Deputy President Kithure Kindiki has praised the National Treasury for releasing funds to county governments on time, saying the move will enable the 47 devolved units to deliver services without financial constraints.
Prof Kindiki said the Government had fulfilled its promise to avoid delays in disbursing county allocations, noting that all equitable share payments due to counties had been released up to August.
He said the timely disbursement was a demonstration of the Kenya Kwanza administration’s commitment to strengthening devolution despite the country’s fiscal challenges.
“I am happy to note that, despite the fiscal constraints we are facing as a country, the National Treasury disbursed all the amounts due to County Governments as part of the equitable share by the close of the financial year. We have also released July and August allocations. This demonstrates the commitment of Kenya Kwanza to support Devolution,” Said Kindiki.
The Deputy President spoke on Monday 24 August 2026,when he chaired the 30th Intergovernmental Budget and Economic Council (IBEC) Ordinary Session at the Official Residence in Karen, Nairobi.
Treasury Cabinet Secretary John Mbadi attended the meeting, with Prof Kindiki commending him for efforts to speed up the release of county funds.
The second in command also thanked Parliament for the speedy passage of the Division of Revenue Bill, 2026 and the County Allocation of Revenue Bill, 2026, which have since been enacted.
The legislation has paved the way for the release of county funds, with the equitable share allocation increasing to Sh428 billion in the current financial year.
Prof Kindiki attributed the progress to interventions made through IBEC, which brings together the national and county governments to address issues affecting devolution.
“We have made significant progress in most of our resolutions. This demonstrates that IBEC is increasingly becoming a results-oriented institution, where decisions are followed through and translated into interventions that benefit our citizens,” he said.
The DP however, urged county governments to give greater attention to the completion of County Aggregation and Industrial Parks (CAIPs), saying they are critical to Kenya’s industrialisation agenda
He said CAIPs in Embu, Meru, Kirinyaga, Kisii, Wajir, Garissa and Migori were nearing completion and challenged other counties to accelerate similar projects.
“As we look for a vision Kenya Beyond 2030, CAIPs are the centre of the realization of the vision. They are the first step to industrialisation. If we want to create an industrialised nation, CAIPs are crucial in value addition and aggregation,” he said.
He also called for closer cooperation between the national and county governments in preparation for the expected El Nino rains between October and December.
The Deputy President urged counties to activate disaster preparedness and response plans, clear drainage systems, identify vulnerable communities and pre-position emergency supplies.
“We must act now, before the rains begin, to safeguard lives, livelihoods, infrastructure and essential services,” he noted.
Prof Kindiki further commended governors for supporting the Affordable Housing Programme by providing land for projects.
He urged the Ministry of Lands, the Council of Governors, county governments and other agencies to maintain cooperation to resolve outstanding land-related issues and prevent delays in housing projects.
Council of Governors chairman Ahmed Abdullahi while speaking he is said governors remained committed to constructive engagement with the national government through IBEC.
“We want to discuss and resolve all issues amicably to have a well cooperated two levels of government,” said the COG
The meeting comes as the Government seeks to strengthen intergovernmental relations and ensure counties have the resources required to implement development programmes and provide essential services to citizens.
