A drop in county revenue collection has been attributed greatly to over-borrowing by county governments. [Photo/BuzzKenya]
The latest report by the Treasury indicates a drop in revenue collection in county governments by Ksh 1.2 billion as from July 2016 to March this year compared to the same period last year.
A total of Ksh 24.7 billion was collected between July 2016 and March 2017 which is much lower as compared to Ksh 25.9 billion collected during the same period last year.
The drop has been attributed to various factors such as high rate of borrowing by devolved government in funding their running. Collection challenges facing the entities has also been pointed out as one of the contributing factors to the drop.
Some counties, for instance, Nairobi, revenue collected was less by Ksh 900 million translating to Ksh 8.7 billion as compared to 9.6 billion last year.
The Treasury report also shows Nakuru to have dropped in collections of its revenue by Ksh 400 million.
Some counties however recorded improved revenue collection and they include, Bomet, Mombasa, Baringo, and Mombasa.