National

Counties to receive Sh32 billion as DP Kindiki pushes for devolution reforms

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Key resolutions from the meeting include fast-tracking the transfer and gazettement of devolved functions agreed upon by the national and county governments.

Counties are set to receive a disbursement of Sh32 billion by December 19, 2024, as part of comprehensive reforms to strengthen devolution.

Addressing the media after chairing the 25th Intergovernmental Budget and Economic Council (IBEC) meeting on Friday, Deputy President Kithure Kindiki said the funds would cover arrears for November 2024 while also urging the National Treasury to prioritise clearing outstanding equalization fund arrears.

"The government remains committed to supporting counties by addressing bottlenecks in resource allocation and ensuring the efficient delivery of services to citizens," Kindiki said.

The DP noted the urgency of enhancing service delivery and fostering intergovernmental collaboration.

The meeting was attended by several Governors, Cabinet Secretary for Treasury John Mbadi, and Controller of Budget Margaret Nyakang'o among other state officials.

Key resolutions from the IBEC meeting include fast-tracking the transfer and gazettement of devolved functions agreed upon by the national and county governments.

"We are expediting the unbundling and transfer of pending functions and ensuring sectoral engagements resolve outstanding issues," Kindiki said.

Deputy President Kithure Kindiki during the 25th Ordinary Session of the Intergovernmental Budget and Economic Council (IBEC) at the Official Residence, Karen on December 13, 2024. (Photo: PCS)

The State Department for Lands has also been directed to accelerate the valuation and transfer of fixed assets, including land and buildings inherited by counties.

Amend law

To address financial challenges faced by counties, Kindiki highlighted plans to amend the Public Finance Management Act (2012) to facilitate access to donor funds and grants.

The DP also committed to convening high-level meetings to resolve concerns over the approval of withdrawals, multiple county accounts, and the Integrated County Revenue Management System (ICRMS).

"The spirit of collaboration and cooperation is critical in resolving these issues and streamlining county operations," Kindiki said, responding to concerns raised by the Council of Governors and the Controller of Budget.

Counties were also urged to enhance their revenue collection mechanisms by adopting innovative strategies, strengthening administrative processes, and minimizing leakages.

"We must reduce bureaucracy and focus on delivering for the people," the DP said, calling on all stakeholders to work in harmony for the success of devolution.

The IBEC meeting also served as a preparatory session for the upcoming National and County Governments Coordinating Summit, set to be chaired by President William Ruto next week.

The high-level policy agenda from the IBEC discussions will be submitted at the summit for further deliberation.

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