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    Treasury disburses KSh314B to counties

    Mwakaneno
    By Mwakaneno Gakweli
    - August 29, 2019
    - August 29, 2019
    Kenya Business news
    Treasury disburses KSh314B to counties

    The National Treasury released Kshs 314 billion for the financial year 2018/2019. Additionally, county governments received KSh7.4 billion collected from the Kenyan Roads Board. In total, the devolved units have received approximately Kshs 1.7 trillion since their formation.

    Apart from the equitable share and the revenue from Roads and Maintenance Levy fund, Treasury also gave Kshs. 23.6 billion. The fund from external loans supplement finance in counties.

    At the same time, Treasury paid an additional Kshs 15 billion derived from the National Government’s equitable revenue share. The total payments to county governments amount to Kshs 360.1 billion.

    Nonetheless, the Kshs 360.1 billion only represents 96% of what the County Allocation of Revenue Act (CARA) 2018 stipulated. The difference arises from multiple reasons, mostly non-compliance. For instance, Treasury withheld a total of Kshs 2.49 billion because some counties failed to fulfill requirements for specific allocations. Part of the amount includes Kshs 1.04 billion for the development of youth polytechnics.

    This years’ allocations featured a stalemate as counties requested for more funding from the National Treasury. This year, the treasury is offering Kshs 310 billion as a result of revenue shortfall. However, senators are yet to take the offer.

    Read more on how the county revenue stalemate started here

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