Counties’ Own Revenue Rises by 63% to KSh 67.3Bn
Counties raised 67.3B in own-source revenue in FY24/25, up 62.6% from last year but still 23% below target. Only 12 counties met their goals...
✨ Key Highlights
Kenyan county governments significantly increased their own-source revenue (OSR) to KSh 67.30 billion in the 2024/25 financial year, a 62.65% jump from the previous year. Despite this growth, counties only hit 77% of their combined revenue target of KSh 87.67 billion, highlighting ongoing challenges in local revenue mobilization.
- Total OSR included KSh 42.71 billion from ordinary OSR and KSh 24.59 billion from Facility Improvement Financing (FIF) and Appropriations-in-Aid (AIA).
- The Controller of Budget reported that Nairobi City led in nominal collections with KSh 13.19 billion, while Kisii County showed the highest performance at 178% of its target.
- Some counties exceeded targets due to underbudgeting for FIF or not setting targets, as seen in Nairobi's KSh 1.34 billion FIF collection without a target.
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Kenyan Counties Report on Revenue Collection and Pending Bills - September 2025
Kenyan county governments increased their own-source revenue (OSR) to KSh 67.30 billion in the 2024/25 financial year, a 62.65% jump from the previous year. Despite this growth, counties only achieved 77% of their combined revenue target of KSh 87.67 billion. According to the Controller of Budget, Nairobi County Government's primary revenue streams are land rates, business permits, and parking fees, which generated Kshs 13.53 billion in the past year, a 5.6 percent increase. Concurrently, the total outstanding pending bills for counties decreased by 3% to Sh176.8 billion in the 2024/2025 fiscal year. This reduction from Sh181.98 billion in the previous year was attributed primarily to reconciliation efforts in Nairobi County.
