Efforts to resolve the stalemate between the National Assembly and Senate over the county equitable share for the 2025/26 financial year have officially begun, as the mediation committee on the Division of Revenue Bill, 2025, commenced its sittings. The dispute arose after the National Assembly proposed an allocation of Sh405.1 billion to counties, while the Senate amended the figure to Sh465 billion, a proposal that MPs rejected.
Co-chaired by National Assembly Budget and Appropriations Committee Chair Sam Atandi and Senate Finance and Budget Committee Chair Ali Roba, the committee’s first session saw spirited defenses from both sides. The National Assembly cited the country’s tight fiscal space and the need for realistic allocations, while the Senate pushed for more resources to strengthen devolution.
Kakamega Senator Boni Khalwale stressed the importance of investing in counties to spur national development. “Kenya leads in development in the East African region. To sustain that, we must grow county economies by allocating funds to production areas,” he said.
However, Ndia MP George Kariuki raised concerns over the effectiveness and transparency of county governments, questioning the impact of previous allocations. “We must ensure that the billions we send to counties are substantially used to improve livelihoods,” he stated, urging for prudence in resource planning given the country’s constrained fiscal environment.
Migori Senator Eddy Oketch backed increased funding but called for accountability and the full transfer of devolved functions. “Let’s enforce laws that ensure no budget is approved without costing the functions under Schedule Four,” he proposed.
Kilifi North MP Owen Baya advocated for a balanced, realistic approach, noting that the Sh18 billion increment from the previous fiscal year was significant. “We must align our allocations with the nation’s economic performance,” he said.
As the mediation process continues, Roba called on both Houses to consult internally ahead of the next round of discussions, while Atandi urged the Senate to consider Kenya’s economic capacity when advocating for allocations. The committee faces pressure to reach consensus before constitutional timelines lapse.
