NAIROBI, Kenya – National Treasury Cabinet Secretary John Mbadi has raised concerns over Kenya’s rising wage bill, suggesting that the country should reduce the number of counties to either eight former provinces or a maximum of 14 regions to achieve long-term financial stability.
Speaking in an interview on Wednesday night, Mbadi warned that the current devolved system is unsustainable, with most county budgets being consumed by salaries rather than development projects.
The CS criticized county governments for mirroring the national government’s bureaucratic structure, leading to excessive spending on administration.
“Our counties are filled with all kinds of staff—from directors of fishermen, boda bodas, music, and culture to deputies earning big money. We have too many people, and 47 counties are too many for a country the size of Kenya,” he said.
He noted that governors have structured their administrations with extensive bureaucracies, leaving little money for essential services and infrastructure projects.
Mbadi revealed that the national government spends approximately Sh80 billion per month on salaries, totaling Sh960 billion annually.
Additionally, loan repayments stand at Sh1.1 trillion per year, putting immense pressure on government finances.
“We are collecting Sh2.5 trillion in revenue, yet we spend Sh1.1 trillion on loan repayment. With nearly another trillion going to salaries, where do we get money for development?” he posed.
To cut costs, Mbadi proposed that Kenya either return to the eight former provinces under the old Constitution or establish a maximum of 14 regional governments.
He specifically pointed out Rift Valley and Eastern Province, suggesting they could be split into two or three manageable regions to balance governance efficiency with financial sustainability.
The CS also criticized the high number of Members of County Assembly (MCAs), both elected and nominated, as another factor inflating county budgets.
“In the past, we had fewer regional governments and assemblies. Kenyans need to have a conversation on whether this is the type of devolution we need. We wanted resources to be devolved, not an overly expensive government,” Mbadi said.
Mbadi’s remarks have sparked debate on whether Kenya should restructure its devolved system to focus on service delivery rather than political offices.
While devolution has been praised for bringing resources closer to the people, concerns over mismanagement, corruption, and high administrative costs continue to challenge its effectiveness.