Big County Payouts Shift Focus to Value for Money in Devolution

New National Treasury data is putting the spotlight on how counties use devolved funds, after showing that a small group of regions has taken the largest share of revenue transfers since devolution began.

The figures show that Nairobi, Turkana and Nakuru are among the biggest recipients of equitable revenue, raising fresh questions about whether high funding is translating into better services on the ground. Nairobi alone has received Sh195.6 billion between the 2013/14 and 2024/25 financial years, followed by Turkana with Sh138 billion and Nakuru with Sh135 billion. Kilifi and Kiambu follow closely, each having received over Sh120 billion in the same period.

In total, county governments have received Sh4.04 trillion from the national government through equitable share and additional allocations since devolution started, with Sh444.56 billion disbursed in the current financial year.

From a fiscal perspective, the data shows that money has continued to flow steadily to counties, even as public frustration grows over uneven service delivery. The debate is increasingly shifting from how much counties receive to how effectively they spend it.

The contrast is sharp across regions. While some counties have received large allocations, others such as Lamu (Sh35 billion), Tharaka Nithi (Sh48 billion), and Elgeyo Marakwet and Isiolo (about Sh50 billion each) have operated with far smaller envelopes over the same period. This imbalance is fueling renewed scrutiny of spending priorities, planning capacity and accountability.

Political leaders have also weighed in, with criticism focusing on whether high allocations have improved access to basics such as water, schools and food security, particularly in parts of Northern Kenya. At the same time, Treasury has pointed to delays in disbursements, late budget approvals, tight national finances and donor-related conditions as factors that have strained county cash flows.

Overall, the figures underline a key challenge facing devolution more than a decade on: ensuring that rising transfers deliver visible results, as attention turns from funding levels to outcomes, efficiency and value for money at the county level.