Kenya’s National Assembly Finance and National Planning Committee has criticised the Equalisation Fund Board over what lawmakers described as poor value-for-money and a deviation from its constitutional mandate.
The Committee, chaired by Molo MP Kuria Kimani, accused the Board of financing projects outside its scope including cabro paving, street lighting, kitchen renovations and staff housing, instead of focusing on basic services like water, roads, health and electricity in marginalised areas.
During a tense session at Bunge Tower, MPs raised concerns over duplication of roles with the NG-CDF and county governments, pointing to ongoing projects that appeared either mismanaged or improperly prioritised.
One case cited was the construction of a five-acre irrigation scheme for Kshs.2.6 million, compared to a ten-acre project in the same area costing just Kshs.3.6 million.
“There are questionable expenditures. If projects are this arbitrary, how can we guarantee value for money?” Hon. Kimani asked.
MPs also questioned discrepancies in project reporting, including a bridge in Turkana South reported by the Fund as only 2% complete, while area MP Dr John Ariko claimed it was over 40% done.
In defence, Board representatives said project selection was guided by the Commission on Revenue Allocation (CRA), and that implementation was the responsibility of national and county agencies. Engineer Mohamed, appearing on behalf of the Board, blamed delays in Treasury disbursements and coordination challenges.
As of June 2025, the Fund’s entitlement from Treasury stood at Kshs. 80 billion, yet only Kshs. 15 billion had been disbursed.
“The Fund is too thinly spread, and many projects are outside the intended mandate,” Kimani said, adjourning the session amid concerns over inaccurate data and lack of impact.
The Equalisation Fund was established under Article 204 of the Constitution to bridge development gaps in historically marginalised regions.
