Harnessing Block Chain Technologies to Enhance Wage Bill Management by 2027 in Kenya

Executive Summary

The absence of real-time integrated information sharing, reporting, and controls of public service payroll data among the relevant institutions impedes efforts on wage crisis management in Kenya. Systemic challenges that face public service payroll management include ghost workers, falsification of documents, lack of multiple controls, and database manipulation. However, harnessing the capabilities of block-chain technology has the potential to prevent fraud and increase the effectiveness of payroll systems in public service by improving data security and integrity. Key opportunities to explore include automating and integrating payroll reporting and control systems to monitor in real time the eligibility of payroll transactions; management of payroll across block-chain technology networks; and embracing smart contracts in public service. This will help detect transaction data inconsistencies, create a single and integrated real-time record for wage  bill-related data, and protect data integrity in budgeting, approval of payments, and the final disbursement of public wages.