Kenya Broadcasting Corporation (KBC) seems to be facing a financial crisis, these were sentiments echoed in a meeting between Senate Committee on Information and Communication Technology (ICT) and officials from the media house.
KBC had requested for more funding to enable it meet its financial obligations while planning to restructure and increase efficiencies in operations. The broadcaster has been unable to remit Ksh205 million to the Kenya Revenue Authority despite deductions from the employees’ salaries.
To add to the loan pile up has been the financing from the Overseas Economic Cooperation Fund (OECF) of Japan which was facilitated in1989 and has since grown to over Ksh 40 billion.
The committee also got wind that Kh127 million had also not yet been paid for satellite operations as well as pension/savings had not been remitted to respective firms. Recurrent expenditure (Ksh 180 M) over run what the firm makes which is Ksh 90 M.
In its defense the KBC management said delays in release of funds by treasury and in some instances the funding was released in installments affecting operations. The committee asked KBC to come up with solid and sound restructuring plan while improving on capacity to capture new talent as well as retaining them.
