The Budget and Appropriations Committee has approved its report on the Equalisation Fund Appropriation Bill for the 2026/27 financial year, recommending a total allocation of Sh10.25 billion to support development in marginalised regions.
Endebess MP and Committee Vice Chair Robert Pukose confirmed the proposed budget aligns with the Division of Revenue Act, 2026, representing 0.5% of the audited national revenue from 2022/23.
Allocation Breakdown
- Sh9.9 billion will fund development projects in identified marginalised areas.
- Sh307.52 million is allocated for Secretariat administrative costs, capped at 3% of the fund.
The distribution follows the Second Marginalisation Policy, prioritising areas with the greatest deficits in basic services rather than population or economic activity.
Key Beneficiaries
- Turkana: Sh1.13 billion
- West Pokot: Sh1.01 billion
- Other significant allocations include Narok, Mandera, Wajir, Samburu, Garissa, Baringo, and Kilifi counties.
Committee Observations and Concerns
- Members noted the fragmentation of funds across 1,424 marginalised areas could dilute impact due to micro-projects that are hard to sustain and monitor.
- The committee emphasized the need for enhanced accountability mechanisms to ensure the funds translate into tangible service improvements.
- Delays in disbursing funds have hampered project implementation under the Second Marginalisation Policy, a concern raised by the committee.
The National Assembly is set to debate the bill, and if passed, the Sh10.25 billion allocation will be disbursed to support equitable development in Kenya’s underserved regions.
