Busia County Government OSR collection has been shrinking over the last six years. In the first year 2013-14, the revenue collection was Kshs 329 million, and it declined to Kshs 315 million in the subsequent year. In 2015-16, the revenue collection increased from the previous year raising Kshs 334 million. The downward trajectory continued in 2016-17 and 2017-18 with the county collecting kshs 257 million and kshs 176 million respectively. In 2018-19 the collection increase from the previous year raising kshs 299 million. The county’s revenue enhancement efforts have been shortlived and unsustainable.

The County government of Busia has been collecting significantly below its estimated potential. In 2018-19, the revenue collection of Busia accounted for only 35 per cent of the estimated revenue potential of kshs 853.6 million. The collections are still far from half the estimated potential. Busia county government requires revenue enhancement reforms that will yield sustainable growth towards its estimated potential.

Busia county government OSR collection and estimated potential over six years

Busia county government budget is marginally and diminishingly financed by own-source revenue annually. In 2013-14 the OSR of Busia county financed 9 per cent of the county budget and the proportion declined in the subsequent year to 6 per cent. The 6 per cent proportion of financing was maintained in 2015-16 and decline to 4 per cent in 2016-17. In 2017-18, the proportion was the lowest financing 2 per cent of the county budget. In 2018-19 OSR financed 4 per cent of Busia county government. A rapidly diminishing trend to marginal financing demonstrates the deep reliance of the county on national government allocation.