Kenya, Aug. 14 -- Kenyan Members of County Assemblies (MCAs) have achieved a significant milestone with the signing of a new law granting them direct control over county assembly funds, marking a pivotal shift in devolution and ending their longstanding dependence on governors for financial resources.
President William Ruto assented to the County Public Finance Laws (Amendment) Bill, 2023, which establishes the County Assembly Fund (CAF) and allows MCAs financial autonomy by accessing a portion of county revenues and levies directly from the County Revenue Fund (CRF).
The landmark legislation, signed during a ceremony at the State Lodge in Homa Bay on August 13, 2025, amends existing public finance provisions to empower county assemblies with independent budgeting and expenditure authority.
This move addresses persistent conflicts between MCAs and governors, where assemblies often faced delays or denials in funding, hampering oversight and legislative functions. Under the new devolution law, county assemblies can now appropriate monies from the CRF into the CAF, supplemented by other funding sources, ensuring operational independence in Kenya's 47 counties.
The County Public Finance Laws (Amendment) Bill, 2023, introduces mechanisms for direct treasury funding to county assemblies, a demand long championed by the County Assemblies Forum (CAF).
Previously, assemblies relied on allocations controlled by county executives, leading to inefficiencies and power imbalances. Now, MCAs can manage their budgets for salaries, allowances, and development projects without executive interference, fostering stronger checks and balances in devolved governance.
Alongside this, President Ruto also signed the County Allocation of Revenue Bill, 2025, which allocates Ksh415 billion as an equitable share to county governments for the 2025/2026 financial year-a Ksh10 billion increase from the previous allocation.
This boost supports overall devolution, with a portion earmarked for assembly operations. MCAs have applauded the president for this reform, viewing it as a victory for grassroots democracy and enhanced service delivery in areas like health, education, and infrastructure.
The push for MCA's financial autonomy gained momentum through parliamentary debates, with the bill proposing a dedicated fund to eliminate reliance on governors.
Proponents argued that direct access to county revenues would enable assemblies to perform their roles effectively, including scrutinising executive spending and enacting local laws. Critics, however, raised concerns about potential misuse of funds, calling for robust accountability measures to prevent corruption.
In counties like Trans Nzoia, MCAs have already demonstrated fiscal planning by approving a Sh9.3 billion budget for 2025/2026, with Sh600 million from own sources and significant allocations to health (Sh260 million).
The new law aligns with such initiatives, allowing assemblies nationwide to replicate this independence. Legal experts note that this amendment strengthens Article 176 of the Kenyan Constitution, which establishes county assemblies as key devolved units.
Social media reactions reflect widespread support, with users hailing the reform as a game-changer for Kenya county funds access. One post stated, "Finally, MCAs can hold governors accountable without begging for money," highlighting the end of fiscal tug-of-war.
The County Assemblies Forum has pledged to guide members on implementing the new framework, ensuring compliance with public finance principles. This development comes amid broader devolution enhancements, including increased allocations and legal safeguards. The National Assembly's approval of the bill in June 2025 paved the way for its enactment, addressing calls for equitable resource distribution.
For MCAs, this means greater leverage in negotiations and improved welfare, potentially reducing strikes and disruptions that have plagued some assemblies.
As implementation rolls out, stakeholders anticipate smoother operations in county governance. The new devolution law not only grants MCAs financial autonomy but also reinforces Kenya's commitment to decentralised power, benefiting citizens through more responsive local leadership.
The reform's impact on county assembly funds is expected to be profound, with direct access to revenues enabling timely projects and oversight. Governors, now facing reduced control, may need to foster better collaboration to avoid conflicts.
In summary, the signing of this legislation marks a new era for MCAs' financial autonomy, empowering them with independent funding streams and diminishing executive dominance in fiscal matters.
Ultimately, this new law enhances devolution by providing county assemblies with the tools for self-sufficiency, ensuring MCAs can focus on serving constituents without financial bottlenecks from governors.
Looking ahead, the success of MCA's financial autonomy will depend on transparent management of county assembly funds, setting a precedent for accountable governance in Kenya's counties.
Published by HT Digital Content Services with permission from Bana Kenya.