Kenya's State and Public Officers motor car loan scheme is facing dormancy issues, with a staggering Sh4.3 billion lying idle due to low uptake among civil servants. The Auditor-General warns that the fund is missing its core objective, primarily due to the high cost of living and increased salary deductions.

• Sh4.3 billion remains unutilized in the car loan scheme as of June 30, 2025.
• Auditor-General Nancy Gathungu highlighted the risk of the fund not achieving its purpose.
• Only 389 applicants have received loans totaling Sh824,260,060 since the fund's inception in September 2015.
• National Treasury Principal Secretary Chris Kiptoo attributed the low uptake to lack of awareness, salary commitments, and global economic conditions, including high inflation.
• Recent mandatory deductions like the Social Health Insurance Fund (SHIF) and the housing levy have significantly reduced civil servants' disposable income, impacting their ability to take on additional loans.