Nairobi misses first-quarter revenue target by Sh2.9 billion
Nairobi has missed its revenue target for the first quarter of the current financial year 2022/23, by Sh2.9 billion.
From July to October, the Kenya Revenue Authority collected Sh1.2 billion against a target of Sh3.2 billion. This was also a drop compared to Sh1.37 billion collected in the same period in the last financial year.
The data is contained in the Quarter Revenue and Expenditure report for 2021/22 tabled in the county assembly last week by Finance executive Lawrence Wambua.
The own source revenue streams include parking fees, rates, single business permits, house rents, building permits and, billboards and adverts accounting to close to 80 percent of the county’s annual own-source revenue
During the period under review, City Hall collected Sh151.8 million from rates, single business permit (Sh65.4 million) and parking fees (Sh373.9 million).
Building permits(Sh259.7million), billboard and adverts (Sh96.2 million) while markets collected Sh50.8 million.
For fire services Sh5.4 million was collected, house rents (Sh81.9 million), food handlers certificate (Sh17.3 million), liquor licences (Sh45.3 million and other incomes of Sh80.9 million were collected.
Nairobi aims to collect Sh18.2 billion own source revenue in the financial year 2022-23.
This is part of the Sh38.3 billion county budget.
The county has been falling short of its revenue target since it came into existence in 2013 despite the digitisation of 136 of its revenue streams.
This has been blamed on unreliable rates, low collection from single business permits and inefficient collection of parking fees.
The highest amount ever collected was Sh11.71 billion in 2015-16 which was still short of the Sh15.3 billion target.
The lowest was collected in 2019-20 at Sh8.5 billion which was half the targeted Sh17.31 billion.
However, Governor Johnson Sakaja said that Nairobi will soon start collecting revenue using a new electronic system dubbed Nairobi Pay.