Governors reject Sh420 billion as equitable share, demand more
National
By
Benard Lusigi
| Feb 16, 2026
Bungoma Governor Kenneth Lusaka and Kakamega Governor Fernandes Barasa during service at ACK Mumias Cathedral on February 15, 2026. [Benjamin Sakwa, Standard]
The Council of Governors (COG) has rejected the proposed Sh420 billion equitable share by the National Treasury for 2026/2027, saying it was inadequate.
Speaking in Matungu Constituency, Kakamega Governor Fernandes Barasa, who is also the chairperson of the CoG Finance and Economic Planning Committee, said county governments require Sh534 billion for the financial year commencing July 1, 2026.
“As the chairperson of the Finance and Planning Committee, our stand is that county governments should be given Sh534 billion so that we can freely and smoothly run the operations of the counties and deliver development to our people without any hindrance,” said Barasa, adding:
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“On behalf of the 47 governors, we are registering our rejection of the allocation of Sh420 billion as a slap in the face of counties to deliver. We raised the same concern with Deputy President Kithure Kindiki during our recent meeting.”
The governors said that the proposed allocation would constrain service delivery, delay absorption of Universal Health Coverage (UHC) personnel, and hinder settlement of pending third- and fourth-phase salary harmonisation obligations for county staff.
The Commission on Revenue Allocation (CRA) has separately recommended an equitable share of Sh458 billion for the same period.
Four days ago, the Cabinet approved the 2026/27 financial year budget, totalling Sh4.7 trillion, as part of measures to accelerate economic growth under President William Ruto’s administration.
In a statement released last Tuesday, the Cabinet disclosed that the budget projects total revenues of Sh3.53 trillion against total expenditure of Sh4.7 trillion.
County governments were set to receive Sh495.7 billion, including Sh420 billion as an equitable share and Sh15.2 billion for the Equalisation Fund, alongside an additional Sh75.7 billion proposed under the County Governments Additional Allocation Bill.
“Sh749.5 billion for development, Sh495.7 billion in transfers to county governments, and Sh2 billion for the Contingency Fund. Under the Division of Revenue Bill, 2026, county governments will receive Sh420 billion as an equitable share, representing 21.9 per cent of the most recent audited revenue in line with constitutional requirements, and Sh15.2 billion for the Equalisation Fund,” the Cabinet stated.