Ruto Signs Two Key County Revenue Bills into Law

President William Ruto assenting to two Bills at State Lodge in Homa Bay County on August 13, 2025 /PCS

President William Ruto has signed into law the County Allocation of Revenue Bill, 2025 and the County Public Finance Laws (Amendment) Bill, 2023, increasing funding to Kenya’s 47 counties.

The signing ceremony took place at the State Lodge in Homa Bay County, where President Ruto highlighted his administration’s commitment to strengthening devolution and improving service delivery at the grassroots level.

“We have increased the equitable share of revenue to Sh415 billion among our 47 counties, representing a rise of almost Sh30 billion from the previous financial year’s Sh387.4 billion,” Ruto said in a statement posted on X.

“The significant increase underpins our commitment to mobilising more resources to support devolution and boost service delivery to the people at the grassroots.”

The County Allocation of Revenue Bill, sponsored by the Senate Finance and Budget Committee, outlined how the Sh415 billion will be distributed among counties using the revenue-sharing formula approved by Parliament under Article 217 of the Constitution.

Some of the leaders present when President Ruto was assenting to two Bills at State Lodge in Homa Bay County on August 13, 2025/PCS

Nairobi County will receive the highest allocation at Sh21.4 billion, followed by Nakuru Sh14.4 billion, Turkana Sh13.8 billion and Kakamega Sh13.6 billion.

At the lower end, Lamu County will receive Sh3.8 billion, while Taita Taveta, Isiolo, Elgeyo Marakwet and Tharaka Nithi are allocated between Sh5.05 billion and Sh5.7 billion.

The fund, administered by the Clerk of each county assembly, will cover administrative costs, asset purchases and other approved spending. Unspent funds at the end of the financial year will be carried forward.

County treasuries are required to release allocations by the 15th of each month for the following month’s expenditure, subject to assembly approval.

Proponents say the changes will give county assemblies greater autonomy over their finances, enabling them to effectively perform their constitutional and statutory duties.

“The County Public Finance Laws (Amendment) Bill, 2023, provides for the establishment of a County Assembly Fund in each county, strengthening financial independence and accountability,” Ruto added.

The new law also requires the Treasury to publish monthly reports on transfers to counties and mandates county treasuries to reflect these receipts in their quarterly and annual financial statements.