Home Latest NewsPolitics Raila Breaks Silence on Revenue Sharing Formula, Offers Long-lasting Solution

Raila Breaks Silence on Revenue Sharing Formula, Offers Long-lasting Solution

by Mustafa Juma

Orange Democratic Movement (ODM) party leader Raila odinga has issued a detailed statement on the revenue sharing formula that has caused a standoff in the senate.

Raila in a statement issued on Monday July 27, 2020 has accused the senate of failing to adopt its own amendments to the third basis formula for sharing revenue from the Commission for Revenue Allocation (CRA).

The former Prime Minister argues that the senate standoff is causing paralysis and mistrust at a time Counties need to be united and singularly focused on fighting Covid-19.

Raila says the current standoff in the senate is a variation of what was recommended by the CRA, the body mandated under article 216 (1) of the Kenyan Constitution, to come up with the formula.

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Raila notes that the revenue should be population driven.

He says the CRA recommendation is based on an understanding that County governments are about service requirements of the population including in health, agriculture, infrastructure, education among others.

Under the circumstances, Raila says, the country would be better served if the senate adopted the recommendation of the CRA for the next five financial years.

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In order to avoid similar standoffs next time, Raila says that the concerns currently arising should be forwarded to the CRA for consideration in its future recommendation.

However, the African Union envoy notes that Counties must be encouraged to raise their own source revenues from the economic activities within the counties and demanding a prudent usage of those resources.

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He says the senate should allow the country move forward by adopting the CRA report while using the concerns raised for future recommendations on revenue sharing.

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