Raila seeks to pacify Coast in crucial tour

Orange Democratic Movement (ODM) party leader Raila Odinga’s is seeking to unite the Coast leaders behind him in the revenue sharing stalemate, arguing that the Commission on Revenue Allocation (CRA) will include their concerns in the new formula.  

During a closed-door meeting with Taita Taveta leaders at Panlis Resort in Mwatate and which was also attended by Mombasa Governor Hassan Joho on Thursday, Mr Odinga urged leaders to support the new formula which he said would later be backed by the Building Bridges Initiative (BBI) once it comes into force.

“The stalemate at the senate can be resolved, “ Mr Odinga said, adding that he had a meeting with the CRA and asked them to apply the current formula for last year.

‘Lose funds’

“Counties should get what they got last year. No one will lose funds. I advised the CRA commissioners to consider other economic outputs outside health and population,” Mr. Odinga told the leaders.

Mr Odinga also said that, for now, the new formula will not be used as the CRA has agreed to go back to the drawing board to adjust it.

“We had talked with the members and pinpointed on the economic activities that were left out in that formula. They are ready to go back to the drawing board and incorporate those areas that had not been addressed in that formula. We have agreed that they need three months to do that,” he said.

For that reason, Mr Odinga said, counties will receive the same amount of funds they received in the previous financial year as the new formula is amended. He said the areas to be incorporated will include the mining industry, tourism, the blue economy, and agriculture.

“When I met (the CRA) commissioners, I told them to look at other factors in coming up with the new formal that will be agreeable across the board,” he said, adding that: “We should now start seeing counties with natural resources, like Lake Victoria that is shared amongst Busia, Kisumu, Homabay and Migori counties, benefiting from them in the new revenue formula. The same applies to Coast counties sharing the Indian Ocean, and those sharing the national parts like Kajiado, Taita Taveta and Makueni.”

“The formula will be adjusted and will be looked into in the next financial year,” he noted.

He said that, in future and with the BBI in place, the county funds would be increased to 35 per cent from the current 15 per cent.

“The current amount is Sh319 billion from the budget of Sh3 trillion—that is 10 per cent only. If we add another 25 per cent, it will allow the counties to have enough funds and will allow us to use the new formula well,” said Mr Odinga. He criticised those he said do not understand the issue while insisting that counties should receive funds based on the population of the people who reside in them.

“If, for instance on matters of health, you have 100, 000 people to serve and another county has 100, should the two of you be given equal shares? The one who has more people must be given more than the other,” he said.

Thursday’s meeting that was also attended by Senator Jones Mwaruma, MPs Jones Mlolwa (Voi) Danson Mwashako (Wundanyi) and ODM Secretary General Edwin Sifuna comes barely a week after the ODM leader had a private meeting with Coast senators seeking them to back his position in parliament.

Mr Odinga has been on the receiving end for supporting the new formula, for which at least 19 counties including those from the Coast raised concerns of losing funds saying that it would affect their development plans.

Governor Hassan Joho said the Coast region is still an ODM zone and those claiming that it is losing hold of the region to Deputy President William Ruto are mistaken.

He said Coast residents supported Mr Odinga because he had a vision that could change the lives of the people.

“The coastal people came to ODM for a reason. We have stayed in ODM for a reason. What we want is partnership with like-minded people for us to be able to solve our challenges,” he said.

Partner for development

He said the region wants to be in government in 2022 and will only work with parties that are willing to partner for development.

“We are now wiser than before. No one is going to take advantage of us by telling us that they will help us. We want to solve our own problems," he said.

Some leaders from the Coast and North East Kenya are among those who piled pressure on Mr Odinga protesting that billions of shillings would be taken away from them if the new formula were to be implemented.

A section of leaders from the coast had also threatened not to support the BBI if the formula was to be implemented.

With Mr Odinga now back to the Coast to woo the leaders, observers will be waiting the unfolding events even as his support in the region is put to the test.

Reporting by Allan Olingo, Ahmed Mohammed, and Lucy Mkanyika