The approval of the Bill is expected to provide certainty for county governments as they finalise their budgets for the 2026/27 financial year.
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The agreed-upon allocation represents a Ksh 10 billion increase from the National Treasury’s initial proposal of Ksh 405.1 billion, marking a 4.8 percent growth.
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The total expenditure, equivalent to 22.1% of GDP, includes KSh3.09 trillion for recurrent spending, KSh725.1 billion for development, KSh436.7 billion in county transfers, and KSh5 billion for the Contingency Fund.
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Governor Mutula Kilonzo Junior (Makueni County) pointed to Article 203 (1)(j) of the Constitution, which mandates that counties' equitable share be allocated in a stable and predictable manner.
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The move follows assenting to the Division of Revenue Bill (National Assembly Bill No. 9 of 2023) by President William Ruto.
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