Payment of Sh2,000 monthly to senior citizens aged 70 and above has hit a fresh hitch after it emerged that less than a quarter of those listed have bank accounts for transfer of the cash.
The Social Protection Department said about 130,000 of the 566,000 listed people under the cash transfer in April cannot therefore receive payment from the delayed social scheme.
Four banks —Kenya Commercial Bank, Equity Bank, Cooperative Bank and Post Bank —had been selected for the cash transfer.
A source at the department reckoned that payment will not be made to those without bank accounts.
Beneficiaries are required to register their biometrics such as finger prints with bankers for use in the withdrawal of the stipend and guard against fraud.
Currently banks rely on customer verification documents — mainly ID card and passport — and signatures to confirm the authenticity of clients.
Registration of beneficiaries was extended from April 26 to May 4 due to ongoing rains, delaying the rollout of the scheme that will cost taxpayers Sh30 billion annually.
The cash transfer that comes with a free medical cover through the National Hospital Insurance Fund (NHIF) was initially set to start in March.
The initial registration netted 566,000 persons. The 2009 National Census projected the 2017 population of older persons aged 70 and above at 973,000.
Better health care has seen life expectancy in the country rise even as the elderly lack pension plans.