Thousands of students, elderly citizens, and rural communities could be left stranded after the government slashed the National Government Constituencies Development Fund (NG-CDF) by a staggering Sh12 billion, weeks before the close of the financial year.
While headlines have focused on the political tension surrounding the cut, the real impact may be felt far from Parliament — in rural schools waiting for new classrooms, students relying on bursaries, and elderly citizens expecting health insurance coverage under the Social Health Insurance Fund (SHIF).
The reduction, which brings the fund down from Sh68.2 billion to Sh56.2 billion, comes amid Treasury’s financial restructuring due to debt servicing demands and underwhelming tax collection.
The third supplementary budget, passed just before the fiscal year ended, offers little clarity on how this will affect core development promises.
“This cut could halt the construction of classrooms, delay bursary payments, and shelve security projects in some of the most underserved constituencies,” said a senior county education officer who requested anonymity.
Planned 2024/25 targets included the construction of over 14,000 public facilities, disbursement of bursaries to 1.28 million students, and provision of SHIF cover to over 27,000 elderly citizens — all now hanging in the balance.
The NG-CDF, which has built 9,364 school facilities and 790 police structures in the past two years alone, has long served as a critical buffer for rural development.
But its vulnerability to national financial turbulence raises new questions about Kenya’s commitment to equitable growth.
Local leaders warn that the sudden adjustment not only threatens education continuity but could deepen inequality in already marginalized regions.
“This is not just a budget cut. It’s a development crisis,” said a ward administrator in Baringo County. “Many families now don’t know if their children will go back to school or if stalled classrooms will ever be completed.”
