Auditor General clarifies status of El Niño and abduction compensation funds

Auditor General Nancy Gathungu has detailed the reasons behind her office's decision to hold off on auditing funds allocated for El Niño preparedness and compensation for victims of forced disappearances and abductions.

Speaking on current public expenditure and accountability matters, Gathungu explained that ongoing transactions and active fund allocations have made a comprehensive review premature at this stage.

According to the Auditor General, the primary barrier to conducting an immediate audit is that the financial processes are still very much active. Because money continues to be drawn down, allocated, and appropriated for emergency responses, establishing a definitive final account is not yet feasible.

“We have not yet audited because the transactions are still taking place. The funds are still being allocated and appropriated for preparedness of El Niño. So that is still ongoing,” Gathungu stated.

Rather than interrupting an ongoing financial rollout, the Office of the Auditor General intends to evaluate the full scope of expenditures once the financial year concludes. Gathungu noted that her office might comprehensively examine the records during the 2026/2027 financial year.

In the interim, however, the oversight body is not entirely blind to how funds are moving. Gathungu noted that her office can leverage quarterly expenditure reports submitted by the Controller of Budget to keep track of how monies are utilized.

The management of public funds set aside for emergency and compensation initiatives has drawn substantial public scrutiny. This is especially true for the compensation programme dedicated to victims of human rights violations.

Public interest spiked following an announcement by the Panel of Experts on Compensation of Victims of Human Rights Violations, which revealed plans to publish a list of beneficiaries. To balance public accountability with individual security, the panel indicated that sensitive personal information would be redacted to protect beneficiaries' identities.

Addressing these sensitive disbursements, Gathungu confirmed that the auditing approach applied to El Niño funds would mirror the oversight for the abduction and disappearance compensation programmes. Her office will systematically examine the expenditures once all related transactions reach completion.

Beyond emergency funds, Gathungu used the launch of the Handbook on County Accountability to issue a stern reminder to legislative bodies regarding county-level financial management. She urged Parliament and county assemblies to thoroughly examine and resolve audit reports before any transitions of county administrations occur.

The Auditor General pointed out a persistent systemic problem where unresolved financial questions roll over from one administration to the next, compounding the burden of pending bills and opaque bookkeeping.

“There has been a recurring issue of pending bills and lack of accountability even when administrations are changing,” Gathungu warned.

She strongly encouraged legislators to actively interrogate existing reports and clear outstanding issues rather than passing accountability burdens forward. Gathungu also confirmed that she expects to finalise the submission of relevant audit reports by the end of December, giving Parliament and county assemblies a vital window to scrutinize the findings before upcoming administrative changes take place.

During her briefing, the Auditor General also turned her attention to broader governance matters, specifically addressing a recent World Bank report that raised red flags regarding corruption and institutional challenges in Kenya.

Gathungu assured the public that her office is actively reviewing the findings outlined in the World Bank report. The goal of this review is to pinpoint institutional weaknesses, draw necessary lessons, and apply corrective measures to bolster national financial accountability systems.