Kisumu County automates revenue collection in bid to raise Sh1b

Kisumu governor Anyang’ Nyong’o

The Kisumu county government has introduced a cashless revenue collection system as it fights to meet its revenue targets.

The government had been struggling to meet its Sh1 billion revenue target over the past five years.

Governor Anyang’ Nyong’o attributed poor collection of revenue to corruption among officials in the revenue office and cartels he said were running parallel systems.

He said the digital system would seal loopholes through which revenues were lost, thereby improving collections.

Nyong’o said the automated system would also edge out cartels that had been eating into the county government by running parallel ticketing.

He said poor record keeping and lack of accountability had also contributed to the revenue challenges.

In an executive order dated July 1, County Secretary Olang’o Onudi directed the 10 departments to migrate revenue collection to the new system that would use mobile money transfer.

The county has secured an M-Pesa paybill number through which all payments will be made.

“We are moving towards a cashless revenue collection system to curb widespread pilferage in the regular ticketing,” said Aloice Ager, the county's communication director.

He said the system was recommended by a task-force instituted by the governor when he assumed office last year, as part of efforts to shore up revenue.

The governor said the bold move was a strategic step towards elimination of parallel ticketing that would also eliminate cartels.

Some of the revenue streams these cartels have infiltrated are bus parks, markets and kiosks.

A spot check by The Standard revealed how residents were struggling to adapt to the system.

In hospitals, for example, several patients were at a loss after they were asked to pay for medical cards and medication via mobile money.

Many, especially women and the elderly, came with Sh30 at hand, and some did not have phones.

Hospital managers, who sought anonymity, said they allowed them to get medication as they liaised with the county government on how to deal with such cases.

Locals unaware

“We are already facing many challenges. These people have not been told about the cashless payment for services and so they came with cash. Others do not even own phones,” said a medical superintendent.

On Monday night, a 21-year-old-man bled for nearly an hour at a public hospital after he was denied emergency services over the Sh30 fee.

Steve Austin Juma waited as a Good Samaritan who had taken him to Ahero sub-county hospital sought help from friends to send him the Sh30 on mobile money so he could pay for the services.

Juma had been attacked as he headed home from watching a World Cup match at night. He lost his phone and could not access any services at the hospital without transferring the money through mobile money.