The Democratic Governance Support Programme (DGSP)

Constituency Development Fund

The Constituency Development Fund (CDF) was established in 2003 through the CDF Act in The Kenya Gazette Supplement No. 107 (Act No. 11) of 9th January 2004. The fund aims to control imbalances in regional development brought about by partisan politics. It targets all constituency-level development projects, particularly those aiming to combat poverty at the grassroots. The fund comprises an annual budgetary allocation equivalent to 2.5% of the government's ordinary revenue. A motion seeking to increase this allocation to 7.5% of government’s revenue was recently passed in parliament. 75% of the fund is allocated equally amongst all 210 constituencies. The remaining 25% is allocated as per constituency poverty levels. A maximum 10% of each constituency’s annual allocation may be used for an education bursary scheme. CDF is managed through 4 committees 2 of which are at the national level, and 2 at the grassroots level. According to the CDF Act, expenses for running constituency project offices should not exceed 3% of annual constituency allocations. Each constituency is required to keep aside 5% as an emergency reserve. The CDF is not to be used to support political bodies/activities or personal award projects. A sitting MP is not a signatory to the CDF bank account but convenes the CDF Committee in her/his constituency. The penalty for misappropriation of the Funds is a prison term of up to 5 years, a Kshs. 200,000 fine or both. CDF project proposals are submitted to MPs who in turn forward them to the Clerk of the National Assembly. The approved project list is reviewed by the National CDF committee, which presents final recommendation to the Finance Minister.