Nairobi, March 8 -- Nairobi City County's internal revenues for the six months to December hit a record low after it shrunk by 28 percent to Sh2.7 billion, shining the spotlight on a decision to claw back revenue collection duties from the Kenya Revenue Authority (KRA).

Official data from the budget controller shows that City Hall's internal revenue fell by Sh1.078 billion to Sh2.733 billion, undermining efforts to boost own-source revenue.

The drop came in the period that the new administration took back collection of taxes and levies from the KRA in August last year after Johnson Sakaja was sworn in as the governor.

This is the lowest that City Hall has collected in the first half of a financial year since the start of devolution a d...