About Devolved Funds

Did you know that decentralised funds are development schemes designed to transfer money directly to the local council, constituency or district to finance local development projects such as schools, markets, hospitals, roads, etc. Did you know that there are over twelve decentralised funds in Kenya? A few of these are the Constituency Development Fund (CDF), Local Authority Transfer Fund (LATF), Secondary School Bursary, Free Primary Education, Constituency AIDS Fund and the Roads Maintenance Levy Fund (RMLF) among others. Did you know that this financial year alone, over Kshs. 45 billion will be spent on decentralised funds? These funds are drawn from your taxes and amount to over Kshs. 200 million to each constituency per year. Get informed about the specific fund of interest by visiting the local fund office.

About Devolved Funds

Did you know that as a citizen you have the right and responsibility to participate in the selection of projects and identification of needy students; and to know how these funds are spent?

Did you know that local fund committees and officials are obliged to display and share information and to help you understand how the funds work?

Public access to information is often equated with transparency, and regarded as a panacea for all types of corruption and malpractice. This campaign is aimed at increasing the information available to the general public about various funds:

Local Authority Transfer Fund (LATF)

LATF transfers 5% of central income tax revenues to local authorities to supplement revenues raised locally through land taxes (rates), single business permits and other sources. In 1998 the idea of direct funding was mooted to assist local authorities broaden their revenue base.
It is the most structured and established of the funds in that it results from processes put in place by the Kenya Local Government Reform Programme (KLGRP) based in the Ministry of Local Government

Water Services Trust Fund (WSTF)

The Water Act (2002) provided for setting up of various institutions such as Water Services Trust Fund, Water Appeal Board, Water Resources Management Authority, Water Services boards and Water Service Regulatory Board to harmonise and streamline management of water resources, supply and sanitation services.
Water Services Trust Fund was established as a corporate body under the water Act 2002 and a trust deed drawn up  and registered on May 10, 2004 by the Minister for Water and Irrigation

Women Enterprise Fund

The Women Enterprise Fund was established through the promulgation of (Women Enterprise Fund Regulations) under section 26 & 35 of the Government Financial Management Act, 2005, Legal Notice no.147 dated 3rd August 2007. The Fund receives 100% financial support from the government of Kenya through the annual budgetary allocation.
The Fund was established to provide alternative financial services to women who are excluded from the formal and informal financial sectors

Constituency Bursary Fund

In 1993/4, the government established The School Secondary Education Bursary Fund-SSEBF to cushion households from impacts of poverty, unstable economy and the effects of HIV/AIDS by increasing access, retention and completion rates in secondary schools. The bursaries were administered by the Ministry of Education, Science and Technology through secondary school heads and education officers.
From 2003, however, the government established Constituency Bursary Committees to administer the Fund. The allocation to each constituency is based on the secondary school enrolment, constituency poverty index, overall national secondary school enrolment and the countrywide poverty situation

Road Maintenance Levy Fund (RMLF)

Road Maintenance Levy Fund (RMLF) is specially provided for the management of the entire road network in all parts of the country. The fund was established in 1993 by an Act of Parliament i.e. Road Maintenance Levy Fund Act; 1993, in which proceeds from fuel levy are generated and paid into Kenya Roads Board Fund

Youth Enterprise Development Fund

The Youth Enterprise Development Fund was conceived in June 2006 by the government as a strategic move towards arresting unemployment which is virtually a youth problem. Seventy five percent (75%) of those unemployed are the youth. The government set aside Kenya shillings One billion (Ksh. 1 billion) in the 2006/07 budget to fast-track this noble and timely initiative…