• Preparation of a New Formula


    Meeting with Sector Experts as part of New Formula Preparation
  • Review of the Revenue Allocation Formula


    CRA Met with Governors as part of the New Formula Preparation
  • #NoKenyanLeftBehind


    CRA Commissioners and staff made donations to Kenya Red Cross for those in need
  • CRA Launches Second Policy


    Second Policy and Criteria for Sharing Revenue among Marginalized Areas.
  • CRA Strategic Plan 2017-2022


    CRA Launches its Strategic Plan for FY 2017-2022

CRA LAUNCHES POLICY TO TACKLE MARGINALIZATION IN KENYA

The Commission on Revenue Allocation (CRA) has developed the Second Policy Identifying Marginalized Areas and the Criteria for Sharing Revenue from the Equalization Fund. The policy will be used to allocate Equalization Funds for five years beginning with financial year 2017/18.

The second policy has identified specific areas where marginalized communities live to benefit from the Equalization Fund. Furthermore, the Second Policy has recommended the inclusion of education as one of the sectors benefiting from the Fund and marginalised minority communities.

The policy has identified Elmolo, Makonde, Watta and Dorobo-Saleita as high deserving minority communities, that require to be targeted and specific projects be earmarked and ring-fenced for their benefit. Article 260 of the Constitution defines minority communities as those with small population, unique culture, traditional lifestyle of hunter-gatherer’s economy and pastoral communities that have suffered relative geographic isolation which hindered them from integrating in the social and economic life of Kenya.

All the 7,131 sub-locations in Kenya were ranked from the most deprived to the least deprived, using information on access to safe water, school attendance, access to improved sanitation and electricity.

From the ranking 1,424 sub-locations were identified as being the most marginalized or the ones lagging behind. This represents 20 percent of all sub-locations and accounts for more than 5 million Kenyans.

These sub-locations are spread across 366 wards in Kenya and 75% of identified sub-locations in the Second Policy are in the 14 counties identified in the first policy. However, some marginalized sub-locations are found in counties such as Kisumu, Kericho and Uasin Gishu which are relatively well to do.

The list of identified marginalized areas can be downloaded from the Commission’s websitehere: https://goo.gl/JdEawV

 

Second Policy and Criteria for Sharing Revenue Among Marginalised Areas

Basis of Revenue Sharing among the Counties for FY 2016/17, 2017/18, 2018/19

By a resolution passed on 21st June 2016, the National Assembly resolved in pursuant of Article 217 of the Constitution, the basis of revenue sharing shall be as follows:

Parameters Percentage Weights
1 Population 45%
2 Equal Share 26%
3 Poverty 18%
4 Land Area 8%
5 Fiscal Effort 2%
6 Development Factor 1%
 

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