Counties must cut dependence on State funds
Kirinyaga Governor Anne Waiguru (centre) with her colleagues during a past media briefing in Nairobi.
More than 10 years into devolution, counties are still complaining about shareable revenue. When will they ever become self-reliant with own source revenue or will they continue to be “infants” at the mercy of the national government?
The country faces a total shutdown of counties if the Senate and National Assembly do not reach an agreement on their respective shareable revenue proposals of Sh400 billion and Sh380 billion. National Treasury Cabinet Secretary John Mbadi has said the counties cannot get Sh400 billion because the country’s economy is strained.
But looking deeply at why Kenya opted for devolved government, a cardinal point was for them to generate own-source revenue to boost what they receive from the national government.
Almost 12 years since county governments were created, some have proved it was the best move ever in Kenya’s governance system because through the tremendous growth they have ensured at the grassroots. Some, however, are still groping in the dark, always looking to the national government.
Few counties can claim to have solid own-source revenue. Most are generating paltry incomes though the revenue resources are there in plenty. If the government was to stop the shareable revenue disbursements, most counties would die.
With devolution came responsibilities like health services that are expensive to run and drain county funds. But in the same breath, the counties have excess workers draining the meagre finances meant to cater for vital services and development.
A look at the Auditor-General’s reports on county finances, clearly shows that misuse overshadows proper expenditure.
Counties have varied avenues to generate revenues. Most are endowed with natural resources that can generate millions of shillings. From coast to the Lake Victoria basin where the blue economy is beckoning, to the highlands and the central region where agriculture and horticulture are ripe for expansion. Each and every county in the republic can generate more than the devolved funds if good forward planning and commitment coupled with a paradigm shift could become the clarion call.
David M. Kigo, Nairobi
