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MPs threaten to scrap Sh23bn industrial parks funding over stalled projects

So far, the national government has released Sh4.052 billion under the programme, with ten counties already receiving their full allocation.

Members of the National Assembly have raised strong objections to further financing of the Sh23.5 billion County Aggregation and Industrial Parks programme, accusing the government of poor accountability, stalled projects, and lack of progress despite repeated budget allocations.


The programme, linked to the Kenya Kwanza administration and President William Ruto’s industrialisation agenda, was designed to promote manufacturing at county level, support value addition, and create jobs for young people and small traders.


However, MPs say there is little to show on the ground, with several industrial park sites either incomplete, delayed, or not started at all despite years of funding approvals.


During a heated session on Thursday, lawmakers questioned Industrialisation Principal Secretary Juma Mukhwana over the State Department’s budget estimates for the next financial year, where the government is seeking an additional Sh3.5 billion to help complete and operationalise remaining industrial parks.


The request sparked resistance from MPs who warned that approving more money without clear progress would amount to misuse of public funds.


Kajiado South MP Samuel Parashina called for urgent talks between the Executive and county governments to address the growing dispute over the programme’s implementation.


“We need a meeting with the Executive and the Council of vernors. We have been allocating money, but when we go to the ground, nothing is being done,” Kajiado South MP Samuel Parashina said.


He further pushed for the proposed allocation to be withdrawn, arguing that the ministry had not demonstrated any meaningful progress despite continuous funding from Parliament.


“For me, this allocation of Sh3. billion should be cancelled,” Parashina said, accusing the ministry of failing to justify past expenditures.


A recent oversight visit by the committee revealed major gaps in implementation, with some counties showing abandoned sites and others with no visible construction activity.


Lawmakers also accused the Ministry of Industrialisation of failing to cooperate during the inspection exercise, saying officials did not adequately engage Parliament ahead of the visit.


Committee chairperson Bernard Shinali said the ministry ignored formal communication regarding the oversight tour.


“What is being raised is very serious and has serious consequences. We sent you a letter on April stating that we would be visiting the projects on May ou did not respond to our letter,” Shinali said.


“ ou instead sent us a letter on May 1 which does not meet the threshold of an apology,” he added.


PS Mukhwana defended himself, telling MPs he had travelled to Egypt and only saw the communication after returning to the country, but his explanation was dismissed by lawmakers.


Aldai MP Maryanne Kitany and Vihiga Woman Representative Beatrice Adagala questioned whether the State Department had proper delegation structures to ensure continuity in oversight and project management.


MPs maintained that Parliament could no longer continue releasing billions for projects that lack clear evidence of progress on the ground.


“We cannot continue to allocate funds for projects that are white elephants. May we went to the counties to see the status of these projects. There is nothing to show for the money,” Parashina said.









The County Aggregation and Industrial Parks (CAIPs) programme is intended to speed up agro-processing by enabling the collection, storage, processing, and value addition of agricultural produce at county level. It is anchored on Kenya’s Vision 2030 development plan and supports the Bottom-Up Economic Transformation Agenda, which focuses on agriculture and manufacturing as key drivers of economic growth, job creation, and export earnings.


The initiative is being implemented jointly by the national and county governments, with each county set to receive Sh250 million from the national government for development of industrial parks, matched by equivalent contributions from county governments.


So far, the national government has released Sh4.052 billion under the programme, with ten counties already receiving their full allocation.


For the 2025/2026 financial year, Sh4.448 billion had been set aside, with the first tranche of Sh2.224 billion already disbursed to 24 counties.


Once fully operational, the industrial parks are expected to cut post-harvest losses, strengthen agricultural value chains, attract investment into agro-processing, and generate employment opportunities. The ministry says the ongoing compliance exercise is meant to ensure adherence to legal and financial requirements and strengthen institutional systems before the parks become fully operational.









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