Senate pushes for legislation to anchor regional economic blocs

Senators have launched inquiries into the activities of the regional economic blocs as they push for legislation to anchor the entities.

The Senate’s County Investments and Special Funds Committee has sought information on the administration, legal and financial status of the blocs.

This even as it emerged that billions of public money sent to the blocs by their partner members and donors have never been audited as the bodies are not anchored on any law.

“We have written to the Council of Governors and asked them to give us a status report in terms of administration, legal and financial,” chairman Godfrey Osotsi told the Star.

The Vihiga senator said that while the blocs’ role in regional development cannot be gainsaid, he regretted that funds channelled to them have never been audited.

“All over the world, we have regional blocs. We have EAC, Ecowas, EU, and many others. So, even our counties are right to come together as a team to advance the interests of their people,” he said.

“But as the watchdog and as the people’s representative, we need to know how these funds are utilized now that they have never been audited. We want to look for a way of anchoring them in law.” 

Since 2013, various counties have come together to form economic blocs to spur economic growth and achieve sustainable development through resource mobilization and policy harmonization.

Currently, there are at least six economic blocs.

They include Lake Regional Economic Bloc, North Rift Economic Bloc, Frontier Counties Development Council and Jumuia Ya Kaunti Za Pwani.

Others are the South Eastern Kenya Economic Bloc and Mt Kenya and Aberdares Regional Economic Bloc.

The member counties contribute funds for the running of the blocs.

Most of the blocs have established secretariats, complete with CEO and staff to carry out their mandates.

“The other day, LREB wanted to establish a bank and coastal one received Sh3 billion from donors. These are funds that are going to benefit our people, but as an oversight committee, we need to know the money is utilised,” Osotsi said.

Osotsi the pioneer chair of CPISF was hived off from the larger County Public Accounts and Investments Committee.

CPAIC was split into CPISF and CPAC (County Public Accounts Committee) in the amendments made to the standing orders (House).

“PFM Act defines investment as any venture where public money is used. That is why we are looking to these blocs because public money has been used there,” Osotsi said.

Osotsi is deputised by Kisumu Senator Tom Ojienda.

CoG has been pushing for a law to legalise the entities.

LREB was established to bring together all available resources, identify opportunities and take an integrated approach to have all policies and activities in the Lake Region.

Its members include Migori, Nyamira, Siaya, Vihiga, Siaya, Bomet, Bungoma, Busia, Homa Bay, Kakamega, Kisii, Kisumu, Nandi, Trans Nzoia and Kericho.

NOREB is an economic bloc of eight North Rift counties that was established to capitalise on the economies of scale in agriculture, sports tourism, trade, natural resources wildlife, and its rich cultural heritage.

Its members are Uasin Gishu, Trans Nzoia, Nandi, Elgeyo Marakwet, West Pokot, Baringo, Samburu and Turkana.

FCDE was established in 2016 to promote cooperation, coordination, and information sharing between counties, enhance socioeconomic development, and promote peaceful co-existence among its members.

Its members are Lamu, Tana River, Garissa, Wajir, Mandera, Marsabit, Isiolo, Turkana, Samburu and West Pokot.

Jumuia Ya Kaunti Za Pwani has six members. They are Taita Taveta, Tana River, Lamu, Kilifi, Kwale, and Mombasa.

South Eastern Kenya Economic bloc has Kitui, Machakos, and Makueni while Mt Kenya and Aberdares Region Economic Bloc has Nyeri, Nyandarua and Meru.

Other members are Tharaka Nithi, Embu, Kirinyaga, Murang’a, Laikipia, Nakuru and Kiambu.