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Vihiga budget's majority portion allocated to recurring expenses

Governor Wilber Ottichilo approved the 2025 Appropriation Bill and acknowledged the discrepancy, advising respective departments to practice financial self-control during execution.

Vihiga's budget primarily goes towards recurrent expenses
Vihiga's budget primarily goes towards recurrent expenses

Vihiga budget's majority portion allocated to recurring expenses

Vihiga County has unveiled its budget for the 2025/2026 financial year, allocating a significant portion towards development projects and infrastructure expansion. The total budget stands at Sh6.9 billion, marking a 6.55% increase from the previous financial year.

Development projects across the county will receive Sh2.2 billion, which represents 31.9% of the total budget. This allocation is in line with the recommended percentage for meaningful service delivery, infrastructure growth, and long-term sustainability, according to policy advisors and fiscal experts. The Assembly Chambers and the County Assembly Office Plaza will receive Sh36 million and Sh25 million respectively, as part of the development budget.

The health sector has been given the largest departmental allocation of Sh1.98 billion. The Department of Education follows closely with an allocation of Sh573 million, while the Department of Environment and Water will operate on a budget of Sh524 million. The Department of Agriculture, Livestock and Fisheries will receive Sh384 million, and the Public Service and Administration is allocated Sh796 million.

Community Health Promoters (CHPs) will receive Sh33.9 million, and Early Childhood Development Education (ECDE) teachers will receive Sh22 million for gratuity payments. Transport and Infrastructure will receive Sh407 million, a crucial investment towards improving the county's infrastructure.

However, the Controller of Budget has flagged the trend of counties prioritising salaries over improved services and infrastructure. To address this concern, Governor Wilber Ottichilo has urged departments to exercise fiscal discipline during implementation and prioritise the completion of stalled and ongoing projects before initiating new ones.

The budget will be financed through equitable share from the national government (Sh5.42 billion), local revenue collection (Sh378 million), and additional funding from development partners. Governor Ottichilo has emphasised the need for counties to allocate at least 30% of their budget to development over the medium term, as per Section 107(2)(b) of the Public Finance Management Act, 2012.

Governor Ottichilo acknowledged the imbalance between recurrent and development expenditure, with recurrent expenditure taking up 68.1% of the total budget, amounting to Sh4.71 billion. He urged departments to work towards striking a balance between recurrent and development expenditure for sustainable growth within the county.

The budget for Ward-Based Projects stands at Sh500 million, providing opportunities for community-led development initiatives. The allocation towards development projects is a step towards ensuring Vihiga County's growth and long-term sustainability, as the county continues to strive for improved service delivery and infrastructure expansion.

In adherence to Section 107(2)(b) of the Public Finance Management Act, 2012, Governor Ottichilo aims to allocate at least 30% of the budget to development over the medium term, with an initial step towards this goal being the allocation of Sh2.2 billion towards development projects for the 2025/2026 financial year. Despite financial constraints, the health sector has received the largest departmental allocation of Sh1.98 billion, emphasizing the county's commitment to prioritizing essential services such as health care.

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