The National Treasury has halted transfers to Meru County due to a substantial legal compensation bill nearing Sh600 million, owed to a French investor. Kenya's National Treasury is under scrutiny for allegedly diverting Sh7.3 billion from the fuel levy to illegally compensate a consortium of French firms for a terminated road construction contract. The Ministry of Roads and Transport has proposed a new framework to allocate Sh10.5 billion from the Road Maintenance Levy Fund directly to county governments. These stories reveal ongoing tensions between national government fiscal management and county-level funding.








