President William Ruto on Monday signed into law the Division of Revenue Bill, 2024, and the Supplementary Appropriation Bill, 2024.
These bills, recently passed by the National Assembly and the Senate, are crucial for the allocation and utilization of government funds between national and county governments.
The Division of Revenue Bill allocates a total of Ksh.2.9 trillion in shareable revenue. Out of this amount, Ksh.2.5 trillion is allocated to the National Government, while Ksh.400 billion is designated for county governments. This allocation for counties marks an increase from the Ksh.385 billion allocated in the previous financial year (2023/2024). Additionally, Ksh.7.8 billion is allocated to the Equalization Fund to provide basic services such as water, roads, health facilities, and electricity to marginalized areas.
The Supplementary Appropriation Bill, sponsored by Kiharu MP Ndindi Nyoro, authorizes the issuance of Ksh.102.3 billion from the Consolidated Fund. This amount will be used for various services for the fiscal year ending June 30, 2024, and will also regularize Ksh.23.67 billion in expenditures.
A significant portion of these funds is dedicated to mitigating the impact of recent floods in Kenya. Specifically, Ksh.4.3 billion is allocated for humanitarian support to flood-affected individuals, Ksh.1 billion for emergency road rehabilitation, and Ksh.3.0 billion for El Niño disaster management.
Further allocations include funding for the fertilizer subsidy program, support to the Kenya Revenue Authority to enhance revenue collection efforts, and medical insurance for the National Police Service. Additional expenditures will address emergency interventions, such as responses to El Niño floods and other critical needs.
This legislation underscores the government’s commitment to addressing both immediate and long-term challenges, ensuring equitable resource distribution and efficient disaster management.
