In a move that could potentially disrupt essential services in Kenya, the Council of Governors (CoG) has issued a 14-day notice to shut down counties if the National Treasury does not disburse Ksh.94.35 billion owed to the county governments.

This amount comprises Ksh.31.45 billion for February 2023 allocation, Ksh.29.6 billion for March 2023 allocation, and Ksh.33.3 billion for April 2023 allocation.

Governors push

The CoG has been pushing for the disbursement of these funds for months now, citing difficulties in carrying out critical functions without the necessary resources. The failure to release the funds has also caused delays in paying county workers and suppliers, leading to a growing backlog of arrears.

In a statement issued by the CoG, they called upon the National Treasury to immediately release the funds owed to the county governments without any further delay. They also expressed concern that the delay in disbursement of funds was affecting the delivery of essential services to Kenyans, including health, water, and sanitation.

The CoG further highlighted that the counties were struggling to meet their obligations, including paying salaries and other statutory deductions to their workers, due to the non-release of funds. This situation has been made worse by the effects of the Covid-19 pandemic, which has severely affected the country’s economy.

The arrears are as follows:
✅Ksh.31.45 billion owed to 47 Counties for February 2023 allocation.
✅Ksh.29.6 billion owed to 47 Counties for March 2023 allocation.
✅Ksh.33.3 billion owed to 47 Counties for April 2023 allocation. pic.twitter.com/bCFxaxvj05

— Council of Governors (@KenyaGovernors) April 24, 2023

Effects of shut down

Should the counties shut down, it would lead to the closure of critical services, including health facilities, county water supply systems, and garbage collection services. This would undoubtedly have a significant impact on the lives of ordinary Kenyans.

The CoG has urged the National Treasury to take urgent action to release the funds owed to the counties to avoid any disruptions in service delivery. Failure to do so could lead to a stand-off between the county governments and the national government, with potential far-reaching consequences for the country.