KSh46 billion extra in counties’ coffers

Counties in Kenya are set to receive an additional Kes46 billion in funding during the fiscal year ending in June, following President William Ruto’s assent to the County Governments Additional Allocations Bill.

This move is aimed at supporting various development projects and initiatives across the counties.

A portion of this allocation, amounting to KSh450 million, will be directed towards the completion of five county headquarters. Lamu, Isiolo, Nyandarua, Tharaka Nithi, and Tana River have faced challenges in raising enough revenue to finalize these projects, making this additional funding crucial for their completion.

In addition, the new law has earmarked Kes5 billion for the subsidised fertiliser programme, a key initiative to boost agricultural productivity in the devolved units.

President Ruto has encouraged farmers to take advantage of this support to increase food production and enhance food security in the country.

Furthermore, Kes4.5 billion will be allocated to 18 counties for the County Aggregated Industrial Parks Programme, with each county receiving Kes250 million. This initiative aims to promote industrialization and economic growth at the county level, contributing to the overall development of the country.

Read also: Ruto seals Sh448.8 billion worth of deals with Japan

Reliance on food imports

President Ruto cited the government’s commitment to reducing the country’s reliance on food imports, which currently amount to Kes500 billion annually. By supporting local agriculture and industrialization initiatives, the government aims to boost domestic production of food staples such as edible oils, rice, wheat, sugar, and maize.

The signing of the County Governments Additional Allocations Bill was also marked by the President lauding the Council of Governors (CoG) for their cooperation in withdrawing a petition that had hindered progress.

Dr Ruto highlighted the importance of collaboration and consensus-building in addressing challenges and advancing development agendas.

The Bill, sponsored by Kiharu MP Ndindi Nyoro, the House Chairperson of the Budget and Appropriations Committee in the National Assembly, is part of the government’s efforts to support county governments in delivering services and driving development at the grassroots level.

This additional allocation comes on the heels of a recent disbursement of KSh31 billion to counties by the National Treasury, with President Ruto assuring that further substantial disbursements will follow soon.

This injection of funds is expected to stimulate economic growth, create employment opportunities, and improve the livelihoods of Kenyans.

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