Counties Fall Short of Revenue Targets as Collection Stalls at 51%
County governments across Kenya are set to miss their own-source revenue targets for yet another financial year, raising concerns about development delays and rising budget deficits. A new budget review report by the Controller of Budget (CoB), Dr. Margaret Nyakang’o, shows that counties have only managed to collect Sh41.40 billion—just 51 per cent of their combined annual target of Sh80.78 billion—for the first nine months of the 2023/2024 financial year. The shortfall signals tough months ahead for devolved units that heavily depend on internally generated revenue to fund local projects and essential services.
The report highlights significant disparities in revenue performance between counties, with several consistently struggling to meet their targets. Kericho, Nyandarua, Machakos and Lamu emerged as the poorest performers, each collecting below 31 per cent of their annual projections. Kericho recorded Sh392.3 million against a Sh1.2 billion target, while Lamu managed just Sh72.6 million from an expected Sh350 million. Comparatively, other counties showed moderate improvement, with the overall national figure rising from Sh28.77 billion collected in the same period of the previous year.
Despite the grim numbers, a few counties stood out as strong performers, surpassing the 75 per cent mark of their targets. These included Uasin Gishu, Samburu, Isiolo, Kirinyaga, Turkana, Nandi, Vihiga, Meru, Wajir, Narok, Nyeri and Elgeyo-Marakwet. Uasin Gishu led the pack with Sh1 billion collected from a target of Sh1.17 billion, while Isiolo generated Sh237.6 million from a Sh271.2 million target. In contrast, major counties like Kakamega, Kiambu, Homa Bay, Kisumu, Nairobi and Kajiado were flagged for weak performance, with each recording less than 50 per cent of their revenue goals.
The Controller of Budget has advised counties falling below the halfway mark to tighten expenditure and limit new commitments to avoid piling up pending bills. With just a few months left in the financial year, counties face mounting pressure to improve collection efficiencies, seal revenue leakages, and reform outdated systems. The performance trend now places a spotlight on county treasuries, which must demonstrate stronger fiscal discipline if they are to stabilise service delivery and regain public trust.