The Council of Governors (CoG) has strongly opposed the proposed Ksh 417.4 billion allocation to counties in the 2025/26 Division of Revenue Bill, terming it insufficient to support effective service delivery and undermining the spirit of devolution.
The CoG, chaired by Kakamega Governor Fernandes Barasa-who also chairs the Finance, Planning, and Economic Affairs Committee-argues that the current allocation heavily favors the national government at the expense of counties' constitutional mandates.
Speaking during the deliberations on the Division of Revenue Bill, the governors called for an increase in the equitable share to at least Sh536.8 billion, noting that the Senate's proposal of Sh465 billion still falls short of addressing the financing needs of county governments.
They cited Kenya's projected economic growth of 5.3 per cent and a growing shareable revenue base-expected to hit Sh2.8 trillion in 2025/26-as justification for a higher allocation to counties. "The resource allocation framework does not reflect the country's improved fiscal space," said Governor Barasa. "Over the last five years, while ordinary revenue has grown from Sh1.8 trillion to Sh2.6 trillion, and is projected to rise further, the counties' equitable share has increased by only Sh70.9 billion compared to the national government's Sh702.6 billion growth.
