Funding Crisis Threatens NYS Commercialisation Plan, Muturi Tells MPs

CS Muturi’s revelation stands in stark contrast to President Ruto’s 2023 declaration that the NYS had embraced a business model aimed at transforming it into a financially self-sustaining institution. At the time, Ruto asserted that the NYS would not only generate revenue to sustain its programmes but also continuously test its outputs in the marketplace to enhance its competitiveness

Public Service and Human Capital Development Cabinet Secretary (CS) Justin Muturi has informed lawmakers that the National Youth Service (NYS) lacks sufficient funds to implement President William Ruto’s directive to commercialise the institution.

The CS indicated that, due to budgetary constraints, the NYS will not be able to recruit an additional 20,000 fresh recruits as directed by President Ruto. Muturi revealed that, in the next Budget Policy Statement (BPS), the NYS has been allocated only Ksh 11.18 billion—far below the Ksh 26.48 billion required to implement its projects.

Appearing before the Committee on Social Protection, chaired by Thika Town MP Alice Ng’ang’a, Muturi urged MPs to push for additional funding to facilitate the commercialisation of the NYS. He emphasised that the initiative, to be executed through the NYS Commercial Enterprises—a dedicated Special Purpose Vehicle (SPV)—would enhance sustainability and generate increased revenue.

Muturi’s revelation stands in stark contrast to President Ruto’s 2023 declaration that the NYS had embraced a business model aimed at transforming it into a financially self-sustaining institution. At the time, Ruto asserted that the NYS would not only generate revenue to sustain its programmes but also continuously test its outputs in the marketplace to enhance its competitiveness.

During the NYS recruits’ passing-out parade on 3rd March 2023, Ruto had directed the service to increase its annual youth intake from 10,000 to 100,000 and transition into a self-sustaining government agency by the 2027/2028 financial year. He also specified that this expansion should be implemented in phases.

Muturi, however, clarified: “The Service has recruited 20,000 youths in the third quarter of 2024/2025 in line with the President’s directive. However, it is worth noting that the budget for FY 2024/2025 can only accommodate 10,000 youths.”

Committee Vice Chairperson and Kipkelion West MP Hilary Kosgei raised concerns over what he termed a disregard for Presidential directives, questioning why the Treasury appeared reluctant to allocate the necessary funds.

“There is serious laxity from the Treasury because it seems they are not taking these directives seriously,” Kosgei remarked.