Counties criticised over poor generation of local revenue

County governments have been criticised over poor collection of local revenue.

Delegates attending the ongoing Fourth Legislative Summit in Kisumu County questioned the dedication of county executives to streamline revenue collection systems.

They challenged devolved units to automate their financial systems.

Their concerns come in the wake of fresh reports by the Controller of Budget which indicate that counties failed to collect some Sh35.9 billion in revenue during the first six months of the current financial year.

The delegates underscored the need for the counties to improve their revenue collection to help fund some of the budgeted activities.

Chemosong Kibor, the deputy speaker of Elgeyo Marakwet, raised fears that counties could be spending more than they are collecting in revenue.

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He noted the few counties that have managed to surpass their revenue targets have always set very low targets with an eye for reward from the Commission of Revenue Allocation.

In a report released about two weeks ago, Controller of Budget Agnes Odhiambo said counties raised only Sh15.3 billion in local revenue. The figure represented 29 per cent of the annual target.

The report covering between July and December 2018 also indicated that Nairobi County raised the highest revenue at Sh3.8 billion. The counties which recorded the lowest were Kisii, Wajir and Kericho at 12.7 per cent, 13.1 per cent and 13.5 per cent respectively.

Delegates also questioned the revenue structure and staffing counties have adopted and linked it to poor revenue generation.

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Fourth Legislative Summit in Kisumu CountyController of Budgetpoor revenue generation