President Ruto, governors fail to agree on revenue sharing for the third time
President William Ruto and governors yesterday failed to agree on equitable revenue sharing for a third time.
That happened even as county bosses agreed to withdraw court cases against the national government.
In a meeting chaired by the President himself, the governors insisted that the National Treasury gives them Sh425 billion.
he meeting was also attended by deputy president and Commission on Revenue Allocation (CRA) officials.
Governors interviewed by the Saturday Nation said both parties stood their ground but the summit goes on today.
“We have not reached an agreement despite the many hours spent on negotiations. Our demands have not changed,” one of the governors said.
Two others confirmed that the government remained adamant, saying it does not have additional money.
The Gachagua-led Intergovernmental Budget and Economic Council (IBEC) failed to resolve the county funds row for a second time last week.
Governors stuck to their guns, demanding Sh425 billion from the National Treasury, prompting yesterday’s meeting with the President.
The CRA proposed that the shareable revenue be pegged at Sh407 billion.
The stalemate started in December when the Council of Governors rejected the proposal by CRA, insisting on Sh425 billion.
In its latest proposal, the commission argues that Sh407 billion translates to a 23.5 per cent increment of the most recent audited and approved accounts for the financial year ending June 2020, amounting to Sh1.73 trillion.
According to the CRA, the shareable revenue is projected to increase by 17 per cent from Sh2.192 trillion in the financial year ending June 2023 to Sh2.56 trillion in the following fiscal year.
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