COUNTIES HARNESS TECHNOLOGY TO ENHANCE SERVICE DELIVERY AND BOOST REVENUE.

BY NJOKI KARANJA. 

In a significant step towards enhancing service delivery and boosting Own Source Revenue (OSR), county leaders, revenue experts, and technology companies convened at the inaugural OSR Growth Conference at the Kenya School of Monetary Studies in Nairobi.
Hon. Gladys Wanga – Governor Homa Bay County delivering her remarks during Day 1 of the Annual OSR Conference at the Kenya School of Monetary Studies (KSMS) Wednesday 19th June 2024

 

Held concurrently with the parliamentary debate on the Finance Bill 2024, the conference spotlighted the critical role technology plays in improving county service efficiency and revenue generation. Former Laikipia Governor Ndiritu Muriithi, now a partner at Ecocapp Capital Ltd, highlighted the fiscal achievements and challenges faced by counties. "In the first six months of this fiscal year, counties collected just under KSh 20 billion, the highest amount since devolution. However, this remains below 30 percent of the assessed potential, a disappointing outcome," he remarked.

Hon. Ndiritu Muriithi – former Governor Laikipia County officially opens the Annual OSR Conference at the Kenya School of Monetary Studies (KSMS) on Wednesday 19th June 2024



With increasing demands on county governments, the traditional reliance on nationally raised revenue has proven unsustainable. The conference provided a platform for county leaders to discuss the barriers to optimal service delivery and to share successful strategies for OSR growth. Among the highlights were case studies from Homa Bay and Vihiga counties.




Gladys Wanga, Governor of Homa Bay County, detailed how technology has transformed their revenue collection. "Through our Revenue Collection App, we have been able to eliminate loopholes and streamline our collection processes, putting us on a trajectory not only to meet but exceed our revenue targets," she stated.

From left to right: Hon. Gladys Wanga – Governor Homa Bay County, Hon. Ndiritu Muriithi – former Governor Laikipia County and Governor Hon. Simba Arati- Governor Kisii County, engaging in a conversation during the opening day of the Annual OSR Conference at the Kenya School of Monetary Studies (KSMS) Wednesday 19th June 2024

 

Similarly, Vihiga Governor Dr. Wilber Otichilo emphasized the importance of data in decision-making. "To boost quality health provision, herbalists have been mapped to determine the types of patients and diseases they treat," he explained, showcasing how data analytics can enhance service delivery.


Counties primarily generate revenue from various service fees, including property rates, trade licenses, liquor licensing fees, parking fees, hospital and public health services, and market trade centre fees. Fully optimizing these streams could collectively generate approximately KSh 260.6 billion in OSR for counties.

Mr. Dhimant Shah – CEO, Craft Silicon (left) and Hon. Ndiritu Muriithi – former Governor - Laikipia County (right) share a light moment with one of the delegates at the Annual OSR Conference at the Kenya School of Monetary Studies (KSMS) on Wednesday 19th June 2024

 
Muriithi illustrated the link between efficient service delivery and revenue collection using health services as an example. "Health services are the best example. If doctors are not attending to patients, there are no consultation fees. If the pharmacies have no medicines to dispense, you cannot expect payments. The same can be said of meat inspection, AI services, livestock movement permits, etc. The solution is to ensure services are delivered efficiently, and you will see what happens to revenue," he explained.




The OSR Growth Conference underscored the potential of technology to address fiscal challenges and improve the economic resilience of counties, setting a blueprint for sustainable development and enhanced public service delivery in Kenya.

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