MPs approve Ksh415 billion allocation to counties as debate on spending priorities intensifies

Kenya’s 47 counties are now one step closer to receiving Sh415 billion in equitable national revenue after the National Assembly passed the County Allocation of Revenue Bill. The disbursement awaits President William Ruto’s assent to become law.

The bill, passed during a heated session in Parliament, outlines how the funds will be distributed based on the revenue-sharing formula approved by lawmakers. Nairobi County is set to receive the lion’s share at Sh21.4 billion, followed by Nakuru (Sh14.4 billion), Turkana (Sh13.8 billion), and Kakamega (Sh13.6 billion).

Counties with smaller populations and landmass are receiving less, with allocations such as Sh5.7 billion to Taita Taveta, Sh5.6 billion to Isiolo, Sh5.5 billion to Elgeyo Marakwet, Sh5.05 billion to Tharaka Nithi, and Sh3.8 billion to Lamu.

During debate, MPs expressed concern over how county governments have consistently prioritised recurrent spending over development projects despite receiving significant funding annually.

“County governments have been spending a lot of money on recurrent expenditures at the expense of development, and it is the decision of the Senate and the Commission on Revenue Allocation that this money be cut,” said Samuel Atandi, Chairperson of the Budget and Appropriations Committee.

Atandi also defended a Sh3.57 billion increase to county assembly budgets, arguing the additional funds would enhance the oversight capacity of county assemblies and improve accountability.

Majority Whip Silvanus Osoro called on county leaders to ensure the funds are used for public service delivery. “We send huge amounts to the counties, but you hardly see what it does,” he said.

Minority Whip Millie Odhiambo echoed similar sentiments, accusing some governors of sidelining development in favour of political interests. She also reignited debate on the National Government Constituency Development Fund (NG-CDF), proposing it be channeled through counties to strengthen devolved resource control.

The passage of the bill now puts pressure on counties to demonstrate transparency and measurable development as Kenyans demand more value from devolved funds.