The Kenyan government quietly pumped more than half a billion shillings into ODM leader Raila Odinga’s failed African Union Commission (AUC) bid, new budget records show.
A report by the Controller of Budget (CoB) has lifted the lid on the massive public spending behind the campaign, raising tough questions about transparency and priorities.
Despite the show of confidence and the presence of President Ruto and over 100 MPs in Addis Ababa, Raila lost the race to Djibouti’s Mahmoud Ali Youssouf. Now, citizens and lawmakers want answers about the use—and possible abuse—of public funds.
Treasury Released Ksh 523 Million for Raila’s AUC Bid
In a detailed breakdown from the National Government Budget Implementation Review Report for the 2024/2025 Financial Year, CoB Margaret Nyakang’o confirmed the Treasury allocated Ksh 523.8 million to support Raila’s AUC bid. The money was channeled to the State Department for Foreign Affairs in November 2024.
However, only Ksh 216.2 million was actually approved for withdrawal from the Consolidated Fund by the CoB in February 2025. The gap between Treasury approval and CoB release highlights the roles played by both offices.
The Treasury Cabinet Secretary, currently John Mbadi, handles the financial management of the national budget. But any actual release of public money requires the green light from the Controller of Budget.
This means even if Treasury okays an expenditure, the money can’t be used unless the CoB gives final approval. In this case, Foreign Affairs requested the release of funds from the CoB after Treasury had signed off on the allocation.
The final amount released—Ksh 216.2 million—raises key questions. What happened to the balance of Ksh 307.6 million? Was it withheld, canceled, or still pending approval?
This spending came amid growing public concern over ballooning government expenditures, with Raila’s AUC campaign seen as both high-stakes and high-cost. Photos from the summit in Addis Ababa showed an elaborate Kenyan delegation, including President William Ruto, MPs, diplomats, and campaign operatives.
Raila’s AUC Bid Ends in Loss Despite State Support
Despite the massive financial backing, Raila failed to clinch the AUC chairmanship. The position went to Djibouti’s Foreign Minister Mahmoud Ali Youssouf after a heated race in January 2025.
Kenya’s delegation pulled all the stops. From diplomatic shuttle visits to glossy campaign materials and chartered flights, the government spared no expense. Yet, the outcome was a bitter defeat that shocked Raila’s allies and embarrassed the Ruto administration.
The fallout began immediately. Juja MP George Koimburi fired the first shot, claiming the campaign burned through Ksh 13 billion of taxpayer money. The figure caused public uproar, with Kenyans demanding a full audit of how funds were used.
Raila dismissed the Ksh 13 billion claim as outrageous. “I have seen somebody talking about Ksh13 billion that was spent on the campaign. I don’t know which world these guys live in and whether they know what a billion means,” Raila said.
He insisted the government only helped with transport and logistics during his campaign tours.
Still, his statement didn’t address the Ksh 523.8 million figure now confirmed by the Controller of Budget. Even if only a portion was disbursed, the amount remains enormous—especially for a campaign that yielded no results.
Political Fallout and Budget Scrutiny Intensify
The CoB’s report now fuels new pressure on the government to account for its spending habits. With the economy struggling, inflation rising, and public debt ballooning, the decision to allocate over half a billion shillings to a political appointment abroad looks increasingly out of touch.
Analysts say this case is symbolic of a larger governance issue—opaque budgeting, unchecked expenditures, and elite interests taking precedence over national needs.
Lawmakers are already pushing for answers. There are growing calls for the Parliamentary Budget and Appropriations Committee to summon both the Treasury CS and CoB Margaret Nyakang’o to clarify how the campaign money was allocated, spent, and accounted for.
Some MPs are demanding a public inquiry into all expenditures related to Raila’s AUC bid. Others want limits on how state funds are used in political appointments beyond Kenya’s borders.
Meanwhile, ordinary Kenyans are left wondering what benefits—if any—they will ever see from the money spent on the failed campaign.
The CoB’s revelations may only be the beginning. What’s clear is that Raila’s AUC bid, once touted as a continental leadership ambition, has now become a national accountability scandal.
Key Takeaways
- Ksh 523.8 million was allocated for Raila’s AUC bid in November 2024
- CoB approved Ksh 216.2 million for actual spending in February 2025
- Raila lost the AUC race to Djibouti’s Mahmoud Ali Youssouf in January 2025
- Claims of Ksh 13 billion spent were denied, but public scrutiny continues
- Lawmakers and citizens are calling for a full audit of the campaign budget
The government now faces a major credibility test. How it handles the fallout from Raila’s failed AUC bid may shape public trust in how future national resources are used—or misused.
