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Counties to get Sh37.03 billion grants in 2022-23 financial year

The devolved units will also get Sh370 billion in equitable share

In Summary
  • Some Sh5.20 billion will go towards medical equipment while Sh454 million will be sent to some counties to complete construction of their office headquarters.
  • The counties still constructing their office headquarters are Lamu, Nyandarua, Tana River, Tharaka Nithi and Isiolo.
Governors James Ongwae (Kisii), Anyang' Nyong'o (Kisumu) and Abdi Mohamud (Wajir) address journalists outside Council of Governors offices at Oracle, Westlands, on April 1.
BOOST: Governors James Ongwae (Kisii), Anyang' Nyong'o (Kisumu) and Abdi Mohamud (Wajir) address journalists outside Council of Governors offices at Oracle, Westlands, on April 1.
Image: FILE

County governments are set to get additional allocation of Sh37.03 billion in the next financial year if a bill currently in Parliament is passed.

The County Governments Additional Allocation of Revenue Bill, 2022 is currently in the senate, pending approval before it is sent to the National Assembly for consideration.

The additional allocation, previously referred to as grants, supplement for construction of county headquarters, leasing of medical equipment and funds from development partners.

“The principal object of this bill is to make provision for the transfer of conditional allocations from national governments share of revenue and from development partners to the county governments for the financial year 2022-23,” the bill reads.

The allocations are in addition to the Sh370 billion shareable revenue.

Of the total additional allocation, Sh5.65 billion will be advanced by the national government to carter for leased medical equipment and complete construction of office headquarters.

The remaining Sh31.88 billion allocations will be financed by proceeds of loans or grants from development partners to each county.

Some Sh5.20 billion will go towards medical equipment while Sh454 million will be sent to some counties to complete construction of their office headquarters.

The counties still constructing their office headquarters are Lamu, Nyandarua, Tana River, Tharaka Nithi and Isiolo.

Loans and grants from additional allocation include the Sh32.34 billion Agricultural and Rural Inclusive Growth Project funded by the World Bank.

Also, the Kenya Climate Smart Agriculture Project funded by the World Bank to the tune of Sh6.39 billion.

“Additional grants shall be funds agreed upon by the National Assembly and the Senate during the consideration of the Budget Policy Statement,” the bill reads.

The counties will also get Sh119.99 million from EU grant to finance instruments for Devolution Advice and Support and Sh5.90 billion funded by the World Bank to implement water and sanitation development.

Some Sh667 million grant by DANIDA will finance Universal Healthcare in the Devolved System Programme, while Sh5.87 billion by a World Bank credit will finance the locally-led Climate Action Programme.

The government of Sweden will also finance the Agriculture Sector Development Support Programme II to the tune of Sh462 million.

The counties will also get Sh825 million as both loan and grant from the German Development Bank, to implement drought resilience programmes in Northern Kenya.

Some Sh600 million will also be sent to counties as conditional allocations, financed by a credit from World Bank, to finance the Emergency Locust Response Project.

The devolved units will also get Sh2.7 billion financed by a loan from the World Bank, to finance the Kenya Informal Settlement Improvement Project.

“The National Treasury shall facilitate any agreement between a county government and a development partner and shall table the agreements in the National Assembly and the Senate before inclusion in the Budget Policy Statement,” the bill states.

(Edited by Bilha Makokha)

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