The National Government Constituencies Development Fund (NG-CDF) budget has been increased to Sh61.8 billion in the 2026/27 financial year, up from Sh58.8 billion, paving the way for higher allocations to all 290 constituencies as the government seeks to support development projects across the country.
The increase will see each constituency receive between Sh8.8 million and Sh11.3 million more compared to the previous allocation.
NG-CDF Committee chairperson and Eldama Ravine MP Musa Sirma said the rise in funding, despite the tight fiscal environment, would help promote equitable development across the country.
Sirma said the Committee had met the Acting Chief Executive Officer of the NG-CDF Board to review the approved budget estimates before preparing the allocation schedule in accordance with the NG-CDF Act.
“The increase, though modest given the tight fiscal environment, is a step in the right direction towards catalysing equitable and transformative development interventions across the Republic,” he said.
Under the NG-CDF Act, the fund receives at least 2.5 per cent of the national government’s share of revenue as approved annually through the Division of Revenue Act.
Out of the Sh61.8 billion allocation, Sh3.09 billion, representing five per cent of the fund, has been set aside for the administration and operational expenses of the NG-CDF Board.
The Committee said the allocations were calculated using the formula provided under the law, where 75 per cent of the funds are shared equally among all constituencies, while the remaining 25 per cent is distributed based on the number of wards in each constituency.
Through the equal share component, every constituency will receive Sh151 million, adding up to Sh44.03 billion. A further Sh14.68 billion has been distributed according to the number of wards, leading to different final allocations for constituencies.
Sirma said the Committee would continue seeking increased funding in future budgets to address the growing development needs in constituencies.
“We will push for a higher increment given the development needs of the constituencies and urge the House to support this endeavour,” he said.
The Committee also confirmed that another Sh3.09 billion, equivalent to five per cent of the total allocation, has been reserved as an Emergency Fund in line with legal requirements.
The money will remain ringfenced and will only be accessed to respond to emergencies as provided under the NG-CDF Act.
The Committee further noted that 76 constituencies generated Sh24.66 million in Appropriations-in-Aid (A-in-A), mainly from rental income and other revenue collected from facilities developed through the NG-CDF.
The funds have been included in the allocations of the affected constituencies as provided under Sections 12(9) and 36(6) of the Act.
Sirma urged Members of Parliament to submit their proposed projects for the 2026/27 financial year by July 31 to allow timely planning and implementation.
He also announced that the NG-CDF Board had introduced a Quick Response (QR) code system that will allow MPs to monitor payments, project implementation and other constituency activities in real time.
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