Poor counties to wait longer for Sh12bn equity cash

The government has ruled out releasing any portion of the Equalisation Fund (EF) until all the 14 marginalised counties have prepared their list of projects.

The fund, set aside by the Constitution for the poorest counties, has not been disbursed over the past three years. The yearly allocation, which has since accumulated to Sh12.4 billion, was created to enable marginalised counties catch up with the rest of Kenya.

Interior PS Karanja Kibicho said the counties identified by the Commission for Revenue Allocation (CRA) as marginalised should propose projects in health, roads, water and energy sectors to be implemented in the 2016/2017 financial year.

He made the remarks in Isiolo during a forum on projects to be funded through the fund to help reduce inequalities in the counties.

The CRA formula proposes that 50 per cent of the fund be shared equally among the 14 counties with the remaining amount being distributed based on the Composite Development Index, which follows the criteria on their levels of development, poverty, population and land and cover administrative costs.

Projects that are set to be funded by the kitty include on-going ones, those that will impact on more than one constituency and those with socio-economic impact on locals.

“The counties should also prioritise the projects by choosing those that will be implemented within the stipulated period,” said Mr Kibicho.

Turkana, Mandera, Wajir, Samburu, West Pokot, Tana River, Narok, Kwale, Garissa, Kilifi, Taita Taveta, Isiolo and Lamu counties will then be required to propose the projects which will be approved by the advisory board.

Isiolo is set to receive Sh746 million from the fund.

“The government will conduct a public participation forum so that leaders and locals can propose projects which will be implemented by the fund. The projects which must be within its ceilings, should also fall under the county integrated plan and should address poverty in the regions,” said Mr Kibicho.