Sh50.5 billion allocated to counties for key development projects

Counties are set to benefit from an additional Sh50.5 billion after the National Assembly passed the County Governments Additional Allocations Bill (Senate Bill No. 1 of 2025) aimed at improving local service delivery.

The funds will support key functions in counties through conditional and unconditional allocations sourced from the National Government and international partners.

Of the total, Sh8.42 billion is from the National Government, Sh116.1 million from court fines, and Sh42 billion from development partners, including Sh33.1 billion from the World Bank.

The Afya Bora Mashinani program will receive Sh3.23 billion to support Community Health Promoters across all counties.

Sh1.76 billion will fund the Kenya Devolution Support Programme, and Sh2.9 billion has been allocated for the construction of County Aggregation and Industrial Parks in 21 counties, with each county expected to provide a matching contribution of Sh250 million.

A further Sh1.759 billion will be used to settle salary arrears owed to county health workers, as agreed with the Kenya Medical Practitioners, Pharmacists and Dentists Union (KMPDU).

County headquarters in Isiolo, Lamu, Tana River, and Tharaka Nithi have also been allocated Sh523.1 million for construction.

The funds from development partners will go into projects in health, agriculture, climate action, sanitation, water, devolution, and urban development.

The Budget and Appropriations Committee, in its report, pointed out that the late approval of the Bill had already begun affecting essential services in counties, especially in paying CHPs and rolling out industrial parks.

The Bill will now move to the President for assent before the funds can be disbursed to the counties.