Kisumu County government targets to increase its own source revenue collection to Sh2.2 billion this financial year as a result of its new cashless system, amid tough economic challenges.

Governor Anyang’ Nyong’o administration, has now tapped telecommunications company Safaricom Plc, to build an app that will help bolster revenue collection efforts.

Already, Kisumu County Finance Executive Member George Okong’o, said revenue collection is growing after they sealed loopholes in the daily collections.

He said the county realised an improvement of Sh300 million in revenue from the initial Sh800 million totalling to Sh1.1 billion.

“The last financial year, our revenue base grew from Sh800 million to Sh1.1 billion, and we are now aiming at more returns’’ Okong’o told the Business Hub in his office.

Although times are hard, and most traders are struggling to make ends meet, the county official said they have widened revenue streams and adopted a cashless system of collection to net more.

He disclosed that Kisumu County has entered into partnership with Safaricom and signed up for its “My County” app to increase its own-source revenue.

Digitise county service

Safaricom’s platform seeks to digitise county services to ensure a cashless revenue collection system aimed at minimising revenue losses.

“They will help us develop USSD codes, mobile apps and pay bills, which will see us go cashless and curb revenue seepage as we leverage their technology leaps,’’ said Okong’o. The platform will offer services such as payment for county services, including parking and land rates, and revenue management systems among others.  “It incorporates a citizen reporting and engagement tool and solutions in agriculture, health, utility bills and small-scale businesses, which will see revenue returns grow,’’ he added.

 There is pressure on Kisumu to increase its own source revenue to reduce high dependence on national government transfers and growing public expenditure needs.

Okong’o told the Business Hub, that Kisumu has the potential to even collect more than the targeted Sh2.2 billion this financial year.

Safaricom PLC will also develop digital channels to integrate county backend services, as well as a payment gateway and infrastructure to ensure the high availability of services.