Nairobi MCAs Question Governor Sakaja’s Revenue Figures Amid Audit Concerns

Nairobi County Ward Representatives have raised concerns over the revenue declared by Governor Johnson Sakaja following revelations that external auditors have been denied access to review the system for the past two years. The MCAs are now questioning the authenticity of the revenue figures Sakaja has reported over this period, during which auditors have been unable to access the system.

Sakaja stated that the county collected Sh12.5 billion in the last financial year, the highest amount ever recorded under the devolved government. However, this figure falls short of the county’s Sh20 billion target. The embattled county boss attributed the increase in revenue to the introduction of a unified business permit and efforts to curb revenue leakages.

Despite these claims, external auditors appearing before the Justice and Legal Affairs Committee expressed frustration over budget cuts imposed by the county executive, which they said had deliberately hampered their audit of the revenue system used by the county government. As a result, they noted that they are unable to verify whether the revenue declared by the county government is accurate.

The auditors further revealed that they have written multiple letters to the governor requesting access to the system but have yet to receive a response. “We have sought the governor’s attention, but our attempts have failed. Auditors can only confirm what the county government declares if we gain access to the system and use our expertise to evaluate it. Therefore, we do not know where the report on revenue performance came from,” said Ndirangu Ngunjiri, an external auditor.

During the session, committee chairperson Jared Akama questioned how the county government could verify its revenue collections while auditors remained locked out of the system. “The big question is how we can confirm that what the county government is declaring is the accurate figure. The auditors, who are expected to evaluate the system and give their opinion, cannot do so since they are saying they are being intimidated,” Akama said.

Currently, the county has only 23 external auditors instead of the required 47. The auditors cited significant budget cuts and a poor working environment as key factors affecting their ability to carry out their mandate, adding that many of their colleagues have resigned as a result.
Boroughs and Administration County Executive Committee Member Stephen Mwangi told the committee that the governor is expected to address the auditors’ grievances. “The issues can only be resolved if they are addressed to the governor. As an administration, we are committed to supporting the auditors in their work to ensure accountability,” Mwangi said.
The revelations come amid ongoing concerns about the revenue collection system used by the county, which remains unclear to taxpayers. In 2023, the county assembly formed a 13-member ad hoc committee to investigate alleged revenue losses at City Hall.

Among other issues, the committee was tasked with probing the ownership of the Nairobi Revenue Service (NRS), an entity previously used by the defunct Nairobi Metropolitan Service (NMS) to collect revenue.