Kenya: City Hall Revenues Struggle to Meet Target

14 September 2021

City Hall reported increased revenues in the past financial year but the amount is way below the set targets.

A report by Nairobi County Treasury indicates Sh9.94 billion was collected in the financial year ended June 30, 2021, against a target of Sh16.5 billion.

This represented an increase from the Sh8.53 billion recorded in the previous financial year, which was the first one presided over by the Kenya Revenue Authority (KRA).

City Hall averaged Sh10 billion in revenue during former governor Mike Sonko's tenure.

Sonko's predecessor Evans Kidero fared better, collecting an average Sh11 billion each year.

The report further indicates land rates, parking fees, single business permits, building permits, billboards, and adverts, as among the top revenue earners of the Nairobi County government.

Finance Executive Allan Igambi attributed the reduced revenues to the effects of Covid-19 on the economy.

"The County Treasury is however hopeful that the measures currently being implemented in partnership with KRA and NMS will bear fruits both in the short and long term," he said.

The only revenue streams to have posted exemplary performance included housing rents which recorded Sh584 million against a target of Sh606 million.

Revenue from other markets, excluding Wakulima Market which brought in Sh159 million, surpassed its target with Sh166.7 million realised against a target of Sh144.9 million, a performance of 115 percent.

The same was recorded with revenue from liquour fee where City Hall recorded Sh279 million against a target of Sh250 million, representing a performance of 112 percent.


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