Nairobi County is leading ten counties that did not spend a single coin on development in the year ended June 2024.
According to a report by the Controller of Budget (CoB), Margaret Nyakang'o, Governor Johnson Sakaja led Nairobi County, along with the counties of Baringo, Elgeyo-Marakwet, Kajiado, Kisii, Lamu, Nyandarua, Tana River, Uasin Gishu, and West Pokot, in failing to spend anything on development.
Nairobi County has faced several challenges over the past year, the most devastating being floods that highlighted poor road networks and a lack of proper drainage in the capital.
The report indicates that the county government’s development expenditure amounted to Ksh6.71 billion, representing an absorption rate of 3 per cent of the annual development budget of Ksh205.33 billion.
“This represented a decline from the 4 per cent absorption rate realised in a similar FY 2023/24 period when the County Governments’ cumulative expenditure on development activities was Ksh6.92 billion,” said Nyakang’o.
All 47 counties were allocated Ksh576.73 billion, comprising Ksh205.33 billion (36 per cent) allocated to development expenditures and Ksh371.4 billion (64 per cent) to recurrent expenditures.
However, Governor Anne Waiguru’s Kirinyaga County and Paul Otuoma’s Busia County achieved higher absorption rates of their respective approved development budgets, each attaining 12 per cent.
The others are James Orengo’s Siaya and Garissa Counties, each attaining 10 per cent.
At the same time, it has emerged that counties continue to hold numerous bank accounts, a move that governors continue to defend.
According to Nyakang’o in Bungoma, Governor Ken Lusaka is running 300 bank accounts that the report says are suspicious since they are not under the Central Bank of Kenya.
Second to Bungoma is Governor Benjamin Cheboi’s Baringo County, which is operating 292 bank accounts, 256 accounts said to be for health facilities.
Other counties operating unlawful accounts in multiple commercial banks include Elgeyo Marakwet County (155 bank accounts), Kajiado (50), Embu (46), and Kakamega (44), while Kwale and Migori are operating 64 and 76 bank accounts, respectively.
“The county government uses commercial bank accounts to operate the above-established funds contrary to Regulations 82(1)(b) of the PFM (County Governments) Regulations, 2015, which requires that County Government bank accounts must be opened and maintained at the Central Bank of Kenya,” notes Nyakang’o in her report on Baringo County.