Treasury Cabinet Secretary John Mbadi has dismissed claims that salary delays in several counties stem from the National Treasury’s failure to release funds, insisting that all equitable share allocations up to August have already been disbursed.
Speaking on Ramogi FM on Wednesday, Mbadi clarified that counties have no reason to default on paying staff, noting that delays are often caused by counties’ own inefficiencies in budget submissions and approvals.
“If money had not been released to counties, then you would have noticed that all counties would not have been able to pay their workers’ salaries,” Mbadi said.
He emphasized that the Treasury had already cleared arrears up to August and disbursed the allocations for July and August. The only pending release, he said, was September’s capitation, which would be disbursed before the end of the month.
According to a Kenya Gazette notice dated September 19, the Treasury had already released Ksh32.93 billion to counties in August.
Counties to Blame, Says Mbadi
Mbadi shifted the spotlight onto devolved units, arguing that some counties submit budgets riddled with errors or fail to send them on time, leading to delays in approval by the Controller of Budget (CoB).
“The main reason money is sometimes delayed to counties is because they also delay in sending their budgets. How can we give them money when the Controller of Budget has not even approved their budget?” he posed.
Sakaja Points Finger at Treasury
His remarks come just a week after Nairobi Governor Johnson Sakaja publicly accused the Treasury of holding back funds, a situation he said had strained the county’s ability to pay workers.
Speaking on Radio Jambo on September 18, Sakaja revealed that Nairobi had not received its equitable share for nearly two months.
“The salaries for this month have been delayed because Nairobi County receives an equitable share and also generates its own source revenue. So we have not received the equitable share for two months,” Sakaja said, adding that relying solely on own-source revenue was unsustainable.
The clash of narratives underscores the ongoing tension between the national and county governments over the timely disbursement and management of funds. While Treasury insists it has fulfilled its obligations, counties continue to grapple with disgruntled workers and salary arrears, leaving the public caught between competing explanations.
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