Counties set to receive long-awaited funds after months of financial crisis

This comes following a crucial meeting between the Council of Governors (CoG) and Treasury officials held on Thursday.

Treasury Cabinet Secretary John Mbadi, along with CoG Vice Chair Governor Ahmed Abdullahi Jiir and Nairobi Governor Johnson Sakaja, met to resolve the ongoing stalemate that had stalled disbursements to the counties.

“This has been a difficult period for us, but we are hopeful following the discussions that counties will soon see funds flowing again,” said Vice Chair Governor Jiir after the meeting.

Nairobi Governor Sakaja shared the optimism, stating, “We had a fruitful meeting and are happy that counties will be receiving funds soon. It has been a tough three months, but now the matter is resolved.”

The deadlock had left all 47 counties without vital disbursements from the national government, severely affecting essential services and development projects. In response, some governors turned to creative measures, including borrowing funds or cutting non-essential services to stay afloat.

Health services were particularly affected, with public hospitals experiencing supply shortages and delays in staff payments. School feeding programs in some counties, crucial for keeping children in school in marginalized areas, were also disrupted.

Treasury CS Mbadi confirmed that the discussions had yielded positive outcomes, and counties should expect the release of funds shortly.

"The meeting was fruitful, and counties should expect the resumption of exchequer release," Mbadi stated.

During a previous CoG meeting with President William Ruto at State House to discuss Universal Health Coverage (UHC), governors raised their concerns. President Ruto then tasked a small team to work with the Treasury on possible solutions. Governors Sakaja, Abdullahi, and Finance Chair Jiir were selected to meet with Treasury CS Mbadi to explore ways forward.