• May 23, 2024
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Central Region Governors Caution CRA on Revenue Sharing among Counties

Central Region Governors Caution CRA on Revenue Sharing among Counties


Monday April 29, 2024

KNA by Sylvia Wanjohi

Governors from the Central Region Economic Block (CEREB) have called upon the Commission on Revenue Allocation (CRA) to be fair in the preparation of the 4th basis for revenue sharing among county governments.

They have called on the commission to allocate resources as per the region’s contribution to the national cake as opposed to equal treatment criteria.

The CEREB governors were speaking when they met revenue Commissioners to consult over the 4th basis formula for revenue sharing among county governments for the financial year 2025/26 through to FY 2029/30.

“Let us review what is the basic share for every County to be operational regardless of whether Lamu has 110,000 people, Nyeri has 1 million and Kiambu has 3 million,” Nyeri Governor and Chairman of CEREB, Mutahi Kahiga said.

Kahiga further urged the adoption of a standard shareable revenue amount that would go into the operations of a county before any other parameter is used.

The Commissioners assured the economic bloc that they will carefully review population, health, land area and other parameters while preparing the basis of sharing revenue formula.

CEREB counties include Kiambu, Nyeri, Tharaka Nithi, Murang’a, Nyandarua, Laikipia, Meru, Nakuru, Kirinyaga and Embu.

The current formula, the third since the development of devolution in 2013, expires in 2024-25 financial year with the new basis expected to be approved by December 2024.

The third basis of sharing revenue considered eight parameters: Basic share (20 percent), Population (18 percent), Health (17 percent), Poverty Level (14 percent), Agriculture (10 per cent), Roads (eight percent), Land (eight percent) and Urban (five percent).

The CRA kick-started its views collection on the 4th basis revenue sharing formula from different economic blocs with CEREB being the second bloc to give their input after South Eastern Kenya Economic Bloc (SEKEB) which included Makueni, Kitui & Machakos.

Courtesy; KNA

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