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IBEC moves to fix delays in county funding and health reimbursements

The meeting brought together national and county leaders to discuss budgetary and economic priorities

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by BRIAN ORUTA

News30 September 2025 - 15:57
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In Summary


  • The Council approved the Budget Review and Outlook Paper (BROP) for the 2025/26 financial year and directed the National Treasury to submit it to Parliament.
  • IBEC also urged the Treasury to fast-track the County Governments Additional Allocations Bill currently before the National Assembly.
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Deputy President Kithure Kindiki with Council of Governors during the 28th Ordinary Session of Intergovernmental Budget and Economic Council (IBEC)/DPCS

The Intergovernmental Budget and Economic Council (IBEC) has adopted a series of resolutions aimed at strengthening fiscal management, improving service delivery, and addressing pressing issues in county health and development.

In a joint statement after the 28th IBEC session, chaired by Deputy President Kithure Kindiki at his official residence in Karen on Monday, the Council approved the Budget Review and Outlook Paper (BROP) for the 2025/26 financial year and directed the National Treasury to submit it to Parliament.

IBEC also urged the Treasury to fast-track the County Governments Additional Allocations Bill currently before the National Assembly.

The Council expressed concern over delays in approving the County Government Additional Allocations and directed the Treasury to work with relevant agencies to develop alternative funding mechanisms.

It also reported that Sh66.1 billion had already been disbursed to counties as equitable share for July and August 2025, while calling for expedited September disbursements.

To streamline county operations, IBEC received guidelines on County Government Exchequer requisitions and directed that they be shared with the Council of Governors for concurrence.

It further ordered all County Executive Committee Members for Finance to operationalize County Assembly Funds by opening accounts and appointing County Assembly Clerks as fund administrators in line with the law.

On revenue, the Council endorsed the 2025 standards and guidelines for automation of County Own Source Revenue and instructed the Commission on Revenue Allocation to circulate them to governors for review by October 30, 2025.

Health financing featured prominently in the resolutions.

IBEC directed the Ministry of Health and the Social Health Authority (SHA) to settle Sh10.3 billion in outstanding reimbursements owed to counties.

The Council noted that delays had strained public facilities and risked disruption of essential services, further calling for a structured reimbursement framework and the timely release of claims to prevent future backlogs.

The Council ordered the Ministry of Health and SHA to distribute tablets to 1,200 primary health facilities to improve claims processing and to continue training county health officials.

Additionally, the Ministry of Health was tasked with granting counties registration rights for health facilities to enhance maternal healthcare access for adolescents under 18.

To boost connectivity, IBEC instructed the Health Ministry and the ICT Department to fast-track internet access for all county health facilities, especially Levels 4, 5, and 6 hospitals, and to provide a rollout plan by October 30, 2025.

Other resolutions included implementing past IBEC decisions to ensure county public servants access uninterrupted healthcare services under SHA, and convening a meeting with governors of 14 priority County Aggregation and Industrial Parks (CAIPs) to operationalize them by December 31, 2025.

The Council also directed the IBEC Secretariat, in consultation with the Council of Governors, to develop standard operating procedures for sector consultative forums ahead of future full council meetings.

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