Nairobi Governor Johnson Sakaja has set an ambitious revenue target of Ksh.20 billion for the 2024/2025 financial year, a significant increase from the Ksh.12.81 billion collected in the previous year. Addressing the Senate County Public Accounts and Investments Committee (CPAIC) on Friday, Sakaja attributed this remarkable growth to the digitization of revenue collection systems, a cornerstone of his administration’s transformative financial management strategy.
Record-Breaking Revenue Performance
The county’s revenue performance in the first quarter of the 2024/2025 financial year has been particularly encouraging, with collections reaching Ksh.2.22 billion, a notable increase from the Ksh.1.83 billion collected during the same period last year. October 2024 emerged as a standout month, with revenue collections amounting to Ksh.823.67 million 97% of the set target and a significant improvement from the Ksh.526.02 million recorded in October 2023.
Governor Sakaja highlighted these gains as evidence of the transformative potential of digitized systems, emphasizing their impact on enhancing transparency, efficiency, and accountability in revenue management. “This is a remarkable rise from previous years. The digitization of our revenue streams has fundamentally changed how we operate,” Sakaja said.
Leveraging Digital Innovation
The success of Nairobi County’s revenue collection can be attributed to the robust digital revenue collection system implemented by Sakaja’s administration. Charles Kerich, the Finance County Executive Committee (CEC) member, described the new system as a game-changer, outperforming all previous revenue systems the county had employed. “We now have a system that outperforms all other revenue systems the county has ever had,” Kerich remarked, underscoring the efficiency gains realized through the new technology.
Revenue Collection Chief Officer Tiras Njoroge also emphasized the role of digitization in closing loopholes that had historically undermined the county’s revenue collection efforts. The integration of digital platforms has minimized opportunities for corruption and pilferage while streamlining operations across all revenue streams.
Implications for Service Delivery
Beyond the impressive numbers, Governor Sakaja emphasized that the increased revenue has directly enhanced the county’s capacity to meet its financial obligations. This includes funding critical service delivery initiatives and advancing development projects aimed at improving the quality of life for Nairobi residents.
“Our ability to collect more revenue means we can invest in better services and infrastructure. Digitization has not just been about numbers; it has been about building trust with our citizens and delivering on our promises,” Sakaja noted.
The governor also encouraged other counties to consider adopting similar digital revenue collection systems. “Digitization is not just an option; it’s a necessity for financial accountability and improved service delivery,” he said, highlighting the potential benefits for counties across Kenya.
Building Public Trust
The administration’s focus on innovation and accountability has earned widespread praise as a critical step in transforming Nairobi’s financial management and restoring public trust in local governance. By ensuring that every shilling collected is accounted for, the county has strengthened its social contract with its residents, signaling a commitment to transparency and responsible stewardship of public resources.
A Model for Other Counties
Governor Sakaja’s call for other counties to embrace digitization reflects his broader vision for improved financial governance in Kenya. With Nairobi setting an example of how technology can drive revenue growth and accountability, there is growing optimism that other counties could replicate this success, leading to stronger financial foundations and better service delivery across the country.
As Nairobi moves toward its ambitious Ksh.20 billion revenue target, the focus will remain on leveraging technology, fostering accountability, and ensuring that the benefits of increased revenue are felt by all residents. The transformative impact of digitization, as demonstrated by Governor Sakaja’s administration, offers a blueprint for the future of county governance in Kenya.
