Details have emerged of how the 47 counties will share the Sh428 billion negotiated by the National Assembly and the Senate for the next financial year.
The revelations are contained in the County Allocation of Revenue Bill, 2026, currently being considered by Parliament.
Under the proposal, Nairobi county remains the biggest beneficiary, with its allocation rising from Sh21.42 billion in the current financial year to Sh22.11 billion in 2026-27, an increase of about Sh697 million.
Nakuru will receive Sh14.90 billion, up from Sh14.46 billion, while Turkana's allocation rises from Sh13.89 billion to Sh14.27 billion.
Other counties receiving substantial allocations include Kakamega, whose share increases from Sh13.67 billion to Sh14.07 billion, Kiambu, which moves from Sh13.07 billion to Sh13.51 billion, and Kilifi, whose allocation rises from Sh12.81 billion to Sh13.18 billion.
Mandera will receive Sh12.59 billion, compared to Sh12.27 billion in the current financial year, while Bungoma's allocation increases from Sh11.84 billion to Sh12.21 billion. Kitui will receive Sh11.85 billion, up from Sh11.50 billion.
Several counties will now receive more than Sh10 billion, reflecting modest increases under the new formula.
Meru's allocation rises from Sh10.55 billion to Sh10.90 billion, Wajir moves from Sh10.51 billion to Sh10.85 billion, Machakos increases from Sh10.18 billion to Sh10.51 billion, Kisii grows from Sh9.82 billion to Sh10.11 billion, while Narok crosses the Sh10 billion mark after its allocation rises from Sh9.77 billion to Sh10.07 billion.
The proposal also provides increased allocations for other major counties. Kisumu will receive Sh9.18 billion, up from Sh8.90 billion, while Uasin Gishu's allocation rises from Sh8.98 billion to Sh9.26 billion.
Migori will receive Sh9.16 billion, an increase from Sh8.88 billion, Kwale rises from Sh9.08 billion to Sh9.33 billion, while Makueni's allocation increases from Sh8.98 billion to Sh9.25 billion.
Homa Bay will receive Sh8.91 billion, up from Sh8.65 billion, and Garissa's allocation rises from Sh8.88 billion to Sh9.21 billion.
The coastal counties also register gains, with Mombasa receiving Sh8.66 billion, up from Sh8.38 billion, while Tana River's allocation increases from Sh7.22 billion to Sh7.45 billion.
Busia will receive Sh8.20 billion, compared to Sh7.96 billion previously, Murang'a rises from Sh7.97 billion to Sh8.23 billion, Trans Nzoia moves from Sh7.99 billion to Sh8.24 billion, while Siaya's allocation grows from Sh7.75 billion to Sh8.01 billion.
Although every county records an increase, Lamu remains the least-funded county, with its allocation rising from Sh3.86 billion to Sh3.99 billion.
Tharaka-Nithi will receive Sh5.22 billion, compared to Sh5.06 billion this year, while Elgeyo Marakwet's allocation increases from Sh5.52 billion to Sh5.69 billion.
Isiolo rises from Sh5.63 billion to Sh5.82 billion, and Taita Taveta's allocation increases from Sh5.76 billion to Sh5.94 billion.
According to the Senate Finance and Budget Committee, the allocations are based on the approved Fourth Basis for sharing revenue among counties. The basis distributes funds using a formula that assigns 45 per cent to population, 35 per cent to equal share, 12 per cent to poverty levels and eight per cent to geographical size.
The committee, chaired by Mandera Senator Ali Roba, said the formula ensures that no county loses money while also addressing disparities that disadvantage some counties under the ordinary allocation criteria.
"The baseline allocation protects every county from losing resources, while the affirmative action allocation ensures counties that are disadvantaged by the formula receive additional support.”
The remaining increase has been shared using the approved Fourth Basis for revenue allocation, the committee said in its report.
Last week, President William Ruto signed into law, the amended version of the Division of Revenue Bill following intense negotiation between the senators and the members of the National Assembly.
The Division of Revenue Bill splits between the national and county governments revenues generated nationally.
The negotiations saw the allocations to counties rise from Sh420 billion initially proposed by the National Treasury and approved by the national assembly, to Sh428 billion.
The Senate had initially proposed an allocation of Sh454 billion to the devolved units, but climbed down following the negotiations.
The new allocation represents an increase of Sh13 billion from the Sh415 billion allocated to counties in the current financial year.
The additional funding is expected to strengthen service delivery in key devolved sectors, including healthcare, agriculture, water, county roads and early childhood education.
The proposal retains a baseline allocation of Sh387.43 billion, which is based on counties' previous allocations, while Sh4.46 billion has been ring-fenced for an affirmative action programme targeting 12 counties considered disadvantaged by the formula.
Each of the beneficiary counties—Elgeyo Marakwet, Embu, Isiolo, Kirinyaga, Laikipia, Lamu, Nyamira, Nyandarua, Samburu, Taita Taveta, Tharaka-Nithi and Vihiga—will receive an additional Sh371.7 million.
The remaining Sh36.12 billion above the baseline allocation has been distributed using the Fourth Basis formula, allowing counties with larger populations and greater development needs to receive proportionately larger increases.
Once approved by Parliament and assented to by the President, the allocations will enable county governments to implement their 2026/27 budgets from July 1.
The additional funding is expected to ease pressure on county finances, improve delivery of devolved services and provide resources for development projects, even as governors continue to push for a larger share of nationally raised revenue in future financial years.
