Kenya’s counties are under pressure to raise their own revenue and reduce reliance on the national government. The latest report by Margaret Nyakang’o shows mixed performance across the country.
In the first half of the 2025/2026 financial year, counties collected KSh 26.94 billion from local sources, achieving only 27% of the annual target. While a few counties posted strong results, many still lagged.
This guide breaks down the top 10 Kenyan counties by revenue collection and highlights key insights for every taxpayer, policymaker, and investor.
Top 10 Kenyan Counties with Highest Revenue Collections
The revenue rankings show a clear dominance of major urban and economically active regions. However, a few smaller counties also made a strong impression.
| Rank | County | Revenue Collected |
|---|---|---|
| 1 | Nairobi | KSh 5.22 billion |
| 2 | Narok | KSh 2.52 billion |
| 3 | Mombasa | KSh 2.04 billion |
| 4 | Kiambu | KSh 1.76 billion |
| 5 | Nakuru | KSh 1.39 billion |
| 6 | Machakos | KSh 1.21 billion |
| 7 | Kisii | KSh 676.77 million |
| 8 | Nyeri | KSh 633.51 million |
| 9 | Homa Bay | KSh 625.26 million |
| 10 | Murang’a | KSh 506 million |
These counties led in own-source revenue collection, driven by business activity, tourism, agriculture, and efficient local systems.
Why Nairobi and Narok Dominate Revenue Collection
Nairobi remains the undisputed leader due to its position as Kenya’s economic hub. The county benefits from:
- High business density and licensing fees
- Strong property rates collection
- Parking fees and service charges
- A large informal sector contributing daily levies
Narok comes second largely because of tourism revenue from the Maasai Mara ecosystem. The county earns heavily from:
- Park entry fees
- Hospitality industry levies
- Land rates and trade licenses
Mombasa also performs strongly due to port activities, tourism, and a vibrant service economy.
Surprising Performers Among Smaller Counties
Not all top performers are major cities. Counties like Nyeri, Homa Bay, and Murang’a delivered impressive results despite smaller economies.
Some standout observations:
- Homa Bay collected over KSh 625 million, outperforming larger cities like Kisumu
- Nyeri maintained steady revenue streams from agriculture and trade
- Embu and Kitui also posted strong numbers, showing rural counties can compete
Meanwhile, Eldoret underperformed relative to expectations, raising only KSh 277.41 million against a KSh 1.3 billion target.
Key Revenue Trends and Performance Insights
The broader report reveals important trends shaping county finances in Kenya.
Counties Struggling to Meet Revenue Targets
Despite the strong performance by top counties, most devolved units fell short:
- Total own-source revenue reached only 27% of the KSh 99.73 billion annual target
- Only three counties exceeded 50% performance
- 24 counties remained below 29%
Top performers in percentage terms included:
- Samburu at 79%
- Garissa at 71%
- West Pokot at 54%
This shows that efficiency matters just as much as size.
Where County Funds Came From
Counties had access to a total of KSh 227.15 billion during the review period. The funds came from:
- KSh 172.73 billion equitable share from the national government
- KSh 26.40 billion cash balances carried forward
- KSh 26.94 billion own-source revenue
A significant portion of local revenue came from:
- Fees, fines, and permits
- Facility Improvement Fund (FIF) and Appropriation-in-Aid (AIA), contributing KSh 12.70 billion
What This Means for Kenya’s Counties
Counties must stop relying heavily on national transfers and strengthen their internal revenue systems. The top 10 Kenyan counties with the highest revenue collections prove that strong policies, enforcement, and local economic activity drive results.
If you look closely, the gap between top and bottom counties is not just about wealth. It reflects:
- Leadership and accountability
- Digitization of revenue systems
- Investment in local economic sectors
Counties that fix leakages and expand their revenue base will gain financial independence faster.
Bottom line: The race for revenue is no longer optional. Counties that fail to optimize collections risk stalled development, while those that step up will fund projects, pay suppliers on time, and deliver better services.
