County Executive Committee Member (CECM) for Finance and Economic Planning George Okong’o. Faith Matete The Kisumu County Government has clarified reports indicating that it did not spend any funds on development during the first quarter of the 2025/2026 financial year, saying the decision was deliberate, temporary and made in the public interest.
In a statement issued, the County Executive Committee Member (CECM) for Finance and Economic Planning George Okong’o said the situation arose following the transfer of Jaramogi Oginga Odinga Teaching and Referral Hospital (JOOTRH) from the county to the national government.
According to the county, the transition created a short-term financing gap as the National Treasury finalized arrangements to take over the hospital’s funding.
During this period, and at the request of the national government, Kisumu County stepped in to ensure that hospital staff salaries were paid on time to avoid disruption of critical health services.
As a result, Okong’o noted that the county advanced Sh128.48 million that had initially been allocated for development expenditure in the first quarter.
The funds, he said, were extended to JOOTRH strictly as a refundable credit to cover staff emoluments, which explains why no development spending was recorded during the period under review.
The county government emphasized that no development funds were lost, diverted or misappropriated.
It noted that the money was not a grant but a temporary advance, and that JOOTRH has since received its allocation from the National Treasury and is in the process of refunding the county.
Once the funds are refunded, the county said they will be fully reallocated to development projects, ensuring that the temporary adjustment translates into tangible benefits for residents.
The CECM described the move as an example of prudent financial management and responsible leadership, aimed at protecting healthcare workers, maintaining service delivery and supporting a smooth intergovernmental transition without undermining long-term development goals.
The county further assured residents that development remains a top priority and that implementation of development projects will proceed strongly in the subsequent quarters of the financial year.
"Kisumu County remains committed to transparency, accountability and the prudent management of public resources for the benefit of all its people,”
End…
Comments 0
Sign in to join the conversation
Sign In Create AccountNo comments yet. Be the first to share your thoughts!