Education Crisis Looms as Counties and Budget Controller Lock Horns Over Bursary Release.
A dispute between the Controller of Budget (CoB) Margaret Nyakang’o and county governors has left thousands of students who depend on bursaries uncertain about their school fees. As schools reopen for the second term, many learners are returning without the assurance that their education will be funded, as counties battle the CoB over approval to withdraw billions meant for bursaries.
The standoff escalated when lawyers for Murang’a Governor Irungu Kang’ata filed a petition in court, accusing the CoB of contempt. The County Government alleges that Nyakang’o defied a court order issued on April 8, 2025, which permitted counties to process funding for bursaries in the current financial year.
Justice Samuel Mohochi clarified that an earlier conservatory order issued on February 3 only applied to new bursary allocations, specifically those in the upcoming financial year. He maintained that current bursaries could proceed.
Despite this clarification, Murang’a County claims Nyakang’o has knowingly refused to approve bursary requisitions. Through lawyer Julia Munyua, the county is seeking to have her committed to civil jail for six months, citing willful disobedience of the court’s directives. The court documents state that the county is asking for a civil jail term or any other punishment deemed just.
In a sworn affidavit, County Secretary Newton Mwangi warned that Nyakang’o’s actions threaten to remove thousands of students from school due to non-payment of fees. The issue is tied to a case filed by activist Laban Omusundi and Katiba Institute, challenging the CoB’s decision to withdraw a circular issued on January 14 that allowed counties to continue disbursing bursaries to institutions beyond their purview.
Urgent Court Applications and Declined Requests
Murang’a County moved to court under a certificate of urgency on March 26, requesting orders to compel the CoB to authorise the release of funds for bursary cheques issued before the February 3 conservatory order. A subsequent request dated April 15 for the release of Sh15 million was also denied, prompting Governor Kang’ata to seek legal recourse.
Governor Kang’ata stressed the wider impact of the conflict, telling journalists that the dispute affects all 47 counties and millions of students who rely on financial assistance to remain in school.
Murang’a County is demanding the release of Sh70 million to aid 50,000 learners through its three bursary programmes. These include full scholarships for 1,400 students under the Nyota Yetu programme, support for 35,000 learners through Ward bursaries, and assistance to 10,000 top-performing day scholars under the Inua Masomo programme.
Governor Kang’ata expressed frustration, stating that although the county has the money in its account, it cannot access it due to the CoB’s refusal to approve withdrawals. He emphasized that counties were not given prior notice before the circular was issued, disrupting bursary allocations and leaving many students unable to pay fees.
Some counties had already issued cheques expecting the usual CoB approval. Since devolution in 2013, counties have routinely disbursed bursaries, relying on similar requisition procedures.
Legal and Constitutional Tussle
The CoB maintains that bursary issuance does not fall under devolved functions, citing Article 187 of the Constitution and Section 26 of the Intergovernmental Relations Act. These require formal agreements between national and county governments before such funds can be transferred.
The circular stated that any requests for fund withdrawals to perform national functions, as outlined in Part 1 of the Fourth Schedule, must include the appropriate intergovernmental agreement. However, Dr Kang’ata contested this view, pointing out that counties have previously allowed national agencies to handle devolved functions, such as market construction and housing projects.
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He also argued that county assemblies have passed laws authorising bursary disbursements, which remain valid unless declared unconstitutional. Dr Kang’ata remarked that attempting to override county legislation through a circular was unacceptable, asserting that unless those laws are nullified, the CoB should continue processing their funding requests.
In his words, “The irony is that we have the money in our account but we cannot touch it.” He added that “What Dr Nyakang’o did in that letter is like trying to repeal laws passed by several county assemblies through a letter.”
Education Crisis Looms as Counties and Budget Controller Lock Horns Over Bursary Release.
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