Makueni is the first of 15 counties to receive cash from the Instruments for Devolution Advice and Support (Ideas) programme.
The European Union has given the county Sh110 million for its mango puree project.
The programme between Kenya and the EU began on September 25, 2014 after signing a financing agreement.
It will provide €28.6 million (Sh3.1 billion) grants. Each of the 15 counties will get Sh110 million for their Local Economic Development projects.
Devolution CS Eugene Wamalwa has praised Makueni for being the first county to comply with the conditions for the grant.
He was speaking yesterday at the National Treasury where the EU-Ideas contract was signed.
Eugene said the money will help speed up ongoing construction of the plant.
"This marks the beginning of the implementation of the programme for counties. Makueni will contribute Sh32 million,” Eugene said.
"We are looking forward to the approval of the remaining 14 projects. We want to recover the time lost during the first phase.”
Makueni has opened a fresh fruit processing plant, a dairy plant and rolled out universal healthcare cover for the elderly. Its achievements were highlighted at this year’s Devolution Conference.
Eugene said the ministry has set up a technical assistance team to help the counties in identification and development of the LED proposals.
The other counties are Baringo, Kisii, Kisumu, Kwale, Laikipia, Marsabit, Migori, Nyandarua, Samburu, Taita Taveta, Tana River, Uasin Gishu, Wajir and West Pokot.