President Mwai Kibaki has declined to assent to the amendment to the Finance Bill (2012) that was passed by Parliament on Thursday October 4th, 2012.

The amendment awarded MPs hefty severance allowances.

The President objected to the amendment on the grounds that it was first unconstitutional and that in the prevailing economic circumstances in the country, it is unaffordable.

The President said that coming shortly after the increment of salaries for teachers and doctors, the severance pay for Parliamentarians would lead to an unsustainable wage bill at a time when the country requires massive resources to implement the new constitution and meet other competing demands in the economy.

Earlier in the day, members of the public held protests along city streets protesting the move by MPs to award themselves Sh2b in bonus when their term in office expires.

In the meantime, the Head of State has assented to the amendment in the electoral laws extending the period to January 4, 2013 during which Members of Parliament should have chosen the political party on which to seek nomination and contest a political seat in the forthcoming general elections


PPS
9th, October 2012