Homa Bay, Kenya| In a pivotal moment for Kenya’s devolved governance system, President William Ruto has signed into law a groundbreaking bill that bestows complete financial independence upon county assemblies.
This historic legislation, enacted during a ceremonial event at the Homa Bay State Lodge, marks a significant stride toward deepening devolution, empowering local legislatures to operate free from gubernatorial oversight and bolstering their capacity to hold county executives accountable.
The signing ceremony, attended by key stakeholders including governors, assembly speakers, and devolution experts, underscores the administration’s commitment to reforming Kenya’s county governance framework.
For years, county assemblies have grappled with budgetary constraints imposed by governors, often leading to tensions and inefficiencies in service delivery.
This new law dismantles those barriers, allowing assemblies to manage their own finances, allocate resources autonomously, and prioritize initiatives that directly impact grassroots communities.
Breaking Free from Executive Control: The Core of the Reform
At the heart of this transformative bill is the liberation of county assembly budgets from the clutches of governors. Previously, assemblies relied on executive approvals for funding, which sometimes resulted in delays, favoritism, or outright interference in legislative functions.
By granting fiscal autonomy, the legislation ensures that assemblies can now draft, approve, and execute their budgets independently.
This shift is poised to enhance their oversight role, enabling more rigorous scrutiny of county expenditures, policy implementation, and anti-corruption measures.
Experts in devolution hail this as a “game-changer” for Kenya’s 2010 Constitution, which introduced devolution to decentralize power from the national government to the 47 counties.
“This is not just about money; it’s about power balance,” noted Dr. Jane Muthoni, a constitutional law scholar at the University of Nairobi. “Financial autonomy will allow assemblies to legislate without fear of reprisal, fostering a more vibrant democracy at the local level.”
The move addresses long-standing grievances voiced by assembly members, who have often accused governors of using budget controls as a tool to stifle dissent or delay critical projects.
With this autonomy, assemblies can invest in capacity-building programs, hire independent auditors, and even fund public participation forums—steps that could lead to more inclusive and transparent governance.
Boosting County Coffers: The County Allocation of Revenue Bill, 2025
In tandem with the autonomy bill, President Ruto also assented to the County Allocation of Revenue Bill, 2025, injecting a substantial financial lifeline into the devolved units.
This legislation ramps up the total equitable share allocated to counties to an impressive Sh415 billion for the upcoming fiscal year—a whopping Sh30 billion increase from the previous allocation of Sh385 billion.
This enhanced funding comes at a critical juncture as counties face mounting pressures from inflation, population growth, and post-pandemic recovery needs.
The additional resources are expected to be distributed based on factors such as population size, poverty levels, and land area, ensuring equitable development across urban and rural divides.
Key sectors poised to benefit include healthcare, education, agriculture, and infrastructure, where counties have primary responsibility under the devolved system.
President Ruto, in his address at the signing, emphasized the dual bills’ role in advancing his administration’s Bottom-Up Economic Transformation Agenda (BETA).
“Devolution is the bedrock of our nation’s progress. By empowering county assemblies and increasing allocations, we are not only honoring the spirit of our Constitution but also ensuring that every Kenyan, from the bustling streets of Nairobi to the serene shores of Homa Bay, feels the impact of good governance,” he stated.
Implications for Transparency, Accountability, and Service Delivery
The reforms are anticipated to yield far-reaching benefits, chief among them improved transparency and accountability.
With independent budgets, assemblies can now enforce stricter oversight mechanisms, such as real-time audits and performance evaluations of county executives.
This could curb misuse of public funds, a persistent issue highlighted in annual reports by the Auditor General, which have repeatedly flagged irregularities in county spending.
Moreover, the increased allocations promise to accelerate service delivery. Counties will have more leeway to address local priorities—whether it’s upgrading rural roads in arid regions like Turkana, expanding maternal health services in high-population areas like Kisii, or investing in water projects amid climate change challenges.
Citizens stand to gain from faster project implementation, reduced bureaucratic red tape, and greater public involvement in decision-making processes.
However, challenges remain. Critics warn that without robust safeguards, financial autonomy could lead to mismanagement within assemblies themselves.
To mitigate this, the bill incorporates provisions for enhanced reporting to the Controller of Budget and the Commission on Revenue Allocation, ensuring that autonomy does not equate to unchecked spending.
A Milestone in Kenya’s Devolution Journey
This development builds on a decade-plus evolution of Kenya’s devolution experiment.
Since the 2013 elections that birthed the county governments, devolution has transformed service delivery, bringing resources closer to the people and reducing over-reliance on the central government.
Yet, persistent power struggles between governors and assemblies have hindered full realization of these gains.
President Ruto’s actions today signal a maturation of the system, aligning with calls from civil society groups like the Kenya Devolution Working Group for stronger institutional independence.
As counties gear up to implement these changes, stakeholders are optimistic about a ripple effect: more effective legislation, reduced corruption, and empowered local leaders driving sustainable development.
For ordinary Kenyans, this could translate into tangible improvements in daily life—from better-equipped hospitals to well-maintained schools and thriving local economies.
In summary, President Ruto’s assent to these bills not only fortifies the pillars of devolution but also sets a precedent for future reforms.
As Kenya continues to navigate its path toward inclusive growth, this historic step ensures that power—and prosperity—truly resides with the people at the county level.
Stay tuned to ICBNews for updates on how these changes unfold across the nation.
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