President William Ruto has signed into law the Division of Revenue Bill, 2024, and the Supplementary Appropriation Bill, 2024.
These bills, which were passed by both the National Assembly and the Senate, are critical for the allocation of revenue between the national and county governments and for authorizing the disbursement of Ksh.102 billion from the Consolidated Fund.
The Division of Revenue Bill allocates Ksh.2.9 trillion in total shareable revenue, with Ksh.2.5 trillion going to the National Government and Ksh.400 billion allocated to the counties. This represents an increase from the Ksh.385 billion allocated to counties in the 2023/2024 financial year. Additionally, the bill includes Ksh.7.8 billion for the Equalization Fund, aimed at providing basic services such as water, roads, health facilities, and electricity to marginalized areas.
The Supplementary Appropriation Bill, sponsored by Kiharu MP Ndindi Nyoro, authorizes the issuance of Ksh.102.3 billion from the Consolidated Fund for the fiscal year ending June 30, 2024. It will regularize Ksh.23.67 billion in expenditures.
A significant portion of the supplementary funds will be used to mitigate the effects of recent floods in Kenya. Specifically, Ksh.4.3 billion is allocated for humanitarian support for those affected by the floods, Ksh.1 billion for emergency road rehabilitation, and Ksh.3 billion for El Niño disaster management.
Additional funds are directed towards the fertilizer subsidy program, enhancing revenue collection efforts by the Kenya Revenue Authority, and providing medical insurance for the National Police Service. The bill also addresses other emergency interventions, including responses to El Niño floods and other critical needs.
These legislative measures aim to enhance service delivery and address urgent challenges facing the nation, particularly in areas affected by natural disasters and underdevelopment.