County governments were running 5,476 bank accounts June 30, according to the Controller of Budget, despite rules requiring most funds to be kept at the Central Bank, exposing billions of shillings to weaker fiscal controls.
- •Homa Bay leads with 558 accounts, followed by Kitui with 350, Nakuru with 311, and Bungoma with 301.
 - •Other counties with high numbers of commercial bank accounts include Baringo at 280, Kericho at 245, Kwale at 240, Machakos at 231, Nairobi County at 174, Embu at 222, Kisumu holds 190, Nyamira 157, Elgeyo-Marakwet and Uasin Gishu 160 each, and Bomet 148.
 - •In contrast, Nandi County operates just 10 accounts, while Kisii runs 14 and Siaya 15.
 
According to the law, counties should only keep a few accounts outside the Central Bank for petty cash, imprest, and revenue collection, but in total they are running far more.
Public Finance regulations also require counties to obtain authorization from the Treasury before opening such accounts, with copies of approvals filed with the Controller of Budget, but those records are yet to be submitted.
The proliferation of accounts across commercial banks complicates oversight, fragments resources, and raises the risk of mismanagement.
To curb this practice, the Cabinet approved a Treasury Single Account for national and county governments in January. The reform is aimed at consolidating cash resources at the Central Bank.
The system is designed to simplify government banking, create visibility over cash balances, and prevent interest on public funds from accruing to private commercial banks.
It forms part of a wider drive to tighten fiscal discipline, alongside the electronic procurement reforms, which counties have vehemently opposed.
Until the TSA is fully implemented, devolved units are likely to continue the habit of scattering funds across commercial banks. This is likely to weaken public trust even as county governments improved their own revenue collection to KSh 67.30 billion from KSh 41.40 billion in the financial year under review.

