For Nairobians hoping to see better roads, cleaner markets or more schools in their neighbourhoods, a sobering reality beckons as only Sh2 billion out of Sh21 billion went to development in the 2024-25 financial year.
This is according to the latest County Budget Implementation Review Report by Controller of Budget Margaret Nyakang’o.
In the first nine months of the 2024-25 financial year, it shows, Nairobi county spent more than seven times on day-to-day operations than on actual development projects meant to improve the lives of its citizens.
The operational expenditure includes legal fees, garbage collection and paying off debts.
Covering the period July 1, 2024 to March 31, 2025, the report examines how funds were utilised under Governor Johnson Sakaja’s administration.
Out of the Sh21.81 billion the county received at that time, only Sh2.43 billion went into development initiatives.
“Expenditure on development programmes represented an absorption rate of 17 per cent, while recurrent expenditures represented 66.1 per cent of the annual recurrent expenditure budget,” the report states.
Some Sh19.38 billion was spent on recurrent needs. Of that, Sh12.27 billion was paid out in employee compensation, mostly salaries. The remaining Sh6.12 billion was used for operations and maintenance, a category that includes everything from trash collection to legal disputes.
The county spent Sh3.3 billion on just three line items: legal fees, solid waste management and settling creditor demands. Garbage management alone cost taxpayers Sh1.13 billion, while legal fees came to Sh892.1 million and payments to various creditors reached Sh1.3 billion.
Other significant expenses included Sh262.09 million for disaster response items and Sh216.81 million on per diems for staff travel. An additional Sh63.68 million went to hiring heavy equipment.
The report also highlights a series of smaller but collectively substantial expenses. Foreign conferences cost Sh167.1 million, while local conferences and event management added Sh35.5 million and Sh58.3 million, respectively. Advertising and branding consumed Sh47.5 million.
The county spent Sh28.69 million on uniforms, Sh27.98 million on vehicle tyres, Sh18.19 million on public participation, and Sh16.8 million on hose pipes. Even campaign materials made the list at Sh9.6 million, alongside Sh12.5 million for spare parts and Sh9.5 million for consultancy services.
Smaller line items include Sh11.2 million to clean market centres, Sh10.3 million on communication gadgets, Sh4.7 million for staging and branding, Sh2.1 million for signage work, Sh2.8 million on bulk filters, Sh1.6 million for tools and Sh1 million on videography.
Although Nairobi did allocate Sh2.43 billion for development, a major chunk of that was used not for new projects, but to settle outstanding debts.
According to the report, the county executive spent Sh893.92 million from the development vote to clear pending bills, while the county assembly used Sh1.96 million for the same.
Despite these efforts, Nairobi remains the county with the highest backlog of unpaid bills in the country. At the end of March 2025, these stood at Sh115.69 billion—this even after Sh5.94 billion had been paid out during the reporting period.
With more than two-thirds of its funds going toward recurrent costs, Nairobi is left with limited capacity to address infrastructure needs or invest in long-term projects that would improve public services.
The report lays bare a tough balancing act between maintaining operations and delivering on development promises in Kenya’s most populous and economically critical county.
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