Kiambu receives lion’s share of treasury’s urban support programme fund
By Faith Lagat, February 8, 2026Kiambu County has received the largest share of the Ksh6.733 billion conditional allocation under the Kenya Urban Support Programme (KUSP) Phase Two, Urban Development Grant for the 2025/2026 financial year, according to a Gazette Notice published on February 6, 2026.
The National Treasury, through Cabinet Secretary John Mbadi Ng’ongo, disbursed a total of Ksh6,733,422,216, financed by an International Development Association–World Bank credit.
The funds are additional conditional allocations to county governments for urban infrastructure development in designated municipalities.
“It is notified for the general information of the public that pursuant to section 6 (2) (m) and (o) of the County Governments Additional Allocations (No. 2) Act, 2025, that the conditional additional allocations financed from proceeds from the International Development Association–World Bank Credit to finance the Kenya Urban Support Programme Phase Two–Urban Development Grant, have been allocated to the beneficiary county governments and respective municipalities specified in column A and column B respectively, in the amounts specified in column C and column D of the Schedule hereto,” the gazette notice dated Friday, February 5, 2026, read in part.
Kiambu County emerged as the top beneficiary, with Ksh1,611,152,325 distributed across seven municipalities.
Ruiru Municipality received the single largest municipal allocation in the country, at Ksh 480,041,957, followed by Kikuyu (Ksh 317,221,229), Thika (Ksh 246,237,469), Karuri (Ksh 190,345,862), Juja (Ksh 152,832,423), Kiambu (Ksh 144,829,438), and Limuru (Ksh 79,643,948).
Other major county beneficiaries
Turkana County received Ksh667,324,573, primarily allocated to Kakuma (Ksh 586,060,635) and Lodwar (Ksh 81,263,938). Garissa County was allocated Ksh626,456,027 for Garissa and Dadaab municipalities.
Uasin Gishu County received Ksh465,934,137 entirely for Eldoret Municipality, while Kajiado County got Ksh418,590,989 split across Kitengela, Ngong, and Kajiado municipalities. Kisumu County received Ksh411,539,329, with the majority going to Kisumu Municipality (Ksh389,774,049).
Several counties were allocated funds for single municipalities, including Kericho (Ksh52,697,661), Embu (Ksh58,869,660), Nyeri (Ksh78,434,342), and Kisii (Ksh 110,105,437). Smaller towns such as Rumuruti, Engineer, Emali/Sultan Hamud, and Mbale received allocations ranging from Ksh 17.8 million to Ksh27.8 million.
Funding schedule and purpose
The Gazette Notice, issued under the County Governments Additional Allocations Act (No. 28 of 2025), lists 35 counties and their respective municipalities as beneficiaries. The allocations are intended to support urban development projects under Phase Two of the Kenya Urban Support Programme.
The disbursement schedule covers municipalities across the country, from major urban centres such as Eldoret, Thika, and Malindi to emerging towns including Oyugis, Kenol, and El Wak. The allocations vary depending on the size and number of municipalities in each county.
The Treasury notification, dated January 2, 2026, and published on February 6, 2026 confirms the full disbursement of Ksh6,733,422,216 as specified in the schedule, with counties expected to channel the funds toward approved urban infrastructure projects.