Kenya: Lobby Proposes Replacing Treasury With National Economic Council

16 March 2026
Capital FM (Nairobi)
By Phidel Kizito

Nairobi — A reform lobby group has proposed scrapping the National Treasury and replacing it with a new central economic planning body through a constitutional amendment aimed at reshaping how Kenya coordinates national development and public finances.

The proposal by civic movement Kuna Dawa is anchored on Constitution of Kenya 2010 Article 257, which allows citizens to initiate constitutional changes through a popular initiative.

At the centre of the proposal is the creation of a National Economic Council (NEC) to take over key roles currently performed by the Treasury, including economic policy coordination and national development planning.

"The Bill establishes a National Economic Council to coordinate intergovernmental economic policy and national development planning," said Kuna Dawa Secretary Jane Mwangi.

Follow us on WhatsApp | LinkedIn for the latest headlines

The NEC, chaired by the President, would include the Deputy President, the Prime Minister, the Deputy Prime Minister, 16 Executive Economic Block Coordinators, the Principal Secretary of the Treasury and the Attorney General.

Under the proposal, the council would administer a restructured National Development Budget allocating 20 percent to flagship national projects and 80 percent to regional development through County Economic Blocks.

The reform blueprint also introduces County Economic Blocks, each comprising three neighboring counties, to drive regional trade, infrastructure and joint investment initiatives.

Each block would elect an Executive Economic Block Coordinator tasked with convening governors and deputy governors, representing the region in national economic discussions and overseeing implementation of cross-county projects.

The amendment also proposes replacing the Constituency Development Fund with a Ward Development Fund, which would channel public resources directly to wards in what it contends is designed to push development closer to grassroots communities.

According to the proponents, the reforms are intended to strengthen institutional oversight, improve economic coordination between national and county governments and deepen devolution by restructuring how development resources are allocated and managed.

The lobby says it will from next month begging the process of the collection of at least one million signatures from registered voters before it can proceed through the constitutional review process and be considered by county assemblies and Parliament according to the constitution.

Read the original article on Capital FM.

Tagged:
Copyright © 2026 Capital FM. All rights reserved. Distributed by AllAfrica Global Media (allAfrica.com). To contact the copyright holder directly for corrections — or for permission to republish or make other authorized use of this material, click here.

AllAfrica publishes around 600 reports a day from more than 90 news organizations and over 500 other institutions and individuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.

Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.