Abstract

The purpose of the study was to find out the influence of devolved governance system in participation management of public funds in Meru and Tharaka Nithi counties in Meru community. Devolved governance system in Kenya has taken root with the central government devolving funds, policies and programs with minimal involvement of the people on the grass root level.. Since the advent of devolution it is critical to find out whether people have taken the initiative to influence governance and be involved in fund management. The research questions guiding the study were: What is the influence of Devolved System of Governance in managing funds in County Governments in Meru Community? What is the influence of devolution and public participation in governance of County Governments in Meru Community? How does devolution and political representation in counties influence performance of governance in County Governments in Meru Community? To which extent does devolution and public participation in decision making is being institutionalized by county governments in Meru community?  What is the effectiveness of control activities in the management of public funds in county governments in Meru community? The research was conducted in Meru and Tharaka Nithi Counties and through purposeful sampling had two case studies from each county in Meru community. Data was collected using guided interviews and semi structured questions. The data was collected through a focus group discussion, documents and audio-visual materials..   The study examined the literature review to understand devolved governance system and its practice globally, regionally and in Meru and Tharaka Nithi Counties. The theoretical framework was anchored on the governance theory, devolution theory, management theory and participation theory which imply that citizens are able to participate in fund management. The study findings indicated that the devolved system of governance is able to improve on financial planning, which eases the decision making process. It improves the transparency on financial matters and there is accountability on financial utilization which has influenced the financial management in Meru and Tharaka Nithi Counties.  The study concluded that public participation is a pivotal factor in the budgeting process as optimal participation by the public reduces instances of fractious processes and the budgets captured the wishes of the masses. The essence of assuring public participation is requisite in the quest to have openness in budget making. Keywords: Devolved governance system, Participation, management, Public Funds.

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