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    Home»Kenya»Kitui County to Lose Ksh.343 Million in Proposed CRA Formula
    Kenya

    Kitui County to Lose Ksh.343 Million in Proposed CRA Formula

    Channel 15 NewsBy Channel 15 NewsJanuary 4, 2025No Comments3 Mins Read223 Views
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    Kitui County is set to lose a staggering Ksh.343 million if the new revenue allocation formula proposed by the Commission on Revenue Allocation (CRA) is approved by Parliament. This loss is among the highest for counties facing cuts and signals a major setback for one of Kenya’s largest counties by land size, which has long struggled with underdevelopment and harsh climatic conditions.

    The proposed formula, led by CRA Chair Mary Chebukati, increases the weight of population in revenue distribution from the current 18% to 42%, a move that heavily disadvantages Kitui’s sparsely populated regions. While land mass has been increased slightly from 8% to 9%, the gains are far outweighed by the population parameter’s dominance.

    Kitui’s loss is part of a broader trend that affects other counties in the Lower Eastern Region. Machakos County will lose over Ksh.250 million, while Makueni County, though less impacted, will still experience a reduction in its revenue share. These cuts could cripple ongoing development projects and essential services in the three counties, which are already grappling with water scarcity, poor infrastructure, and poverty.

    The new formula has been labeled as unfair by many leaders from Kitui and the Lower Eastern Region. They argue that it undermines the principle of equitable development, especially for arid and semi-arid regions. Kitui Governor Julius Malombe has expressed concern that the formula could reverse gains made in health, education, and agriculture.

    Counties Facing Cuts and the Biggest Winners
    Across the country, 31 counties will see their allocations reduced. Kakamega County will suffer the biggest loss at Ksh.310 million, followed by Kitui. Kisii and Homa Bay will each lose Ksh.285 million and Ksh.262 million, respectively. Other counties experiencing significant cuts include Machakos, Kilifi, and Meru, all of which will forfeit over Ksh.250 million each.

    On the flip side, 16 counties are set to reap substantial gains. Garissa County is the biggest winner, with an additional Ksh.1.9 billion allocated. Marsabit County follows with Ksh.1.3 billion, while Isiolo and Wajir will gain Ksh.945 million and Ksh.607 million, respectively. Kajiado County will also benefit from an extra Ksh.801 million, with Kericho, Samburu, and Vihiga counties each gaining over Ksh.300 million.

    The proposed formula is now before the Senate, with the Council of Governors expected to deliberate on the matter and present a unified position. As the debate unfolds, the spotlight remains on whether the formula balances the interests of densely populated regions with those of arid and sparsely populated counties like Kitui. The outcome will significantly shape Kenya’s approach to equitable development in the years to come.

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