In a major move to modernise public finance, Kenya’s National Treasury has announced that a new digital debt automation system and the fully operational Treasury Single Account (TSA) will go live on 6 October 2025. The reforms are aimed at enhancing fiscal discipline, reducing manual processes, and giving real-time visibility into the government’s cash flows and liabilities.
At a meeting convened by the National Treasury this week, key public financial management stakeholders including the Controller of Budget, Dr Margaret Nyakang’o; senior officials from the Central Bank of Kenya (CBK); the Office of the Auditor General; and technical teams from IFMIS (Integrated Financial Management Information System) reviewed detailed integration plans. The core objective: to ensure seamless interoperability between platforms using Application Programming Interfaces (APIs).
“I met Controller of Budget Dr. Margaret Nyakang’o and her team, officers from the Central Bank of Kenya, the Office of the Auditor General, and senior officials at the National Treasury to fast track the integration of core platforms such as the Integrated Financial Management Information System (IFMIS), CBK’s banking systems, and the Commonwealth Meridian Debt Management System through Application Programming Interfaces (APIs) for real time visibility on liquidity and cash management,” Dr Chris Kiptoo, CBS said in a statement.
The platforms under integration include IFMIS, CBK’s banking systems, and the Commonwealth Meridian Debt Management System. Once connected, they are expected to provide real-time visibility on liquidity, facilitate swift cash management, and strengthen the government’s capacity to monitor and service its debt obligations more efficiently.
The digital debt automation system is designed to automate tasks currently done manually such as recording debt, tracking disbursements, and reconciling payments. This system, when linked to IFMIS and CBK’s systems, will reduce delays, enhance accuracy, and support transparency.
“We also reviewed the new digital debt automation system, set to go live on 6th October 2025, alongside the rollout of the Treasury Single Account (TSA). These reforms will consolidate funds, reduce manual processes, and enhance fiscal discipline, marking a major step toward full digital transformation in public finance,” he added.
The Treasury Single Account will consolidate all government funds into a single account held at the CBK, with sub-accounts as necessary. The move aims to eliminate multiple dormant or scattered government accounts, which in past years held funds inaccessible to other departments even when there were pressing financial needs.
Officials say the TSA will enforce more discipline in public expenditure, reduce costs associated with account maintenance, and help avoid overlap, leakages or redundancies in government financial operations. The reforms are consistent with the Public Finance Management (PFM) Act, 2012, and build on prior efforts to automate government payments through IFMIS and CBK internet banking.
While enthusiasm is high, the reforms also carry risks. Centralising government funds means system downtime, cybersecurity threats, or technical failures would have nation-wide implications. Effective contingency planning, strong legal frameworks, and robust oversight will be critical.
The integration also hinges on how well the APIs perform, how securely data is handled, and whether the responsible institutions (Controller of Budget, Auditor General, CBK, National Treasury) can enforce compliance and monitor implementation. Transparency will be essential to maintain public and investor confidence.
Do you have any story or press releases you want to share? Send tips to editor@envestreetfinancial.com
Follow us on Twitter, Facebook, or LinkedIn to ensure you don’t miss out on any