Mombasa, Kenya| Former Prime Minister Raila Odinga has called for a comprehensive reassessment of the Constituency Development Fund (CDF) in light of Kenya’s devolved governance framework, urging a shift in development funding from national legislators to county governments.
Speaking during the 42nd Annual Conference of the Institute of Certified Public Accountants of Kenya (ICPAK) at Sarova Whitesands in Mombasa, Odinga told over 3,500 delegates that the continued control of development funds by Members of Parliament (MPs) undermines the constitutional separation of powers.
He acknowledged the historical role of the CDF in addressing regional imbalances under a centralized government but stressed that this role must evolve now that devolution has taken root.
He argued that with the success of devolution, development functions should be fully aligned with county mandates.
According to Odinga, the CDF had served its purpose in the past, but in today’s governance structure, counties are best positioned to handle development responsibilities.
He maintained that MPs should not be involved in implementing development projects and should instead focus on their constitutional duties of legislation, representation, and oversight.
Odinga emphasized that a legislator cannot provide proper oversight of the national government while simultaneously implementing projects that are supposed to be scrutinized, as such dual roles compromise accountability.
He further proposed that bursary distribution and other community support programs be entirely managed by county governments to enhance transparency and equitable service delivery.
He clarified that while bursaries remain crucial for supporting vulnerable populations, they should not be administered by MPs or Members of County Assemblies (MCAs), but by county administrations in line with the principles of devolution.
Odinga also underscored the importance of strengthening devolution while holding county leaders accountable.
He stated that governors implicated in corruption must face the law without political protection, while at the same time, county governments should be allowed to perform their duties without undue interference from the national government.
Looking ahead, Odinga called for a national mindset shift to accelerate the realization of Vision 2030.
He pointed to progress in areas like infrastructure and energy, but lamented persistent obstacles such as youth unemployment, income inequality, and political instability.
He said that Kenya must work toward reducing the tax burden, promoting good governance, pursuing industrialization, and investing strategically in education and infrastructure to achieve global competitiveness.
Echoing Odinga’s sentiments, ICPAK Chairman CPA Philip Kakai emphasized the critical role of professionals—particularly accountants—in navigating Kenya through its current economic challenges.
He noted that the country is at a pivotal moment, grappling with slowed economic growth, a ballooning public debt exceeding Sh11 trillion, and widespread youth unemployment.
Kakai said this is not the time for professionals to remain passive and urged accountants to step into leadership roles and champion reforms in governance, sustainability, and policy development.
He cautioned that corruption remains a major threat to national progress, characterizing it not merely as theft but as economic sabotage.
Kakai urged the accounting profession to summon collective courage to uphold accountability and restore public trust, warning that without trust, there can be no meaningful or sustainable prosperity.
Adding a legislative perspective, CPA Kuria Kimani—who also serves as the Molo Member of Parliament—stressed the urgency of adopting sound fiscal governance and responsible financial management.
He argued that public borrowing must be limited to development projects and not used for recurrent expenditure.
He called for enhanced transparency in how debt is utilized and emphasized the importance of the Finance Bill 2025 in reforming Kenya’s tax regime.
Kimani highlighted that the bill aims to streamline tax incentives, simplify tax laws, and promote efficiency by limiting VAT zero-rating to export goods, restricting exemptions to essential commodities, and tying income tax deductions directly to productive economic activities.
He also advocated for better management of non-tax revenues by digitizing government services and valuing public assets, thereby turning Ministries, Departments, and Agencies into self-sustaining institutions.
He further championed the expansion and transparency of Public-Private Partnerships (PPPs) and praised recent reforms in anti-money laundering policies as key steps in safeguarding financial integrity and enhancing regulatory oversight.
Kimani concluded by emphasizing the need for collective discipline, strategic foresight, and transparent public finance management as the foundation for building a resilient, self-reliant economy.
ICPAK Chief Executive Officer Grace Kamau added that accounting professionals must rise to the moment and safeguard the integrity of their profession amid rising global and domestic challenges.
She described accountants as the architects of economic resilience and highlighted their critical role in influencing economic policy, corporate strategy, public finance, and climate risk analysis.
Kamau warned against the creeping culture of mediocrity and malpractice in the financial sector, which she said has contributed to eroding public trust in institutions.
She called on accountants to resist these trends by upholding high standards and restoring faith in financial stewardship, audits, and budgetary processes in both the public and private sectors.
The five-day ICPAK conference brought together a wide array of stakeholders—including policymakers, financial experts, and public service leaders—to explore strategies for building economic resilience, enhancing fiscal management, and advancing sustainable development in a complex and evolving fiscal landscape.
Themed “Beyond the Profession: Accountants in All Spheres of the Economy,” the event underscored the central role of accountants in shaping Kenya’s economic future.
As Kenya continues its journey toward economic recovery and governance reform, the message from Mombasa was unequivocal: the nation must deepen devolution, uphold integrity in public finance, and empower professionals to lead the transformation.
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