Ndindi rejects proposal to tap into pension funds

Kiharu MP Ndindi Nyoro strongly criticised the government’s plan to tap into pension funds for development projects.

Speaking out against the proposal, Ndindi, who previously chaired the parliamentary budget committee, argued that using money from the National Social Security Fund (NSSF) for infrastructure investments is a serious error, given the low returns such projects typically generate.

During a public forum with residents, Ndindi Nyoro described the government’s plan as a brewing scandal.

He argued that pension funds from the National Social Security Fund (NSSF) should be channelled into investments with strong returns, adding that infrastructure projects do not fit this criterion and represent poor financial judgment.

Ndindi also accused the government of excessive borrowing and warned that its reliance on pension funds reflects a lack of innovative ideas to revive the economy. He cautioned that this approach could undermine the country’s financial stability.

"The government should not use civil servants’ savings in this way. Its role is to create an environment that fosters economic growth and generates revenue," the MP said.

He further pointed out, "If infrastructure development were truly profitable, private investors would already be pouring funds into it due to its high returns."

Ndindi Nyoro further alleged that the government has engaged in undisclosed borrowing through securitisation, with some debts not reflected in official records.

He revealed that the government has already borrowed Sh175 billion against the fuel levy without parliamentary approval.

"This will cost the country double the amount, worsening the existing financial strain," Ndindi warned.

He urged the government to adopt more prudent financial management and slow down on borrowing to prevent accumulating unsustainable debt that could take years to recover from.

Defending the National Government Constituency Development Fund (NG-CDF), Ndindi called for its constitutional entrenchment, highlighting the fund’s role in driving development nationwide.

He proposed increasing the fund’s allocation rather than abolishing it, noting that calls to scrap the NG-CDF stem from resource shortages.

"The government should focus on growing its wealth to ensure sufficient funds for distribution," he said, pointing out that much constituency development has been possible because of the NG-CDF.

He cited the bursary program as a key success, benefiting thousands of students who might otherwise miss school due to a lack of fees.

"In Kiharu, we have established several schools from scratch, allowing students to access education at just Sh1,000 per term," Ndindi added.

He emphasised that any decisions on the NG-CDF should weigh both its legal framework and the tangible impact it has created.

Finally, Ndindi called on the government to leverage its existing assets to generate revenue instead of relying heavily on borrowing, which pushes the country deeper into debt.