Written by Lisa Murimi
In a notable shift in Nairobi’s revenue structure, building permits have become the county’s leading income source, surpassing parking fees for the first time.
The latest report from the Controller of Budget (COB) shows that between July and September 2024, building permits generated Sh 484 million, compared to Sh 434 million from parking fees.
This marks a significant 86% increase in permit revenue from Sh260.5 million during the same period in 2023.
The surge is attributed to the national government’s push for affordable housing, which has fueled construction projects across Nairobi.
Building permits now account for 22% of the county’s total revenue, which reached Sh2.26 billion in the first quarter of the 2024/2025 financial year—a 31% rise from Sh1.72 billion collected during the same period last year.
Parking fees, traditionally the largest revenue source, saw a slight decline in contribution, dropping from 24% in 2023 to 19% this year.
Other notable revenue streams included hospital fees (Sh 382.5 million) and business permits (Sh 275.8 million).
Nairobi’s growing real estate sector, driven by affordable housing initiatives, underscores this shift, signaling a transformation in the county’s economic activity and diversification of income sources.
