Development projects worth billions of shillings remained stalled in several counties.
County governments spent nearly two-thirds of their budgets on salaries, allowances and operations in the first nine months of the 2025/26 financial year, while development projects worth billions of shillings remained stalled, a new Controller of Budget report shows.
The County Governments Budget Implementation Review Report says counties spent Sh259.57 billion, or 65 per cent of their total expenditure, on recurrent activities by March 31, 2026. Salaries and wages alone accounted for Sh171.36 billion.
In contrast, counties spent only Sh72 billion out of a planned Sh234.33 billion development budget, translating to a 31 per cent absorption rate.
Controller of Budget Margaret Nyakang’o warned that delayed projects, pending bills and weak financial controls continue to undermine service delivery.
“County governments should prioritise stalled projects that can be completed and operationalised in subsequent budget cycles, allocate adequate resources for completion and resolve outstanding contractual issues in accordance with the law,” she said.
The report identifies Baringo among nine counties that spent less than 20 per cent of their annual budgets on development. Others were Kajiado, Lamu, Siaya, Uasin Gishu, Tana River, Nakuru, Migori and Mombasa.
In Baringo, contractors abandoned the construction of 11 pre-primary classrooms after the county failed to clear debts amounting to about Sh6 million. The affected projects are in Kaplop, Kaburwo, Chesakam, Chemayes, Noswo, Borokwo, Sau, Mwal, Ketukoi and Toplen.
Controller of Budget Margaret Nyakang’o.
The report also highlights spending that has raised questions over priorities in the county. Baringo spent Sh9 million on airtime, Sh510,000 on a pit latrine in Maji Mazuri and Sh500,000 on two boda boda sheds, even as key projects stalled.
The county spent Sh3.45 billion on recurrent expenditure against Sh640.4 million on development and reported 24 stalled projects. Pending bills stood at Sh1.19 billion.
Among the affected projects are Kipsaraman Museum and Mogotio Information Centre, which require Sh47.6 million for completion. Construction of Kabarnet Stadium has also stalled, with only Sh47 million paid out of a Sh1.16 billion contract.
Nationally, 22 counties reported 237 stalled projects valued at Sh13.66 billion. Of this amount, Sh5.11 billion had already been paid.
The report further shows that county governments are burdened by pending bills amounting to Sh156.84 billion, including Sh40.34 billion linked to development projects.
The largest trade payables were reported by Nairobi City County at Sh81.79 billion, followed by Kilifi, Kiambu, Machakos and Turkana.
Dr Nyakang’o said counties recorded mixed results in budget implementation, citing delayed projects, inadequate financial controls and weak institutional coordination.
She also faulted some county governments for failing to adhere to payment plans for outstanding debts as required under public finance regulations.
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