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The Political Scramble for Constituency NG-CDF Funds

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  • Post last modified:October 19, 2025
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A political drama about the NG-CDF funds is unfolding in the halls of Parliament. The NG-CDF funds are parliamentary allocations from tax revenue. Billions of shillings meant for your constituency are stuck. They cannot be released. And members of Parliament are feeling the heat.

The source of the problem? A simple but powerful legal change.

For years, Kenyans knew it as the Constituency Development Fund, or CDF. It was the money that built local classrooms, dispensaries, and bursaries. It was also a key tool for MPs to show they were delivering for their voters.

Then came the new constitution. It declared that the CDF, as it was, was unconstitutional. Why? Because it gave MPs control over funds, blurring the line between their legislative role and the executive’s work of implementing projects.

So, the fund was rebranded. It became the National Government Constituencies Development Fund (NG-CDF). The name got longer. The goal was to align it with the law. But the core idea remained. MPs, through committees, still had a big say in how the money was spent in their areas.

Now, the new arrangement itself has been struck down. The courts have ruled that even the NG-CDF is unconstitutional. This has thrown a massive wrench into the works.

This is where the current scramble comes in. John Mbadi, the CS Treasury and chair of the NG-CDF Committee, is in a race against time. He must shepherd a new law through Parliament. This law aims to fix the legal issues the courts identified. It’s essentially a lifeboat for the fund.

Without this new law, the Treasury cannot release the billions allocated to the fund. We are talking about roughly Sh44 billion for this financial year. Those are many stalled projects. Imagine half-built schools waiting for funds. Think of students whose bursaries are uncertain.

The pressure on MPs is immense. Back in their constituencies, voters are asking questions. They want to see development. They want to know why the projects have stalled. For an MP, the ability to point to a new classroom or a paved road is crucial. It’s often what gets them re-elected.

This is why the “handshake” between the legislature and the judiciary is so critical. Parliament must create a law that satisfies the court’s concerns. The new bill seeks to do this. It aims to clarify the role of MPs. It tries to ensure the fund operates within the strict boundaries of the constitution.

But the clock is ticking. The parliamentary calendar is crowded. Any delay means the money stays locked in the national coffers for longer. This directly affects the lives of ordinary Kenyans who rely on these projects.

The debate around the NG-CDF is also a debate about our taxes. This money is collected from every Kenyan. It is public money. The court’s insistence on legality is, at its heart, a demand for accountability. It is a demand that our taxes be spent through the right channels, following the right rules.

Some argue that the fund is inefficient. They say it creates a patronage system where MPs take credit for national resources. Others see it as a vital tool for equitable development. They argue it ensures remote areas get a fair share of the national cake.

Whatever your view, the current standoff highlights a key feature of Kenyan governance. The different arms of government: Parliament, the Judiciary, and the Executive, are constantly checking and balancing each other. Sometimes, this process causes friction and delay.

For now, all eyes are on Parliament. Can they pass a law that saves the NG-CDF? The outcome will determine whether those billions finally flow to the constituencies. It will show if our system can fix itself when challenged.

The race is on. The stakes are high. And the results will be felt in every corner of the country.

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Tax Interview Quiz

This quiz will test your understanding of why a tax commissioner asks specific questions in any tax review. For taxpayers to improve tax compliance.

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#1. Why will the tax commissioner ask, “Are the company directors citizens with tax residency in the country?”

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#2. Why will the tax commissioner ask, “Are the directors also shareholders?”

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#3. Why will the tax commissioner ask, “What are the primary sources of the company’s income?”

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#4. Why will the tax commissioner ask, “What are the main expenses in the company?”

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#5. Why will the tax commissioner ask, “Does the company have any loans from its shareholders?”

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#6. Why will the tax commissioner ask, “What are the current VAT balances?”

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#7. Why will the tax commissioner ask, “Has the company sold any tender documents?”

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#8. Why will the tax commissioner ask, “Does the company deduct VAT incurred when servicing non-commercial vehicles?

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#9. Why will the tax commissioner ask, “Does the company provide staff welfare?”

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#10. Why will the tax commissioner ask, “Who are the company directors?”

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#11. Why will the tax commissioner ask, “Does the company subject all allowances to PAYE?”

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#12. Why will the tax commissioner ask, “Does the company maintain the director’s current account?”

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#13. Why will the tax commissioner ask, “Has the company paid any legal fees?”

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#14. Why will the tax commissioner ask, “What other business does the company transact?”

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#15. Why will the tax commissioner ask, “How often is the bank reconciliation done?”

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#16. Why will the tax commissioner ask, “What are the receivables in the current accounts?”

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#17. Why will the tax commissioner ask, “Does the company maintain stock records?”

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#18. Why will the tax commissioner ask, “Has the company applied for investment deductions?”

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#19. Why will the tax commissioner ask, “Has the company remitted all the excise duty?”

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#19. Why will the tax commissioner ask, “Has the company remitted all the excise duty?”

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#20. Why will the tax commissioner ask, “Where is the company’s Personal Identification Number (PIN) base?”

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