National Treasury Withdraws Controversial Public Finance Bill Following Summit Directive
Sections 191A-E were initially enacted to allow county governments access to their minimum equitable share of revenue in case of delays in passing the Division of Revenue Act. - Kenya breaking news | Kenya news today | Capitalfm.co.ke..
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The Kenyan National Treasury has withdrawn the Public Finance Management (Amendment) Bill, 2025 from Parliament, following a directive from the National and County Governments Coordinating Summit. This bill aimed to reform rules governing county funding by splitting the County Governments Additional Allocations Bill into two separate laws.
- The decision was made at the 12th Ordinary Session of the Summit on December 10, 2025.
- The bill sought to amend sections 191A-E of the 2012 Public Finance Management Act to expedite fund release to counties.
- Earlier this year, delayed disbursements pushed 47 counties to the brink of shutting down essential services, with the Council of Governors (CoG) accusing the Treasury of failing to release Sh63.6 billion in equitable share revenue.
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Summit Sets Strict County Salary Deadlines and Withdraws Public Finance Bill - December 2025
The National and County Governments Coordinating Summit has implemented a new resolution mandating prompt salary payments for county employees to end chronic delays. Deputy President Kithure Kindiki mandated that the National Treasury must disburse all county personnel salaries by the third day of every month. County governments were also directed to settle all statutory deductions by the ninth day of each month. Following a separate directive from the same summit, the National Treasury has withdrawn the Public Finance Management (Amendment) Bill, 2025 from Parliament. The bill had aimed to reform rules governing county funding.
