# Kenya public fund disbursement and accountability issues

> Live situation record from CLSTR: https://clstr.news/situations/kenya-public-fund-disbursement-and-accountability-issues
> Updated: 2026-09-03T17:00:15.000Z. Sources: 5. Developments: 2.

Kenya is facing significant fiscal challenges regarding the disbursement of public funds across different sectors. In late August, the National Assembly raised concerns over Sh67.92 billion in arrears within the Equalisation Fund. National Treasury Cabinet Secretary John Mbadi reported that cumulative receipts of Sh22.42 billion represent only about 75.2 per cent of the constitutional entitlement of Sh90.34 billion. Lawmakers noted that these delays impact essential services like water, health, and infrastructure in marginalised areas.

By early September, funding concerns extended to the education sector. The Kenya Union of Post Primary Education Teachers (KUPPET) reported a capitation shortfall, noting that schools received KSh16,000 per learner against a statutory allocation of KSh22,244. This deficit has prompted warnings that schools may need to request additional funds from parents for operational costs. Simultaneously, the National Assembly is investigating the transfer of billions of shillings from public schools to the Kenya Secondary School Heads Association (KESSHA) following an Auditor-General report flagging potential contraventions of public finance regulations.

## Claims

- Secondary schools have received KSh16,000 per learner instead of the statutory KSh22,244. (disputed by 2 sources)
- Education Cabinet Secretary Julius Ogamba held a consultative meeting with the KUPPET National Executive Board. (corroborated by 2 sources)
- The funding shortfall may force school heads to request additional funds from parents to cover operational costs. (corroborated by 2 sources)
- The Auditor-General stated that KESSHA is a welfare organization and is not part of the formal government funding system. (single source)
- Asumbi Girls High School transferred Sh1.247 million to KESSHA for the year ending June 2024. (single source)

## Timeline

### 2026-09-03: Kenya education funding: Capitation shortfalls and KESSHA audit concerns

Kenya's Education CS Julius Ogamba met with KUPPET to address a KSh6,244 per-learner funding shortfall, while MPs investigate billions in school contributions made to the KESSHA welfare association.

3 sources. https://clstr.news/cluster/kenya-education-funding-capitation-shortfalls-and-kessha-audit-concerns

### 2026-08-27: Kenya National Assembly demands accountability over Sh67.92 billion Equalisation Fund arrears

Kenya's National Assembly is demanding accountability over Sh67.92 billion in Equalisation Fund arrears meant for marginalised communities' infrastructure and services.

2 sources. https://clstr.news/cluster/kenya-national-assembly-demands-accountability-over-sh6792-billion-equalisation-fund-arrears

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Cite as: Kenya public fund disbursement and accountability issues. CLSTR, https://clstr.news/situations/kenya-public-fund-disbursement-and-accountability-issues