Effects of Budgetary Procedure on the Public Funds’ Expenditure in the Kenyan National Treasury
DOI:
https://doi.org/10.70619/vol6iss5pp52-64-868Keywords:
Budgetary Procedure, Public Funds Expenditure, Kenyan National TreasuryAbstract
Public expenditure is a central pillar of modern governance and a key instrument through which governments translate policy priorities into tangible social and economic outcomes. Effective public finance management is crucial for ensuring that public resources are allocated efficiently to priority sectors such as health, education, infrastructure, and security, thereby promoting sustainable development and prudence in financial management, as well as ensuring fiscal efficiency and discipline. This study sought to determine the effect of budgetary procedures on public funds expenditure in the Kenyan National Treasury. The study was guided by Agency Theory and public expenditure theory. This study adopted an explanatory research design, targeting a population of 327 finance managers and senior accountants at the National Treasury in Kenya. The study used a census survey; therefore, no sampling was required. Primary data were collected using a structured questionnaire, and data were analyzed in SPSS using both descriptive and inferential statistics. The study findings indicated that budgetary procedures had positive and significant effects on the expenditure of public funds (β =0.248, p-value = 0.003 < 0.05). In conclusion, the study revealed that budgetary procedures have a significant effect on the expenditure of public funds. The findings revealed a statistically significant relationship between budgetary procedures, IFMIS adoption, and public participation in the expenditure of public funds. The findings will be beneficial to policymakers, especially the government, who can better understand the country's emerging economy and ensure that the policies formulated facilitate the government, through its agencies, to tap into the huge global economy and reap its benefits. Further research can be conducted using different factors, such as the impact of capacity building on public funds’ expenditure.
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