At least 24 counties are expected to get full funding for construction of their County Aggregation and Industrial Parks (CAIPs) by June 2026, following an allocation of Sh4.45 billion by the State during the current fiscal year.
The allocation to the 24 counties follows the full funding to CAIPs in 10 counties during the year to June 2025, leaving 37 counties with the projects either ongoing or not having started.
A signage advertising the Tatu Industrial Park in Tatu City in Septemebr 2017.
Photo credit: File | Nation Media Group
Despite full funding to the 10 counties, however, none has completed construction of the facilities pitched as what would fuel manufacturing and value-addition in the counties, delaying achievement of the State’s dream.
The government started the CAIPs programme in 2023, aiming to establish the facilities for value addition and manufacturing activities in every county. Each of the CAIP is estimated to cost Sh500 million, with the national and respective counties funding their construction equally.
Data from the State Department for Industry shows that counties with highest completion rates for the CAIPs include Meru (92 per cent), Embu (83 per cent), Kirinyaga (81 per cent), Migori (80 per cent) and Garissa (79 per cent).
In a new report on how devolution budgets are being implemented, the Parliamentary Budget Office (PBO) notes that by June 2025, the national government had released full funding for the CAIPs in Meru, Embu, Kirinyaga, Migori, Garissa, Busia, Machakos, Uasin Gishu, Bungoma and Homa Bay counties.
“In FY 2025/26, this programme will prioritise completion of the project in another set of 24 counties, following completion of CAIPs project in 10 counties in FY 2024/25,” the PBO observes.
The funding to CAIPs is part of the national government’s planned additional allocations to counties, besides other allocations for construction of county headquarters, the Community Health Promoters (CHPs) Programme and Settlement of Phase II Doctor’s Salary Arrears.
The full funding to the 24 counties will take to 34, the number of counties that have been fully funded by the national government to establish CAIPs.
Among the 24, half of the counties have been allocated the full national government share of Sh250 million each in the current year.
President William Ruto presides over the groundbreaking ceremony for Nyamira County Aggregation and Industrial Park on August 25, 2023.
Photo credit: Courtesy | PCS
The 12 are: Tana River, Marsabit, Kitui, Kericho, Baringo, Kilifi, Nyeri, Laikipia, Nyandarua, Kajiado, vihiga and Narok.
Among the remaining 12, Nakuru, Nandi, Nyamira, Mombasa, Murang’a, Siaya, Trans Nzoia and Kiambu have been allocated Sh133,368,421 each.
The others are Kisii and Wajir (Sh127.89 million each), Kwale (Sh75.26 million) and Kakamega (Sh50 million).
“Thirteen counties are yet to start the projects and are at zero percentage implementation level. These are: Bomet, Elgeyo/Marakwet, Isiolo, Kisumu, Lamu, Mandera, Makueni, Nairobi, Samburu, Taita-Taveta, Tharaka- Nithi, Turkana, and West Pokot,” the PBO notes.
