National and county governments renew commitment to strengthen devolution and financial sustainability

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In a unified effort to safeguard devolution and navigate pressing economic pressures, the national and county governments have renewed their commitment to fiscal sustainability, prudent resource management, and enhanced intergovernmental cooperation.

Reached during the 30th Ordinary Session of the Intergovernmental Budget and Economic Council (IBEC) at the Deputy President’s Official Residence in Karen, the agreement sets out key financial and development priorities aimed at boosting service delivery and driving regional economic growth across Kenya.

Central to the session’s resolutions was a shared commitment to fast-track the County Governments Additional Allocations Bill, 2026, a crucial piece of legislation intended to streamline supplementary resource distribution for vital county-level programs.

Additionally, both levels of government agreed to expedite the release of KSh3.25 billion to complete the remaining 13 County Aggregation and Industrial Parks (CAIPs), a strategic move expected to catalyze local manufacturing, enhance agricultural value addition, and unlock new economic opportunities for residents.

The council further prioritized operational efficiency and regulatory reform by agreeing to accelerate the implementation of the County Licensing (Uniform Procedures) Act to foster a standardized, business-friendly environment across all 47 counties.

Grounded in a mutual vow to improve the management and protection of public assets, the meeting also reaffirmed support for youth empowerment through the NYOTA program which has already impacted 122,203 beneficiaries by offering seed opportunities for enterprise growth and job creation.

As both administrative tiers manage tight budgets, IBEC’s framework underscores that seamless intergovernmental synergy and fiscal discipline remain essential to ensuring public funds translate into tangible services and sustainable development for all Kenyans.

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