28 February 2013

Kenya: Equalisation Fund to Benefit 14 Counties

FOURTEEN counties will benefit from the Sh3 billion Equilisation Fund aimed at uplifting the living standards of people in poor areas, the Commission for Revenue allocation said yesterday.

The commission said the 14 have been identified as the most marginalised in the country and met the set criteria under level of development, historical injustice and the CRA's county surveys.

Turkana emerged as the least developed county and will receive the highest share of Sh271 million while Lamu will get the least allocation of Sh186 million.

Other benefitiaries are Mandera, Wajir, Marsabit, Samburu, West Pokot, Tana River, Narok, Kwale, Garissa, Kilifi, Taita Taveta and Isiolo which will receive between Sh249 and Sh192 million.

The money will fund short-term projects that address food insecurity, health, water and sanitation, education as well as electricity and energy needs and should be disbursed three or four months after the election and backdated to the 2010/2011 financial year when the new consitution was inaugrated.

CRA said the funds will be released once the management advisory committee is formed. The committee is likely to be in place start after Monday's elections since it must have a representative from the governor's office.

Other members of the committee to be chaired by CRA include the national treasury, controller of budget, Kippra and state departments responsible for water, roads, health, education and electricity.

The fund will calculated at at a rate of 0.5 per cent of the national revenue and will be in existence for a period of 20 years. It is seperate from the 15 per cent of national revenues allocated to be shared among the the 47 counties.

The commission chairman Micah Cheserem said that though 33 counties will not benefit this time round, the list will be re-visited in two to three years time.

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