the implementation of projects, wrong priorities in some sectors and weak revenue mobilization.

The two leading governors have shown their abilities to build their counties and bring about positive change. The rigorous MBA program is focused on developing leadership competencies that empower managers to promote individual growth and boost effectiveness within their organisations and institutions. It also offers a unique opportunity to actively apply new skills, tools and ideas to real-life problems.

According to the report, Counties’ own revenue collection is low amounting to 0.5% of GDP compared to 1.2 % of GDP annual target in their initial year of operation. This translates to a 43% fiscal effort by counties in revenue allocation.

Out of the 290.6 billion allocated to education in the 2013/2014 financial year, 60% went to teachers’ salaries.The World Bank recommended that more focus be put in transition rates to secondary and tertiary institutions and ensure the skills offered meet the requirements of the labour market.

Credits: Daily Nation

About the SBS MBA Program


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