The National Assembly has approved the mediated version of the Division of Revenue Bill (National Assembly Bill No. 10 of 2025), paving the way for the disbursement of Kshs. 415 billion to county governments in the upcoming financial year.
The approval comes after extensive deliberations by the Mediation Committee, which was tasked with reconciling differences between the National Assembly and the Senate over the proposed allocations.
The final figure represents a Kshs. 10 billion increase from the National Treasury’s initial proposal of Kshs. 405.1 billion, translating to a 4.8% growth in the County Equitable Share.
The fourth and final meeting of the Mediation Committee played a crucial role in breaking the deadlock. It included separate negotiations with representatives from both Houses of Parliament, ultimately leading to a consensus on the increased allocation.
Compared to the Kshs. 387.4 billion allocated for the 2024/25 financial year, the new figure marks a Kshs. 27.6 billion rise, underlining the government’s commitment to strengthening devolution and enhancing service delivery at the county level.
“The mediated version of the Bill is now set to be tabled in both Houses for debate and final passage,” the Clerk of the National Assembly confirmed in a statement. “This agreement is a vital step in finalizing the national budget and ensuring counties receive adequate funding to execute their mandates.”
The increase is expected to boost development and operational capacity in the counties, especially in key sectors like healthcare, agriculture, water, and infrastructure.
The decision has been welcomed by county leaders and devolution advocates, who had called for more equitable resource distribution to support devolved governance and bring services closer to the people.
