The National Assembly Budget and Appropriations Committee has endorsed a proposal to allocate an additional Ksh72.26 billion to county governments for the 2026/27 financial year. The funds are intended to support key sectors including health, agriculture, infrastructure, and climate resilience across all 47 counties.

Chaired by Samuel Atandi, the committee reviewed the County Governments Additional Allocations Bill (Senate Bills No. 8 of 2026), which had previously been passed by the Senate and forwarded to the National Assembly.

Funding Breakdown

  • Ksh16.46 billion from the National Government’s revenue share, including court fines and 20% of mineral royalties.
  • Ksh53.82 billion in loans and grants from development partners.

Health Sector Priorities

A significant portion of the funding will enhance primary healthcare by supporting approximately 107,831 Community Health Promoters (CHPs) nationwide. Each CHP receives a monthly stipend of Ksh5,000, co-financed by national and county governments. The additional resources will also facilitate the transition of Universal Health Coverage workers to permanent and pensionable status under county administrations starting July 2026.

Infrastructure and Development Initiatives

The committee allocated Ksh3.25 billion towards the County Aggregation and Industrial Parks programme, emphasizing the need for essential infrastructure such as electricity, water supply, aggregation equipment, and access roads. These improvements aim to operationalize the parks and boost value addition at the county level.

Further investments from development partner-funded projects include:

  • Kenya Urban Support Project II
  • Financing Locally Led Climate Action Programme
  • Kenya Devolution Support Programme II Level II Grant
  • Food Systems Resilience Project
  • National Agricultural Value Chain Development Project
  • Building Resilient and Responsive Health Systems Programme

Additional targeted areas encompass drought resilience in northern Kenya, livestock commercialisation, integrated natural resource management, informal settlement upgrades, and urban institutional strengthening.

Expected Impact

The committee highlighted that the extra funding would enhance counties’ capacity to implement priority development projects, improve public service delivery, bolster climate resilience, and increase agricultural productivity. It also supports the Bottom-Up Economic Transformation Agenda, a key government strategy for inclusive growth.

The Budget and Appropriations Committee has submitted its report, with the National Assembly set to deliberate on the Bill this week. Upon parliamentary approval and enactment, counties will receive the additional resources to advance their development programmes in the 2026/27 fiscal year.