Raila sustains push for CDF to counties, tells MPs to prepare for referendum

Former Prime Minister Raila Odinga has sustained his push to have Members of Parliament surrender the National Government Constituencies Development Fund (NG-CDF) to the counties.

Referring to the ongoing public participation by legislators to have the CDF entrenched in the Constitution, Raila dismissed the exercise as an effort in futility, saying it must be subjected to a national referendum.

"CDF is about 2.5% of the total budget. 2.5% is substantial because it would increase the allocation to counties from 15% to 17.5%. CDF should be the responsibility of county governments. Members of Parliament are supposed to do three things: representation, legislation, and oversight,” he noted.

Raila was speaking in Mombasa during the 42nd Institute of Certified Public Accountants of Kenya (ICPAK) annual conference on Tuesday.

His remarks come amid ongoing public participation forums by MPs on the proposed Constitution Amendment Bill Number 4 of 2025, which seeks to entrench the NG-CDF, the Senate Oversight Fund, and the National Government Affirmative Action Fund (NGAAF) in the Constitution.

"Do all the public participation you want. Ultimately, you must go to a referendum, and you will lose. It's not that we don't want bursaries—they'll be there, but distributed by the county government,” Raila noted.

He also insisted that the road maintenance levy should be managed by counties to ensure road construction is responsive to local needs. He added that corrupt Governors must face the law.

At the same time, the Orange Democratic Movement (ODM) party boss urged the government to seal revenue leakages and reduce the tax burden on Kenyans. He also hinted at possible relief in the upcoming budget.

"You'll see, for example, this housing levy you are paying is going to be converted into an investment, so that if you don't get a house, you can be entitled to a refund in the future. So please give ODM time to show you how we can do it,” he said.