Kenya's president and cabinet take pay cuts to reduce government spending

Published January 08, 2015

Kenya's president has announced that he and his entire cabinet will take pay cuts as part of austerity measures to reduce his government's rising wage bill.

President Uhuru Kenyatta said Friday that he and Deputy President William Ruto will take a 20 percent pay cut while other members of his cabinet will see their pay reduced by 10 percent with immediate effect.

Kenyatta said a new policy will restrict foreign trips to only the most essential. He said rules will be enforced to ensure waste in government will be significantly reduced.

He said Kenya is spending close to $4.6 billion in salaries which leaves only $2.3 billion for development. He said if the country is not careful it will find itself using all revenue collected to pay wages.

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