Counties raise Sh45.91 billion in own-source revenue in 2024/25, marking 11 per cent growth
The CoG chair confirmed that the full Sh400.26 billion had since been disbursed, in addition to Sh16.27 billion in conditional allocations from development partners.
Counties across Kenya collected Sh45.91 billion in own-source revenue during the first nine months of the 2024/2025 financial year—an 11 per cent increase compared to the same period last year, according to Council of Governors (CoG) Chairperson and Wajir Governor Ahmed Abdullahi.
Speaking at the 2025 Annual State of Devolution Address held at the CoG headquarters in Nairobi, Governor Ahmed said counties had projected a total revenue of Sh600.69 billion for the 2024/2025 fiscal year.
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Of this, Sh222.2 billion (37 per cent) was allocated for development expenditure, while Sh378.49 billion (63 per cent) was earmarked for recurrent spending.
He emphasised that this allocation aligns with the Public Finance Management Act, which requires counties to dedicate at least 30 per cent of their budgets to development.
The projected revenue was expected from four key sources: Sh418.26 billion in equitable share from the national government (including arrears from the previous year), Sh66.35 billion in conditional grants from both the national government and development partners, Sh87.11 billion in own-source revenue, including Facility Improvement Funds, and Sh28.9 billion carried over from unspent funds from the 2023/2024 financial year.
As of June 30, 2025, counties had received Sh354.33 billion as their equitable share.
Governor Ahmed confirmed that the full Sh400.26 billion had since been disbursed, in addition to Sh16.27 billion in conditional allocations from development partners.
Pending bills
Despite improved revenue performance, the governor expressed concern over the growing burden of pending bills, which had climbed to KSh172.51 billion by the end of March 2025. He attributed the backlog primarily to delays in disbursements by the National Treasury.
"Counties such as Tana River, Garissa and Narok performed particularly well, with Tana River exceeding its annual target by 72 per cent. However, pending bills remained a significant concern. By 31st of March 2025, total pending bills stood at sh172.51 billion, with Narobi County alone accounting for sh115.69, which is 70 per cent of all pending bills," said the COG chair.
"The persistence of pending bills was mainly attributed to delays in the disbursement of funds by the National Treasury."
In his remarks, the CoG chair expressed sorrow over the loss of lives and property during the recent protests.
"On behalf of my colleagues, it's with profound humility that I recognise all Kenyans who have lost their lives through the recent protests," he said.
"We also sympathise with all the innocent Kenyans who lost their lifetime investments through the arson and violence that accompanied the protests."
While acknowledging that peaceful protest is a right enshrined in the Constitution, the Wajir governor condemned the acts of violence, looting, and destruction that marred the demonstrations.
The event marked 12 years since the implementation of devolution in Kenya.
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