Nakuru County's Own Source Revenue (OSR) has experienced a significant increase, growing by Sh1.75 billion in the last financial year, marking a 47.7 percent rise from 2024/2025. This growth reflects a tremendous increase above the target set by Governor Susan Kihika's administration. The county's OSR has risen steadily over the past few years, from Sh3.65 billion in 2023/2024 to Sh5.4 billion in 2024/2025.
Governor Susan Kihika attributed the remarkable growth in OSR to strategic policy decisions, dedication of revenue officers, and the robust efficiency of the digital revenue collection system. She hailed the County Assembly for providing legislative support and oversight to ensure resources are utilized prudently and projects carried out that benefit the people of Nakuru. The implementation of a fully cashless revenue collection system has begun to pay substantial dividends, with own-source revenue improving substantially.
The cashless system was introduced as a strategic reform to strengthen accountability, curb corruption, and modernize the county's financial management framework. This move has significantly boosted the county's revenue performance. Governor Kihika noted that the leap in revenue collection is the result of two key pillars: the streamlining of revenue collection through cashless systems and the diversification of income sources across various sectors within the county.
The county's growing revenue base enhances its ability to invest in critical public services and infrastructure, with the overarching goal of improving the quality of life for Nakuru residents. Governor Kihika emphasized that by effectively harnessing local resources and expanding revenue streams, the county is building a stronger financial foundation that allows it to reinvest directly into the development needs of its communities.
The milestone underscores the impact of a series of reforms introduced by the county administration to seal revenue leakages, digitize revenue collection, simplify compliance, and expand the revenue base without imposing new taxes. The county has also implemented the Unified Business Permit, which consolidates several business licenses into a single permit. This reform has reduced bureaucracy, lowered compliance costs, and improved the ease of doing business.
Governor Kihika attributed the record-breaking performance to deliberate reforms anchored on technology, accountability, and customer-friendly service delivery. She stated that every shilling collected will go back into improving roads, health services, markets, drainage, street lighting, and other essential services that Nakuru residents deserve. The county's digital transformation has been instrumental in boosting collections while strengthening public confidence in the revenue system.
The record collection is expected to strengthen Nakuru's fiscal position, enabling the county to finance critical development projects, improve service delivery, and reduce its dependence on transfers from the national government. The achievement represents the strongest own-source revenue performance in Nakuru County's history and reinforces the county's strategy of growing revenue through efficiency, digitization, and better compliance rather than increasing taxes.
Key points
- Nakuru County's own source revenue grew by 47.7 percent to Sh5.4 billion in the 2024/2025 financial year.
- The growth is attributed to strategic policy decisions, dedication of revenue officers, and the robust efficiency of the digital revenue collection system.
- The county's digital transformation has been instrumental in boosting collections while strengthening public confidence in the revenue system.
