The National Assembly has rejected Senate amendments to the Division of Revenue Bill (National Assembly Bill No. 10 of 2025), setting the stage for mediation between the two Houses of Parliament.

In a sitting held this afternoon, the Majority Leader Hon. Kimani Ichung’wah urged Members to reject the Senate’s version of the Bill, citing fiscal constraints and a significant deviation from the figures originally passed by the National Assembly.

“This Division of Revenue Bill approved by the House had about Kshs 405 billion and the Senate amended that to about Kshs 465 billion. That is an increase of about Kshs 65 billion above what is agreed and bearing in mind the fiscal space of the country, it may not be practical to increase,” said Hon. Ichung’wah.

He added that an early mediation would help resolve the standoff and ensure timely passage of the Bill. “I therefore urge this House to reject in totality this proposal by the Senate,” he said.

The Senate proposed a new schedule for revenue allocation for the 2025/26 financial year, increasing the County Governments’ equitable share from the National Treasury. The amendment raised the proposed allocation to counties to Kshs 465.001 billion, up from the Kshs 405 billion previously passed by the National Assembly.

With the rejection of the Senate amendments, the Division of Revenue Bill now proceeds to a Mediation Committee, as provided for under Article 113 of the Constitution. The Mediation Committee will comprise Members from both Houses and will be tasked with reconciling the differences to avoid delays in the budgeting process