World Bank to give Kenya counties Sh200 million support

NAIROBI: World Bank has set a side Sh200 million to boost gains in the devolution at the Counties levels.

The Bank Social Development Specialist Chris Finch said the grants will trickle down to the counties once the necessary structures of agreements with the Counties are finalized.

Finch said the grants under the banks Kenya Devolution Design programme will mainly designed to improve Counties investors' friendly environment.

"We want to create enabling investors business friendly environment. These are capacity and performances grants that will increase and attract high levels of business in the Counties", Finch said.

He said the grant will be used to improve financial management of the Counties, human resource, enhance public participation and improve planning, monitoring and evaluation of the projects and programmes in the Counties.

Addressing donors, various development partners and Elgeyo Marakwet County officials at Inter- Continental Hotel Nairobi, Finch said the Bank had visited four Counties including Elgeyo Marakwet that had been rated the best performers in County management practices with the grant guidelines.

"I am so elated to report that Elgeyo Marakwet and other three Counties have shown great performances that will contribute to clear working structure of the grants,"He said.

The treasury Cabinet Secretary who was the chief guest lauded the World Bank. He said the grants will provide a clear roadmap to spur development growth and better governance structure at the grassroots.

"We would like to see counties especially design better property taxes and avoid over burdening investors through double taxation and exorbitant levies," CS said.

Elgeyo Marakwet Governor Alex Tolgos also welcomed the World Bank support noting it was the reason the County was holding the roundtable to seek funds to bridge its development gaps.

"My County is one of those receiving among the lowest allocations by the national treasury despite the huge development expectations," he said.

Tolgos noted that the County received Sh3.2 billion in the 2015/16 financial year yet its development demands require at least 7.6 billion annually.

"We cannot even afford to host an international investment conference as it would eat into our small allocation that is why we resorted to this donor and investment roundtable," he said.

Area Senator, Kipchumba Murkomen, who was also present, faulted the Commission for Revenue Allocation (CRA) formula of allocating monies to the counties.

"I will repeat here that the formula is simplistic and unfair to counties like Elgeyo Marakwet that has great potential but is placed third last in allocation," he said.

Murkomen warned that a new formula being worked on by CRA should attach more focus on development.

"You should allocate money on development on Individual County's unique economic ability to contribute to the national development agenda," he told CRA Commissioner Amina Ahmed who was present.

The Senator threatened to shoot down the formula at the Senate if it did not cater for the development considerations.

The roundtable was also attended by representatives of USAID, Trade Mark East Africa, FAO, GIZ, World Vision among others.