Govt Clears Air Over Directive on KCSE and KPSEA Exam Fees

Hello and welcome to the Money News Roundup. Today, we’re covering the Treasury CS John Mbadi’s assurances on the payment of examination fees after panic among parents over increased fees for 2025 candidates.

‍Govt Makes U-Turn on Payment of Exam Fees For 2025 Students 

Treasury Cabinet Secretary John Mbadi has announced that the government will be paying the examination fees for all students sitting their national examinations this year.

The announcement by the CS is a u-turn from earlier pronouncements where he had indicated that the government would stop the payments.

The move was going to be costly for parents as they would be forced to foot the bill for the national examinations.

“Initially, we did not provide examination fees for this year, but we have made the money available,” he stated.

However, the CS noted that there would be restructuring of national examination expenditure due to concerns about excessive spending.

“What happened was that as Cabinet, we did not like the money that was being spent on exams; we didn’t understand why examinations were printed out of the country, yet more sensitive documents like passports are printed here,” he remarked. 

“I assure all Kenyan students that they will sit their exams. The government will pay for it; we are just restructuring the system.”

Previously, before the introduction of the subsidy programme in 2015, parents would pay Ksh800 for students sitting KCPE (now phased out) and close to Ksh5,000 for students sitting for KCSE (Ksh2,700 plus Ksh400 per subject).

Also Read: Furore as Govt Reinstates KCSE, KPSEA, & KJSEA Exam Fees

‍CS Oparanya Warns Saccos of Deregistration 

Cooperative CS Wycliffe Oparanya has warned that the government will deregister saccos that have failed to submit their audit accounts for the last three years.

In a report by the Business Daily, the CS noted that there were some saccos that were not complying with the law, making it difficult for the government to regulate them.

Therefore, the CS directed all saccos to comply with the annual requirements and also submit the lists of elected officials.

“We have observed a growing number of societies failing to meet this legal obligation, thereby exposing themselves to the risk of deregistration,” Oparanya stated.

“Let me be clear: any cooperative society that has failed to file its returns for the last three years and within the stipulated timelines will be struck off the Cooperative Register and will cease to exist as a corporate entity. This directive takes immediate effect, and all cooperative entities are expected to comply fully.”

Govt to Appeal Ruling on Road Maintenance Levy

As reported by the People Daily, the national government is set to appeal a court ruling that declared part of the Road Maintenance Levy Fund (RMLF) unconstitutional.

The court noted that Section 6 of the RMLF was unconstitutional as it excluded county governments.

As a result, Transport CS Davis Chirchir indicated that they would move to appeal the court decision as the national government seeks to control the billions collected when motorists buy fuel.

"We are trying to address ourselves to Section 6 of the Road Maintenance Levy Fund Act, which has been declared unconstitutional. And that is the section which talks about sharing so per cent of the resources which go into maintaining and building some of our roads today,” he stated.

Also Read: How and Where to Buy Auction Cars in Kenya 

Kenya Power Announces Mass Auction of Vehicles 

Kenya Power has announced the mass auction of vehicles and other assorted items.

In an advert published on My Gov, the utility firm listed trucks, pickups, Sport Utility Vehicles (SUVs), saloon cars, groove cranes and compressors, Toyota Land Cruisers, and double cabins as some of the items on sale.

Kenya Power is also seeking to sell a large assortment of Yamaha/Honda motorcycles.

Used car tyres, batteries, and other spare parts will also be sold during the auctions.

“A detailed catalogue shall be obtained from Galaxy Auctioneers at Pangani Auction Centre, along Muranga Road, Opposite Guru Nanak Hospital, Nairobi, from the date of advertisement at Ksh500/-, which is Non-refundable,” read the notice in part.

‍KRA Suspends Online Registration of VAT

As reported in Business Daily, the Kenya Revenue Authority (KRA) has suspended online registration of Value-Added Tax (VAT) obligations in a bold step in combating tax fraud.

This move is part of a larger initiative aimed at cleaning up the tax register and eliminating fraudulent traders who have been siphoning billions of shillings from the system through fake registrations and false returns. 

In a significant policy shift, the KRA has reverted to a manual VAT registration system, requiring traders to physically present themselves with proof of identity.