President William Ruto has directed the transfer of budgetary resources for county functions unbundled from the National Government in the next fiscal year, starting July 2025.

Speaking at the 11th National and County Governments Coordinating Summit at State House Nairobi, Ruto tasked the Inter-Governmental Relations Technical Committee (IGRTC) with ensuring funds are aligned with the devolved roles.

“I now direct the committee to take the next step of systematically identifying and transferring the requisite budgetary and other resources tied to these functions in the next fiscal year,” said Ruto.

Acknowledging fiscal challenges, Ruto reaffirmed his commitment to devolution, attributing current constraints to inherited vulnerabilities and incomplete implementation.

He stressed the importance of inter-governmental collaboration and urged ministries to resolve disputes through alternative mechanisms to save time and reduce costs.

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“I am encouraged to note that many disputes are now being referred to the IGRTC for resolution, and I applaud their efforts in preventing disagreements from escalating into disputes,” he added.

Ruto highlighted joint successes in agriculture, food security, housing, healthcare, and technology while citing economic gains, including inflation dropping to 2.8 per cent and strengthened reserves.

Deputy President Kithure Kindiki underscored devolution's role in bringing services closer to citizens, while Council of Governors Chairperson Ahmed Abdullahi called for continued collaboration to drive bottom-up development.

On healthcare, Ruto assured that reforms under Taifa Care would overcome challenges to deliver affordable, quality care.

“The scale, boldness and ambition of Taifa Care are unprecedented, and we are confident that the challenges will be resolved soon,” he said.

The President urged unity and sustained cooperation between the two levels of government to expand fiscal space, improve budget allocations, and ensure timely revenue disbursements.