Kenya’s Controller of Budget has sounded the alarm over thousands of unauthorised bank accounts operated by county governments, warning of a serious risk to public finances.
In her latest report covering the 2024–2025 financial year, Margaret Nyakango disclosed that county administrations were running 5,476 commercial bank accounts without proper approval from her office.
Under the Public Finance Management Act, counties are required to seek authorisation before opening such accounts. But, Nyakango noted, most treasuries had failed to submit the necessary documentation.
“The proliferation of these accounts exposes public funds to theft and mismanagement,” the Controller of Budget said in her report.
The findings reveal striking contrasts across the 47 devolved units. Homa Bay topped the list with 558 accounts, while Kitui had 350. Bungoma and Nakuru counties each had more than 300. At least four others — Baringo, Kwale, Machakos and Embu — were operating over 200.
At the other end of the spectrum, Nandi reported just 10 accounts, Kisii 14, Siaya 15, Tharaka Nithi 16 and Murang’a 20.
The report comes as county leaders face growing scrutiny over financial discipline. Alongside the warnings, Nyakango highlighted some bright spots in the use of development funds and revenue collection.
Governors Stephen Sang (Nandi), George Natembeya (Trans Nzoia), Patrick ole Ntutu (Narok) and Isaac Mutuma (Meru) were cited for high development spending. Kisii’s Simba Arati led in revenue collection targets, alongside Tana River, Wajir and Kirinyaga.
Nairobi Governor Johnson Sakaja recorded the highest revenue, collecting Ksh.13.1 billion, though this represented only 66 percent of the county’s target. Narok followed with Ksh.5.7 billion, while Mombasa and Kiambu ranked among the other top performers.
In contrast, Kajiado, Machakos, Isiolo and Taita Taveta counties fell short of their own-source revenue goals.
The report underscores the uneasy balance in Kenya’s devolution story: while some counties are showing discipline and growth, others are still operating in ways that may put billions of shillings in public money at risk.
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