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Kisumu unveils land use policy to unlock Sh80 billion in unpaid rates

County rolls out ‘use-it-or-lose-it’ approach for development of prime land.

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by FAITH MATETE

Nyanza16 May 2025 - 08:59
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In Summary


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    Governor Anyang’ Nyong’o during the roundtable /FAITH MATETE








    Kisumu Governor Anyang'’ Nyong’o has announced an ambitious plan to optimise land use and recover over Sh80 billion in unpaid rates, which are hindering the city’s growth potential.

    Nyong’o said Kisumu’s transformation into East Africa's most liveable and economically vibrant lake metropolis depends on strict enforcement of existing laws, innovative land-use strategies and stakeholder collaboration.

    “Over 40 per cent of land in Kisumu remains underutilised or undeveloped. This is not just a planning challenge; it’s an economic bottleneck. Our city is sitting on potential and it’s time to unlock it,” he said at the Land-Use Optimisation Roundtable on Wednesday.

    Despite the city's prime lakefront location and a growing real estate sector, rampant zoning violations and non-payment of rates have jeopardised urban development.

    To address this, the county will fully enforce the Kisumu City Spatial Plan alongside the National Rating Act, 2024.

    The county has developed a strategic four-pillar action plan to be implemented within 18 months.

    “This includes the Land Mobilisation and Productive Use, which will be implemented within 18 months and a Land Banking Programme.”

    They have also rolled out a ‘use-it-or-lose-it’ policy, which gives a 12-month ultimatum for the development of prime land and compulsory acquisition after 24 months (with compensation).

    To encourage investment, Nyong’o announced new Public-Private Partnership (PPP) incentives, including fast-tracked approvals for mixed-use developments and 15 per cent tax rebates for projects aligned with the county’s spatial plan.

    In a bid to boost compliance, Kisumu will also roll out a six-month amnesty programme, offering a 50 per cent waiver on penalties for those who pay the principal amount and flexible, negotiated monthly payment plans.

    A public sensitisation drive, dubbed "Know Your Rates," will accompany the amnesty, combining media campaigns and door-to-door outreach to educate residents on their land rate obligations.

    Regarding enforcement, Nyong’o stressed that they are instituting zero tolerance for non-compliance.

    “All legal tools will be used to ensure full enforcement of our land-use policies.”

    He urged county leaders, investors and community members to take the initiative seriously and work together to position Kisumu as a model city.

    “Let us seize this moment to shape Kisumu’s future in an orderly, inclusive and economically sound manner,” he said.

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