The financial lifeline of Kenya’s constituencies hangs by a thread as the Court of Appeal prepares to deliver a verdict that will either salvage the National Government Constituencies Development Fund (NG-CDF) or bury it for good.

It is the moment of truth for Kenya’s 290 constituencies. Today, a three-judge bench in Nairobi will determine whether the multi-billion shilling fund, which has anchored school bursaries and grassroots infrastructure for two decades, is a constitutional necessity or an illegal encroachment on devolution.

The Constitutional Tug-of-War

The stakes could not be higher. The National Assembly is fighting to overturn a High Court ruling from September 2024 that declared the NG-CDF Act of 2015 unconstitutional. That judgment, suspended until June 30, 2026, to allow for a transition, argued that the fund violates the principle of separation of powers and illegally duplicates functions reserved for county governments.

Lawyers for the National Assembly have argued vehemently that constituencies are distinct service delivery units of the national government, separate from the devolved county units. They maintain that the fund is a critical tool for decentralization, not a competitor to devolution. “To scrap NG-CDF is to tear the heart out of grassroots development,” one MP was heard arguing in the corridors of parliament, reflecting the panic that has gripped the legislative house.

School Fees and Survival

For the ordinary Kenyan, this is not a legal abstraction; it is a matter of survival. The fund disburses approximately Sh50 billion annually, with a significant chunk dedicated to education bursaries for destitute students. A ruling against the fund would throw the education of thousands into uncertainty and halt ongoing projects in health and security sectors.

• The Treasury Dilemma: If the court upholds the illegality of the fund, the National Treasury will be barred from releasing further monies after the June deadline, creating a fiscal crisis in constituencies.
• The Supreme Option: Should the appellate court dismiss their case, MPs have vowed to escalate the battle to the Supreme Court, hoping to buy more time or secure a final reversal.

A History of Legal Battles

This is not the first time the fund has faced the hangman’s noose. Civil society groups have relentlessly challenged its legality since the 2010 Constitution devolved power. They argue that MPs cannot be both legislators and executors of development funds, a role that breaches the basic tenets of governance checks and balances.

As the judges retreat to write the final chapter of this saga, the country waits with bated breath. The ruling today will not just interpret the law; it will define the economic reality for millions of Kenyans who rely on this kitty for their daily bread and future hope.