Rent, land rates bring Nairobi most revenue

City Hall. FILE PHOTO | NMG

By COLLINS OMULO
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Summary

• Housing rent, fire inspection certificate and land rates topped the revenue sources Nairobi County for July to December 2020, data shows, netting Sh1.3 billion.
• City Hall recorded only Sh3.9 billion in own-source revenue during the six months under focus against a target of Sh6.4 billion.
• Land rates recorded Sh1.1 billion in the first half of the financial year ending June 30, 2021 against a target of Sh1.2 billion.

Housing rent, fire inspection certificate and land rates topped the revenue sources Nairobi County for July to December 2020, data shows, netting Sh1.3 billion.

City Hall recorded only Sh3.9 billion in own-source revenue during the six months under focus against a target of Sh6.4 billion.

Land rates recorded Sh1.1 billion in the first half of the financial year ending June 30, 2021 against a target of Sh1.2 billion.

This represented a performance of 89 percent and more than Sh900 million increase compared to a similar period in the previous financial year ended June 30, 2020.

According to official data from City Hall, housing rents recorded Sh292.9 million against a target of Sh300 million, representing 98 percent performance. This was an increase of Sh51 million from the previous financial year.

Fire inspection certificate recorded Sh54.9 million from a target of Sh60 million, representing a 91 percent performance although the figure was a Sh3 million decrease from the previous financial year.

In parking fees revenue stream, only Sh685.3 million was collected in the six months representing slightly a half of the Sh1.3 billion target. The performance of the stream fell by more than Sh100 million compared to a similar period in the previous financial year where Sh792.4 million was recorded.

Single business permits returned Sh470 million falling below half of the target of Sh997 million. However, the figure was a Sh47 million increase from the Sh422.9 million recorded in the previous financial year.

Nairobi County government tapped the Kenya Revenue Authority (KRA) to collect revenue on its behalf in March last year after the implementation of the Deed of Transfer of functions between City Hall and the National Government.

Consequently, KRA was appointed as the principal revenue collector for the capital city for the next two years.

“Nairobi County government collected Sh60.8 million from regularisation of buildings, another Sh50.1 million from food handlers certificate against targets of Sh75 million and Sh105 million respectively,” stated the report.

Other incomes returned the county government Sh433 million against a target of Sh704.9 million representing a 61 percent performance and a decline of close to Sh70 million from the previous financial year’s collection of Sh502.5 million.