Recurrent expenditure takes lion share of Vihiga budget

Vihiga Governor Wilber Ottichilo during a past press briefing at Mbale. [Brian Kisanji, Standard]

Recurrent expenditure has taken up the largest portion of Vihiga County's Sh6.9 billion budget for the 2025/2026 financial year.

According to the budget approved by the Vihiga County Assembly, Sh4.71 billion-representing 68.1 percent of the total budget-will go toward salaries, operations, and maintenance costs under recurrent expenditure.

In contrast, only Sh2.2 billion, translating to 31.9 percent, has been allocated to development projects across the county.

The total budget of Sh6.9 billion marks a 6.55 percent increase from the previous financial year.

It will be financed through an equitable share from the national government amounting to Sh5.42 billion, local revenue collection estimated at Sh378 million, and additional funding from development partners.

Governor Wilber Ottichilo, who assented to the Appropriation Bill 2025, acknowledged the imbalance but urged departments to exercise fiscal discipline during implementation.

"We must prioritize the completion of stalled and ongoing projects before initiating new ones," said the Governor during the signing ceremony.

The Controller of Budget has occasionally flagged the worrying trend of counties prioritising salaries at the expense of improved services and infrastructure.

The Controller has always urged counties to comply with Section 107(2)(b) of the Public Finance Management Act, 2012, which requires that at least 30 percent of the budget be allocated to development over the medium term.

However, policy advisors and fiscal experts often recommend that counties allocate between 35 to 45 percent of their budgets to development to ensure meaningful service delivery, infrastructure growth, and long-term sustainability.

A key feature of the county's budget is the allocation of Sh428.5 million toward the settlement of pending bills, a long-standing concern that has plagued the county for years.

The total value of pending bills is estimated to be well over Sh1 billion.

"Pending bills continue to choke service delivery and frustrate contractors. This budget makes a clear statement that we are committed to clearing what we owe before moving forward," said Patrick Akhwale, Chairperson of the Budget and Appropriations Committee.

Other notable allocations include Sh500 million for Ward-Based Projects, Sh33.9 million for Community Health Promoters (CHPs), and Sh22 million for gratuity payments to Early Childhood Development Education (ECDE) teachers.

The construction of the County Assembly Office Plaza has also been factored in, with an allocation of Sh25 million, while an additional Sh36 million has been set aside for the Assembly Chambers.

The health sector continues to receive the largest departmental allocation, with Sh1.98 billion.

The Department of Education received Sh573 million while Environment and Water was allocated Sh524 million,

Transport and Infrastructure received Sh407 million, and Public Service and Administration was allocated Sh796 million, while the Department of Agriculture, Livestock and Fisheries will operate on a budget of Sh384 million.