Nairobi Governor Johnson Sakaja has unveiled a bold plan to fund the county’s Sh44.6 billion budget for the 2025/2026 financial year without introducing new taxes. Instead, the administration is banking on increased compliance, digital reforms, and the regularisation of developments to raise the required revenue.
Finance and Economic Planning CEC Charles Kerich, who presented the budget to the Nairobi County Assembly, highlighted the county’s success in raising Sh13.8 billion in revenue in the previous fiscal year the highest ever recorded without burdening residents with additional taxes or levies.
A key component of the revenue plan is the newly passed Regularisation of Illegal Developments Bill, which is now awaiting Governor Sakaja’s assent. The legislation aims to provide a legal pathway for buildings constructed without proper approvals to be formalised. Kerich noted this initiative is projected to generate at least Sh5 billion.
Additionally, the county will roll out sectional property titles in collaboration with the National Government. This move is expected to unlock the value of dormant properties and ensure proper documentation, with a projected revenue boost of not less than Sh2 billion.
To promote accountability, the county will introduce penalties for delayed payments, though Kerich emphasized that no new charges are being introduced.
“We are not increasing the cost of services, but we will now introduce penalties for non-compliance. This ensures accountability without overburdening residents,” he said.
To further enhance revenue collection, the county plans to map all land parcels, buildings, and businesses in Nairobi. This exercise aims to broaden the tax base and reduce over-reliance on a few compliant taxpayers.
The administration is also investing in digital systems to simplify access to and payment for county services. These platforms are expected to boost compliance and lower transaction costs for businesses and residents alike.
Governor Sakaja’s approach is aimed at increasing efficiency, curbing wastage, and delivering quality services — all while easing the financial strain on Nairobi residents.
