Parliament is racing against time to save the National Government Constituency Development Fund (NG-CDF) ahead of its June 30, 2026 shutdown deadline, even as the Treasury moves to release billions owed to constituencies.
Last year, the High Court declared the NG-CDF Act unconstitutional, ruling that all projects under the fund must cease by the set date. Treasury Cabinet Secretary John Mbadi has assured lawmakers that the Sh58 billion pending allocation will be disbursed in time, starting this October, with constituencies receiving at least Sh7 billion monthly to sustain ongoing projects.
Deputy Majority Leader Owen Baya told MPs that Treasury had committed to ensure timely disbursements, but legislators voiced fears of delays that could stall development. Kitutu Masaba MP Clive Gisairo warned that the fund’s board had yet to receive its first-quarter allocation of Sh19.5 billion, raising the risk of a Sh39 billion backlog by the second quarter.
Since its creation in 2003, NG-CDF has financed over 3,000 schools, supported more than 1.2 million students with bursaries, and invested heavily in technical and medical training institutes.
To protect the fund, MPs are backing the Constitution of Kenya (Amendment) Bill 2025, which also seeks to safeguard the Senate Oversight Fund and the National Government Affirmative Action Fund. Parliament passed the Bill in July, but the High Court blocked it from being sent to President William Ruto for assent, sparking a standoff.
The Law Society of Kenya has cautioned that the Bill undermines past court rulings and threatens the separation of powers, while governors argue it could interfere with county functions.
With the deadline drawing closer, lawmakers remain under pressure to secure the future of bursaries and constituency projects that millions of Kenyans rely on.
 ahead of its June 30, 2026 shutdown deadline, even as the Treasury moves to release billions owed to constituencies.){kind=link}