Garissa relies on hospitals for nearly 87 per cent of own-source revenue

Health facilities accounted for nearly 87 per cent of Garissa County’s own-source revenue collections in the 2025/26 financial year, highlighting the growing importance of hospital-generated income to the county’s finances.

The Office of the Controller of Budget reported that Garissa collected KSh463.58 million in own-source revenue during the year, including KSh402.35 million generated through the Facility Improvement Financing (FIF) framework.

The health-related collections represented 86.79 per cent of the county’s total own-source revenue receipts. Other local revenue sources contributed approximately KSh61.22 million.

However, the report raised concerns about revenue collection controls, noting that the county did not have an automated revenue management system.

Instead, the county relied on manual or semi-manual processes to track collections, a practice the Controller of Budget said exposed public finances to structural and financial risks.

The report also noted that the county’s own-source revenue collection declined by 3.31 per cent from KSh478.87 million recorded in the previous financial year.

Garissa attributed the decline in ordinary revenue collections partly to severe drought, which affected livestock cess collections.

The Auditor General raised questions about how the county plans to strengthen revenue administration, reduce reliance on health facility collections and improve accountability in the management of public funds.