
A new Bill passed by the National Assembly aims to tighten financial rules in counties and improve accountability in spending.
The County Public Finance Laws (Amendment) Bill, Senate Bill No. 39 of 2023, was passed on July 29, 2025, after being read for the third time. It now awaits presidential assent to become law. The Bill was passed without amendments during the Committee of the Whole House and is expected to bring major changes to how counties manage their budgets.
Sponsored through the Senate, the Bill seeks to align county financial practices with the national standards outlined in the Public Finance Management (PFM) Act, 2012. It introduces several reforms designed to improve transparency, strengthen oversight, and ensure timely and responsible use of public funds in all 47 counties.
One key change is the requirement for counties to prepare and submit their budgets within strict timelines that match those of the national government. This is expected to reduce delays in service delivery and promote better planning.
The Bill also requires counties to involve residents more actively in the budgeting process. County governments must now hold public forums and disclose budget details to ensure meaningful public participation. This move aims to make the budget-making process more transparent and inclusive.
To standardise financial reporting, counties will be required to use formats prescribed by the National Treasury when submitting their financial statements. This will allow for easier audits and improve consistency across counties.
The Bill also grants more oversight power to County Assemblies. County executives must now submit detailed reports on budget implementation and quarterly expenditure reviews. These reports will allow assemblies to monitor how funds are being spent and raise accountability.
Leader of the Majority Party, Kikuyu MP Kimani Ichung’wah, who moved the motion for the third reading, described the Bill as an important tool for promoting fiscal discipline. He said it would help counties manage public resources more responsibly while enabling citizens to hold their leaders accountable.
Murang’a Woman Representative Betty Njeri Maina supported the Bill, saying it would help reduce misuse of funds and fight corruption at the county level. Bomet Woman Representative Linet Chepkorir Toto added that the reforms would make county operations more efficient and improve delivery of development projects.
If signed into law, the Bill will mark a significant step in improving governance and financial management in Kenya’s devolved units.
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